Conference Version of SB 1

(:ONFERENCE'COMMITTEE.
REPORTFORM
. Austin, Texas
--1/
. Date
. Honorable DaVid I>ewhurst
'. President of the Senate
Honorable Joe Straus
.Speaker of the House of .'
Sirs:
We! Your Conference Committee, appointed to adjust the differences' between the Semi.te and the .
House of Representatives on. <1K'" . '. . . have had the same under
consideration, and beg to report it back With ttierecommendation that itdq pass iJ:l the form,and
text hereto att<iched_ '. '. .
.. ..""'1,(:;;'=-:::..".'=''-7c.,:-::::: .."'---
--'--
. ' On the part of the House .
. Vi I};\q'\:'.-l\ \
" .
.Note to Committee Clerk:
Plel\Se'lype the names of the .members of the Conference"COmnilttee under' the lines 'provlded for signature: Those
members desiring to sign the report should sign each .of the six.coples. Attach a copy of the Conference Committee
Report and a Section by Section side by side comparison to each of the six reporting forms. The orlginaland two
'copleil'are tiled in house .of origin of the bill, and three copies in the' other
CONFERENCE
COMMITTEE REPORT
3
rd
Printing
S.B. No.1
A BILL TO BE ENTITLED
AN ACT
;: relating to certain state fiscal matters; providing penalties.
:; BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
4
ARTICLE 1. FOUNDATION SCHOOL PROGRAM PAYMENTS
L
"
SECTION 1.01. Subsections (c), (d), and (f), Section
(; 42.259, Education Code, are amended to read as follows:
7 (c) Payments from the foundation school fund to each
f category 2 school district shall be made as follows:
S (1) 22 percent of the yearly entitlement of the
Ie district shall be paid in an installment to be made on or before the
1] 25th day of September of a fiscal year;
12 (2) 18 percent of the year ly ent it lement of the
13 distr ict shall be paid in an installment to be made on or before the
14 25th day of October;
15 (3) 9.5 percent of the yearly entitlement of the
17 25th day of November;
18 (4) 7.5 percent of the yearly entitlement of the
19 district shall be paid in an installment to be made on or before the
20 25th day of Apr il;
21 (5) five percent of the year ly ent it lement of the
23 25th day of May;
24 (6) 10 per cent of the year ly ent i tlement of the
COl 11237 c r - ~
1
l..
S.B. No.1
1 distr ict shall be paid ln an installment to be made on or before the
2 25th day of June;
3 (7) 13 percent of the yearly entitlement of the
5 25th day of July; and
7 district shall be paid in an installment to be made after the 5th
8 day of September and not later than the 10th day of September of the
9 calendar year following the calendar year of the payment made under
10 Subdivision (1) ISH sr aefsre tHe 2tH eay sf
11 (d) Payments from the foundation school fund to each
12 category 3 school distr ict shall be made as follo....s:
13 (1) 45 percent of the year ly en"c it lement of the
15 25th day of September of a fiscal year;
18 25th day of October; and
20 district shall be paid in an installment to be made after the 5th
21 day of September and not later than the 10th day of September of the
22 calendar year following the calendar year of the payment made under
23 Subdivision (1) ISH sr aefsre tHe 2tH eay sf .
24 (f) Except as provided by Subsection (c) (8) or (d)(3), any
25 IA&y) previously unpaid additional funds from prior fiscal years
26 owed to a district shall be paid to the district together with the
27 September payment of the current fiscal year entitlement.
82S11237 JJT-F 2
i.
S . B. No. 1
1 SECTION 1.02. Subsection (c), Section 466.355, Government
2 Code, is amended to read as follows:
3 (c) Each August the comptroller shall:
4 (1) estimate the amount to be transferred to the
5 foundation school fund on or before September 15; and
6 (2) notwithstanding Subsection (b) (4), transfer the
7 amount estimated in Subdivision (1) to the foundation school fund
8 before August 25 [installment flayments are made under Seotion
9 42; 299, Baueatien Ceae] .
10 SECTION 1.03. The changes made by this article to Section
11 42.259, Education Code, apply only to a payment from the foundation
12 school fund that is made on or after the effective date of this Act.
13 A payment to a school district from the foundation school fund that
14 is made before that date is governed by Section 42.259, Education
15 Code, as it existed before amendment by this article, and the former
16 law is cont inued in effect for that purpose.
17 ARTICLE 2. FISCAL MATTERS REGARDING REGULATION AND TAXATION OF
18 INSURERS
19 SECTION 2.01. Section 221.006, Insurance Code, is amended
20 by adding Subsection (c) to read as follows:
21 (c) An insurer is not entitled to a credit under Subsection
22 (a) for an examination or evaluation fee paid in calendar year 2012
23 or 2013. This subsection expires January 1, 2014.
26 (c) An insurer or health maintenance organization is not
27 entitled to a credit under Subsection (a) for an examination or
82811237 JJT-F 3
S.B. No.1
1 evaluation fee paid in calendar year 2012 or 2013. This subsection
2 expires January 1, 2014.
5 (c) A title insurance company is not entitled to a credit
6 under Subsection (a) for an examination or evaluation fee paid in
7 calendar year 2012 or 2013. This subsection expires January 1,
8 2014.
10 by adding Subsection (f) to read as follows:
11 (f) An insurer is not entitled to a credit under Subsection
12 (e) for an examination or evaluation fee paid in calendar year 2012
13 or 2013. This subsection expires January 1, 2014.
15 to read as follows:
16 Sec. 401.154. TAX CREDIT AUTHORIZED. ill An insurer is
17 entitled to a credit on the amount of premium taxes to be paid by the
18 insurer for all examination fees paid under Section 401.153. The
19 insurer may take the credit for the taxable year during which the
20 examination fees are paid and may take the credit to the same extent
21 the insurer may take a credit for examination fees paid when a
22 salar ied department examiner conducts the examination.
23 (b) An insurer is not entitled to a credit under Subsection
24 (a) for an examination fee paid in calendar year 2012 or 2013. This
25 subsection expires January 1, 2014.
.J
82811237 JJT-F 4
S.B. No.1
1 Sec. 463.160. PREMIUM TAX CREDIT FOR CLASS A ASSESSMENT.
2 The amount of a Class A assessment paid by a member insurer in each
3 taxable year shall be allowed as a credit on the amount of premium
4 taxes due riR tHO same manner as a ereait is alls!doEl \:lnEler Seetien
5 401.191(e)].
6 SECTION 2.07. The changes in law made by this article apply
7 only to a tax credit for an examination or evaluation fee paid on or
8 after January 1, 2012. Tax credits for examination or evaluation
9 fees paid before January 1, 2012, are governed by the law in effect
10 immediately before the effective date of this Act, and that law is
11 continued in effect for that purpose.
12 ARTICLE 3. STATE SALES AND FRANCHISE TAX REFUNDS FOR CERTAIN AD
13 VALOREM TAXPAYERS
14 SECTION 3.01. Subchapter F, Chapter 111, Tax Code, is
15 repealed.
16 SECTION 3.02. The repeal of Subchapter F, Chapter 111, Tax
17 Code, by this article does not affect an eligible person's right to
18 claim a refund of state sales and use and state franchise taxes that
19 was established under Section 111.301, Tax Code, in relation to
20 taxes paid before the effective date of this article in a calendar
21 year for which the person paid ad valorem taxes to a school district
22 as provided by Section 111.301, Tax Code, before the effective date
23 of this article. An eligible person's right to claim a refund of
24 state sales and use and state franchise taxes that was established
25 under Section 111.301, Tax Code, in relation to taxes paid before
26 the effective date of this article in a calendar year for which the
27 person paid ad valorem taxes to a school district as provided by
82511237 JJT-F 5
S . B. No. 1
1 Section 111.301, Tax Code, before the effective date of this
2 article is governed by the law in effect on the date the right to
3 claim the refund was established, and the former law is continued in
4 effect for that purpose.
,
SECTION 3.03. This article takes effect October 1, 2011.
ARTICLE 4. TAX RECORDS
5
6
7 SECTION 4.01. Section 2153.201, Occupations Code, is
8 amended by amending Subsection (b) and adding Subsection (c) to
9 read as follows:
10
11
(b) A record required under Subsection (a) must:
(1) be available at all times for inspection by the
13 of the
14
ill;
15
16
17
18
19
20
21
22
23
24
12 attorney general, the comptroller, or an authorized representative
attorney general or comptroller as provided by Subsection
(2) include information relating to:
(A) the kind of each machine;
(B) the date each machine is:
(i) acquired or received in this state; and
(ii) placed in operation;
(C) the 1ocat ion of each machine, including the:
(i) county;
(ii) municipality, if any; and
(iii) street or rural route number;
(D) the name and complete address of each
25 operator of each machine;
26 (E) if the owner is an individual, the full name
27 and address of the owner; and
82S11237 JJT-F 6
S.B. No.1
1 (F) if the owner is not an individual, the name
2 and address of each principal officer or member of the owner; and
3 (3) bemaintained[+
4 [{A+] at a permanent address in this state
5 designated on the application for a license under Section
6 2153.153[, aRa
7 [(13) \:lntil the SCe8fl8: anniversary of the Elate the
8 OHnet osaGes Ql.JRCrshiJ? sf the mashine taat is the GuJaj eet af the
9 ressra].
10 (c) A record required under Subsection (a) must be available
11 for inspection under Subsection (b) for at least four years and as
12 required by Section 111.0041, Tax Code.
13 SECTION 4.02. Section 111.0041, Tax Code, is amended to
14 read as follows:
15 Sec. 111.0041. RECORDS; BURDEN TO PRODUCE AND SUBSTANTIATE
16 CLAIMS. (a) Except as provided by Subsection (b), a [A&y-]
17 taxpayer who is required by this title to keep records shall keep
18 those records open to inspection by the comptroller, the attorney
19 general, or the authorized representatives of either of them for at
20 least four year s.
21 (b) A taxpayer is required to keep records, as provided by
22 Subsection (c) with respect to the taxpayer's claim, open for
23 inspection under Subsection (a) for more than four years throughout
24 any per iod when:
25 (1) any tax, penalty, or interest may be assessed,
26 collected, or refunded by the comptroller; or
27 (2) an administrative hearing is pending before the
82811237 JJT-F
7
S.B. No.1
1 comptroller, or a judicial proceeding is pending, to determine the
2 amount of the tax, penalty, or interest that is to be assessed,
3 collected, or refunded.
4 (c) A taxpayer shall produce contemporaneous records and
5 supporting documentation appropriate to the tax or fee for the
6 transactions in question to substantiate and enable verification of
7 the taxpayer's claim related to the amount of tax, penalty, or
8 interest to be assessed, collected, or refunded in an
9 administrative or judicial proceeding. Contemporaneous records
10 and supporting documentation appropriate to the tax or fee may
11 include, for example, invoices, vouchers, checks, shipping
12 records, contracts, or other equivalent records, such as
13 electronically stored images of such documents, reflecting legal
14 relationships and taxes collected or paid.
15 (d) This section prevails over any other conflicting
16 provision of this title.
17 SECTION 4.03. Sect ion 112.052, Tax Code, is amended by
18 adding Subsection (d) to read as follows:
19 (d) A taxpayer shall produce contemporaneous records and
20 supporting documentation appropriate to the tax or fee for the
21 transactions in question to substantiate and enable verification of
22 a taxpayer's claim relating to the amount of the tax, penalty, or
23 interest that has been assessed or collected or will be refunded, as
24 required by Section 111.0041.
25 SECTION 4.04. Sect ion 112. lSI, Tax Code, is amended by
26 adding Subsection (f) to read as follows:
27 (f) A taxpayer shall produce contemporaneous records and
82S11237 JJT-F 8
S . B. No. 1
supporting documentation appropriate to the tax or fee for the
transactions in guestion to substantiate and enable verification of
a taxpayer's claim relating to the amount of the tax, penalty, or
interest that has been assessed or collected or will be refunded r as
required by Sect ion 111. 0041.
SECTION 4.05. Subsection (b), Section 151.025, Tax Code, is
amended to read as follows:
(b) A record required by Subsection (a) [sf tHis sestisR]
shall be kept for not less than four years from the date [Gay] that
it is made unless:
destruction at an earlier date; or
(2) Section 111.0041 requires that the record be kept
for a longer per iod.
SECTION 4.06. Section 152.063, Tax Code, is amended by
adding Subsection (h) to read as follows:
(h) Section 111.0041 applies to a person required to keep
records under this chapter.
SECTION 4.07. Section 152.0635, Tax Code r is amended by
adding Subsection (e) to read as follows:
(e) Section 111.0041 applies to a person reguired to keep
records under this chapter.
SECTION 4.08. Subsection (a), Section 154.209, Tax Code, is
(a) Except as provided by Section 111.0041, each [J>..a.4]
permit holder shall keep records available for inspection and
copying by the comptroller and the attorney general for at least
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
ill the
82511237 JJT-P
comptroller
9
authorizes in writing its
S.B. No.1
1 four years.
2 SECTION 4.09. Subsection (a), Section 155.110, Tax Code, is
3 amended to read as follows:
4 (a) Except as provided by Section 111.0041, each [Eaffi]
5 permit holder shall keep records available for inspection and
6 copying by the comptroller and the attorney general for at least
7 four years.
8 SECTION 4.10. Section 160.046, Tax Code, is amended by
9 adding Subsection (g) to read as follows:
10 (9) A person required to keep records under this section
11 shall also keep the records as required by Section 111.0041.
12 SECTION 4.11. Subchapter A, Chapter 162, Tax Code, is
13 amended by adding Section 162.0125 to read as follows:
14 Sec. 162.0125. DUTY TO KEEP RECORDS. A person required to
15 keep a record under this chapter shall also keep the record as
16 required by Section 111.0041.
17 SECTION 4.12. This article takes effect immediately if this
18 Act receives a vote of two-thirds of all the members elected to each
19 house, as provided by Section 39, Article III, Texas Constitution.
20 If this Act does not receive the vote necessary for immediate
21 effect, this art icle takes effect October 1, 2011.
22 ARTICLE 5. UNCLAIMED PROPERTY
23 SECTION 5.01. Subsection (b), Section 72.1017, Property
24 Code, as effective September I, 2011, is amended to read as follows:
25 (b) Notwithstanding Section 73.102, a ut ility deposit is
26 pr esumed abandoned on the latest of:
27 (1) the fir st anniver sary of [IB ffiBRtHS after] the
82811237 JJT-F 10
i
S.B. No.1
1 date a refund check for the utility deposit was payable to the owner
2 of the deposit;
3 (2) the first anniversary of [Hl 1R8Hths after] the
4 date the utility last received documented communication from the
5 owner of the utility deposit; or
6 (3) the first anniversary of [Hl 1R8Hths after] the
7 date the utility issued a refund check for the deposit payable to
8 the owner of the deposit if, according to the knowledge and records
9 of the utility or payor of the check, during that period, a claim to
10 the check has not been asserted or an act of ownership by the payee
11 has not been exercised.
12 SECTION 5.02. This article takes effect on the 91st day
13 after the last day of the legislative session.
14 ARTICLE 6. CLASSIFICATION OF JUDICIAL AND COURT PERSONNEL
15 TRAINING FUND
16 SECTION 6.01. Section 56.001, Government Code, is amended
18 Sec. 56.001. JUDICIAL AND COURT PERSONNEL TRAINING FUND.
19 (a) The judicial and court personnel training fund is an account
20 in the general revenue fund. Money in the judicial and court
21 personnel training fund may be appropriated only to [ereatea iH the
22 state treasHry aHa shall Be aalRiHisterea By] the court of criminal
23 appeals for the uses author ized in Sect ion 56.003.
24 1l [++] On requisition of the court of criminal appeals,
25 the comptroller shall draw a warrant on the fund for the amount
26 specified in the requisition for a use authorized in Section
27 56.003. A warrant may not exceed the amount appropriated for any
82811237 JJT-F 11
f II
S.B. No.1
lone fiscal year. [At tHe eRa Elf eaeH state fissal year, aflY
2 UflGuflGflaea 13alaneG if! the f\:lRa if} 8][e806 sf $OO,OOO ohall BC
3 traRcferreEl t6 tRe 8Heral re'/aRtie fl:1FH;J.. ]
4 ARTICLE 7. PROCESS SERVER CERTIFICATION FEES
5 SECTION 7.01. Section 51.008, Government Code, as effective
6 September 1, 2011, is amended by amending Subsection (c) and adding
7 Subsection (d) to read as follows:
8 (c) The Office of Court Administration of the Texas Judicial
9 System may collect the fees recommended by the process server
10 review board and approved by the supreme court. Fees collected
11 under this section shall be sent to the comptroller for deposit to
12 the credit of the general revenue fund [aRa may Be aflflrSjHiatea ElRly
13 to tHe effioe far flurflsoo of tRio oGstien] .
14 (d) Fees collected under this section may be appropriated to
15 the Office of Court Administration of the Texas Judicial System for
16 the support of regulatory programs for process servers, guardians,
17 and court reporters.
18 [Article 8 reserved]
19 ARTICLE 9. REMITTANCE AND ALLOCATION OF CERTAIN MOTOR FUELS TAXES
21 adding Subsections (a-1), (a-2), (a-3), and (a-4) to read as
22 follows:
23 (a-1) On August 28, 2013, each licensed distr ibutor and
24 licensed importer shall remit to the supplier or permissive
25 supplier, as applicable, a tax prepayment in an amount equal to 25
26 percent of the tax imposed by Section 162.101 for gasoline removed
27 at the terminal rack during July 2013 by the licensed distributor or
82S11237 JJT-F 12
i
and this
amended by
to read as
and (a-3)
Code, is
and (a-4)
(a-4) Subsections (a-l), (a-2),
subsection expire September 1, 2015.
SECTION 9.02. Section 162.214, Tax
adding Subsections (a-I), (a-2), (a-3),
follows:
(a-l l On August 28, 2013, each licensed distr ibutor and
S.B. No.1
licensed importer, without accounting for any credit or allowance
to which the licensed distributor or licensed importer is entitled.
The supplier or permissive supplier shall remit the tax prepayment
received under this subsection to the comptroller by electronic
funds transfer on August 30, 2013, without accounting for any
credit or allowance to which the supplier or permissive supplier is
entitled. Subsections (c)-(e) do not apply to the tax prepayment
under this subsect ion.
(a-2) A licensed distr ibutor or licensed importer may take a
credit against the amount of tax imposed by Section 162.101 for
gasoline removed at a terminal rack during August 2013 that is
required to be remitted to the supplier or permissive supplier, as
applicable, under Subsection (al in September 2013. The amount of
the credit is equal to the amount of any tax prepayment remitted by
the licensed distributor or licensed importer as required by
Subsection (a-I).
(a-3) Subsections (a-I) and (a-2) apply to a supplier or an
affiliate of a supplier who removes gasoline at the terminal rack
for distribution to the same extent and in the same manner that
those subsections apply to a licensed distributor or licensed
importer.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 13

S.B. No.1
1 licensed importer shall remit to the supplier or permissive
2 supplier, as applicable, a tax prepayment in an amount equal to 25
3 percent of the tax imposed by Section 162.201 for diesel fuel
4 removed at the terminal rack during July 2013 by the licensed
5 distributor or licensed importer, without accounting for any credit
6 or allowance to which the licensed distributor or licensed importer
7 is entitled. The supplier or permissive supplier shall remit the
8 tax prepayment received under this subsection to the comptroller by
9 electronic funds transfer on August 30, 2013, without accounting
10 for any credit or allowance to which the supplier or permissive
11 supplier is entitled. Subsections (c)-(e) do not apply to the tax
12 prepayment under this subsection.
13 (a-2) A licensed distr ibutor or licensed importer may take a
14 credit against the amount of tax imposed by Section 162.201 for
15 diesel fuel removed at a terminal rack during August 2013 that is
16 required to be remitted to the supplier or permissive supplier, as
17 applicable, under Subsection (al in September 2013. The amount of
18 the credit is equal to any tax prepayment remitted by the licensed
19 distributor or licensed importer as required by Subsection (a-I).
20 (a-3) Subsections (a-I) and (a-2) apply to a supplier or an
21 affiliate of a supplier who removes diesel fuel at the terminal rack
22 for distribution to the same extent and in the same manner that
23 those subsections apply to a licensed distributor or licensed
24 importer.
25 (a-4) Subsections (a-I), (a-2), and (a-3) and this
26 subsection expire September 1, 2015.
27 SECTION 9.03. Section 162.503, Tax Code, is amended to read
82811237 JJT-F 14
S.B. No.1
1 as follows:
2 Sec. 162.503. ALLOCATION OF GASOLINE TAX. ill On or
3 before the fifth workday after the end of each month, the
4 comptroller, after making all deductions for refund purposes and
5 for the amounts allocated under Sections 162.502 and 162.5025,
6 shall allocate the net remainder of the taxes collected under
7 Subchapter B as follows:
8 (1) one-fourth of the tax shall be deposited to the
9 credit of the available school fund;
10 (2) one-half of the tax shall be deposited to the
11 credit of the state highway fund for the construction and
12 maintenance of the state road system under existing law; and
13 (3) from the remaining one-fourth of the tax the
14 comptroller shall:
15 (A) deposit to the credit of the county and road
16 district highway fund all the remaining tax receipts until a total
17 of $7,300,000 has been credited to the fund each fiscal year; and
18 (B) after the amount required to be deposited to
19 the county and road district highway fund has been deposited,
20 deposit to the credit of the state highway fund the remainder of the
21 one-fourth of the tax, the amount to be provided on the basis of
22 allocations made each month of the fiscal year, which sum shall be
23 used by the Texas Department of Transportation for the
24 construction, improvement, and maintenance of farm-to-market
25 roads.
26 (b) Notwithstanding Subsection (a), the comptroller may not
27 allocate revenue otherwise required to be allocated under
82811237 JJT-F 15
S.B. No.1
1 Subsection Ca) during July and August 2013 before the first workday
2 of September 2013. The revenue shall be allocated as otherwise
3 provided by Subsection Ca) not later than the fifth workday of
4 September 2013. This subsection expires September 1, 2015.
5 SECTION 9.04. Section 162.504, Tax Code, is amended to read
6 as follows:
7 Sec. 162.504. ALLOCATION OF DIESEL FUEL TAX. ~ . On or
8 before the fifth workday after the end of each month, the
9 comptroller, after making deductions for refund purposes, for the
10 administration and enforcement of this chapter, and for the amounts
11 allocated under Section 162.5025, shall allocate the remainder of
12 the taxes collected under Subchapter C as follows:
13 (1) one-fourth of the taxes shall be deposited to the
14 credit of the available school fund; and
15 (2) three-fourths of the taxes shall be deposited to
16 the credit of the state highway fund.
17 (b) Notwithstanding Subsection (al, the comptroller may not
18 allocate revenue otherwise required to be allocated under
19 Subsection Ca) during July and August 2013 before the first workday
20 of September 2013. The revenue shall be allocated as otherwise
21 provided by Subsection Ca) not later than the fifth workday of
22 September 2013. This subsection expires September 1, 2015.
23 SECTION 9.05. The expiration of the amendments made to the
24 Tax Code in accordance with this article does not affect tax
25 liability accruing before the expiration of those amendments. That
26 liability continues in effect as if the amendments had not expired,
27 and the former law is continued in effect for the collection of
82811237 JJT-F 16
" ,
S.B. No. 1
1 taxes due and for civil and criminal enforcement of the liability
2 for those taxes.
3 SECTION 9.06. This article takes effect October 1, 2011.
4 ARTICLE 10. REMITTANCE OF MIXED BEVERAGE TAXES AND TAXES AND FEES
5 ON CERTAIN ALCOHOLIC BEVERAGES
6 SECTION 10.01. Section 34.04, Alcoholic Beverage Code, is
7 amended by adding Subsections (c), (d), and (e) to read as follows:
8 (c) In August 2013, a permittee shall remit a tax prepayment
9 of taxes due to be remitted in September 2013 that is equal to 25
10 percent of the amount the permittee is otherwise required to remit
11 during August 2013 under the reporting system prescribed by the
12 commission. The prepayment is in addition to the amount the
13 permittee is otherwise requir ed to r emit dur ing August. The
14 permittee shall remit the additional payment in conjunction with
15 the report and payment otherwise r equir ed dur ing that month.
16 (d) A permittee who remits the additional payment as
17 required by Subsection (c) may take a credit in the amount of the
18 additional payment against the next payment due under the reporting
19 system prescribed by the commission.
20 (e) Subsections (c) and (d) and this subsection expire
21 September 1, 2015.
23 amended by adding Subsections (c), (d), and (e) to read as follows:
24 (c) In August 2013, a permittee shall r emit a tax pr epayment
25 of taxes due to be remitted in September 2013 that is equal to 25
27 during August 2013 under the reporting system prescribed by the
82S11237 JJT-F 17
!
S.B. No.1
1 commission. The prepayment is in addition to the amount the
2 permittee is otherwise required to remit dur ing August. The
3 permittee shall remit the additional payment in conjunction with
4 the report and payment otherwise required dur ing that month.
7 additional payment against the next payment due under the reporting
8 system prescr ibed by the commission.
9 (e) Subsect ions (c) and (d) and this subsection expire
13 Sec. 201.07. DUE DATE. (a) The tax on liquor is due and
14 payable on the 15th of the month following the first sale, together
15 with a report on the tax due.
16 (b) In August 2013, each permittee who is liable for the
17 taxes imposed by this subchapter shall remit a tax prepayment of
18 taxes due to be remitted in September 2013 that is equal to 25
20 during August 2013 under Subsection (a). The prepayment is in
21 addition to the amount the permittee is otherwise required to remit
22 dur ing August. The permitt ee shall r emit the addit ional payment in
23 conjunction with the report and payment otherwise required during
24 that month.
25 (c) A permittee who remits the additional payment as
26 required by Subsection (b) may take a credit in the amount of the
27 additional payment against the next payment due under Subsection
82811237 JJT-F 18
S.B. No. 1
1 ~
2 (d) Subsections (b) and (c) and this subsection expire
5 amended by amending Subsection (b) and adding Subsections (c), (d),
6 and (e) to read as follows:
7 (b) The tax is due and payable on the 15th day of the month
8 following the month in which the taxable first sale occurs
L
9 together with a report on the tax due.
10 (c) In August 2013, each permittee who is liable for the tax
11 imposed by this subchapter shall remit a tax prepayment of taxes due
12 to be remitted in September 2013 that is equal to 25 percent of the
13 amount the permittee is otherwise required to remit during August
14 2013 under Subsection (b). The prepayment is in addition to the
15 amount the permittee is otherwise required to remit during August.
16 The permittee shall remit the additional payment in conjunction
17 with the report and payment otherwise required during that month.
21 .i.L
22 (e) Subsections (c) and (d) and this subsection expir e
26 and (e) to read as follows:
27 (b) The tax is due and payable on the 15th day of the month
82S11237 JJT-F 19
!'
S . B. No. 1
1 following the month in which the taxable first sale occurs
L
2 together with a report on the tax due.
3 (cl Each licensee who is liable for the tax imposed by this
4 chapter shall remit a tax prepayment of taxes due to be remitted in
5 September 2013 that is equal to 25 percent of the amount the
6 licensee is otherwise required to remit during August 2013 under
7 Subsection (bl. The prepayment is in addition to the amount the
8 licensee is otherwise required to remit during August. The
9 licensee shall remit the additional payment in conjunction with the
10 report and payment otherwise required during that month.
11 (dl A licensee who remits the additional payment as required
12 by Subsection (cl may take a credit in the amount of the additional
13 payment against the next payment due under Subsection (bl.
14 (el Subsections (cl and (dl and this subsection expire
15 September I, 2015.
17 read as follows:
18 Sec. 183.023. PAYMENT. ~ The tax due for the preceding
19 month shall accompany the return and shall be payable to the state.
20 ill The comptroller shall deposit the revenue received
21 under this sect ion in the gener al revenue fund.
22 (c l In August 2013, each permittee who is liable for the tax
23 imposed by this subchapter shall remit a tax prepayment of taxes due
24 to be remitted in September 2013 that is equal to 25 percent of the
25 amount the permittee is otherwise required to remit during August
26 2013 under Subsection (al. The prepayment is in addition to the
27 amount the permittee is otherwise required to remit during August.
82811237 JJT-F 20
,
S . B. No. 1
1 The permittee shall remit the additional payment in conjunction
2 with the return and payment otherwise required during that month.
6 ~
7 (e) Subsections (c) and (d) and this subsection expire
10 Alcoholic Beverage Code and Tax Code in accordance with this
11 article does not affect tax liability accruing before the
12 expiration of those amendments. That liability continues in effect
13 as if the amendments had not expired, and the former law is
14 continued in effect for the collection of taxes due and for civil
15 and criminal enforcement of the liability for those taxes.
16 ARTICLE 11. CIGARETTE TAX STAMPING ALLOWANCE
17 SECTION 11.01. Subsection (a), Section 154.052, Tax Code,
18 is amended to read as follows:
19 (a) A distributor is, subject to the provisions of Section
20 154.051, entitled to 2.5 [three] percent of the face value of stamps
21 purchased as a stamping allowance for providing the service of
22 affixing stamps to cigarette packages, except that an out-of-state
23 distr ibutor is ent it led to receive only the same percentage of
24 stamping allowance as that given to Texas distr ibutors doing
25 business in the state of the distributor.
26 SECTION 11.02. This article applies only to cigarette
27 stamps purchased on or after the effective date of this article.
82S11237 JJT-F 21
is amended by
(c) to read as
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
f
S.B. No.1
Cigarette stamps purchased before the effective date of this
article are governed by the law in effect on the date the cigarette
stamps were purchased, and that law is continued in effect for that
purpose.
SECTION 11. 03. This article takes effect October 1, 2011.
ARTICLE 12. SALES FOR RESALE
SECTION 12.01. Section 151.006, Tax Code,
amending Subsection (a) and adding Subsection
follows:
(a) "Sale for resale" means a sale of:
(1) tangible personal property or a taxable service to
a purchaser who acquires the property or service for the purpose of
reselling it with or as a taxable item as defined by Section 151.010
in the United States of America or a possession or territory of the
United States of America or in the united Mexican States in the
normal course of business in the form or condition in which it is
acquired or as an attachment to or integral part of other tangible
personal property or taxable service;
(2) tangible personal property to a purchaser for the
sole purpose of the purchaser's leasing or renting it in the United
States of America or a possession or territory of the United States
of America or in the United Mexican States in the normal course of
business to another person, but not if incidental to the leasing or
renting of real estate;
(3) tangible personal property to a purchaser who
acquires the property for the purpose of transferring it in the
United States of America or a possession or territory of the United
82511237 JJT-F 22
S.B. No.1
1 States of America or in the United Mexican States as an integral
2 part of a taxable service; [ ~ ]
3 (4) a taxable service performed on tangible personal
4 property that is held for sale by the purchaser of the taxable
5 serviceL2
6 (5) except as provided by Subsection (c), tangible
7 personal property to a purchaser who acquires the property for the
8 purpose of transferring it as an integral part of performing a
9 contract, or a subcontract of a contract, with the federal
10 government only if the purchaser:
11 (A) allocates and bills to the contract the cost
12 of the property as a direct or indirect cost; and
13 (B) transfers title to the property to the
14 federal government under the contract and applicable federal
15 acquisition regulations.
16 (cl A sale for resale does not include the sale of tangible
17 personal property or a taxable service to a purchaser who acquires
18 the property or service for the purpose of performing a service that
19 is not taxed under this chapter, regardless of whether title
20 transfers to the service provider's customer, unless the tangible
21 personal property or taxable service is purchased for the purpose
22 of reselling it to the United States in a contract, or a subcontract
23 of a contract, with any branch of the Department of Defense,
24 Department of Homeland Security, Department of Energy, National
25 Aeronautics and Space Administration, Central Intelligence Agency,
26 National security Agency, National Oceanic and Atmospheric
27 Administration, or National Reconnaissance Office to the extent
82511237 JJT-F 23
S . B. No. 1
1 allocated and billed to the contract with the federal government.
2 SECTION 12.02. This article takes effect immediately if
3 this Act receives a vote of two-thirds of all the members elected to
4 each house, as provided by Section 39, Article III, Texas
5 Constitution. If this Act does not receive the vote necessary for
6 immediate effect, this article takes effect October 1, 2011.
7 ARTICLE 13. REMITTANCE OF SALES AND USE TAXES
9 adding Subsections (c), (d), and (e) to read as follows:
10 (c) In August 2013, a taxpayer who is required to pay the
11 taxes imposed by this chapter on or before the 20th day of that
12 month under Subsection (al, who pays the taxes imposed by this
13 chapter by electronic funds transfer, and who does not prepay as
14 provided by Section 151.424 shall remit to the comptroller a tax
15 prepayment that is equal to 25 percent of the amount the taxpayer is
16 otherwise required to remit during August 2013 under Subsection
17 (a). The prepayment is in addition to the amount the taxpayer is
18 otherwise required to remit during August. The taxpayer shall
19 remit the additional payment in conjunction with the payment
20 otherwise required during that month. Section 151.424 does not
21 apply with respect to the additional payment required by this
22 subsection.
23 (d) A taxpayer who remits the additional payment as required
24 by Subsection (c) may take a credit in the amount of the additional
25 payment against the next payment due under Subsection (a) .
26 (e) Subsections (c) and (d l and this subsection expire
82511237 JJT-F 24

S.B. No.1
2 read as follows:
3 Sec. 151.402. TAX REPORT DATES. (a) !::. [ElEeej3t as j3rsviaea
4 By SUBseetisR (B) sf this seotisR, a] tax report required by this
5 chapter for a reporting period is due on the same date that the tax
6 payment for the period is due as provided by Section 151.401.
7 (b) A taxpayer may report a credit in the amount of any tax
8 prepayment remitted to the comptroller as required by Section
9 151.401(c) on the tax report required by this chapter that is
10 otherwise due in September 2013 [fsr tanes requirea By SeetisR
11 11.401(a) te 13e flaiEl en or setaro A l : l ~ u G t : 20 is aUG 8Fl aT seiera tRO
12 20th aay sf the fslls'diR'ij ffiSRth]. This subsection expires
15 Tax Code in accordance with this article does not affect tax
16 liability accruing before the expiration of those amendments. That
17 liability continues in effect as if the amendments had not expired,
18 and the former law is continued in effect for the collection of
19 taxes due and for civil and criminal enforcement of the liability
20 for those taxes.
21 ARTICLE 14. PENALTIES FOR FAILURE TO REPORT OR REMIT CERTAIN TAXES
22 OR FEES
23 SECTION 14.01. Subsection (b), Section 111.00455, Tax Code,
25 (b) The following are not contested cases under Subsection
26 (a) and Section 2003.101, Government Code:
27 (1) a show cause hearing or any hearing not related to
82S11237 JJT-F 25
, .
S.B. No.1
1 the collection, receipt, administration, or enforcement of the
2 amount of a tax or fee imposed, or the penalty or interest
3 associated with that amount, except for a hearing under Section
4 151.157(f), 151.1575(c), 151.712(g), 154.1142, or 155.0592;
5 (2) a property value study hear ing under Subchapter M,
6 Chapter 403, Government Code;
7 (3) a hearing in which the issue relates to:
8 (A) Chapters 72-75, Property Code;
9 (B) forfeiture of a right to do business;
10 (C) a certificate of authority;
11 (0) articles of incorporation;
12 (E) a penalty imposed under Sect ion 151. 703 (d)
13
14 (F) the refusal or failure to settle under
15 Section 111.101; or
16 (G) a request for or revocation of an exemption
17 from taxation; and
18 (4) any other hearing not related to the collection,
19 receipt, administration, or enforcement of the amount of a tax or
20 fee imposed, or the penalty or interest associated with that
21 amount.
23 as effective September 1, 2011, is amended to read as follows:
24 (a) If a per son fails to file a report required by this
25 subchapter or fails to file a complete report, the comptroller may
26 impose a civil or cr imina1 penalty, or both, under Sect ion
27 151.703(d) or 151.709.
82S11237 JJT-F 26

S.B. No.1
1 SECTION 14.03. Sect ion 151. 703, Tax Code, is amended by
2 adding Subsection (d) to read as follows:
3 (d) In addition to any other penalty author ized by this
4 section, a person who fails to file a report as required by this
5 chapter shall pay a penalty of $50. The penalty provided by this
6 subsection is assessed without regard to whether the taxpayer
7 subsequently files the report or whether any taxes were due from the
8 taxpayer for the reporting period under the required report.
10 adding Subsect ion (d) to read as follows:
11 (d) In addition to any other penalty provided by law, the
12 owner of a motor vehicle subject to the tax on gross rental receipts
13 who is required to file a report as provided by this chapter and who
14 fails to timely file the report shall pay a penalty of $50. The
15 penalty provided by this subsection is assessed without regard to
16 whether the taxpayer subsequently files the report or whether any
17 taxes were due from the taxpayer for the reporting period under the
18 required report.
20 adding Subsection (j) to read as follows:
21 (j) In addition to any other penalty provided by law, the
22 seller of a motor vehicle sold in a seller-financed sale who is
23 required to file a report as provided by this chapter and who fails
24 to timely file the report shall pay a penalty of $50. The penalty
25 provided by this subsection is assessed without regard to whether
26 the taxpayer subsequently files the report or whether any taxes
27 were due from the taxpayer for the reporting period under the
82511237 JJT-F 27
Section 156.202, Tax Code, is amended by
(c) and adding Subsection (d) to read as
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No.1
required report.
SECTION 14.06.
amending Subsect ion
follows:
(c) The minimum penalty under Subsections (a) and (b) [ ~
sestisR) is $l.
(d) In addit ion to any other penalty author ized by this
section, a person who fails to file a report as required by this
chapter shall pay a penalty of $50. The penalty provided by this
subsection is assessed without regard to whether the taxpayer
subsequently files the report or whether any taxes were due from the
taxpayer for the reporting period under the required report.
adding Subsection (d) to read as follows:
(d) In addition to any other penalty authorized by this
section, a person who fails to file a report as required by this
chapter shall pay a penalty of $50. The penalty provided by this
subsequently files the report or whether any taxes were due from the
taxpayer for the reporting per iod under the required report.
SECTION 14.08. Sect ion 171.362, Tax Code, is amended by
amending Subsection (c) and adding Subsect ion (f) to read as
follows:
(c) The minimum penalty under Subsections (a) and (b) [ ~
sestisR) is $l.
(f) In addition to any other penalty author ized by this
section, a taxable entity who fails to file a report as required by
82S11237 JJT-F 28
S . B. No. 1
1 this chapter shall pay a penalty of $50. The penalty provided by
2 this subsection is assessed without regard to whether the taxable
3 entity subsequently files the report or whether any taxes were due
4 from the taxable entity for the reporting period under the required
5 report.
6 SECTION 14.09. Subchapter B, Chapter 183, Tax Code, is
8 Sec. 183.024. FAILURE TO PAY TAX OR FILE REPORT. (a) A
9 permittee who fails to file a report as required by this chapter or
10 who fails to pay a tax imposed by this chapter when due shall pay
11 five percent of the amount due as a penalty, and if the permittee
12 fails to file the report or pay the tax within 30 days after the day
13 the tax or report is due, the permittee shall pay an additional five
14 percent of the amount due as an additional penalty.
15 (b) The minimum penalty under Subsection (a) is $1.
16 (c) A delinquent tax draws interest beginning 60 days from
17 the due date.
18 (d) In addition to any other penalty authorized by this
19 section, a permittee who fails to file a report as required by this
20 chapter shall pay a penalty of $50. The penalty provided by this
21 subsection is assessed without regard to whether the permittee
23 permittee for the reporting period under the required report.
24 SECTION 14.10. Section 771. 0712, Health and Safety Code, is
25 amended by adding Subsections (c) and (d) to read as follows:
26 (c) A seller who fails to file a report or remit a fee
27 collected or payable as provided by this section and comptroller
82S11237 JJT-F 29
f
S.B. No.1
1 rules shall pay five percent of the amount due and payable as a
2 penalty, and if the seller fails to file the report or remit the fee
3 within 30 days after the day the fee or report is due, the seller
4 shall pay an additional five percent of the amount due and payable
5 as an additional penalty.
6 (d) In addit ion to any other penalty author ized by this
7 section, a seller who fails to file a report as provided by this
8 section shall pay a penalty of $50. The penalty provided by this
9 subsection is assessed without regard to whether the seller
11 seller for the reporting per iod under the required report.
12 SECTION 14.11. Section 151. 7031, Tax Code, is repealed.
13 SECTION 14.12. The change in law made by this art icle
14 applies only to a report due or a tax or fee due and payable on or
15 after the effective date of this article. A report due or a tax or
16 fee due and payable before the effective date of this article is
17 governed by the law in effect at that time, and that law is
18 cont inued in effect for that purpose.
19 SECTION 14.13. This article takes effect October 1, 2011.
20 ARTICLE 15. FISCAL MATTERS RELATED TO VOTER REGISTRATION
21 SECTION 15.01. Subsections (b), (c), and (d), Section
22 18.065, Election Code, are amended to read as follows:
23 (b) On determining that a registrar is not in substantial
24 compliance, the secretary shall deliver written notice of the
25 noncompliance to [+
26 [++J the registrar and include [, iHsIHeiH9J in the
27 notice a description of the violation and an explanation of the
82S11237 JJT-F 30

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No.1
action necessary for substantial compliance and of the consequences
of noncompliance [, ana
[(2) the G8ffi@troller of ~ H B l i G acceHnto, ineluain in
the Flstie the iEiCFltity af the flsncomplyin roistrar].
(c) On determining that a noncomplying registrar has
corrected the violation and is in substantial compliance, the
secretary shall deliver written notice to the registrar [ana to the
oOFRfltrsller] that the registrar is in substantial compliance.
(d) [The Gomptreller shall retain a Retico roeoivea uneer
this cectisn Sf} file uRtil Jl:lly 1 folleuiFl the vetiFl1J year in Tdhich
it is reoeivea.J The secretary shall retain a copy of each notice
the secretary delivers under this section for two years after the
date the notice is delivered.
SECTION 15.02. Subsection (a), Section 19.001, Election
Code, is amended to read as follows:
(a) Before May 15 of each year, the registrar shall prepare
and submit to the secr etary of state [0 sFRfltr oller sf ]3ul31io
aoosuRtS] a statement containing:
(1) the total number of initial registrations for the
previous voting year;
(2) the total number of registrations canceled under
Sections 16.031(a) (1),16.033, and 16.0332 for the previous voting
year; and
(3) the total number of registrations for which
information was updated for the previous voting year.
SECTION 15.03. The heading to Section 19.002, Election
82S11237 JJT-F 31
ICGCRt Hetie reeeivea by tHe frem the seoretary sf

Election
read as
S.B. No.1
I'IARRAWF., BY OF
(dl, Section 19.002,
2011, is amended to
[H;.,YANCE
state uReler .,eetisR IB.Q iRelieates that] the registrar is not in
substantial compliance with Section 15.083, 16.032, or 18.065 or
with rules implementing the registration service program.
SECTION 15.06. The heading to Sect ion 19.0025, Elect ion
Sec. 19.0025. ELECTRONIC ADMINISTRATION OF VOUCHERS AND
PAYMENTS
SECTION 15.07. Subsection (al, Section 19.0025, Election
SECTION 15.05. Subsection
Code, as effective September 1,
follows:
(d l The secretary of state [ssFflptr slle r 1 may not make a
payment under Subsection (b) [issue a '>larr aRt] if on June 1 of the
year in which the payment ['oIarraRt] is to be made [issueel the FfIsst
Sec. 19.002. PAYMENTS
COMP'f'ROLLER] .
SECTION 15.04. Subsection (bl, Section 19.002, Election
(bl After June 1 of each year, the secretary of state
sf pUBlis asssuRtS] shall make payments [issue
',{arraRts] pursuant to vouchers submitted by the registrar and
approved by the secretary of state in amounts that in the aggregate
do not exceed the registrar's entitlement. The secretary of state
shall prescribe the procedures necessary to implement this
subsection.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 32
,
S.B. No.1
1 (a) The secretary of state shall establish and maintain an
2 online electronic system for administering vouchers submitted and
3 payments made ['oIarrants iss,.ee] under Section 19.002.
4 SECTION 15.08. Subsection (c), Section 19.002, Election
5 Code, is repealed.
6 ARTICLE 16. CERTAIN POWERS AND DUTIES OF THE COMPTROLLER OF
7 PUBLIC ACCOUNTS
8 SECTION 16.01. Subsection (d), Section 403.0551,
9 Government Code, is amended to read as follows:
10 (d) This section does not authorize the comptroller to
11 deduct the amount of a state employee's indebtedness to a state
12 agency from any amount of compensation owed by the agency to the
13 employee, the employee's successor, or the assignee of the employee
14 or successor. In this subsection, "compensation" has the meaning
15 assigned by Section 403.055 and ["eelllj3ensatien,"] "indebtedness,"
16 "state agency," "state employee," and" successor" have the meanings
17 assigned by Section 666.001.
18 SECTION 16.02. Subsection (h), Section 404.022, Government
20 (h) The comptroller may execute a simplified version of a
21 depository agreement with an eligible institution desiring to hold
22 [$9B,QQQ er less in] state deposits that are fully insured by the
23 Federal Deposit Insurance Corporation or the National Credit Union
24 Share Insurance Fund.
26 Government Code, as amended by this article, applies to a deduction
27 made on or after the effective date of this Act for an indebtedness
82811237 JJT-F
33
S.B. No. 1
1 to a state agency regardless of:
2 (1) the date the indebtedness accrued; or
3 (2) the dates of the pay period for which the
4 compensation from which the indebtedness is deducted is earned.
5 ARTICLE 17. PREPARATION AND PUBLICATION OF CERTAIN REPORTS AND
6 OTHER MATERIALS
7 SECTION 17.01. Subsection (c), Section 61.539, Education
9 (c) As soon as practicable after each state fiscal year, the
10 board shall prepare a report for that fiscal year of
11 the number of students registered in a medical branch, school, or
12 college, the total amount of tuition charges collected by each
13 institution, the total amount transferred to the comptroller under
14 this section, and the total amount available in the physician
15 education loan repayment program account for the repayment of
16 student loans of physicians under this subchapter. The board
17 shall deliver a copy of the report to [tHe Beara aRa
18 the governor, lieutenant governor, and speaker of the house of
19 representatives not later than January 1 following the end of the
20 fiscal year covered by the report.
21 SECTION 17.02. Subsection (c), Section 5.05, Tax Code, is
23 (c) The comptroller shall electronically publish all
24 materials under this section \/itHSHt sRe sf
25 all materials 1;8 effisials sf leGal '9"8VOrRHlRt uhe are recflencil31e]
26 for administering the property tax system. [If a lseal
27 effieial reEIl:loto more than ORO espy, the esmptroller !flay Shar"8 a
82S11237 JJT-F 34
S . B. No. 1
aRa may iRolHae fer etHer ta][iRlij HDits] the total appraised
reassna131e fee 1;e sitost the eests af printin' aRE! aistri13l:ltifl' the
operatieno af the appraisal Elistrieto. The ropert shall insll:lae
fer Gash 3:fJpraisal Elictriet, Gash eGl:1Rty, aRe GaGR Gsheel Eliotriet
aioGretion chall aetermine the Rl:lffiGor af GSflios that a florosn FRay
roeoiv \Jitheut ehar'o.l
[+a+] The
The comptroller
report of
The eGmptreller at ito
BIENNIAL [MINUAL] REPORTS. (al
biennial []3Hl3lisH aR aRRHal]
Sec. 5.06. EXPLANATION OF TAXPAYER REMEDIES.
shall prepare a
SECTION 17.04. Section 5.09, Tax Code, is amended to read as
follows:
Sec. 5.09.
materials.] The comptroller shall make the materials available to
local governmental officials and members of the public but may
charge a reasonable fee to offset the costs of preparing, printing
L
and distr ibuting the mater ials.
SECTION 17.03. Section 5.06, Tax Code, is amended to read as
follows:
[(b) The eSFRptreller shall f'reviae 'iJiths1::lt ehar1Jo a
reasonaBle flUffiESt af eepies af the J?aFRJ.3hlet 1;e any flOrGGfl SR
request. The GOHl:ptroller may ehar'o a perseR laThe roql:lcsts FRultiple
espies af the paHl:phlet a reasenable fee be attest the sects af
comptroller shall prepare and electronically publish a pamphlet
explaining the remedies available to dissatisfied taxpayers and the
procedures to be followed in seeking remedial action. The
comptroller shall include in the pamphlet advice on preparing and
presenting a protest.
ana dictri13utin, these sepies;
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F
35
S.B. No.1
1 values[, assesses values,] and taxable values of taxable property
2 by category [slass sf prsperty, the assessmeRt ratis,] and the tax
3 rates of each county, municipality, and school district in effect
4 for the two years preceding the year in which the report is prepared
5 [ ra-t-e-] .
6 (b) Not later than December 31 of each even-numbered year,
7 the [!p.h.e.] comptroller shall2-
8 (1) electronically publish on the comptroller's
9 Internet website the [seliver a sspy sf eash aRRual] report
10 required by [pUBlishes uRser] Subsection (a); and
11 (2) notify [sf this sestisR ts] the governor, the
12 lieutenant governor, and each member of the legislature that the
13 report is available on the website.
14 SECTION 17.05. The following are repealed:
15 (1) Section 403.030 and Subsection (e), Section
16 552.143, Government Code; and
17 (2) Subchapter F, Chapter 379A, Local Government Code.
18 ARTICLE 18. SURPLUS LINES AND INDEPENDENTLY PROCURED INSURANCE
19 SECTION 18.01. Subsection (b), Section 101.053, Insurance
21 (b) Sections 101.051 and 101.052 do not apply to:
22 (1) the lawful transaction of surplus lines insurance
23 under Chapter 981;
24 (2) the lawful transaction of reinsurance by insurers;
25 (3) a tr ansact ion in this state that:
26 (A) involves a policy that:
27 (i) is lawfully solicited, written, and
82511237 JJT-F 36
S.B. No. 1
1 delivered outside this state; and
2 (ii) cover s, at the time the policy is
3 issued, only subjects of insurance that are not resident, located,
4 or expressly to be performed in this state; and
5 (B) takes place after the policy is issued;
6 (4) a transaction:
7 (A) that involves an insurance contract
8 independently procured by the insured from an insurance company not
9 authorized to do insurance business in this state through
10 negotiations occurring entirely outside this state;
11 (B) that is reported; and
12 (C) on which premium tax, if applicable, is paid
13 in accordance with Chapter 226;
14 (5) a tr ansact ion in this state that:
15 (A) involves group life, health, or accident
16 insur ance, other than cr edit insur ance, and group annuit ies in
17 which the master policy for the group was lawfully issued and
18 delivered in a state in which the insurer or person was authorized
19 to do insurance business; and
20 (B) is author ized by a statute of this state;
21 (6) an activity in this state by or on the sole behalf
22 of a nonadmitted captive insurance company that insures solely:
23 (A) directors' and officers' liability insurance
24 for the directors and officers of the company's parent and
25 affiliated companies;
26 (B) the risks of the company's parent and
27 affiliated companies; or
82S11237 JJT-F 37
S.B. No.1
(C) both the individuals and entities described
by Paragraphs (A) and (B);
(7) the issuance of a qualified charitable gift
annuity under Chapter 102; or
(8) a lawful transaction by a servicing company of the
Texas workers' compensation employers' rejected risk fund under
Section 4.08, Article 5.76-2, as that article existed before its
repeal.
SECTION 18.02. Section 225.001, Insurance Code, is amended
to read as follows:
Sec. 225.001. DEFINITIONS [DEFHII'nON]. In this chapter..:..
(1) "Affiliate" means, with respect to an insured, a
person or entity that controls, is controlled by, or is under common
control with the insured.
(2) "Affiliated group" means a group of entities whose
members are all affiliated.
(3) "Control" means, with respect to determining the
home state of an affiliated entity:
(A) to directly or indirectly, acting through one
or more persons, own, control, or hold the power to vote at least 25
percent of any class of voting security of the affiliated entity; or
(B) to control in any manner the election of the
maj or i ty of director s or trustees of the aff iliated ent i ty.
(4) "Home state" means:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
(A) for an insured that is not
group described by Paragraph (B):
(i) the state in which
an affiliated
the insured
82S11237 JJT-F 38

S.B. No.1
1 maintains the insured's principal residence, if the insured is an
2 individual;
3 (ii) the state in which an insured that is
4 not an individual maintains its principal place of business; or
5 (iii) if 100 percent of the insured risk is
6 located outside of the state in which the insured maintains the
7 insured's principal residence or maintains the insured's principal
8 place of business, as applicable, the state to which the largest
9 percentage of the insured's taxable premium for the insurance
10 contract that covers the risk is allocated; or
11 (B) for an affiliated group with respect to which
12 more than one member is a named insured on a single insurance
13 contract subject to this chapter, the home state of the member, as
14 determined under Paragraph (A), that has the largest percentage of
15 premium attributed to it under the insurance contract.
16 (5) "Premium" means any payment made in consideration
17 for insurance and[, "]?relRilllR"] includes:
18 (A) [..(-+] a premium;
19 (B) premium deposits;
20 ill [ ~ ] a membership fee;
21 (D) a registration fee;
22 ~ [ ~ ] an assessment;
23 iIl [{4+] dues; and
24 ill [+!>+] any other compensation given in
25 consideration for surplus lines insurance.
82S11237 JJT-F 39
S.B. No.1
1 Sec. 225.002. APPLICABILITY OF CHAPTER. This chapter
2 applies to a surplus lines agent who collects gross premiums for
3 surplus lines insurance for any risk in which this state is the home
4 state of the insured.
6 by adding Subsections (a-I) and (f) and amending Subsections (b),
7 (c), and (e) to read as follows:
8 (a-I) Consistent with 15 U.S.C. Section 8201 et seq., this
9 state may not impose a premium tax on nonadmitted insurance
10 premiums other than premiums paid for insurance in which this state
11 is the home state of the insured.
12 (b) Taxable gross premiums under this section are based on
13 gross premiums written or received for surplus lines insurance
14 placed through an eligible surplus lines insurer during a calendar
15 year. Notwithstanding the tax basis described by this subsection,
16 the comptroller by rule may establish an alternate basis for
17 taxation for multistate and single-state policies for the purpose
18 of achieving uniformity.
19 (c) If a surplus lines insurance policy covers risks or
20 exposures only partially located in this state, and this state has
21 not entered into a cooperative agreement, reciprocal agreement, or
22 compact with another state for the collection of surplus lines tax
23 as authorized by Chapter 229, the tax is computed on the entire
24 policy of the] premium for any policy in which this state
25 is the home state of the insured [that is allooates to a
26 rish: er cU:l?06ure lesateEl in tHis state] .
27 (e) Premiums [The folloTa'inEj" are not taJ[asle in
82S11237 JJT-F 40
S.B. No.1
this state,
[( 1) flrcmiuHlG :l?Isf3crly allssateEl t8 aRsther state that
are cf3ceifieally OJE0FR:Pt freHl taJEation in that state 1 ana
[(2) :@remiliHlS] on risks or exposures that are properly
allocated to federal or international waters or are under the
jurisdiction of a foreign government are not taxable in this state.
(f) If this state enters a cooperative agreement,
reciprocal agreement, or compact with another state for the
allocation of surplus lines tax as authorized by Chapter 229, taxes
due on multistate policies shall be allocated and reported in
accordance with the agreement or compact.
to read as follows:
Sec. 225.005. TAX EXCLUSIVE. The tax imposed by this
chapter is a transaction tax collected by the surplus lines agent of
record and is in lieu of any [ ~ ] other transaction [iH6liraHee]
taxes on these premiums.
by adding Subsection (dl to read as follows:
(dl Notwithstanding Subsections (al, (bl, and (cl, if this
state enters a cooperative agreement, reciprocal agreement, or
compact with another state for the allocation of surplus lines tax
as author ized by Chapter 229, the tax shall be allocated and
reported in accordance with the terms of the agreement or compact.
to read as follows:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27 Sec. 226.051. DEFINITIONS [DEFINITION] In this
82811237 JJT-F 41
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No. 1
subchapter:
(1) "Affiliate" means, with respect to an insured, a
person or entity that controls, is controlled by, or is under common
control with the insured.
(2) "Affiliated group" means a group of entities whose
members are all affiliated.
(3) "Control" means, with respect to determining the
home state of an affiliated entity:
(A) to directly or indirectly, acting through one
or more persons, own, control, or hold the power to vote at least 25
percent of any class of voting security of the affiliated entity; or
(B) to control in any manner the election of the
majority of directors or trustees of the affiliated entity.
(4) "Home state" means:
(A) for an insured that is not an affiliated
group described by Paragraph (B):
(i) the state in which the insur ed
maintains the insured's principal residence, if the insured is an
individual;
(ii) the state in which an insured that is
not an individual maintains its principal place of business; or
(iii) if 100 percent of the insured risk is
located outside of the state in which the insured maintains the
insured's principal residence or maintains the insured's principal
place of business, as applicable, the state to which the largest
percentage of the insured's taxable premium for the insurance
contract that covers the risk is allocated; or
82S11237 JJT-F 42
,
S.B. No.1
1 (B) for an affiliated group with respect to which
2 more than one member is a named insured on a single insurance
3 contract subject to this chapter, the home state of the member, as
4 determined under Paragraph (A), that has the largest percentage of
5 premium attributed to it under the insurance contract.
6 (5) "Independently procured insurance" means
7 insurance procured directly by an insured from a nonadmitted
8 insurer.
9 (6) "Premium" means any payment made in consideration
10 for insurance and[, "]3remiHm"] includes [aRj' sORsiEleratioR for
11 iRsHraRoe,
12 (A) [-4+] a premium;
13 (B) premium deposits;
14 ill [+rl+] a membership fee;
15 (D) a registration fee;
16 (E) an assessment;
17 1Il [+&+J dues; and
18 (G) any other compensation given in
19 consideration for insurance.
22 Sec. 226.052. APPLICABILITY OF SUBCHAPTER. This subchapter
23 applies to an insured who procures an independently procured
24 insurance contract for any risk in which this state is the home
25 state of the insured [iR aooorEiaRoe In'itfi eotioR 101. (13) (4)] .
27 by amending Subsections (a) and (b) and adding Subsection (d) to
82S11237 JJT-F 43
S.B. No.1
1 read as follows:
2 (a) A tax is imposed on each insured at the rate of 4.85
3 percent of the premium paid for the insurance contract procured in
4 accordance with Section 226.052 [101.013:3 (a) (4)].
5 (b) If an independently procured insurance policy
6 [ssfltraet] covers risks or exposures only partially located in this
7 state and this state has not joined a cooperative agreement,
8 reciprocal agreement, or compact with another state for the
9 allocation of nonadmitted insurance taxes as authorized by Chapter
10 229, the tax is computed on the entire policy [flsrtisfl sf tRe]
11 premium for any policy in which this state is the horne state of the
12 insured [tl:lat is prsperly allesatee1 to a rio]( sr 8][J.3061::1r8 leGatee in
13 tRis statel.
14 (d) If this state enters into a cooperative agreement,
15 reciprocal agreement, or compact with another state for the
16 allocation of nonadmitted insurance taxes as authorized by Chapter
17 229, the tax due on multistate policies shall be allocated and
18 reported in accordance with the agreement or compact.
21 Sec. 981.008. SURPLUS LINES INSURANCE PREMIUM TAX. The
22 premiums charged for surplus lines insurance are subject to the
23 premium tax, if applicable, imposed under Chapter 225.
24 SECTION 18.11. The following provisions are repealed:
25 (1) Subsections (d) and (d-1), Section 225.004,
26 Insurance Code; and
27 (2) Subsection (b-1), Section 226.053, Insurance
82811237 JJT-F 44
.. ,
S.B. No. 1
1 Code.
2 SECTION 18.12. The changes in law made by this article to
3 Chapters 225 and 226, Insurance Code, apply only to an insurance
4 policy that is delivered, issued for delivery, or renewed on or
5 after July 21, 2011. A policy that is delivered, issued for
6 delivery, or renewed before July 21, 2011, is governed by the law as
7 it existed immediately before the effective date of this article,
8 and that law is continued in effect for that purpose.
13 immediate effect, this article takes effect on the 91st day after
14 the last day of the legislative session.
15 ARTICLE 19. FISCAL MATTERS CONCERNING OIL AND GAS REGULATION
16 SECTION 19.01. Subsection (c), Section 81.0521, Natural
17 Resources Code, is amended to read as follows:
18 (c) Two-thirds of the proceeds from this fee, excluding
19 [iRShiEliREjJ any penalties collected in connection with the fee,
20 shall be deposited to the oil and gas regulation and [sil fielEl)
21 cleanup fund as provided by Section 81.067 [91.111).
22 SECTION 19.02. Subchapter C, Chapter 81, Natural Resources
23 Code, is amended by adding Sections 81. 067 through 81. 070 to read as
24 follows:
25 Sec. 81.067. OIL AND GAS REGULATION AND CLEANUP FUND.
26 (a) The oil and gas regulation and cleanup fund is created as an
27 account in the general revenue fund of the state treasury.
82S11237 JJT-F 45
1
S.B. No.1
(b) The commission shall certify to the comptroller the date
2 on which the balance in the fund equals or exceeds $20 million. The
3 oil-field cleanup regulatory fees on oil and gas shall not be
4 collected or required to be paid on or after the first day of the
5 second month following the certification, except that the
6 comptroller shall resume collecting the fees on receipt of a
7 commission certification that the fund has fallen below $10
8 million. The comptroller shall continue collecting the fees until
9 collections are again suspended in the manner provided by this
10 subsection.
11
12
(c) The fund consists of:
(1) proceeds from bonds and other financial security
13 required by this chapter and benefits under well-specific plugging
14 insurance policies described by Section 9l.l04(c) that are paid to
15 the state as contingent beneficiary of the policies, subject to the
16 refund provisions of Section 91.1091, if applicable;
17 (2) private contributions, including contributions
(7) interest earned on the funds deposited in the
19
20
21
22
23 91.115 ;
24
25 fund;
26 (8) oil and gas waste hauler permit application fees
27 collected under Section 29.015, Water Code;
18 made under Sect ion 89.084;
(3) expenses collected under Section 89.083;
(4) fees imposed under Section 85.2021;
(5) costs recovered under Section 91.457 or 91.459;
(6) proceeds collected under Sections 89.085 and
82S11237 JJT-F 46
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No.1
(9) costs recovered under Section 91.113 (f);
(10) hazardous oil and gas waste generation fees
collected under Section 91.605;
(11) oil-field cleanup regulatory fees on oil
(12) oil-field cleanup regulatory fees on gas
(13) fees for a reissued certificate collected under
Section 91. 707;
(14) fees collected under Section 91.1013;
(15) fees collected under Sect ion 89.088;
(18) costs recovered under Sections 91.656 and 91.657;
(19) two-thirds of the fees collected under Section
81.0521;
(20) fees collected under Sections 89.024 and 89.026;
(21) legislative appropriations; and
(22) any surcharges collected under Section 81.070.
Sec. 81.068. PURPOSE OF OIL AND GAS REGULATION AND CLEANUP
FUND. Money in the oil and gas regulation and cleanup fund may be
used by the commission or its employees or agents for any purpose
related to the regulation of oil and gas development r including oil
and gas monitoring and inspections, oil and gas remediation, oil
and gas well plugging, public information and services related to
those activities, and administrative costs and state benefits for
personnel involved in those activities.
82S11237 JJT-F 47
82811237 JJT-F 48
S.B. No.1
1 under Subsection (a), an explanation of the reason for the
2 variance; and
3 (2) any additional information or data requested in
4 writing by the Legislative Budget Board.
5 (c) The commission shall submit to the legislature and make
6 available to the public, annually, a report that reviews the extent
7 to which money provided under Section 81.067 has enabled the
8 commission to better protect the environment through oil-field
9 cleanup activities. The report must include:
10 (1) the performance goals established under
11 Subsection (a) for that state fiscal year, the commission's
12 progress in meeting those performance goals, and, if the number of
13 orphaned wells plugged with state-managed funds, abandoned sites
14 investigated, assessed, or cleaned up with state funds, or surface
15 locations remediated is at least five percent less than the number
16 projected in the applicable goal established under Subsection (a),
17 an explanat ion of the reason f or the var iance;
18 (2) the number of orphaned wells plugged with
19 state-managed funds, by region;
20 (3) the number of wells orphaned, by region;
21 (4) the number of inactive wells not currently in
22 compliance with commission rules, by region;
23 (5) the status of enforcement proceedings for all
24 wells in violation of commission rules and the period during which
25 the wells have been in violation, by region in which the wells are
26 located;
27 (6) the number of surface locations remediated, by
82511237 JJT-F 49
J
S.B. No.1
1 region;
2 (7) a detailed accounting of expenditures of money in
3 the fund for oil-field cleanup activities, including expenditures
4 for plugging of orphaned wells, investigation, assessment, and
5 cleaning up of abandoned sites, and remediation of surface
6 locations;
7 (8) the method by which the commission sets priorities
8 by which it determines the order in which orphaned wells are
9 plugged;
10 (9) a projection of the amount of money needed for the
11 next biennium for plugging orphaned wells, investigating,
12 assessing, and cleaning up abandoned sites, and remediating surface
13 locations; and
14 (10) the number of sites successfully remediated under
15 the voluntary cleanup program under Subchapter 0, Chapter 91, by
16 region.
17 Sec. 81.070. ESTABLISHMENT OF SURCHARGES ON FEES.
18 (a) Except as provided by Subsection (b), the commission by rule
19 shall provide for the imposition of reasonable surcharges as
20 necessary on fees imposed by the commission that are reguired to be
21 deposited to the credit of the oil and gas regulation and cleanup
22 fund as provided by Section 81.067 in amounts sufficient to enable
23 the commission to recover the costs of performing the functions
24 specified by Section 81.068 from those fees and surcharges.
25 (b) The commission may not impose a surcharge on an
26 oil-field cleanup regulatory fee on oil collected under Section
27 81.116 or an oil-field cleanup regulatory fee on gas collected
82811237 JJT-F 50
S.B. No.1
1 under Section 81.117.
2 (c) The commission by rule shall establish a methodology for
3 determining the amount of a surcharge that takes into account:
4 (1) the time required for regulatory work associated
5 with the activity in connection with which the surcharge is
6 imposed;
7 (2) the number of individuals or entities from which
8 the commission's costs may be recovered;
9 (3) the effect of the surcharge on operators of all
10 sizes, as measured by the number of oil or gas wells operated;
11 (4) the balance in the oil and gas regulation and
12 cleanup fund; and
13 (5) any other factors the commission determines to be
14 important to the fair and eguitable imposition of the surcharge.
15 (d) The commission shall collect a surcharge on a fee at the
16 time the fee is collected.
17 (e) A surcharge collected under this section shall be
18 deposited to the credit of the oil and gas regulation and cleanup
19 fund as provided by Section 81. 067.
20 (f) A surcharge collected under this section shall not
21 exceed an amount egual to 185 percent of the fee on which it is
22 imposed.
23 SECTION 19.03. Section 81.115, Natural Resources Code, is
25 Sec. 81.115. APPROPRIATIONS [PAYMEN,,S] TO COMMISSION FOR
26 OIL AND GAS REGULATION AND CLEANUP PURPOSES [>lIVISIGN]. Money
27 appropriated to the [oil aHa as aivisioH of tHO] commission under
82511237 JJT-F 51
S.B. No. 1
1 the General Appropriations Act for the purposes described by
2 Section 81.068 shall be paid from the oil and gas regulation and
3 cleanup fund or other fund indicated by the appropriation [GeReral
4 ReveRHe FHRd].
5 SECTION 19.04. Subsections (d) and (e), Section 81.116,
6 Natural Resources Code, are amended to read as follows:
7 (d) The comptroller shall suspend collection of the fee in
8 the manner provided by Section 81.067 [91.111]. The exemptions and
9 reductions set out in Sections 202.052,202.054,202.056, 202.057,
10 202.059, and 202.060, Tax Code, do not affect the fee imposed by
11 this section.
12 (e) Proceeds from the fee, excluding any
13 penalties collected in connection with the fee, shall be deposited
14 to the oil and gas regulation and [eil field] cleanup fund as
15 provided by Section 81.067 [91,111 ef this sede].
16 SECTION 19.05. Subsections (d) and (e), Section 81.117,
18 (d) The comptroller shall suspend collection of the fee in
19 the manner provided by Section 81.067 [91.111]. The exemptions and
20 reductions set out in Sections 201.053, 201.057, 201.058, and
21 202.060, Tax Code, do not affect the fee imposed by this sect ion.
22 (e) Proceeds from the fee, excluding any
23 penalties collected in connection with the fee, shall be deposited
24 to the oil and gas regulation and [ei1 field] cleanup fund as
25 provided by Section 81.067 [91,111 ef this sede].
26 SECTION 19.06. Subsect ion (d), Sect ion 85.2021, Natur al
,
82S11237 JJT-F 52
S.B. No.1
1 (d) All fees collected under this section shall be deposited
2 in the oil and gas regulation and [state eil fielElJ cleanup fund.
3 SECTION 19.07. Subsection (d), Section 89.024, Natural
5 (d) An operator who files an abeyance of plugging report
6 must pay an annual fee of $100 for each well covered by the report.
7 A fee collected under this section shall be deposited in the oil and
8 gas regulation and [eil fielElJ cleanup fund.
9 SECTION 19.08. Subsection (dl, Section 89.026, Natural
11 (d) An operator who files documentation described by
12 Subsection (a) must pay an annual fee of $50 for each well covered
13 by the documentation. A fee collected under this section shall be
14 deposited in the oil and gas regulation and [eil fielElJ cleanup
15 fund.
18 (d) On successful plugging of the well by the well plugger,
19 the surface estate owner may submit documentation to the commission
20 of the cost of the well-plugging operation. The commission shall
21 reimburse the surface estate owner from money in the oil and gas
22 regulation and [eil fielEll cleanup fund in an amount not to exceed
23 50 percent of the lesser of:
24 (1) the documented well-plugging costs; or
25 (2) the average cost incurred by the commission in the
26 preceding 24 months in plugging similar wells located in the same
27 general area.
82811237 JJT-F 53
S.B. No.1
1 SECTION 19.10. Subsection (j), Section 89.083, Natural
2 Resour ces Code, is amended to read as follows:
3 (j) Money collected in a suit under this section shall be
4 deposited in the oil and gas regulation and [state ail fielel
5 cleanup fund.
8 (d) The commission shall deposit money received from the
9 sale of well-site equipment or hydrocarbons under this section 0
10 the credit of the oil and gas regulation and [ail fielel cleanup
11 fund. The commission shall separately account for money and credit
12 received for each well.
13 SECTION 19.12. The heading to Section 89.086, Natural
15 Sec. 89.086. CLAIMS AGAINST OIL AND GAS REGULATION AND [ ~
16 OIL FIEL9] CLEANUP FUND.
17 SECTION 19.13. Subsections (a) and (h) through (k), Section
18 89.086, Natural Resources Code, are amended to read as follows:
19 (a) A person with a legal or equitable ownership or security
20 interest in well-site equipment or hydrocarbons disposed of under
21 Section 89.085 [af tRis seeel may make a claim against the oil and
22 gas regulation and [ail fielel cleanup fund unless an element of
23 the transaction giving rise to the interest occurs after the
24 commission forecloses its statutory lien under Section 89.083.
25 (h) The commission shall suspend an amount of money in the
26 oil and gas regulation and [ail fielel cleanup fund equal to the
27 amount of the claim until the claim is finally resolved. If the
82811237 JJT-F 54
. .\
S.B. No.1
1 provisions of Subsection (k) [ef tRis seetien] prevent suspension
2 of the full amount of the claim, the commission shall treat the
3 claim as two consecutively filed claims, one in the amount of funds
4 available for suspension and the other in the remaining amount of
5 the claim.
6 (i) A claim made by or on behalf of the operator or a
7 nonoperator of a well or a successor to the rights of the operator
8 or nonoperator is subject to a ratable deduction from the proceeds
9 or credit received for the well-site equipment to cover the costs
10 incurred by the commission in removing the equipment or
11 hydrocarbons from the well or in transporting, storing, or
12 disposing of the equipment or hydrocarbons. A claim made by a
13 person who is not an operator or nonoperator is subject to a ratable
14 deduction for the costs incurred by the commission in removing the
15 equipment from the well. If a claimant is a person who is
16 responsible under law or commission rules for plugging the well or
17 cleaning up pollution originating on the lease or if the claimant
18 owes a penalty assessed by the commission or a court for a violation
19 of a commission rule or order, the commission may recoup from or
20 offset against a valid claim an expense incurred by the oil and gas
21 regulation and [eil fielEl] cleanup fund that is not otherwise
22 reimbursed or any penalties owed. An amount recouped from,
23 deducted from, or offset against a claim under this subsection
24 shall be treated as an invalid portion of the claim and shall remain
25 suspended in the oil and gas regulation and [eil fielEl] cleanup
26 fund in the manner provided by Subsection (j) [ef tRis seetien] .
27 (j) If the commission finds that a claim is valid in whole or
82S11237 JJT-F 55
I
S.B. No.1
1 in part, the commission shall pay the valid portion of the claim
2 from the suspended amount in the oil and gas regulation and
3 [eil fiela] cleanup fund not later than the 30th day after the date
4 of the commission's decision. If the commission finds that a claim
5 is invalid in whole or in part, the commission shall continue to
6 suspend in the oil and gas regulation and [eil fiela] cleanup fund
7 an amount equal to the invalid portion of the claim until the period
8 during which the commission's decision may be appealed has expired
9 or, if appealed, dur ing the per iod the case is under judicial
10 review. If on appeal the district court finds the claim valid in
11 whole or in part, the commission shall pay the valid portion of the
12 claim from the suspended amount in the oil and gas regulation and
13 [eil fielal cleanup fund not later than 30 days after the date the
14 court's judgment becomes unappealable. On the date the
15 commission's decision is not subject to judicial review, the
16 commission shall release from the suspended amount in the oil and
17 gas regulation and [eil fiela] cleanup fund the amount of the claim
18 held to be invalid.
19 (k) If the aggregate of claims paid and money suspended that
20 relates to well-site equipment or hydrocarbons from a particular
21 well equals the total of the actual proceeds and credit realized
22 from the disposition of that equipment or those hydrocarbons, the
23 oil and gas regulation and [eil fiela] cleanup fund is not liable
24 for any subsequently filed claims that relate to the same equipment
25 or hydrocarbons unless and until the commission releases from the
26 suspended amount money der ived from the disposition of that
27 equipment or those hydrocarbons. If the commission releases money,
82511237 JJT-F 56
> .\
S.B. No.1
1 then the commission shall suspend money in the amount of
2 subsequently filed claims in the order of filing.
3 SECTION 19.14. Subsection (b), Section 89.121, Natural
4 Resour ces Code, is amended to read as follows:
5 (b) civil penalties collected for violations of this
6 chapter or of rules relating to plugging that are adopted under this
7 code shall be deposited in the general revenue [state Gil fiela
8 eleanupJ fund.
9 SECTION 19.15. Subsect ion (c), Section 91. 1013, Natur al
11 (c) Fees collected under this section shall be deposited in
12 the oil and gas regulation and [state Gil fiela] cleanup fund.
13 SECTION 19.16. Section 91.108, Natural Resources Code, is
15 Sec. 91.108. DEPOSIT AND USE OF FUNDS. Subject to the
16 refund provisions of Section 91.1091, if applicable, proceeds from
17 bonds and other financial security required pursuant to this
18 chapter and benefits under well-specific plugging insurance
19 policies described by Section 9l.l04(c) that are paid to the state
20 as contingent beneficiary of the policies shall be deposited in the
21 oil and gas regulation and [Gil fiela] cleanup fund and,
22 notwithstanding Sections 81.068 [ 9 1 . 1 1 ~ ] and 91.113, may be used
23 only for actual well plugging and surface remediation.
24 SECTION 19.17. Subsection (a), Section 91.109, Natural
26 (a) A person applying for or acting under a commission
27 permit to store, handle, treat, reclaim, or dispose of oil and gas
82S11237 JJT-F 57
,
S.B. No.1
1 waste may be required by the commission to maintain a performance
2 bond or other form of financial secur i ty conditioned that the
3 permittee will operate and close the storage, handling, treatment,
4 reclamation, or disposal site in accordance with state law,
5 commission rules, and the permit to operate the site. However, this
6 section does not author ize the commission to require a bond or other
7 form of financial security for saltwater disposal pits, emergency
8 saltwater storage pits (including blow-down pits), collecting
9 pits, or skimming pits provided that such pits are used in
10 conjunction with the operation of an individual oil or gas lease.
11 Subject to the refund provisions of Section 91.1091 [ef tHis seae],
12 proceeds from any bond or other form of financial security required
13 by this section shall be placed in the oil and gas regulation and
14 [eil fielEl] cleanup fund. Each bond or other form of financial
15 secur ity shall be renewed and continued in effect until the
16 conditions have been met or release is authorized by the
17 commission.
18 SECTION 19.18. Subsections (a) and (f), Section 91.113,
20 (a) If oil and gas wastes or other substances or materials
21 regulated by the commission under Section 91.101 are causing or are
22 likely to cause the pollution of surface or subsurface water, the
23 commission, through its employees or agents, may use money in the
24 oil and gas regulation and [eil fielEl] cleanup fund to conduct a
25 site investigation or environmental assessment or control or clean
26 up the oil and gas wastes or other substances or mater ials if:
27 (1) the responsible person has failed or refused to
82811237 JJT-F 58

S.B. No. 1
1 control or clean up the oil and gas wastes or other substances or
2 materials after notice and opportunity for hearing;
3 (2) the responsible person is unknown, cannot be
4 found, or has no assets with which to control or clean up the oil and
5 gas wastes or other substances or materials; or
6 (3 l the oil and gas wastes or other substances or
7 materials are causing the pollution of surface or subsurface water.
8 (f l If the commission conducts a site investigation or
9 environmental assessment or controls or cleans up oil and gas
10 wastes or other substances or materials under this section, the
11 commission may recover all costs incurred by the commission from
12 any person who was required by law, rules adopted by the commission,
13 or a valid order of the commission to control or clean up the oil and
14 gas wastes or other substances or materials. The commission by
15 order may require the person to reimburse the commission for those
16 costs or may request the attorney general to file suit against the
17 person to recover those costs. At the request of the commission,
18 the attorney general may file suit to enforce an order issued by the
19 commission under this subsection. A suit under this subsection may
20 be filed in any court of competent jurisdiction in Travis County.
21 Costs recovered under this subsection shall be deposited to the oil
22 and gas regulation and [oil fielElJ cleanup fund.
23 SECTION 19.19. Subsection (cl, Section 91.264, Natural
25 (c) A penalty collected under this section shall be
26 deposited to the credit of the general revenue [oil fie lEi e l e a R H ~ J
27 fund [aeeoHRt].
82S11237 JJT-F 59
,
S.B. No.1
1 SECTION 19.20. Subsection (b), Section 91.457, Natural
3 (b) If a person ordered to close a saltwater disposal pit
4 under Subsection (a) [af tHis seetiafl] fails or refuses to close the
5 pit in compliance with the commission's order and rules, the
6 commission may close the pit using money from the oil and gas
7 regulation and [ail fie lEi] cleanup fund and may direct the attorney
8 general to file suits in any courts of competent jurisdiction in
9 Travis County to recover applicable penalties and the costs
10 incurred by the commission in closing the saltwater disposal pit.
11 SECTION 19.21. Subsection (c), Section 91.459, Natural
13 (c) Any [peflalties ar] costs recovered by the attorney
14 general under this subchapter shall be deposited in the oil and gas
15 regulation and [ail fie lEi] cleanup fund.
16 SECTION 19.22. Subsection (el, Section 91.605, Natural
18 (e) The fees collected under this section shall be deposited
19 in the oil and gas regulation and [ail fie lEi] cleanup fund.
20 SECTION 19.23. Subsection (e), Section 91.654, Natural
22 (e) Fees collected under this section shall be deposited to
23 the credit of the oil and gas regulation and [ail fielElJ cleanup
24 fund under Section 81.067 [91.1111.
25 SECTION 19.24. Subsection (bl, Section 91.707, Natural
27 (b) Fees collected under this section shall be deposited to
82S11237 JJT-F 60
I
S.B. No. 1
1 the oil and gas regulation and [sil fieliiJ cleanup fund.
2 SECTION 19.25. The heading to Section 121.211, Utilities
4 Sec. 121. 211. PIPELINE SAFETY AND REGULATORY FEES.
5 SECTION 19.26. Subsections (a) through (e) and (h), Section
6 121.211, Utilities Code, are amended to read as follows:
7 (a) The railroad commission by rule may adopt a [aH
8 iFlG:@estisFlJ fee to be assessed annually against operators of
9 natural gas distribution pipelines and their pipeline facilities
10 and natural gas master metered pipelines and their pipeline
11 facilities subject to this title [sHa:@terJ.
12 (b) The railroad commission by rule shall establish the
13 method by which the fee will be calculated and assessed. In
14 adopting a fee structure, the railroad commission may consider any
15 factors necessary to provide for the equitable allocation among
16 operators of the costs of administering the railroad commission's
17 pipeline safety and regulatory program under this title [sHa:@terJ.
18 (c) The total amount of fees estimated to be collected under
19 rules adopted by the railroad commission under this section may not
20 exceed the amount estimated by the railroad commission to be
21 necessary to recover the costs of administering the railroad
22 commission's pipeline safety and regulatory program under this
23 title [sHapterJ, excluding costs that are fully funded by federal
24 sources.
25 (d) The commission may assess each operator of a natural gas
26 distribution system subject to this title [sHapterJ an annual
27 [iFlG:@estisFlJ fee not to exceed one dollar for each service line
82511237 JJT-F 61
S.B. No. 1
1 reported by the system on the Distr ibution Annual Report, Form RSPA
2 F7l00.l-l, due on March 15 of each year. The fee is due March 15 of
3 each year.
4 (e) The railroad commission may assess each operator of a
5 natural gas master metered system subject to this title
6 an annual fee not to exceed $100 for each master
7 metered system. The fee is due June 30 of each year.
8 (h) A fee collected under this section shall be deposited to
9 the credit of the general revenue fund to be used for the pipeline
10. safety and regulatory program.
11 SECTION 19.27. Section 29.015, Water Code, is amended to
12 read as follows:
13 Sec. 29.015. APPLICATION FEE. With each application for
14 issuance, renewal, or material amendment of a permit, the applicant
15 shall submit to the railroad commission a nonrefundable fee of
16 $100. Fees collected under this section shall be deposited in the
17 oil and gas regulation and [sil fiels.l cleanup fund.
18 SECTION 19.28. The following provisions of the Natural
19 Resources Code are repealed:
20 (1) Section 91. 111; and
21 (2) Section 91.112.
22 SECTION 19.29. On the effective date of this article:
23 (1) the oil-field cleanup fund is abolished;
24 (2) any money remaining in the oil-field cleanup fund
25 is transferred to the oil and gas regulation and cleanup fund;
26 (3) any claim against the oil-field cleanup fund is
27 transferred to the oil and gas regulation and cleanup fund; and
82811237 JJT-F 62
S.B. No. 1
1 (4) any amount required to be deposited to the credit
2 of the oil-field cleanup fund shall be deposited to the credit of
3 the oil and gas regulation and cleanup fund.
4 ARTICLE 20. FISCAL MATTERS RELATING TO SECRETARY OF STATE
7 Sec. 405.014. ACTS OF THE LEGISLATURE. ~ At each
8 session of the legislature the secretary of state shall obtain the
9 bills that have become law. Immediately after the closing of each
10 session of the legislature, the secretary of state shall bind all
11 enrolled bills and resolutions in volumes on which the date of the
12 session is placed.
13 (b) As soon as practicable after the closing of each session
14 of the legislature, the secretary of state shall publish and
15 maintain electronically the bills enacted at that session. The
16 electronic publication must be:
17 (1) indexed by bill number and assigned chapter number
18 for each bill; and
19 (2) made available by an electronic link on the
20 secretary of state's generally accessible Internet website.
21 SECTION 20.02. Subchapter B, Chapter 2158, Government Code,
22 is repealed.
23 SECTION 20.03. The change in law made by this article does
24 not apply to a contract for the publication of the laws of this
25 state entered into before the effective date of this article.
82511237 JJT-F 63
,
S.B. No.1
5 ARTICLE 21. FISCAL MATTERS REGARDING ATTORNEY GENERAL
7 by adding Subsection (e) to read as follows:
8 (e) The attorney general may charge a reasonable fee for the
9 electronic filing of a document.
10 SECTION 21.02. The fee prescribed by Section 402.006,
11 Government Code, as amended by this article, applies only to a
12 document electronically submitted to the office of the attorney
13 general on or after the effective date of this article.
20 ARTICLE 22. TEXAS PRESERVATION TRUST FUND ACCOUNT
21 SECTION 22.01. Subsect ions (a) , (b), and (f) , Sect ion
22 442.015, Government Code, are amended to read as follows:
23 (a) Notwithstanding Section [SeetieHS 40d.094 aHa] 403.095,
24 the Texas preservation trust fund account is a separate account in
25 the general revenue fund. The account consists of transfers made to
26 the account, loan repayments, grants and donations made for the
27 purposes of this program, proceeds of sales, income earned
82511237 JJT-F 64
S . B. No. 1
1 on money in the account, and any other money received
2 under this section. Money in frsm] the account may
3 be used only for the purposes of this section and [may Hst Be
4 to pay operating expenses of the commission. Money allocated to the
5 commission's histor ic preservat ion gr ant progr am shall be
6 deposited to the credit of the account. Income earned on
7 money in the account shall be deposited to the credit of the
8 account.
9 (b) The commission may use money in frsm] the
10 Texas preservation trust fund account to provide financial
11 assistance to public or private entities for the acquisition,
12 survey, restoration, or preservation, or for planning and
13 educational activities leading to the preservation, of historic
14 property in the state that is listed in the National Register of
15 Historic Places or designated as a State Archeological Landmark or
16 Recorded Texas Historic Landmark, or that the commission determines
17 is eligible for such listing or designation. The financial
18 assistance may be in the amount and form and according to the terms
19 that the commission by rule determines. The commission shall give
20 priority to property the commission determines to be endangered by
21 demolition, neglect, underuse, looting, vandalism, or other threat
22 to the property. Gifts and grants deposited to the credit of the
23 account specifically for any eligible projects may be used only for
24 the type of projects specified. If such a specification is not
25 made, the gift or grant shall be unencumbered and accrue to the
26 benefit of the Texas preservation trust fund account. If such a
27 specification is made, the entire amount of the gift or grant may be
82S11237 JJT-F 65
1
S.B. No.1
1 used during any period for the project or type of project specified.
2 (f) The advisory board shall recommend to the commission
3 rules for administering this section [lissestisFls (al (el].
4 SECTION 22.02. Subsections (h), (i), (j), (k), and (1),
5 Section 442.015, Government Code, are repealed.
6 SECTION 22.03. The comptroller of public accounts and the
7 Texas Historical Commission shall enter into a memorandum of
8 understanding to facilitate the conversion of assets of the Texas
9 preservation trust fund account into cash for deposit into the
10 state treasury using a method that provides for the lowest amount of
11 revenue loss to the state.
12 SECTION 22.04. This article takes effect November 1, 2011.
13 ARTICLE 23. FISCAL MATTERS CONCERNING INFORMATION TECHNOLOGY
14 SECTION 23.01. Sect ion 572.054, Government Code, is amended
15 by adding Subsection (g-l) to read as follows:
16 (g-l) For purposes of this section, the Department of
17 Information Resources is a regulatory agency.
18 SECTION 23.02. Section 2054.005, Government Code, is
20 Sec. 2054.005. SUNSET PROVISION. ~ The Department of
21 Information Resources is subject to Chapter 325 (Texas Sunset
22 Act). Unless continued in existence as provided by that chapter,
23 the department is abolished and this chapter expires September 1,
24 2013 [ ~ ] .
25 (b) The review of the Department of Information Resources by
26 the Sunset Advisory Commission in preparation for the work of the
27 83rd Legislature, Regular Session, is not limited to the
82811237 JJT-F 66
,
S.B. No.1
1 appropriateness of recommendations made by the commission to the
2 82nd Legislature. In the commission's report to the 83rd
3 Legislature, the commission may include any recommendations it
4 considers appropriate.
5 SECTION 23.03. Subchapter C, Chapter 2054, Government Code,
6 is amended by adding Section 2054.064 to read as follows:
7 Sec. 2054.064. BOARD APPROVAL OF CONTRACTS. The board by
8 rule shall establish approval requirements for all contracts,
9 including a monetary threshold above which board approval is
10 required before the contract may be executed.
11 SECTION 23.04. Subsection (b), Section 2054.376,
13 (b) This subchapter does not apply to:
14 (1) the Department of Public Safety's use for cr iminal
15 justice or homeland security purposes of a federal database or
16 network;
17 (2) a Texas equivalent of a database or network
18 described by Subdivision (1) that is managed by the Department of
19 Public Safety;
20 (3) the uniform statewide accounting system, as that
21 term is used in Subchapter C, Chapter 2101;
22 (4) the state treasury cash and treasury management
23 system; [-&r-]
24 (5) a database or network managed by the comptroller
25 to:
26 (A) collect and process multiple types of taxes
27 imposed by the state; or
82S11237 JJT-F 67
I ,
value on [a favoraele prise for all of state 8verRfficnt on liGensce
commodity items[, Bases OR the volume of
to Be mase By the state]. The terms and conditions of a
is Code, Government
Sec. 2054.380. FEES. The department shall set and
charge a fee to each state agency that receives a service from a
statewide technology center in an amount sufficient to cover the
direct and indirect cost of providing the service.
(b) Revenue derived from the collection of fees imposed
under Subsection (a) may be appropriated to the department for:
(1) developing statewide information resources
technology policies and planning under this chapter and Chapter
2059; and
S.B. No.1
(B) manage or administer fiscal, financial,
revenue, and expenditure activities of the state under Chapter 403
and Chapter 404; or
(6) a database or network managed by the Department of
Agriculture.
SECTION 23.05. Section 2054.380,
(2) providing shared information resources technology
services under this chapter.
SECTION 23.06. Subsections (b) and (d), Section 2157.068,
Government Code, are amended to read as follows:
(b) The department shall negotiate with vendors
to obtain the best value for the state in the purchase of
commodity items. The department may consider strategic sourcing
and other methodologies to select the vendor offering the best
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 68

S . B. No. 1
1 license agreement between a vendor and the department under this
2 section may not be less favorable to the state than the terms of
3 similar license agreements between the vendor and retail
4 distributors.
5 (d) The department may charge a reasonable administrative
6 fee to a state agency, political subdivision of this state, or
7 governmental entity of another state that purchases commodity items
8 through the department in an amount that is sufficient to recover
9 costs associated with the administration of this section. Revenue
10 derived from the collection of fees imposed under this subsection
11 may be appropr iated to the department for:
12 (1) developing statewide information resources
13 technology policies and planning under Chapters 2054 and 2059; and
14 (2) providing shared information resources technology
15 services under Chapter 2054.
16 SECTION 23.07. Subsections (a) and (d), Section 2170.057,
17 Government Code, are amended to read as follows:
18 (a) The department shall develop a system of billings and
19 charges for services provided in operating and administering the
20 consolidated telecommunications system that allocates the total
21 state cost to each entity served by the system based on
22 proportionate usage. The department shall set and charge a fee to
23 each entity that receives services provided under this chapter in
24 an amount sufficient to cover the direct and indirect costs of
25 providing the service. Revenue der ived from the collection of fees
26 imposed under this subsection may be appropr iated to the department
27 for:
82511237 JJT-F 69
82811237 JJT-F 70
,
,
S.B. No. 1
1 SECTION 24.02. Subchapter A, Chapter 402, Government Code,
3 Sec. 402.011. CONTINUING LEGAL EDUCATION PROGRAMS. The
4 office of the attorney general shall recognize, prepare, or
5 administer continuing legal education programs that meet
6 continuing legal education requirements imposed under Section
7 81.113(c) for the attorneys employed by the office. This section
8 expires January 1, 2014.
9 SECTION 24.03. Section 81.113, Government Code, as amended
10 by this article, applies only to the requirements for a continuing
11 legal education compliance year that ends on or after October 1,
12 2011. The requirements for continuing legal education for a
13 compliance year that ends before October 1, 2011, are covered by the
14 law and rules in effect when the compliance year ended, and that law
15 and those rules are continued in effect for that purpose.
16 ARTICLE 25. REGISTRATION FEE AND REGISTRATION RENEWAL FEE FOR
17 LOBBYISTS
18 SECTION 25.01. Subsection (c), Section 305.005, Government
20 (c) The registration fee and registration renewal fee are:
21 (1) $150 [-$-OO] for a registrant employed by an
22 organization exempt from federal income tax under Section
23 501(c) (3)..1.. [ ~ ] 501(c) (4), or 501(c) (6) , Internal Revenue Code of
24 1986;
25 (2) $75 [ ~ ] for any person required to register
26 solely because the person is required to register under Section
27 305.0041 ref tRis GRapter]; or
82S11237 JJT-F 71
,
S.B. No.1
(d) If the Commission on State Emergency Communications
a.sventh rcional or satellite poison GontIel oonter in
pI avis iOHC of this eh3f)t e r aRE! other 13\,1 r e lat in'9' t Q r EJienal
POiSOFl GOfltrel sORters].
(3) $750 [-$-3-00] for any other registrant.
ARTICLE 26. PUBLIC ASSISTANCE REPORTING INFORMATION SYSTEM
SECTION 26.01. Subsection (c), Section 434.017, Government
(c) Money in the fund may only be appropriated to the Texas
veterans Commission. Money appropr iated under this subsection
shall be used to:
(1) make grants to address veterans' needs;
(2) administer the fund; and
(3) analyze and investigate data received from the
f eder al Public Assistance Reporting Informat ion System (PARIS)
that is administered by the Administration for Children and
Families of the United States Department of Health and Human
Services.
ARTICLE 27. REGIONAL POISON CONTROL CENTER MANAGEMENT CONTROLS
AND EFFICIENCY
SECTION 27.01. Section 777.001, Health and Safety Code, is
amended by amending Subsection (c) and adding Subsection (d) to
read as follows:
(c) The Commission on State Emergency Communications may
standardize the operations of and implement management controls to
improve the efficiency of regional poison control centers [vete te
That POiSOFl Gontlel sonter is Gubjcet to all Marris County.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82811237 JJT-F 72
S.B. No.1
1 implements management controls under Subsection (c) , the
2 commission shall submit to the governor and the Legislative Budget
3 Board a plan for implementing the controls not later than October
4 31, 2011. This subsection expires January 1, 2013.
5 ARTICLE 28. AUTHORIZED USES FOR CERTAIN DEDICATED PERMANENT FUNDS
7 by amending Subsection (b) and adding Subsection (b-1) to read as
8 follows:
9 (b) Except as provided by Subsections (b-l), (c), (e), (f),
10 and (h), money in the fund may not be appropriated for any purpose.
11 (b-1) Notwithstanding the limitations and requirements of
12 Section 403.1068, the legislature may appropriate money in the
13 fund, including the corpus and available earnings of the fund
14 determined under Section 403.1068, to pay the pr incipal of or
15 interest on a bond issued for the purposes of Section 67, Article
16 III, Texas Constitution. This subsection does not authorize the
17 appropriation under this subsection of money subject to a
18 limitation or requirement as described by Subsection (e) that is
19 not consistent with the use of the money in accordance with this
20 subsection.
22 amended by amending Subsection (b) and adding Subsection (b-1) to
23 read as follows:
24 (b) Except as provided by Subsections (b-1), (c), (e), (f),
25 and (h), money in the fund may not be appropriated for any purpose.
26 (b-l) Notwithstanding the limitations and requirements of
27 Section 403.1068, the legislature may appropr iate money in the
82S11237 JJT-F 73
S.B. No. 1
2 determined under Section 403.1068, to pay the principal of or
6 limitation or requirement as described by Subsection (el that is
8 subsection.
10 by amending Subsection (bl and adding Subsection (b-l) to read as
11 follows:
12 (bl Except as provided by Subsections (b-ll, (cl, (el, (fl,
13 and (hl, money in the fund may not be appropr iated for any purpose.
14 (b-ll Notwithstanding the limitations and reguirements of
15 Section 403.1068, the legislature may appropriate money in the
17 determined under Section 403.1068, to pay the principal of or
21 limitation or reguirement as described by Subsection (el that is
23 subsection.
,
82S11237 JJT-F 74
is Government Code, SECTION 29.03. Section 2175.002,

Sec. 2175.002. ADMINISTRATION OF CHAPTER. The commission
is responsible for the disposal of surplus and salvage property of
the state. The commission's surplus and salvage property division
shall administer this chapter.
SECTION 29.04. Sect ion 2175.065, Government Code, is
S.B. No.1
immediate effect, this article takes effect on the 91st day after
the last day of the legislative session.
ARTICLE 29. FISCAL MATTERS CONCERNING SURPLUS AND SALVAGE
PROPERTY
SECTION 29.01. Subchapter C, Chapter 2175, Government Code,
is repealed.
SECTION 29.02. Subsection (a), Section 32.102, Education
(a) As provided by this subchapter, a school district or
open-enrollment charter school may transfer to a student enrolled
in the district or school:
(1) any data processing equipment donated to the
district or school, including equipment donated by:
(A) a private donor; or
(B) a state eleemosynary institution or a state
agency under Sect ion 2175.905 [2179.128], Government Code;
(2) any equipment purchased by the distr ict or school,
to the extent consistent with Section 32.105; and
(3) any surplus or salvage equipment owned by the
district or school.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 75
applies sRly 1::8 6urf31ld:6 aFle oalva9c }?rsperty lSGates iFlI
(d) If the commission determines that a violation of a state
law or rule has occurred based on the report under Subsection (c),
the commission shall report the violation to the Legislative Budget
Board.
SECTION 29.05. The heading to Subchapter D, Chapter 2175,
Government Code, is amended to read as follows:
SUBCHAPTER D. DISPOSITION OF SURPLUS OR SALVAGE PROPERTY [B-l?
G0!4!41 1ml]
SECTION 29.06. Section 2175.181, Government Code, is
S.B. No.1
amended by amending Subsection (a) and adding Subsections (c) and
(d) to read as follows:
(a) The commission may authorize a state agency to dispose
of surplus or salvage property if the agency demonstrates to the
commission its ability to dispose of the property under this
chapter G aHa E] in a manner that results in cost
savings to the state, under commission rules adopted under this
chapter.
(c) If property is disposed of under this section, the
disposing state agency shall report the transaction to the
commission. The report must include a description of the property
disposed of, the reasons for disposal, the price paid for the
property disposed of, and the recipient of the property disposed
of.
';phis stlsehapter [ (a)
[(1) Travis GSHHty,
Sec. 2175.181. APPLICABILITY.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82811237 JJT-F 76
S.B. No.1
1 [(2) a G8uFlty in {dhieR feEleral ctlrj?1l:16 I3rSflerty is
2 \.'arehel:lsea By the eSFRfRissisFl under SusGaa]?ter C, sr
3 [ (3) a eQunty fer !dhieh the S8HlffiisoieR EletermiRS that
4 it is eest effective 1::8 fellsJ,.t the I3rseeal:1reo ereateEl HRser this
5 GUEGhaflter and inferms affeetee state af tHat
6 determinatien.
7 [+a+] This subchapter applies [aees Ret to a state
8 agency delegated the authority to dispose of surplus or salvage
9 property under Section 2175.065.
12 Sec. 2175.182. STATE AGENCY TRANSFER OF PROPERTY
13 COMMISSION]. (a) A state agency that determines it has surplus or
14 salvage property shall inform the commission of that fact for the
15 purpose of determining the method of disposal of the property
16 e8mmissien is responsiBle fer the dicpssal af Gurflluc sr
17 this The commission may take physical
18 possession of the property.
19 (b) Based on the condition of the property, the commission.L
20 in conjunction with the state agency, shall determine whether the
21 property is:
22 (1) surplus property that should be offered for
23 transfer under Section 2175.184 or sold to the public; or
24 (2) salvage property.
25 (c) Following the determination in Subsection (b), the
26 commission shall direct the state agency to inform the
27 comptroller's office of the property's kind, number, location,
82S11237 JJT-F 77
1
[OR t:al1:iR rC0:f30Flci13ility fer GHIl?lHG prsfJerty \:lReer this
S"l13sRapte i tRe] commission shall inform other state agencies,
political subdivisions, and assistance organizations of the
comptroller's website that lists surplus property that is available
for sale.
is Code, Government
S.B. No.1
condit ion, or igina1 cost or value, and date of acquisition.
Sec. 2175.1825. ADVERTISING ON COMPTROLLER WEBSITE.
~ Not later than the second day after the date the comptroller
receives notice from a state agency [tRe sSffiffiissisR] under Section
2175.182(c), the comptroller shall advertise the property's kind,
number, locat ion, and condit ion on the comptroller's website.
(b) The comptroller shall provide the commission access to
all records in the state property accounting system related to
surplus and salvage property.
Sec. 2175.183. COMMISSION NOTICE TO OTHER ENTITIES. The
SECTION 29.10. Section 2175.184,
Sec. 2175.184. DIRECT TRANSFER. Our ing the 10 business
days after the date the property is posted on the comptroller's
website, a state agency, political subdivision, or assistance
organization shall [llla'f] coordinate with the commission for a
transfer of the property at a price established by the commission
fiR ess13cratien Tdith the trancferriR aeneyl. A transfer to a
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 78
S.B. No. 1
1 state agency has priority over any other transfer during this
2 period.
3 SECTION 29.11. Subsection (a), Section 2175.186,
5 (a) If a disposition of a state agency's surplus property is
6 not made under Section 2175.184, the commission shall sell the
7 property by competitive bid, auction, or direct sale to the public,
8 including a sale using an Internet auction site. The commission may
9 contract with a private vendor to assist with the sale of the
10 property.
13 Sec. 2175.189. ADVERTISEMENT OF SALE. If the value of an
14 item or a lot of property to be sold is estimated to be more than
15 $25,000 [$,GGGJ, the commission shall advertise the sale at least
16 once in at least one newspaper of general circulation in the
17 vicinity in which the property is located.
20 (a) Proceeds from the sale of surplus or salvage property,
21 less the cost of advert ising the sale, the cost of selling the
22 surplus or salvage property, including the cost of auctioneer
23 services or assistance from a private vendor, and the amount of the
24 fee collected under Section 2175.188, shall be deposited to the
25 credit of the general revenue fund of the state treasury.
82511237 JJT-F 79
S.B. No. 1
1 Sec. 2175.302. EXCEPTION FOR ELEEMOSYNARY INSTITUTIONS.
2 Except as provided by Section 2l75.905(b) [2173,12B(13)), this
3 chapter does not apply to the disposition of surplus or salvage
4 property by a state eleemosynary institution.
6 amended by amending Subsections (a) and (c) and adding Subsection
7 (d) to read as follows:
8 (a) The commission shall establish a program for the sale of
9 gambling equipment received from a municipality, from a
10 commissioners court under Section 263.l52(a) (5), Local Government
11 Code, or from a state agency under this chapter.
12 (c) Proceeds from the sale of gambling equipment from a
13 municipality or commissioners court, less the costs of the sale,
14 including costs of advertising, storage, shipping, and auctioneer
15 or broker services, and the amount of the fee collected under
16 Section 2175.188 [217,Bll, shall be divided according to an
17 agreement between the commission and the municipality or
18 commissioners court that provided the equipment for sale. The
19 agreement must provide that:
20 (1) not less than 50 percent of the net proceeds be
21 remitted to the commissioners court; and
22 (2) the remainder of the net proceeds retained by the
23 commission be deposited to the credit of the general revenue fund.
24 (d) Proceeds from the sale of gambling equipment from a
25 state agency, less the costs of the sale, including costs of
26 advertising, storage, shipping, and auctioneer or broker services,
27 and the amount of the fee collected under Section 2175.188, shall be
82511237 JJT-F 80
S.B. No.1
1 deposited to the credit of the general revenue fund of the state
2 treasury.
3 SECTION 29.16. Subchapter Z, Chapter 2175, Government Code,
4 is amended by adding Sections 2175.905 and 2175.906 to read as
5 follows:
6 Sec. 2175.905. DISPOSITION OF DATA PROCESSING EQUIPMENT.
7 (a) If a disposition of a state agency's surplus or salvage data
8 processing equipment is not made under Section 2175.184, the state
9 agency shall tr ansf er the equipment to:
10 (1) a school district or open-enrollment charter
11 school in this state under Subchapter C, Chapter 32, Education
12 Code;
13 (2) an assistance organization specified by the school
14 distr ict; or
15 (3) the Texas Department of Cr iminal Just ice.
16 (b) If a disposition of the surplus or salvage data
17 processing equipment of a state eleemosynary institution or an
18 institution or agency of higher education is not made under other
19 law, the institution or agency shall transfer the equipment to:
20 (1) a school district or open-enrollment charter
21 school in this state under Subchapter C, Chapter 32, Education
22 Code;
23 (2) an assistance organization specified by the school
24 district; or
25 (3) the Texas Department of Cr iminal Justice.
26 (c) The state eleemosynary institution or institution or
27 agency of higher education or other state agency may not collect a
82811237 JJT-F 81
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No.1
fee or other reimbursement from the district, the school, the
assistance organization, or the Texas Department of Criminal
Justice for the surplus or salvage data processing eguipment
transferred under this section.
Sec. 2175.906. ABOLISHED AGENCIES. On abolition of a state
agency, in accordance with Chapter 325, the commission shall take
custody of all of the agency's property or other assets as surplus
property unless other law or the legislature designates another
appropriate governmental entity to take custody of the property or
assets.
ARTICLE 30. SALES AND USE TAX COLLECTION AND ALLOCATION
SECTION 30.01. Subsection (b), Section 151.008, Tax Code,
is amended to read as follows:
(b) "Seller" and "retailer" include:
(1) a person in the business of making sales at auction
of tangible personal property owned by the person or by another;
(2) a person who makes more than two sales of taxable
items during a 12-month period, including sales made in the
capacity of an assignee for the benefit of creditors or receiver or
trustee in bankruptcy;
(3) a person regarded by the comptroller as a seller or
retailer under Section 151.024 [ef tHis ceee];
(4) a hotel, motel, or owner or lessor of an office or
residential building or development that contracts and pays for
telecommunications services for resale to guests or tenants; [aM]
(5) a person who engages in regular or systematic
solicitation of sales of taxable items in this state by the
,
82511237 JJT-F 82
82811237 JJT-F 83
S.B. No.1
1 retailer or its subsidiary for the purpose of selling or delivering
2 or the taking of orders for a taxable item;
3 (3) derives receipts [refltals] from the sale, [a]
4 lease, or rental of tangible personal property situated in this
5 state;
6 (4) engages in regular or systematic solicitation of
7 sales of taxable items in this state by the distribution of
8 catalogs, periodicals, advertising flyers, or other advertising,
9 by means of pr int , radio, or television media, or by mail,
10 telegraphy, telephone, computer data base, cable, optic,
11 microwave, or other communication system for the purpose of
12 effecting sales of taxable items;
13 (5) solicits orders for taxable items by mail or
14 through other media and under federal law is subject to or permitted
15 to be made subject to the jurisdiction of this state for purposes of
16 collecting the taxes imposed by this chapter;
17 (6) has a franchisee or licensee operating under its
18 trade name if the franchisee or licensee is required to collect the
19 tax under this section; [-9+]
20 (7) holds a substantial ownership interest in, or is
21 owned in whole or substantial part by, a person who maintains a
22 location in this state from which business is conducted and if:
23 (A) the retailer sells the same or a
24 substantially similar line of products as the person with the
25 location in this state and sells those products under a business
26 name that is the same as or substantially similar to the business
27 name of the per son with the locat ion in this state; or
82511237 JJT-F 84
82811237 JJT-F 85
S.B. No.1
1 (ii) the benef icial owner ship inter est in
2 the voting stock of the corporation;
3 (B) if the ent ity is a trust, at least 50 percent,
4 directly or indirectly, of the current beneficial interest in the
5 trust corpus or income;
6 (C) if the entity is a limited liability company,
7 at least 50 percent, directly or indirectly, of:
8 (i) the total membership interest of the
9 limited liability company; or
10 (ii) the beneficial ownership interest in
11 the membership interest of the limited liability company; or
12 (D) for any entity, including a partnership or
13 association, at least 50 percent, directly or indirectly, of the
14 capital or profits interest in the entity.
15 SECTION 30.03. Subchapter M, Chapter 151, Tax Code, is
17 Sec. 151.802. ALLOCATION OF CERTAIN REVENUE TO PROPERTY TAX
18 RELIEF FUND. (a) This section applies only:
19 (1) during the state fiscal years beginning September
20 1 of 2012, 2013, 2014, 2015, and 2016; and
21(2) with respect to unused franchise tax credits
22 described by Sections 18(e) and (f), Chapter 1 (H.B. 3), Acts of the
23 79th Legislature, 3rd Called Session, 2006.
24 (b) Notwithstanding Section 151.801, the comptroller shall
25 deposit to the credit of the property tax relief fund under Section
26 403.109, Government Code, an amount of the proceeds from the
27 collection of the taxes imposed by this chapter egual to the amount
,
82811237 JJT-F 86
S.B. No.1
1 of revenue the state does not receive from the tax imposed under
2 Chapter 171 because taxable entities, as defined by that chapter,
3 that are corporations are entitled to claim unused franchise tax
4 credits after December 31, 2012, and during that state fiscal year.
5 (c) This section expires September 1, 2017.
6 SECTION 30.04. The change in law made by this article does
7 not affect tax liability accruing before the effective date of this
8 article. That liability continues in effect as if this article had
9 not been enacted, and the former law is continued in effect for the
10 collection of taxes due and for civil and criminal enforcement of
11 the liability for those taxes.
12 SECTION 30.05. This article takes effect January 1, 2012.
13 ARTICLE 31. CARRYFORWARD OF CERTAIN FRANCHISE TAX CREDITS
14 SECTION 31.01. Subsections (e) and (f), Section 18, Chapter
15 1 (H.B. 3), Acts of the 79th Legislature, 3rd Called Session, 2006,
16 are amended to read as follows:
17 (e) A corporation that has any unused credits established
18 before the effective date of this Act under Subchapter P, Chapter
19 171, Tax Code, may claim those unused credits on or with the tax
20 report for the per iod in which the credit was established. However,
21 if the corporation was allowed to carry forward unused credits
22 under that subchapter, the corporation may continue to apply those
23 credits on or with each consecutive report until the earlier of the
24 date the credit would have expired under the terms of Subchapter P,
25 Chapter 171, Tax Code, had it continued in existence, or December
26 31, 2016 [ ~ ] , and the former law under which the corporation
27 established the credits is continued in effect for purposes of
82811237 JJT-F 87
S.B. No.1
1 determining the amount of the credits the corporation may claim and
2 the manner in which the corporation may claim the credits.
3 (f) A corporation that has any unused credits established
4 before the effective date of this Act under Subchapter Q, Chapter
5 171, Tax Code, may claim those unused credits on or with the tax
6 report for the period in which the credit was established. However,
7 if the corporation was allowed to carry forward unused credits
8 under that subchapter, the corporation may continue to apply those
9 credits on or with each consecutive report until the earlier of the
10 date the credit would have expired under the terms of Subchapter Q,
11 Chapter 171, Tax Code, had it continued in existence, or December
12 31, 2016 [ ~ ] , and the former law under which the corporation
13 established the credits is continued in effect for purposes of
14 determining the amount of the credits the corporation may claim and
15 the manner in which the corporation may claim the credits.
16 ARTICLE 32. STATE PURCHASING
19 Sec. 2155.082. PROVIDING CERTAIN PURCHASING SERVICES ON
20 FEE-FOR-SERVICE BASIS OR THROUGH BENEFIT FUNDING. (a) The
21 comptroller [eemmissionl may provide open market purchasing
22 services on a fee-for-service basis for state agency purchases that
23 are delegated to an agency under Section 2155.131, 2155.132,
24 [2133.133,] or 2157.121 or that are exempted from the purchasing
25 authority of the comptroller [oommissionl. The comptroller
26 [oommissionl shall set the fees in an amount that recovers the
27 comptroller's [oommission'sl costs in providing the services.
82S11237 JJT-F 88
,
S.B. No.1
1 (b) The comptroller [s8mmissisR] shall publish a schedule
2 of [ ~ ] fees for services that are subject to this section. The
3 schedule must include the comptroller's [s8IllfRissisR'S] fees for:
4 (1) reviewing bid and contract documents for clarity,
5 completeness, and compliance with laws and rules;
6 (2) developing and transmitting invitations to bid;
7 (3) receiving and tabulating bids;
8 (4) evaluating and determining which bidder offers the
9 best value to the state;
10 (5) creating and transmitting purchase orders; and
11 (6) participating in agencies' request for proposal
12 processes.
13 (c) If the state agency on behalf of which the procurement
14 is to be made agrees, the comptroller may engage a consultant to
15 assist with a particular procurement on behalf of a state agency and
16 pay the consultant from the cost savings realized by the state
17 agency.
18 ARTICLE 33. PERIOD FOR SALES AND USE TAX HOLIDAY
21 (a) The sale of an article of clothing or footwear designed
22 to be worn on or about the human body is exempted from the taxes
23 imposed by this chapter if:
24 (1) the sales price of the article is less than $100;
25 and
26 (2) the sale takes place during a period beginning at
27 12:01 a.m. on the [third] Friday before the eighth day preceding the
82811237 JJT-F 89
S.B. No.1
1 earliest date on which any school district, other than a district
2 operating a year-round system, may begin instruction for the school
3 year as prescribed by Section 25.0811(a), Education Code, [IT
4 August] and ending at 12 midnight on the following Sunday.
6 as amended by this article, does not affect tax liability accruing
7 before the effective date of this article. That liability
8 continues in effect as if this article had not been enacted, and the
9 former law is continued in effect for the collection of taxes due
10 and for civil and criminal enforcement of the liability for those
11 taxes.
12 ARTICLE 34. LEGISLATIVE BUDGET BOARD MEETINGS
14 by adding Subsection (f) to read as follows:
15 (f) The board shall hold a public hearing each state fiscal
16 year to receive a report from the comptroller and receive invited
17 testimony regarding the financial condition of this state. The
18 report from the comptroller shall include, to the extent
19 practicable:
20 (1) information on each revenue source included in
21 determining the estimate of anticipated revenue for purposes of the
22 most recent statement reguired by Section 49a, Article III, Texas
23 Constitution, and the total net revenue actually collected from
24 that source for the state fiscal year as of the end of the most
25 recent state fiscal guarter;
26 (2) a compar ison for the per iod descr ibed by
27 Subdivision (1) of the total net revenue collected from each
82S11237 JJT-F 90
.. .
S . B. No. 1
1 revenue source required to be specified under that subdivision with
2 the anticipated revenue from that source that was included for
3 purposes of determining the estimate of anticipated revenue in the
4 statement required by Section 49a, Article III, Texas Constitution;
5 (3) information on state revenue sources resulting
6 from a law taking effect after the comptroller submitted the most
7 recent statement required by Section 49a, Article III, Texas
8 Constitution, and the estimated total net revenue collected from
9 that source for the state fiscal year as of the end of the most
10 recent state fiscal quarter;
11 (4) a summary of the indicator s of state economic
12 trends experienced since the most recent statement required by
13 Section 49a, Article III, Texas Constitution; and
14 (5) a summary of anticipated state economic trends and
15 the anticipated effect of the trends on state revenue collections.
16 SECTION 34.02. Chapter 322, Government Code, is amended by
17 adding Section 322.0081 to read as follows:
18 Sec. 322.0081. BUDGET DOCUMENTS ONLINE. (a) The board
19 shall post on the board's Internet website documents prepared by
20 the board that are provided to a committee, subcommittee, or
21 conference committee of either house of the legislature in
22 connection with an appropriations bill.
23 (b) The board shall post a document to which this section
24 applies as soon as practicable after the document is provided to a
25 committee, subcommittee, or conference committee.
26 (cl The document must be downloadable and provide data in a
27 format that allows the public to search, extract, organize, and
82811237 JJT-F 91
S.B. No.1
1 analyze the information in the document.
2 (d) The requirement under Subsection (a) does not supersede
3 any exceptions provided under Chapter 552.
4 (e) The board shall promulgate rules to implement the
5 provisions of this section.
7 adding Section 322.022 to read as follows:
8 Sec. 322.022. PUBLIC HEARING ON INTERIM BUDGET REDUCTION
9 REQUEST. (a) In this section:
10 (1) "Interim budget reduction request" means a request
11 communicated in any manner for a state agency to make adjustments to
12 the strategies, methods of finance, performance measures, or riders
13 applicable to the agency through the state budget in effect on the
14 date the reguest is communicated that, if implemented, would reduce
15 the agency's total expenditures for the current state fiscal
16 biennium to an amount less than the total amount that otherwise
17 would be permissible based on the appropr iations made to the agency
18 in the budget.
19 (2) "State agency" means an off ice, department, board,
20 commission, institution, or other entity to which a legislative
21 appropr iat ion is made.
22 (b) A state agency shall provide to the board a detailed
23 report of any expenditure reduction plan that:
24 (1) the agency develops in response to an inter im
25 budget reduction reguest made by the governor, the lieutenant
26 governor, or a member of the legislature, or any combination of
27 those persons; and
82S11237 JJT-F 92
,
S.B. No.1
1 (2) if implemented, would reduce the agency's total
2 expenditures for the current state fiscal biennium to an amount
3 less than the total amount that otherwise would be permissible
4 based on the appropriations made to the agency in the state budget
5 for the biennium.
6 (c) The board shall hold a public hear ing to solicit
7 testimony on an expenditure reduction plan a state agency reports
8 to the board as required by Subsection (b) as soon as practicable
9 after receiving the report. The agency may not implement any
10 element of the plan until the conclusion of the hearing.
11 (d) This section does not apply to an expenditure reduction
12 a state agency desires to make that does not directly or indirectly
13 result from an interim budget reduction request made by the
14 governor, the lieutenant governor, or a member of the legislature,
15 or any combinat ion of those per sons.
18 Sec. 403.0145. PUBLICATION OF FEES SCHEDULE. As soon as
19 practicable after the end of each state fiscal year, the
20 comptroller shall publish online a schedule of all revenue to the
21 state from fees authorized by statute. For each fee, the schedule
22 must specify:
23 (1) the statutory authority for the fee;
24 (2) if the fee has been increased during the most
25 recent legislative session, the amount of the increase;
26 (3) into which fund the fee revenue will be deposited;
27 and
82S11237 JJT-F 93
, .I
S.B. No.1
1 (4) the amount of the fee revenue that will be
2 considered available for general governmental purposes and
3 accordingly considered available for the purpose of certification
4 under Sect ion 403.121.
6 by amending Subsections (a) and (b) and adding Subsection (b-1) to
7 read as follows:
8 (a) Before issuing notes the comptroller shall submit to the
9 committee a general revenue cash flow shortfall forecast, based on
10 the comptroller's most recent anticipated revenue estimate. The
11 forecast must contain a detailed report of estimated revenues and
12 expenditures for each month and each major revenue and expenditure
13 category and must demonstrate the maximum general revenue cash flow
14 shortfall that may be predicted. The committee shall hold a public
15 hearing to receive invited testimony on the forecast, including
16 testimony on this state's overall economic condition, as soon as
17 practicable after receiving the forecast.
18 (b) Based on the forecast and testimony provided at the
19 hearing required by Subsection (al, the committee may approve the
20 issuance of notes, subject to Subsections (b-1) and (c), and the
21 maximum outstanding balance of notes in any fiscal year. The
22 outstanding balance may not exceed the maximum temporary cash
23 shortfall forecast by the comptroller for any period in the fiscal
24 year. The comptroller may not issue notes in excess of the amount
25 approved.
26 (b-1) The committee's approval of the issuance of notes
27 granted under Subsection (b) expires on the 91st day after the date
82811237 JJT-F 94
S.B. No.1
1 the hearing conducted under Subsection (a) concludes. The
2 comptroller may not issue notes on or after the 91st day unless the
3 comptroller submits another general revenue cash flow shortfall
4 forecast to the committee and the committee subsequently grants
5 approval for the issuance of the notes in accordance with the
6 procedure required by Subsections (a) and (b). Each subsequent
7 approval expires on the 61st day after the date the hear ing on which
8 the approval was based concludes.
9 SECTION 34.06. It is the intent of the legislatur e that the
10 Legislative Budget Board place information on its Internet website
11 that provides additional program detail for items of appropriation
12 in the General Appropriations Act. The Legislative Budget Board
13 shall include as additional program detail the specific programs
14 funded, the source of that funding, and the related statutory
15 authorization.
16 ARTICLE 35. ECONOMIC AND WORKFORCE DEVELOPMENT PROGRAMS
18 by adding Subsection (m) to read as follows:
19 (m) Notwithstanding Subsections (e) and (e-l), during the
20 state fiscal biennium that begins on September I, 2011, the
21 governor may transfer appropriated money from the fund to the Texas
22 Workforce Commission to fund the Texas Back to Work Program
23 established under Chapter 314, Labor Code. This subsection expires
24 September I, 2013.
25 SECTION 35.02. Subtitle B, Title 4, Labor Code, is amended
26 by adding Chapter 314 to read as follows:
27 CHAPTER 314. TEXAS BACK TO WORK PROGRAM
82S11237 JJT-F 95
1 Sec. 314.001. DEFINITION.
S.B. No.1
In this chapter, "qualified
2 applicant" means a person who made less than $40 per hour at the
3 person's last employment before becoming unemployed.
4 Sec. 314.002. INITIATIVE ESTABLISHED. (al The Texas Back
5 to Work Program is established within the commission.
6 (b) The purpose of the program is to establish
7 public-private partnerships with employers to transition residents
8 of this state from receiving unemployment compensation to becoming
9 employed as members of the workforce.
10 (c) An employer that participates in the initiative may
11 receive a wage subsidy for hiring one or more qualified applicants
12 who are unemployed at the time of hire.
13
14 use:
15
16
(d) The commission, for the purposes of this section, may
(1) money appropr iated to the commission; and
(2) money that is transferred to the commission from
17 trusteed programs within the office of the governor, including:
18
19 Fund;
20
21
(A) appropriated money from the Texas Enterprise
(B) available federal funds; and
(C) money from other appropriate, statutorily
22 author ized funding sour ces.
23 Sec. 314.003. RULES. The commission may adopt rules as
24 necessary to implement this chapter.
25 ARTICLE 36. ELIGIBILITY OF SURVIVING SPOUSE OF DISABLED VETERAN
26 TO PAY AD VALOREM TAXES ON RESIDENCE HOMESTEAD IN INSTALLMENTS
27
82S11237 JJT-F 96
is:
S B. No. 1
amending Subsection (a) and adding Subsection (a-I) to read as
follows:
(a) This section applies only to:
ill [If before the delinquenoy date] an individual who
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
11.13(c); or
( 2 )
veteran; and
82S11237 JJT-P
(A) disabled or at least 65 years of agel. and
ill [-i-s] qualified for an exemption under Section
an individual who is:
(A) the unmarried surviving spouse of a disabled
(B) qualif ied for an exempt ion under Section
97
..I
S.B. No.1
1 4765), Acts of the 31st Legislatur e, Regular Session, 2009, is
3 (c) This [If tHis sestisFl effest, tHis] section
4 expires December 31, 2013
5 SECTION 37.02. Subsection (b), Section 2, Chapter 236 (H.B.
6 4765), Acts of the 31st Legislature, Regular Session, 2009, is
3 (b) This sect ion takes effect January 1, 2014 [20I;l, if H. B.
9 Astc af the gIst Loiola1::l:lre, Rcular Sossien, 2009,
10 amends eetien 199,0211, TaJE Cede, in a manner resl:llts in an
11 inereace in tho revenue trem the talE unier that ccetien the
12 state fioGal aiennium beginnin I, 2009, that is
13 attributaale 1;6 that ehanso, ane that Aet io coastee ane bosomes
14 1m!. If 21134, P.. otc sf the gIst LC1"islature, Regular
15 OSSiSR, 2009, lOGO Ret affiOflB eetien 1139,0211, TalE Ceae, in that
16 mafiOSI aT is Ret enaetee a aees Ret 13oo8m lard, thic sostieR takes
17 cffeet JaRl:lary 1, 2010].
13 SECTION 37.03. Subsection (b), Section 3, Chapter 236 (H.B.
19 4765), Acts of the 31st Legislature, Regular Session, 2009, is
21 (b) This section takes effect January 1, 2014 [2012, if H.B.
22 1'10. 214, AstG sf the 910t Loislature, R\:llar Session, 2009,
23 amenas Seotion 1.0211, Tau. Goae, in a maRner that results in aR
24 inorease in the revenue from the talE under that oeotioR auriR the
25 state fisGal Biennium Beginnin SeptemBer 1, 2009, that is
26 attrisutaBle to that ane that Ast is enaoted ana sesomes
27 131!. If W.8, 214, l\ots of the Blot I:.eislature,
82511237 JJT-F 98
S.B. No.1
1 SessioR, 2009, not amend Soetien 1.0211, TalE in that
2 ffiaRFlor or is not OHaetae or aoos Ret aceorao lald, this oostian takes
3 atfest Jan\:lary 1, 2010].
8 this article to have immediate effect, this article takes effect on
9 the 9lst day after the last day of the legislative session.
10 ARTICLE 38. FISCAL MATTERS REGARDING ASSISTANT PROSECUTORS
11 SECTION 38.01. Subsection (fl, Section 41.255, Government
13 (f) A county is not required to pay longevity supplements if
14 the county does not receive funds from the comptroller as provided
15 by Subsection (d). If sufficient funds are not available to meet
16 the requests made by counties for funds for payment of assistant
17 prosecutors qualified for longevity supplements.:..
18 ill [,J the comptroller shall apportion the available
19 funds to the eligible counties by reducing the amount payable to
20 each county on an equal percentage basis..:..
21 (2) a county is not entitled to receive the balance of
22 the funds at a later date; and
23 (3) the longevity pay program under this chapter is
24 suspended to the extent of the insufficiency. [A esuflty tHat
25 rceoivcs from the eomptroller an am0\:1nt 10s6 than the amouflt
26 eertifiee ey tHe esuflty ts tHe esmptrsller ufleer Sussestisfl (e)
27 shall apportion the tunes rossil/eEl By the afROl:1nt payable
82811237 JJT-F 99
S.B. No.1
1 te e l i ~ i 1 3 1 e assistaflt fJrsccsl:ltero Sf} an cE:j:ual fJcreentargo Basis, But
2 is Rot rCEJuirea t8 l:lse GOHnty tunas te RtaJfL ill' aRy ElifferOflG
3 setr"tecR the afR0Hflt ecrtifiea aRa the aFRsunt rceoivee.]
4 SECTION 38.02. Subsection (g), Section 41.255, Government
6 ARTICLE 39. FISCAL MATTERS REGARDING PROCESS SERVERS
8 is amended by adding Sections 72.013 and 72.014 to read as follows:
9 Sec. 72.013. PROCESS SERVER REVIEW BOARD. A person
10 appointed to the process server review board established by supreme
11 court order serves without compensation but is entitled to
12 reimbursement for actual and necessary expenses incurred in
13 tr ave ling and per forming off icial board dut ies.
14 Sec. 72.014. CERTIFICATION DIVISION. The off ice shall
15 establish a certification division to oversee the regulatory
16 programs assigned to the office by law or by the supreme court.
17 Fees collected under Section 51.008 may be appropriated to the
18 office to support the certification division.
19 ARTICLE 40. FISCAL MATTERS REGARDING REIMBURSEMENT OF JURORS
21 by adding Subsections (a-I) and (a-2) to read as follows:
22 (a-I) Notwithstanding Subsection (a), and except as
23 provided by Subsection (c), during the state fiscal biennium
24 beginning September 1, 2011, a person who reports for jury service
25 in response to the process of a court is entitled to receive as
26 reimbursement for travel and other expenses an amount:
27 (1) not less than $6 for the first day or fraction of
82S11237 JJT-F 100
S.B. No.1
1 the first day the person is in attendance in court in response to
2 the process and discharges the per son's duty for that day; and
3 (2) not less than the amount provided in the General
4 Appropriations Act for each day or fraction of each day the person
5 is in attendance in court in response to the process after the first
6 day and discharges the person's duty for that day.
7 (a-2) This subsection and Subsection (a-I) expire September
8 1,2013.
9 SECTION 40.02. Sect ion 61. 0015, Government Code, is amended
10 by adding Subsections (a-I), (a-2), and (e-1) to read as follows:
11 (a-I) Notwithstanding Subsection (a), during the state
12 fiscal biennium beginning September 1, 2011, the state shall
13 reimburse a county the appropriate amount as provided in the
14 General Appropriations Act for the reimbursement paid under Section
15 61.001 to a person who reports for jury service in response to the
16 process of a court for each day or fraction of each day after the
17 first day in attendance in court in response to the process.
18 (a-2) This subsect ion and Subsect ions (a-1 land (e-1)
19 expire September 1, 2013.
20 (e-1l Notwithstanding Subsection (el, during the state
21 fiscal biennium beginning September 1, 2011, if a payment on a
22 county's claim for reimbursement is reduced under Subsection (d),
23 or if a county fails to file the claim for reimbursement in a timely
24 manner, the comptroller may, as provided by rule, apportion the
25 payment of the balance owed the county. The comptroller's rules may
26 permit a different rate of reimbursement for each guarterly payment
27 under Subsection (c).
82511237 JJT-F 101
S.B. No.1
1 ARTICLE 41. COLLECTION IMPROVEMENT PROGRAM
2 SECTION 41.01. Subsections (b), (c), (e), (h), (i), and
3 (j), Article 103.0033, Code of Criminal Procedure, as effective
4 September 1, 2011, are amended to read as follows:
5 (b) This article applies only to..:..
6 (1) a [ ~ ] county with a population of 50,000 or
7 greater; [iR tais state] and
8 (2) a [te easa] municipality with a population of
9 100,000 or greater.
10 (c) Unless granted a waiver under Subsection (h), each
11 county and municipality shall develop and implement a program that
12 complies with the prioritized implementation schedule under
13 Subsection (h). [A eeuRty FRay ae'lelefl aRa iFRflleFReRt a flre<;j"raFR taat
14 G8tRf31ies r"tith tHe fJrieritigeel iFRplcFRcFltatien Gshee1:l1e unEler
15 SUBseetieR (a).l A county program must include district, county,
16 and justice courts.
17 (e) Not later than June 1 of each year, the office shall
18 identify those counties and municipalities that:
19 (1) have not implemented a program; and
20 (2) are able [fllaRRiR<;j"l to implement a program before
21 Apr il 1 of the following year.
22 (h) The office may:
23 (1) use case dispositions, population, revenue data,
24 or other appropriate measures to develop a prioritized
25 implementation schedule for programs; and
26 (2) [fer a FRuRisiflality, 1 determine whether it is not
27 [astually] cost-effective to implement a program in a county or
82S11237 JJT-F 102
S.B. No.1
1 [ ~ ] municipality and grant a waiver to the county or
2 municipality.
3 (i) Each county [tHat illlfllellleHts a flrSEjralll] and [ ~ ]
4 municipality shall at least annually submit to the office a written
5 report that includes updated information regarding the program, as
6 determined by the office. The report must be in a form approved by
7 the office.
8 (j) The office shall periodically audit counties and
9 municipalities to verify information reported under Subsection (i)
10 and confirm that the county or municipality is conforming with
11 requirements relating to the program.
12 SECTION 41. 02. Subsect ion (e), Sect ion 133.058, Local
13 Government Code, as effective September 1, 2011, is amended to read
14 as follows:
15 (e) A municipality or county may not retain a service fee
16 if, during an audit under Article 103.0033(j), Code of Criminal
17 Procedure, the Office of Court Administration of the Texas Judicial
18 System determines that the municipality or county is not in
19 compliance with Article 103.0033, Code of Criminal Procedure, and
20 in the case of a municipality if the municipality is unable to
21 reestablish compliance on or before the l80th day after the date the
22 municipality receives written notice of noncompliance from the
23 off ice. After any per iod in which the munic ipality or county
24 becomes unable to retain a service fee under this subsection, the
25 municipality or county may begin once more to retain the fee only on
26 receipt of a written confirmation from the office that the
27 municipality or county is in compliance with Article 103.0033, Code
82511237 JJT-P 103
J
S.B. No.1
1 of Cr imina1 Procedure.
2 SECTION 41.03. Subsection (c-1), Section 133.103, Local
3 Government Code, as effective September 1, 2011, is amended to read
4 as follows:
5 (c-1) The treasurer shall send to the comptroller 100
6 percent of the fees collected under this section [By a
7 if, during an audit under Article 103.0033(j), Code
8 of Criminal Procedure, the Office of Court Administration of the
9 Texas Judicial System determines that the municipality or county is
10 not in compliance with Article 103.0033, Code of Criminal
11 Procedure, and in the case of a municipality if the municipality is
12 unable to reestablish compliance on or before the 180th day after
13 the date the municipality receives written notice of noncompliance
14 from the office. After any period in which the treasurer is
15 required under this subsection to send 100 percent of the fees
16 collected under this section to the comptroller, the municipality
17 or county shall begin once more to dispose of fees as otherwise
18 provided by this section on receipt of a written confirmation from
19 the office that the municipality or county is in compliance with
20 Article 103.0033, Code of Criminal Procedure.
21 SECTION 41.04. The change in law made by this article in
22 amending Sections 133.058 (e) and 133.103 (c-1), Local Government
23 Code, applies only to an audit commenced on or after the effective
24 date of this article. An audit commenced before the effective date
25 of this article is governed by the law in effect when the audit was
26 commenced, and the former law is continued in effect for that
27 purpose.
82811237 JJT-F 104
,
S.B. No.1
2 amending Article 103.0033, Code of Criminal Procedure, applies only
3 to a court cost, fee, or fine imposed in a criminal case on or after
4 the effective date of this article. A court cost, fee, or fine
5 imposed in a criminal case before the effective date of this article
6 is governed by the law in effect on the date the cost, fee, or fine
7 was imposed, and the former law is continued in effect for that
8 purpose.
9 ARTICLE 42. CORRECTIONAL MANAGED HEALTH CARE
10 SECTION 42.01. Subsection (a), Section 501.133, Government
12 (a) The committee consists of five voting [fl-i.fl.e.] members and
13 one nonvoting member [appoiftted] as follows:
14 (1) one member [t'dO memJaers] employed full-time by the
15 department, [at least ofte of 'dhom is a physieiaft,] appointed by the
16 executive director;
17 (2) one member who is a physician and [tl,'O memJaers]
18 employed full-time by The University of Texas Medical Branch at
19 Galveston, [at least ofte sf whom is a physieiaft,] appointed by the
20 president of the medical branch;
21 (3) one member who is a physician and [two memJaers]
22 employed full-time by the Texas Tech University Health Sciences
23 Center, [at least ofte of 'dhom is a physieiaft,] appointed by the
24 president of the university; [aOO]
25 (4) two [three] public members appointed by the
26 governor who are not affiliated with the department or with any
27 entity with which the committee has contracted to provide health
82511237 JJT-F 105
S.B. No.1
1 care services under this chapter, at least one [ ~ ] of whom is
2 [ ~ ] licensed to practice medicine in this state; and
3 (5) the state Medicaid director, to serve ex officio
4 as a nonvoting member.
5 SECTION 42.02. Subsection (b), section 501.135, Government
7 (b) A person may not be an appointed [a] member of the
8 committee and may not be a committee employee employed in a "bona
9 fide executive, administrative, or professional capacity," as that
10 phrase is used for purposes of establishing an exemption to the
11 overtime provisions of the federal Fair Labor Standards Act of 1938
12 (29 U. S. C. Section 201 et seq.) and its subsequent amendments if:
13 (1) the per son is an off icer , employee, or paid
14 consultant of a Texas trade association in the field of health care
15 or health care services; or
16 (2) the person's spouse is an officer, manager, or paid
17 consultant of a Texas trade association in the field of health care
18 or health care services.
21 Sec. 501.136. TERMS OF OFFICE FOR PUBLIC MEMBERS.
22 Committee members appointed by the governor serve staggered
23 four-year [SilE year] terms, with the term of one of those members
24 expiring on February 1 of each odd-numbered year. Other committee
25 members serve at the will of the appointing official or until
26 termination of the member's employment with the entity the member
27 represents.
82811237 JJT-F 106
.. .
S.B. No.1
3 Sec. 501.147. DEPARTMENT AUTHORITY TO
4 CONTRACT. (a) The department [oommittee] may enter into a
5 contr act [OR 13 el:lalf of tl:le ae]3artHleRt] to fully implement the
6 managed health care plan under this subchapter. A contract entered
7 into under this subsection must include provisions necessary to
8 ensure that The University of Texas Medical Branch at Galveston is
9 eligible for and makes reasonable efforts to participate in the
10 purchase of prescription drugs under Section 340B, Public Health
11 Service Act (42 U. S. C. Section 256b) .
12 (b) The department [oommittee] may[ i iR aaaitioR to
13 servioes to tHe ae]3artHleRt,J contract with other
14 governmental entities for similar health care services and
15 integrate those services into the managed health care provider
16 network.
17 (c) In contracting for implementation of the managed health
18 care plan, the department [oommitteeJ, to the extent possible,
19 shall integrate the managed health care provider network with the
20 public medical schools of this state and the component and
21 affiliated hospitals of those medical schools. The contract must
22 authorize The University of Texas Medical Branch at Galveston to
23 contract directly with the Texas Tech University Health Sciences
24 Center for the provision of health care services. The Texas Tech
25 University Health Sciences Center shall cooperate with The
26 University of Texas Medical Branch at Galveston in its efforts to
27 participate in the purchase of prescription drugs under Section
82511237 JJT-F 107
(2) [maintain eentIaetc fey ~ e a l t h Gare servieoo in

GOFlsl:11tatioR 'ditl:i the ElcflarttaOflt aRe the health sara FlroviElers1
S.B. No.1
340B, Public Health Service Act (42 U. S. C. Section 256b) .
(d) For services that the public medical schools and their
components and affiliates cannot provide, the department
[ss!IIlllHtee] shall initiate a competitive bidding process for
contracts with other providers for medical care to persons confined
by the department.
(e) The department, in cooperation with the committee, may
contract with an individual or firm for a biennial review of, and
report concerning, expenditures under the managed health care plan.
The review must be conducted by an individual or firm experienced in
auditing the state's Medicaid expenditures and other medical
expenditures. Not later than September 1 of each even-numbered
year, the department shall submit a copy of a report under this
section to the health care providers that are part of the managed
health care provider network established under this subchapter, the
Legislative Budget Board, the governor, the lieutenant governor,
and the speaker of the house of representatives.
SECTION 42.05. Subsection (a), Section 501.148, Government
(a) The committee may [SHall]:
(1) develop statewide policies for the delivery of
correctional health care;
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
[ ~ ] communicate with
legislature regarding the financial
health care system;
the department and the
needs of the correctional
82S11237 JJT-F 108
1 (3) in conjunction with the

S.B. No.1
department,
2 [(4) allssate maae availaBle lC'fisla1::ivc
3 3j?)}?repriatienc fer esrrcetisFlal healtH sarc,
4 monitor the expenditures of The University of
(A) the department and the health care providers;
5 Texas Medical Branch at Galveston and the Texas Tech University
6 Health Sciences Center to ensure that those expenditures comply
7 with applicable statutory and contractual requirements;
lil serve as a dispute resolution forum in the
a disagreement relating to inmate health care services
8
9 event of
10 between:
11
12 or
13
14 Galveston
15
(B) The University of Texas Medical Branch at
and the Texas Tech University Health Sciences Center;
121 [+++] address problems found through monitoring
16 activities by the department and health care providers, including
17 requiring corrective action if care does not meet expectations as
18 determined by those monitoring activities;
19 ill [+8+]
identify and address long-term needs of the
20 correctional health care system; and
21 11l report to the Texas Board of Criminal
22 Justice at the board's regularly scheduled meeting each quarter on
23 the committee's policy recommendations [eesisisnsl, the financial
24 status of the correctional health care system, and corrective
25 actions taken by or required of the department or the health care
26 providers.
27 SECTION 42.06. (a) The Correctional Managed Health Care
82S11237 JJT-F 109
S.B. No.1
1 Committee established under Section 501.133, Government Code, as
2 that section existed before amendment by this article, is abolished
3 effective November 30, 2011.
4 (b) An appointing official under Section 501.133,
5 Government Code, shall appoint the members of the Correctional
6 Managed Health Care Committee under Section 501.133, Government
7 Code, as amended by this Act, not later than November 30, 2011. The
8 governor shall appoint one public member to serve a term that
9 expires February 1, 2013, and one public member to serve a term that
10 expir es February 1, 2015.
11 (c) The term of a person who is serving as a member of the
12 Correctional Managed Health Care Committee immediately before the
13 abolition of that committee under Subsection (a) of this section
14 expires on November 30, 2011. Such a person is eligible for
15 appointment by an appointing official to the new committee under
16 Section 501.133, Government Code, as amended by this article.
17 ARTICLE 43. GENERAL HOUSING MATTERS
19 by amending Subsection (c) and adding Subsection (d-l) to read as
20 follows:
21 (c) Except as provided by Subsections [SHEsestisH] (d) and
22 (d-l), the fund may be used only for economic development,
23 infrastructure development, community development, job training
24 programs, and business incentives.
25 (d-l) The fund may be used for the Texas homeless housing
26 and services program administered by the Texas Department of
27 Housing and Community Affairs under Section 2306.2585. The governor
82811237 JJT-F 110
.). .
S.B. No. 1
1 may transfer appropriations from the fund to the Texas Department
2 of Housing and Community Affairs to fund the Texas homeless housing
3 and services program. Subsections (e-l), (f), (f-l), (f-2), (g),
4 (h), (h-l), (i), and (j) and Section 481.080 do not apply to a grant
5 awarded for a purpose specified by this subsection.
7 by adding Subsection (a-I) to read as follows:
8 (a-I) For grants awarded for a purpose specified by Section
9 481.078(d-l), the report must include only the amount and purpose
10 of each grant.
11 SECTION 43.03. Subchapter K, Chapter 2306, Government Code,
13 Sec. 2306.2585. HOMELESS HOUSING AND SERVICES PROGRAM. (a)
14 The department may administer a homeless housing and services
15 program in each municipality in this state with a population of
16 285,500 or more to:
17 (1) provide for the construction, development, or
18 procurement of housing for homeless persons; and
19 (2) provide local programs to prevent and eliminate
20 homelessness.
21 (b) The department may adopt rules to govern the
22 administration of the program, including rules that:
23 (1) provide for the allocation of any available
24 funding; and
25 (2) provide detailed guidelines as to the scope of the
26 local programs in the municipalities described by Subsection (a).
27 (c) The department may use any available revenue, including
82S11237 JJT-F 111
S.B. No.1
1 legislative appropriations, appropriation transfers from the
2 trusteed programs within the office of the governor, including
3 authorized appropriations from the Texas Enterprise Fund,
4 available federal funds, and any other statutorily authorized and
5 appropriate funding sources transferred from the trusteed programs
6 within the office of the governor, for the purposes of this section.
7 The department shall solicit and accept gifts and grants for the
8 purposes of this section. The department shall use gifts and grants
9 received for the purposes of this section before using any other
10 revenue.
15 immediate effect, this article takes effect on the 9lst day after
17 ARTICLE 44. UNIFORM GRANT AND CONTRACT MANAGEMENT
20 Sec. 783.004. OFFICE OF THE COMPTROLLER
21 OFFIGE]. The office of the comptroller effiee] is the
22 state agency for uniform grant and contract management.
23 SECTION 44.02. Subsections (a) and (b), Section 783.005,
25 (a) The comptroller effiee] shall develop
26 uniform and concise language for any assurances that a local
27 government is required to make to a state agency.
82811237 JJT-F 112
..
S.B. No. 1
1 (b) The comptroller [<J0veHlOr's offioe] may:
2 (1) categorize assurances according to the type of
3 grant or contract;
4 (2) designate programs to which the assurances are
5 applicable; and
6 (3) revise the assurances.
9 Sec. 783.006. STANDARD FINANCIAL MANAGEMENT CONDITIONS.
10 (a) The comptroller [<JeveHler's effioel shall compile and
11 distribute to each state agency an official compilation of standard
12 f inanc ial management c ondit ions.
13 (b) The comptroller [<JeverHer's effioe] shall develop the
14 compilation from Federal Management Circular A-l02 or from a
15 revision of that circular and from other applicable statutes and
16 regulations.
17 (c) The comptroller [<JeverHer's effioel shall include in
18 the compilation official commentary regarding administrative or
19 judicial interpretations that affect the application of financial
20 management standards.
21 (d) The comptroller [<JeverHer 's effioel may:
22 (1) categorize the financial management conditions
23 according to the type of grant or contract;
24 (2) designate programs to which the conditions are
25 applicable; and
26 (3) revise the conditions.
27 SECTION 44.04. Subsection (d), Section 783.007, Government
82S11237 JJT-F 113
S.B. No.1
2 (d) The agency shall file a notice of each proposed rule
3 that establishes a variation from uniform assurances or standard
4 conditions with the comptroller [Ej"SVerFlSr's sffiee] .
5 SECTION 44.05. Subsection (b), Section 783.008, Government
7 (b) On receipt of a request for a single audit or audit
8 coordination, the comptroller [Ej"SVerFlSr's sffiee] in consultation
9 with the state auditor shall not later than the 30th day after the
10 date of the request designate a single state agency to coordinate
11 state audits of the local government.
12 ARTICLE 45. FRANCHISE TAX APPLICABILITY AND EXCLUSIONS
14 adding Subdivisions (I-a), (10-a), (10-b), and (II-b) to read as
15 follows:
16 .( I-a) "Artist" means a natural person or an entity
17 that contracts to perform or entertain at a live entertainment
18 event.
19 (10-a) "Live entertainment event" means an event that
20 occurs on a specific date to which tickets are sold in advance by a
21 third-party vendor and at which:
22 (A) a natural person or a group of natural
23 persons, physically present at the venue, performs for the purpose
24 of entertaining a ticket holder who is present at the event;
25 (B) a traveling circus or animal show performs
26 for the purpose of entertaining a ticket holder who is present at
27 the event; or
82811237 JJT-F 114
82811237 JJT-F 115
S.B. No.1
1 beneficiaries of which are natural persons or charitable entities
2 as described in Section 50l(c) (3), Internal Revenue Code, excluding
3 a trust taxable as a business entity pursuant to Treasury
4 Regulation Section 30l.770l-4(b);
5 (2) an estate of a natural person as defined by Section
6 770l(a)(30)(D), Internal Revenue Code, excluding an estate taxable
7 as a business entity pursuant to Treasury Regulation Section
8 30l.770l-4(b);
9 (3) an escrow;
10 (4) a real estate investment trust (REIT) as defined
11 by Section 856, Internal Revenue Code, and its "qualified REIT
12 subsidiary" entities as defined by Section 856(i) (2), Internal
13 Revenue Code, provided that:
14 (A) a REIT with any amount of its assets in direct
15 holdings of real estate, other than real estate it occupies for
16 business purposes, as opposed to holding interests in limited
17 partnerships or other entities that directly hold the real estate,
18 is a taxable entity; and
19 (B) a limited partnership or other entity that
20 directly holds the real estate as described in Paragraph (A) is not
21 exempt under this subdivision, without regard to whether a REIT
22 holds an interest in it;
23 (5) a real estate mortgage investment conduit (REMIC),
24 as def ined by Sect ion 860D, Internal Revenue Code;
25 (6) a nonprofit self-insurance trust created under
26 Chapter 2212, Insurance Code, or a predecessor statute;
27 (7) a trust qualified under Section 40l(a), Internal
82511237 JJT-F 116
S.B. No.1
1 Revenue Code; [,,*]
2 (8) a trust or other entity that is exempt under
3 Section 50l(c) (9), Internal Revenue Code; or
4 (9) an unincorporated entity organized as a political
5 committee under the Election Code or the provisions of the Federal
6 Election Campaign Act of 1971 (2 U.S.C. Section 431 et seq.).
8 adding Subsections (g-5) and (g-7) to read as follows:
9 (g-5) A taxable entity that is a qualified live event
10 promotion company shall exclude from its total revenue, to the
11 extent included under Subsection (c) (l) (A), (c) (2) (A), or (c) (3), a
12 payment made to an artist in connection with the provision of a live
13 entertainment event or live event promotion services.
14 (g-7) A taxable entity that is a qualified cour ier and
15 logistics company shall exclude from its total revenue, to the
16 extent included under Subsection (c) (1) (A), (c) (2) (A), or (c) (3) ,
17 subcontracting payments made by the taxable entity to nonemployee
18 agents for the performance of delivery services on behalf of the
19 taxable entity. For purposes of this subsect ion, "qualif ied
20 courier and logistics company" means a taxable entity that:
21 (1) receives at least 80 percent of the taxable
22 entity's annual total revenue from its entire business from a
23 combination of at least two of the following courier and logistics
24 services:
25 (A) expedited same-day delivery of an envelope,
26 package, parcel, roll of architectural drawings, box, or pallet;
27 (B) temporary storage and delivery of the
82S11237 JJT-F 117
S.B. No.1
1 property of another entity, including an envelope, package, parcel,
2 roll of architectural drawings, box, or pallet; and
3 (C) brokerage of same-day or expedited courier
4 and logistics services to be completed by a person or entity under a
5 contract that includes a contractual obligation by the taxable
6 entity to make payments to the person or entity for those services;
7 (2) during the period on which margin is based, is
8 registered as a motor carrier under Chapter 643, Transportation
9 Code, and if the taxable entity operates on an interstate basis, is
10 registered as a motor carrier or broker under the unified carrier
11 registration system, as defined by Section 643.001, Transportation
12 Code, dur ing that per iod;
13 (3) maintains an automobile liability insurance
14 policy covering individuals operating vehicles owned, hired, or
15 otherwise used in the taxable entity's business, with a combined
16 single limit for each occurrence of at least $1 million;
17 (4) maintains at least $25,000 of cargo insurance;
18 (5) maintains a permanent nonresidential office from
19 which the courier and logistics services are provided or arranged;
20 (6) has at least five full-time employees during the
21 period on which margin is based;
22 (7) is not doing business as a livery service, floral
23 delivery service, motor coach service, taxicab service, building
24 supply delivery service, water supply service, fuel or energy
25 supply service, restaurant supply service, commercial moving and
26 storage company, or overnight delivery service; and
27 (8) is not delivering items that the taxable entity or
82511237 JJT-F 118
S.B. No.1
1 an affiliated entity sold.
2 SECTION 45.04. This article applies only to a report
3 or iginally due on or after January 1, 2012.
4 SECTION 45.05. This article takes effect January 1,2012.
5 ARTICLE 46. AD VALOREM TAXATION OF LAND USED TO RAISE OR KEEP BEES
6 SECTION 46.01. Subdivision (2), Section 23.51, Tax Code, is
8 (2) "Agricultural use" includes but is not limited to
9 the following activities: cultivating the soil, producing crops
10 for human food, animal feed, or planting seed or for the production
11 of fibers; floriculture, viticulture, and horticulture; raising or
12 keeping livestock; raising or keeping exotic animals for the
13 production of human food or of fiber, leather, pelts, or other
14 tangible products having a commercial value; planting cover crops
15 or leaving land idle for the purpose of participating in a
16 governmental program, provided the land is not used for residential
17 purposes or a purpose inconsistent with agr icultur al use; and
18 planting cover crops or leaving land idle in conjunction with
19 normal crop or livestock rotation procedure. The term also
20 includes the use of land to produce or harvest logs and posts for
21 the use in constructing or repairing fences, pens, barns, or other
22 agricultural improvements on adjacent qualified open-space land
23 having the same owner and devoted to a different agricultural use.
24 The term also includes the use of land for wildlife management. The
25 term also includes the use of land to raise or keep bees for
26 pollination or for the production of human food or other tangible
27 products having a commercial value, provided that the land used is
82S11237 JJT-F 119
S.B. No.1
1 not less than 5 or mor ethan 20 acres.
2 SECTION 46.02. This article applies only to the appraisal
3 of land for ad valorem tax purposes for a tax year that begins on or
4 after the effective date of this Act.
5 ARTICLE 47. QUINQUENNIAL REPORTING OF CERTAIN INFORMATION FOR
6 UNCLAIMED PROPERTY
9 (a) Not later than June 1 of every fifth [ ~ ] year, the
10 department shall provide to the comptroller, for the purpose of
11 assisting the comptroller in the identification of persons entitled
12 to unclaimed property reported to the comptroller, the name,
13 address, social security number, date of birth, and driver's
14 license or state identification number of each person about whom
15 the department has such information in its records.
16 SECTION 47.02. Subsection (a), Section 821.010, Government
19 retirement system shall provide to the comptroller, for the purpose
20 of assisting the comptroller in the identification of persons
21 entitled to unclaimed property reported to the comptroller, the
22 name, address, social security number, and date of birth of each
23 member, retiree, and beneficiary from the retirement system's
24 records.
25 SECTION 47.03. Subsection (a), Sect ion 301. 086, Labor Code,
82811237 JJT-F 120
(A) is acquired in or imported into this state to
be forwarded to another location in this state or outside this
state;
(B) is stored under a contract of bailment by a
public warehouse operator [dotaiRod] at one or more public
warehouse facilities [a leeatieR] in this state that are not in any
way owned or controlled by [iR the owner of the personal
property [does net have a aires'\; or inElircet oldRcrsl=iifl interest]
for the account of [assomsliRg, storiRg,
flroeossiRg, or fasrieatiRg sy] the person who acquired or
S.B. No. 1
commission shall provide to the comptroller, for the purpose of
assisting the comptroller in the identification of persons entitled
to unclaimed property reported to the comptroller, the name,
address, social security number, and date of birth of each person
about whom the commission has such information in its records.
SECTION 47.04. The Department of Public Safety, the
Employees Retirement System of Texas, the Teacher Retirement System
of Texas, and the Texas Workforce Commission shall provide
information to the comptroller as required by Sections 4ll.0111(a)
and 821.010(a), Government Code, and Section 301.086(a), Labor
Code, as amended by this art icle, beginning in 2016.
ARTICLE 48. AD VALOREM TAXATION OF CERTAIN STORED PROPERTY
amended by amending Subdivision (2) and adding Subdivisions (5) and
(6) to read as follows:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
(2) "Goods-in-transit"
property that:
means tangible personal
82S11237 JJT-F 121
S.B. No.1
1 imported the property;
2 (C) is transported to another location in this
3 state or outside this state not later than 175 days after the date
4 the person acquired the property in or imported the property into
5 this state; and
6 (0) does not include oil, natural gas, petroleum
7 products, aircraft, dealer I s motor vehicle inventory, dealer's
8 vessel and outboard motor inventory, dealer I s heavy equipment
9 inventory, or retail manufactured housing inventory.
10 (5) "Bailee" and "warehouse" have the meanings
11 assigned by Section 7 .102 , Business & Commerce Code.
12 (6) "Public war ehouse oper ator" means a per son that:
13 (A) is both a bailee and a warehouse; and
14 (B) stores under a contract of bailment, at one
15 or more public warehouse facilities, tangible personal property
16 that is owned by other persons solely for the account of those
17 per sons and not for the oper ator I s account.
18 SECTION 48.02. Sect ion 11. 253, Tax Coder is amended by
19 amending Subsections (e) and (h) and adding Subsections (j-1) and
20 (j-2) to read as follows:
21 (e) In determining the market value of goods- in-tr ansit
22 that in the preceding year were [asselllsles, J stored [, lllaHlifastloHes,
23 presesses, er fasrisatesJ in this state, the chief appraiser shall
24 exclude the cost of equipment, machinery, or materials that entered
25 into and became component parts of the goods-in-transit but were
26 not themselves goods-in-transit or that were not transported to
27 another location in this state or outside this state before the
82811237 JJT-F 122
~ . . ...
S.B. No.1
1 expiration of 175 days after the date they were brought into this
2 state by the property owner or acquired by the property owner in
3 this state. For component parts held in bulk, the chief appraiser
4 may use the average length of time a component part was held by the
5 owner of the component parts dur ing the preceding year at a location
6 in this state that was not owned by or under the control of the owner
7 of the component parts in determining whether the component parts
8 were transported to another location in this state or outside this
9 state before the expiration of 175 days.
10 (h) The chief appraiser by written notice delivered to a
11 property owner who claims an exemption under this section may
12 require the property owner to provide copies of property records so
13 the chief appraiser can determine the amount and value of
14 goods-in-transit and that the location in this state where the
15 goods-in-transit were detained for storage
16 or was not owned
17 by or under the control of the owner of the goods-in-transit. If
18 the property owner fails to deliver the information requested in
19 the notice before the 31st day after the date the notice is
20 delivered to the property owner, the property owner forfeits the
21 right to claim or receive the exemption for that year.
22 (j -1) Notwithstanding Subsection (j) or off ic ial action
23 that was taken under that subsection before October 1, 2011, to tax
24 goods-in-transit exempt under Subsection (b) and not exempt under
25 other law, a taxing unit may not tax such goods-in-transit in a tax
26 year that begins on or after January 1, 2012, unless the governing
27 body of the taxing unit takes action on or after October 1, 2011, in
82811237 JJT-F 123
S.B. No.1
1 the manner required for official action by the governing body, to
2 provide for the taxation of the goods-in-transit. The official
3 action to tax the goods-in-transit must be taken before January 1 of
4 the first tax year in which the governing body proposes to tax
5 goods-in-transit. Before acting to tax the exempt property, the
6 governing body of the taxing unit must conduct a public hearing as
7 required by Section I-n(d), Article VIII, Texas Constitution. If
8 the governing body of a taxing unit provides for the taxation of the
9 goods-in-transit as provided by this subsection, the exemption
10 prescribed by Subsection (b) does not apply to that unit. The
11 goods-in-transit remain subject to taxation by the taxing unit
12 until the governing body of the taxing unit, in the manner required
13 for official action, rescinds or repeals its previous action to tax
14 goods-in-transit or otherwise determines that the exemption
15 pr escr ibed by Subsect ion (b) will apply to that taxing unit.
16 (j -2 ) Notwithstanding Subsect ion (j -1), if under Subsect ion
17 (j) the governing body of a taxing unit, before October 1, 2011,
18 took action to provide for the taxation of goods-in-transit and
19 pledged the taxes imposed on the goods-in-transit for the payment
20 of a debt of the taxing unit, the tax officials of the taxing unit
21 may continue to impose the taxes against the goods-in-transit until
22 the debt is discharged, if cessation of the imposition would impair
23 the obligation of the contract by which the debt was created.
24 SECTION 48.03. Subdivision (2), Subsection (a), Section
25 11.253, Tax Code, as amended by this article, applies only to an ad
26 valorem tax year that begins on or after January 1, 2012.
27 SECTION 48.04. (a) Except as provided by Subsection (b) of
82811237 JJT-F 124
S . B. No. 1
1 this section, this article takes effect January 1, 2012.
2 (b) Section 48.02 of this article takes effect October 1,
3 2011.
4 ARTICLE 49. FISCAL MATTERS CONCERNING ADVANCED PLACEMENT
5 SECTION 49.01. Subsection (h), Section 28.053, Education
7 (h) The commissioner may enter into agreements with the
8 college board and the International Baccalaureate Organization to
9 pay for all examinations taken by eligible public school students.
10 An eligible student is a student [eTl--] who:
11 ill takes a college advanced placement or
12 international baccalaureate course at a public school or who is
13 recommended by the student I s pr incipal or teacher to take the testl.
14 and
15 (2) demonstrates financial need as determined in
16 accordance with guidelines adopted by the board that are consistent
17 with the definition of financial need adopted by the college board
18 or the International Baccalaureate Organization.
19 ARTICLE 50. FISCAL MATTERS CONCERNING TUITION EXEMPTIONS
20 SECTION 50.01. Section 54.214, Education Code, is amended
21 by amending Subsection (c) and adding Subsection (c-l) to read as
22 follows:
23 (c) To be eligible for an exemption under this section, a
24 per son must:
25 (1) be a resident of this state;
26 (2) be a school employee serving in any capacity;
27 (3) for the initial term or semester for which the
82811237 JJT-F 125
S.B. No.1
1 person receives an exemption under this section, have worked as an
2 educational aide for at least one school year during the five years
3 preceding that term or semester;
4 (4) establish financial need as determined by
5 coordinat ing board rule;
6 (5) be enrolled at the institution of higher education
7 granting the exemption in courses required for teacher
8 certification in one or more subject areas determined by the Texas
9 Educat ion Agency to be exper ienc ing a cr it ical shortage of teacher s
10 at the public schools in this state [at tHe af
11 eEll:lGatisn the eU8ITlf>tien] i
12 (6) maintain an acceptable grade point average as
13 determined by coordinating board rule; and
14 (7) comply with any other requirements adopted by the
15 coordinating board under this section.
16 (c-1) Notwithstanding Subsection (c)(5), a person who
17 previously received a tuition exemption under this section remains
18 eligible for an exemption if the person:
19 (1) is enrolled at an institution of higher education
20 granting the exemption in courses required for teacher
21 certification; and
22 (2) meets the eligibility requirements ln Subsection
23 (c) other than Subsection (c) (5).
24 SECTION 50.02. The change in law made by this article
25 applies beginning with tuition and fees charged for the 2012 fall
26 semester. Tuition and fees charged for a term or semester before
27 the 2012 fall semester are covered by the law in effect during the
82S11237 JJT-F 126
S.B. No.1
1 term or semester for which the tuition and fees are charged, and the
2 former law is continued in effect for that purpose.
3 ARTICLE 51. CLASSIFICATION OF ENTITIES AS ENGAGED IN RETAIL TRADE
4 FOR PURPOSES OF THE FRANCHISE TAX
5 SECTION 51.01. Subdivision (12), Section 171.0001, Tax
7 (12) "Retail trade" means:
8 (A) the activities described in Division G of the
9 1987 Standard Industrial Classification Manual published by the
10 federal Office of Management and Budget; and
11 (B) apparel rental activities classified as
12 Industry 5999 or 7299 of the 1987 Standard Industr ial
13 Classification Manual published by the federal Office of Management
14 and Budget.
15 SECTION 51.02. This article applies only to a report
16 or iginally due on or after the effective date of this Act.
17 SECTION 51.03. This article takes effect January 1, 2012.
18 ARTICLE 52. RETENTION OF CERTAIN FOUNDATION SCHOOL FUND PAYMENTS
19 SECTION 52.01. Subchapter E, Chapter 42, Education Code, is
21 Sec. 42.2511. AUTHORIZATION FOR CERTAIN DISTRICTS TO RETAIN
22 ADDITIONAL STATE AID. (a) This section applies only to a school
23 district that was provided with state aid under former Section
24 42.2516 for the 2009-2010 or 2010-2011 school year based on the
25 amount of aid to which the district would have been entitled under
26 that section if Section 42.2516(9), as it existed on January 1,
27 2009, applied to determination of the amount to which the district
82S11237 JJT-F 127
., .Ii
S.B. No.1
1 was entitled for that school year.
2 (b) Notwithstanding any other law, a district to which this
3 section applies may retain the state aid provided to the district as
4 described by Subsection (a).
6 SECTION 52.02. It is the intent of the legislature that the
7 author ization provided by Sect ion 42.2511, Educat ion Code, as added
8 by this article, to retain state aid described by that section is
9 not affected by the expiration of that provision on September 1,
10 2013.
11 ARTICLE 53. THE STATE COMPRESSION PERCENTAGE
13 by adding Subsection (b-2) to read as follows:
14 (b-2) If a school district adopts a maintenance and
15 operations tax rate that is below the rate equal to the product of
16 the state compression percentage multiplied by the maintenance and
17 operations tax rate adopted by the district for the 2005 tax year,
18 the commissioner shall reduce the distr ict I s entitlement under this
19 section in proportion to the amount by which the adopted rate is
20 less than the rate equal to the product of the state compression
21 percentage multiplied by the rate adopted by the district for the
22 2005 tax year. The reduction required by this subsection applies
23 beginning with the maintenance and operations tax rate adopted for
24 the 2009 tax year.
25 ARTICLE 54. TEXAS GUARANTEED STUDENT LOAN CORPORATION; BOARD OF
26 DIRECTORS
82811237 JJT-F 128
't
S.B. No. 1
1 Education Code, are amended to read as follows:
2 (a)
The corporation is governed by a board of nine [l
3 directors in accordance with this section.
4 (b) The governor, with the advice and consent of the senate,
5 shall appoint the [-G] members of [ ~ l the board as follows:
6 (1) four [ ~ l members who must have knowledge of or
7 experience in finance, including management of funds or business
8 operations;
9 (2) one member who must be a student enrolled at a
10 postsecondary educational institution for the number of credit
11 hours required by the institution to be classified as a full-time
12 student of the institution; and
13 (3) four members who must be members of the faculty or
14 administration of a faR elii131el postsecondary educational
15 institution that is an eligible institution for purposes of the
16 Higher Education Act of 1965, as amended[, as aefiRea By SestisR
17 7.4il.
18 SECTION 54.02. Section 57.17, Education Code, is amended to
20
19 read as follows:
Sec. 57.17. OFFICERS. The governor shall designate the
21 chairman from among the board's membership. The board shall elect
22 from among its members a [sRairmaR,l vice-chairman[Tl and other
23 officers that the board considers necessary. The chairman and
24 vice-chairman serve for a term of one year and may be redesignated
25 .2!. reelected, as applicable.
26 SECTION 54.03. Subsect ion (d), Section 57.13, Educat ion
82S11237 JJT-F 129
S.B. No.1
1 ARTICLE 55. FISCAL MATTERS CONCERNING LEASES OF PUBLIC LAND FOR
2 MINERAL DEVELOPMENT
3 SECTION 55.01. Subsections (a) and (c), Section 85.66,
5 (a) If oil or other minerals are developed on any of the
6 lands leased by the board, the royalty or money as stipulated in the
7 sale shall be paid to the general land office at Austin on or before
8 the last day of each month for the preceding month during the life
9 of the rights purchased, and shall be set aside [if! tHe state
10 treaslHy] as specified in Section 85.70 [ef tHis 6eae]. The royalty
11 or money paid to the general land office shall be accompanied by the
12 sworn statement of the owner, manager, or other authorized agent
13 showing the gross amount of oil, gas, sulphur, mineral ore, and
14 other minerals produced and saved since the last report, the amount
15 of oil, gas, sulphur, mineral ore, and other minerals produced and
16 sold off the premises, and the market value of the oil, gas,
17 sulphur, mineral ore, and other minerals, together with a copy of
18 all daily gauges, or vats, tanks, gas meter readings, pipeline
19 receipts, gas line receipts and other checks and memoranda of the
20 amounts produced and put into pipelines, tanks, vats, or pool and
21 gas lines, gas storage, other places of storage, and other means of
22 transportation.
23 (c) The commissioner of the general land office shall tender
24 to the board on or before the 10th day of each month a report of all
25 receipts that are collected from the lease or sale of oil, gas,
26 sulphur, mineral ore, and other minerals and that are deposited
27 [tloUf!ea if!te tHe state treamuy,] as provided by Section 85.70
82S11237 JJT-F 130
S.B. No. 1
1 during [ef this seee, ef] the preceding month.
3 read as follows:
4 Sec. 85.69. PAYMENTS; DISPOSITION. Payments under this
5 subchapter shall be made to the commissioner of the general land
6 office at Austin, who shall transmit to the board [seH\i?treller] all
7 royalties, lease fees, rentals for delay in drilling or mining, and
8 all other payments, including all filing assignments and
9 relinquishment fees, to be deposited fiR the state treasury] as
10 provided by Section 85.70 [ef this seee] .
12 read as follows:
13 Sec. 85.70. CERTAIN MINERAL LEASES; DISPOSITION OF MONEY;
14 SPECIAL FUNDS; INVESTMENT. (a) Except as provided by Subsection
15 (c) [sf this sestieR], all money received under and by virtue of
16 this subchapter shall be deposited in [the state treasury te the
17 sreeit ef] a special fund managed by the board to be known as The
18 Texas A&M University System Special Mineral Investment Fund. Money
19 in the fund is considered to be institutional funds, as defined by
20 Section 51.009, of the system and its component institutions. The
21 (\'lith the aflflreval sf the eSFAf)t:reller, the BoarEl of reFlts af The
22 TCJEas A&M University SyotfR Rlay appoiRt OBe or mere eommereial
23 13an](c, Elepositery trust GGFAflaniec I or ather oFltiticc to serve as
24 or GHsteEiians of the Spceial MiHcral InvestmcRt FURa'g
25 oeeuritico r"titl=l authority 1;8 hole the meRcy realizsee from these
26 securities GOffiPletioR of an investment traRoaetien if the
27 mORcy hale is reiflvcstea uithin ORe buoiRC06 clay of reeeiflt iFl
82811237 JJT-F 131
reiflvocteEl r"titAiFl ORO Business say sf reseiJ.3t ohall 130 aOl?soitca in
the state treacury net later the fifth say after the Elate af
institutions [CRall Jac aEJI?ISflriatea Jay the lers=iclatuIo Guslucively
fer tHO \:1Rivcrsity CyctOHl fer tAO pur138sGs herein previEleEl] .
(c) The board shall lease for oil, gas, sulphur, or other
mineral development, as prescribed by this subchapter, all or part
of the land under the exclusive control of the board owned by the
State of Texas and acquired for the use of Texas A&M
University--Kingsville and its divisions. Any money received by
the board concerning such land under this subchapter shall be
deposited in [tHe state treasHry te tHe ereeit ef] a special fund
managed by the board to be known as the Texas A&M
special mineral fund. Money in the fund is
S.B. No.1
MeRey Ret investments aeterminee By tAo seara sf
IR tRe ef tRe saara, tRis) special fund may be
invested so as to produce [aR) income which may be expended under
the direction of the board for the general use of any component of
The Texas A&M University System, including erecting permanent
improvements and in payment of expenses incurred in connection with
the administration of this subchapter. The unexpended income
likewise may be invested as [RereiR) provided by this section.
(b) The income from the investment of the special mineral
investment fund cr eated by [HReer) Subsect ion (a) [ef tRis seat ieR]
shall be deposited in [te tHe ereeit ef] a fund managed by the board
to be known as The Texas A&M University System Special Mineral
Income Fund, and is considered to be inst itut ional funds, as
defined by Section 51.009, of the system and its component
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82811237 JJT-F 132
S.B. No.1
1 considered to be institutional funds, as defined by Section 51.009,
2 of the university and is[,] to be used exclusively for the
3 university [TeMas A&M YHiversity KiHgsville] and its branches and
4 divisions.
5 (d) All deposits in and investments of the fund under this
6 section shall be made in accordance with Section 51.0031.
7 (e) Section 34.017, Natural Resources Code, does not apply
8 to funds created by this section [MoHey may Hot Be elEpemlea from
9 this f\:1na CJEGOpt ao authsrigeEl lay the ~ e n e r a l 3flf3rsf3riatioflS 3et] .
10 SECTION 55.04. Subsect ion (b), Section 95.36, Educat ion
12 (b) Except as provided in Subsection (c) of this section,
13 any money received by virtue of this section and the income from the
14 investment of such money shall be deposited in [the tate Treasury
15 to the ereait of] a special fund managed by the board to be known as
16 the Texas State University System special mineral fund. Money in
17 the fund is considered to be institutional funds, as defined by
18 Section 51.009, of the system and its component institutions and
19 is[,] to be used exclusively for those entities. All deposits in
20 and investments of the fund shall be made in accordance with Section
21 51.0031. Section 34.017, Natural Resources Code, does not apply to
22 the fund [the university system ana the universities if} the system,
23 FIs'ilcver, no maFloy shall ever ee e:upFlaea traFR this tune OJESflt as
24 aatherirzea by the COReral P1PJ?ropriati8flC Aet].
25 SECTION 55.05. Subsection (b), Section 109.61, Education
27 (b) Any money received by virtue of this section shall be
82811237 JJT-F 133
S.B. No.1
1 deposited in [tRe state treasHry te tRe ereait ef] a special fund
2 managed by the board to be known as the Texas Tech University
3 special mineral fund. Money in the fund is considered to be
4 institutional funds, as defined by Section 51.009, of the
5 university and is[T] to be used exclusively for the university and
6 its branches and divisiohs. All deposits in and investments of the
7 fund shall be made in accordance with Section 51. 0031. Section
8 34.017, Natural Resources Code, does not apply to the fund
9 [HsTdvcr, Fie FR0FlCY shall ever lae CJEflcnEleEl frsFR this fURa GJEO:l?t as
10 aHtherigea ay the fJcneral aJ?f3rsf3riationo aot] .
13 (a) If oil or other minerals are developed on any of the
14 lands leased by the board, the royalty as stipulated in the sale
15 shall be paid to the general land office in Austin on or before the
16 last day of each month for the preceding month during the life of
17 the rights purchased. The royalty payments shall be set aside [a
18 tRe state treasHry] as specified in Section 109.61 [ef tRis eeae]
19 and used as provided in that section.
20 (c) The commissioner of the general land office shall tender
21 to the board on or before the 10th day of each month a report of all
22 receipts that are collected from the lease or sale of oil, gas,
23 sulphur, or other minerals and that are deposited in [tHrRea iRte]
24 the special fund as provided by Section 109.61 [iR tRe state
25 treasHry] during the preceding month.
26 SECTION 55.07. Subsect ion (b), Sect ion 109.78, Education
82S11237 JJT-F 134
S.B. No.1
1 (b) Payment of all royalties, lease fees, rentals for delay
2 in drilling or mining, filing fees for assignments and
3 relinquishments, and all other payments shall be made to the
4 commissioner of the general land office at Austin. The
5 commissioner shall transmit all payments received to the board
6 [eemptrellerJ for deposit to the credit of the Texas Tech
7 University special mineral fund as provided by Section 109.61.
8 SECTION 55.08. Section 85.72, Educat ion Code, is repealed.
9 ARTICLE 56. FOUNDATION SCHOOL PROGRAM FINANCING; CERTAIN TAX
10 INCREMENT FUND REPORTING MATTERS
11 SECTION 56.01. (a) This section applies only to a school
12 district that, before May 1, 2011, received from the commissioner
13 of education a notice of a reduction in state funding for the
14 2004-2005, 2005-2006, 2006-2007, 2007-2008, and 2008-2009 school
15 years based on the district's reporting related to deposits of
16 taxes into a tax increment fund under Chapter 311, Tax Code.
17 (b) Notwithstanding any other law, including Subdivision
18 (2) , Subsection (b) , Sect ion 42.302, Education Code, the
19 commissioner of education shall reduce by one-half the amounts of
20 the reduction of entitlement amounts computed for purposes of
21 adjusting entitlement amounts to account for taxes deposited into a
22 tax increment fund for any of the school years described by
23 Subsection (a) of this section.
25 ARTICLE 57. FISCAL MATTERS RELATING TO PUBLIC SCHOOL FINANCE
26 SECTION 57.01. Subsection (a), Section 11.158, Education
82S11237 JJT-F 135
S.B. No.1
1 (a) The board of trustees of an independent school district
2 may require payment of:
3 (1) a fee for materials used in any program in which
4 the resultant product in excess of minimum requirements becomes, at
5 the student's option, the personal property of the student, if the
6 fee does not exceed the cost of materials;
7 (2) membership dues in student organizations or clubs
8 and admission fees or charges for attending extracurricular
9 activities, if membership or attendance is voluntary;
10 (3) a security deposit for the return of materials,
11 supplies, or equipment;
12 (4) a fee for personal physical education and athletic
13 equipment and apparel, although any student may provide the
14 student's own equipment or apparel if it meets reasonable
15 requirements and standards relating to health and safety
16 established by the board;
17 (5) a fee for items of personal use or products that a
18 student may purchase at the student's option, such as student
19 publications, class rings, annuals, and graduation announcements;
20 (6) a fee specif ically permitted by any other statute;
21 (7) a fee for an authorized voluntary student health
22 and accident benefit plan;
23 (8) a reasonable fee, not to exceed the actual annual
24 maintenance cost, for the use of musical instruments and uniforms
25 owned or rented by the district;
26 (9) a fee for items of personal apparel that become the
27 property of the student and that are used in extracurricular
82511237 JJT-F 136
,
1\
S.B. No.1
1 activities;
2
3
(10) a parking fee or a fee for an identification card;
(11) a fee for a driver training course, not to exceed
4 the actual district cost per student in the program for the current
5 school year;
6 (12) a fee for a course offered for credit that
7 requires the use of facilities not available on the school premises
8 or the employment of an educator who is not part of the school's
9 regular staff, if participation in the course is at the student's
10 option;
11 (13) a fee for a course offered during summer school,
12 except that the board may charge a fee for a course required for
13 graduation only if the course is also offered without a fee during
14 the regular school year;
15 (14) a reasonable fee for transportation of a student
16 who lives within two miles of the school the student attends to and
17 from that school, except that the board may not charge a fee for
18 transportation for which the school district receives funds under
19 Section 42.155(d); [BT]
20 (15) a reasonable fee, not to exceed $50, for costs
21 associated with an educational program offered outside of regular
22 school hours through which a student who was absent from class
23 receives instruction voluntarily for the purpose of making up the
24 missed instruction and meeting the level of attendance required
25 under Section 25.092; or
26 (16) if the district does not receive any funds under
27 Section 42.155 and does not participate in a county transportation
82811237 JJT-F 137
S.B. No.1
1 system for which an allotment is provided under Section 42.155(i),
2 a reasonable fee for the transportation of a student to and from the
3 school the student attends.
4 SECTION 57.02. Effective September 1, 2011, Section 12.106,
5 Education Code, is amended by amending Subsection (a) and adding
6 Subsections (a-3) and (a-4) to read as follows:
7 (a) A charter holder is entitled to receive for the
8 open-enrollment charter school funding under Chapter 42 equal to
9 the greater of:
10 (1) the percentage spec if ied by Sect ion 42.2516 (i)
11 multiplied by the amount of funding per student in weighted average
12 daily attendance, excluding enr ichment funding under Sect ions
13 42.302(a-1)(2) and (3), as they existed on January 1, 2009, that
14 would have been received for the school dur ing the 2009-2010 school
15 year under Chapter 42 as it existed on January 1, 2009, and an
16 additional amount of the percentage specified by Sect ion 42.2516 (i)
17 multiplied by $120 for each student in weighted average daily
18 attendance; or
19 (2) the amo-unt of funding per student in weighted
20 average daily attendance, excluding enrichment funding under
21 Section 42.302(a), to which the charter holder would be entitled
22 for the school under Chapter 42 if the school were a school district
23 without a tier one local share for p u r p ~ s e s of Section 42.253 and
24 without any local revenue for purposes of Section 42.2516.
25 (a-3) In determining funding for an open-enrollment charter
26 school under Subsection (a), the commissioner shall apply the
27 regular program adjustment factor provided under Section 42.101 to
82S11237 JJT-F 138
!;}ithout any leGal revenue fer fHIIfloces of SeetiaR 42.2!31'9].
[the of I
[(1) the affiouRt of fundin per st\:H;Ient in
2009, that 'lIGula have Been reeeiveEl fer the sehaal Eiurin the
2009 2010 seheol year tlnEler Ch3j?ter 42 as it QJEictea OR Jafluary I,
2009, ana an aElaitioflal aFRount of $120 for Gash stuEleRt ifl r"reiAtes.
avcrac daily attene1anoG 1 or
SECTION 57.04. Effective September 1,2011, Section 21.402,
Education Code, is amended by amending Subsections (a), (b), (c),
and (c-1) and adding Subsection (i) to read as follows:
(al Except as provided by Subsection (d) [, (e),] or (f), a
school district must pay each classroom teacher, full-time
OR 331=11:131"0:( 1,
uflaer
(3), as they elristeE!
lEsludiFHJ enriehraeflt
42.302(a 1) (2) aHE!
Elaily attenaanee, averaQ
Setions
S.B. No.1
calculate the regular program allotment to which a charter school
is entitled.
(a-4) Subsection (a-3) and this subsection expire September
1,2015.
SECTION 57.03. Effective September 1,2017, Subsection (a),
Section 12.106, Education Code, is amended to read as follows:
(a) A charter holder is entitled to receive for the
open-enrollment charter school funding under Chapter 42 equal to
the amount of funding per student in weighted
average daily attendance, excluding enrichment funding under
Section 42.302(a), to which the charter holder would be entitled
for the school under Chapter 42 if the school were a school district
without a tier one local share for purposes of Section 42.253 [aH4
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 139
S.B. No. 1
1 librarian, full-time counselor certified under Subchapter B, or
2 full-time school nurse not less than the minimum monthly salary,
3 based on the employee's level of experience in addition to other
4 factors, as determined by commissioner rule, determined by the
5 following formula:
6 MS = SF x FS
7 where:
8 "MS" is the minimum monthly salary;
9 "SF" is the applicable salary factor specified by Subsection
10 (c); and
11 "FS" is the amount, as determined by the commissioner under
12 Subsection (b), of the basic allotment as provided by Section
13 42.101(a) or (b) for a school district with a maintenance and
14 operations tax rate at least equal to the state maximum compressed
15 tax rate, as defined by Section 42 .101(a) [state aHa leeal hmas !Jer
16 \Joightea ctuaoHt, funac previaea uReer oetien 42,2le,
17 availaBle te a aistriet eliisle te roeoiv state accictanee uneer
18 SeotioH uitll. a maiHteHaHoe aHa oj3eratieHS tal[ rate j3er $100
19 sf taua131e 1)311:10 Ctlua1 te the preal:lst sf the state eelRflreOOiSR
20 :fJoreentao, as aeterminea aneer eetien 42.2le; Hlultij?liea By
21 $l.O, oJEsept that the aHl8uFlt sf ota ana leGal tunas Flof ldoihtee
22 otuaent aOGs Rot inelue1e the amount attributable be the inerease in
23 the guaranteeEl level taaele By Cha13ter l1Q7, of the 77th
24 Legislature, Hegular SosGieR, 2001].
25 (b) Not later than June 1 of each year, the commissioner
26 shall determine the basic allotment and resulting monthly salaries
27 to be paid by school districts as provided by Subsection (a) [ameliHt
82811237 JJT-F 140
S . B. No. 1
af state ana leGal fUflas J.3er stuElent availaBle, fer
purJ.38SC sf Su13scetisfl (3), 1;8 a Eiistriet aeseri13eEl ey that
cubcotien fer the fellsJ.liFl sohool year].
salary Fa:tor .ffi5'I [..l.Qlil]
(c-1) Notwithstanding Subsections [Sloll3seetisH) (a) and
(b) [, fsr the 2009 2010 aHa 2010 2011 sehssl years), each school
district shall pay a monthly salary to [iHerease the ffisHthly salary
*] each classroom teacher, full-time speech pathologist,
full-time librarian, full-time counselor certified under
Subchapter B, and full-time school nurse that is at least egual to
the following monthly salary or the monthly salary determined by
the commissioner under Subsections (a) and (b), whichever is
greater [*):
9
4
19
8
lB
Monthly
Salary
2,732
2,791
7
17
6
16
Years of
Experience
o
1
5
15
.8232 .8372 .8"02 [-.!lQiJ .85<l5 [..fSlIl] .8744 [..93e3]
20 all 0Jer
.6312 .fHJJ [..:14'14] .679J [-.=] .'iIX8 [....;Il;l3!;) 7214
ill II 12 D M
74:B :7'3Ff2 [..a;Q] TIfJ3 [..BB;l] 793) .a:B5 [..!O1l)
.54E4 .5582 [..,Ql;)] .5693 .5816 r.......] .Ea1I
Years El<perim::e
salary Fa:tor
Years El<perim:;e
salary Fa:tor
Years El<[erim::e
(c) The salary factors per step are as follows:
Years El<perim::e a 1 2 3
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 141
22 t,,rith aAy recl:lltiA iAoreaces ifl the affiel:lFlt ef oeAtri13l:ltieRs maGe By
23 the eictriet fer seeial soourity fer the sJ.30oifiod
24 sr ay tHe eistriet SR aeHalf sf tHe
25 undor Sootien 823,403, Cevornmofl1; Geeo, may 130 J.3revisod an
26 am8Hn1; eql:lal 1;e tho preal:lot ef SaO multiplies By the numBer sf
27 ctue1eRtc if} rnreightea average Eiaily attofle1anee iR tho coheel luring
82811237 JJT-F 142
S.B. No. 1
1 the 2009 2010 sehaal year. J
2 (i) Not later than January 1, 2013, the commissioner shall
3 submit to the governor, the lieutenant governor, the speaker of the
4 house of representatives, and the presiding officer of each
5 legislative standing committee with primary jurisdiction over
6 primary and secondary education a wr itten report that evaluates and
7 provides recommendations regarding the salary schedule. This
8 subsection expires September 1, 2013.
10 Education Code, is amended by amending Subsection (a) and adding
11 Subsection (e-1) to read as follows:
12 (a) Except as provided by Subsection (d), (e-1) [+e+J, or
13 (f), a school district must pay each classroom teacher, full-time
14 librarian, full-time counselor certified under Subchapter B, or
15 full-time school nurse not less than the minimum monthly salary,
16 based on the employee's level of experience in addition to other
17 factors, as determined by commissioner rule, determined by the
18 following formula:
19 MS=SFxFS
20 where:
21 "MS" is the minimum monthly salary;
22 "SF" is the applicable salary factor specified by Subsection
23 (c); and
24 "FS" is the amount, as determined by the commissioner under
25 Subsection (b), of the basic allotment as provided by Section
26 42.101(a) or (b) for a school district with a maintenance and
27 operations tax rate at least equal to the state maximum compressed
82811237 JJT-F 143
S.B. No.1
1 tax rate, as defined by Section 42.101(a) [state and leeal fHnds fler
2 ineluein iMAGO unaer Scetien 42.2le,
3 availaBle 1;8 a 6io1;rio1; 1;8 resolve state asoiotanee under
4 Sootion 42.302 a maintenaoec ana taJE rate $100
5 af tauaale valHc oEJUal 1;8 the preell:lot sf the state GGlRf3roooien
6 f3orooBtac, as eleterHliRoEl under cetioR 42,2le, HH:lltiplieel By
7 $l.O, OlEoopt tHat the aHl8\:lnt af state anE! 180al tunas J?or ucihteEl
8 student deoc 'Rot ineluae the aHl8unt attributable 1;8 the inereaso in
9 the l:laranteeEl level maGe By Chapter l1Q7, Plebe sf the 77th
10 Liolature, Roular SoooieR, 2001].
11 (e-1) If the minimum monthly salary determined under
12 Subsection (a) for a particular level of exper ience is less than the
13 minimum monthly salary for that level of experience in the
14 preceding year, the minimum monthly salary is the minimum monthly
15 salary for the preceding year.
17 by amending Subsection (a) and adding Subsection (a-1) to read as
18 follows:
19 (a) A school district may not have a wealth per student that
20 exceeds:
21 (1) the wealth per student that generates the amount
22 of maintenance and operations tax revenue per weighted student
23 available to a district with maintenance and operations tax revenue
24 per cent of tax effort equal to the maximum amount provided per cent
25 under Section 42.101(a) or (b) [42.1Ql], for the district's
26 maintenance and operations tax effort equal to or less than the rate
27 equal to the product of the state compression percentage, . as
82811237 JJT-F 144
S.B. No.1
1 determined under Section 42.2516, multiplied by the maintenance and
2 operations tax rate adopted by the district for the 2005 tax year;
3 (2) the wealth per student that generates the amount
4 of maintenance and operations tax revenue per weighted student
5 available to the Austin Independent School District, as determined
6 by the commissioner in cooperation with the Legislative Budget
7 Board, for the first six cents by which the district's maintenance
8 and operations tax rate exceeds the rate equal to the product of the
9 state compression percentage, as determined under Section 42.2516,
10 multiplied by the maintenance and operations tax rate adopted by
11 the district for the 2005 tax year, subject to Section 41.093(b-1);
12 or
13 (3) $319,500, for the district's maintenance and
14 operations tax effort that exceeds the first six cents by which the
15 district's maintenance and operations tax effort exceeds the rate
16 equal to the product of the state compression percentage, as
17 determined under Section 42.2516, multiplied by the maintenance and
18 operations tax rate adopted by the district for the 2005 tax year.
19 (a-1) Notwithstanding Subsection (a), a school district
20 that imposed a maintenance and operations tax for the 2010 tax year
21 at the maximum rate permitted under Section 45.003 may not have a
22 wealth per student that exceeds $339,500 for the district's
23 maintenance and operations tax effort descr ibed by Subsection
24 (a) (3). This subsection expires September 1, 2012.
25 SECTION 57.07. Effective September 1, 2011, the heading to
26 Section 42.101, Education Code, is amended to read as follows:
27 Sec. 42.101. BASIC AND REGULAR PROGRAM ALLOTMENTS
82511237 JJT-F 145
S.B. No.1
1
3 Education Code, is amended by amending Subsections (a) and (b) and
4 adding Subsections (c), (c-l), (c-2), and (c-3) to read as follows:
5 (a) The basic [For oasH iB avoraEjo aaily attoBaaBso I
6 not: insludin'3 the time ct1::lElents GpeflQ sasR say iR 6:1?eeial ea\:1Gatien
7 prOraffiG in an instruGtional arrangement ether than mainstream ar
8 GaIGer ana eel1::lSatioR f1Tograms, for 'Thieh an ae1ditienal
9 allotment is maee Sf a eiotriet ic oRtitlee 1;8 an]
10 allotment is an amount equal to the lesser of $4,765 or the amount
11 that results from the following formula:
12 A=$4,765X(DCR/MCR)
13 where:
14 "A" is the resulting amount for [allotllloBt to liHisH] a
15 district [is oBtitloa];
16 "DCR" is the distr ict I s compressed tax rate, which is the
17 product of the state compression percentage, as determined under
18 Section 42.2516, multiplied by the maintenance and operations tax
19 rate adopted by the distr ict for the 2005 tax year; and
20 "MCR" is the state maximum compressed tax rate, which is the
22 Section 42.2516, multiplied by $1.50.
23 (b) A greater amount for any school year for the basic
24 allotment under Subsection (a) may be provided by appropriation.
25 (c) A school district is entitled to a regular program
26 allotment equal to the amount that results from the following
27 formula:
82811237 JJT-F 146
S.B. No.1
1 RPA = ADA X AA X RPAF
2 where:
3 "RPA" is the regular program allotment to which the district
4 is entitled;
5 "ADA" is the number of students in average daily attendance
6 in a district, not including the time students spend each day in
7 special education programs in an instructional arrangement other
8 than mainstream or career and technology education programs, for
9 which an additional allotment is made under Subchapter C;
10 "AA" is the district's adjusted basic allotment, as
11 determined under Section 42.102 and, if applicable, as further
12 adjusted under Section 42.103; and
13 "RPAF" is the regular program adjustment factor.
14 (c-1) Except as provided by Subsection (c-2), the regular
15 program adjustment factor ("RPAF") is 0.9239 for the 2011-2012
16 school year and 0.98 for the 2012-2013 school year.
17 (c-2) For a school district that does not receive funding
18 under Section 42.2516 for the 2011-2012 school year, the
19 commissioner may set the regular program adjustment factor ("RPAF")
20 at 0.95195 for the 2011-2012 and 2012-2013 school years if the
21 distr ict demonstr at es that funding reductions as a result of
22 adjustments to the regular program allotment made by S.B. No.1,
23 Acts of the 82nd Legislature, 1st Called Session, 2011, will result
24 in a hardship to the district in the 2011-2012 school year.
25 Notwithstanding any other provision of this subsection, the
26 commissioner shall adjust the regular program adjustment factor
27 ("RPAF") for the 2012-2013 school year for a school district whose
82S11237 JJT-F 147
S.B. No.1
1 regular program adjustment factor is set in accordance with this
2 subsection to ensure that the total amount of state and local
3 revenue in the combined 2011-2012 and 2012-2013 school years does
4 not differ from the amount the district would have received if the
5 district's regular program adjustment factor had not been set in
6 accordance with this subsection. A determination by the
7 commissioner under this subsection is final and may not be
8 appealed.
9 (c-3) The regular program adjustment factor ("RPAF") is
10 0.98 for the 2013-2014 and 2014-2015 school years or a greater
11 amount established by appropriation, not to exceed 1.0. This
12 subsection and Subsections (c), (c-1), and (c-2) expire September
13 1, 2015.
14 SECTION 57.09. Effective September 1,2015, Section 42.101,
15 Education Code, is amended to read as follows:
16 Sec. 42.101. BASIC ALLOTMENT. (a) For each student in
17 average daily attendance, not including the time students spend
18 each day in special education programs in an instructional
19 arrangement other than mainstream or career and technology
20 education programs, for which an additional allotment is made under
21 Subchapter C, a district is entitled to an allotment equal to the
22 lesser of $4,765 or the amount that results from the following
23 formula:
24 A = $4,765 X (DCR/MCR)
25 where:
26 "A" is the allotment to which a district is entitled;
27 "DCR" is the district's compressed tax rate, which is the
82811237 JJT-F 148
S.B. No.1
2 Section 42.2516, multiplied by the maintenance and operations tax
3 rate adopted by the distr ict for the 2005 tax year; and
4 "MCR" is the state maximum compressed tax rate, which is the
6 Section 42.2516, multiplied by $1.50.
7 (bl A greater amount for any school year may be provided by
8 appropriation.
10 Educat ion Code, is amended to read as follows:
11 Sec. 42.105. SPARSITY ADJUSTMENT. Notwithstanding
12 Sections 42.101, 42.102, and 42.103, a school district that has
13 fewer than 130 students in average daily attendance shall be
14 provided a regular program [aR aajustea sasie] allotment on the
15 basis of 130 students in average daily attendance if it offers a
16 kindergarten through grade 12 program and has preceding or current
17 year's average daily attendance of at least 90 students or is 30
18 miles or more by bus route from the nearest high school district. A
19 district offering a kindergarten through grade 8 program whose
20 preceding or current year's average daily attendance was at least
21 50 students or which is 30 miles or more by bus route from the
22 nearest high school district shall be provided a regular program
23 laR aajustea sasie] allotment on the basis of 75 students in average
24 daily attendance. An average daily attendance of 60 students shall
25 be the basis of providing the regular program [aajustea sasie]
26 allotment if a distr ict off er s a kindergarten through gr ade 6
27 program and has preceding or current year's average daily
82S11237 JJT-F 149
S.B. No.1
1 attendance of at least 40 students or is 30 miles or more by bus
2 route from the nearest high school district.
4 Education Code, is amended to read as follows:
5 Sec. 42.105. SPARSITY ADJUSTMENT. Notwithstanding
6 Sections 42.101, 42.102, and 42.103, a school district that has
7 fewer than 130 students ln average daily attendance shall be
8 provided an adjusted basic allotment on the basis of 130 students in
9 average daily attendance if it offers a kindergarten through grade
10 12 program and has preceding or current year's average daily
12 route from the nearest high school district. A district offering a
13 kindergarten through grade 8 program whose preceding or current
14 year's average daily attendance was at least 50 students or which is
15 30 miles or more by bus route from the nearest high school district
16 shall be provided an adjusted basic allotment on the basis of 75
17 students in average daily attendance. An average daily attendance
18 of 60 students shall be the basis of providing the adjusted basic
19 allotment if a district offers a kindergarten through grade 6
20 program and has preceding or current year's average daily
22 route from the nearest high school district.
23 SECTION 57.12. Subsection (c), Section 42.152, Education
25 (c) Funds allocated under this section shall be used to fund
26 supplemental programs and services designed to eliminate any
27 disparity in performance on assessment instruments administered
82511237 JJT-F 150
#
S.B. No.1
1 under Subchapter B, Chapter 39, or disparity in the rates of high
2 school completion between students at risk of dropping out of
3 school, as defined by Section 29.081, and all other students.
4 Specifically, the funds, other than an indirect cost allotment
5 established under State Board of Education rule, which may not
6 exceed 45 percent, may be used to meet the costs of providing a
7 compensatory, intensive, or accelerated instruction program under
8 Section 29.081 or a disciplinary [aR] alternative education program
9 established under Section 37.008, to pay the costs associated with
10 placing students in a juvenile justice alternative education
11 program established under Section 37.011, or to support a program
12 eligible under Title I of the Elementary and Secondary Education
13 Act of 1965, as provided by Pub. L. No. 103-382 and its subsequent
14 amendments, and by federal regulations implementing that Act, at a
15 campus at which at least 40 percent of the students are
16 educationally disadvantaged. In meeting the costs of providing a
17 compensatory, intensive, or accelerated instruction program under
18 Sect ion 29.081, a distr ict I S compensatory education allotment
19 shall be used for costs supplementary to the regular education
20 program, such as costs for program and student evaluation,
21 instructional materials and equipment and other supplies required
22 for quality instruction, supplemental staff expenses, salary for
23 teachers of at-risk students, smaller class size, and
24 individualized instruction. A home-rule school district or an
25 open-enrollment charter school must use funds allocated under
26 Subsection (a) for a purpose authorized in this subsection but is
27 not otherwise subject to Subchapter C, Chapter 29. For
82811237 JJT-F 151
S.B. No.1
any ether previcisRC af this sootieR:
[(1) 1::8 CRsurc that a GuffioicRt aragunt af the fURes
[(8) tAe GSHlffiissi8Fler ma]ces the uaiver req\:lest
infsrFRatieFl availaBle anFl\:lally t8 tAe fJ\:l131is SA the aeAGY's
'deBsite 1 aREl
[(3) fer] purposes of this subsection, a program
specifically designed to serve students at risk of dropping out of
school, as defined by Section 29.081, is considered to be a program
supplemental to the regular education program, and a district may
use its compensatory education allotment for such a program.
SECTION 57.13. Subchapter C, Chapter 42, Education Code, is
amended by adding Section 42.1541 to read as follows:
Sec. 42.1541. INDIRECT COST ALLOTMENTS. (a) The State
inotI\:lstisflal prorafRc aRe sexl,leos, He merc tRdA: 18 pelecRt of the
funas alletted unaer this soot ion fRay be usee 1::8 tuna Eliceiplinary
alternative eeh:lGatieR estaJalishes. HRaCI SootieR d7. 008,
[(2) the GSEf\fRissisRcr fRay Halve the limitatieRo sf
Sa13Eli
Y
risisfl (1) \:ipSO aR annual petitisR, lay a aiotrist '0 seare ane a
e1iotrist's site sacca elcsioisfl ma]'i:iR 88lRffiittec, I?reccFreiR tHe
reasan fer the neea to spena 6upplcmcRtal eduoatien
fUflElc SA elicoiJ?liAary alterRativ cehloatisR pr8raHlG \:iRaCI Sootien
d7; 008, J.3reviEleEl tAat:
[(A) tAe Eliotrist in its J.3etitien reJ.3erts the
n\:l:aH3er sf st\:laeFlto in eash raele level, By Eleffisraphis S\:lBrS\:lp,
FlSt FRakiFl satisfaetery J.3rsress \:lnEler tHo state's aSGeSSFRent
syst eFR 1 anEl
supplement t8 available are sootieR tRio 3110t1:: eEl HnEler
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82811237 JJT-F 152
S.B. No. 1
1 Board of Education shall by rule increase the indirect cost
2 allotments established under Sections 42.151(h), 42.152(c),
3 42.153(b), and 42.154(a-l) and (c) and in effect for the 2010-2011
4 school year in proportion to the average percentage reduction in
5 total state and local maintenance and operations revenue provided
6 under this chapter for the 2011-2012 school year as a result of S.B.
7 Nos. 1 and 2, Acts of the 82nd Legislature, 1st Called Session,
8 2011.
9 (b) To the extent necessary to permit the board to comply
10 with this section, the limitation on the percentage of the indirect
11 cost allotment prescribed by Section 42.152(c) does not apply.
12 (c) The board shall take the action required by Subsection
13 (a) not later than the date that permits the increased indirect cost
14 allotments to apply beginning with the 2011-2012 school year.
15 SECTION 57.14. Effective September 1, 2011, Subsection (a),
17 (a) The sum of the regular program [Basis] allotment under
18 Subchapter B and the special allotments under Subchapter C,
19 computed in accordance with this chapter, constitute the tier one
20 allotments. The sum of the tier one allotments and the guaranteed
21 yield allotments under Subchapter F, computed in accordance with
22 this chapter, constitute the total cost of the Foundation School
23 Program.
24 SECTION 57.15. Effective September 1,2015, Subsection (a),
26 (a) The sum of the basic allotment under Subchapter Band
27 the special allotments under Subchapter C, computed in accordance
82811237 JJT-F 153
S . B. No. 1
1 with this chapter, constitute the tier one allotments. The sum of
2 the tier one allotments and the guaranteed yield allotments under
3 Subchapter F, computed in accordance with this chapter, constitute
4 the total cost of the Foundation School Program.
7 Sec. 42.2514. ADDITIONAL STATE AID FOR TAX INCREMENT
8 FINANCING PAYMENTS. For each school year, a school distr ict,
9 including a school district that is otherwise ineligible for state
10 aid under this chapter, is entitled to state aid in an amount equal
11 to the amount the district is required to pay into the tax increment
12 fund for a reinvestment zone under Section 311.013(n), Tax Code.
13 SECTION 57.17. Effective September 1, 2011, Section
14 42.2516, Education Code, is amended by amending Subsections (a),
15 (b), (d), and (f-2) and adding Subsection (i) to read as follows:
16 (a) In this title [seetieR), "state compression percentage"
17 means the percentage [i as EletenaiReEl By the eelllffiissieRer i) of a
18 school district's adopted maintenance and operations tax rate for
19 the 2005 tax year that serves as the basis for state funding [ ~
20 talE rate reEluetieR uREler this seetieR). If the state compression
21 percentage is not established by appropriation for a school year,
22 the [.!!he-) commissioner shall determine the state compression
23 percentage for each school year based on the percentage by which a
24 district is able to reduce the district's maintenance and
25 operations tax rate for that year, as compared to the district's
26 adopted maintenance and operations tax rate for the 2005 tax year,
27 as a result of state funds appropriated for distribution under this
82811237 JJT-F 154
#
S.B. No. 1
1 section for that year from the property tax relief fund established
2 under Section 403.109, Government Code, or from another funding
3 source available for school district property tax relief.
4 (b) Notwithstanding any other provision of this title, a
5 school district that imposes a maintenance and operations tax at a
6 rate at least equal to the product of the state compression
7 percentage multiplied by the maintenance and operations tax rate
8 adopted by the district for the 2005 tax year is entitled to at
9 least the amount of state revenue necessary to provide the district
10 with the sum of:
11 (1) the percentage specified by Subsection (i) of the
12 amount, as calculated under Subsection (e), [the am8HHt] of state
13 and local revenue per student in weighted average daily attendance
14 for maintenance and operations that the district would have
15 received dur ing the 2009-2010 school year under Chapter 41 and this
16 chapter, as those chapters existed on January 1, 2009, at a
17 maintenance and operations tax rate equal to the product of the
18 state compression percentage for that year multiplied by the
19 maintenance and operations tax rate adopted by the district for the
20 2005 tax year;
21 (2) the percentage specified by Subsection (i) of an
22 amount equal to the product of $120 multiplied by the number of
23 students in weighted average daily attendance in the district; and
24 (3) [aa amount e ~ l : l a l to tAo aH\Ol::lflt the Elistrist is
25 requireEl 1::0 J?ay into the tau inercmont fU:Fla fer a rOiFlYOstmont BOFl:e
26 liBEler SootiOR 311.013(n), Tan Ceae, in the G\:1rroFlt tan year, and
27 [+4+] any amount to which the district is entitled
82S11237 JJT-F 155
S.B. No.1
1 under Sect ion 42.106.
2 (d) In determining the amount to which a distr ict is
3 entitled under Subsection (b) (1), the commissioner shall:
4 (1) inc lude the percentage specif ied by Subsect ion (i)
5 of any amounts received by the distr ict dur ing the 2008-2009 school
6 year under Rider 86, page 111-23, Chapter 1428 (H.B. 1), Acts of the
7 80th Legislature, Regular Session, 2007 (the General
8 Appropriations Act); and
9 "(2) for a school district that paid tuition under
10 Section 25.039 during the 2008-2009 school year, reduce the amount
11 to which the district is entitled by the amount of tuition paid
12 dur ing that school year.
13 (f-2) The rules adopted by the commissioner under
14 Subsection (f-1) must:
15 (1) require the commissioner to determine, as if this
16 section did not exist, the effect under Chapter 41 and this chapter
17 of a school district's action described by Subsection (f-1)(1),
18 (2), (3), or (4) on the total state revenue to which the district
19 would be entitled or the cost to the district of purchasing
20 sufficient attendance credits to reduce the district's wealth per
21 student to the equalized wealth level; and
22 (2) require an increase or reduction in the amount of
23 state revenue to which a school district is entitled under
24 Subsect ion (b) (1) [+!H-] that is substantially equivalent to any
25 change in total state revenue or the cost of purchasing attendance
26 credits that would apply to the district if this section did not
27 exist.
82S11237 JJT-F 156
S.B. No.1
1 (i) The percentage to be applied for purposes of Subsections
2 (b) (1) and (2) and Subsection (d) (1) is 100.00 percent for the
3 2011-2012 school year and 92.35 percent for the 2012-2013 school
4 year. For the 2013-2014 school year and each subsequent school
5 year, the legislature by appropriation shall establish the
6 percentage reduction to be applied.
7 SECTION 57.18. Effective September 1, 2017, the heading to
9 Sec. 42.2516. STATE COMPRESSION PERCENTAGE [A99I'l!IQNAL
10 'PA'PE AI9 FOR 'PAX RE9UC'PIml] .
11 SECTION 57.19. Effective September 1, 2017, Subsection (a),
13 (a) In this title [sestisH], "state compression percentage"
14 means the percentage[, as aetermiHea hy tRe sSffiffiissisHer,] of a
15 school district's adopted maintenance and operations tax rate for
16 the 2005 tax year that serves as the basis for state funding [ ~
17 tall rate reaHstisH HHaer tRis sestisH]. If the state compression
18 percentage is not established by appropriation for a school year,
19 the [ ~ ] commissioner shall determine the state compression
20 percentage for each school year based on the percentage by which a
21 district is able to reduce the district's maintenance and
22 operations tax rate for that year, as compared to the district's
23 adopted maintenance and operations tax rate for the 2005 tax year,
24 as a result of state funds appropriated for [aistrihHtisH HHaer
25 tRis sestisH fsr] that year from the property tax relief fund
26 established under Section 403.109, Government Code, or from another
27 funding source available for school district property tax relief.
82S11237 JJT-F 157
S.B. No. 1
1 SECTION 57.20. Effect ive September 1, 2011, Subsect ion (a l ,
3 (al The commissioner shall provide South Texas Independent
4 School District with the amount of state aid necessary to ensure
5 that the district receives an amount of state and local revenue per
6 student in weighted average daily attendance that is at least the
7 percentage specified by Section 42.2516(il of $120 greater than the
8 amount the district would have received per student in weighted
9 average daily attendance during the 2009-2010 school year under
10 this chapter, as it existed on January 1, 2009, at a maintenance and
11 operations tax rate equal to the product of the state compression
12 percentage multiplied by the maintenance and operations tax rate
13 adopted by the district for the 2005 tax year, provided that the
14 district imposes a maintenance and operations tax at that rate.
17 Sec. 42.2525. ADJUSTMENTS FOR CERTAIN DISTRICTS RECEIVING
18 FEDERAL IMPACT AID. The commissioner is granted the authority to
19 ensure that school districts receiving federal impact aid due to the
20 presence of a military installation or significant concentrations
21 of military students do not receive more than an eight percent
22 reduction should the federal government reduce appropriations to
23 those schoo Is.
24 SECTION 57.22. Effective September 1, 2011, Subsection (hl ,
26 (hl If the amount appropriated for the Foundation School
27 Program for the second year of a state fiscal biennium is less than
.'
82S11237 JJT-F 158
..
S.B. No.1
1 the amount to which school districts and open-enrollment charter
2 schools are entitled for that year, the commissioner shall certify
3 the amount of the difference to the Legislative Budget Board not
4 later than January 1 of the second year of the state fiscal
5 biennium. The Legislative Budget Board shall propose to the
6 legislature that the certified amount be transferred to the
7 foundation school fund from the economic stabilization fund and
8 appropr iated for the purpose of increases in allocations under this
9 subsection. If the legislature fails during the regular session to
10 enact the proposed transfer and appropriation and there are not
11 funds available under Subsection (j), the commissioner shall adjust
12 [reaBee] the total amounts due to each school district and
13 open-enrollment charter school under this chapter and the total
14 amounts necessary for each school district to comply with the
15 requirements of Chapter 41 [ameBHt ef state fBHes allseatea ts eaeH
16 aistrietl by an amount determined by applying to each district and
17 school, including a district receiving funds under Section 42.2516,
18 the same percentage adjustment to the total amount of state and
19 local revenue due to the district or school under this chapter and
20 Chapter 41 so that the total amount of the adjustment to all
21 districts and schools [a metHse BHeer wHieH tHe alllllieatisH sf tHe
22 caFRe numBer af Gents af iRGreaC if} tan rate in all Elictriets
23 af)f31ieEl 1;8 the tanable value of property af cash Elictriot, as
24 EleterRliflcEl under Sl:l13eHa}?ter M, Cha}?ter 403, GeverRffiont GeEls,]
25 results in an amount [a tetal levy] equal to the total adjustment
26 necessary [reaBetisH]. The following fiscal year..:.
27 lll[T] a district's or school's entitlement under this
82S11237 JJT-F 159
S.B. No.1
1 section is increased by an amount equal to the adjustment
2 [reaHstiefl) made under this subsection; and
3 (2) the amount necessary for a district to comply with
4 the requirements of Chapter 41 is reduced by an amount necessary to
5 ensure the district's full recovery of the adjustment made under
6 this subsection.
7 SECTION 57.23. Effective September 1,2017, Subsection (h),
9 (h) If the amount appropriated for the Foundation School
10 Program for the second year of a state fiscal biennium is less than
11 the amount to which school districts and open-enrollment charter
12 schools are entitled for that year, the commissioner shall certify
13 the amount of the difference to the Legislative Budget Board not
14 later than January 1 of the second year of the state fiscal
15 biennium. The Legislative Budget Board shall propose to the
16 legislature that the certified amount be transferred to the
17 foundation school fund from the economic stabilization fund and
18 appropriated for the purpose of increases in allocations under this
19 subsection. If the legislature fails during the regular session to
20 enact the proposed transfer and appropriation and there are not
21 funds available under Subsect ion (j), the commissioner shall adjust
22 [reaHse) the total amounts due to each school district and
23 open-enrollment charter school under this chapter and the total
24 amounts necessary for each school district to comply with the
25 requirements of Chapter 41 [ameHflt ef state fHflas allesatea te easR
26 aistrist) by an amount determined by applying to each district and
27 school the same percentage adjustment to the total amount of state
..
82511237 JJT-F 160
S.B. No.1
1 and local revenue due to the district or school under this chapter
2 and Chapter 41 so that the total amount of the adjustment to all
3 districts and schools [a metRoe lineer uRieR tRe aflfllieation of tRe
4 GaRlO RUFFlSS! af GOAts af increase in tan rate in all distriets
5 applieEl t8 the tauable value af preflerty sf cash aictriet i ao
6 EleterFRinea uneer Subchapter M, Chapter 40J, CeverFHRont CaElo,]
7 results in an amount [a total levy] equal to the total adjustment
8 necessary [reelietion]. The following fiscal year:
9 l1l[,] a district's or school's entitlement under this
10 section is increased by an amount equal to the adjustment
11 [reelistion] made under this subsection: and
12 (2) the amount necessary for a district to comply with
13 the requirements of Chapter 41 is reduced by an amount necessary to
14 ensure a district's full recovery of the adjustment made under this
15 subsection.
17 by amending Subsection (a) and adding Subsection (a-I) to read as
18 follows:
19 (a) If a school district has received an over allocation of
20 state funds, the agency shall, by withholding from subsequent
21 allocations of state funds for the current or subseguent school
22 year or by requesting and obtaining a refund, recover from the
23 district an amount equal to the overallocation.
24 (a-I) Notwithstanding Subsection (a), the agency may
25 recover an over allocation of state funds over a period not to exceed
26 the subseguent five school years if the commissioner determines
27 that the overallocation was the result of exceptional circumstances
82S11237 JJT-F 161
S.B. No.1
1 reasonably caused by statutory changes to Chapter 41 or 46 or this
2 chapter and related reporting requirements.
5 (b) For each year, the commissioner shall certify to each
6 school district or participating charter school the amount of[+
7 [++] additional funds to which the district or school
8 is entitled due to the increase made by H.B. No. 3343, Acts of the
9 77th Legislature, Regular Session, 2001, to:
10 ill [+A+] the equalized wealth level under Section
11 41. 002; or
12 ill [+B+] the guaranteed level of state and local
13 funds per weighted student per cent of tax effort under Section
14 4 2 . 3 0 2 [ ~
15 [(2) aaElitisflal otat8 aiel 1;8 ';Thieh the Eliotriet er
16 seheal is entitlea Ufleer Seetion 42.213].
18 by adding Subsection (a-3) to read as follows:
19 (a-3) Notwithstanding Subsections (al and (a-l), for a
20 school district that imposed a maintenance and operations tax for
21 the 2010 tax year at the maximum rate permitted under Section
22 45.003, the dollar amount quaranteed level of state and local funds
23 per weighted student per cent of tax effort ("GL") for the
24 district's maintenance and operations tax effort described by
25 Subsection (a-1) (2) is $33.95. This subsection expires September
26 1,2012.
82811237 JJT-F 162
S.B. No. 1
1 by adding Subsection (g-l) to read as follows:
2 (g-l) If the rate calculated under Subsection
3 (c)(5) (A) (ii)(b) decreases after the publication of the notice
4 required by this section, the president is not required to publish
5 another notice or call another meeting to discuss and adopt the
6 budget and the proposed lower tax rate.
7 SECTION 57.28. Subsection (a), Section 26.05, Tax Code, is
9 (a) The governing body of each taxing unit, before the later
10 of September 30 or the 60th day after the date the certified
11 appraisal roll is received by the taxing unit, shall adopt a tax
12 rate for the current tax year and shall notify the assessor for the
13 unit of the rate adopted. The tax rate consists of two components,
14 each of which must be approved separately. The components are:
15 (1) for a taxing unit other than a school district, the
16 rate that, if applied to the total taxable value, will impose the
17 total amount published under Sect ion 26.04 (e) (3) (C), less any
18 amount of additional sales and use tax revenue that will be used to
19 pay debt service, or, for a school district, the rate calculated
20 [ ~ H s l i s H e e ] under Section 44.004(c)(5)(A)(ii)(b), Education Code;
21 and
22 (2) the r ate that, if applied to the total taxable
23 value, will impose the amount of taxes needed to fund maintenance
24 and operation expenditures of the unit for the next year.
25 SECTION 57.29. Effective September 1, 2017, Subsection (i),
26 Section 26.08, Tax Code, is amended to read as follows:
27 (i) For purposes of this sect ion, the eff ect ive maintenance
82811237 JJT-F
163
S.B. No.1
1 and operations tax rate of a school district is the tax rate that,
2 applied to the current total value for the district, would impose
3 taxes in an amount that, when added to state funds that would be
4 distributed to the district under Chapter 42, Education Code, for
5 the school year beginning in the current tax year using that tax
6 rate, [iFlcll:laiFl state f\:lnec that will lac aictri13utee1 1;0 the
7 Eliotriet iR that scheal year uRela! Soetisa 42.2!e, EElueatisR
8 Ceee,] would provide the same amount of state funds distributed
9 under Chapter 42, Education Code, [iRelHeiR, state fHReS
10 Elictrilautea uHacr SoetisFl 42.2le, Eauoation Ceeo,] and
11 maintenance and operations taxes of the district per student in
12 weighted average daily attendance for that school year that would
13 have been available to the district in the preceding year if the
14 funding elements for Chapters 41 and 42, Education Code, for the
15 current year had been in effect for the preceding year.
16 SECTION 57.30. Subsection (n), Section 311.013, Tax Code,
18 (n) This subsection applies only to a school district whose
19 taxable value computed under Section 403.302(d), Government Code,
20 is reduced in accordance with Subdivision (4) of that
21 subsection. In addition to the amount otherwise required to be
22 paid into the tax increment fund, the district shall pay into the
23 fund an amount equal to the amount by which the amount of taxes the
24 distr ict would have been required to pay into the fund in the
25 current year if the district levied taxes at the rate the district
26 levied in 2005 exceeds the amount the distr ict is otherwise
27 required to pay into the fund in the year of the reduction. This
82511237 JJT-F 164
S.B. No.1
1 additional amount may not exceed the amount the school district
2 receives in state aid for the current tax year under Section
3 42.2514, Education Code. The school distr ict shall pay the
4 additional amount after the district receives the state aid to
5 which the distr ict is ent i tIed for the cur rent tax year under
6 Section 42.2514, Education Code.
7 SECTION 57.31. Effective September 1, 2011, the following
8 provisions of the Education Code are repealed:
(1) Subsections (c-2), (c-3), and (e), Section 21.402;
(2) Section 42.008; and
(3) Subsections (a-I) and (a-2), Section 42.101.
9
10
11
12 SECTION 57.32. (a) Effective September 1, 2017, the
13 following provisions of the Education Code are repealed:
14
15
(1) Section 41. 0041;
(2) Subsections (b), (b-1), (b-2), (c), (d), (e), (f),
(b) Effective September 1, 2017, Subsections (i-I) and (j),
(3 )
Section 42.25161;
(4 )
Subsection ( c) , Section 42.2523;
(5 )
Subsection
(g) ,
Sect ion 42.2524;
(6 )
Subsection (c-1) , Section 42.253; and
( 7)
Section 42.261.
16 (f-1), (f-2), (f-3), and (i), Section 42.2516;
17
18
19
20
21
22
23 Section 26.08, Tax Code, are repealed.
24 SECTION 57.33. (a) The speaker of the house of
25 representatives and the lieutenant governor shall establish a joint
26 legislative interim committee to conduct a comprehensive study of
27 the public school finance system in this state.
82811237 JJT-F 165
S . B. No. 1
1 (b) Not later than January 15, 2013, the committee shall
2 make recommendations to the 83rd Legislature regarding changes to
3 the public school finance system.
4 (c) The committee is dissolved September 1, 2013.
5 SECTION 57.34. It is the intent of the legislature, between
6 fiscal year 2014 and fiscal year 2018, to continue to reduce the
7 amount of Additional State Aid For Tax Reduction (ASATR) to which a
8 school district is entitled under Section 42.2516, Education Code,
9 and to increase the basic allotment to which a school district is
10 entitled under Section 42.101, Education Code.
11 SECTION 57.35. Except as otherwise provided by this Act,
12 the changes in law made by this Act to Chapter 42, Education Code,
13 apply beginning with the 2011-2012 school year.
14 SECTION 57.36. The change in law made by Subsection (g-l),
15 Section 44.004, Education Code, as added by this Act, applies
16 beginning with adoption of a tax rate for the 2011 tax year.
17 ARTICLE 58. MIXED BEVERAGE TAX REIMBURSEMENTS
18 SECTION 58.01. Effective September 1, 2013, Subsection (b),
19 Section 183.051, Tax Code, is amended to read as follows:
20 (b) The comptroller shall issue to each county described in
21 Subsection (a) a warrant drawn on the general revenue fund in an
22 amount appropr iated by the legislature that may not be less
23 [ ~ r e a t e r ] than 10.7143 percent of receipts from permittees within
24 the county during the quarter and shall issue to each incorporated
25 municipality described in Subsection (a) a warrant drawn on that
26 fund in an amount appropriated by the legislature that may not be
27 less [ ~ r e a t e r ] than 10.7143 percent of receipts from permittees
1
82511237 JJT-F 166
S.B. No.1
1 within the incorporated municipality dur ing the quarter.
2 ARTICLE 59. GUARANTEE OF OPEN-ENROLLMENT CHARTER SCHOOL BONDS BY
3 PERMANENT SCHOOL FUND
4 SECTION 59.01. Subchapter D, Chapter 12, Education Code, is
6 Sec. 12.135. DESIGNATION AS CHARTER DISTRICT FOR PURPOSES
7 OF BOND GUARANTEE. (a) On the application of the charter holder,
8 the commissioner may grant designation as a charter district to an
9 open-enrollment charter school that meets financial standards
10 adopted by the commissioner. The financial standards must reguire
11 an open-enrollment charter school to have an investment grade
12 credit rating as specified by Section 45.0541-
13 (b) A charter distr ict may apply for bonds issued under
14 Chapter 53 for the open-enrollment charter school to be guaranteed
15 by the permanent school fund as provided by Chapter 45.
17 by adding Subdivision (l-a) and amending Subdivision (2) to read as
18 follows:
19 (I-a) "Charter district" means an open-enrollment
20 charter school designated as a charter distr ict under Section
21 12.135.
22 (2) "Paying agent" means the financial institution
23 that is designated by a school district or charter district as its
24 agent for the payment of the principal of and interest on guaranteed
25 bonds.
82511237 JJT-F 167
S.B. No. 1
1 Sec. 45.052. GUARANTEE. (a) On approval by the
2 commissioner, bonds issued under Subchapter A by a school district
3 or Chapter 53 for a charter district, including refunding bonds,
4 are guaranteed by the corpus and income of the permanent school
5 fund.
6 (b) Notwithstanding any amendment of this subchapter or
7 other law, the guarantee under this subchapter of school district
8 or charter district bonds remains in effect until the date those
9 bonds mature or are defeased in accordance with state law.
10 SECTION 59.04. Subchapter C, Chapter 45, Education Code, is
12 Sec. 45.0532. LIMITATION ON GUARANTEE OF CHARTER DISTRICT
13 BONDS. (a) In addition to the general limitation under Section
14 45.053, the commissioner may not approve charter distr ict bonds for
15 guarantee under this subchapter in a total amount that exceeds the
16 percentage of the total available capacity of the guaranteed bond
17 program that is equal to the percentage of the number of students
18 enrolled in open-enrollment charter schools in this state compared
19 to the total number of students enrolled in all public schools in
20 this state, as determined by the commissioner.
21 (b) For purposes of Subsection (a), the total available
22 capacity of the guaranteed bond program is the limit established by
23 the board under Sections 45.053(d) and 45.0531 minus the total
24 amount of outstanding guaranteed bonds. Each time the board
25 increases the limit under Section 45.053(d), the total amount of
26 charter district bonds that may be guaranteed increases accordingly
27 under Subsection ta).
82S11237 JJT-F 168
S.B. No.1
1 (c) Notwithstanding Subsections (a) and (bl, the
2 commissioner may not approve charter district bonds for guarantee
3 under this subchapter if the guarantee will result in lower bond
4 ratings for school district bonds for which a guarantee is
5 requested under this subchapter.
6 (d) The commissioner may request that the comptroller place
7 the portion of the permanent school fund committed to the guarantee
8 of charter district bonds in a segregated account if the
9 commissioner determines that a separate account is needed to avoid
10 any negative impact on the bond ratings of school distr ict bonds for
11 which a guarantee is requested under this subchapter.
12 (e) A guarantee of charter district bonds must be made in
13 accordance with this chapter and any applicable federal law.
16 Sec. 45.054. ELIGIBILITY OF SCHOOL DISTRICT BONDS. To be
17 eligible for approval by the commissioner, school district bonds
18 must be issued under Subchapter A of this chapter or under
19 Subchapter A, Chapter 1207, Government Code, to make a deposit
20 under Subchapter B or C of that chapter, by an accredited school
21 distr ict.
22 SECTION 59.06. Subchapter C, Chapter 45, Education Code, is
24 Sec. 45.0541. ELIGIBILITY OF CHARTER DISTRICT BONDS. To be
25 eligible for approval by the commissioner, charter district bonds
26 must:
27 (1) without the guarantee, be rated as investment
82S11237 JJT-F 169
S.B. No.1
1 grade by a nationally recognized investment rating firm; and
2 (2) be issued under Chapter 53.
5 (a) A school district or charter district seeking guarantee
6 of eligible bonds under this subchapter shall apply to the
7 commissioner using a form adopted by the commissioner for the
8 purpose. The commissioner may adopt a single form on which a school
9 district seeking guarantee or credit enhancement of eligible bonds
10 may apply simultaneously first for guarantee under this subchapter
11 and then, if that guarantee is rejected, for credit enhancement
12 under Subchapter I.
13 (b) An application under Subsection (a) must include:
14 (1) the name of the school district or charter
15 distr ict and the pr inc ipal amount of the bonds to be issued;
16 (2) the name and address of the district's paying agent
17 for those bonds; and
18 (3) the maturity schedule, estimated interest rate,
19 and date of the bonds.
22 Sec. 45.056. INVESTIGATION. (a) Following receipt of an
23 application for the guarantee of bonds, the commissioner shall
24 conduct an investigation of the applicant school district or
25 charter district in regard to:
26 (1) the status of the district's accreditation; and
27 (2) the total amount of outstanding guaranteed bonds.
82S11237 JJT-F 170
S.B. No.1
1 (b) If following the investigation the commissioner is
2 satisfied that the school district's bonds should be guaranteed
3 under this subchapter or provided credit enhancement under
4 Subchapter I, as applicable, or the charter distr ict 1 s bonds should
5 be guaranteed under this subchapter, the commissioner shall endorse
6 the bonds.
9 (b) The guar antee is not effective unless the attorney
10 general approves the bonds under Section 45.005 or 53.40, as
11 applicable.
12 SECTION 59.10. Subchapter C, Chapter 45, Educat ion Code, is
14 Sec. 45.0571. CHARTER DISTRICT BOND GUARANTEE RESERVE FUND.
15 (a) The charter district bond guarantee reserve fund is a special
16 fund in the state treasury outside the general revenue fund. The
17 following amounts shall be deposited in the fund:
18 (1) money due from a charter district as provided by
19 Subsection (b); and
20 (2) interest earned on balances in the fund.
21 (b) A charter district that has a bond guaranteed as
22 provided by this subchapter must annually remit to the
23 commissioner, for deposit in the charter district bond guarantee
24 reserve fund, an amount equal to 10 percent of the savings to the
25 charter district that is a result of the lower interest rate on the
26 bond due to the guarantee by the permanent school fund. The amount
27 due under this section shall be amortized and paid over the duration
82511237 JJT-F 171
,
S.B. No.1
1 of the bond. Each payment is due on the anniversary of the date the
2 bond was issued. The commissioner shall adopt rules to determine
3 the total and annual amounts due under this section.
4 (c) The commissioner may direct the comptroller to annually
5 withhold the amount due to the charter district bond guarantee
6 reserve fund under Subsection (b) for that year from the state funds
7 otherwise payable to the charter district.
8 (d) Each year, the commissioner shall:
9 (1) review the condition of the bond guarantee program
10 and the amount that must be deposited in the charter district bond
11 guarantee reserve fund from charter districts; and
12 (2) determine if charter districts should be reguired
13 to submit a greater percentage of the savings resulting from the
14 guarantee.
15 (e) The commissioner shall make recommendations to the
16 legislature based on the review under Subsection (d).
19 Sec. 45.058. NOTICE OF DEFAULT. Immediately following a
20 determination that a school district or charter district will be or
21 is unable to pay maturing or matured principal or interest on a
22 guaranteed bond, but not later than the fifth day before maturity
23 date, the school distr ict or charter distr ict shall notify the
24 commissioner.
25 SECTION 59.12. The heading to Section 45.059, Education
27 Sec. 45.059. PAYMENT OF SCHOOL DISTRICT BOND ON DEFAULT
82511237 JJT-F 172
" .
S . B. No. 1
1 [FROM PERMANENT SCHOOL Fmm]
2 SECTION 59.13. Subsection (a), Section 45.059, Education
4 (a) Immediately following receipt of notice under Section
5 45.058 that a school district will be or is unable to pay maturing
6 or matured principal or interest on a guaranteed bond, the
7 commissioner shall instruct the comptroller to transfer from the
8 appropriate account in the permanent school fund to the district's
9 paying agent the amount necessary to pay the maturing or matured
10 principal or interest.
11 SECTION 59.14. Subchapter C, Chapter 45, Educat ion Code, is
13 Sec. 45.0591. PAYMENT OF CHARTER DISTRICT BOND ON DEFAULT.
14 (al Immediately following receipt of notice under Section 45.058
15 that a charter district will be or is unable to pay maturing or
16 matured principal or interest on a guaranteed bond, the
17 commissioner shall instruct the comptroller to transfer from the
18 charter district bond guarantee reserve fund created under Section
19 45.0571 to the district's paying agent the amount necessary to pay
20 the maturing or matured principal or interest.
21 (b) If money in the charter district bond guarantee reserve
22 fund is insufficient to pay the amount due on a bond under
23 Subsection (a), the commissioner shall instruct the comptroller to
24 transfer from the appropriate account in the permanent school fund
25 to the district's paying agent the amount necessary to pay the
26 balance of the unpaid matur ing or matured pr incipal or interest.
27 (c) Immediately following receipt of the funds for payment
82811237 JJT-F 173
YNB] .
SECTION 59.17. Section 45.061, Education Code, is amended
by amending Subsections (a) and (b) and adding Subsection (a-l) to
read as follows:
(a) If the commissioner orders payment from the permanent
school fund or the charter district bond guarantee reserve fund on
behalf of a school district or charter district, the commissioner
shall direct the comptroller to withhold the amount paid, plus
S.B. No.1
of the principal or interest, the paying agent shall pay the amount
due and forward the canceled bond or coupon to the comptroller. The
comptroller shall hold the canceled bond or coupon on behalf of the
fund or funds from which payment was made.
(d) Following full reimbursement to the charter district
bond guarantee reserve fund and the permanent school fund, if
applicable, with interest, the comptroller shall further cancel the
bond or coupon and forward it to the charter district for which
payment was made.
to read as follows:
Sec. 45.060. BONDS NOT ACCELERATED ON DEFAULT. If a school
distr ict or charter distr ict fails to pay pr incipal or interest on a
guaranteed bond when it matures, other amounts not yet mature are
not accelerated and do not become due by virtue of the school
district's or charter district's default.
SECTION 59.16. The heading to Sect ion 45.061, Educat ion
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Sec. 45.061.
82511237 JJT-F
REIMBURSEMENT OF FUNDS SCHOOL
174
" .
S.B. No. 1
1 interest, from the first state money payable to the school district
2 or charter district. Except as provided by Subsection (a-1), the
3 [!f.l:I.e.] amount withheld shall be deposited to the credit of the
4 permanent school fund.
5 (a-1) After the permanent school fund has been reimbursed
6 for all money paid from the fund as the result of a default of a
7 charter district bond guaranteed under this subchapter, any
8 remaining amounts withheld under Subsection (a) shall be deposited
9 to the credit of the charter district bond guarantee reserve fund.
10 (b) In accordance with the rules of the board, the
11 commissioner may authorize reimbursement to the permanent school
12 fund or charter district bond guarantee reserve fund with interest
13 in a manner other than that provided by this section.
15 by adding Subsection (a-I) to read as follows:
16 (a-I) If a total of two or more payments are made under this
17 subchapter on charter district bonds and the commissioner
18 determines that the charter district is acting in bad faith under
19 the guarantee program under this subchapter, the commissioner may
20 reguest the attorney general to institute appropriate legal action
21 to compel the charter district and its officers, agents, and
22 employees to comply with the duties reguired of them by law in
23 regard to the bonds.
24 SECTION 59.19. Subdivision (10), Section 53.02, Education
26 (10) "Authorized charter school" means an
27 open-enrollment charter school that holds a charter granted under
82Sll237 JJT-F 175
S.B. No. 1
1 Subchapter D, Chapter 12, and includes an open-enrollment charter
2 school designated as a charter district as provided by Section
3 12.135.
5 by amending Subsection (f) and adding Subsection (f-l) to read as
6 follows:
7 (f) Except as provided by Subsection (f-l), a [AJ revenue
8 bond issued under this .section is not a debt of the state or any
9 state agency, political corporation, or political subdivision of
10 the state and is not a pledge of the faith and credit of any of these
11 entities. A revenue bond is payable solely from the revenue of the
12 authorized open-enrollment charter school on whose behalf the bond
13 is issued. A revenue bond issued under this section must contain on
14 its face a statement to the effect that:
15 (1) neither the state nor a state agency, political
16 corporation, or political subdivision of the state is obligated to
17 pay the pr inc ipal of or interest on the bond; and
18 (2) neither the faith and credit nor the taxing power
19 of the state or any state agency, political corporation, or
20 political subdivision of the state is pledged to the payment of the
21 pr incipal of or interest on the bond.
22 (i-I) Subsection (f) does not apply to a revenue bond issued
23 under this section for a charter district if the bond is approved
24 for guarantee by the permanent school fund under Subchapter C,
25 Chapter 45.
26 SECTION 59.21. This article applies only to a bond issued or
27 refunded on or after the effective date of this Act by an
j
82S11237 JJT-F 176
S.B. No.1
1 open-enrollment charter school designated as a charter district
2 under Section 12.135, Education Code, as added by this article. A
3 bond issued or refunded by an open-enrollment charter school before
4 the effective date of this Act is governed by the law in effect
5 immediately before that date, and that law is continued in effect
6 for that purpose.
7 ARTICLE 60. AWARD OF SERVICE PROVIDER CONTRACTS FOR ADULT
8 EDUCATION PROGRAMS
9 SECTION 60.01. Subchapter H, Chapter 29, Education Code, is
11 Sec. 29.2535. SERVICE PROVIDER CONTRACTS: COMPETITIVE
12 PROCUREMENT REQUIREMENT. (a) The agency shall use a competitive
13 procurement process to award a contract to a service provider of an
14 adult education program.
15 (b) The agency shall adopt rules to administer this sect ion.
16 SECTION 60.02. (a) The change in law made by Section
17 29.2535(a), Education Code, as added by this article, applies only
18 to a contract entered into on or after the effective date of this
19 article.
20 (b) Not later than August 31, 2012, the Texas Education
21 Agency shall adopt rules to provide for a competitive procurement
22 process to award contracts to service providers of adult education
23 programs as provided by Section 29.2535, Education Code, as added
24 by this article.
25 SECTION 60.03. (a) Except as provided by Subsection (b) of
26 this section, this article takes effect September 1, 2012.
27 (b) Section 29.2535(b), Education Code, as added by this
82S11237 JJT-F 177
S.B. No.1
1 article, takes effect on the 91st day after the last day of the
2 legislative session.
3 ARTICLE 61. STATE VIRTUAL SCHOOL NETWORK
4 SECTION 61.01. Subsection (a), Section 30A.002, Education
6 (a) A student is eligible to enroll in a course provided
7 through the state virtual school network only if the student:
8 (1) [is YS10lREJer tfiaR :n years sf aEj'e] on September lof
9 the school year..?.
10 (A) is younger than 21 years of age; or
11 (B) is younger than 26 years of age and entitled
12 to the benefits of the Foundation School Program under Section
13 42.003;
14 (2) has not graduated from high school; and
15 (3) is otherwise eligible to enroll in a public school
16 in this state.
17 SECTION 61.02. Subchapter A, Chapter 30A, Education Code,
18 is amended by adding Section 30A.007 to read as follows:
19 Sec. 30A.007. LOCAL POLICY ON ELECTRONIC COURSES. (a) A
20 school district or open-enrollment charter school shall adopt a
21 policy that provides district or school students with the
22 opportunity to enroll in electronic courses provided through the
23 state virtual school network. The policy must be consistent with
24 the requirements imposed by Section 26.003l.
25 (b) For purposes of a policy adopted under Subsection (a),
26 the determination of whether or not an electronic course will meet
27 the needs of a student with a disability shall be made by the
J
82511237 JJT-F 178

S.B. No. 1
1 student's admission, review, and dismissal committee in a manner
2 consistent with state and federal law, including the Individuals
3 with Disabilities Education Act (20 U.S.C. Section 1400 et seg.)
4 and Section 504, Rehabilitation Act of 1973 (29 U.S.C. Section
5 794).
6 SECTION 61.03. Subchapter C, Chapter 30A, Education Code,
7 is amended by adding Section 30A.I021 to read as follows:
8 Sec. 30A.1021. PUBLIC ACCESS TO USER COMMENTS REGARDING
9 ELECTRONIC COURSES. (a) The administering authority shall
10 provide students who have completed or withdrawn from electronic
11 courses offered through the virtual school network and their
12 parents with a mechanism for providing comments regarding the
13 courses.
14 (b) The mechanism reguired by Subsection (a) must include a
15 guantitative rating system and a list of verbal descriptors that a
16 student or parent may select as appropriate.
17 (c) The administer ing author ity shall provide public access
18 to the comments submitted by students and parents under this
19 section. The comments must be in a format that permits a person to
20 sort the comments by teacher, electronic course, and provider
21 school distr ict or school.
22 SECTION 61.04. Section 30A.I04, Education Code, is amended
24 Sec. 30A.104. COURSE ELIGIBILITY IN GENERAL. ill A course
25 offered through the state virtual school network must:
26 (1) be in a specif ic subj ect that is part of the
27 required curriculum under Section 28.002(a);
82S11237 JJT-F 179
S.B. No. 1
1 (2) be aligned with the essential knowledge and skills
2 identified under Section 28.002(c) for a grade level at or above
3 grade level three; and
4 (3) be the equivalent in instructional rigor and scope
5 to a course that is provided in a traditional classroom setting
6 during:
7 (A) a semester of 90 instructional days; and
8 (B) a school day that meets the minimum length of
9 a school day required under Section 25.082.
10 (b) If the essential knowledge and skills with which an
11 approved course is aligned in accordance with Subsection (a)(2) are
12 modified, the provider school district or school must be provided
13 the same time period to revise the course to achieve alignment with
14 the modified essential knowledge and skills as is provided for the
15 modification of a course provided in a traditional classroom
16 setting.
17 SECTION 61.05. Section 30A.105, Education Code, is amended
18 by adding Subsections (a-I) and (a-2) and amending Subsection (d)
20 (a-I) The administering authority shall publish the
21 schedule established under Subsection (a)(l), including any
22 deadlines specified in that schedule, and any guidelines applicable
23 to the submission and approval process for electronic courses.
24 (a-2) The evaluation required by Subsection (a) (2) must
25 include review of each electronic course component, including
26 off-line material proposed to be used in the course.
27 (d) If the agency determines that the costs of evaluating
82511237 JJT-F 180
.. .
S.B. No. 1
1 and approving a submitted electronic course will not be paid by the
2 agency due to a shortage of funds available for that purpose, the
3 school distr ict, open-enrollment charter school, or public or
4 private institution of higher education that submitted the course
5 for evaluation and approval may pay a fee equal to the amount of the
6 costs in order to ensure that evaluation of the course occurs. The
7 agency shall establish and publish a fee schedule for purposes of
8 this subsection.
9 SECTION 61.06. Subsection (a), Section 30A.107, Education
11 (a) A provider school district or school may offer
12 electronic courses to:
13 (1) students and adults who reside in this state; and
14 (2) students who reside outside this state and who
15 meet the eligibility requirements under Section 30A.002 (c) .
16 SECTION 61.07. Subchapter D, Chapter 30A, Education Code,
17 is amended by adding Section 30A.153 to read as follows:
18 Sec. 30A.153. FOUNDATION SCHOOL PROGRAM FUNDING. (a) A
19 school distr ict or open-enrollment charter school in which a
20 student is enrolled is entitled to funding under Chapter 42 for the
21 student's enrollment in an electronic course offered through the
22 state virtual school network in the same manner that the distr ict or
23 school is entitled to funding for the student's enrollment in
24 courses provided in a traditional classroom setting, provided that
25 the student successfully completes the electronic course.
26 (b) The commissioner, after considering comments from
27 school district and open-enrollment charter school
82S11237 JJT-F 181
where:
"GYA" is the guaranteed yield amount of state funds to be
S.B. No.1
representatives, shall adopt a standard agreement that governs
payment of funds and other matters relating to a student's
enrollment in an electronic course offered through the state
virtual school network. The agreement may not require a school
district or open-enrollment charter school to pay the provider the
full amount until the student has successfully completed the
electronic course.
(1) the district or school requests from the
commissioner permission to modify the standard agreement; and
(2) the commissioner author izes the modif icat ion.
(d) The commissioner shall adopt rules necessary to
implement this section, including rules regarding attendance
accounting.
(a) Each school district is guaranteed a specified amount
per weighted student in state and local funds for each cent of tax
effort over that required for the district's local fund assignment
up to the maximum level specified in this subchapter. The amount
of state support, subject only to the maximum amount under Section
42.303, is determined by the formula:
GYA = (GL X WADA X DTR X 100) - LR
charter school
Subsection (b)
(c) A school district or open-enrollment
shall use the standard agreement adopted under
unless:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 182
..
S.B. No.1
1 allocated to the distr ict;
2 "GL" is the dollar amount guaranteed level of state and local
3 funds per weighted student per cent of tax effort, which is an
4 amount described by Subsection (a-I) or a greater amount for any
5 year provided by appropr iation;
6 "WADA" is the number of students in weighted average daily
7 attendance, which is calculated by dividing the sum of the school
8 district's allotments under Subchapters Band C, less any allotment
9 to the district for transportation, any allotment under Section
10 42.158[, 42.1g,] or 42.160, and 50 percent of the adjustment under
11 Section 42.102, by the basic allotment for the applicable year;
12 "DTR" is the district enrichment tax rate of the school
13 district, which is determined by subtracting the amounts specified
14 by Subsection (b) from the total amount of maintenance and
15 operations taxes collected by the school district for the
16 applicable school year and dividing the difference by the quotient
17 of the district's taxable value of property as determined under
18 Subchapter M, Chapter 403, Government Code, or, if applicable,
19 under Section 42.2521, divided by 100; and
20 "LR" is the local revenue, which is determined by multiplying
21 "DTR" by the quotient of the district's taxable value of property as
22 determined under Subchapter M, Chapter 403, Government Code, or, if
23 applicable, under Section 42.2521, divided by 100.
24 SECTION 61.09. Section 42.159, Education Code, is repealed.
25 ARTICLE 62. TRANSFERRING TEXAS DEPARTMENT OF RURAL AFFAIRS TO
26 OFFICE OF RURAL AFFAIRS WITHIN DEPARTMENT OF AGRICULTURE
27 SECTION 62.01. The heading to Chapter 487, Government Code,
82S11237 JJT-F 183
S.B. No. 1
is amended to read as follows:
CHAPTER 487. OFFICE [TEXAS OF RURAL
AFFAIRS IN DEPARTMENT OF AGRICULTURE
SECTION 62.02. Section 487.001, Government Code, is amended
to read as follows:
Sec. 487.001. DEFINITIONS. In this chapter:
(1) "Board" means the commissioner [Beara ef tHe Tenas
(4) "Office" means the Office of Rural Affairs
established wi thin the Department of Aqr icul ture under Sect ion
12.038, Agriculture Code.
SECTION 62.03. Subchapter A, Chapter 487, Government Code,
is amended by adding Section 487.003 to read as follows:
Sec. 487.003. REFERENCE IN LAW. (a) A reference in this
chapter or other law to the Texas Department of Rural Affairs or the
Office of Rural Community Affairs means the office, and a reference
in this chapter or other law to the board of the Texas Department of
Rural Affairs means the commissioner.
(b) A reference in law to the executive director of the
Texas Department of Rural Affairs means the director of the Office
of Rur al Aff air s appointed under Sect ion 12.038, Agr icul ture Code.
SECTION 62.04. Section 487.026, Government Code, is amended
to read as follows:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
DepartmeFl"E sf Rurall\ffairs).
82511237 JJT-F
means
184
the commissioner of
\
S.B. No.1
Sec. 487.026. [BXBCYTIVB] DIRECTOR. (a) The [asara Illay
hire aR elEesHtive] director serves [ts serve] as the chief
executive officer of the office [aeJilartllleRt] and performs [ ~
Jilerfsrlll] the administrative duties of the office [aeJilartllleRt].
of
and
information and
affecting rural
the key areas
rural health,
a clearinghouse for
and federal programs
community development,
resources
economic development,
rur al hous ing;
(2) serve as
on all state
(b) [The cJresutive Eiireeter serves at the 'Jill sf tHe 13sareL
[+G+] The [elEesHtive] director may hire staff within
guidelines established by the commissioner [asara].
SECTION 62.05. Subsection (a), Section 487.051, Government
(a) The office [aeJilartllleRt] shall:
(1) assist rural communities in
communities;
(3) in consultation with rural community leaders,
locally elected officials, state elected and appointed officials,
academic and industry experts, and the interagency work group
created under this chapter, identify and prioritize policy issues
and concerns affecting rural communities in the state;
(4) make recommendations to the legislature to address
the concerns affecting rural communities identified under
Subdivision (3);
(5) monitor developments that have a substantial
eff ect on rur a1 Texas communities, especially act ions of state
government, and compile an annual report describing and evaluating
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82811237 JJT-F 185
S.B. No. 1
1 the condition of rural communities;
2 (6) administer the federal community development
3 block grant nonentitlement program;
4 (7) administer programs supporting rural health care
5 as provided by this chapter;
6 (8) perform research to determine the most beneficial
7 and cost-effective ways to improve the welfare of rural
8 communities;
9 (9) ensure that the office qualifies as
10 the state's office of rural health for the purpose of receiving
11 grants from the Office of Rural Health Policy of the United States
12 Department of Health and Human Services under 42 U.S.C. Section
13 254r;
14 (10) manage the state's Medicare rural hospital
15 flexibility program under 42 U.S.C. Section l395i-4;
16 (11) seek state and federal money available for
17 economic development in rural areas for programs under this
18 chapter;
19 (12) in conjunction with other offices and divisions
20 of the Department of Agr iculture, regular ly cross-train off ice
21 employees with other employees of the Department of
22 Agriculture regarding the programs administered and services
23 provided [By eash aEjSHsy] to rural communities; and
24 (13) work with interested persons to assist volunteer
25 fire departments and emergency services districts in rural areas.
26 SECTION 62.06. Subsection (c), Section 487.0541,
I
82511237 JJT-F 186

S.B. No.1
1 (c) The work group shall meet at the call of the [oueoHtive]
2 director of the office [EioflartHloRt].
5 Sec. 487.055. ADVISORY COMMITTEES. ~ The commissioner
6 [hoarEi] may appoint advisory committees as necessary to assist the
7 office [hoarEi] in performing its duties. An advisory committee may
8 be composed of private citizens and representatives from state and
9 local governmental entities. A state or local governmental entity
10 shall appoint a representative to an advisory committee at the
11 request of the commissioner [hoarEi].
12 1l Chapter 2110 does not apply to an advisory committee
13 created under this section.
16 (d) An applicant for a grant, loan, or award under a
17 community development block grant program may appeal a decision of
18 the [elEooHtivo] director by filing an appeal with the commissioner
19 [hoarEi]. The commissioner [hoarEi] shall hold a hearing on the
20 appeal and render a decision.
22 adding Subchapter R to read as follows:
23 SUBCHAPTER R. TEXAS RURAL HEALTH AND ECONOMIC DEVELOPMENT ADVISORY
24 COUNCIL
25 Sec. 487.801. DEFINITION. In this subchapter, "advisory
26 counc il" means the Texas Rur al Health and Economic Development
27 Advisory Council established under this subchapter.
82S11237 JJT-F 187
S.B. No.1
1 Sec. 487.802. ESTABLISHMENT AND COMPOSITION OF ADVISORY
2 COUNCIL; PRESIDING OFFICER. (a) The commissioner shall establish
3 the Texas Rural Health and Economic Development Advisory Council,
4 composed of the following members:
5 (1) one local official in this state with health care
6 expertise, appointed by the commissioner;
7 (2) one county official in this state with health care
8 expertise, appointed by the commissioner;
9 (3) one senator serving a predominantly rural area,
10 appointed by the lieutenant governor;
11 (4) one member of the house of representatives serving
12 a predominantly rural area, appointed by the speaker of the house of
13 representatives;
14 (5) a representative of an institution of higher
15 education in this state that specializes in public health and
16 community and economic development, appointed by the commissioner;
17 and
18 (6) four public members with health care or economic
19 development expertise, appointed by the commissioner.
20 (b) The members of the advisory council serve staggered
21 three-year terms. A member of the council appointed by the
22 commissioner serves at the pleasur e of the commissioner.
23 (c) The commissioner shall serve as presiding officer of the
24 advisory council and as a nonvoting member of the advisory council.
25 The commissioner is not counted as a member of the advisory council
26 for purposes of establishing a guorum.
27 Sec. 487.803. DUTIES OF ADVISORY COUNCIL. The advisory
!
82S11237 JJT-F 188
82511237 JJT-F 189

S.B. No.1
Corporation;
(C) the Health and Human Services Commission;
(D) the Department of Assistive and
S.B. No.1
(1) assist the advisory council in its efforts to
expand and improve access to health care in rural areas of this
state; and
Housing Affordable
(2) develop a statewide rural health plan for this
state that inc ludes:
(A) strategic initiatives for this state
regarding rural health; and
(B) recommendations for legislation and program
development or revision.
Sec. 487.806. REIMBURSEMENT OF EXPENSES. A member of the
advisory council may not receive compensation for service on the
advisory councilor rural health task force. Subject to
availability of funds, an advisory council member may receive
reimbursement for actual and necessary expenses incurred while
conducting advisory councilor task force business, as appropr iate.
SECTION 62.10. Subsection (b), Section 2306.1092,
Government Code, is amended to read as follows:
(b) The council is composed of 16 members consisting of:
(1) the dir ector;
(2) one representative from each of the following
agencies, appointed by the head of that agency:
(A) the Office of Rural [CSffiffiHHity] Affairs
within the Department of Agriculture;
(B) the Texas State
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 190
S.B. No. 1
1 Rehabilitative Services;
2 (E)
the Department of Aging and Disability
3 Services; and
4
(F)
the Department of State Health Services;
5
( 3)
one represent,ative from the Department of
6 Agr icultur e who is:
7
(A)
knowledgeable about the Texans Feeding
8 Texans and Retire in Texas programs or similar programs; and
9
10
11
(B) appointed by the head of that agency;
(4) one member who is:
(A) a member of the Health and Human Services
12 Commission Promoting Independence Advisory Committee; and
13
14
(B) appointed by the governor; and
(5) one representative from each of the following
15 interest groups, appointed by the governor:
16
17
18
19
(A) financial institutions;
(B) multifamily housing developers;
(C) health services entities;
(0) nonprofit organizations that advocate for
20 affordable housing and consumer-directed long-term services and
21 support;
(E) consumers of service-enriched housing;
(F) advocates for minor i ty issues; and
(G) rural communities.
22
23
24
25 SECTION 62.11. Sections 487.002, 487.021, 487.022,
26 487.023,487.024,487.025,487.028,487.029, 487.051(b), 487.058,
27 and 487.352, Government Code, are repealed.
82S11237 JJT-F 191
.. .,
S.B. No.1
SECTION 62.12. (a) The Texas Department of Rur a1 Affair s is
abolished as an independent agency and transferred as a program to
the Office of Rural Affairs in the Department of Agriculture. The
board of the Texas Department of Rural Affairs is abolished.
(b) The validity of an action taken by the Texas Department
of Rural Affairs or its board before either is abolished under
Subsection (a) of this section is not affected by the abolishment.
(c) All rules, policies, procedures, and decisions of the
Texas Department of Rural Affairs are continued in effect as rules,
policies, procedures, and decisions of the Office of Rural Affairs
in the Department of Agriculture until superseded by a rule,
policy, procedure, or decision of the off ice.
(d) Any pending action or proceeding before the Texas
Department of Rural Affairs becomes an action or proceeding before
the Office of Rural Affairs in the Department of Agriculture.
SECTION 62.13. (a) On October 1, 2011:
(1) the position of executive director of the Texas
Department of Rural Affairs is abolished, except that the director
of the Office of Rural Affairs in the Department of Agriculture may
hire the executive director for a position in the office;
(2) an employee of the Texas Department of Rur al
Affairs becomes an employee of the Office of Rural Affairs in the
Department of Agriculture;
(3) a reference in law to the Texas Department of Rural
Affairs means the Office of Rural Affairs in the Department of
Agriculture;
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27 (4) all
82511237 JJT-F
money, contracts,
192
leases, rights, and
, .
S.B. No. 1
1 obligations of the Texas Department of Rural Affairs are
2 transferred to the Office of Rural Affairs in the Department of
3 Agriculture;
4 (5) all property, including records, in the custody of
5 the Texas Department of Rural Affairs becomes the property of the
6 Office of Rural Affairs in the Department of Agriculture; and
7 (6) all funds appropriated by the legislature to the
8 Texas Department of Rural Affairs are transferred to the Office of
9 Rural Affairs in the Department of Agriculture.
10 (b) A function or activity performed by the Texas Department
11 of Rural Affairs is transferred to the Office of Rural Affairs in
12 the Department of Agriculture as provided by this article.
13 SECTION 62.14. The Texas Department of Rural Affairs and
14 the Department of Agriculture shall establish a transition plan for
15 the transfer described in Sections 62.12 and 62.13 of this article.
16 SECTION 62.15. Notwithstanding any other provision of this
17 article, the governor retains the authority to designate an agency
18 to administer federal disaster recovery funds and to transfer the
19 federal funds to any state agency. On the date the governor
20 designates a state agency, other than the Texas Department of Rural
21 Affairs, to administer the federal community development block
22 grant disaster recovery funds received for Hurricanes Rita, Dolly,
23 and Ike:
24 (1) a reference in law to the Texas Department of Rural
25 Affairs related to the disaster recovery funds means the agency
26 designated by the governor to administer the disaster recovery
27 funds;
82S11237 JJT-F 193
& f
continuing, exclusive jurisdiction over a young adult on the day
before [may, at] the young adult's 18th birthday continues to have
(1) "Foster care" means a voluntary residential living
arrangement with a foster parent or other residential child-care
provider that is:
S.B. No.1
(2) all money, contracts, leases, rights, and
obligations of the Texas Department of Rural Affairs related to the
disaster recovery funds are transferred to the designated agency;
and
(3) all property, including records, in the custody of
the Texas Department of Rural Affairs related to the disaster
recovery funds becomes the property of the designated agency.
ARTICLE 63. SUITS AFFECTING THE PARENT-CHILD RELATIONSHIP
SECTION 63.01. Section 263.601, Family Code, is amended by
amending Subdivision (1) and adding Subdivision (3-a) to read as
follows:
(a) A court that had Sec. 263.602. EXTENDED JURISDICTION.
(A) licensed or approved by the department or
ver ified by a licensed child-placing agency; and
(B) paid under a contract with the department.
(3-a) "Tr ial independence per iod" means a per iod of
not less than six months, or a longer per iod as a court may order not
to exceed 12 months, during which a young adult exits foster care
with the option to return to foster care under the continuing
extended jur isdiction of the court.
SECTION 63.02. Section 263.602, Family Code, is amended to
read as follows:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 194
8. B. No. 1
1 extended [rcE:;Il:1cst, refleCt an erEler that ClEtcRas the eeHrt's]
2 jurisdiction over the young adult and shall retain the case on the
3 court's docket while the young adult remains in extended foster
4 car e and dur ing a tr ial independence per iod descr ibed [as flr evieee]
5 by this section [suheRaflter].
6 (b) A court with extended jurisdiction over a young adult
7 who remains in extended foster care shall conduct extended foster
8 care review hearings every six months for the purpose of reviewing
9 and making findings regarding:
10 (1 l whether the young adult's living arrangement is
11 safe and appropriate and whether the department has made reasonable
12 efforts to place the young adult in the least restrictive
13 environment necessary to meet the young adult's needs;
14 (2) whether the department is making reasonable
15 efforts to finalize the permanency plan that is in effect for the
16 young adult, including a permanency plan for independent living;
17 (3) whether, for a young adult whose permanency plan
18 is independent living:
19 (Al the young adult participated in the
20 development of the plan of service;
21 (B) the young adult's plan of service reflects
22 the independent living skills and appropriate services needed to
23 achieve independence by the pr oj ected date; and
24 (e) the young adult continues to make reasonable
25 progress in developing the skills needed to achieve independence by
26 the projected date; and
27 (4) whether additional services that the department is
82811237 JJT-F 195
& ,
S.B. No.1
1 authorized to provide are needed to meet the needs of the young
2 adult [The jHrisdiction of the GeHrt terminates en the
3 earlier sf:
4 [(1) the aeh:lltts 21Gt 13irthElaYl or
5 [(2) tFio Gate the aeh:11t uithElraYdG consont to the
6 GutencieFl sf the GOHrt's jl::lriseiction in uritin'3" SF in GQHrt].
7 (c) Not later than the lOth day before the date set for a
8 hearing under this section, the department shall file with the
9 court a copy of the young adult's plan of service and a report that
10 addresses the issues described by Subsection (b).
11 (d) Notice of an extended foster care review hearing shall
12 be given as provided by Rule 21a, Texas Rules of Civil Procedure, to
13 the following persons, each of whom has a right to present evidence
14 and be heard at the hearing:
15 (1) the young adult who is the subj ect of the suit;
16 (2) the department;
17 (3) the foster parent with whom the young adult is
18 placed and the administrator of a child-placing agency responsible
19 for placing the young adult, if applicable;
20 (4) the director of the residential child-care
21 facility or other approved provider with whom the young adult is
22 placed, if applicable;
23 (5) each par ent of the young adult whose par ental
24 rights have not been terminated and who is still actively involved
25 in the lif e of the young adult;
26 (6) a legal guardian of the young adult, if
27 applicable; and
82511237 JJT-F 196
S.B. No. 1
1 (7) the young adult's attorney ad litem, guardian ad
2 litem, and volunteer advocate, the appointment of which has not
3 been previously dismissed by the court.
4 (e) If, after reviewing the young adult's plan of service
5 and the report filed under Subsection (c), and any additional
6 testimony and evidence presented at the review hearing, the court
7 determines that the young adult is entitled to additional services,
8 the court may order the department to take appropriate action to
9 ensure that the young adult receives those services.
10 (tl A court with extended jurisdiction over a young adult as
11 descr ibed in Subsect ion (a) shall cont inue to have jur isdict ion
12 over the young adult and shall retain the case on the court's docket
13 until the earlier of:
14 (1) the last day of the:
15 (A) sixth month after the date the young adult
16 leaves foster care; or
17 (B) 12th month after the date the young adult
18 leaves foster care if specified in a court order, for the purpose of
19 allowing the young adult to pursue a trial independence period; or
20 (2) the young adult's 21st birthday.
21 (g) A court with extended jurisdiction described by this
22 section is not required to conduct periodic hearings for a young
23 adult during a trial independence period and may not compel a young
24 adult who has exited foster care to attend a court hearing.
25 SECTION 63.03. Subchapter G, Chapter 263, Family Code, is
27 Sec. 263.6021. VOLUNTARY EXTENDED JURISDICTION FOR YOUNG
82511237 JJT-F 197
S.B. No. 1
1 ADULT RECEIVING TRANSITIONAL LIVING SERVICES.
2 (a) Notwithstanding Section 263.602, a court that had continuing,
3 exclusive jurisdiction over a young adult on the day before the
4 young adult's 18th birthday may, at the young adult's request,
5 render an order that extends the court's jurisdiction beyond the
6 end of a trial independence period if the young adult receives
7 transitional living services from the department.
8 (b) The extended jurisdiction of the court under this
9 section terminates on the ear lier of:
10 (1) the young adult's 21st birthday; or
11 (2) the date the young adult withdraws consent to the
12 extension of the court's jurisdiction in writing or in court.
13 (c) At the request of a young adult who is receiving
14 transitional living services from the department and who consents
15 to voluntary extension of the court's jurisdiction under this
16 section, the court may hold a hearing to review the services the
17 young adult is receiving.
18 (d) Before a review hearing scheduled under this section,
19 the department must file with the court a report summarizing the
20 young adult's transitional living services plan, services being
21 provided to the young adult under that plan, and the young adult's
22 progress in achieving independence.
23 (e) If, after reviewing the report and any additional
24 testimony and evidence presented at the hearing, the court
25 determines that the young adult is ent it led to additional services,
26 the court may order the department to take appropriate action to
27 ensure that the young adult receives those services.
82S11237 JJT-F 198
S.B. No. 1
2 Family Code, are amended to read as follows:
3 (a) Notwithstanding Section 263.6021 [2d.(2), if the
4 court believes that a young adult may be incapacitated as defined by
5 Section 601(14)(B), Texas Probate Code, the court may extend its
6 jurisdiction on its own motion without the young adult's consent to
7 allow the department to refer the young adult to the Department of
8 Aging and Disability Services for guardianship services as required
9 by Section 48.209, Human Resources Code.
10 (c) If the Department of Aging and Disability Services
11 determines a guardianship is not appropriate, or the court with
12 probate jurisdiction denies the application to appoint a guardian,
13 the court under Subsection (a) may continue to extend its
14 jurisdiction over the young adult only as provided by Section
15 263.602 or 263. 602l.
16 SECTION 63.05. Sect ion 263.609, Family Code, is repealed.
23 ARTICLE 64. TEXAS COMMISSION ON FIRE PROTECTION FEES
26 (d) The commission shall send the fees authorized by
27 Subsection (a) and Section 419.033 (b) to the comptroller. The
82811237 JJT-F 199
S.B. No. 1
1 comptroller [, 'dhe] shall deposit a portion [130 ]3ereeHt] of the fees
2 collected into [the 130 ]3ereeHt
3 ef the fees iHte] a special account in the
4 general revenue fund dedicated for use by the commission. In any
5 state fiscal biennium, the comptroller may not deposit into the
6 account fees in an amount that exceeds the amount appropriated to
7 the commission for that biennium, less any other amount
8 appropriated to the commission from a source other than the fees.
9 The account is exempt from the application of Section 403.095. The
10 comptroller shall deposit the remainder of the fees in the general
11 revenue fund. [E1ESe]3t as ethen/ise by this sha]3ter, 130
12 sf the tHRd oreatea uAser this GUBcootisR ffiay BO
13 usee aRly te aefray the eSHlfRissien's 680tO in pcrfarFRiflq
14 iRGf>cetieRS liAEler SootieR 419,027 and the ether O ffiay bo
15 usee aBly 1;8 previae traiRiFl'3 aosistaflO \iRaeI SootieR 419,031.]
16 SECTION 64.02. The dedication of certain fees to a special
17 account in the general revenue fund dedicated for use by the Texas
18 Commission on Fire Protection under Section 419.026(d), Government
19 Code, was abolished effective August 31, 1995, under former Section
20 403.094(h), Government Code, as enacted by Section 11.04, Chapter 4
21 (S.B. 3), Acts of the 72nd Legislature, 1st Called Session, 1991.
22 Those fees are rededicated to that fund by this article.
27 this article to have immediate effect, this article takes effect
1
82511237 JJT-F 200

S.B. No.1
1 October 1, 2011.
2 ARTICLE 65. PROVISIONS RELATING TO CORRECTIONAL HEALTH CARE
3 SECTION 65.01. Subchapter C, Chapter 499, Government Code,
5 Sec. 499.055. POPULATION MANAGEMENT BASED ON INMATE HEALTH.
6 The department shall adopt policies designed to manage inmate
7 population based on similar health conditions suffered by inmates.
8 The policies adopted under this section must maximize
9 organizational efficiencies and reduce health care costs to the
10 department by housing inmates with similar health conditions in the
11 same unit or units that are, if possible, served by or located near
12 one or more specialty health care providers most likely to be needed
13 for the treatment of the health condition.
16 Sec. 501. 063. INMATE FEE [COPAYMEW,S] FOR [CER,,AHl] HEALTH
17 CARE [VISI,,S]. (a)ill An inmate confined in a facility operated by
18 or under contract with the department, other than a halfway house,
19 who initiates a visit to a health care provider shall pay a health
20 care services fee [lIIal.e a eefiaYllleflt] to the department in the amount
21 of $100 [ ~ ] .
22 (2) The fee imposed under Subdivision (1) covers all
23 visits to a health care provider that the inmate initiates until the
24 first anniversary of the imposition of the fee.
25 ill The inmate shall ~ [ma*&] the fee [eeflaYlII8flt]
26 out of the inmate 1 s trust fund. If the balance in the fund is
27 insufficient to cover the fee [eeflaYIII8flt], 50 percent of each
82S11237 JJT-F 201
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No.1
deposit to the fund shall be applied toward the balance owed until
the total amount owed is paid.
(b) [The aepartmeRt may Ret a eepaymeRt fer health
GaIe:
[(1) previE1ed in resflsnsc 1;e a life ar
citl:1atisn affesting tho iRfflate's l:lealth,
[ (2) initiates lay the ecpar1::FAont 1
[(3) initiated the health Gare aT
00flsiotin" af Ieutiflc 0110\07 Nfl, fJrenatal, aT sAraRis Gare, aT
[(4) previE1eEl UReeI a osntraotl:1al olali"atisn that io
estalalicheEl uRaaI the Interstate CerroctieRo Cempaot aT unElor an
agreement Tdith aRsther state that prceluE10s accessing a G0l?aymflt.
[+e+] The department shall adopt policies to ensure that
before any deductions are made from an inmate's trust fund under
this section [an inmate initiates a visit 1;e a health sare
previaer], the inmate is informed that the health care services fee
[a $J eepaymeRt] will be deducted from the inmate's trust fund as
required by Subsection (a).
1l [+4+] The department may not deny an inmate access to
health care as a result of the inmate's failure or inability to
a fee under this section [mal,e a eej3aymeRt].
ll [+e+] The department shall deposit money received under
this section in an account in the general revenue fund that may be
used only to pay the cost of correctional health care
[aamiRisteriREJ this seetieR]. At the beginning of each fiscal
year, the comptroller shall transfer any surplus from the preceding
fiscal year to the state treasury to the credit of the general
82811237 JJT-F 202
S.B. No. 1
1 revenue fund.
4 Sec. 501.067. AVAILABILITY OF CERTAIN MEDICATION. tal In
5 this section, "over-the-counter medication" means medication that
6 may legally be sold and purchased without a prescription.
7 tbl The department shall make over-the-counter medication
8 available for purchase by inmates in each inmate commissary
9 operated by or under contract with the department.
10 (cl The department may not deny an inmate access to
11 over-the-counter medications as a result of the inmate's inability
12 to pay for the medication. The department shall pay for the cost of
13 over-the-counter medication for inmates who are unable to pay for
14 the medication out of the profits of inmate commissaries operated
15 by or under contract with the department.
16 (dl The department may adopt policies concerning the sale
17 and purchase of over-the-counter medication under this section as
18 necessary to ensure the safety and security of inmates in the
19 custody of, and employees of, the department, including policies
20 concerning the quantities and types of over-the-counter medication
21 that may be sold and purchased under this section.
22 SECTION 65.04. Subchapter E, Chapter 501, Government Code,
24 Sec. 501.1485. CORRECTIONS MEDICATION AIDES. (al The
25 department, in cooperation with The University of Texas Medical
26 Branch at Galveston and the Texas Tech University Health Sciences
27 Center, shall develop and implement a training program for
82511237 JJT-F 203
S.B. No.1
1 corrections medication aides that uses a curriculum specific to
2 administer ing medication in a cor rect ional sett ing.
3 (b) In developing the curriculum for the training program,
4 the department, The University of Texas Medical Branch at
5 Galveston, and the Texas Tech University Health Sciences Center
6 shall:
7 (1) consider the content of the curri.culum developed
8 by the American Correctional Association for certified corrections
9 nur ses; and
10 (2) modify as appropriate the content of the
11 curriculum developed under Chapter 242, Health and Safety Code, for
12 medication aides administering medication In convalescent and
13 nursing homes and related institutions to produce content suitable
14 for administering medication in a correctional setting.
15 (c) The department shall submit an application for the
16 approval of a tr aining pr ogr am developed under this sect ion,
17 including the curriculum, to the Department of Aging and Disability
18 Services in the manner established by the executive commissioner of
19 the Health and Human Services Commission under Section 161.083,
20 Human Resources Code.
21 SECTION 65.05. Section 251.012, Health and Safety Code, as
22 effective September 1, 2011, is amended to read as follows:
23 Sec. 251.012. EXEMPTIONS FROM LICENSING REQUIREMENT. The
24 following facilities are not required to be licensed under this
25 chapter:
26 (1) a home and community support services agency
27 licensed under Chapter 142 with a home dialysis designation;
,
82S11237 JJT-F 204
.. .
S.B. No. 1
1 (2) a hospital licensed under Chapter 241 that
2 provides dialysis only to individuals receiving:
3 (A) [iBEliviEh.alo reeei'liB] inpatient services
4 from the hospital; or
5 (B) [iBEli'liElualo reeeiviB] outpatient services
6 due to a disaster declared by the governor or a federal disaster
7 declared by the president of the United States occurring in this
8 state or another state dur ing the term of the disaster declaration;
9 [ ~ ]
10 (3) a hospital operated by or on behalf of the state as
11 part of the managed health care provider network established under
12 Chapter 501, Government Code, that provides dialysis only to
13 individuals receiving:
14 (A) inpatient services from the hospital; or
15 (B) outpatient services while serving a term of
16 confinement in a facility operated by or under contract with the
17 Texas Department of Cr iminal Just ice;
18 (4) an end stage renal disease facility operated by or
19 on behalf of the state as part of the managed health care provider
20 network established under Chapter 501, Government Code, that
21 provides dialysis only to individuals receiving those services
22 while serving a term of confinement in a facility operated by or
23 under contract with the Texas Department of Criminal Justice; or
24 ill the office of a physician unless the office is used
25 primarily as an end stage renal disease facility.
26 SECTION 65.06. Subchapter D, Chapter 161, Human Resources
27 Code, is amended by adding Section 161.083 to read as follows:
82S11237 JJT-F 205
(a)(l);or
(2) provide notice to the Texas Department of Criminal
Justice that the program is not approved and include in the notice a
description of the actions that are required for the program to be
approved.
(c) The department shall issue a permit to or renew the
permit of an applicant who meets the minimum requirements
established under Subsection (a) (2). The department shall
coordinate with the Texas Department of Criminal Justice in the
executive commissioner shall establish:
(1) minimum standards and procedures for the approval
of corrections medication aide training programs, including
curricula, developed under Section 501.1485, Government Code;
(2) minimum requirements for the issuance, denial,
renewal, suspension, and revocation of a permit to a corrections
medication aide, including the payment of an application or renewal
fee in an amount necessary to cover the costs incurred by the
department in administer ing this section; and
(3) the acts and practices that are within and outside
the scope of a permit issued under this section.
(b) Not later than the 90th day after receipt of an
application for approval of a corrections medication aide training
program developed under Section 501.1485, Government Code, the
department shall:
(1) approve the program, if the program meets the
minimum standards and procedures established under Subsection
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Sec. 161.083. CORRECTIONS MEDICATION AIDES.
S.B. No.1
(a) The
82811237 JJT-F 206
..
S.B. No. 1
1 performance of the department's duties and functions under this
2 subsection.
3 SECTION 65.07. (a) The Texas Department of Criminal
4 Justice, in cooperation with The University of Texas Medical Branch
5 at Galveston, the Texas Tech University Health Sciences Center, or
6 a successor correctional managed health care provider, shall
7 develop the training program required by Section 501.1485,
8 Government Code, as added by this article, and the department shall
9 submit an application for approval of that program, as required by
10 Subsection (c) of that section, not later than January I, 2012. If
11 after the effective date of this Act and before the date the
12 department develops the training program described by this
13 subsection The University of Texas Medical Branch at Galveston and
14 the Texas Tech University Health Sciences Center are no longer
15 represented on the Correctional Managed Health Care Committee, or
16 no longer serve as correctional managed health care providers, the
17 executive director of the department shall request and receive the
18 cooperation of any other state agency determined by the executive
19 director to be an appropriate resource in the development of the
20 program.
21 (b) The change in law made by this article in amending
22 Section 251.012, Health and Safety Code, applies only to dialysis
23 services provided on or after the effective date of this Act.
24 Dialysis services provided before the effective date of this Act
25 are covered by the law in effect immediately before that date, and
26 the former law is continued in effect for that purpose.
27 (c) The execut ive commissioner of the Health and Human
82511237 JJT-F 207
&
S.B. No. 1
1 Services Commission shall establish the minimum standards and
2 requirements and the acts and practices allowed or prohibited, as
3 r equir ed by Sect ion 161. 083, Human Resour ces Code, as added by this
4 article, not later than January 1,2012.
5 ARTICLE 66. GUARDIANSHIP MATTERS AND PROCEEDINGS: AMENDMENTS TO
6 TEXAS PROBATE CODE
7 SECTION 66.01. Section 612, Texas Probate Code, is amended
9 Sec. 612. APPLICATION FOR TRANSFER OF GUARDIANSHIP TO
10 ANOTHER COUNTY. When a guardian or any other person desires to
11 transfer [relRsve] the transaction of the business of the
12 guardianship from one county to another, the person shall file a
13 wr itten application in the court in which the guardianship is
14 pending stating the reason for the transfer [IRSViH9 tHe traHsaetisH
15 sf BloiSiHess] .
16 SECTION 66.02. Subsection (al, Section 613, Texas Probate
18 (al On filing an application to transfer [relRsve] a
19 guardianship to another county, the sureties on the bond of the
20 guardian shall be cited by personal service to appear and show cause
21 why the application should not be granted.
22 SECTION 66.03. Sections 614, 615, 616, 617, and 618, Texas
23 Probate Code, are amended to read as follows:
24 Sec. 614. COURT ACTION. ill On hearing an application
25 under Section 612 of this code, if good cause is not shown to deny
26 the applicat ion and it appear s that tr ansfer [r elRsval] of the
27 guardianship is in the best interests of the ward, the court shall
82S11237 JJT-F 208
S.B. No. 1
1 enter an order authorizing the transfer [remsval] on payment on
2 behalf of the estate of all accrued costs.
3 (b) In an order entered under Subsection (a) of this
4 section, the court shall require the guardian, not later than the
5 20th day after the date the order is entered, to:
6 (1) give a new bond payable to the judge of the court
7 to which the guardianship is transferred; or
8 (2) file a rider to an existing bond noting the court
9 to which the guardianship is transferred.
10 Sec. 615. TRANSFER OF RECORD. When an order of transfer
11 [remsval] is made under Section 614 of this code, the clerk shall
12 record any unrecorded papers of the guardianship required to be
13 recorded. On payment of the clerk's fee, the clerk shall transmit
14 to the county clerk of the county to which the guardianship was
15 ordered transferred [remsvea]:
16 (1) the case file of the guardianship proceedings; and
17 (2) a certified copy of the index of the guardianship
18 records.
19 Sec. 616. TRANSFER [HE/WVALI EFFECTIVE. The order
20 transferring [remsviR9'1 a guardianship does not take effect until:
21 (1) the case file and a certified copy of the index
22 required by Section 615 of this code are filed in the office of the
23 county clerk of the county to which the guardianship was ordered
24 transferred [remsvea]; and
25 (2) a certificate under the clerk's official seal and
26 reporting the filing of the case file and a certified copy of the
27 index is filed in the court ordering the transfer [remsval] by the
82511237 JJT-F 209

S.B. No.1
1 county clerk of the county to which the guardianship was ordered
2 transferred [rem6vea].
3 Sec. 617. CONTINUATION OF GUARDIANSHIP. When a
4 guardianship is transferred [rem6vea] from one county to another in
5 accordance with this subpart, the guardianship proceeds in the
6 court to which it was transferred [rem6vea] as if it had been
7 originally commenced in that court. It is not necessary to record
8 in the receiving court any of the papers in the case that were
9 recorded in the court from which the case was transferred
10 [rem6vea].
11 Sec. 618. NEW GUARDIAN APPOINTED ON TRANSFER [HEMOV"\L]. If
12 it appears to the court that transfer [rem6val] of the guardianship
13 is in the best interests of the ward, but that because of the
14 transfer [rem6val] it is not in the best interests of the ward [w-i+.h
15 Be UFl8:lily clEpcAsiv er HReuly inSGRYCnicFlE be the estate] for the
16 guardian of the estate to continue to serve in that capacity, the
17 court may in its order of transfer [rem6val] revoke the letters of
18 guardianship and appoint a new guardian, and the former guardian
19 shall account for and deliver the estate as provided by this chapter
20 in a case in which a guardian resigns.
21 SECTION 66.04. Subpart B, Part 2, Chapter XIII, Texas
22 Probate Code, is amended by adding Section 619 to read as follows:
23 Sec. 619. REVIEW OF TRANSFERRED GUARDIANSHIP. Not later
24 than the 90th day after the date the transfer of the guardianship
25 takes effect under Section 616 of this code, the court to which the
26 guardianship was transferred shall hold a hearing to consider
27 modifying the rights, duties, and powers of the guardian or any
82811237 JJT-F 210
..
S.B. No.1
1 other provisions of the transferred guardianship.
2 SECTION 66.05. Section 892, Texas Probate Code, is amended
3 by amending Subsections (a) and (e) and adding Subsection (f-l) to
4 read as follows:
5 (a) A guardian appointed by a foreign court to represent an
6 incapacitated person who is residing in this state or intends to
7 move to this state may file an application with a court in which the
8 ward resides or intends to reside to have the guardianship
9 transferred to the court. The application must have attached a
10 certified copy of all papers of the guardianship filed and recorded
11 in the for e ign court.
12 (e) The [OR tHe eeurt's eToiR metieR er eR tHe metieR ef tHe
13 liars er aRy iRterestes !'lerseR, tHe] court shall hold a hearing to..;.
14 ill consider the application for receipt and
15 acceptance of a foreign guardianship; and
16 (2) consider modifying the administrative procedures
17 or requirements of the proposed transferred guardianship in
18 accordance with local and state law.
19 (f-l) At the time of granting an application for receipt and
20 acceptance of a foreign guardianship, the court may also modify the
21 administrative procedures or requirements of the transferred
22 guardianship in accordance with local and state law.
23 SECTION 66.06. Subsection (b), Section 894, Texas Probate
25 (b) A court that delays further action in a guardianship
26 proceeding under Subsection (a) of this section shall determine
27 whether venue of the proceeding is more suitable in that court or in
82Sll237 JJT-F 211
[aR4]
(1) the interests of justice;
(2) the best interests of the ward or proposed ward;
S.B. No.1
the foreign court. In making that determination, the court may
consider:
(1) decline to exercise jur isdiction;
(2) exercise jurisdiction for the limited purpose of
fashioning an appropriate remedy to ensure the health, safety, and
welfare of the ward or pr.oposed ward or the protection of the ward's
or proposed ward's property or prevent a repetition of the
unjustifiable conduct, including staying the proceeding until a
petition for the appointment of a guardian or issuance of a
protective order is filed in a court of another state having
jurisdiction; or
after jurisdiction exercise to (3) continue
considering:
(3) the convenience of the parties; and
(4) the preference of the ward or proposed ward, if the
ward or proposed ward is 12 years of age or older.
SECTION 66.07. Subpart G, Part 5, Chapter XIII, Texas
Probate Code, is amended by adding Section 895 to read as follows:
Sec. 895. DETERMINATION OF MOST APPROPRIATE FORUM FOR
CERTAIN GUARDIANSHIP PROCEEDINGS. (a) If at any time a court of
this state determines that it acquired jurisdiction of a proceeding
for the appointment of a guardian of the person or estate, or both,
of a ward or proposed ward because of unjustifiable conduct, the
court may:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82511237 JJT-F 212
S.B. No. 1
1 (A) the extent to which the ward or proposed ward
2 and all persons required to be notified of the proceedings have
3 acguiesced in the exer cise of the court's j ur isdict ion;
4 (B) whether the court of this state is a more
5 appropriate forum than the court of any other state after
6 considering the factors described by section 894(b) of this code;
7 and
8 (C) whether the court of any other state would
9 have jur isdiction under the factual circumstances of the matter.
10 (b) If a court of this state determines that it acguired
11 jurisdiction of a proceeding for the appointment of a guardian of
12 the person or estate, or both, of a ward or proposed ward because a
13 party seeking to invoke the court's jurisdiction engaged in
14 unjustifiable conduct, the court may assess against that party
15 necessary and reasonable expenses, including attorney's fees,
16 investigative fees, court costs, communication expenses, witness
17 fees and expenses, and travel expenses. The court may not assess
18 fees, costs, or expenses of any kind against this state or a
19 governmental subdivision, agency, or instrumentality of this state
20 unless author ized by other law.
21 SECTION 66.08. Section 893, Texas Probate Code, is
22 repealed.
23 SECTION 66.09. Sections 612, 613, 614, 615, 616, 617, and
24 618, Texas Probate Code, as amended by this article, and Section
25 619, Texas Probate Code, as added by this article, apply only to an
26 application for the transfer of a guardianship to another county
27 filed on or after the effective date of this article. An
82811237 JJT-F 213
S.B. No.1
1 application for the transfer of a guardianship to another county
2 filed before the effective date of this article is governed by the
3 law in effect on the date the application was filed, and the former
4 law is continued in effect for that purpose.
6 Sections 892 and 893, Texas Probate Code, apply only to an
7 application for receipt and acceptance of a foreign guardianship
8 filed on or after the effective date of this article. An
9 application for receipt and acceptance of a foreign guardianship
10 filed before the effective date of this article is governed by the
11 law in effect on the date the application was filed, and the former
12 law is continued in effect for that purpose.
13 SECTION 66.11. Section 894, Texas Probate Code, as amended
14 by this article, and Section 895, Texas Probate Code, as added by
15 this article, apply only to a guardianship proceeding filed on or
16 after the effective date of this article. A guardianship
17 proceeding filed before the effective date of this article is
18 governed by the law in effect on the date the proceeding was filed,
19 and the former law is continued in effect for that purpose.
20 ARTICLE 66A. GUARDIANSHIP MATTERS AND PROCEEDINGS: AMENDMENTS TO
21 ESTATES CODE
22 SECTION 66A.01. Subpart B, Part 2, Subtitle Y, Title 3,
23 Estates Code, as effective January 1, 2014, is amended by adding
24 Section 619 to read as follows:
25 Sec. 619. REVIEW OF TRANSFERRED GUARDIANSHIP. Not later
26 than the 90th day after the date the transfer of the guardianship
27 takes effect under Section 616, the court to which the guardianship
82811237 JJT-F 214
S.B. No. 1
1 was transferred shall hold a hearing to consider modifying the
2 rights, duties, and powers of the guardian or any other provisions
3 of the transferred guardianship.
4 SECTION 66A.02. Section 1253.051, Estates Code, as
5 effective January 1, 2014, is amended to read as follows:
6 Sec. 1253.051. APPLICATION FOR RECEIPT AND ACCEPTANCE OF
7 FOREIGN GUARDIANSHIP. A guardian appointed by a foreign court to
8 represent an incapacitated person who is residing in this state or
9 intends to move to this state may file an application with a court
10 in which the ward resides or intends to reside to have the
11 guardianship transferred to the court. The application must have
12 attached a certified copy of all papers of the guardianship filed
13 and recorded in the foreign court.
14 SECTION 66A.03. Section 1253.053, Estates Code, as
15 effective January 1, 2014, is amended by amending Subsection (a)
16 and adding Subsection (f) to read as follows:
17 (a) The [OR the ea1Ht's ar"'R matiaR ar aR the metieR ef the
18 ''''arEl er aRy iRteresteEl perseR, the] court shall hold a hearing to.:..
19 (1) consider an application for receipt and acceptance
20 of a foreign guardianship under this subchapter; and
21 (2) consider modifying the administrative procedures
22 or requirements of the proposed transferred guardianship in
23 accordance with local and state law.
24 (f) At the time of granting an application for receipt and
25 acceptance of a foreign guardianship, the court may also modify the
26 administrative procedures or requirements of the transferred
27 guardianship in accordance with local and state law.
82811237 JJT-F 215

S.B. No. 1
1 SECTION 66A.04. Subsection (b), Section 1253.102, Estates
2 Code, as effective January 1, 2014, is amended to read as follows:
3 (b) In making a determination under Subsection (a), the
4 court may consider:
5 (1) the interests of justice;
6 (2) the best interests of the ward or proposed ward;
7 [aM]
8 (3) the convenience of the parties; and
9 (4) the preference of the ward or proposed ward, if the
10 ward or proposed ward is 12 years of age or older.
11 SECTION 66A.05. Chapter 1253, Estates Code, as effective
12 January 1, 2014, is amended by adding Subchapter D to read as
13 follows:
14 SUBCHAPTER D. DETERMINATION OF MOST APPROPRIATE FORUM FOR CERTAIN
15 GUARDIANSHIP PROCEEDINGS
16 Sec. 1253.151. DETERMINATION OF ACQUISITION OF
17 JURISDICTION IN THIS STATE DUE TO UNJUSTIFIABLE CONDUCT. If at any
18 time a court of this state determines that it acguired jurisdiction
19 of a proceeding for the appointment of a guardian of the person or
20 estate, or both, of a ward or proposed ward because of unjustifiable
21 conduct, the court may:
22 (1) decline to exercise jurisdiction;
23 (2) exercise jurisdiction for the limited purpose of
24 fashioning an appropriate remedy to ensure the health, safety, and
25 welfare of the ward or proposed ward or the protection of the ward's
26 or proposed ward's property or prevent a repetition of the
27 unjustifiable conduct, including staying the proceeding until a
82811237 JJT-F 216
(A) the extent to which the ward or proposed ward
and all persons required to be notified of the proceedings have
aCquiesced in the exercise of the court's jurisdiction;
(B) whether the court of this state is a more
appropriate forum than the court of any other state after
consider ing the factor s descr ibed by Section 1253.102 (b); and
(C) whether the court of any other state would
have jur isdiction under the factual circumstances of the matter.
Sec. 1253.152. ASSESSMENT OF EXPENSES AGAINST PARTY. (a)
If a court of this state determines that it aCquired jurisdiction of
a proceeding for the appointment of a guardian of the person or
estate, or both, of a ward or proposed ward because a party seeking
to invoke the court's jurisdiction engaged in unjustifiable
conduct, the court may assess against that party necessary and
reasonable expenses, including attorney's fees, investigative
fees, court costs, communication expenses, witness fees and
expenses, and travel expenses.
(b) The court may not assess fees, costs, or expenses of any
kind against this state or a governmental subdivision, agency, or
instrumentality of this state unless authorized by other law.
SECTION 66A.06. The following are repealed:
(1) Section 1253.054, Estates Code, as effective
considering:
jurisdiction; or
(3) cont inue jurisdiction after
state having
S.B. No. 1
issuance of a
exercise
a court of another
of a guardian or
to
appointment
is filed in protective order
petition for the 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82511237 JJT-F 217

S.B. No.1
1 January 1, 2014;
2 (2) the changes in law made by Sections 66.05 and 66.06
3 of this Act to Sections 892 and 894, Texas Probate Code; and
4 (3) Sect ion 895, Texas Probate Code, as added by
5 Sect ion 66.07 of this Act.
6 SECTION 66A.07. This article takes effect January 1,2014.
7 ARTICLE 67. SUPPORT FOR HABITAT PROTECTION MEASURES
9 adding Subchapter Q to read as follows:
10 SUBCHAPTER Q. SUPPORT FOR HABITAT PROTECTION MEASURES
11 Sec. 403.451. DEFINITIONS. In this subchapter:
12 (1) "Candidate conservation plan" means a plan to
13 implement such actions as necessary for the conservation of one or
14 more candidate species or species likely to become a candidate
15 species in the near future.
16 (2) "Candidate species" means a species identified by
17 the United States Department of the Interior as appropriate for
18 listing as threatened or endangered.
19 (3) "Endangered species," "federal permit," "habitat
20 conservation plan," and "mitigation fee" have the meanings assigned
21 by Section 83.011, Parks and Wildlife Code.
22 Sec. 403.452. COMPTROLLER POWERS AND DUTIES. (a) To promote
23 compliance with federal law protecting endangered species and
24 candidate species in a manner consistent with this state's economic
25 development and fiscal stability, the comptroller may:
26 (1) develop or coordinate the development of a habitat
27 conservation plan or candidate conservation plan;
82S11237 JJT-F 218
S . B. No. 1
1 (2) apply for and hold a federal permit issued in
2 connection with a habitat conservation plan or candidate
3 conservation plan developed by the comptroller or the development
4 of which is coordinated by the comptroller;
5 (3) enter into an agreement for the implementation of
6 a candidate conservation plan with the United States Department of
7 the Interior or assist another entity in entering into such an
8 agreement;
9 (4) establish the habitat protection fund, to be held
10 by the comptroller outside the treasury, to be used to support the
11 development or coordination of the development of a habitat
12 conservation plan or a candidate conservation plan, or to pay the
13 costs of monitoring or administering the implementation of such a
14 plan;
15 (5) impose or provide for the imposition of a
16 mitigation fee in connection with a habitat conservation plan or
17 such fees as are necessary or advisable for a candidate
18 conservation plan developed by the comptroller or the development
19 of which is coordinated by the comptroller; and
20 (6) implement, monitor, or support the implementation
21 of a habitat conservation plan or candidate conservation plan
22 developed by the comptroller or the development of which is
23 coordinated by the comptroller.
24 (b) The comptroller may solicit and accept appropriations,
25 fees under this subchapter, gifts, or grants from any public or
26 private source, including the federal government, this state, a
27 public agency, or a political subdivision of this state, for
82S11237 JJT-F 219
S.B. No.1
1 deposit to the credit of the fund established under this section.
2 (c) The legislature finds that expenditures described by
3 Subsection (a) (4) serve public purposes, including economic
4 development in this state.
5 (d) The comptroller may establish a nonprofit corporation
6 or contract with a third party to perform one or more of the
7 comptroller's functions under this section.
8 Sec. 403.453. STATE AGENCY POWERS AND DUTIES. (a) Upon
(5) any agency receiving funds through Article VI
( 3) , ( 5) , or (6) :
( 1) the Texas Department of Agriculture;
( 2 ) the Parks and Wildlife Department;
(3) the Texas Department of Transportation;
(4)
the State Soil and Water Conservation Board; or
9 consideration of the factors identified in Subsection (b), the
10 comptroller may designate one of the following agencies to
11 undertake the functions identified in Section 403.452(a)(1), (2),
12
13
14
15
16
17
18 (Natural Resources) of the 2012-2013 appropriations bill.
19 (b) In designating an agency pursuant to Subsection (a), the
20 comptroller shall consider the following factors:
21 (1) the economic sectors impacted by the species of
22 interest that will be included in the habitat conservation plan or
23 candidate conservation plan;
24
25 and
26
27
(2) the identified threats to the species of interest;
(3) the location of the species of interest.
(c) The comptroller may enter into a memorandum of
82S11237 JJT-F 220

S.B. No.1
1 understanding or an interagency contract with any of the agencies
2 listed in this section to implement this subchapter and to provide
3 for the use of the habitat protection fund.
4 Sec. 403.454. CONFIDENTIAL INFORMATION. Information
5 collected under this subchapter by an agency, or an entity acting on
6 the agency's behalf, from a private landowner or other participant
7 or potential participant in a habitat conservation plan, proposed
8 habitat conservation plan, candidate conservation plan, or
9 proposed candidate conservation plan is not subject to Chapter 552
10 and may not be disclosed to any person, including a state or federal
11 agency, if the information relates to the specific location,
12 species identification, or quantity of any animal or plant life for
13 which a plan is under consideration or development or has been
14 established under this section. The agency may disclose
15 information described by this section only to the person who
16 provided the information unless the person consents in writing to
17 full or specified partial disclosure of the information.
18 Sec. 403.455. RULES. The comptroller or agencies identified
19 in Section 403.453 may adopt rules as necessary for the
20 administration of this subchapter.
21 ARTICLE 68. LICENSE PLATES ISSUED FOR CERTAIN GOLF CARTS
23 Transportation Code, as effective September 1, 2011, is amended to
24 read as follows:
25 (d) This section applies only to an owner of a golf cart who
26 resides[+
27 [+!+) on real property that is owned or under the
82S11237 JJT-F 221
S.B. No.1
1 control of the United States Corps of Engineers and is required by
2 that agency to register the owner's golf cart under this chapter[T
3 aM
4 [(2) iFl a G8\:lFlty that laerelers aflsther state ana Bas a
5 pS]?\:llatioFl sf mere thaR 120,7O 13\:1t 1006 tl:laR 121,000].
6 ARTICLE 69. CERTAIN COURT COSTS ASSOCIATED WITH THE OFFENSE OF
7 FAILING TO SECURE A CHILD PASSENGER IN A MOTOR VEHICLE
8 SECTION 69.01. The following laws are repealed:
9 (1) Section 545.412(b-l), Transportation Code;
10 (2) Section 102.104, Government Code; and
11 (3) Section 102.122, Government Code.
12 SECTION 69.02. The change in law made by this article
13 applies only to an offense committed on or after the effective date
14 of this Act. An offense committed before the effective date of this
15 Act is governed by the law in effect when the offense was committed,
16 and the former law is continued in effect for that purpose. For
17 purposes of this section, an offense was committed before the
18 effective date of this Act if any element of the offense was
19 committed before that date.
20 ARTICLE 70. JUVENILE JUSTICE ALTERNATIVE
21 EDUCATION PROGRAMS
23 by adding Subsections (a-3), (a-4), and (a-5) to read as follows:
24 (a-3) For purposes of this section and Section 37.010(a), a
25 county with a population greater than 125,000 is considered to be a
26 county with a population of 125,000 or less if the county:
27 (1) has a population of more than 200,000 and less than
82S11237 JJT-F 222
..
82511237 JJT-F 223
S.B. No.1
82S11237 JJT-F 224
S.B. No.1
S.B. No.1
1 other procedures to maximize the receipt of federal Medicaid
2 matching funds.
3 ARTICLE 72. DRIVER'S LICENSES AND PERSONAL IDENTIFICATION
4 CERTIFICATES
5 SECTION 72.01. Subchapter A, Chapter 521, Transportation
7 Sec. 521.007. TEMPORARY VISITOR STATIONS. (a) The
8 department shall designate as temporary visitor stations certain
9 driver's license offices.
10 (bl A driver's license office designated as a temporary
11 visitor station under this section must have at least two staff
12 members who have completed specialized training on the temporary
13 visitor issuance guide published by the department.
14 (c) A driver's license office designated as a temporary
15 visitor station shall provide information and assistance to other
16 driver's license offices in the state.
17 SECTION 72.02. Subsection (b), Section 521.041,
18 Transportation Code, is amended to read as follows:
19 (b) The department shall maintain suitable indexes, in
20 alphabetical or numerical order, that contain:
21 (1) each denied application and the reasons for the
22 denial;
23 (2) each application that is granted; [aM)
24 (3) the name of each license holder whose license has
25 been suspended, canceled, or revoked and the reasons for that
26 action; and
27 (4) the citizenship status of each holder of a license
82511237 JJT-F 225
82811237 JJT-F 226
S.B. No.1
..
.. .
S.B. No. 1
1 applicant's authorized stay in the United States [i elEoept tHat a
2 eertifieate iSGuea te a pers8H O years af a er Glaer aees Ret
3 clE!,ire].
4 (f-2) An applicant who is not a citizen of the United States
5 must present to the department documentation issued by the
6 appropriate United States agency that authorizes the applicant to
7 be in the United States.
8 (f-3) The department may not issue a personal
9 identification certificate to an applicant who fails or refuses to
10 comply with Subsection (f-2).
11 (f-4) The department may not deny a personal identification
12 certificate to an applicant who complies with Subsection (f-2)
13 based on the duration of the person's authorized stay in the United
14 States, as indicated by the documentation presented under
15 Subsection (f-2).
16 (k) Except as provided by this section, a personal
17 identification certificate issued under this chapter:
18 (1) must:
19 (A) be in the same format;
20 (B) have the same appearance and orientation; and
21 (C) contain the same type of information; and
22 (2) may not include any information that this chapter
23 does not reference or reguire.
24 SECTION 72.04. Section 521.103, Transportation Code, is
25 amended by adding Subsection (c) to read as follows:
26 (c) Sections 521.101(f-2), (f-3), and (f-4) apply to a
27 personal identification certificate for which application is made
82811237 JJT-P 227
S.B. No. 1
1 under this sect ion.
3 amended by adding Subsection (e) to read as follows:
4 (e) Except as provided by this section, a driver's license
5 issued under this chapter:
6 (1) must:
8 (B) have the same appearance and or ientat ion; and
11 does not reference or require.
12 SECTION 72.06. Subsections (a) and (e), Section 521.142,
13 Transportation Code, are amended to read as follows:
14 (a) An application for an original license must state the
15 applicant I s full name and place and date of birth. This information
16 must be verified by presentation of proof of identity satisfactory
17 to the department. An applicant who is not a citizen of the United
18 States must present to the department documentation issued by the
19 appropriate United States agency that authorizes the applicant to
20 be in the United States before the applicant may be issued a
21 dr iver' s license. The department must accept as satisfactory proof
22 of identity under this subsection an offender identification card
23 or similar form of identification issued to an inmate by the Texas
24 Department of Cr iminal Justice if the applicant also provides
25 supplemental verifiable records or documents that aid in
26 establishing identity.
27 (e) The application must include any other information the
82511237 JJT-F 228
..
States United
[aR4] provisional
driver's license
S.B. No.1
applicant's identity,
as required by the
applicant's the
determine the
and eligibility
of (1) proof
citizenship; or
(2) documentat ion descr ibed by Section 521. 142 (a) .
(d) The department may not deny a driver's license to an
applicant who provides documentation described by Section
521.142 (a) based on the dur ation of the per son's author ized stay in
the United States, as indicated by the documentation presented
under Section 521. 142 (a) .
SECTION 72.08. Section 521.271, Transportation Code, is
amended by amending Subsections (a) and (b) and adding Subsections
(a-2), (a-3), and (a-4) to read as follows:
(a) Each original driver's license
L
license, instruction permit, or occupational
department requires to
residency, competency,
department or state law.
amended by amending Subsection (a) and adding Subsections (c) and
(d) to read as follows:
(a) Except as provided by Subsections (b) and
(c), the department may require each applicant for an original,
renewal, or duplicate dr iver' s license to furnish to the department
the information required by Section 521.142.
(c) Unless the information has been previously provided to
the department, the department shall require each applicant for an
original, renewal, or duplicate driver's license to furnish to the
department:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82S11237 JJT-F 229
S.B. No.1
1 issued to an applicant who is a cit izen, nat ional, or legal
2 permanent resident of the United States or a refugee or asy1ee
3 lawfully admitted into the United States expires as follows:
4 (1) except as provided by Section 521.2711, a driver's
5 license expires on the first birthday of the license holder
6 occurring after the sixth anniversary of the date of the
7 application;
8 (2) a provisional license expires on the 18th
9 birthday of the license holder;
10(3) an instruction permit expires on the 18th birthday
11 of the license holder;
12 (4) an occupational driver's license expires on the
13 fir st anniver sary of the court order grant ing the license; and
14 (5) unless an earlier date is otherwise provided, a
15 dr iver' s license issued to a person whose residence or domicile is a
16 correctional facility or a parole facility expires on the first
17 birthday of the license holder occurring after the first
18 anniversary of the date of issuance.
19 (a-2) Each original driver's license issued to an applicant
20 who is not a citizen, national, or legal permanent resident of the
21 United States or a refugee or asy1ee lawfully admitted into the
22 United States expires on:
23 (1) the earlier of:
24 (A) the first birthday of the license holder
25 occurring after the sixth anniversary of the date of the
26 application; or
27 (B) the expiration date of the license holder's
82S11237 JJT-F 230
..
S.B. No.1
1 lawful presence in the United States as determined by the
2 appropriate United States agency in compliance with federal law; or
3 (2) the first anniversary of the date of issuance, if
4 there is no definite expiration date for the applicant's authorized
5 stay in the United States.
6 (a-3) Each original provisional license or instruction
7 permit issued to an applicant who is not a citizen, national, or
8 legal permanent resident of the United States or a refugee or asylee
9 lawfully admitted into the United States expires on the earliest
10 of:
11
12
(1) the 18th birthday of the license holder;
(2) the first birthday of the license holder occurring
13 after the date of the application; or
14 (3) the expir at ion of the license holder I s lawful
15 presence in the United States as determined by the United States
16 agency responsible for citizenship and immigration in compliance
17 with federal law.
18 (a-4) Each original occupational driver's license issued to
19 an applicant who is not a citizen, national, or legal permanent
20 resident of the United States or a refugee or asylee lawfully
21 admitted into the United States expires on the earlier of:
22 ( 1) the first anniversary of the date of issuance; or
23 (2 ) the expiration of the license holder's lawful
24 presence in the United States as determined by the appropriate
25 United States agency in compliance with federal law.
26 (b) Except as provided by Section 521.2711, a driver's
27 license that is renewed expires on the ear lier of:
82811237 JJT-F 231
82811237 JJT-F 232
S . B. No. 1
1 (A) the second anniversary of the expiration date
2 before renewal; or
3' (B) the expiration date of the applicant's
4 authorized stay in the United States; or
5 (2) the first anniversary of the date of issuance if
6 there is no definite expiration date for the applicant's authorized
7 stay in the United States.
9 amended by amending Subsection (c) and adding Subsection (d) to
10 read as follows:
11 (c) Notwithstanding Sections [SestieH] 521.271 and
12 521.2711, a driver's license issued under this section, including a
13 renewal, duplicate, or corrected license, e x p i r e s ~
14 (1) if the license holder is a citizen, national, or
15 legal permanent resident of the United States or a refugee or asylee
16 lawfully admitted into the United States, on the first birthday of
17 the license holder occurring after the date of application, except
18 that the initial license issued under this section expires on the
19 second birthday of the license holder occurring after the date of
20 application; or
21 (2) if the applicant is not described by Subdivision
22 (1), on the earlier of:
23 (A) the expiration date of the applicant's
24 author ized stay in the United States; or
25 (B) the first birthday of the license holder
26 occurring after the date of application, except that the initial
27 license issued under this section expires on the second birthday of
82511237 JJT-F 233
~ A commercial
521.222; or
Section issued under
S.B. No.1
the license holder occurr ing after the date of application.
(d) Subsection (c) ['l'his sHBseetisR] does not apply to:
(1) a provisional license;
(2) an instruction permit
Sec. 522.030. CONTENT OF LICENSE.
dr iver' s license must:
(1) be marked "Commercial Dr iver License" or "CDL";
(2) be, to the extent practicable, tamper-proof; and
(3) include:
(A) the name and mailing address of the person to
(3) a hardship license issued under Section 521.223.
amended by adding Subsection (a-3) to read as follows:
(a-3) Except as provided by Subsections (a-l) and (a-2), the
fee for a driver's license or personal identification certificate
that is issued to a person who is not a citizen, national, or legal
permanent resident of the United States or a refugee or asylee
lawfully admitted into the United States and that is valid for not
more than one year is $24.
Sec. 522.005. RULEMAKING AUTHORITY. The department may
adopt rules necessary to carry out this chapter and the federal act
and to maintain compliance with 49 C.F.R. Parts 383 and 384.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
82511237 JJT-F 234
S.B. No.1
1 whom it is issued;
2 (B) the person's color photograph;
3 (C) a physical description of the person,
4 including sex, height, and eye color;
5 (D) the person's date of birth;
6 (E) a number or identifier the department
7 considers appropriate;
8 (F) the person's signature;
9 (G) each class of commercial motor vehicle that
10 the person is authorized to drive, with any endorsements or
11 restrictions;
12 (H) the name of this state; and
13 (I) the dates between which the license is valid.
14 (b) Except as provided by this section, a commercial
15 dr iver' s license issued under this chapter:
16 (1) must:
18 (B) have the same appearance and orientation; and
21 does not reference or reguire.
22 (c) To the extent of a conflict or inconsistency between
23 this section and Section 522.013 or 522.051, Section 522.013 or
24 522.051 controls.
25 SECTION 72.14. Subsection (bl, Section 522.033,
26 Transportation Code, is amended to read as follows:
27 (b) Notwithstanding Section 522.051, a commercial driver's
82S11237 JJT-F 235
citizenship: or
(2) documentation described by Section 521.142(a).
S.B. No. 1
license or commercial driver learner's permit issued under this
section, including a renewal, duplicate, or corrected license,
expires.!.
(l l if the license or permit holder is a citizen,
national, or legal permanent resident of the united States or a
refugee or asylee lawfully admitted into the United States, on the
first birthday of the license holder occurring after the date of
application, except that the initial license issued under this
section expires on the second birthday of the license holder
occurring after the date of application: or
(2) if the applicant is not described by Subdivision
(l), on the ear lier of:
(A) the expiration date of the applicant's
author ized stay in the United States: or
(B) the first birthday of the license holder
occurring after the date of application, except that the initial
license issued under this section expires on the second birthday of
the license holder occur ring after the dat e of applicat ion.
amended by adding Subsect ions (i) and (j) to read as follows:
(il Unless the information has been previously provided to
the department, the department shall require each applicant for a
renewal or duplicate commercial driver's license to furnish to the
department:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
(1) proof
82S11237 JJT-F
of the
236
applicant's United States
.. .
S . B. No. 1
1 (j) The department may not deny a renewal or duplicate
2 commercial driver's license to an applicant who provides
3 documentat ion descr ibed by Sect ion 521. 142 (a) based on the dur at ion
4 of the person's authorized stay in the United States, as indicated
5 by the documentation presented under Section 521.l42(a).
6 SECTION 72.16. Not later than January 1, 2013, the
7 Department of Public Safety of the State of Texas shall submit to
8 the legislature a report evaluating the effectiveness of the
9 tempor ary visitor stat ions established under Sect ion 521. 007 ,
10 Transportation Code, as added by this article.
12 Chapters 521 and 522, Transportation Code, apply only to a driver's
13 license, personal identification certificate, commercial driver's
14 license, or commercial driver learner's permit issued, reissued,
15 reinstated, or renewed on or after the effective date of this Act.
16 A driver's license, personal identification certificate,
17 commercial driver's license, or commercial driver learner's permit
18 issued, reissued, reinstated, or renewed before the effective date
19 of this Act is governed by the law in effect when the license,
20 certificate, or permit was issued, reissued, reinstated, or
21 renewed, and the former law is continued in effect for that purpose.
22 ARTICLE 73. FEES FOR 9-1-1 SERVICES
23 SECTION 73.01. Subdivision (4), Section 771.001, Health and
24 Safety Code, is repealed.
25 SECTION 73.02. Section 771.001, Health and Safety Code, is
26 amended by amending Subdivision (13) and adding Subdivision (14) to
27 read as follows:
82811237 JJT-F 237
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
S.B. No. 1
(13) "Wireless telecommunications connection" means
any voice-capable wireless communication mobile station that is
provided to a customer by a wireless [assiHea a HHmser eSHtaiHiH
aR area Gada assiFlod te TOJras By tHe AmorieaFl Plan
AeFRiRistrater that eonnoetc a uirelccs serviss flrsTuTiEler te tHe
1sea1 elEsl:laHe] service provider.
(14) "Service provider" means a local exchange service
provider, a wireless service provider, and any other provider of
local exchange access lines or equivalent local exchange access
lines.
SECTION 73.03. Subsection (e), Section 771.071, Health and
Safety Code, is amended to read as follows:
(e) A [1ssa1 elisl:laHe] service provider shall collect the
fees imposed on its customers under this section. Not later than the
30th day after the last day of the month in which the fees are
collected, the [1ssa1 eliel:laHeJ service provider shall deliver the
fees to the comptroller. The comptroller shall deposit money from
the fees to the credit of the 9-1-1 services fee account in the
general revenue fund. The comptroller may establish alternative
dates for payment of fees under this section, provided that the
required payment date be no ear lier than the 30th day after the last
day of the reporting period in which the fees are collected.
SECTION 73.04. Subsections (a) through (e), Section
771.072, Health and Safety Code, are amended to read as follows:
(a) In addition to the fees imposed under Sections
[SeetisH] 771.071 and 771.0711, the commission shall impose a 9-1-1
equalization surcharge on each local exchange access line or
82511237 JJT-F 238
(b) The surcharge must be a fixed amount, not to exceed 10
cents per month for each local exchange access line, equivalent
local exchange access line, or wireless telecommunications
connection [amoHnt of tHO GUTGRarge FRay net c1Eocea GBO aHa
three tenths af ene pereont af the eharges fer intrastate
leR1f Eiistane scrvie, as definea13y the eSHlfRissien] .
(c) Except as provided by Section 771.073(f), each [aft
service provider shall collect the
surcharge imposed on its customers under this section and shall
deliver the surcharges to the comptroller not later than the date
specified by the comptroller, provided that the required payment
date be no earlier than the 30th day after the last day of the
reporting period in which the surcharge is collected. If the
(1) a line to coin-operated public telephone equipment
or to public telephone equipment operated by coin or by card reader;
(2) any line that the commission excluded from the
definition of a local exchange access line or an equivalent local
exchange access line under Sect ion 771.063; or
(3) any wireless telecommunications connection that
constitutes prepaid wireless telecommunications service subject to
Section 771.0712 [eustemer roeciving intrastate lang aistanee
scrvioc, euctomers in aR area serveS. By an emergency
GOffiffiHnioation eistriet, eveR if the Elistriet is net partieipating
in the r e (jional plan] .
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
equivalent local exchange

telecommunications connection.
on:
82S11237 JJT-F
S.B. No.1
access line and each wireless
The surcharge may not be imposed
239
,
S.B. No. 1
1 comptroller does not specify a date, the provider shall deliver the
2 surcharges to the comptroller not later than the 30th day after the
3 last day of the month in which the surcharges are collected.
4 (d) From the revenue received from the surcharge imposed
5 under this section, not more than 40 percent of the amount derived
6 from the application of the surcharge [at a rate sf Ret mere tJ:iaR
7 ~ e r e e R t l shall be allocated to regional planning commissions or
8 other public agencies designated by the regional planning
9 commissions for use in carrying out the regional plans provided for
10 by this chapter. The allocations to the regional planning
11 commissions are not required to be equal, but should be made to
12 carry out the policy of this chapter to implement 9-1-1 service
13 statewide. Money collected under this section may be allocated to
14 an emergency communication distr ict regardless of whether the
15 district is participating in the applicable regional plan.
16 (e) From the revenue received from the surcharge imposed by
17 this section, not more than 60 percent of the amount derived from
18 the application of the surcharge [at a rate ef Ret mere tJ:iaR .a
19 ~ e r e e R t l shall be periodically allocated to fund grants awarded
20 under Section 777.009 and other activities related to the poison
21 control centers as required by Chapter 777.
22 SECTION 73.05. Section 771.0725, Health and Safety Code, is
23 amended by adding Subsection (e) to read as follows:
24 (e) The commission shall establish the rate for the
25 equalization surcharge imposed under Section 771.072 for each state
26 fiscal biennium in an amount that ensures the aggregate of the
27 anticipated surcharges collected from all customers for the
82S11237 JJT-F 240
S.B. No.1
following 12 months does not exceed the aggregate of the surcharges
collected from all customers during the preceding 12 months. Any
change in the egualization surcharge rate may not become effective
before the 90th day after the date notice of the change is provided
by the commission to the service providers.
SECTION 73.06. Subsection (al, Section 771.073, Health and
Safety Code, is amended to read as follows:
(a) A customer on which a fee or surcharge is imposed under
this subchapter is liable for the fee or surcharge in the same
manner as the customer is liable for the charges for services
provided by the service provider. The service provider shall
collect the fees and surcharges in the same manner it collects those
charges for service, except that the service provider is not
required to take legal action to enforce the collection of the fees
or surcharges. Other than the fee imposed under Section 771.0712, a
[A] fee or surcharge imposed under this subchapter must be either
stated separately on the customer's bill or combined in an
appropriately labeled single line item on the customer's bill with
all other fees and surcharges that are imposed under this
subchapter or that are imposed for 9-1-1 emergency service by a
political subdivision. A service provider that combines the fees
and surcharges into a single line item for billing purposes must
maintain books and records reflecting the collection of each
separate fee and surcharge.
SECTION 73.07. Section 771.0735, Health and Safety Code, is
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27 Sec. 771.0735. SOURCING
82811237 JJT-F 241
OF CHARGES FOR MOBILE
S.B. No.1
federal Mobile
Sections 116-126)
telecommunications
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
TELECOMMUNICATIONS SERVICES. The
Telecommunications Sourcing Act (4 U.S.C.
governs the sourcing of charges for mobile
services. In accordance with that Act:
(1) mobile telecommunications services provided in a
taxing jurisdiction to a customer, the charges for which are billed
by or for the customer's home service provider, shall be deemed to
be provided by the customer's home service provider;
(2) all charges for mobile telecommunications
services that are deemed to be provided by the customer's home
service provider in accordance with the Act are authorized to be
subjected to tax, charge, or fee by the taxing jurisdictions whose
territorial limits encompass the customer's place of primary use,
regardless of where the mobile telecommunications services
originate, terminate, or pass through, and no other taxing
jurisdiction may impose taxes, charges, or fees on charges for such
mobile telecommunications services; and
(3) the fee and the surcharge imposed on wireless
telecommunications bills shall be administered in accordance with
Section 151.061, Tax Code.
SECTION 73.08. The changes in law made by this article apply
only to a fee or surcharge imposed on or after the later of the
effective date of this article or September 1, 2011. A fee or
surcharge imposed before that date is governed by the law as it
existed immediately before that date, and that law is continued in
eff ect for that purpose.
SECTION 73.09. This article takes effect immediately if
82S11237 JJT-F 242
..-
S.B. No.1
this Act receives a vote of two-thirds of all the members elected to
each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
this article to have immediate effect, this article takes effect on
the 9lst day after the last day of the legislative session.
ARTICLE 74. OPERATION AND ADMINISTRATION OF THE TEXAS DEPARTMENT
OF HOUSING AND COMMUNITY AFFAIRS
Department of Housing and Community Affairs is subject to Chapter
325 (Texas Sunset Act). Unless continued in existence as provided
by that chapter, the department is abolished and this chapter
expires September 1, 2013 [ ~ ] .
SECTION 74.02. Subsections (d-l) and (d-2), Section
2306.111, Government Code, are amended to read as follows:
(d-l) In allocat ing low income housing tax credit
commitments under Subchapter DD, the department shall, before
applying the regional allocation formula prescr ibed by Section
2306.1115, set aside for at-risk developments, as defined by
Section 2306.6702, not less than the minimum amount of housing tax
credits required under Section 2306.6714. Funds or credits are not
required to be allocated according to the regional allocation
formula under Subsection (d) if:
(1) the funds or credits are reserved for
contract-for-deed conversions or for set-asides mandated by state
or federal law and each contract-for-deed allocation or set-aside
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Sec. 2306.022. APPLICATION OF SUNSET ACT. The Texas
82S11237 JJT-F 243
..
S.B. No. 1
1 allocation equals not more than 10 percent of the total allocation
2 of funds or credits for the applicable program;
3 (2) the funds or credits are allocated by the
4 department pr imar i1y to serve per sons with disabilities; or
5 (3) the funds are housing trust funds administered by
6 the department under Sections 2306.201-2306.206 that are not
7 otherwise required to be set aside under state or federal law and do
8 not exceed $3 million for each programmed activity during each
9 application cycle.
10 (d-2) In allocating low income housing tax credit
11 commitments under Subchapter DO, the department shall allocate five
12 percent of the housing tax credits in each application cycle to
13 developments that receive federal financial assistance through the
14 Texas Rural Development Office of the United States Department of
15 Agriculture. Any funds allocated to developments under this
16 subsection that involve rehabilitation must come from the funds set
17 aside for at-risk developments under Section 2306.6714 and any
18 additional funds set aside for those developments under Subsection
19 (d-1). This subsection does not apply to a development financed
20 wholly or partly under Section 538 of the Housing Act of 1949 (42
21 U.S.C. Section 1490p-2) unless the development involves the
22 rehabilitation of an existing property that has received and will
23 continue to receive as part of the financing of the development
24 federal financial assistance provided under Section 515 of the
25 Housing Act of 1949 (42 U.S.C. Section 1485).
82S11237 JJT-F 244
S.B. No. 1
1 Sec. 2306.67022. QUALIFIED ALLOCATION PLAN; MANUAL. At
2 least biennially, the [ ~ ] board [ a H H ~ a l l y ] shall adopt a
3 qualified allocation plan and a corresponding manual to provide
4 information regarding the administration of and eligibility for the
5 low income housing tax credit program. The board may adopt the plan
6 and manual annually, as considered appropr iate by the board.
7 SECTION 74.04. Subsections (b) and (f), Section 2306.6711,
9 (b) Not later than the deadline specified in the qualified
10 allocation plan, the board shall issue commitments for available
11 housing tax credits based on the application evaluation process
12 provided by Section 2306.6710. The board may not allocate to an
13 applicant housing tax credits in any unnecessary amount, as
14 determined by the department's underwriting policy and by federal
15 law, and in any event may not allocate to the applicant housing tax
16 credits in an amount greater than $3 [ ~ ] million in a single
17 application round or to an individual development more than $2
18 million in a single application round.
19 (f) The board may allocate housing tax credits to more than
20 one development in a single community, as defined by department
21 rule, in the same calendar year only if the developments are or will
22 be located more than two [ ~ ] linear miles [ ~ ] apart. This
23 subsection applies only to communities contained within counties
24 with populat ions exceeding one million.
25 SECTION 74.05. Subsections (a), (b), and (c), Section
26 2306.6724, Government Code, are amended to read as follows:
27 (a) Regardless of whether the board will adopt the plan
82511237 JJT-F 245
S.B. No.1
1 annually or biennially [Nst later thaH ]0 sf eash year],
2 the department, not later than September 30 of the year preceding
3 the year in which the new plan is proposed for use, shall prepare
4 and submit to the board for adoption any proposed qualified
5 allocation plan required by federal law for use by the department in
6 setting criteria and priorities for the allocation of tax credits
7 under the low income housing tax credit program.
8 (b) Regardless of whether the board has adopted the plan
9 annually or biennially, the board shall aHa] submit to
10 the governor any proposed qualified allocation plan not later
11 than November 15 of the year preceding the year in which the new
12 plan is proposed for use.
13 [+e-}] The governor shall approve, reject, or modify and
14 approve the proposed qualified allocation plan not later than
15 December 1.
16 SECTION 74.06. Section 1201.104, Occupations Code, 1S
17 amended by amending Subsections (a), (g), and (h) and adding
18 Subsections (a-I), (a-2), (a-3), and (a-4) to read as follows:
19 (a) Except as provided by Subsection ill [+e+], as a
20 requirement for a manufacturer's, retailer's, broker's,
21 installer's, salvage rebuilder's, or salesperson's license, a
22 person who was not licensed or registered with the department or a
23 predecessor agency on September 1, 1987, must, not more than 12
24 months before applying for the person's first license under this
25 chapter, attend and successfully complete eight hours of
26 instruction in the law, including instruction in consumer
27 protection regulations.
82811237 JJT-F
246
S.B. No.1
1 (a-1) If the applicant is not an individual, the applicant
2 must have at least one related person who satisfies the
3 requirements of Subsection (a) [meets tRis reE!\:liremeHtl. If that
4 applicant is applying for a retailer's license, the related person
5 must be a management official who satisfies the requirements of
6 Subsections (a) and (a-2) at each retail location operated by the
7 applicant.
8 (a-2) An applicant for a retailer's license must complete
9 four hours of specialized instruction relevant to the sale,
10 exchange, and lease-purchase of manufactured homes. The
11 instruction under this subsection is in addition to the instruction
12 required under Subsection (a).
13 (a-3) An applicant for an installer's license must complete
14 four hours of specialized instruction relevant to the installation
15 of manufactured homes. The instruction under this subsection is in
16 addition to the instruction required under Subsection (a) .
17 (a-4) An applicant for a joint installer-retailer license
18 must comply with Subsections (a-2) and (a-3), for a total of eight
19 hours of specialized instruction. The instruction under this
20 subsection is in addition to the instruction required under
21 Subsection (a).
22 (g) Subsections [S\:lbseetieHl (a), (a-2), (a-3), and (a-4)
23 do [ ~ ] not apply to a license holder who applies:
24 (1) for a license for an additional business locat ion;
25 or
26 (2) to renew or reinstate a license.
27 (h) An examination must be a requirement of successful
82S11237 JJT-F
247
-r
S.B. No. 1
1 completion of any initial required course of instruction under this
2 section. The period needed to complete an examination under this
3 subsection may not be used to satisfy the minimum education
4 requirements under Subsection (a), (a-2), (a-3), or (a-4).
5 SECTION 74.07. Section 1201.303, Occupations Code, is
7 (e), (f), and (g) to read as follows:
8 (b) The department shall establish an installation
9 inspection program in which at least 75 [ ~ ] percent of installed
10 manufactured homes are inspected on a sample basis for compliance
11 with the standards and rules adopted and orders issued by the
12 director. The program must place priority on inspecting
13 mul t isect ion homes and homes installed in Wind Zone II counties.
14 (c) On or after January 1, 2015, the director by rule shall
15 establish a third-party installation inspection program to
16 supplement the inspections of the department if the department is
17 not able to inspect at least 75 percent of manufactured homes
18 installed in each of the calendar years 2012, 2013, and 2014.
19 (d) The third-party installation inspection program
20 established under Subsection (c) must:
21(1) establish qualifications for third-party
22 inspectors to participate in the program;
23 (2) require third-party inspectors to register with
24 the department before participating in the program;
25 (3) establish a biennial registration and renewal
26 process for third-party inspectors;
27 (4) require the list of registered third-party
82511237 JJT-F 248
... .
S.B. No. 1
1 inspectors to be posted on the department's Internet website;
2 (5) establish clear processes governing inspect ion
3 fees and payment to third-party inspectors;
4 (6) establish the maximum inspection fee that may be
5 charged to a consumer;
6 (7) require a third-party inspection to occur not
7 later than the 14th day after the date of installation of the
8 manufactured home;
9 (8) establish a process for a retailer or broker to
10 contract, as part of the sale of a new or used manufactured home,
11 with an independent third-party inspector to inspect the
12 installation of the home;
13 (9) establish a process for an installer to schedule
14 an inspection for each consumer-to-consumer sale where a home is
15 reinstalled;
16 (10) if a violation is noted in an inspection, require
17 the installer to:
18 (A) remedy the violations noted;
19 (B) have the home reinspected at the installer's
20 expense; and
21 (e) certify to the department that all violations
22 have been corrected;
23 (11) require an inspector to report inspection results
24 to the retailer, installer, and the department;
25 (12) require all persons receiving inspection results
26 under Subdivision (11) to maintain a record of the results at least
27 until the end of the installation warranty period;
82511237 JJT-F 249
S.B. No.1
1 (13) authorize the department to charge a filing fee
2 and an inspection fee for third-party inspections;
3 (14) authorize the department to continue to conduct
4 no-charge complaint inspections under Section 1201.355 on reguest,
5 but only after an initial installation inspection is completed;
6 (15) establish procedures to revoke the registration
7 of inspectors who fail to comply with rules adopted under this
8 sect ion; and
9 (16) reguire the department to notify the relevant
10 state agency if the department revokes an inspector registration
11 based on a violation that is relevant to a license issued to the
12 applicable person by another state agency.
13 (e) Not later than January 1, 2015, the department shall
14 submit to the Legislative Budget Board, the Governor's Office of
15 Budget, Planning, and Policy, and the standing committee of each
16 house of the legislature having primary jurisdiction over housing a
17 report concerning whether the department inspected at least 75
18 percent of manufactured homes installed in each of the calendar
19 years 2012, 2013, and 2014.
20 (f) Not later than December 1, 2015, the director shall
21 adopt rules as necessary to implement Subsect ions (c) and (d) if the
22 department did not inspect at least 75 percent of manufactured
23 homes installed in each of the calendar years 2012, 2013, and 2014.
24 Not later than January 1, 2016, the department shall begin
25 registering third-party inspectors under Subsections (c) and (d) if
26 the department inspections did not occur as described by this
27 subsection.
82511237 JJT-F 250
S.B. No.1
1 (q) If the department is not reguired to establish a
2 third-party installation inspection program as provided by
3 Subsection (cl, Subsections (c), (d), (e), and (f) and this
4 subsection expire September 1, 2016.
6 Section 2306.6711, Government Code, apply only to an application
7 for low income housing tax credits that is submitted to the Texas
8 Department of Housing and Community Affairs during an application
9 cycle that begins on or after the effective date of this Act. An
10 application that is submitted dur ing an application cycle that
11 began before the effective date of this Act is governed by the law
12 in effect at the time the application cycle began, and the former
13 law is cont inued in eff ect for that purpose.
15 amending Section 1201.104, Occupations Code, applies only to an
16 application for a license filed with the executive director of the
17 manufactured housing division of the Texas Department of Housing
18 and Community Affairs on or after the effective date of this
19 article. An application for a license filed before that date is
20 governed by the law in effect on the date the application was filed,
21 and the former law is continued in effect for that purpose.
22 ARTICLE 75. FEDERAL FUNDS DESIGNATION
23 SECTION 75.01. Subchapter F, Chapter 401, Government Code,
25 Sec. 401.105. FEDERAL FUNDS DESIGNATION. (a)
26 Notwithstanding Section 487.051 or 487.351, on the written reguest
27 of the commissioner of agriculture or the administrative head of a
82S11237 JJT-F 251
.r
S.B. No.1
1 state agency designated under this subsection, the governor may
2 designate one or more state agencies, under the Omnibus Budget
3 Reconciliation Act of 1981 (Pub. L. No. 97-35) and 24 C.F.R. Part
4 570, Subpart I, to administer the state's allocation of federal
5 funds provided under the community development block grant
6 nonentitlement program authorized by Title I of the Housing and
7 Community Development Act of 1974 (42 U.S.C. Section 5301 et seg.).
8 (b) Notwithstanding Subsection (a) or any other law, the
9 governor may designate any agency to administer all federal
10 community development block grant disaster recovery funds and to
11 transfer such federal funds to any agency.
12 ARTICLE 76. REGULATION OF POLITICAL CONTRIBUTIONS AND
13 EXPENDITURES, REPORTING OF PERSONAL FINANCIAL INFORMATION, AND
14 COMPLAINTS FILED WITH THE TEXAS ETHICS COMMISSION
15 SECTION 76.01. Section 253.0351, Election Code, is amended
17 (c) A candidate or officeholder who deposits personal funds
18 in an account in which political contributions are held shall
19 report the amount of personal funds deposited as a loan and may
20 reimburse the amount deposited as a loan from political
21 contributions or unexpended personal funds deposited in the
22 account. The reimbursement may not exceed the amount reported as a
23 loan. Personal funds deposited in an account in which political
24 contributions are held are subject to Section 253.035 and must be
25 included in the reports of the total amount of political
26 contributions maintained reguired by Sections 254.031(a)(8) and
27 254.0611(a).
82511237 JJT-F 252
S . B. No. 1
1 SECTION 76.02. Subsection (a), Section 253.040, Election
3 (a) Except as provided by Section 253.0351(c), each [ ~ l
4 candidate or officeholder shall keep the person's campaign and
5 officeholder contributions in one or more accounts that are
6 separate from any other account maintained by the person.
7 SECTION 76.03. Subsection (a), Section 254.031, Election
9 (a) Except as otherwise provided by this chapter, each
10 report filed under this chapter must include:
11 (1) the amount of political contributions from each
12 per son that in the aggr egate exceed $50 and that ar e accepted dur ing
13 the reporting period by the person or committee required to file a
14 report under this chapter, the full name and address of the person
15 making the contr ibut ions, and the dates of the contr ibut ions;
16 (2) the amount of loans that ar e made dur ing the
17 report ing per iod for campaign or officeholder purposes to the
18 person or committee required to file the report and that in the
19 aggregate exceed $50, the dates the loans are made, the interest
20 rate, the maturity date, the type of collateral for the loans, if
21 any, the full name and address of the person or financial
22 institution making the loans, the full name and address, principal
23 occupation, and name of the employer of each guarantor of the loans,
24 the amount of the loans guaranteed by each guarantor, and the
25 aggregate principal amount of all outstanding loans as of the last
26 day of the reporting period;
27 (3) the amount of political expenditures that in the
82S11237 JJT-F 253
r
S.B. No.1
1 aggregate exceed $100 [ ~ ] and that are made during the reporting
2 period, the full name and address of the persons to whom the
3 expenditures are made, and the dates and purposes of the
4 expenditures;
5 (4) the amount of each payment made during the
6 reporting period from a political contribution if the payment is
7 not a political expenditure, the full name and address of the person
8 to whom the payment is made, and the date and purpose of the
9 payment;
10 (5) the total amount or a specific listing of the
11 political contr ibutions of $50 or less accepted and the total
12 amount or a specific listing of the political expenditures of $100
13 [ ~ ] or less made during the reporting period;
14 (6) the total amount of all political contributions
15 accepted and the total amount of all political expenditures made
16 during the reporting period;
17 (7) the name of each candidate or officeholder who
18 benefits from a direct campaign expenditure made during the
19 reporting period by the person or committee required to file the
20 report, and the office sought or held, excluding a direct campaign
21 expenditure that is made by the principal political committee of a
22 political party on behalf of a slate of two or more nominees of that
23 party; [afl4]
24 (8) as of the last day of a reporting period for which
25 the person is required to file a report, the total amount of
26 political contributions accepted, including interest or other
27 income on those contributions, maintained in one or more accounts
82811237 JJT-F 254
...
S . B. No. 1
1 in which political contr ibutions are deposited as of the last day of
2 the reporting period,
3 (9) any credit, interest, rebate, refund,
4 reimbursement, or return of a deposit fee resulting from the use of
5 a political contribution or an asset purchased with a political
6 contribution that is received during the reporting period and the
7 amount of which exceeds $100;
8 (10) any proceeds of the sale of an asset purchased
9 with a political contribution that is received during the reporting
10 period and the amount of which exceeds $100,
11 (11) any investment purchased with a political
12 contribution that is received during the reporting period and the
13 amount of which exceeds $100;
14 (12) any other gain from a political contribution that
15 is received during the reporting period and the amount of which
16 exceeds $100, and
17 (13) the full name and addr ess of each per son from whom
18 an amount descr ibed by Subdivision (9), (10), (11), or (12) is
19 received, the date the amount is received, and the purpose for which
20 the amount is received.
22 by adding Subsection (e) to read as follows:
23 (e) It is not a valid basis of a complaint to allege that a
24 report required under Chapter 254, Election Code, contains the
25 improper name or address of a person from whom a political
26 contribution was received if the name or address in the report is
27 the same as the name or address that appears on the check for the
82S11237 JJT-F 255
< r
S.B. No.1
1 political contribution.
4 Sec. 571.1222. DISMISSAL OF COMPLAINT CHALLENGING CERTAIN
5 INFORMATION IN POLITICAL REPORT. At any stage of a proceeding under
6 this subchapter, the commission shall dismiss a complaint to the
7 extent the complaint alleges that a report required under Chapter
8 254, Elect ion Code, contains the improper name or addr ess of a
9 person from whom a political contribution was received if the name
10 or address in the report is.the same as the name or address that
11 appears on the check for the political contribution.
12 SECTION 76.06. Subsection (b), Section 571.123, Government
14 (b) After a complaint is filed, the commission shall
15 immediately attempt to contact and notify the respondent of the
16 complaint by telephone or electronic mail. Not later than the
17 fifth business day aft er the date a complaint is filed, the
18 commission shall send written notice to the complainant and the
19 respondent. The written notice to the complainant and the
20 respondent must:
21 (1) state whether the complaint complies with the form
22 requirements of Section 571.122;
23 (2) if the respondent is a candidate or officeholder,
24 state the procedure by which the respondent may designate an agent
25 with whom commission staff may discuss the complaint; and
26 ill [ ~ l if applicable, include the information
27 required by Section 571.124(e).
82811237 JJT-F 256
..
S.B. No. 1
3 Sec. 571.1231. DESIGNATION OF AGENT BY CERTAIN RESPONDENTS.
4 (a) This section applies only to a respondent who is a candidate or
5 officeholder.
6 (bl A respondent to a complaint filed against the respondent
7 may by writing submitted to the commission designate an agent with
8 whom the commission staff may communicate regarding the complaint.
9 (c) For purposes of this subchapter, inclUding Section
10 571.140, communications with the respondent I s agent designated
11 under this section are considered communications with the
12 respondent.
13 SECTION 76.08. Subsection (b), Section 159.003, Local
15 (b) The statement must:
16 (1) be filed with the county clerk of the county in
17 which the officer, justice, or candidate resides; and
18 (2) comply with Sections 572.022 and 572.023,
19 Government Code, and with any order of the commissioners court of
20 the county reguir ing additional disclosures.
21 SECTION 76.09. Section 254.03l(a), Election Code, as
22 amended by this Act, applies only to a report under Chapter 254,
23 Elect ion Code, that is requir ed to be filed on or after the
24 effective date of this Act. A report under Chapter 254, Election
25 Code, that is required to be filed before the effective date of this
26 Act is governed by the law in effect on the date the report is
27 required to be filed, and the former law is continued in effect for
82511237 JJT-F 257
S . B. No. 1
1 that purpose.
2 ARTICLE 77. FISCAL MATTERS RELATING TO CERTAIN GROUNDWATER
3 CONSERVATION DISTRICTS
4 SECTION 77.01. Section 36.0151, Water Code, is amended by
5 adding Subsections (f), (g), and (h) to read as follows:
6 (f) Before September 1, 2015, the commission may not create
7 a groundwater conservation district under this section in a county:
8 (1) in which the annual amount of surface water used is
9 more than 50 times the annual amount of groundwater produced;
10 (2) that is located in a priority groundwater
11 management area; and
12 (3) that has a populat ion gr eater than 2.3 mill ion.
13 (g) To the extent of a conflict between Subsection (f) and
14 Section 35.012, Subsection (f) prevails.
15 (h) The commission may charge an annual fee not to exceed
16 $500 to a county described by Subsection (f) for the purpose of
17 studying compliance with that subsection in that county and the
18 over all groundwat er consumpt ion in that county.
other district, a
ter r itor. of which is located
extraterritorial 'urisdiction of a munici
2 )
2
2
8LUTlmi 8F e
o 78.01. Chapter 49, Water Code, is
1 Subchapter K-l t
2 SUBCHAPTER K-l.
3 Sec. 49.335. lies onl
2 to:
82S11237 JJT-F 258
...

11
ARTICLE 79. EDUCATION JOBS FUND
S . B. No. 1
12
SECTION 79.01. For purposes of
interpreting
and
13 implementing Section 825.406, Government Code, the Teacher
14 Retirement System of Texas may not consider salaries of personnel
15 paid wholly or partly from the Education Jobs Fund distributed to
16 school districts under Title I of Pub. L. No. 111-226 as being paid
17 from federal funds.
~ ARTICLE 79A. CONFIDENTIALITY OF
4 CERTAIN PEACE OFFICER VOUCHERS
5 SECTION 79A.Ol. Subchapter H, Chapter 660, Government
7 Sec. 660.2035. CONFIDENTIALITY OF CERTAIN PEACE OFFICER
8 VOUCHERS; QUARTERLY SUMMARIES. (a) A voucher or other expense
9 reimbursement form, and any receipt or other document supporting
10 that voucher or other expense reimbursement form, that is
11 submitted or to be submitted under Section 660.027 is
12 confidential under Chapter 552 for a period of 18 months
13 following the date of travel if the voucher or other expense
14 reimbursement form is submitted or is to be submitted for
15 payment or reimbursement of a travel expense incurred by a peace
16 officer while assigned to provide protection for an elected
17 official of this state or a member of the elected official's
18 family.
19 (b) At the expiration of the period provided by Subsection
20 (a), the voucher or other expense reimbursement form and any
21 supporting documents become subject to disclosure under Chapter
22 552 and are not excepted from public disclosure or confidential
23 under that chapter or other law, except that the following
24 provisions of that chapter apply to the information in the
25 voucher, reimbursement form, or supporting documents:
26
27
(I) Section 552.117;
(2) Section 552.1175;
1 11.178.36 JF
..
1 (3 ) Section 552.119;
2 (4 ) Section 552.136;
3 ( 5) Section 552.137 ;
4 (6 ) Section 552.147; and
5 (7 ) Section 552.151-
6 (c) A state agency that submits vouchers or other expense
7 reimbursement forms described by Subsection (a) shall prepare
8 quarterly a summary of the amounts paid or reimbursed by the
9 comptroller based on those vouchers or other expense
10 reimbursement forms. Each summary must:
11 (1) list separately for each elected official the
12 final travel destinations and the total amounts paid or
13 reimbursed in connection with protection provided to each
14 elected official and that elected official's family members; and
15 (2) itemize the amounts listed under Subdivision (1)
16 by the categories of travel, fuel, food, lodging or rent, and
17 other operating expenses.
18 ( d) The itemized amounts under Subsection (c) (2) must
19 equal the total amount listed under Subsection (c) (I) for each
20 elected official for the applicable quarter.
21 (e) A summary prepared under Subsection (c) may not
22 include:
23 (1) the number or names of the peace officers or
24 elected official's family members identified in the vouchers,
25 expense reimbursement forms, or supporting documents;
(2) the name of any business or vendor identified in 26
27 the vouchers, expense reimbursement
2
forms, or supporting
11.178.36 JF
... .
1 documents; or
2 (3) the locations in which expenses were incurred,
3 other than the city, state, and country in which incurred.
4 (f) A summary prepared under Subsection (c) is subject to
5 disclosure under Chapter 552, except as otherwise excepted from
6 disclosure under that chapter.
7 (g) A state agency that receives a request for information
8 described by Subsection (a) during the period provided by that
9 subsection may withhold that information without the necessity
10 of requesting a decision from the attorney general under
11 Subchapter G, Chapter 552. The Supreme Court of Texas has
1'7\
12 origina 1 and exclusive. jurisdiction over any dispute regarding
..
13 the construction, applicability, or constitutionality of
14 Subsection (a). The supreme court may appoint a master to
15 assist in the resolution of any such dispute as provided by Rule
16 171, Texas Rules of Civil Procedure, and may adopt additional
17 rules as necessary to govern the procedures for the resolution
18 of any such dispute.
19
SECTION 79A.02. Section 660.2035, Government Code, as added
20 by this article, applies according to its terms in relation to
21 travel vouchers or other reimbursement form and any supporting
22 documents that pertain to expenses incurred or paid on or after
23 the effective date of this
3

11.178.36 JF
S . B. No. 1
18
19
20
ARTICLE 80. EFFECTIVE DATE
SECTION 80.01. Except as otherwise provided by this Act:
(1) this Act takes effect September 1, 2011, if it
21 receives a vote of two-thirds of all the members elected to each
22 house, as provided by Section 39, Article III, Texas Constitution;
23 and
24 (2) if this Act does not receive the vote necessary for
25 effect on that date:
26 (A) this Act takes effect on the 91st day after
27 the last day of the legislative session; and
1 (B) a provision of this Act that purports to take
2 effect on September 1, 2011, takes effect on the date specified by
3 Paragraph (A) of this subdivision.
'S2S11237 J J ~ Fjr 262
SENATE VERSION
ARTICLE I. FOUNDATION SCHOOL PROGRAM
PAYMENTS
SECTION 1.01. Subsections (c), (d), and (t), Section 42.259,
Education Code, are amended as follows:
(c) Payments from the foundation school fund to each
category 2 school district shall be made as follows:
(1) 22 percent of the yearly entitlement of the district shall be
paid in an installment to be made on or before the 25th day of
September of a fiscal ycar;
paid in an installment to be made on or before lhe 25th day of
October;
(3) 9.5 percent of the yearly entitlement of the district shall be
November;
(4) 7.5 percent of the yearly entitlement of the district shall be
April;
(5) five percent of the yearly entitlement of the district shall
be paid in an installment to be made on or before the 25th day
of May;
paid in an installment to be madc on or before the 25th day of
June;
(7) 13 percent of lhe yearly entitlement of the district shall be
July; and
paid in an installment to be made after the 5th day of
S.eptember and not laler than the 10th dav of September of the
calendar year following the calendar vear of the payment
made under Subdivision (1) [SA sr serare IAe 23th dS;' sf
Senate Bill 1
Conferencc Committee Report
Section-by-Section Analysis
HOUSE VERSION (IE)
ARTICLE 1. Same as Senate version.
No equivalent provision.
CONFERENCE
ARTICLE I. Same as Senate version.
SECTION 1.0 I. Same as Senate version.
SENATE VERSION
made under Subdivision () [sa SF sefeFe tke 23tk sa)' sf
AilgIlst],
(d) Payments from the foundation school fund to each
category 3 school district shall be made as follows:
(I) 45 percent of the yearly entitlement of the district shall be
September of a fiscal year;
October; and
paid in an installment to be made after the 5th day of
September and not later than the 10th day of September of the
calendar year following the calendar year of the payment
made under Subdivision (I) [sa SF sefeFe tke 23tk say sf
AilgIlst].
(f) Except as provided by Subsection (c)(S) or (d)(3)' any
[Ally] previously unpaid additional funds from prior fiscal
years owed to a district shall be paid to the district together
with the September payment of the current fiscal year
entitlement.
No equivalent provision,
SECTION 1.02. Subsection (c), Section 466.355, Government
Code, is amended.
SECTION 1.03, Saving provision.
ARTICLE 2, FISCAL MATTERS REGARDING
REGULATION AND TAXATION OF INSURERS
Senate Bill 1
Conference Committee Report
HOUSE VERSION (IE)
by adding Subsections (d-I), (d-2), and (d-3). [FAI55,FAI56]
SECTION 1.02. Same as Senate version.
2
CONFERENCE
Same as Senate version.
Article 2. Same as Senate version.
..
SENATE VERSION
SECTION 2.01. Section 221.006. Insurance Code. is amended
by adding Subsection (c).
by adding Subsection (f).
SECTION 2.05. Section 401.154. Insurance Code. TAX
CREDIT AUTHORIZED. is amended.
SECTION 2.06. Section 463.160. Insurance Code.
PREMIUM TAX CREDIT FOR CLASS A ASSESSMENT.
is amended.
SECTION 2.07. Saving provision.
ARTICLE 3. STATE SALES AND FRANCHISE TAX
REFUNDS FOR CERTAIN AD VALOREM TAXPAYERS
SECTION 3.01. Subchapter F. Chapter Ill. Tax Code. is
repealed.
SECTION 3.02. The repeal of Subchapter F. Chapter III. Tax
Code. by this article does not affect an eligible person's right
to claim a refund of state sales and use and state franchise
taxes that was established under Section 111.30I. Tax Code.
Senate Bill 1
HOUSE VERSION (IE)
SECTION 2.0I. Same as Senate version.
3
CONFERENCE
SENATE VERSION
in relation to taxes paid before the effective date of this article
in a calendar year for which the person paid ad valorem taxes
to a school district as provided by Section I I 1.30I, Tax Code,
before the effective date of this article. An eligible person's
right to claim a refund of state sales and use and state
franchise taxes that was established under Section II 1.30 I,
Tax Code, in relation to taxes paid before the effective date of
this article in a calendar year for which the person paid ad
valorem taxes to a school district as provided by Section
111.301, Tax Code, before the effective date of this article is
governed by the law in effect on the date the right to claim the
refund was established, and the former law is continued in
effect for that purpose.
SECTION 3.03. This article takes effect October I, 2011.
ARTICLE 4. TAX RECORDS
SECTION 4.0I. Section 2153.20 I, Occupations Code, is
amended by amending Subsection (b) and adding Subsection
(c).
SECTION 4.02. Section 111.0041, Tax Code, is amended as
follows:
Sec. 111.0041. RECORDS: BURDEN TO PRODUCE AND
SUBSTANTIATE CLAIMS.
(a) Except as provided by Subsection lb), a [Ally] taxpayer
who is required by this title to keep records shall keep those
records open to inspection by the comptroller, the attorney
general, or the authorized representatives of either of them for
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE 3. TAX RECORDS. [FAJ(2)]
SECTION 3.01. Same as Senate version. [FAI(2)]
SECTION 3.02. Same as Senate version except as follows:
(a) Same as Senate version.
4
CONFERENCE
ARTICLE 4. TAX RECORDS.
..
,
SENATE VERSION
at least four years.
(b) A taxpayer is required to keep records open for inspection
under Subsection (a) for more than four years throughout any
period when:
(I) any tax. penalty. or interest may be assessed. collected. or
refunded by the comptroller: or
(2) an administrative hearing is pending before the
comptroller. or a judicial proceeding is pending. to determine
the amount of the. tax. penalty. or interest that is lobe
assessed. collected, Of refunded.
(c) A taxpayer shall produce contemporaneous records and
period in question to substantiate and enable verification of
the taxpayer's claim related to the amount of tax. penalty. or
interest to be assessed. collected, Orirefunded in an
administrative or judicial proceeding. Contemporaneous
records and supporting documentation appropriate to the tax
or fee include invoices, vouchers, checks, shipping records,
contracts, and other equivalent records, such as electronically
stored images of such documents. reflecting legal
relationships and taxes collected or paid.
(d) Summary records submitted by the taxpayer, including
accounting journals and ledgers, without supporting
contemporaneous records and documentation for the period in
question are not sufficient to substantiate and enable
verification of the taxpayer's claim regarding the amount of
tax, penalty, or interest that may be assessed, collected. or
Senate Bill 1
HOUSE VERSION (IE)
(b) A taxpayer is required to keep records. as provided by
Subsection eel with respect to the taxpayer's claim. open for
inspection under Subsection (a) for more than four years
throughout any period when:
(I) any tax, penalty, or interest may be assessed, collected, or
refunded by the comptroller: or
(2) an administrative hearing is pending before the
comptroller, or a judicial proceeding is pending, to
the of the tax, penalty, or interest that has been
assessed or collected or will be refunded.
(c) A taxnaver shall produce contemporaneous records and
transactions in question to substantiate and enable
verification of the taxpayer's claim related to the amount of
tax, penalty, or interest that has been assessed Or collected or
will be refUnded in an administrative or judicial proceeding.
Contemporaneous records and supporting documentation
appropriate to the tax or fee include invoices, vouchers,
checks. shipping records, contracts, and other equivalent
records, such as electronically stored images of such
documents, reflecting legal relationships and taxes collected
or paid.
5
CONFERENCE
(b) Same as Senate version except specifies that the records
kept by a taxpayer are as provided by Subsection (c) with
respect to the taxpayer's claim.
(c) Same as Senate version except refers to transactions in
question.
Same as House version.
SENATE VERSION
refunded.
(e) This section prevails over any other conflicting provision
of this title.
adding Subsection (d) as follows:
(d) A taxpayer shall produce contemporaneous records and
period in question to substantiate and enable verification of a
taxpaycr's claim relating to the amount of the tax. penalty, or
interest that is to be assessed, collected, or refunded, as
required by Section 111.0041.
adding Subsection (f) as follows:
(Q A taxpayer shall produce contemporaneous records and
period in question to substantiate and enable verification of a
taxpayer's claim relating to the amount of the tax, penalty. or
interest that is to be assessed, collected. or refunded, as
required by Section 111.0041.
SECTION 4.05. Subsection (b), Section 151.025, Tax Code, is
amended.
adding Subsection (h).
adding Subsection (e).
Senate Bill 1
HOUSE VERSION (IE)
(d) Same as Senate version. [FAI(2))
(d) A taxpayer shall produce contemporaneous records and
transaction in question to substantiate and enable verification
of a taxpaver's claim relating to the amount of the tax. penalty,
or interest that has been assessed or collected or will be
refunded. as required by Section 111.0041. [FAI(2)]
(0 A taxpayer shall produce contemporaneous records and
transaction in question to substantiate and enable verification
of a taxpayer's claim relating to the amount of the tax. penalty,
or interest that has been assessed or colleCted or will be
refunded, as required by Section 111.0041. [FAI(2)
SECTION 3.05. Same as Senate version. [FAI(2))
SECTION 3.06. Same as Senate version. [FAI(2))
SECTION 3.07. Same as Senate version. [FA1(2)
6
CONFERENCE
(d) Same as Senate version.
SECTION 4.03. Substantially the same as House version.
SENATE VERSION
amended.
amended.
adding Subsection (g).
SECTION 4.11. Subchapter A, Chapter 162, Tax Code, is
amended by adding Section 162.0125, DUTY TO KEEP
RECORDS.
SECTION 4.12. This article takes effect immediately if this
Act receives a vote of two-thirds of all the members elected to
each house, as provided by Section 39, Article TIl, Texas
Act does not receive the vote necessary
for immediate effect, this article takes effect October 1,2011.
ARTICLE 5. UNCLAIMED PROPERTY
SECTION 5.01. Subsection (a), Section 72.101, Property
Code, is amended.
SECTION 5.02. Subchapter B, Chapter 72, Property Code, is
amended by adding Section 72.1017, UTILITY DEPOSITS,
as follows:
Senate Bill 1
HOUSE VERSION (IE)
SECTION 3.11. Same as Senate version. [FA1(2)]
SECTION 3.12. This article takes effect S"Ptt:r!lI:lt:rl,2dlL if
this Act receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III,
Texas Constitution. If this Act does not receive the vote
necessary fo[thi$artibJei
o
J1a,,effec(ollthhfaht, this article
takes effect October 1,2011. [FA1(2)]
ARTICLE 4. Same as Senate version except as follows:
7
CONFERENCE
[The conference committee may have exceeded the limitations
imposed on its jurisdiction, but only the presiding officer can
make the final determination on this issue.]
SECTION 5.01. Subsection (b), Section 72.1017, Property
Code, as effective September 1, 2011, is amended as follows:
.'
SENATE VERSION
la) In this section:
(]) "Utility" has the meaning assigned by Section 183.00I,
Utilities Code.
(2) "Utility deposit" is a refundable money deposit a utility
requires a user of the utility service to pay as a condition of
initiating the service.
Ib) Notwithstanding Section 73.102. a utility deposit is
presumed abandoned on the latest of:
1Il the first anniversary of the date a refund check for the
utility deposit was payable to the owner of the deposit:
(2) the first anniversary of the date the utility last received
documented communication from the owner of the utility
deposit: or
(3) the first anniversary of the date the utility issued a refund
check for the deposit payable to the owner of the deposit if.
according to the knowledge and records of the utility or payor
of the check. during that period. a claim to the check has not
been asserted or an act of ownership by the payee has not been
exercised.
SECTION 5.03. Subsection (c), Section 72.102, Property
Code, is amended.
SECTION 5.04. Section 72. I 03, Property Code,
PRESERVATION OF PROPERTY, is amended.
Senate Bill 1
HOUSE VERSION (IE)
(b) Same as Senate version.
8
CONFERENCE
(b) Notwithstanding Section 73.102, a utility deposit is
presumed abandoned on the latest of:
(I) the first anniversary of [18 ffl8RIRS afler] the date a refund
check for the utility deposit was payable to the owner of the
deposit;
(2) the first anniversary of [18 ffl8RIRS "fter] the date the
utility last received documented communication from the
owner of the utility deposit; or
(3) the first anniversary of [18 ffl8RtRS after] the date the
utility issued a refund check for the deposit payable to the
owner of the deposit if, according to the knowledge and
records of the utility or payor of the check, during that period,
a claim to the check has not been asserted or an act of
ownership by the payee has not been exercised.
'.
SENATE VERSION
SECTION 5.05. Section 73.101, Property Code, is amended
by amending Subsection (a) and adding Subsection (c).
SECTION 5.06. Subsection (a), Section 74.101, Property
Code, is amended.
SECTION 5.07. Subsection (a), Section 74.l011, Property
Code, is amended.
SECTION 5.08. Subsections (a) and (c), Section 74.301,
Property Code, are amended.
SECTION 5.09. Subsection (e), Section 74.601, Property
---- - - - _._-
Senate Bill 1
HOUSE VERSION (IE)
SECTION _. Section 74.501(d), Property Code, is amended.
[FA107]
9
CONFERENCE
imposed on its jurisdiction, bill only the presiding officer can
[The conference commillee may have exceeded the limitations
imposed on its jurisdiction. but only the presiding officer can
imposed on its jurisdiction, bll/ only the presiding officer can
..
SENATE VERSION
Code, is amended.
SECTION 5.10. Section 74.708, Property Code, PROPERTY
HELD IN TRUST, is amended.
SECTION 5. I I. (a) Except as provided by Subsection (b) or
(c) of this section, this article takes effect on the 91 st day after
the last day of the legislative session.
(b) Except as provided by Subsection (c) of this section,
Subsection (a), Section 74.101, Subsection (a), Section
74.1011, Subsections (a) and (c), Section 74.301, and Section
74.708, Property Code, as amended by this article, take effect
January 1,2013.
(c) If H.B. No. 257, Acts of the 82nd Legislature, Regular
Session, 2011, becomes law, this article has no effect.
SECTION 5.12. A charge imposed on a money order under
Section 72.103, Property Code, by a holder before the
effective date of this article is governed by the law applicable
to the charge immediately before the effective date of this
article, and the holder may retain the charge.
ARTICLE 6. CLASSIFICATION OF JUDICIAL AND
COURT PERSONNEL TRAINING FUND
Senate Bill 1
HOUSE VERSION (IE)
SECTION 4.1 I. (a) Except as provided by Subsection (b) of
this section, this article takes effect on the 91 st day after the
last day of the legislative session.
(b) Sections 74.IOI(a), 74.101 1(a), 74.30I(a) and (c), and
74.708, Property Code, as amended by this article, take effect
January 1,2013.
IO
CONFERENCE
SECTION 5.02. Same as House version except omits
Subsection (b) and makes a conforming change.
[The corJerence committee may have exceeded the limitations
SENATE VERSION
SECTION 6.01. Section 56.001, Government Code,
JUDICIAL AND COURT PERSONNEL TRAINING FUND,
is amended.
ARTICLE 7. PROCESS SERVER CERTIFICATION FEES
SECTION 7.01. Subchapter A, Chapter 51, Government
Code, is amended by adding Section 51.008, FEES FOR
PROCESS SERVER CERTIFICATION, as follows:
fa) The process server review board established by supreme
court order may recommend to the supreme court the fees to
be charged for process server certification and renewal of
certification. The supreme court must approve the fees
recommended by the process server review board before the
fees may be collected.
fb) If a certification is issued or renewed for a term that is less
than the certification period provided by supreme court rule,
the fee for the certification shall be prorated so that the
process server pays only that portion of the fee that is
allocable to the period during which the certification is valid.
On renewal of the certification on the new expiration date, the
process server must pay the entire certification renewal fee.
fc) The Office of Court Administration of the Texas Judicial
System may collect the fees recommended by the process
server review board and approved by the supreme court. Fees
collected under this section shall be sent to the comptroller for
deposit to the credit of the general revenue fund.
Senate Bill 1
HOUSE VERSION (IE)
II
CONFERENCE
SECTION 7.01. Section 51.008, Government Code, as
effective Septempet};:20IJ, is amended by amending
Subsection (c) and adding Subsection Cd) as follows:
(c) The Office of Court Administration of the Texas Judicial
System may collect the fees recommended by the process
server review board and approved by the supreme court. Fees
collected under this section shall be sent to the comptroller for
deposit to the credit of the general revenue fund [aRa R'lay Be
atltlFStlFiatea SRI)' ts the sft'iee MF tluF\lsses sf this seetisR].
..
SENATE VERSION
fd) Fees collected under this section may be appropriated to
the Office of Court Administration of the Texas Judicial
System for the support of regulatory programs for process
servers and guardians.
SECTION 7.02. (a) The fees recommended and approved
under Section 5I.008, Government Code, as added by this
article, apply to:
(I) each person who holds a process server certification on the
effecti ve date of this article; and
(2) each person who applies for process server certification on
or after the effective date of this article.
(b) The Office of Court Administration of the Texas Judicial
System shall prorate the process server certification fee so that
a person who holds a process server certification on the
effective date of this article pays only that portion of the fee
that is allocable to the period during which the certification is
valid. On renewal of the certification on the new expiration
date, the entire certification renewal fee is payable.
SECTION 7.03. If H.B. No. 1614, Acts of the 82nd
Legislature, Regular Session, 2011, becomes law, this article
has no effect.
ARTICLE 8. FISCAL MATTERS REGARDING
Senate Bill 1
HOUSE VERSION (IE)
12
CONFERENCE
fd) Fees collected under this section may be appropriated to
the Office of Court Administration of the Texas Judicial
System for the support of regulatory programs for process
servers, guardians, and court reporters.
imposed on its jurisdiction. but onlY the presiding officer can
SENATE VERSION
PETROLEUM INDUSTRY REGULATION
SECTION 8.01. Section 26.3574, Water Code, is amended by
amending Subsection (b) and adding Subsection (b-I).
has no effect.
ARTICLE 9. REMITTANCE AND ALLOCATION OF
CERTAIN MOTOR FUELS TAXES
adding Subsections (a-I), (a-2), (a-3), and (a-4).
adding Subsections (a-I), (a-2), (a-3), and (a-4).
SECTION 9.03. Section 162.503, Tax Code, ALLOCATION
OF GASOLINE TAX, is amended.
Senate Bill 1
HOUSE VERSION (IE)
PETROLEUM INDUSTRY REGULATION
SECTION 6.02. The fee applicable to a delivery is the
maximum amount of the fee applicable to that delivery as
provided by Section 26.3574(b), Water Code, as amended by
this article, until the Texas Commission on Environmental
Quality adopts and implements a fee applicable to that
delivery under Section 26.3574(b-l), Water Code, as added by
this article.
13
CONFERENCE
[ARTICLE 8 reserved]
..
..
SENATE VERSION
SECTION 9.04. Section 162.504, Tax Code, ALLOCATION
OF DIESEL FUEL TAX, is amended.
SECTION 9.06. This article takes effect October 1,2011.
ARTICLE 10. REMITTANCE OF MIXED BEVERAGE
TAXES AND TAXES AND FEES ON CERTAIN
ALCOHOLIC BEVERAGES
SECTION 10.0I. Section 34.04, Alcoholic Beverage Code, is
amended by adding Subsections (c), (d), and (e).
SECTION 10.02. Section 48.04, Alcoholic Beverage Code, is
SECTION 10.03. Section 201.07, Alcoholic Beverage Code,
DUE DATE, is amended.
is amended by amending Subsection (b) and adding
Subsections (c), (d), and (e).
is amended by amending Subsection (b) and adding
Subsections (c), (d), and (e).
SECTION 10.06. Section 183.023, Tax Code, PAYMENT, is
amended.
Senate Bill 1
HOUSE VERSION (IE)
14
CONFERENCE
..
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
CONFERENCE
ARTICLE 11.
ALLOWANCE
CIGARETTE TAX STAMPING ARTICLE 9. Same as Senate version. ARTICLE II. Same as Senate version.
SECTION 11.01. Subsection (a), Section 154.052, Tax Code,
is amended.
amending Subsection (a) and adding Subsection (c) as
follows:
(I) tangible personal property or a taxable service to a
purchaser who acquires the property or service for the purpose
of reselling it with or as a taxable item in the United States of
America or a possession or territory of the United States of
America or in the United Mexican States in the normal course
of business in the form or condition in which it is acquired or
as an attachment to or integral part of other tangible personal
property or taxable service;
(2) tangible personal property to a purchaser for the sole
purpose of the purchaser's leasing or renting it in the United
States of America or a possession or territory of the United
States of America or in the United Mexican States in the
SECTION 9.03. This article takes effect October I, 2011.
(I) tangible personal property or a taxable service to a
purchaser who acquires the property or service for the purpose
of reselling it with or as a taxable item as defined bySection
151.010 in the United States of America or a possession or
territory of the United States of America or in the United
Mexican States in the normal course of business in the form or
condition in which it is acquired or as an attachment to or
integral part of other tangible personal property or taxable
service;
(2) tangible personal property to a purchaser for the sole
purpose of the purchaser's leasing or renting it in the United
States of America or a possession or territory of the United
States of America or in the United Mexican States in the
15
SECTION 11.03. Same as House version.
SECTION 12.0I. Same as House version.
SENATE VERSION
normal course of business to another person, but not if
incidental to the leasing or renting of real estate;
(3) tangible personal property to a purchaser who acquires the
property for the purpose of transferring it in the United States
of America or a possession or territory of the United States of
America or in the United Mexican States as an integral part of
a taxable service; [ef]
(4) a taxable service performed on tangible personal property
that is held for sale by the purchaser of the taxable s e r v i c e ~
(5) except as provided by Subsection (c). tangible personal
property to a purchaser who acquires the property for the
purpose of transferring it as an integral part of performing a
contract. or a subcontract of a contract. with the federal
government only if the purchaser:
(A) allocates and bills to the contract the cost of the property
as a direct or indirect cost: and
(8) transfers title to the property to the federal government
under the contract and applicable federal acquisition
regulations.
(c) A sale for resale does not include the sale of tangible
personal property or a taxable service to a purchaser who
acquires the property or service for the purpose of performing
a service that is not taxed under this chapter. regardless of
whether title transfers to the service provider's customer.
unless the tangible personal property or taxable service is
purchased for the purpose of reselling it to the United States in
a contract. or a subcontract of a contract. with any branch of
the Department of Defense, Department of Homeland
Security, Department of Energy, National Aeronautics and
Space Administration. Central Intelligence Agency, National
Security Agency. National Oceanic and Atmospheric
Administration. or National Reconnaissance Office to the
Senate Bill 1
HOUSE VERSION (IE)
normal course of business to another person, but not if
incidental to the leasing or renting of real estate;
(3) tangible personal property to a purchaser who acquires the
property for the purpose of transferring it in the United States
of America or a possession or territory of the United States of
America or in the United Mexican States as an integral part of
a taxable service; ref]
(4) a taxable service performed on tangible personal property
that is held for sale by the purchaser of the taxable s e r v i c e ~
(5) except as provided by Subsection (c), tangible personal
property to a purchaser who acquires the property for the
purpose of transferring it as an integral part of performing a
contract. or a subcontract of a contract. with the federal
government only if the purchaser:
fA) allocates and bills to the contract the cost of the property
as a direct or indirect cost: and
(8) transfers title to the property to the federal government
under the contract and applicable federal acquisition
regulations.
(c) A sale for resale does not include the sale of tangible
personal property or a taxable service to a purchaser who
acquires the property or service for the purpose of performing
a service that is not taxed under this chapter. regardless of
whether title transfers to the service provider's customer.
unless the tangible personal property or taxable service is
purchased for the purpose of reselling it to the United States in
a contract. or a subcontract of a contract. with any branch of
the Department of Defense. Department of Homeland
Security, Department of Energy. National Aeronautics and
Space Administration. Central Intelligence Agency. National
Security Agency. National Oceanic and Atmospheric
Administration. or National Reconnaissance Office to the
16
CONFERENCE
..
SENATE VERSION
extent allocated and billed to the contract with the federal
government.
SECTION J2.02. This article takes effect immediately if this
Act receives a vote of two-thirds of all the members ejected to
each house, as provided by Section 39, ArticJe III, Texas
Constitution. If this Act does not receive the vote necessary
for immediate effect, this article takes effect October 1,201 I.
ARTICLE 13. REMITTANCE OF SALES AND USE
TAXES
SECTION J3.01. Section 151.401, Tax Code, is amended by
adding Subsections (c), (d), and (e).
SECTION 13.02. Section 151.402, Tax Code, TAX REPORT
DATES, is amended.
SECTION J3.03. Saving provision.
ARTICLE 14. PENALTIES FOR FAILURE TO REPORT
OR REMIT CERTAIN TAXES OR FEES
SECTION 14.0I. Subsection (b), Section 111.00455, Tax
Code, is amended as follows:
(b) The following are not contested cases under Subsection (a)
and Section 2003.101, Govemment Code:
(I) a show cause hearing or any hearing not related to the
collection, receipt, administration, or enforcement of the
amount of a tax or fee imposed, or the penalty or interest
associated with that amount, except for a hearing under
Senate Bill 1
HOUSE VERSION (IE)
extent allocated and billed to the contract with the federal
government.
ARTICLE I I. Same as Senate version.
SECTION I 1.02. Same as Senate version.
SECTION 1I.03. Same as Senate version.
No equivaJent provision. [ARTICLE 12 was deJeted by
FAIn)
J7
CONFERENCE
ARTICLE J3. Same as Senate version.
SECTION J4.0I. Same as Senate version.
..
SENATE VERSION
Section 151.157(1), 151.1575(c), 151.712(g), 154.1142, or
155,0592;
(2) a property value study hearing under Subchapter M,
Chapter 403, Government Code;
(3) a hearing in which the issue relates to:
(A) Chapters 72-75, Property Code;
(B) forfeiture of a right to do business;
(C) a certificate of authority;
(D) articles of incorporation;
(E) a penalty imposed under Section I 51.703fd) [151.1931];
(F) the refusal or failure to settle under Section I I I. IOI; or
(G) a request for or revocation of an exemption from taxation;
and
(4) any other hearing not related to the collection, receipt,
administration, or enforcement of the amount of a tax or fee
imposed, or the penalty or interest associated with that
amount.
as effective September I, 20I I, is amended as follows:
(a) If a person fails to file a report required by this subchapter
or fails to file a complete report, the comptroller may impose a
civil or criminal penalty, or both, under Section 151.703fd)
[151.1931] or 151.709.
Cd) In addition to any other penalty authorized by this section.
a person who fails to file a report as required by this chapter
shall pay a penalty of $50. The penalty provided by this
subsequently files the report or whether any taxes were due
Senate Bill 1
HOUSE VERSION (IE)
18
CONFERENCE
..
SENATE VERSION
from the taxpayer for the reporting period under the required
report.
adding Subsection (d) as foHows:
(d) In addition to any other penalty provided by law, the
owner of a motor vehicle subject to the tax on gross rental
receipts who is required to file a report as provided by this
chapter and who fails to timely file the report shall pay a
penalty of $50. The penalty provided by this subsection is
assessed without regard to whether the taxpayer subsequently
fi les the report or whether any taxes were due from the
taxpayer for the reporting period under the required report.
adding Subsection G) as follows:
(j) In addition to any other penalty provided by law, the seller
of a motor vehicle sold in a seller-financed sale who is
required to file a report as provided by this chapter and who
fails to timely file the report shall pay a penalty of $50. The
penalty provided by this subsection is assessed without regard
to whether the taxpayer subsequently files the report or
whether any taxes were due from the taxpayer for the
reporting period under the required report.
SECTION J4.06. Section 156.202, Tax Code, is amended by
amending Subsection (c) and adding Subsection (d) as
follows:
(c) The minimum penalty under Subsections (a) and (b) [Hlis
seetisA] is $1.
(d) In addition to any other penalty authorized by this section,
a person who fails to file a report as required by this chapter
Senate BiIIl
HOUSE VERSION (IE)
19
CONFERENCE
..
SENATE VERSION
subsequently files the repon or whether any taxes were due
from the taxpayer for the reooning period under the required
report.
a person who fails to file a repon as required by this chapter
shall pay a penal tv of $50. The penalty provided by this
subsequently files the repon or whether any taxes were due
from the taxpayer for the reponing period under the required
report.
amending Subsection (c) and adding Subsection (f) as follows:
(c) The minimum penalty under Subsections (a) and (b) [tffis
see#etl] is $1.
m[n addition to any other penalty authorized by this section.
a taxable entity who fails to file a report as required by this
chapter shall pay a penalty of $50. The penalty provided by
this subsection is assessed without regard to whether the
taxable entity subsequently files the repon' or whether any
taxes were due from the taxable entity for the reponing period
under the required repon.
SECTION 14.09. Subchapter B, Chapter 183, Tax Code, is
amended by adding Section 183.024, FAILURE TO PAY
TAX OR FILE REPORT, as follows:
fa) A permittee who fails to file a report as required by this
Senate Bill 1
Conference Committee Repon
HOUSE VERSION (IE)
20
CONFERENCE
-- ._.-------
SENATE VERSION
chapter or who fails to pay a tax imposed by this chapter when
due shall pay five percent of the amount due as a penalty, and
if the permittee fails to file the report or pay the tax within 30
days after the day the tax or report is due, the permittee shall
pay an additional five percent of the amount due as an
additional penalty,
(b) The minimum penalty under Subsection (a) is $] ,
(c) A delinquent tax draws interest beginning 60 days from the
due date.
a permittee who fails to file a report as required by this
chapter shall pay a penalty of $50. The penalty provided by
this subsection is assessed without regard to whether the
permittee subsequently files the report or whether any taxes
were due from the permittee for the reporting period under the
required report,
SECTION 14.10, Section 771.0712, Health and Safety Code,
is amended by adding Subsections (c) and (d) as follows:
(c) A seller who fails to file a report or remit a fee collected or
payable as provided by this section and comptroller rules shall
pay five percent of the amount due and payable as a penalty,
and if the seller fails to file the report or remit the fee within
30 days after the day the fee or report is due, the seller shall
pay an additional five percent of the amount due and payable
as an additional penalty,
a seller who fails to file a report as provided by this section
subsection is assessed without regard to whether the seller
subsequently files the report or whether any taxes were due
from the seller for the reporting period under the required
Senate Bill!
HOUSE VERSION (IE)
21
CONFERENCE
SECTION 14,] O. Same as Senate version.
..
SENATE VERSION
SECTION 14.1 I. Section 151.7031, Tax Code, is repealed.
SECTION 14.12. The change in law made by this article
applies only to a report due or a tax or fee due and payable on
or after the effective date of this article. A report due or a tax
or fee due and payable before the effective date of this article
is governed by the law in effect at that time, and that law is
continued in effect for that purpose.
SECTION 14.13. This article takes effect October 1,201 I.
ARTICLE IS. FISCAL MATTERS RELATED TO VOTER
REGISTRATION
SECTION 15.01. Subsections (b), (c), and (d), Section
18.065, Election Code, are amended.
Code, is amended.
Sec. 19.002. PAYMENTS [I88UMICg OF WARRMlT8 BY
COMPTRObbgR].
SECTION 15.04. [Part] Subsections (b) and (d), Section
19.002, Election Code, are amended as follows:
(b) After June I of each year, the secretary of state
Senate Bill 1
HOUSE VERSION (IE)
22
CONFERENCE
ARTICLE IS. Same as Senate version.
..
SENATE VERSION
[sefflj3lreller ef j3uBlie aeeeuAls] shall make paymenIS [fflslIe
waITaAls] pursuant to vouchers submitted by the registrar and
approved by the secretary of state in amounts that in the
aggregate do not exceed the registrar's entitlement. The
secretary of state shall prescribe the procedures necessary to
implement this subsection.
SECTION 15.04 [Part]
(d) The secretary of state [eemj3lreller] may not make a
payment under Subsection Ib) [issue II WamlRl] if on June 1 of
the year in which the payment [.....aITaAI] is to be made [ ~
lhe mesl reeeAI Aeliee reeei"eEi B)' the eefflj3lreller frem lhe
seereillry ef slale uAEler SeelieA 1 8 . Q ~ 5 iAElieates lhal] the
registrar is not in substantial compliance with Section 15.083,
16.032, 18.042, or 18.065 or with rules implementing the
registration service program.
Sec. 19.0025. ELECTRONIC ADMINISTRATION OF
VOUCHERS AND PAYMENTS ['NARRANTS].
Code, is amended.
SECTION 15.07. Subsection (c), Section 19.002, Election
Code, is repealed.
Senate Bill 1
HOUSE VERSION (IE)
(d) Same as Senate version.
23
CONFERENCE
SECTION 15.05. Subsection (d), Section 19.002, Election
Code, as effectiveSepternber 1, 201 I, is amended as follows:
(d) The secretary of state [eemj3lreller] may not make a
payment under Subsection Ibl [issue II waffaAI] if on June 1of
the year in which the payment [waITaAI] is to be made [ ~
lhe meSI reseAl Aeliee reeeh'eEi B)' the eemj3lreller freffl lhe
seerelllr)' ef state "AEler SeetieA 1 8 . Q ~ 5 iAElieales thai] the
registrar is not in substantial compliance with Section 15.083,
16.032, or 18.065 or with rules implementing the registration
service program.
..
SENATE VERSION
ARTICLE 16. CERTAIN POWERS AND DUTIES OF THE
COMPTROLLER OF PUBLIC ACCOUNTS
SECTION 16.01. Subsection (d), Section 403.0551,
Government Code, is amended.
SECTION 16.02. Subsection (h), Section 404.022,
SECTION 16.03. Applicability provision.
ARTICLE 17. PREPARATION AND PUBLICATION OF
CERTAIN REPORTS AND OTHER MATERIALS
SECTION 17.01. Subsection (c), Section 61.539, Education
Code, is amended.
SECTION 17.02. Subsection (c), Section 5.05, Tax Code, is
amended.
SECTION 17.03. Section 5.06, Tax Code, EXPLANATION
OF TAXPAYER REMEDIES, is amended.
SECTION 17.04. Section 5.09, Tax Code, is amended.
SECTION 17.05. The following are repealed:
(I) Section 403.030 and Subsection (e), Section 552.143,
Government Code; and
(2) Subchapter F, Chapter 379A, Local Government Code.
ARTICLE 18. SURPLUS LINES AND INDEPENDENTLY
Senate Bill 1
HOUSE VERSION (IE)
SECTION 15.05. Same as Senate.
24
CONFERENCE

SENATE VERSION
PROCURED INSURANCE
SECTION 18.01. Subsection (b), Section 101.053, Insurance
Code, is amended.
SECTION 18.02. Section 225.001, Insurance Code,
DEFINITION, is amended.
APPLICABILITY OF CHAPTER, is amended.
SECTION 18.04. Section 225.004, Insurance Code, is
amended by adding Subsections (a-I) and (I) and amending
Subsections (b), (c), and (e).
SECTION 18.05. Section 225.005, Insurance Code, TAX
EXCLUSIVE, is amended.
amended by adding Subsection (d).
DEFINITION, is amended as follows:
APPLICABILITY OF SUBCHAPTER, is amended.
amended by amending Subsections (a) and (b) and adding
Subsection (d).
Senate Bill 1
HOUSE VERSION (IE)
25
CONFERENCE
..
SECTION
SURPLUS
amended.
SENATE VERSION
18.10. Section 981.008, Insurance Code,
LINES INSURANCE PREMIUM TAX, is
Senate Bill 1
HOUSE VERSION (IE)
CONFERENCE
SECTION 18.11. The following provisions are repealed:
(I) Subsections (d) and (d-I), Section 225.004, Insurance
Code; and
(2) Subsection (b-I), Section 226.053, Insurance Code.
SECTION 18.13. This article takes effect immediately if this'
Constitution. If this Act does not receive the vote. necessary
for immediate effect, this article takes effect on the 91 st day
after the last day of the legislative session.
ARTICLE 19. FISCAL MATTERS CONCERNING EARLY
HIGH SCHOOL GRADUATION
SECTION 19.0I. Subchapter K, Chapter 56, Education Code,
is amended by adding Section 56.2012, EXPIRATION OF
SUBCHAPTER; ELIGIBILITY CLOSED.
SECTION 19.02. (a) Subsection (b), Section 54.213,
Education Code, is amended.
(b) If S.B. No. 32, Acts of the 82nd Legislature, Regular
Session, 2011, becomes law, effective January I, 2012,
Subsection (b), Section 54.362, Education Code, as
transferred and redesignated by Section I of that bill, is
26
SENATE VERSION
further amended.
(c) If H.B. No. 3708, Acts of the 82nd Legislature, Regular
Session, 201 I, becomes law, Subsection (a) of this section has
no effect.
SECTION 19.03. Section 56.210, Education Code, is
repealed.
ARTICLE 20. FISCAL MATTERS CONCERNING
RETIRED TEACHERS
SECTION 20.0I. Notwithstanding Subsection (a), Section
825.404, Government Code, for the state fiscal year ending
August 31, 20I2, the amount of the state contribution to the
Teacher Retirement System of Texas under that section may
be less than the amount contributed by members during that
fiscal year.
SECTION 20.02. Notwithstanding Subsection (a), Section
1575.202, Insurance Code, for the state fiscal year ending
August 31, 2013, the state may contribute an amount to the
retired school employees group insurance fund that is less
than one percent of the salary of each acti ve employee.
SECTION 20.03. For purposes of interpreting and
implementing Section 825.406, Government Code, the
Teacher Retirement System of Texas may not consider
salaries of personnel paid wholly or partly from the Education
Jobs Fund distributed to school districts under Title I of Pub.
Senate Bill!
Conference Commillee Report
HOUSE VERSION (IE)
27
CONFERENCE
ARTICLE 79. EDUCATION JOBS FUND
SECTION 79.01. For purposes of interpreting and
implementing Section 825.406, Government Code, the
Teacher Retirement System of Texas may not consider
salaries of personnel paid wholly or partly from the Education
Jobs Fund distributed to school districts under Title I of Pub.
..
SENATE VERSION
L. No. 111-226 as being paid from federal funds
SECTION 20.04. If S.B. No. 1667, Acts of the 82nd
Legislature, Regular Session, 20 II, becomes law, Sections
20.0I and 20.02 of this article have no effect.
ARTICLE 21. COASTAL EROSION
SECTION 21.01. Section 33.608, Natural Resources Code,
REPORT TO LEGISLATURE, is amended.
ARTICLE 22. FISCAL MATTERS CONCERNING PARKS
AND WILDLIFE CONTRIBUTIONS
SECTION 22.01. Subchapter D, Chapter 502, Transportation
Code, is amended by adding Sections 502.1747,
VOLUNTARY CONTRIBUTION TO PARKS AND
WILDLIFE DEPARTMENT, and 502.1748, DISPOSITION
OF CERTAIN VOLUNTARY CONTRIBUTIONS.
SECTION 22.02. Sections 502.1747 and 502.1748,
Transportation Code, as added by this article, apply only to a
motor vehicle registration renewal notice issued for a
registration that expires on or after January I, 2012.
Legislature, Regular Session, 20 II, becomes law, this article
has no effect.
ARTICLE 23. FISCAL MATTERS CONCERNING OIL
AND GAS REGULATION
Senate Bill 1
HOUSE VERSION (IE)
AND GAS REGULATION
28
CONFERENCE
L. No. 11 I-226 as being paid from federal funds.
AND GAS REGULATION
..
SENATE VERSION
SECTION 23.01. Subsection (c), Section 81.0521, Natural
Resources Code, is amended.
SECTION 23.02. Subchapter C, Chapter 81, Natural
Resources Code, is amended by adding Sections 81.067,
OIL AND GAS REGULATION AND CLEANUP FUND;
81.068, PURPOSE OF OIL AND GAS REGULATION AND
CLEANUP FUND; 81.069, REPORTING ON PROGRESS
IN MEETING PERFORMANCE GOALS FOR THE OIL
AND GAS REGULATION AND CLEANUP FUND; and
81.070, ESTABLISHMENT OF SURCHARGES ON FEES.
SECTION 23.03. Section 81.115, Natural Resources Code, is
amended as follows:
Sec. 81.115. APPROPRIATIONS TO
COMMISSION FOR OIL AND GAS REGULATION AND
CLEANUP PURPOSES [DIVISION]. Money appropriated to
the [aHaRa gas aivisisR sf tlte] commission under the General
Appropriations Act for the purposes described by Section
81.068 shall be paid from the oil and gas regulation and
cleanup fund [GeReFaI RoeveRHe
SECTION 23.04. Subsections (d) and (e), Section 81.116,
Natural Resources Code, are amended.
SECTION 23.05. Subsections (d) and (e), Section 81.117,
Senate Bill 1
HOUSE VERSION (IE)
SECTION 17.03. Section 81.115, Natural Resources Code, is
amended as follows:
Sec. 81.115. APPROPRIATIONS [PAYMeNTS] TO
COMMISSION FOR OIL AND GAS REGULATION AND
CLEANUP PURPOSES [DIVISION]. Money appropriated to
the [silaRa gas aivisisR sf tlte] commission under the General
Appropriations Act for the purposes described by Section
81.068 shall gas regulation and
cleanup fund or other fund. indicated by the approprhition
[GeAefal Roe,'eRHe [FA7]
29
CONFERENCE
SENATE VERSION
SECTION 23.06. Subsection (d), Section 85.2021, Natural
SECTION 23.10. Subsection (j), Section 89.083, Natural
SECTION 23.12. The heading to Section 89.086, Natural
SECTION 23.13. Subsections (a) and (h) through (k), Section
89.086, Natural Resources Code, are amended.
SECTION 23.14. Subsection (b), Section 89.121, Natural
SECTION 23.16. Section 91.108, Natural Resources Code,
Senate Bill 1
HOUSE VERSION (IE)
30
CONFERENCE
SENATE VERSION
DEPOSIT AND USE OF FUNDS, is amended.
SECTION 23.17. Subsection (a), Section 91.109, Natural
SECTION 23.18. Subsections (a) and (f), Section 91.113,
SECTION 23.22. Subsection (e), Section 91.605, Natural
SECTION 23.23. Subsection (e), Section 91.654, Natural
SECTION 23.25. The heading to Section 121.211, Utilities
Code, is amended.
SECTION 23.26. Section 121.211, Utilities Code, is amended.
Among other provisions, Subsection (c) is amended as
Senate Bill 1
HOUSE VERSION (IE)
SECTION J7.17. Same as Senate version.
SECTION J7.24. Same as Senate version.
31
CONFERENCE
SECTION 19.J7. Same as Senate version.
SECTION 19. J8. Same as Senate version.
SENATE VERSION
follows:
(c) The total amount of fees estimated to be collected under
rules adopted by the railroad commission under this section
may not exceed the amount estimated by the railroad
commission to be necessary to recover the costs of
administering the railroad commission's pipeline safety and
regulatory program under this title [ekajller], excluding costs
that are fully funded by federal sources.
SECTION 23.27. Section 29.015, Water Code,
APPLICATION FEE, is amended.
SECTION 23.28. The following provisions of the Natural
Resources Code are repealed:
(I) Section 91.111; and
(2) Section 9J .112.
SECTION 23.29. Transition provision.
ARTICLE 24. FISCAL MATTERS REGARDING LEASING
CERTAIN STATE FACILITIES
SECTION 24.01. The heading to Section 2165.2035,
Senate Bill 1
HOUSE VERSION (IE)
(c) The total amount of fees estimated to be collected under
rules adopted by the railroad commission under this section
may not exceed the amount estimated by the railroad
commission to be necessary to recover the costs of
administering the railroad commission's pipeline safety and
regulatory program under this title [ekajller], excluding costs
that are fully funded by federal sources. No more than five
cents of the annual one dollar service line fee may be used to
fund the agency's regulatorv program. [FA8]
ARTICLE 18. FISCAL MATTERS REGARDING LEASING
CERTAIN STATE FACILITIES
32
CONFERENCE
SENATE VERSION
SECTION 24.02. Subchapter E, Chapter 2165, Government
Code, is amended by adding Sections 2165.204, LEASE OF
SPACE IN STATE-OWNED PARKING LOTS AND
GARAGES; EXCESS INDIVIDUAL PARKING SPACES,
2165.2045, LEASE OF SPACE IN STATE-OWNED
PARKING LOTS AND GARAGES; EXCESS BLOCKS OF
PARKING SPACE, and 2165.2046, REPORTS ON
PARKING PROGRAMS.
SECTION 24.03. (a) Except as provided by SubseCtion (b)Ot
this section:
(I) this article takes effect immediately if this Act receives a
vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution; and
(2) if this Act does not receive the vote necessary for
immediate effect, this article takes effect on the 91 st day after
thelast day of the legislativesessi?n > .. . .
(b)If S.B.J"'?,.JO(i,I\r;ls iof (he
Session, 2011,becomes]aw, this article llilS no effect;
ARTICLE 25. FISCAL MATTERS RELATING TO
SECRETARY OF STATE
SECTION 25.01. Section 405.014, Government Code, ACTS
OF THE LEGISLATURE, is amended.
SECTION 25.02. Subchapter B, Chapter 2158, Government
Code, is repealed.
Senate Bill 1
HOUSE VERSION (IE)
This article takes effect immediately if this Act receives a vote
of two-thirds of all the members elected to each house, as
provided by Section 39, Article IlI, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, this article takes effect on the 91st day after the last day
of the legislati ve session.
SECTION 19.D1. Same as Senate version.
33
CONFERENCE
make thefinal determination on this issue.]
..
SENATE VERSION
each house, as provided by Section 39, Anicle III, Texas
for immediate effect, this anicle takes effect on the 91 st day
ATTORNEY GENERAL
amended by adding Subsection (e).
amended by amending Subsections (b) and (c) and adding
Subsections (d), (e), and (f).
SECTION 26.04. Section 371.051, Transponation Code, is
amended.
Senate Bill 1
HOUSE VERSION (IE)
34
CONFERENCE
[The cOliference committee may have exceeded the limitations
imposed on its jurisdiction, but only the presiding officer can ..
SENATE VERSION
SECTION 26.09. Except as otherwise provided by this article,
this article takes effect immediately if this Act receives a vote
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect,
this article takes effect on the 9Ist day after the last day of the
legislative session.
SECTION 26.10. (a) If S.B. No. 367, Acts of the 82nd
Senate Bill 1
HOUSE VERSION (IE)
35
CONFERENCE
SECTION 21.03. Substantially the same as Senate version.
..
SENATE VERSION
Legislature, Regular Session, 2011, becomes law, Sections
26.02, 26.03, 26.06, and 26.08 of this article have no effect.
(b) If S.B. No. 731, Acts of the 82nd Legislature, Regular
Session, 2011, becomes law, Sections 26.04 and 26.07 of this
article have no effect.
ARTICLE 27. TEXAS PRESERVATION TRUST FUND
ACCOUNT
SECTION 27.01. Subsections (a), (b), and (I), Section
442.015, Governme'nt Code, are amended.
SECTION 27.02. Subsections (h), (i), (;), (k), and (I), Section
442.015, Government Code, are repealed.
SECTION 27.03. The comptroller of public accounts and the
Texas Historical Commission shall enter into a memorandum
of understanding to facilitate the conversion of assets of the
Texas preservation trust fund account into cash for deposit
into the state treasury using a method that provides for the
lowest amount of revenue loss to the state.
SECTION 27.04. This article takes effect November 1,2011.
INFORMATION TECHNOLOGY
Senate Bill 1
HOUSE VERSION (IE)
36
CONFERENCE
amended by adding Subsection (g-I) as follows:
(g-ll For purposes of this section, the Department of
Information Resources is a regulatory agency.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
CONFERENCE
[The conference committee mav have exceeded the limitations
imposed on its jurisdiction. hut onlv the presiding officer can
SUNSET PROVISION, is amended as follows:
(ill The Department of Information Resources is subject to
Chapter 325 (Texas Sunset Act). Unless continued in
existence as provided by that chapter, the department is
abolished and this chapter expires September 1, 2013 [ ~ ] .
(b) The review of the Department of Information Resources
by the Sunset Advisory Commission in preparation for the
work of the g3rd Legislature. Regular Session, is not limited
to the appropriateness of recommendations made by the
commission to the g2nd Legislature. In the commission's
report to the 83rd Legislature. the commission may include
any recommendations it considers appropriate.
imposed on its jurisdiction, hut only the presiding officer can
No equivalent provision. No equivalent provision.
37
SECTION 23.03. Subchapter C, Chapter 2054, Government
Code, is amended by adding Section 2054.064, BOARD
APPROVAL OF CONTRACTS, as follows:
The board by rule shall establish approval requirements for all
contracts, including a monetary threshold above which board
approval is required before the contract may be executed.
SENATE VERSION
FEES, is amended.
Senate BiII 1
HOUSE VERSION (IE)
38
CONFERENCE
Government Code, is amended as follows:
(b) This subchapter does not apply to:
(I) the Department of Public Safety's use for criminal justice
or homeland security purposes of a federal database or
network;
(2) a Texas equivalent of a database or network described by
Subdivision (I) that is managed by the Department of Public
Safety;
(3) the uniform statewide accounting system, as that term is
used in Subchapter C, Chapter 2101;
(4) the state treasury cash and treasury management system;
[eF]
(5) a database or network managed by the comptroller to:
(A) collect and process multiple types of taxes imposed by the
state; or
(B) manage or administer fiscal, financial, revenue, and
expenditure activities of the state under Chapter 403 and
Chapter 4 0 4 ~
(6) a database or network managed by the Department of
Agriculture.
SENATE VERSION
(d) The department may charge a reasonable administrative
fee to a state agency, political subdivision of this state, or
governmental entity of another state that purchases
commodity items through the department in an amount that is
sufficient to recover costs associated with the administration
of this section. Revenue derived from the collection of fees
imposed under this subsection may be appropriated to the
department for:
(n developing statewide information resources technolol!v
policies and planning under Chapters 2054 and 2059; and
(2) providing shared infonuation resources technology
services under Chapter 2054.
SECTION 28.03. Subsections (a) and (d), Section 2170.057,
Government Code, are amended as follows:
(a) The department shall develop a system of billings and
charges for services provided in operating and administering
Senate Bill 1
HOUSE VERSION (IE)
39
CONFERENCE
(b) The dep'artment shall pegotiate with vendors [ts attefRll't]
to obtain the besf value for the state in the purchase of
commodity' items.' The department may consider strategic
sourcing and other methodologies to select the vendor offering
the best value on [a favsfilSle l"Fiee fer all sf state gsVefAffieljt
Sft lieellses fer] commodity items, , basea Sft tfie aggFegate
"slame sf be maae bytfiestats]. The
tenus and conditions of a license agreement between a vendor
and the department under this section may "not :beless
favorable', to the state, than the', tenus' of, similar ,license
between the vendor and retail distributors.
(d) The department may charge a reasonable administrative
fee to a state agency, political subdivision of this state, or
governmental entity of another state that purchases
commodity items through the department in an amount that is
sufficient to recover costs associated with the administration
of this section. Revenue derived from the collection of fees
imposed under this subsection may be appropriated to the
department for:
(I) developing statewide information resources technology
policies and planning under Chapters 2054 and 2059; and
(2) providing shared information resources technology
services under Chapter 2054.
imposed on irs jurisdiction, but only the presiding officer can
make the final dererminarion on this issue.]
..
SENATE VERSION
the consolidated telecommunications system that allocates the
total state cost to each entity served by the system based on
proportionate usage. The department shall set and charge a fee
to each entity that receives services provided under this
chapter in an amount sufficient to cover the direct and indirect
costs of providing the service. Revenue derived from the
collection of fees imposed under this subsection may be
appropriated to the department for:
III developing statewide information resources technology
policies and planning under Chapters 2054 and 2059: and
(2) providing:
IA) shared information resources technology services under
Chapter 2054: and
(B) network security services under Chapter 2059.
(d) The department shall maintain in the revolving fund
account sufficient amounts to pay the bills of the consolidated
telecommunications system and the centralized capitol
complex telephone system. [TAe E1ejlartmeAt sAall eertif)'
amsliRts tHat e](eeee this tlffiOHRt to lfle effiptrollef, aRe tke
eemf)tFoller sAall tftlRSer tke eJ(eess affiOl:lAts to tHe reait of
the statewiae fletwork tlI313lieations tleOHRt estaslisheEi 13)'
SeetisA 2QUlll.]
SECTION 28,04. If H,B. No. 2499, Acts of the 82nd
Legislature, Regular Session, 20II, becomes law, this article
has no effect,
Senate Bill 1
HOUSE VERSION (IE)
Act recei ves a vote of two-thirds of all the members elected to
for immediate effect, this article takes effect on the 9Ist day
40
CONFERENCE
,. -------------------------------- - -_.. -----------
Senate Bill 1
..
..
SENATE VERSION
ARTICLE 29. STATE DEBT
SECTION 29.01. Chapter 1231, Government Code, is
amended by adding Subchapter G, LIMIT ON STATE DEBT
PAYABLE FROM GENERAL REVENUE FUND.
SECTION 29.02. The Bond Review Board shall publish the
initial report required by Section 1231.153, Government
Code, as added by this article, during the state fiscal year
beginning September 1,2011.
for immediate effect, this article takes effect on the 91 st day
ARTICLE 30. CONTINUING LEGAL EDUCATION
REQUIREMENTS FOR ATTORNEY EMPLOYED BY
ATTORNEYGI01'lERAL
SECTION 30m. Section 81.113, Government Code, is
amended by adding Subsection (a-I) as follows:
(a-]) The state bar shall credit an attorney licensed in this state
with meeting the minimum continuing legal education
requirements of the state bar for a reporting year if during the
reporting year the attorney. is employed full-time as an
attorney by the office of the attorney. general. An attorney
HOUSE VERSION (IE)
ARTICLE 23. CONTINUING LEGAL EDUCATION
REQUIREMENTS FOR ATTORNEY EMPLOYED BY
STA'fIOPOYIORNMION'f [FA9(l)]
(a-1) The state bar shall credit an attorney licensed in this state
with meeting the minimum continuing legal education
requirements of the state bar for a reporting year if during the
reporting year the attorney is employed full-time as an
attorney by a board. cbmmissiorl. department, agency, Office,
41
CONFERENCE
SENATE VERSION
credited for continuing legal education under this subsection
must meet the continuing legal education requirements of the
state bar in legal ethics or professional responsibility. This
subsection expires January I. 2014.
SECTION 30.02. SECTION 30.02. Subchapter A, Chapter
402, Government Code, is amended by adding Section
402.011 as follows:
Sec; 402.011. CONTINUING LEGAL EDUCATION
PROGRAMS. The office of the attorney general shall
recognize. prepare. or administer continuing legal education
programs that meet continuing legal education requirements
imposed under Section 81.113(c) for the attorneys employed
by the office. This section expires January I. 2014.
SECTION 30.03. Transition provision relating to the
requirements for a continuing legal education compliance year
that ends on or after October I, 2011.
ARTICLE 31. REGISTRATION FEE AND
REGISTRATION RENEWAL FEE FOR LOBBYISTS
SECTION 31.01. Subsection (c), Section 305.005,
ARTICLE 32. ASSESSMENT OF PREMIUM
DIFFERENTIAL ON CERTAIN PUBLIC EMPLOYEES
WHO USE TOBACCO
SECTION 32.01. Subchapter G, Chapter 1551, Insurance
Senate Bill 1
HOUSE VERSION (IE)
or other entity of this state's government. An attorney credited
for continuing legal education under this subsection must meet
the continuing legal education requirements of the state bar in
legal ethics or professional responsibility. This subsection
expires January 1. 2014. [FA9(2)]
Code, is amended by adding Section 402.0 I 0 as follows:
Sec. 402.010. CONTINUING LEGAL EDUCATION
PROGRAMS. The office of the attorney general shall
recognize. prepare. or administer continuing legal education
programs that meet continuing legal education requirements
imposed under Section 81.113(C) for the attorneys employed
by the office. This section expires January I. 2014.
42
CONFERENCE
SENATE VERSION
Code, is amended by adding Section 1551.3075, TOBACCO
USER PREMIUM DIFFERENTIAL.
SECTION 32.02. Section 1551.3I4, Insurance Code,
CERTAIN STATE CONTRIBUTIONS PROHIBITED, is
amended.
SECTION 32.03. The board of trustees of the Employees
Retirement System of Texas shall implement the tobacco user
premium differential required under Section 1551.3075,
Insurance Code, as added by this article, not later than January
1,2012.
Legislature, Regular Session, 201 I, becomes law, this article
has no effect.
ARTICLE 33. PUBLIC ASSISTANCE REPORTING
INFORMATION SYSTEM
(c) Money in the fund may onWbeliPpropriated to the Texas
Veterans Commission. Monevappropriated onder. this
subsection shall be used to:
(1). [eAAaAse' ar irnPra:,e '/eteraAs'assistaAee' jlragraFas,
iAelaaiAg "ataraR" rejlre,antatieA aAa eeaAseliAg;
[ ~ l make grants to address veterans' needs; [aREI]
ill [ ~ J administer the fund; and
(3) analyze and investigate data received from the federal
Public Assistance Reporting Information System (PARIS) that
-------
Senate Bill!
HOUSE VERSION (IE)
43
CONFERENCE
ARTICLE 26. Same as House version except as follows:
(c) Money in the fund may only be appropriated to the Texas
Veterans Commission. Money approprititedunder this
subsection shall be used to:
(I) make grants to address veterans' needs; [aREI]
(2) administer the fund; and
(3) analyze and investigate data received from the federal
Public Assistance Reporting Information System (PARIS) that
SENATE VERSION
is administered by the Administration for Children and
Families of the United States Department of Health and
Human Services.
SECTION 33.02. The comptroller shall credit to the fund for
veterans' assistance established under Section 434.017,
Government Code, as amended by this article, the savings
generated from the use of the federal Public Assistance
Reporting Information System (PARIS) under that section.
ARTICLE 34. REGIONAL POISON CONTROL CENTER
MANAGEMENT CONTROLS AND EFFICIENCY
SECTION 34.0 I. Section 777.001, Health and Safety Code, is
amended by amending Subsection (c) and adding Subsection
(d).
ARTICLE 35. AUTHORIZED USES FOR CERTAIN
DEDICATED PERMANENT FUNDS
SECTION 35.0I. Section 403.105, Government Code, is
(b-I).
(b-I ).
Senate Bill 1
HOUSE VERSION (IE)
No equi valent provision.
44
CONFERENCE
is administered by the Administration for Children and
Families of the United States Department of Health and
Human Services.
..
SENATE VERSION
(b-I).
for immediate effect, this article takes effect on the 9Ist day
ARTICLE 36. EMPLOYER ENROLLMENT FEE FOR
PARTICIPATION IN CERTAIN HEALTH BENEFIT
PLANS
SECTION 36.01. Subchapter G, Chapter 1551, Insurance
Code, is amended by adding Section 1551.3076, EMPLOYER
ENROLLMENT FEE.
has no effect.
SURPLUS AND SALVAGE PROPERTY
SECTION 37.01. Subchapter C, Chapter 2175, Government
Code, is repealed.
Code, is amended.
Senate Bill 1
HOUSE VERSION (IE)
45
CONFERENCE
SENATE VERSION
SECTION 37.03. Section 2I75.002, Government Code,
ADMINISTRATION OF CHAPTER, is amended.
amended by amending Subsection (a) and adding Subsections
(c) and (d).
SECTION 37.05. The heading to Subchapter D, Chapter 2175,
APPLICABILITY, is amended.
amended.
ADVERTISING ON COMPTROLLER WEBSITE, is
amended.
COMMISSION NOTICE TO OTHER ENTITIES, is
amended.
DIRECT TRANSFER, is amended.
SECTION 37.11. Subsection (a), Section 2175.186,
Senate Bill 1
HOUSE VERSION (IE)
46
CONFERENCE
SECTION 29. I2. Same as Senate version.
..
i
r
SENATE VERSION
ADVERTISEMENT OF SALE, is amended.
EXCEPTION FOR ELEEMOSYNARY INSTITUTIONS, is
amended.
amended by amending Subsections (a) and (c) and adding
Subsection (d).
SECTION 37.16. Subchapter Z, Chapter 2175, Government
Code, is amended by adding Sections 2175.905,
DISPOSlTlON OF DATA PROCESSING EQUIPMENT, and
2175.906, ABOLISHED AGENCIES.
ARTICLE 38. LAW ENFORCEMENT AND CUSTODIAL
OFFICER SUPPLEMENTAL RETIREMENT FUND
amended by adding Subsection (a-I).
SECTION 38.02. Subsection (e), Section 133.102, Local
has no effect.
Senate Bill 1
HOUSE VERSION (IE)
SECTION 28.1 3. Same as Senate version.
47
CONFERENCE
..
..
SENATE VERSION
SECTION 38.04. This article takes effect September 1,2013.
ARTICLE 39. SALES AND USE TAX COLLECTION AND
ALLOCATION
SECTION 39.01. Subsection (b), Section 151.008, Tax Code,
is amended.
amending Subsection (a) and adding Subsection (d).
SECTION 39.03. Subchapter M, Chapter 151, Tax Code, is
amended by adding Section 151.802, ALLOCATION OF
CERTAIN REVENUE TO PROPERTY TAX RELIEF
FUND.
SECTION 39.05. This article takes effect January 1,2012.
ARTICLE 40. CARRYFORWARD OF CERTAIN
FRANCHISE TAX CREDITS
SECTION 40.01. Subsections (e) and (f), Section 18, Chapter
1 (H.B. 3), Acts of the 79th Legislature, 3rd Called Session,
2006, are amended.
ARTICLE 41. STATE PURCHASING
amended.
Senate Bill 1
HOUSE VERSION (IE)
48
CONFERENCE
,
'0
SENATE VERSION
ARTICLE 42. PERIOD FOR SALES AND USE TAX
HOLIDAY
is amended.
ARTICLE 43. LEGISLATIVE BUDGET BOARD
MEETINGS
amended by adding Subsection (f) as follows:
CD The board shall hold a public hearing each state fiscal year
to receive a report from the comptroller and receive invited
testimony regarding the financial condition of this state. The
report from the comptroller shall include, to the extent
practicable:
(I) information on each revenue source included in
determining the estimate of anticipated revenue for purnoses
of the most recent statement required by Section 49a, Article
III. Texas Constitution. and the total net revenue actually
collected from that source for the state fiscal year as of the end
of the most recent state fiscal quarter:
(2) a comparison for the period described by Subdivision {n
of the total net revenue collected from each revenue source
required to be specified under that subdivision with the
anticipated revenue from that source that was included for
purposes of determining the estimate of anticipated revenue in
the statement required by Section 49a. Article III. Texas
Constitution;
(3) information on state revenue sources resulting from a law
Senate Bill!
HOUSE VERSION (IE)
49
CONFERENCE
ARTICLE 34. LEGISLATIVE BUDGET BOARD
MEETINGS
..
SENATE VERSION
taking effect after the comptroller submitted the most recent
statement required by Section 49a. Article III. Texas
Constitution. and the estimated total net revenue collected
from that source for the state fiscal year as of the end of the
most recent state fiscal quarter:
(4) a summary of the indicators of state economic trends
experienced since the most recent statement required by
Section 49a. Article Ill. Texas Constitution; and
IS) a summary of anticipated state economic trends and the
anticipated effect of the trends on state revenue collections.
SECTION 43.02. Chapter 322, Government Code, is amended
by adding Section 322.0081, BUDGET DOCUMENTS
ONLINE, as follows:
(a) The board shall post on the board's Internet website
documents prepared by the board that are provided to a
committee. subcommittee. or conference committee of either
house of the legislature in connection with an appropriations
bill.
Ib) The board shall post a document to which this section
applies as soon as practicable after the document is provided
to a committee. subcommittee. or conference committee.
(c) The document must be downloadable and provide data in a
format that allows the public to search. extract. organize. and
analYZe the information in the document.
(d) The requirement under Subsection (a) does not supersede
anv exceptions provided under Chapter 552.
(e) The board shall promulgate rules to implement the
provisions of this section.
SECTION 43.03. Chapter 322, Government Code, is amended
by adding Section 322.022, PUBLIC HEARING ON
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE _. COST-EFFICIENCY SUGGESTIONS AND
IDEAS FOR STATE AGENCIES [part]
SECTION _.02. Same as Senate version. [FA97,FA98]
50
CONFERENCE
. SECTION 34.02. Same as Senate version.
,.
...
SENATE VERSION
INTERIM BUDGET REDUCTION REQUEST, as follows:
(a) In this section:
(n "Interim budget reduction request" means a request
communicated in any manner for a state agency to make
adjustments to the strategies. methods of finance, performance
measures, or riders applicable to the agency through the state
budget in effect on the date the request is communicated Ihat.
if implemented. would reduce the agency's total expenditures
for the current stale fiscal biennium to an amount less Ihan the
total amount that otherwise would be permissible based on Ihe
appropriations made to the agency in the budget.
(2) "State agency" means an office, department. board.
commission, institution. or other entity to which a legislative
appropriation is made.
(b) A state agency shall provide to the board a detailed report
of any expenditure reduction plan that:
(I) the agency develops in response to an interim budget
reduction request made by the governor, the lieutenant
governor, or a member of the legislature, or any combination
of those persons: and
(2) if implemented, would reduce the agency's total
expenditures for the current state fiscal biennium 10 an amount
less than the total amount that otherwise would be permissible
based on the appropriations made 10 the agency in the state
budget for the biennium.
(c) The board shall hold a public hearing to solicit testimony
on an expenditure reduction plan a state agency reports to the
board as required by Subsection (b) as soon as practicable
after receiving the report. The agency may not implement any
element of the plan until the conclusion of the hearing.
(d) This section does not apply to an expenditure reduction a
state agency desires to make that does not directly or
Senate Bill 1
HOUSE VERSION (IE)
51
CONFERENCE
SENATE VERSION
indirectly result from an interim budget reduction request
made by the governor. the lieutenant governor. or a member
of the legislature. or any combination of those persons.
SECTION 43.04. Subchapter B. Chapter 403, Government
Code, is amended by adding Section 403.0145,
PUBLICATION OF FEES SCHEDULE, as follows:
As soon as practicable after the end of each state fiscal year.
the comptroller shall publish online a schedule of all revenue
to the state from fees authorized by statute. For each fee. the
schedule must specify:
(Il the statutory authority for the fee:
(2) if the fee has been increased during the most recent
legislative session. the amount of the increase;
(3) into which fund the fee revenue will be deposited; and
(4) the amount of the fee revenue that will be considered
available for general governmental purooses and accordingly
considered available for the purpose of certification under
Section 403.121.
Subsection (b-I) as follows:
(a) Before issuing notes the comptroller shall submit to the
committee a general revenue cash flow shortfall forecast,
based on the comptroller's most recent anticipated revenue
estimate. The forecast must contain a detailed report of
estimated revenues and expenditures for each month and each
major revenue and expenditure category and must
demonstrate the maximum general revenue cash flow shortfall
that may be predicted. The committee shall hold a public
hearing to receive invited testimonv on the forecast. including
Senate Bill 1
HOUSE VERSION (IE)
52
CONFERENCE
SENATE VERSION
testimony on this state's overall economic condition. as soon
as practicable after receiving the forecast.
(b) Based on the forecast and testimony provided at the
hearing required by Subsection (a), the committee may
approve the issuance of notes. subject to Subsections (b- \) and
ff1 and the maximum outstanding balance of notes in any
fiscal year. The outstanding balance may not exceed the
maximum temporary cash shortfall forecast by the comptroller
for any period in the fiscal year. The comptroller may not
issue notes in excess of the amount approved.
(boll The committee's approval of the issuance of notes
granted under Subsection (b) expires on the 91 st day after the
date the hearing conducted under Subsection (a) concludes.
The comptroller may not issue notes on or after the 91st day
unless the comptroller submits another general revenue cash
flow shortfall forecast to the committee and the committee
subsequently grants approval for the issuance of the notes in
accordance with the procedure required by Subsections (a)
and (b). Each subsequent approval expires on the 61 st day
after the date the hearing on which the approval was based
concludes.
Senate Bill 1
Section,by,Section Analysis
HOUSE VERSION (IE)
53
CONFERENCE
SECTION 34.06. It is the intent of the legislature that the
Legislative Budget Board place information on its Intemet
website that provides additional program detail for items of
appropriation in the General Appropriations Act. The
Legislative Budget Board shall include as additional program
detail the specific programs funded, the source of that
funding, and the related statutory authorization.
[The conference commiuee may have exceeded the limitations
..
SENATE VERSION
ARTICLE 44. ECONOMIC AND WORKFORCE
DEVELOPMENT PROGRAMS
SECTION 44.0I. Section 481.078, Government Code, is
amended by adding Subsection (m).
SECTION 44.02. Subtitle B, Title 4, Labor Code, is amended
by adding Chapter 314, TEXAS BACK TO WORK
PROGRAM, as follows:
Sec. 314.001. DEFINITION. In this chapter. "qualified
applicant" means a person who made less than $40 per hour at
the person's last employment before becoming unemployed.
Sec. 314.002. INITIATIVE ESTABLISHED. Ca) The Texas
Back to Work Program is established within the commission.
(b) The pumose of the program is to establish public-private
partnerships with employers to transition residents of this state
from receiving unemployment compensation to becoming
employed as members of the workforce.
(c) An employer that participates in the initiative may receive
a wage subsidy for hiring one or more qualified applicants
who are unemployed at the time of hire.
Sec. 314.003. RULES. The commission may adopt rules as
Senate Bill I
HOUSE VERSION (IE)
No equivalent provision. [SECTION 33.0I was deleted by
FA1(3)]
SECTION 33.02. Same as Senate version except designates
the added chapter as Chapter 313.
54
CONFERENCE
SECTION 35.02. Subtitle B, Title 4, Labor Code, is amended
by adding Chapter 314, TEXAS BACK TO WORK
PROGRAM, as follows:
Sec. 314.001. DEFINITION. In this chapter. "qualified
applicant" means a person who made less than $40 per hour at
the person's last employment before becoming unemployed.
Sec. 314.002. INITIATIVE ESTABLISHED. Ca) The Texas
Back to Work Program is established within the commission.
Cb) The purpose of the program is to establish public-private
partnerships with employers to transition residents of this state
from receiving unemployment compensation to becoming
employed as members of the workforce.
Cc) An employer that participates in the initiative may receive
a wage subsidy for hiring one or more qualified applicants
who are unemployed at the time of hire.
Cd) The commission. for the purposes of this section. may use:
Cll money appropriated to the commission: and
(2) money that is transferred to the commission from trusteed
programs within the office of the governor. including:
CA) appropriated money from the Texas Enterprise Fund:
(8) available federal funds: and
CC) money from other appropriate, statutorily authorized
funding sources.
Sec. 314.003. RULES. The commission may adopt rules as ~ ~ ~ ~ ~ ~ ~ ~ ~ - --- _._---
Senate Bill!
SENATE VERSION
necessary to implement this chapter.
ARTICLE 45. ELIGIBILITY OF SURVIVING SPOUSE OF
DISABLED VETERAN TO PAY AD VALOREM TAXES
ON RESIDENCE HOMESTEAD IN INSTALLMENTS
amending Subsection (a) and adding Subsection (a-I).
ARTICLE 46. EXTENSION OF FRANCHISE TAX
EXEMPTION
SECTION 46.01. Subsection (c), Section I, Chapter 286 (H.B.
4765), Acts of the 81 st Legislature, Regular Session, 2009, is
amended.
SECTION 46.02. Subsection (b), Section 2, Chapter 286
(H.B. 4765), Acts of the 81st Legislature, Regular Session,
2009, is amended.
SECTION 46.03. Subsection (b), Section 3, Chapter 286
(H.B. 4765), Acts of the 81st Legislature, Regular Session,
2009, is amended.
'HOUSE VERSION (IE)
55
CONFERENCE
necessary to implement this chapter.
[The conference committee may hal'e exceeded the limitations
SENATE VERSION
for this article to have immediate effect, this article takes
effect on the 91 st day after the last day of the legislative
session.
ARTICLE 47. FISCAL MATIERS REGARDING
ASSISTANT PROSECUTORS
SECTION 47.01. Subsection (t), Section 41.255, Government
Code, is amended.
SECTION 47.02. Subsection (g), Section 41.255, Government
Code, is repealed.
ARTICLE 48. FISCAL MATIERS REGARDING PROCESS
SERVERS
SECTION 48.0I. Subchapter B, Chapter 72, Government
Code, is amended by adding Sections 72.013 and 72.014 as
follows:
Sec. 12.013. PROCESS SERVER REVIEW BOARD. A
person appointed to the process server review board
established by supreme court order serves without
compensation but is entitled to reimbursement for actual and
necessary expenses incurred in traveling and performing
official board duties.
Sec. 72.014. CERTIFICATION DIVISION. The office shall
establish a certification division to oversee the regulatol)'
Senate Bill 1
HOUSE VERSION (IE)
Sec. 12.013. PROCESS SERVER REVIEW BOARD. A
person appointed to the process server review board
established by supreme court order serves without
compensation but is entitled to reimbursement for actual and
necessal)' expenses incurred in traveling and performing
official board duties.
Sec. 72.014. CERTIFICATION DIVISION. The office shall
establish a certification division to oversee the regulatory
56
CONFERENCE
SECTION 39.0I. Substantially the same as House version.
..
SENATE VERSION
programs assigned to the office bv law or by the supreme
court.
REIMBURSEMENT OF JURORS
amended by adding Subsections (a-I) and (a-2).
amended by adding Subsections (a-I), (a-2), and (e-I).
ARTICLE 50. COLLECTION IMPROVEMENT PROGRAM
SECTION 50m. Subsections (t), (h), (i), and (j), Article
103.0033, Code of Criminal Procedure, are amended as
follows:
Senate Bill!
HOUSE VERSION (IE)
programs assigned to the bylaw or by
court. Fees 'collected'under" Section'51.008, .Government
COcleYmay 'beapp(opriated to the office ',to' stipport the
certification division. [FAIS]
57
CONFERENCE
SECTION 41.01. Subsections (b), (c), (e), (h), (i), and (j),
Code of Criminal Procedure, aseffedive
September 1,2011, are amended as follows:
(b) This article applies only
!.llJ! [eaeft] county with a population of 50.000 or greater; [ift
this state1and
aLJ! [ta eaeh] municipality with a population of 100,000 or
greater.
(c) Unless granted a waiver under Subsection (h), each county
and municipality shall develop and implement a program that
complies with the prioritized implementation schedule under
Subsection (h). [A eaHRt)' ffia)' E!evela(l aRE! iffl(lleffleRt a
flregFam tHat eSFAf.lJies with tHe flrieritizeEl imflleFReRtatisH
seheE!Hle HRE!er SHBseetiaR (h).] A county program must
SENATE VERSION
(I) The iA ",Hit tlte] officer,] shall
develop a methodology for determining the collection rate of
counties and municipalities described by Subsection (e) before
implementation of a program. The office shall
determine the rate for each county and municipality not later
than the first anniversary of the county's or municipality's
adoption of a program.
(h) The officer. iA eeAseltatieA ",itlt tlte may:
(I) use case dispositions, population, revenue data, or other
appropriate measures to develop a prioritized implementation
schedule for programs; and
(2) determine whether it is not cost-effective to implement a
program in a county or municipality and grant a waiver to the
county or municipality.
(i) Each county and municipality shall at least annually submit
to the office [aAB tlte a written report that
includes updated information regarding the program, as
determined by the office riA eeeflefatieA ",itlt tlte
The report must be in a form approved by the
office riA witlt tile
Senate Bill 1
HOUSE VERSION (IE)
58
CONFERENCE
include district, county, and justice courts.
(e) Not later than June I of each year, the office shall identify
those counties and municipalities that:
(I) have not implemented a program; and
(2) are able to implement a program before April I
of the following year.
imposed on its jurisdiction, blll only the presiding officer can
(h) The office may:
(I) use case dispositions, population, revenue data, or other
appropriate measures to develop a prioritized implementation
schedule for programs; and
(2) [fer a determine whether it is not [aataall)']
cost-effective io implement a program in a county or [a.e]
municipality and grant a waiver to the county or municipality.
(i) Each county [tltat a flregraFll] and [eaeIt]
municipality shall at least annually submit to the office a
written report that includes updated information regarding the
program, as determined by the office. The report must be in a
form approved by the office.
G) The office shall periodically audit counties and
,.
SENATE VERSION
(j) The office [eemj3treller) shall periodically audit counties
and municipalities to verify information reported under
Subsection (i) and confirm that the county or municipality is
conforming with requirements relating to the program. [+he
eemj3treller skall eeflsllit witli tke effiee iA setermiAiAg kew
ffet)HeRtl)' ts eSflaaet QHeits Hflaef this seetieA.]
Govemment Code, is amended as follows:
(e) A municipality or county may not retain a service fee if,
during an audit under [SeetieA 133.Q59 ef tkis eese er) Article
103.0033(j), Code of Criminal Procedure, the Office of Court
Administration of the Texas Judicial System [eeffij3treller)
determines that the municipality or county is not in
compliance with Article 103.0033, Code of Criminal
Procedure. The municipality or county may continue to retain
a service fee under this section on receipt of a written
confirmation from the Office of Court Administration of the
Texas Judicial System [eemj3treller) that the municipality or
county is in compliance with Article 103.0033, Code of
Criminal Procedure.
SECTION 50.03. Subsection (c-l), Section 133.103, Local
(c-I) The treasurer shall send 100 percent of the fees collected
Senate Bill 1
HOUSE VERSION (IE)
59
CONFERENCE
municipalities to verify information reported under Subsection
(i) and confirm that the county or municipality is conforming
with requirements relating to the program.
Government Code, aseffectiveSeptembt+I, 2011. is
amended as follows:
(e) A municipality or county may not retain a service fee if,
during an audit under Article 103.0033(j), Code of Criminal
Procedure, the Office of Court Administration of the Texas
Judicial System determines that the municipality or county is
not in compliance with Article 103.0033, Code of Criminal
Procedure, and in the case of a municipality if the
municipality is unable to reestablish compliance on or before
the 180th day after the date the municipality receives written
notice of noncompliance from the office. After any period in
which the municipality or county becomes unable to retain a
service fee under this subsection, the municipality or county
may begin once more to retain the fee only on receipt of a
written confirmation from the office that the municipality Q!:
county is in compliance with Article 103.0033, Code of
Criminal Procedure.
SECTION 41.03. Subsection (c-I), Section 133.103, Local
Government Code, as effective September 1, 2011, is
amended as follows:
(c-I) The treasurer shall send to the comptroller 100 percent
SENATE VERSION
under this section to the comptroller if, during an audit under
[SeetisA 133.059 sf this esss sr] Article 103.0033(j), Code of
Criminal Procedure, the Office of Court Administration of the
Texas Judicial System [esFAptrsller] determines that the
municipality or county is not in compliance with Article
103.0033, Code of Criminal Procedure. The municipality or
county shall continue to dispose of fees as otherwise provided
by this section on receipt of a written confirmation from the
Office of Court Administration of the Texas Judicial Svstem
[esAlptrslIsr] that the municipality or county is in compliance
with Article 103.0033, Code of Criminal Procedure.
has no effect.
Senate Bill 1
HOUSE VERSION (IE)
60
CONFERENCE
of the fees collected under this section [8)' a FAliAieipalit)] if,
during an audit under Article 103.0033(j), Code of Criminal
Procedure, the Office of Court Administration of the Texas
Judicial System determines that the municipality or county is
not in compliance with Article 103.0033, Code of Criminal
Procedure, and in the case of a municipality if the
municipality is unable to reestablish compliance on or before
the 180th day after the date the municipality receives written
notice of noncompliance from the office. After any period in
which the treasurer is required under this subsection to send
100 percent of the fees collected under this section to the
comptroller, the municipality or county shall begin once more
to dispose of fees as otherwise provided by this section on
receipt of a written confirmation from the office that the
municipality or county is in compliance with Article
103.0033, Code of Criminal Procedure.
SECTION 41.04. The change in law made by this article in
amending Sections I33.058(e) and 133.103(c-I), Local
Government Code, applies only to an audit commenced on or
after the effecti ve date of this article. An audit commenced
before the effective date of this article is governed by the law
in effect when the audit was commenced, and the former law
is continued in effect for that purpose.
imposed on its jurisdiction, bur only the presiding officer can
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE 39. SEXUAL ASSAULT PROGRAM FUND;
FEE IMPOSED ON CERTAIN SEXUALLY ORIENTED
BUSINESSES
SECTION 39.01. Section 102.054, Business & Commerce
Code, is amended.
(d).
SECTION 39.03. The comptroller of public accounts shall
collect the fee imposed under Section 102.052, Business &
Commerce Code, until a court, in a final judgment upheld on
appeal or no longer subject to appeal, finds Section 102.052,
Business & Commerce Code, or its predecessor statute, to be
unconstitutional.
61
CONFERENCE
SECTION 41.05. The change in law made by this article in
amending Article 103.0033, Code of Criminal Procedure,
applies only to a court cost, fee, or fine imposed in a criminal
case on or after the effective date of this article. A court cost,
fee, or fine imposed in a criminal case before the effective
date of this article is governed by the law in effect on the date
the cost, fee, or fine was imposed, and the fonner law is
SENATE VERSION
ARTICLE 51. CORRECTIONAL MANAGED HEALTH
CARE
amended.
amended.
SECTION 51.06. (a) The Correctional Managed Health Care
Committee established under Section 501.133, Government
Senate Bill 1
HOUSE VERSION (IE)
SECTION 39.04. Section 102.055, Business & Commerce
Code, is repealed.
SECTION 39.05. This article prevails over any Act of the
82nd Legislature, Regular Session or I st Called Session,
201 I, regardless of the relative dates of enactment, that
purports to amend or repeal Subchapter B, Chapter 102,
Business & Commerce Code, or any provision of Chapter
1206 (H.B. 1751), Acts of the 80th Legislature, Regular
Session, 2007.
SECTION 40.01. Same as Senate version. [FAI(4),(5) and
FA6,3rd revert the text to the Senate engrossed version.]
SECTION 40.03. Same as Senate version. [FAI(6) and
SECTION 40.06. Same as Senate version. [FAI(7) and
62
CONFERENCE
..
SENATE VERSION
Code, as that section existed before amendment by this article,
is abolished effective November 30, 2011.
(b) An appointing official under Section 501.133, Government
Code, shall appoint the members of the Correctional Managed
Health Care Committee under Section 501.133, Government
Code, as amended by this Act, not later than November 30,
2011. The governor shall appoint one public member to serve
a term that expires February I, 2013, and one public member
to serve a term that expires February I, 2015.
(c) The term of a person who is serving as a member of the
Correctional Managed Health Care Committee immediately
before the abolition of that committee under Subsection (a) of
this section expires on November 30, 2011. Such a person is
eligible for appointment by an appointing official to the new
committee under Section 501.133, Government Code, as
amended by this article.
ARTICLE 52. GENERAL HOUSING MATIERS
SECTION 52.01. (a) If H.B. No. 2457, Acts of the 82nd
Legislature, Regular Session, 2011, does not become law,
Section 481.078, Government Code, is amended by amending
Subsection (c) and adding Subsection (d-I) as follows:
(c) Except as provided by Subsections [SasseetieR) (d) and
ll!:.ll, the fund may be used only for economic development,
infrastructure development, community development, job
training programs, and business incentives.
(d-l) The fund may be used for the Texas homeless housing
and services program administered by the Texas Department
of Housing and Community Affairs. Subsections (e-I). m.
(g), (h), Iil, and 0) and Section 481.080 do not apply to a
grant awarded for a purpose specified by this subsection.
Senate Bill 1
Section-bySection Analysis
HOUSE VERSION (IE)
No equivalent provision. [SECTION 41.0I was deleted by
FAI(8)
63
CONFERENCE
.... ,
SENATE VERSION
(b) If H.B. No. 2457. Acts of the 82nd Legislature. Regular
Session. 20 II. becomes law. Section 481.078. Government
Code. is amended by amending Subsection (c) and adding
Subsection (d-l) as follows:
(c) Except as provided by Subsections (d) and
ll!:U. the fund may be used only for economic development,
infrastructure development. community development. job
training programs. and business incentives.
(d- I) The fund may be used for the Texas homeless housing
of Housing and Community Affairs. Subsections (e-l). <D, (f-
I), (f-2), (g). (h), (h-Il. (i), and (j) and Section 481.080 do not
apply to a grant awarded for a purpose specified by this
subsection,
SECTION 52.02, Section 481.079. Government Code. IS
amended by adding Subsection (a-I),
SECTION 52,03, Subchapter K. Chapter 2306. Government
Code. is amended by adding Section 2306,2585. HOMELESS
HOUSING AND SERVICES PROGRAM, Among other
provisions. Subsection (c) is added as follows:
(c) The department may use any available revenue, including
legislative appropriations, and shall solicit and accept gifts
and grants for the purposes of this section. The department
Senate Bill 1
HOUSE VERSION (IE)
No equivalent provision, [SECTION 41.01 was deleted by
FAI(8)]
No equivalent provision. [SECTION 41.02 was deleted by
FAI(8)]
64
CONFERENCE
SECTION 43.01. Section 481.078. Government Code. is
(d-l) as follows:
(c) Except as provided by Subsections (d) and
ll!:.U, the fund may be used only for economic development.
infrastructure development. community development. job
training programs. and business incentives,
(d-I) The fund may be used for the Texas homeless housing
of Housing and Community Affairs under Section 2306.2585.
The governor may transfer appropriations from the fund to the
Texas Department of Housing and Community Affairs to fund
the Texas homeless housing and services program,
Subsections (e-ll. <D, (f-Il. (f-2), (g), (hl. (h-Il. (i), and (j)
and Section 481.080 do not apply to a grant awarded for a
pumose specified by this subsection.
imposed on its jurisdiction, bw only the presiding officer can
ec) The department may use any available revenue, including
legislative appropriations. appropriation transfers from the
trusteed programs within the office of the governor, including
SENATE VERSION
shall use gifts and grants received for the of this
section before using any other revenue.
SECTION 52.04. This article takes effect on the later of:
(1) the earliest day on which this aJiicletllay.. take effect .undir
Section 39, ArticlellJ, Texas Constitution; or
(2)June 20,2011,
ARTICLE 53. UNIFORM GRANT AND CONTRACT
MANAGEMENT
SECTION 53.01. Section 783.004, Government Code, IS
amended.
SECTION 53.02. Subsections (a) and (b), Section 783.005,
Government Code, are amended.
STANDARD FINANCIAL MANAGEMENT
Senate Bill!
HOUSE VERSION (IE)
Act receives a vote of two-thirds of all the members ejected to
each house, as provided by Section 39, Article TIl, Texas
for immediate effect, this article takes effect on the 9Jst day
65
CONFERENCE
a.uthorized appropriations from the Texas Enterprise Fund.
available federal funds, and any other statutorily authorized
and appropriate fundiug Sources lransferredfrol11 the trusteed
within the office of the governor. for the purnosesof
this sedion. The department shall solicit and accept gifts and
grauts for the purnoses of this section. The department shall
use gifts and grants received for the pumoses of this section
before using any other revenue.
SENATE VERSION
CONDITIONS, is amended.
ARTICLE 54. FRANCHISE TAX APPLICABILITY AND
EXCLUSIONS
adding Subdivisions (I-a), (I0-a), (lO-b), and (II-b).
SECTION 54.02. Subsection (c), Section 171.0002, Tax
(c) "Taxable entity" does not include an entity that is:
(I) a grantor trust as defined by Sections 671 and
7701(a)(30)(E), Internal Revenue Code, all of the grantors and
beneficiaries of which are natural persons or charitable entities
as described in Section 50I(c)(3), Internal Revenue Code,
excluding a trust taxable as a business entity pursuant to
Treasury Regulation Section 30I.7701-4(b);
(2) an estate of a natural person as defined by Section
770I (a)(30)(0), Internal Revenue Code, excluding an estate
taxable as a business entity pursuant to Treasury Regulation
Section 301.7701-4(b);
(3) an escrow;
(4) a real estate investment trust (REIT) as defined by Section
856, Internal Revenue Code, and its "qualified RE1T
subsidiary" entities as defined by Section 856(i)(2), Internal
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE _.' Same as Senate version except as follows:
[FAI21]
SECTION _.01. Same as Senate version. [FAI21]
66
CONFERENCE
SECTION 45.02. Same as Senate version. - _._----------------------------------
Senate Bill!
...
SENATE VERSION
Revenue Code, provided that:
(A) a REIT with any amount of its assets in direct holdings of
real estate, other than real estate it occupies for business
purposes, as opposed to holding interests in limited
partnerships or other entities that directly hold the real estate,
is a taxable entity; and
(B) a limited partnership or other entity that directly holds the
real estate as described in Paragraph (A) is not exempt under
this subdivision, without regard to whether a REIT holds an
interest in it;
(5) a real estate mortgage investment conduit (REMIC), as
defined by Section 860D, Internal Revenue Code;
(6) a nonprofit seJf-insurance trust created under Chapter
22J2, Insurance Code, or a predecessor statute;
(7) a trust qualified under Section 401(a), Internal Revenue
Code; [eF]
(8) a trust or other entity that is exempt under Section
501 (c)(9), Internal Revenue Code;..m:
(9) an unincorporated entity organized as a political
committee under the Election Code or the provisions of the
Federal Election Campaign Act of 1971 (2 U.S.c. Section 431
et seq.).
SECTION 54.03. Section 17/.1011, Tax Code, is amended by
adding Subsections (g-5) and (g-7).
SECTION 54.04. This article applies only to a report
originally due on or after January 1,2012.
ARTICLE 55. ENTERPRISE AND EMERGING
HOUSE VERSION (IE)
SECTION _.02. Same as Senate version. [FAI2I]
SECTION _.03. Same as Senate version. [FAI2I)
SECTION_.04. Same as Senate version. [FAl2I]
67
CONFERENCE
SENATE VERSION
TECHNOLOGY FUNDS
SECTION 55.0 I. Section 481.078, Government Code, is
amended by amending Subsections (e) and UJ and adding
Subsections (f-l), (f-2), and (h-l).
Government Code, are amended.
Code, is amended by adding Section 490.006, VALUATION
OF INVESTMENTS; INCLUSION IN ANNUAL REPORT.
(a-I) and (a-2).
SECTION 55.06. Subchapter B, Chapter 490, Government
Code, is amended by adding Section 490.052 I, FINANCIAL
STATEMENT REQUIRED.
TERMS, is amended.
Senate Bill 1
HOUSE VERSION (IE)
68
CONFERENCE
---------------------------------------------- ----- -- ----
Senate Bill 1
SENATE VERSION
CONFIDENTIALITY, is amended.
amended by amending Subsection (I) and adding Subsection
(f- I).
SECTION 55.11. Subchapter D, Chapter 490, Government
Code, is amended by adding Section 490.1521, MINUTES OF
CERTAIN MEETINGS.
SECTION 55.12. Section 203.02.1, Labor Code, is amended
by adding Subsection (e).
SECTION 55.13. Section 204.123, Labor Code, is amended.
SECTION 55.14. Subsections (b) and (c), Section 302.101,
Labor Code, are amended.
SECTION 55.15. Subsection (e), Section 481.078 and
Subsection (f), Section 490.)01, Government Code, as
amended by this article, and Subsection (f-I), Section
490.10I, Government Code, as added by this article, apply
only to a proposal for an award from the Texas Enterprise
Fund or Texas emerging technology fund submitted by the
governor to the lieutenant governor or speaker of the house of
representatives for prior approval on or after the effective date
of this article. A proposal submitted by the governor for prior
approval before the effective date of this article is governed by
the law in effect on the date the proposal was submitted for
that approval, and the former law is continued in effect for
that purpose.
HOUSE VERSION (IE)
69
CONFERENCE
SENATE VERSION
SECTION 55.16. Subsection m, Section 481.078,
Government Code, as amended by this article, and
Subsections (f-I) and (f-2), Section 481.078, Government
Code, as added by this article, apply only to a grant agreement
that is entered into on or after the effecti ve date of this article.
Agrant agreement that is entered into before the effective date
of this article is governed by the law in effect on the date the
agreement was entered into, and the former law is continued
in effect for that purpose.
SECTION 55.17. (a) The terms of the members of the Texas
Emerging Technology Advisory Committee serving
immediately before the effective date of this article expire on
the 91 st day after the last day of the legislative session.
(b) As soon as practicable after this article takes effect, the
governor, lieutenant governor, and speaker of the house of
representatives shall appoint members to the Texas Emerging
Technology Advisory Committee established under
Subchapter B, Chapter 490, Government Code, in a manner
that complies with that subchapter, as amended by this article.
(c) At the first meeting of members of the Texas Emerging
Technology Advisory Committee established under
Subchapter B, Chapter 490, Government Code, as amended
by this article, occurring on or after the 91 st day after the last
day of the legislative session, the members appointed by the
governor shall draw lots to determine which six members will
serve a term expiring September I, 2012, and which seven
members will serve a term expiring September 1,2013.
has no effect.
Senate Bill 1
HOUSE VERSION (IE)
70
CONFERENCE
SENATE VERSION
ARTICLE 56. AD VALOREM TAXATION OF LAND
USED TO RAISE OR KEEP BEES
SECTION 56.01. Subdivision (2), Section 23.51, Tax Code, is
amended.
ARTICLE 57. PLACE OF BUSINESS OF A RETAILER
FOR SALES TAX PURPOSES
SECTION 57.01. Subdivision (3), Subsection (a), Section
321.002, Tax Code, is amended.
SECTION 57.02. (a) Except asprovided by Subsection (b) of
tbis section, this article takes effect October I, 201 I.
(b) If H.B. No. 590, Acts of the 82nd Legislature, Regular
Session, 2011, becoll,les law, tbis article has nO effect.
ARTICLE 58. TEXAS FARM AND RANCH LANDS
CONSERVATION PROGRAM
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE 44. PLACE OF BUSINESS OF A RETAILER
FOR SALES TAX PURPOSES
SECTION 44.02.This article takes effect October I, 201 I.
ARTICLE 45. TEXAS FARM AND RANCH LANDS
CONSERVATION PROGRAM
71
CONFERENCE
..
SENATE VERSION
has no effect.
ARTICLE 59. CERTAIN CONTRffiUTION RATE
COMPUTATIONS
amended by adding Subsections (a-I) and (h-l).
has no effect.
Senate Bill 1
HOUSE VERSION (IE)
CONFERENCE
[The conference commitlee may have exceeded the limitations
ARTICLE
CERTAIN
PROPERTY
60. QUINQUENNIAL REPORTING OF
INFORMATION FOR UNCLAIMED
ARTICLE 46. Same as Senate version. ARTICLE 47. Same as House version except as follows:
Government Code, as effecti ve September I, 20II, is
72
SENATE VERSION
amended.
SECTION 60.04. Subsection (a), Section 301.086, Labor
Code, is amended.
SECTION 60.05. The Department of Public Safety of the
State of Texas, the Employees Retirement System of Texas,
the Teacher Retirement System of Texas, and the Texas
Workforce Commission shall provide information to the
comptroller of public Subsection (a),
Section 411.0111, Subsection(a),Section811:012, and
Subsection (a), Section 821.010, Government Code, and
Subsection (a), Section 301.086, Labor Code, as amended by
this article, beginning in 2016.
ARTICLE 61. AD VALOREM TAXATION OF CERTAIN
STORED PROPERTY
amended by amending Subdivision (2) and adding
Subdivisions (5) and (6).
amending Subsections (e) and (h) and adding Subsections G-
I) and G-2).
Senate Bill 1
HOUSE VERSION (IE)
73
CONFERENCE
SECTION 47.04. The Department of Public Safety, the
Employees Retirement System of Texas, the Teacher
Retirement System of Texas, and the Texas Workforce
Commission shall provide information to the comptroller as
required by Sections 411.0111(a) and 821.01O(a),
Government Code, and Section 301.086(a), Labor Code, as
amended by this article, beginning in 2016.
..
SENATE VERSION
SECTION 61.03. Subdivision (2), Subsection (a), Section
11.253, Tax Code, as amended by this article, applies only to
an ad valorem tax year that begins on or after January 1,2012.
SECTION 61.04. (a) Except as provided by Subsection (b) of
this section, this article takes effect January 1,2012.
(b) Section 61.02 of this article takes effect October I, 2011.
ARTICLE 62. FISCAL MAITERS CONCERNING
ADVANCED PLACEMENT
SECTION 62.01. Subsection (h), Section 28.053, Education
Code, is amended.
ARTICLE 63. FISCAL MAITERS CONCERNING
TUITION EXEMPTIONS
(c) To be eligible for an exemption under this section, a
person must:
(1) be a resident of this state;
(2) be a school employee serving in any capacity;
(3) for the initial term or semester for which the person
receives an exemption under this section, have worked as an
educational aide for at least one school year during the five
years preceding that term or semester;
(4) establish financial need as determined by coordinating
board rule;
(5) be enrolled at the institution of higher education granting
the exemption in courses required for teacher certification in
Senate Bill 1
HOUSE VERSION (IE)
SECTION 49.0I. Same as Senate version except adds
Subsection (c-l) as follows: [FAI8(l)]
(c) To be eligible for an exemption under this section, a
person must:
(l) be a resident of this state;
(2) be a school employee serving in any capacity;
(3) for the initial term or semester for which the person
receives an exemption under this section, have worked as an
educational aide for at least one school year during the five
years preceding that term or semester;
(4) establish financial need as determined by coordinating
board rule;
(5) be enrolled at the institution of higher education granting
the exemption in courses required for teacher certification in
74
CONFERENCE
,.. ------------------------------------------ --- ----- -----_ .. _----- ---- ----
Senate Bill!
..
SENAlE VERSION
one or more subject areas determined by the Texas Education
Agency to be experiencing a critical shortage of teachers at
the public schools in this state [at lhe iAslil8lieA ef higfler
eElHeatieA graAlillg lhe el(emflliell];
(6) maintain an acceptable grade point average as determined
by coordinating board rule; and
(7) comply with any other requirements adopted by the
coordinating board under this section.
ARTICLE 64. FISCAL MATIERS CONCERNING DUAL
HIGH SCHOOL AND JUNIOR COLLEGE CREDIT
Code, is amended.
SECTION 64.02. This article applies beginning with funding
for the 20 II fall semester.
has no effect.
HOUSE VERSION (IE)
one or more subject areas determined by the Texas Education
Agency to be experiencing a critical shortage of teachers at
the public schools in this state [al !fle illstilHliell ef higher
eeeeatt88 graHtiAg tlie eneFflfltien];
(6) maintain an acceptable grade point average as determined
by coordinating board rule; and
(7) comply with any other requirements adopted by the
coordinating board under this section.
Cc-l).)\[otwitnstanding<Sllbsectiori\\Cc)(5). aiJet-oflwho
previously receivedatllition exemption under Section 54.214
remains eligible rOT anexempti6niflhe?erson:
Cl) is enrolledataninstitutipnofhigher edllCatiorigrariting
the exemption in courses required for teacher certification:
and . ., . '" .'. ..... . .
(2)meets the eligibility requirements in SubseCtion Cclother
than Subsection(c)CS). [FAI 8(2)]
75
CONFERENCE
SENATE VERSION
ARTICLE 65. CLASSIFICATION OF ENTITIES AS
ENGAGED IN RETAIL TRADE FOR PURPOSES OF THE
FRANCHISE TAX
SECTION 65.01. Subdivision (12), Section 171.0001, Tax
Code, is amended.
SECTION 65.02. This anicle applies only to a repon
originally due on or after the effective date of this Act.
SECTION 65.03. This anicle takes effect January 1,2012.
ARTICLE 66. RETENTION OF CERTAIN FOUNDATION
SCHOOL FUND PAYMENTS
SECTION 66.01. Subchapter E, Chapter 42, Education Code,
is amended by adding Section 42.2511, AUTHORIZATION
FOR CERTAIN DISTRICTS TO RETAIN ADDITIONAL
STATE AID, as follows:
(a) This section applies only to a school district that was
provided with state aid under Section 42.2516 for the 2009-
2010 or 2010-2011 school year based on the amount of aid to
which the district would have been entitled under that section
if Section 42.2516(g). as it existed on January I, 2009, applied
to determination of the amount to which the district was
entitled for that school year.
(b) Notwithstanding any other law, a district to which this
section applies may retain the state aid provided to the district
as described by Subsection (a).
(c) This section expires September I, 2013.
Senate Bill 1
HOUSE VERSION (IE)
(a) This section applies only to a school district that was
provided with state aid under former Section 42.2516 for the
2009-2010 or 2010-2011 school year based on the amount of
aid to which the district would have been entitled under that
section if Section 42.2516(g), as it existed on January 1. 2009,
applied to determination of the amount to which the district
was entitled for that school year.
(b) Notwithstanding any other law, a district to which this
section applies may retain the state aid provided to the district
as described by Subsection (a).
(c) This section expires September 1. 2013.
76
CONFERENCE
SECTION 5 I.02. Same as Senate version.
I
[.
SENATE VERSION
SECTION 66.02. It is the intent of the legislature that the
authorization provided by Section 42.25 II, Education Code,
as added by this article, to retain state aid described by that
section is not affected by the expiration of that provision on
September 1,2013.
Senate Bill 1
HOUSE VERSION (IE)
CONFERENCE
...
ARTICLE 67.
PERCENTAGE
THE STATE COMPRESSION ARTICLE 52. Same as Senate version. ARTICLE 53. Same as Senate version.
amended by adding Subsection (b-2).
ARTICLE 68. TEXAS GUARANTEED STUDENT LOAN
CORPORATION; BOARD OF DIRECTORS
Education Code, are amended.
SECTION 68.02. Section 57.17, Education Code, OFFICERS,
is amended.
SECTION 68.03. Subsection (d), Section 57.13, Education
Code, is repealed.
SECTION 68.04. If S.B. No. 40, Acts of the 82nd Legislature,
Regular Session, 2011, becomes Jaw, this article has no effect.
ARTICLE 69. FISCAL MATTERS CONCERNING LEASES
OF PUBLIC LAND FOR MINERAL DEVELOPMENT
77
SECTION 55.D1. Same as Senate version.
SENATE VERSION
SECTION 69.02. Section 85.69, Education Code,
PAYMENTS; DISPOSITION, is amended.
SECTION 69.03. Section 85.70, Education Code, CERTAIN
MINERAL LEASES; DISPOSITION OF MONEY;
SPECIAL FUNDS; INVESTMENT, is amended.
SECTION 69.04. Subsection (b), Section 95.36, Education
Code, is amended.
Code, is amended.
Code, is amended.
SECTION 69.08. Section 85.72, Education Code, is repealed.
ARTICLE 70. FOUNDATION SCHOOL PROGRAM
FINANCING; CERTAIN TAX INCREMENT FUND
REPORTING MATfERS
SECTION 70.01. (a) This section applies only to a school
district that, before May 1, 2011, received from the
Senate Bill 1
HOUSE VERSION (IE)
SECTION 54.09. This article takes effect September 1,201 I.
SECTION 55.oI. Same as Senate version.
78
CONFERENCE
SENATE VERSION
commissioner of education a notice of a reduction in state
funding for the 2004-2005, 2005-2006, 2006-2007, 2007-
2008, and 2008-2009 school years based on the district's
reporting related to deposits of taxes into a tax increment fund
under Chapter 31 I, Tax Code.
(b) Notwithstanding any other law, including Subdivision (2),
Subsection (b), Section 42.302, Education Code, the
commissioner of education shall reduce by one-half the
amounts of the reduction of entitlement amounts computed for
purposes of adjusting entitlement amounts to account for taxes
deposited into a tax increment fund for any of the school years
described by Subsection (a) of this section.
(c) This section expires September 1,2013.
ARTICLE 71. FISCAL MATTERS RELATING TO PUBLIC
SCHOOL FINANCE
Senate Bill 1
HOUSE VERSION (IE)
SCHOOL FINANCE
SECTION _. Section 11.l58(a), Education Code, is amended
as follows:
(a) The board of trustees of an independent school district may
require payment of:
(1) a fee for materials used in any program in which the
resultant product in excess of minimum requirements
becomes, at the student's option, the personal property of the
student, if the fee does not exceed the cost of materials;
(2) membership dues in student organizations or clubs and
admission fees or charges for attending extracurricular
activities, if membership or attendance is voluntary;
(3) a security deposit for the return of materials, supplies, or
equipment;
(4) a fee for personal physical education and athletic
79
CONFERENCE
SCHOOL FINANCE
...
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
equipment and apparel, although any student may provide the
student's own equipment or apparel if it meets reasonable
requirements and standards relating to health and safety
established by the board;
(5) a fee for items of personal use or products that a student
may purchase at the student's option, such as student
publications, class rings, annuals, and graduation
announcements;
(6) a fee specifically permitted by any other statute;
(7) a fee for an authorized voluntary student health and
accident benefit plan;
(8) a reasonable fee, not to exceed the actual annual
maintenance cost, for the use of musical instruments and
uniforms owned or rented by the district;
(9) a fee for items of personal apparel that become the
property of the student and that are used in extracurricular
activities;
(I 0) a parking fee or a fee for an identification card;
(II) a fee for a driver training course, not to exceed the actual
district cost per student in the program for the current school
year;
(12) a fee for a course offered for credit that requires the use
of facilities not available on the school premises or the
employment of an educator who is not part of the school's
regular staff, if participation in the course is at the student's
option;
(13) a fee for a course offered during summer school, except
that the board may charge a fee for a course required for
graduation only if the course is also offered without a fee
during the regular school year;
(14) a reasonable fee for transportation of a student who lives
within two miles of the school the student attends to and from
80
CONFERENCE
SENATE VERSION
SECTION 71.01. Effective September I, 2011, Section
12.106, Education Code, is amended by amending Subsection
(a) and adding Subsection (a-3) as follows:
(a) A charter holder is entitled to receive for the open-
enrollment charter school funding under Chapter 42 equal to
the greater of:
(I) the percentage specified by Section 42.25l6(i) multiplied
Qy the amount of funding per student in weighted average
daily attendance, excluding enrichment funding under
Sections 42.302(a-I)(2) and (3), as they existed on January I,
2009, that would have been received for the school during the
2009-2010 school year under Chapter 42 as it existed on
January I, 2009, and an additional amount of the percentage
specified by Section 42.2516(i) multiplied by $120 for each
student in weighted average daily attendance; or
(2) the amount of funding per student in weighted average
daily attendance, excluding enrichment funding under Section
Senate Bill!
HOUSE VERSION (IE)
that school, except that the board may not charge a fee for
transportation for which the school district receives funds
under Section 42.155(d); [ef]
(15) a reasonable fee, not to exceed $50, for costs associated
with an educational program offered outside of regular school
hours Ihrough which a student who was absenl from class
receives instruction voluntarily for the purpose of making up
the missed instruction and meeting Ihe level of attendance
required under Section 25.092;..Q[
(16) if the district does not receive any funds under Section
42.155 and does not participate in a county transportation
system for which an allotment is provided under Section
42.155(;), a reasonable fee for the transportation of a student
to and from the school the student attends. [FA26]
(a) and adding Subsections (a-3) and (a-4) as follows:
(a) A charter holder is entitled to receive for Ihe open-
enrollment charter school funding under Chapter 42 equal to
the greater of:
(I) the percentage specified by Section 42.2516(i) multiplied
Qy Ihe amount of funding per student in weighted average
daily attendance, excluding enrichment funding under
Sections 42.302(a- J)(2) and (3), as they existed on January I,
2009, that would have been received for the school during the
2009-2010 school year under Chapter 42 as it existed on
January 1,2009, and an additional amount of the percentage
specified by Section 42.2516(i) multiplied by $120 for each
student in weighted average daily attendance; or
(2) the amount of funding per studenl in weighted average
daily attendance, excluding enrichment funding under Section
81
CONFERENCE
SECTION 57.02. Same as House version except in (a-4) sets
Subsections (a-3) and (a-4) to expire September 1, 2015.
SENATE VERSION
42.302(a), to which the charter holder would be entitled for
the school under Chapter 42 if the school were a school
district without a tier one local share for purposes of Section
42.253 and without any local revenue for purposes of Section
42.2516.
(a-3) In determining funding for an open-enrollment charter
school under Subsection (a). the commissioner shall apply the
regular program adjustment factor provided under Section
42.101 to calculate the regular program allotment to which a
charter school is entitled.
SECTION 71.02. Effective September I, 2017, Subsection
(a), Section 12.106, Education Code, is amended.
21.402, Education Code, is amended by amending
Subsections (a), (b), (c), and (c-I) and adding Subsection (i).
(a) and adding Subsection (e-I) as follows:
(a) Except as provided by Subsection (d), ~ [fe11, or (t), a
librarian, full-time counselor certified under Subchapter B, or
full-time school nurse not less than the minimum monthly
salary, based on the employee's level of experience in addition
to other factors, as determined by commissioner rule,
determined by the following formula:
MS= SF x FS
Where:
Senate Bill 1
HOUSE VERSION (IE)
42.302(a), to which the charter holder would be entitled for
the school under Chapter 42 if the school were a school
district without a tier one local share for purposes of Section
42.253 and without any local revenue for purposes of Section
42.2516.
(a-3) In determining funding for an open-enrollment charter
school under Subsection (a). the commissioner shall apply the
regular program adjustment factor provided under Section
42.101 to calculate the regular program allotment to which a
charter school is entitled.
(a-4) Subsection (a-3) and this subsection expire September I.
2013. [FA20(2)1
(a) and adding Subsection (e-l) as follows:
(a) Except as provided by Subsection (d), ~ [fe11, or (I), a
librarian, full-time counselor certified under Subchapter B, or
full-time school nurse not less than the minimum monthly
salary, based on the employee's level of experience in addition
to other factors, as determined by commissioner rule,
determined by the following formula:
MS =SF x FS
where:
82
CONFERENCE
SENATE VERSION
"MS" is the minimum monthly salary;
"SF" is the applicable salary factor specified by Subsection
(c); and
"FS" is the amount, as determined by the commissioner under
Subsection (b), of the basic allotment as provided by Section
4?101Ca) or Cb) for a school district with a maintenance and
operations tax rate at least egual to the state maximum
compressed tax rate. as defined by Section 42.I01(a) [state
aAEI leeal ltmEls per weigkteEl stllEleAt. iAelllEliAg fllAElS
previEleEl'fAEler SeetieA 42.23 Je, availaBle te a E1istriet eligible
te reeeiYe state assistaflee \::lRcler Seetisa 42.302 with a
maiAteAaAee aAEI eperat;eAs tan rate per 100 ef tal[able ...allle
eEillal te tke preElllet ef tHe state eempressieA peFentage, as
E1etermiAea lIAaer SeetieA 42.231e, mllltiplieEl by $1.Q,
eneept tHat tile amellAt ef state aAElleeal flIAas per weiglltea
stHaent aees Ret iRsleEle tAe amaSA! 1s the
iAerease iA tile gllaraAteeEl 'e,'el maae By Cllapter 1187, Aets
ef tile 77tll LegislatllF, Reglliar SessieA, 2QQI].
Ce-I) If the minimum monthly salary determined under
Subsection Ca) for a particular level of experience is less than
the minimum monthly salary for that level of experience in the
preceding year, the minimum monthly salary is the minimum
monthly salary for the preceding year.
(a) A school district may not have a wealth per student that
exceeds:
(I) the wealth per student that generates the amount of
maintenance and operations tax revenue per weighted student
available to a district with maintenance and operations tax
Senate Bill!
HOUSE VERSION (IE)
"MS" is the minimum monthly salary;
"SF" is the applicable salary factor specified by Subsection
(c); and
"FS" is the amount, as determined by the commissioner under
Subsection (b), of the basic allotment as provided by Section
42.10)(a) or (b) for a school district with a maintenance and
operatioll tax rate at least equal to the state maximum
compressed tax rate, as defined by Section 42.101Ca) [state
aAa leeal flIAElS per weigllteEl stllEleAt, ;RelllEliAg flIAElS
pre''';E1eallAEler SeetieA 42.231 e, available te a aistr;et eligible
1a reeeiYe state assistaase l::lREler Seetisfl 12.392 \vitk a
ffiaiateA8Ree BAa 813erat:tSflS tal( rate fleF $109 sf tanGels yalee
eEJHaJ 16 tke fJF8E'hlet sf the state eSITI13ressisA f3ereeAtage, as
aeterrniAeEl .fAaer SeetieA 42.23 I e, 111l1ltifJliea By $I.Q,
el,eept tllat tile affiellRt ef state aAEI leeal [lIAaS per weiglltea
stHeleHt aees Hel iRslldEle the QfH8ldflt attribatable te tl1e
ieeFease iR the gl:laFaflteeEl level by Chaflter 1187, Asts
efthe 77th LegislatllF, SessieA, 2QQI].
(e-I) If the minimum monthly salary determined under
Subsection (a) for a particular level of experience is less than
the minimum monthly salary for that level of experience in the
preceding year, the minimum monthly salary is the minimum
monthly salary for the preceding year.
amended by amending Subsection (a) and adding Subsection
(a-I) as follows: [FAI63(1)]
(a) A school district may not have a wealth per student that
exceeds:
(1) the wealth per student that generates the amount of
available to a district with maiotenance and operations tax
83
CONFERENCE
...
SENATE VERSION
revenue per cent of tax effort equal to the maximum amount
provided per cent under Section 42. 10 I(a) or (b) [ ~ ] , for
the district's maintenance and operations tax effort equal to or
less than the rate equal to the product of the state compression
percentage, as determined under Section 42.2516, multiplied
by the maintenance and operations tax rate adopted by the
district for the 2005 tax year; .
available to the Austin' Independent School District, as
determined by the commissioner in cooperation with the
Legislative Budget Board, for the first six cents by which the
district's maintenance and operations tax rate exceeds the rate
equal to the product of the state compression percentage, as
determined under Section 42.2516, multiplied by the
maintenance and operations tax rate adopted by the district for
the 2005 tax year, subject to Section 41.093(b-I); or
(3) $319,500, for the district's maintenance and operations tax
effort that exceeds the first six cents by which the district's
maintenance and operations tax effort exceeds the rate equal
to the product of the state compression percentage, as
the 2005 tax year.
Senate Bill 1
HOUSE VERSION (IE)
revenue per cent of tax effort equal to the maximum amount
provided per cent under Section 42.lOl(a) or (b) [ ~ l , for
the district's maintenance and operations tax effort equal to or
less than the rate equal to the product of the state compression
percentage, as determined under Section 42.2516, multiplied
by the maintenance and operations tax rate adopted by the
district for the 2005 tax year;
available to the Austin Independent School District, as
determined by the commissioner in cooperation with the
Legislative Budget Board, for the first six cents by which the
district's maintenance and operations tax rate exceeds the rate
equal to the product of the state compression percentage, as
the 2005 tax year, subject to Section 41.093(b-I); or
(3) $319,500, for the district's maintenance and operations tax
effort that exceeds the first six cents by which the district's
maintenance and operations tax effort exceeds the rate equal
to the product of the state compression percentage, as
the 2005 tax year.
(a- J) Notwithstanding Subsection (a), a school district that
imposed a maintenance and operations tax for the 2010 tax
year at the maximum rate permitted under Section 45.003 may
not have a wealth per student that exceeds $339.500 for the
district's maintenance and operations tax effort described by
Subsection (a)(3). This subsection expires September I. 2012.
[FA163(2)]
84
CONFERENCE
-
J
---------------------- - -- ---- ._----------
Senate BiIll
...
SENATE VERSION
SECTION 71.06. The heading to Section 42.10 I, Education
Sec. 42.101. BASIC AND REGULAR PROGRAM
ALLOTMENTS
Subsections (c) and (c-I) as follows:
(a) The basic [t=lsr eaeR stlieeflt iA ftveFB:ge saily atteAsaase,
Rst iRsIHsiAg lhe tilTle sttuJeHts sJ38f1E1 8aeft say iR sfleeial
education f)fOgFQRi9 iR aft iRstIltetieR(d aFfaFlgeffi8Rt other than
maiAstream 8f sareer eREI (SeRReleg)' eaHsatisR J3rsgTaffis, fer
whieh an a,Wlienal allelmenl is mase Hnser SHsehaIller C, a
ElislAs! is 8Atitlea 18 aA] allotment is an amount equal to the
lesser of $4,765 or the amount that results from the following
formula:
A = $4,765 X(OCR/MCR)
where:
"A" is the resulting amount for [allelmenlle whieh) a district
HOUSE VERSION (IE)
SECTION _._. Section 41.093, Education Code, is
amended by adding Subsection (d) as follows:
(d) Notwithstanding Subsection (a). for the 2009-2010 school
year. the commissioner may allow a school district to
determine the cost of each credit under Subsection (a) based
on the amount described by Subsection (a)(]) if the district
imposed a tax to service the district's debt for the 2009 tax
year at a rate at least equal to the maintenance and operations
tax rate the district imposed for the 2008 tax year. This
subsection expires September I, 2012. [FA4I)
SECTION 56.07. EffectiYe Sep't';rhbeil, 26!i, the heading to
Section 42.10 I, Education Code, is amended as follows:
[FA20(3))
Sec. 42.101. BASIC AND REGULAR PROGRAM
ALLOTMENTS [ALLOTMENT).
SECTION 56.07. I, 2011, Section
42.10 I, Education Code, is amended by amending
Subsections (a) and (b) and adding Subsections (c), (c-I), and
(c-2) as follows: [FA20(4),(5))
(a) The basic [Fer eaeh slllsenl in average sail)' allensanee,
Ret iRellJeJiflg tke time stHEleRts SfJ8REl sash eta)' iH sfleeial
8aueaticn pregmiEs in an instructional aliansCiilcnt other than
maiastream aT sareer aHa tedmslsgy eal::lsatisH prsgrams, fer
whieh an assilienal aBelmenl is made lInser SIl13eh!lfller C, a
sislriel is entilles Ie an) allotment is an amount equal to the
formula:
A = $4,765 X (OCRlMCR)
where:
"A" is the resulting amount for [allelmenl Ie whieh) a district
85
CONFERENCE
SECTION 57.08. EffectiveSepternber 1, 2011, Section
Subsections (a) and (b) and adding Subsections (c), (c-I), (c-
2), and (c-3) as follows:
(a) The basic [fer eaeh sllIsenl in a"erage sail)' allensanee,
nel ineillsing Ihe time sllIsenls sIlens eaeh sa)' in sIleeial
CdU2Mich pi c6tarfJ5 in &11 iBstFttctienal tiffBAgerneftl ether thaft
maiAstream Sf sareer aAa techAslsgy eaHcatisA J3regF8ffl5, fer
whish Be Basitiseal is mass HAser SHsel=tapter C, a
sislriel is enlitles Ie an) allotment is an amount equal to the
formula:
A = $4,765 X(DCRlMCR)
where:
"A" is the resulting amount for [allelmenlle whieh) a district
SENATE VERSION
[is eAtitleEl];
"DCR" is the district's compressed tax rate, which is the
product of the state compression percentage, as determined
under Section 42.2516, multiplied by the maintenance and
operations tax rate adopted by the district for the 2005 tax
year; and
"MCR" is the state maximum compressed tax rate, which is
the product of the state compression percentage, as
determined under Section 42.2516, multiplied by $1.50.
(b) A greater amount for any school year for the basic
allotment under Subsection .W may be provided by
appropriation.
(c) A school district is entitled to a regular program allotment
equal to the amount that results from the following formula:
RPA - ADA X AA X RPAF
where:
"RPA" is the regular program allotment to which the district is
entitled:
"ADA" is the number of students in average daily attendance
in a district. not including the time students spend each day in
special education programs in an instructional arrangement
other than mainstream or career and technology education
programs. for which an additional allotment is made under
Subchapter C:
"AA" is the district's adjusted basic allotment. as determined
under Section 42.102 and. if applicable. as further adjusted
under Section 42.103: and
"RPAF" is the regular program adjustment factor, which is an
amount established by appropriation.
(c-Il Notwithstanding Subsection rcl, the regular program
adjustment factor ("RPAF") is 0.9239 for the 2011-2012
school year and 0.98 for the 2012-2013 school year. This
Senate Bill 1
HOUSE VERSION (IE)
[is eAtitleel];
year; and
allotment under Subsection (a) may be provided by
appropriation.
equal to the amount that results from the following formula:
RPA =ADA X AA X RPAF
where:
entitled:
programs, for which an additional allotment is made under
Subchapter C:
"AN' is the district's adjusted basic allotment. as determined
"RPAF" is the regular program adjustment factor, which is an
amount established by appropriation.
(c-l) Notwithstanding Subsection (el and except as provided
by Subsection (c-2), the regular program adjustment factor
("RPAF") is 0.9239 for the 2011-2012 school year and 0.98
86
CONFERENCE
[is eRtitleEl];
year; and
allotment under Subsection (a) may be provided by
appropriation.
equal to the amount that results from the folloWing formula:
RPA - ADA X AA X RPAF
where:
entitled:
programs. for which an additional allotment is made under
Subchapter C:
"AN' is the district's adjusted basic allotment. as determined
"RPAF" is the regular program adjustment factor.
(c-Il Except as provided by Subsection (c-2), the regular
program adjustment factor ("RPAF") is 0.9239 for the 2011-
2012 school year and 0.98 for the 2012-2013 school year. --------------- -------
Senate Bill 1
.,.
...
SENATE VERSION
subsection expires September I, 2013.
HOUSE VERSION (IE)
for the 2012-2013 school year. [FA20(6),(7)]
(c-2) The regular program adjustment factor ("RPAF") for a
school district thanloes not receive, funding under SeCtion
42.2516 for the 2011-2012 school xear is 0.95195 for the
201l-2012 arid 2012-2013 school xears. This subsection and
Subsections ec) and' (con expire' September 1. 2013.
[FA20(8)]
SECTION _._. Effective September 1, 2013, Section
42.10I, Education Code, is amended as follows:
Sec. 42.101. BASIC ALLOTMENT. (a) For each student in
average daily attendance, not including the time students
spend each day in special education programs in an
87
CONFERENCE
(c-2) For a school district that does not receive funding under
Section 42.2516 for the 20112012sch601 year. the
commissioner may set the regular program adjustment factor
("RPAF") at 0.95195 for the 2011-2012 and 2012-2013 school
years if the district demonstrates that funding reductions as a
result of adjustments to the regular program allotment made
bX S.B. No. 1. Acts of the 82nd Legislature. 1st Called
Session, 201 I, will result in a hardship to the districi in the
2011-2012 school year. Notwithstanding anX'other provision
of this subsection. the commissioner' shall adjust the regular
program adjustment factor ("RPAF") for the 2012-2013
school year for a school district whose regular program
adjustment factor is set in accordance with this subsection to
ensure that the total amount of state and local revenue in the
combined 2011-2012 and 2012-2013 school years does not
differ from the amount the district would have received if the
district's regular program adjustment factor had not been set in
accordance with this subsection. A determination bX the
commissioner under this subsection is final and may not be
appealed.
(c-3) The regular program adjustment factor ("RPAF") is 0.98
for the 2013-2014 and 2014-2015 scliool years or a greater
amount established by appropriation. not to exceed 1.0. This
subsection and Subsections (ct (c-]), and (c-2) expire
September I. 2015.
SECTION 57.09. Same as House version except makes its
provision effective September 1,2015,
SENATE VERSION
amended as follows:
Sec. 42.105. SPARSITY ADJUSTMENT. Notwithstanding
Sections 42.101, 42.102, and 42.103, a school district that has
fewcr than 130 students in average daily attendance shall be
provided a regular program [aA IlEljllsleEi Illlsie] allotment on
the basis of 130 students in average daily attendance if it
offers a kindergarten through grade 12 program and has
preceding or current year's average daily attendance of at least
90 students or is 30 miles or more by bus route from the
nearest high school district. A district offering a kindergarten
through grade 8 program whose preceding or current year's
average daily attendance was at least 50 students or which is
Senate Bill 1
HOUSE VERSION (IE)
instructional arrangement other than mainstream or career and
technology education programs, for which an additional
allotment is made under Subchapter C, a district is entitled to
an allotment equal to the lesser of $4,765 or the amount that
results from the following formula:
A = $4,765 X (DCRlMCR)
where:
"A" is the allotment to which a district is entitled;
"OCR" is the district's compressed tax rate, which is the
year; and
(b) A greater amount for any school year may be provided by
appropriation. [FA20(12)]
42.105, Education Code, is amended as follows: [FA20(9)]
Sections 42.101, 42.102, and 42.103, a school district that has
fewer than 130 students in average daily attendance shall be
provided a regular program [IlA IlEljllsleEi IlllSie] allotment on
the basis of 130 students in average daily attendance if it
offers a kindergarten through grade 12 program and has
nearest high school district. A district offering a kindergarten
through grade 8 program whose preceding or current year's
average daily attendance was at least 50 students or which is
88
CONFERENCE
..
"
SENATE VERSION
30 miles or more by bus route from the nearest high school
district shall be provided a regular program [aft asj"slesbasis]
allotment on the basis of 75 students in average daily
attendance. An average daily attendance of 60 students shall
be the basis of providing the regular program [asj"sles basis]
allotment if a district offers a kindergarten through grade 6
program and has preceding or current year's average daily
attendance of at least 40 students or is 30 miles or more by
bus route from the nearest high school district.
Senate Bill 1
HOUSE VERSION (IE)
30 miles or more by bus route from the nearest high school
district shall be provided a regular program [aft aElj"slesbasis]
allotment on the basis of 75 students in average daily
attendance. An average daily attendance of 60 students shall
be the basis of providing the regular program [aElj"sles basis]
allotment if a district offers a kindergarten through grade 6
program and has preceding or current year's average daily
attendance of at least 40 students or is 30 miles or more by
bus route from the nearest high school district.
SECTION _._. Effective September 1, 2013, Section
42.105, Education Code, SPARSITY ADJUSTMENT, is
amended as follows
Sections 42.101,42.102, and 42.103, a school district that has
fewer than 130 students in average daily attendance shall be
provided an adjusted basic allotment on the basis of 130
students in average daily attendance if it offers a kindergarten
through grade 12 program and has preceding or current year's
average daily attendance of at least 90 students or is 30 miles
or more by bus route from the nearest high school district. A
district offering a kindergarten through grade 8 program
whose preceding or current year's average daily attendance
was at least 50 students or which is 30 miles or more by bus
route from the nearest high school district shall be provided an
adjusted basic allotment on the basis of 75 students in average
daily attendance. An average daily attendance of 60 students
shall be the basis of providing the adjusted basic allotment if a
district offers a kindergarten through grade 6 program and has
nearest high school district. [FA20(l2)]
89
CONFERENCE
provisions effective September 1, 2015.
....
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION _._. Section 42.152(c), Education Code, is
amended as follows:
(c) Funds allocated under this section shall be used to fund
supplemental programs and services designed to eliminate any
disparity in performance on assessment instruments
administered under Subchapter B, Chapter 39, or disparity in
the rates of high school completion between students at risk of
dropping out of school, as defined by Section 29.081, and all
other students. Specifically, the funds, other than an indirect
cost allotment established under State Board of Education
rule, which may not exceed 45 percent, may be used to meet
the costs of providing a compensatory, intensive, or
accelerated instruction program under Section 29.081 or l!
disciplinary [tift] alternative education program established
under Section 37.008. to pay the costs associated with placing
students in a juvenile justice alternative education program
established under Section 37.011. or to support a program
eligible under Title I of the Elementary and Secondary
Education Act of 1965, as provided by Pub. L. No. 103-382
and its subsequent amendments, and by federal regulations
implementing that Act, at a campus at which at least 40
percent of the students are educationally disadvantaged. In
meeting the costs of providing a compensatory, intensive, or
accelerated instruction program under Section 29.081, a
district's compensatory education allotment shall be used for
costs supplementary to the regular education program, such as
costs for program and student evaluation, instructional
materials and equipment and other supplies required for
quality instruction, supplemental staff expenses, salary for
teachers of at-risk students, smaller class size, and
individualized instruction. A home-rule school district or an
open-enrollment charter school must use funds allocated
90
CONFERENCE
SENATE VERSION
----- -- -
Senate Bill 1
HOUSE VERSION (IE)
under Subsection (a) for a purpose authorized in this
subsection but is not otherwise subject to Subchapter C,
Chapter 29. For [l>letwithstancling ether preYisiens ef this
seetieR:
[(I) te ensure tbat a suffieient allleuRt ef tbe timcls allettecl
uRcler tbis seetisa are a'iailalJle te supplemefll iastflJetieaal
pregrallls aRcI serviees, Re Illere tbaR 18 pereeRt ef tbe tilflcls
allettecl uncler tbis seetieR may Be usecl te fancl cliseiplinary
altemati'le eclueatien pregrams estal3lisbecl uncler 8eetiea
37.008;
[(2) the eemmissieaer may ....ai"e tbe limitatieas ef
8uecli"isiea (I) upen aa annua! petitiea, By a clistriet's searcl
ancl a clistriet's site sasecl cleeisien mal(ing eemmittee,
preseflling tbe reasen fer tbe fleeS te speaa supplemental
eempeRsatery eclueatisR funcls sn aiseiplinary alternatjy'e
eSHsatisfl fJf8gFBffiS H:R8er geetisR 37.008. flF8viElel4 that:
[(A) the Elistriet iA its fJetitisa fefJ8fts tHe AHFflaer sf stlieeRts
iR eeak gTaEle level, ay Eleffi8gt=8J3kie Sl::lagr8HJ3, Ret ffiakiHg
satisfaetsry pregress Hncler the state's assessmeat unci
[(B) tlie eSI'flffiissisAer Fflaltes the vvaiver feEtUest iflrermatisR
a"ailalJle te tbe puslie en tbe weesite; ancl
purposes of this subsection, a program specifically
designed to serve students at risk of dropping out of school, as
defined by Section 29.081, is considered to be a program
supplemental to the regular education program, and a district
may use its compensatory education allotment for such a
program. [FA45]
SECTION _. _. Subchapter C, Chapter 42, Education Code,
is amended by adding Section 42.1541, INDIRECT COST
ALLOTMENTS, as follows:
fa) The State Board of Education shall by rule increase the
91
CONFERENCE
...
SENATE VERSION
(a) The sum of the regular program [&a5ie] allotment under
Subchapter B and the special allotments under Subchapter C,
computed in accordance with this chapter, constitute the tier
one allotments. The sum of the tier one allotments and the
guaranteed yield allotments under Subchapter F, computed in
accordance with this chapter, constitute the total cost of the
Foundation School Program.
Senate Bill 1
HOUSE VERSION (IE)
indirect cost allotments established under Sections 42.151Chl,
42.152(cl. 42.153(bl, and 42. I 54(a- \) and (cl and in effect for
the 20 I 0-20 II school year in proportion to the average
percentage reduction in total state and local maintenance and
operations revenue provided under this chapter for the 2011-
2012 school year as a result of S.B. Nos. I and 2. Acts of the
82nd Legislature, 1st Called Session, 20II.
(bl To the extent necessary to permit the board to comply with
this section. the limitation on the percentage of the indirect
cost allotment prescribed by Section 42. I 52(c) does not apply.
(el The board shall take the action required by Subsection (al
not later than the date that permits the increased indirect cost
allotments to apply beginning with the 2011-2012 school year.
[FA44]
SECTION 56.09. Effective September I, 201 I, Subsection
(a), Section 42.251, Education Code, is amended as follows:
[FA20(10)]
(a) The sum of the regular program [&a5ie] allotment under
Subchapter B and the special allotments under Subchapter C,
computed in accordance with this chapter, constitute the tier
one allotments. The sum of the tier one allotments and the
Foundation School Program.
SECTION _._. Effective September 1, 2013, Subsection
(a), Section 42.251, Education Code, is amended as follows:
(a) The sum of the basic allotment under Subchapter B and the
special allotments under Subchapter C, computed in
accordance with this chapter, constitute the tier one
allotments. The sum of the tier one allotments and the
92
CONFERENCE
provision effective September 1, 2015.
SENATE VERSION
SECTION 71.l O. Subchapter E, Chapter 42, Education Code,
is amended by adding Section 42.2514, ADDITIONAL
STATE AID FOR TAX INCREMENT FINANCING
PAYMENTS.
SECTION ?l.1I. Effective Septemberl, 20ll, Section
Subsections (a), (b), (d), and (f-2) and adding Subsection (i).
SECTION 71.12. Effective September I, 2017, the heading to
Section 42.2516, Education Code, is amended.
is amended by adding Section 42.2525 as follows:
Sec. 42.2525. ADJUSTMENTS FOR CERTAIN DISTRICTS
RECEIVING FEDERAL IMPACTAID. The commissioner is
granted the authoritv to ensure that school districts'receiving
federal impact aid due to the presence of a military installation
or significant concentrations of military students do not
receive more than an eight percent reduction should the
federal government reduce appropriations to those schools.
Senate Bill!
HOUSE VERSION (IE)
Foundation School Program. [FA20(I2)]
is amended by adding Section 42.2525 as follows:
Sec. 42.2525. ADJUSTMENTS FOR CERTAIN
DEPARTMENT OF DEFENSE DISTRICTS. The
commiSSIOner is granted the authority to ensure that
Department of Defense school districts do not receive more
than an eight percent reduction should the federal government
reduce appropriations to those schools.
93
CONFERENCE
...
SENATE VERSION
SECTION 71.16. Effective September I, 2011, Subsections
(h) and (i), Section 42.253, Education Code, are amended as
follows:
(h) If the amount appropriated for the Foundation School
Program for the second year of a state fiscal biennium is less
than the amount to which school districts are entitled for that
year, the commissioner shall certify the amount of the
difference to the Legislative Budget Board not later than
January I of the second year of the state fiscal biennium. The
Legislative Budget Board shall propose to the legislature that
the certified amount be transferred to the foundation school
fund from the economic stabilization fund and appropriated
for the purpose of increases in allocations under this
subsection. If the legislature fails during the regular session to
enact the proposed transfer and appropriation and there are not
funds available under Subsection OJ, the commissioner shall
adjust [ ~ ] the total amounts due to each school district
under this chapter and the total amounts necessary for each
school district to comply with the requirements of Chapter 41
[aRt8liAt sf state fHR8S alleeatee 18 saek aistriet] by an amount
determined by applying to each district, including a district
receiving funds under Section 42.2516, the same percentage
adjustment so that the total amount of the adjustment to all
districts [a melRes uAser \'iRieh IRe aj3j3lie8lieA ef IRS SaFAS
f1HIfIBer sf eeRts sf iAeFeBSe if! tall fate iA all aistriets ltflf)lieel
18 lke tamlsle "allis sf f3F8f3eFty sf aaek Elistriet, as aetermiRea
HAssr SueeRaj3tsr M, CRaj3tsr qm, GeYerAFASAI Cess,] results
in an amount [a lelal IsY)'] equal to the total adjustment
necessary. A school district is not entitled to reimbursement in
a subsequent fiscal year of the amount resulting from the
adjustment authorized by this subsection [resuelieA. TRe
fellewiRg t=iseal year, a distASi'S eRtitlemRt HAser tfiis seetisR
Senate Bill 1
HOUSE VERSION (IE)
SECTION 56._. Effective September I, 201 I, Subsection
(h), Section 42.253, Education Code, is amended as follows:
than the amount to which school districts and open-enrollment
charter schools are entitled for that year, the commissioner
shall certify the amount of the difference to the Legislative
Budget Board not later than January I of the second year of
the state fiscal biennium. The Legislative Budget Board shall
propose to the legislature that the certified amount be
transferred to the foundation school fund from the economic
stabilization fund and appropriated for the purpose of
increases in allocations under this subsection. If the legislature
fails during the regular session to enact the proposed transfer
and appropriation and there are not funds available under
Subsection (j), the commissioner shall adjust [ ~ ] the total
amounts due to each school district and ripen-enrollment
charter schoOl under this chapter and the total amounts
necessary for each school district to comply with the
requirements of Chapter 41 [affi8liRt sf state f H f H ~ S alleeatea t8
saeR sislriel] by an amount determined by applying to each
district and school. including a district receiving funds under
Section 42.2516. the same percentage adjustment to the total
amount of state and local revenue due to the district or school
under this chapter and Chapter 41 so that the total amount of
the adjustment to all districts and schools [a FASIReS uAssr
wRish the BfJJ3lieatisR sf tAe saffle RHffil3er sf eeRts sf iRereBse
iR 18J( Fate iA all ElistFiets Bl3fJJieEl 18 tAB taKaBle vallie sf
f3F813Fty sf aaeR Elistriet, as seteFFRiAeS l:iAser SHsGhaf)ter ~ 4 ,
CRaj3lsr qQ3, Ge\'SrAFAeAI Cess,] results in an amount [ ~
!e-Yy] equal to the total adjustment necessary [resuelieA]. The
94
CONFERENCE
SECTION 57.22. Same as House version except in
Subdivision (2) specifies the amount necessary for a district to
comply with the requirements of Chapter 41 is reduced by an
amount necessary to ensure the district's full recovery of the
adjustment made under this subsection.
,.
l
SENATE VERSION
is iflereaseEl 13)' all ameeflt eEjeal te tile reEleetiefl maEle eBEler
tilis se13seetiefl].
(i) Not later than March 1 each year, the commissionel"shall
determine the actual amounl of state funds to whiCh each
schOol district is entitled under the allocatl6tifofmUIas in this
Chapler Jor the current schoofy'ear; asadiusted in
witli Subsection (h), 'if applicable, 'and shall compare that
amount with the amount of the warrants issued to each district
for that year. If the amoilni oftne warrants differs from the
amount to which a district is entitled because of variations in
the district's tax rate, student enrollment; or taxable value of
property,the commissioner 'shall : adjust ,the district'!;
entitle'ment for the next fiscal year accordingly.
SECTION 71.17. Effective September 1, 2017, Subsection
(h), Section 42.253, Education Code, is amended as follows:
than the amount to which school districts are entitled for that
year, the commissioner shall certify the amount of the
difference to the Legislative Budget Board not later than
January I of the second year of the state fiscal biennium. The
Legislative Budget Board shall propose to the legislature that
the certified amount be tf'dnsferred to the foundation school
fund from the economic stabilization fund and appropriated
for the purpose of increases in allocations under this
subsection. If the legislature fails during the regular session to
- -
Senate Bill 1
Committee Report
HOUSE VERSION (IE)
following fiscal
li[,] a district's or school's entitlement under this section IS
increased by an amount equal to.,the adjustment [l'eEleeliefl]
made urider this subsection: and
(2) the a;nrilil1t necessary fora' district i6cbmpiy .the
requirements'of Chapter 41 is reduced by an am6umeqllol to
the adjustment made under this subsection. [FA20(l1) strikes
SECTION 56.16 and substitutes the appropriately numbered
SECTION shown above.]
SECTION 56,_. Effective September I, 2017, Subsection
(h), Section 42,253, Education Code, is amended as follows:
than the amount to which school districts and
charter schools are entitled for that year, the commissioner
shall certify the amount of the difference to the Legislative
Budget Board not later than January I of the second year of
the state fiscal biennium. The Legislative Budget Board shall
propose to the legislature that the certified amount be
transferred to the foundation school fund from the economic
stabilization fund and appropriated for the purpose of
increases in allocations under this subsection. If the legislature
95
CONFERENCE
SECTION 57.23. Same as House version except in
Subdivision (2) specifies the amount necessary for a district to
comply with the requirements of Chapter 41 is reduced by an
amount necessary to ensure a district's full recovery of the
adjustment made under this subsection.
...
SENATE VERSION
enact the proposed transfer and appropriation and there are not
funds available under Subsection (j), the commissioner shall
adjust [feEitIee] the total amounts due to each school district
under this chapter and the total amounts necessary for each
school district to comply with the requirements of Chapter 41
raffi8H"! sf state (HReS alleeatea 8 sHeh EJistriet] by an amount
determined by applying to each district the same percentage
adjustment so that the total amount of the adjustment to all
districts [8 ffletfisEl uRaer '.... kiek the 8}3}3lieatisfl sf the same
RUffiBer sf eeRts sf iRefetlSe iR tan Fate iR all elistriets ftf'}3lieel
Ie ths taJ(aels "alee ei rrererty af eaeh eistAet, as eetefmiAee
eAeef 8eeeharlef M, Charlef 403, Ga,'eremeAt Caee,] results
in an amount [a tetal Ie' y]equal to the .total adjustment
necessary. A school district is hot entitled to reimbursement in
a subsequent fiscal year of the amount resulting from the
adjustment authorized by this subsection
[FeeeetieA. The fellewiAg Fiseal yeaf, a eistfiet's eAtillemeAt
HRser tRis seelis" is iRereasea 13)[ aft BFA8HAt efJ:Hal te lAe
reeHetisR ltitle8l:lRaeF tkis
Senate Bill 1
HOUSE VERSION (IE)
fails during the regular session to enact the proposed transfer
and appropriation and there are not funds available under
Subsection (j), the commissioner shall adjust [feEitIee] the total
amounts due to each school district and open-enrollment
charter school under this chapter and the total amounts
necessary for each school district to comply with the
requirements of Chapter 41 [amaeAt af stale faAes allaeatee ta
eaeh eistAet] by an amount determined by applying to each
district and school the same percentage adjustment to the total
amount of state and local revenue due to the district or school
under this chapter and Chapter 41 so that the total amount of
the adjustment to all districts and schools [a metRae "Aeef
whisk ike aflfllieatieA sf tke saITta "liffiSer sf seAt!; sf iRerease
iA talE rate iR all aistFiets af'fl1ieEl is the taJ(al3le vallie sf
rfarerty af eaeh eistfiet, as eetefmiAee eAaef 8eeehartef M,
Chartef 41:)3, Ga,efAmeAt Caee,] results in an amount [tHeHlI
ley] equal to the total adjustment necessary [feaeetiaA]. The
following fiscal year"
.u.:H,] a district's or school's entitlement under this section is
increased by an amount equal to the adjustment [feaeetieA]
made under this subsection: and
(2) the amount necessary for a district to comply with the
requirements of Chapter 41 is reduced by an amount equal to
the adjustment made under this subsection. [FA20(1 l) strikes
SECTION 56.17 and substitutes the appropriately numbered
SECTION shown above.]
SECTION _._. (a) Section 42.2531, Education Code, is
amended by adding Subsection (c-l) and amending
Subsection (d). [FA46]
96
CONFERENCE
SENATE VERSION
(a-I).
Code, is amended.
amended by adding Subsection (g- I).
SECTION 71.2I. Subsection (a), Section 26.05, Tax Code, is
amended.
SECTION 71.22. Effective September 1,2017, Subsection (i),
Section 26.08, Tax Code, is amended.
Senate Bill 1
HOUSE VERSION (IE)
SECTION 56.1 9. Same as Senate version.
SECTION _._. Section 42.302, Education Code, is
amended by adding Subsection (a-3) as follows:
(a-3) Notwithstanding Subsections (a) and (a-I). for a school
district that imposed a maintenance and operations tax for the
2010 tax year at the maximum rate permitted under Section
45.003. the dollar amount guaranteed level of state and local
funds per weighted student per cent of tax effort (nOL
n
) for
the district's maintenance and operations tax effort described
by Subsection (a-I)(2) is $33.95. This subsection expires
September I. 2012. [FAI63(3)]
SECTION _._. Subchapter A, Chapter 45, Education
Code, is amended by adding Section 45.0061, ADDITIONAL
AUTHORITY FOR MAINTENANCE TAX REQUIRED
FOR mDGMEN-r ORDERING AD VALOREM TAX
REFUND; BONDS. [FA50j
97
CONFERENCE
...
SENATE VERSION
SECTION 71.23. Subsection (n), Section 311.013, Tax Code,
is amended.
SECTION 71.24. Effective September I, 2011, the following
provisions of the Education Code are repealed:
(I) Subsections (c-2), (c-3), and (e), Section 21.402;
(3) Subsections (a-I) and (a-2), Section 42.101.
SECTION 71.25. (a) Effective September I, 2017, the
following provisions of the Education Code are repealed:
(2) Subsections (b), (b-I), (b-2), (c), (d), (e), (t), (f-I), (f-2),
(f-3), and (i), Section 42.2516;
(3) Section 42.25161;
(4) Subsection (c), Section 42.2523;
(5) Subsection (g), Section 42.2524;
(6) Subsection (c-I), Section 42.253; and
(7) Section 42.26I.
(b) Effective September I, 2017, Subsections (i-I) and (j),
Section 26.08, Tax Code, are repealed.
SECTION 71.26. (a) The speaker of the house of
representatives and the lieutenant governor shall establish a
joint legislative interim committee to conduct a
comprehensive study of the public school finance system in
this state.
(b) Not later than January 15,2013, the committee shall make
recommendations to the 83rd Legislature regarding changes to
the public school finance system.
(c) The committee is dissolved September 1,2013.
Senate Bill 1
HOUSE VERSION (IE)
98
CONFERENCE
-
SENATE VERSION
SECTION 71.27. It is the intent of the legislature, between
fiscal year 2014 and fiscal year 2018, to continue to reduce the
amount of Additional State Aid For Tax Reduction (ASATR)
to which a school district is entitled under Section 42.2516,
Education Code, and to increase the basic allotment to which
a school district is entitled under Section 42.101, Education
Code.
SECTION 71.28. Except as otherwise provided by this Act,
the changes in law made by this Act to Chapter 42, Education
Code, apply beginning with the 2011-2012 school year.
SECTION 71.29. The change in law made by Subsection (g-
I), Section 44.004, Education Code, as added by this Act,
applies beginning with adoption of a tax rate for the 2011 tax
year.
Senate BiIIl
HOUSE VERSION (IE)
CONFERENCE
..
ARTICLE 72. MIXED
REIMBURSEMENTS
BEVERAGE TAX
SECTION _._.
[FA143,FAI44(l),(2)]
ARTICLE _. MIXED
REIMBURSEMENTS [FAI25]
Transition
BEVERAGE
provision.
TAX
(b), Section 183.051, Tax Code, is amended.
SECTION _.01. Same as Senate version. [FAI25]
ARTICLE . FEDERAL FUNDS FOR BACK TO WORK
PROGRAMS OR PROGRAMS FOR HOMELESS [FAI(I)]
SECTION _.01. (a) Each state agency that received federal
funds originally appropriated in Article XII, Chapter 1424
99
SENATE VERSION
No equivalent provision. ,
Senate Bill 1
HOUSE VERSION (IE)
(Senate Bill I), Acts of the 81st Legislature, Regular Session,
2009 (the General Appropriations Act) and reappropriated in
Section 8.02(a), Article IX, H.B. No. I, Acts of the 82nd
Legislature, Regular Session, 201 J, to prevent the federal law
authorization to spend that money from lapsing before the
money is spent, may direct the comptroller to transfer an
amount of that federal money to the office of the governor for
the purposes of Subsection (b) of this section. The total of the
amounts transferred under this subsection by all agencies may
not exceed $20 million.
(b) The governor may establish a program to provide grants to
any person for the purposes of back to work programs or
programs for the homeless authorized by legislation of the
82nd Legislature, Regular Session, 20 II, or Ist Called
Session, 20II, and may use money transferred to the office
under Subsection (a) of this section to make those grants, To
the extent practicable and consistent with the purpose of
ensuring that the authorization to spend that money under
federal law does not lapse before it is spent, the office must
distribute evenly the money transferred to the office under
Subsection (a) of this section.
(c) To the extent other law requires money to be provided for
back to work programs or programs for the homeless
authorized by legislation of the 82nd Legislature, Regular
Session, 20II, or Jst Called Session, 20J I, money provided
for grants under Subsection (b) of this section reduces the
requirement provided by that other law, by an amount equal to
the total amount of the grants made. [FAI(I)]
ARTICLE _' AUTHORITY OF PEACE OFFICERS TO
REQUEST FINGERPRINTS DURING MOTOR VEHICLE
STOPS [FA25]
100
CONFERENCE
j
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION _.01. Chapter 2, Code of Criminal Procedure, is
amended by adding Article 2.32, OBTAINING
FINGERPRINTS DURING MOTOR VEIDCLE STOP.
[FA25]
ARTICLE . GUARANTEE OF OPEN-ENROLLMENT
CHARTER SCHOOL BONDS BY PERMANENT SCHOOL
FUND [FA30]
SECTION _.01. Subchapter D, Chapter 12, Education Code,
is amended by adding Section 12.135, DESIGNATION AS
CHARTER DlSTRICT FOR PURPOSES OF BOND
GUARANTEE, as follows:
(a) On the application of the charter holder. the commissioner
may grant designation as a charter district to an open-
enrollment charter school that meets financial standards.
adopted by the commissioner. The financial standards must
require an open-enrollment charter school to have an
investment grade credit rating as specified by Section
45.0541.
(b) A charter district may apply for bonds issued under
Chapter 53 for the open-enrollment charter school to be
guaranteed by the permanent school fund as provided by
Chanter 45. [FA30]
SECTION _.02. Section 45.051, Education Code, is
amended by adding Subdivision (I-a) and amending
Subdivision (2) as follows:
(I-a) "Charter district" means an open-enrollment charter
school designated as a charter district under Section 12.135.
(2) "Paying agent" means the financial institution that is
designated by a school district or charter district as its agent
101
CONFERENCE
ARTICLE 59. Same as House version.
,
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
for the payment of the principal of and interest on guaranteed
bonds. [FA30]
SECTION .03. Section 45.052, Education Code,
GUARANTEE, is amended as follows:
(a) On approval by the commissioner. bonds issued under
Subchapter A by a school district or Chapter 53 for a charter
district, including refunding bonds. are guaranteed by the
corpus and income of the permanent school fund.
(b) Notwithstanding any amendment of this subchapter or
other law, the guarantee under this subchapter of school
district or charter district bonds remains in effect until the date
those bonds mature or are defeased in accordance with state
law. [FA30]
SECTION _.04. Subchapter C, Chapter 45, Education Code,
is amended by adding Section 45.0532, LIMITATION ON
GUARANTEE OF CHARTER DISTRICT BONDS, as
follows:
(a) In addition to the general limitation under Section 45.053.
the commissioner may not approve charter district bonds for
guarantee under this subchapter in a total amount that exceeds
the percentage of the total available capacity of the guaranteed
bond program that is equal to the percentage of the number of
students enrolled in open-enrollment charter schools in this
state compared to the total number of students enrolled in all
public schools in this state. as determined by the
commissioner.
(b) For purposes of Subsection (a). the total available capacity
of the guaranteed bond program is the limit established by the
board under Sections 45.053(d) and 45.053 I minus the total
amount of outstanding guaranteed bonds. Each time the board
102
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
increases the limit under Section 45.053(dl. the total amount
of charter district bonds that may be guaranteed increases
accordingly under Subsection (a).
(c) Notwithstanding Subsections (a) and (b). the commissioner
may not approve charter district bonds for guarantee under
this subchapter if the guarantee will result in lower bond
ratings for school district bonds for which a guarantee is
requested under this subchapter.
Cd) The commissioner may request that the comptroller place
the portion of the permanent school fund committed to the
guarantee of charter district bonds in a segregated account if
the commissioner determines that a separate account is needed
to avoid any negative impact on the bond ratings of school
district bonds for which a guarantee is requested under this
subchapter.
(el A guarantee of charter district bonds must be made in
accordance with this chapter and any applicable federal law.
[FA30]
amended as follows:
Sec. 45.054. ELIGIBILITY OF SCHOOL DISTRICT
BONDS. To be eligible for approval by the commissioner,
school district bonds must be issued under Subchapter A of
this chapter or under Subchapter A, Chapter 1207,
Government Code, to make a deposit under Subchapter B or C
of that chapter, by an accredited school district. [FA30]
is amended by adding Section 45.0541, ELIGIBILITY OF
CHARTER DISTRICT BONDS, as follows:
To be eligible for approval by the commissioner. charter
103
CONFERENCE
.,
...
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
district bonds must:
(I) without the guarantee, be rated as investment grade by a
nationally recognized investment rating firm: and
(2) be issued under Chapter 53, [FA30]
SECTION _,07, Subsections (a) and (b), Section 45,055,
Education Code, are amended as follows:
(a) A school district or charter district seeking guarantee of
eligible bonds under this subchapter shall apply to the
commissioner using a form adopted by the commissioner for
the purpose, The commissioner may adopt a single form on
which a schoo! district seeking guarantee or credit
enhancement of eligible bonds may apply simultaneously first
for guarantee under this subchapter and then, if that guarantee
is rejected, for credit enhancement under Subchapter I.
(b) An application under Subsection (a) must include:
(I) the name of the school district or charter district and the
principal amount of the bonds to be issued;
(2) the name and address of the district's paying agent for
those bonds; and
(3) the maturity schedule, estimated interest rate, and date of
the bonds. [FA30]
SECTION ,08, Section 45,056, Education Code,
INVESTIGATION, is amended as follows:
(a) Following receipt of an application for the guarantee of
bonds, the commissioner shall conduct an investigation of the
applicant school district or charter district in regard to:
(I) the status of the district's accreditation; and
(2) the total amount of outstanding guaranteed bonds.
(b) If following the investigation the commissioner is satisfied
that the school district's bonds should be guaranteed under this
104
CONFERENCE
SECTION 59,07, Same as House version,
SECTION 59.08, Same as House version, ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ - - _ . _ - - _.. _- --_.- --
Senate BiIIl
Conference Commiltee Report
...
SENATE VERSION HOUSE VERSION (IE)
subchapter or provided credit enbancement under Subchapter
I, as applicable, or the charter district's bonds should be
guaranteed under this subchapter. the commissioner shall
endorse the bonds. [FA30J
SECTION _.09. Subsection (b), Section 45.057, Education
(b) The guarantee is not effective unless the altorney general
approves the bonds under Section 45.005 or 53.40. as
applicable. [FA30J
is amended by adding Section 45.0571, CHARTER
DISTRICT BOND GUARANTEE RESERVE FUND. as
follows:
(a) The charter district bond guarantee reserve fund is a
special fund in the state treasury outside the general revenue
fund. The following amounts shall be deposited in the fund:
(I) money due from a charter district as provided by
Subsection (b): and
(2) interest earned on balances in the fund.
(b) A charter district that has a bond guaranteed as provided
by this subchapter must annually remit to the commissioner.
for deoosit in the charter district bond guarantee reserve fuod.
an amount equal to 10 percent of the savings to the charter
district that is a result of the lower interest rate on the bond
due to the guarantee by the permanent school fund. The
amount due under this section shall be amortized and paid
over the duration of the bond. Each payment is due on the
anniversary of the date the bond was issued. The
commissioner shall adopt rules to determine the total and
annual amounts due under this section.
105
CONFERENCE
SENATE VERSION
Senate Bill 1
Sectionby-Section Analysis
HOUSE VERSION (IE)
(c) The commissioner may direct the comptroller to annually
withhold the amount due to the charter district bond guarantee
reserve fund under Subsection (b) for that year from the state
funds otherwise payable to the charter district.
(d) Each year, the commissioner shall:
(I) review the condition of the bond guarantee progmm and
the amount that must be deposited in the charter district bond
guarantee reserve fund from charter districts: and
(2) determine if charter districts should be required to submit a
greater percentage of the savings resulting from the guarantee.
(e) The commissioner shall make recommendations to the
legislature based on the review under Subsection (d). [FA30)
SECTION _.11. Section 45.058, Education Code, NOTICE
OF DEFAULT, is amended as follows:
Immediately following a determination that a school district or
charter district will be or is unable to pay maturing or matured
principal or interest on a guaranteed bond, but not later than
the fifth day before maturity date, the school district or charter
district shall notify the commissioner. [FA30)
SECTION _.12. The heading to Section 45.059, Education
Sec. 45.059. PAYMENT OF SCHOOL DISTRICT BOND
ON DEFAULT [!"ROM PERMANENT
[FA30)
SECTION _.13. Subsection (a), Section 45.059, Education
(a) Immediately following receipt of notice under Section
45.058 that a school district will be or is unable to pay
maturing or matured principal or interest on a guaranteed
106
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
bond, the commissioner shall instruct the comptroller to
transfer from the appropriate account in the permanent school
fund to the district's paying agent the amount necessary to pay
the maturing or matured principal or interest. [FA30]
SECTION _.14. SUbchapter C, Chapter 45, Education Code,
is amended by adding Section 45.0591, PAYMENT OF
CHARTER DISTRICT BOND ON DEFAULT, as follows:
(a) Immediately following receipt of notice under Section
45.058 that a charter district will be or is unable to pay
maturing or matured principal or interest on a guaranteed
bond. the commissioner shall instruct the comptroller to
transfer from the charter district bond guarantee reserve fund
created under Section 45.057 I to the district's paying agent the
amount necessary to pay the maturing or matured principal or
interest.
(b) If money in the charter district bond guarantee reserve
fund is insufficient to pay the amount due on a bond under
Subsection (a), the commissioner shall instruct the comptroller
to transfer from the appropriate account in the permanent
school fund to the district's paying agent the amount necessary
to pay the balance of the unpaid maturing or matured principal
or interest.
(c) ImmediatelY following receint of the funds for pavment of
the principal or interest. the paying agent shall pay the amount
due and forward the canceled bond or coupon to the
comptroller. The comptroller shall hold the canceled bond or
coupon on behalf of the fund or funds from which payment
was made.
(d) Following full reimbursement to the charter district bond
guarantee reserve fund and the permanent school fund. if
applicable. with interest. the comptroller shall further cancel
107
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
the bond or coupon and forward it to the charter district for
which payment was made. [FA30]
SECTION _.15. Section 45.060, Education Code, BONDS
NOT ACCELERATED ON DEFAULT, is amended as
follows:
If a school district or charter district fails to pay principal or
interest on a guaranteed bond when it matures, other amounts
not yet mature are not accelerated and do not b e c o m ~ due by
virtue of the school district's or charter district's default.
[FA30]
SECTION _.16. The heading to Section 45.061, Education
Sec. 45.061. REIMBURSEMENT OF FUNDS
[PERMANENT SCHOOb FillID]. [FA30]
Subsection (a-I) as follows:
(a) If the commissioner orders payment from the permanent
school fund or the charter district bond guarantee reserve fund
on behalf of a school district or charter district, the
commissioner shall direct the comptroller to withhold the
amount paid, plus interest, from the first state money payable
to the school district or charter district. Except as provided by
Subsection (a- n. the [Tile] amount withheld shall be
deposited to the credit of the permanent school fund.
(a-I) After the permanent school fund has been reimbursed for
all money paid from the fund as the result of a default of a
charter district bond guaranteed under this subchapter. any
remaining amounts withheld under Subsection (a) shall be
108
CONFERENCE
SECTION 59.15 Same as House version.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
deposited to the credit of the charter district bond guarantee
reserve fund.
(b) In accordance with the rules of the board, the
commissioner may authorize reimbursement to the permanent
school fund or charter district bond guarantee reserve fund
with interest in a manner other than that provided by this
section. (FA30j
SECTION .18. Section 45.062, Education Code, is
amended by adding Subsection (a-I) as follows:
(a-I) If a total of two or more payments are made under this
subchapter on charter district bonds and the commissioner
determines that the charter district is acting in bad faith under
the guarantee oro2ram under this subchapter. the
commissioner may request the attorney general to institute
appropriate legal action to compel the charter district and its
officers. agents. and employees to comply with the duties
required of them by law in regard to the bonds. (FA30j
SECTION _.19. Subdivision (10), Section 53.02, Education
(10) "Authorized charter school" means an open-enrollment
charter school that holds a charter granted under Subchapter
D, Chapter 12. and includes an open-enrollment charter school
designated as a charter district as provided by Section 12.135.
(FA30]
amended by amending Subsection (I) and adding Subsection
(f-I) as follows:
(I) Except as provided by Subsection (f-I), a (Aj revenue
bond issued under this section is not a debt of the state or any
109
CONFERENCE
SECTlON 59.19. Same as House version.
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
state agency, political corporation, or political subdivision of
the state and is not a pledge of the faith and credit of any of
these entities. A revenue bond is payable solely from the
revenue of the authorized open-enrollment charter school on
whose behalf the bond is issued. A revenue bond issued under
this section must contain on its face a statement to the effect
that:
(1) neither the state nor a state agency, political corporation,
or political subdivision of the state is obligated to pay the
principal of or interest on the bond; and
(2) neither the faith and credit nor the taxing power of the
state or any state agency, political corporation, or political
subdivision of the state is pledged to the payment of the
principal of or interest on the bond.
Cf-)) Subsection (D does not applv to a revenue bond issued
under this section for a charter district if the bond is approved
for guarantee by the permanent school fund under Subchapter
Co Chapter 45. [FA30]
SECTION _.21. This article applies only to a bond issued or
refunded on or after the effective date of this Act by an open-
enrollment charter school designated as a charter district under
Section 12.135, Education Code, as added by this article. A
bond issued or refunded by an open-enrollment charter school
before the effective date of this Act is governed by the law in
effect immediately before that date, and that law is continued
in effect for that purpose. [FA30]
CONFERENCE
No equivalent provision. ARTICLE
[FA33]
-'
FLEXIBLE SCHOOL DAY PROGRAM Same as Senate version.
No equivalent provision. SECTION _.01. (a) Section 29.0822(a), Education Code, is
110
Senate Bill]
..
!
t
amended.
(b) Subsection (a) of this section applies beginning with the
20112012 school year. [FA33)
ARTICLE _. ALLOCATION OF STATE AND FEDERAL
i'UNDS FORADULT BASIC EDUCATION [FA35)
amended by adding Subsection (c). [FA35)
SECTION _.02. Subchapter H, Chapter 29, Education Code,
is amended by adding Section 29.2535, SERVICE
PROVIDER CONTRACTS: COMPETITIVE
PROCUREMENT REQUIREMENT, as follows:
(a) The agency shall use a competitive procurement process
to award a contract to a service provider of an adult education
program.
(b) The agency shall adopt rules to administer this section.
[FA35]
SECTION _.03. (a) The change in law made by Section
29.2535(a), Education Code, as added by this article, applies
only to a contract entered into on or after the effective date of
this article.
(b) Not later than August 31, 2012, the Texas Education
Agency shall adopt rules to provide for a competitive
procurement process to award contracts to service providers of
adult education programs as provided by Section 29.2535,
Education Code, as added by this article. [FA35)
SECTION _.04. (a) Except as provided by Subsection (b) of
111
CONFERENCE
ARTICLE 60. AWARD OF' SERVICE .. PROVIDER
CONTRACTS FOR ADULT EDUCATIONPROGRAMS
SECTION 60.0J Same as House version.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
this section, this article takes effect September 1,2012.
(b) Section 29.2535(b), Education Code, as added by this
article, takes effect on the 91 st day after the last day of the
legislative session. [FA35]
CONFERENCE
[FA37]
-'
STATE VIRTUAL SCHOOL NETWORK ARTICLE 61. Same as House version except as follows:
[See SECfION 61.0I below]
112
SECTION 61.02. Subchapter A, Chapter 30A, Education
Code, is amended by adding Section 30A.OO7, LOCAL
POLICY ON ELECfRONIC COURSES, as follows:
(a) A school district or open-enrollment charter school shall
adopt a policy that provides district or school students with the
opportunity to enroll in electronic courses provided through
the state virtual school network. The policy must be consistent
with the requirements imposed by Section 26.0031.
(b) For purposes of a policy adopted under Subsection (a). the
determination of whether or not an electronic course will meet
the needs of a student with a disability shall be made by the
student's admission, review. and dismissal committee in a
manner consistent with state and federal law. including the
Individuals with Disabilities Education Act (20 U.S.C. Section
1400 et seq.) and Section 504. Rehabilitation Act of 1973 (29
U.S.C. Section 794).
SECTION 61.03. Subchapter C, Chapter 30A, Education
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
113
CONFERENCE
Code, is amended by adding Section 30A. 1021 , PUBLIC
ACCESS TO USER COMMENTS REGARDING
ELECTRONIC COURSES, as follows:
(a) The administering authority shall provide students who
have completed or withdrawn from electronic courses offered
through the virtual school network and their parents with a
mechanism for providing comments regarding the courses.
(b) The mechanism required by Subsection (a) must include a
quantitative rating system and a list of verbal descriptors that a
student or parent may select as appropriate.
(c) The administering authority shall provide public access to
the comments submitted by students and parents under this
section. The comments must be in a format that permits a
person to sort the comments by teacher. electronic course, and
provider school district or school.
SECTION 61.04. Section 30A.104, Education Code,
COURSE ELIGIBILITY IN GENERAL, is amended as
follows:
f1!l A course offered through the state virtual school network
must:
(1) be in a specific subject that is part of the required
curriculum under Section 28.002(a);
(2) be aligned with the essential knowledge and skills
identified under Section 28.002(c) for a grade level at or
above grade level three; and
(3) be the equivalent in instructional rigor and scope to a
course that is provided in a traditional classroom setting
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION _.01. Section 30A.I05, Education Code, is
amended by amending Subsections (a), (c), and (d) and adding
Subsections (a-I), (a-2), and (a-3) as follows:
(a) 'The administering authority shall:
(I) establish a annual submissionalldapproval
process for electronic courses;
(2) evaluate electronic courses to be offered through the state
virtual school network; and
(3) not later than the 90th day afterthedaie ofsubmissi()n
[Allgll5t lef eaSH yeaf], approve electnmiccourses that:
(A) meet the criteria established under Section 30A. J03; and
(B) provide. the minimum. instructional rigor and scope
required under Section 30A. J04.
(a-]) If the administering authority does not take action
regarding approval or disapproval of a submitted electronic
course by the deadline specified in Subsection (a)(3), the
114
CONFERENCE
during:
(A) a semester of 90 instructional days; and
(B) a school day that meets the minimum length of a school
day required under Section 25.082.
(b) If the essential knowledge and skills with which an
approved course is aligned in accordance with Subsection
(a)(2) are modified. the provider school district or school must
be provided the same time period to revise the course to
achieve alignment with the modified essential knowledge and
skills as is provided for the modification of a course provided
in a traditional classroom setting.
SECTION 61.05. Same as House version except as follows:
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
course is 'considered ;mproved,
(a-2) The administering authority shall publish the schedule
established under Subsection (a)(I), including any deadlines
specified in that schedule, and any guidelines applicable to the
submission and approval process for electronic courses,
(a-3) The evaluation required by Subsection (a)(2) must
include review of each electronic course component, including
off-line material proposed to be used in the course,
(c):J'he agency:shalLrequire each scflOoJdistrictopen-
enrolhnent charter'school 'or .' t' 'rivate institution of
hi&her education" that submit electronic: course" for
evaluation, and approval to pay a" in the amount of $500 for
each' course submitted, The agency shall use the fees to pay
the, reasonabJe"costs 'of evaluating and approving electronic
courses. If the 'amount of fees collected under this subsection
!!t a:vailallJe Ie tfle ageRe)' fer IRal
insufficient '.10 pay the costs of evaluating and approving all
electronic cDu,rses submitted for evaluation ahd approval; the
agency shall give priority to paying the costs of evaluatirgand
approving ceriain cOUrses,
(d) If the agency determines that the costs of evaluating and
approving a submitted electronic course will not be paid by
the agency due to a shortage of fees collected' [f!HIes
availallle] for that purpose, the school district, open-
enrollment charter school, or public or private institution of
higher education that submitted the course for evaluation and
approval may pay the costs in order to ensure that evaluation
of the course occurs, [FA3?]
115
CONFERENCE
(a-]) The administering authority shall publish the schedule
established under Subsection (a)(]), including any deadlines
specified in that schedule, and any guidelines applicable to the
submission and approval process for electronic courses,
(a-2) The evaluation required by Subsection (a)(2) must
include review of each electronic course component, including
off-line material proposed to be used in the course,
(d) If the agency determines that the costs of evaluating and
approving a submitted electronic paid by
the agency due to a shortage of fimd$ayailable for that
purpose, the school district, open-enrollment charter school. or
public or private institution of higher education
evaluation and approval may pay a feeequalt6
the amount of the costs in order to ensure that evaluation of
the establish arid publiSh afee
schedule for purposes of this subsection,
[See SECTION 61.06 below]
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
116
CONFERENCE
SECTION 61.07. Subchapter D, Chapter 30A, Education
Code, is amended by adding Section 30A.153,
FOUNDATION SCHOOL PROGRAM FUNDING, as
follows:
(a) A school district or open-enrollment charter school in
which a student is enrolled is entitled to funding under
Chapter 42 for the student's enrollment in an electronic course
offered through the state virtual school network in the same
manner that the district or school is entitled to funding for the
student's enrollment in courses provided in a traditional
classroom setting, provided that the student successfully
completes the electronic course.
(b) The commissioner. after considering comments from
school district and open-enrollment charter school
representatives, shall adopt a standard agreement that governs
payment of funds and other matters relating to a student's
enrollment in an electronic course offered through the state
virtual school network. The agreement may not require a
school district or open-enrollment charter school to pay the
provider the full amount until the student has successfully
completed the electronic course.
(c) A school district or open-enrollment charter school shall
use the standard agreement adopted under Subsection (b)
unless:
(I) the district or school requests from the commissioner
permission to modify the standard agreement: and
(2) the commissioner authorizes the modification.
(d) The commissioner shall adopt rules necessary to
implement this section. including rules regarding attendance
accounting.
[The conference committee may have exceeded the limitations ..
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
117
CONFERENCE
(a) Each school district is guaranteed a specified amount per
weighted student in state and local funds for each cent of tax
effort over that required for the district's local fund assignment
up to the maximum level specified in this subchapter. The
amount of state support, subject only to the maximum amount
under Section 42.303, is determined by the formula:
GYA= (GL X WADAX DTRX 100) - LR
where:
"GYA" is the guaranteed yield amount of state funds to be
allocated to the district;
"GL" is the dollar amount guaranteed level of state and local
funds per weighted student per cent of tax effort, which is an
amount described by Subsection (a-I) or a greater amount for
any year provided by appropriation;
"WADA" is the number of students in weighted average daily
attendance, which is calculated by dividing the sum of the
school district's allotments under Subchapters Band C, less
any allotment to the district for transportation, any allotment
under Section 42.158[, 42.159,] or 42.160, and 50 percent of
the adjustment under Section 42.102, by the basic allotment
for the applicable year;
"DTR" is the district enrichment tax rate of the school district,
which is detennined by subtracting the amounts specified by
Subsection (b) from the total amount of maintenance and
operations taxes collected by the school district for the
applicable school year and dividing the difference by the
quotient of the district's taxable value of property as
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE _. SUNSET REVIEW OF UNIVERSITY
INTERSCHOLASTIC LEAGUE [FA38]
CONFERENCE
determined under Subchapter M, Chapter 403, Government
Code, or, if applicable, under Section 42.2521, divided by
100; and
"LR" is the local revenue, which is determined by multiplying
"DTR" by the quotient of the district's taxable value of
property as determined under Subchapter M, Chapter 403,
Government Code, or, if applicable, under Section 42.2521,
divided by 100.
[The conference committee may hm'e exceeded the limitations
repealed.
amended by adding Subsection (e). [FA38]
ARTICLE _. STRATEGIC CAPITAL INVESTMENTS
[FA5I,FA52]
SECTION _.01. Subchapter A, Chapter 55, Education Code,
is amended by adding Section 55.05, STRATEGIC CAPITAL
118
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
INVESTMENT PROJECTS. [FA5l,FA52]
ARTICLE _ FISCAL MATTERS CONCERNING
SCHOLARSHIPS AWARDED FROM STUDENT
SUCCESS-BASED FUNDS [FA55]
SECTION _.01. Subchapter A, Chapter 56, Education Code,
is amended by adding Section 56.005, STUDENT PRIORITY
FOR SCHOLARSHIPS AWARDED FROM STUDENT
SUCCESS-BASED FUNDS. [FA55]
SECTION _.02. Saving provision. [FA55]
ARTICLE _ FISCAL MATTERS CONCERNING
PERMANENT FUNDS FOR HEALTH-RELATED
INSTITUTIONS OF HIGHER EDUCATION [FA56]
SECTION _.01. Subchapter B, Chapter 63, Education Code,
is amended by adding Section 63.104, INVESTMENT AND
DISTRIBUTION POLICY GOVERNING ENDOWMENT
OF THE UNIVERSITY OF TEXAS AT EL PASO. [FA56]
ARTICLE _. OPTOMETRY CAREER PROGRAM AT
THE UNIVERSITY OF HOUSTON [FA5?]
SECTION _.0l. Subchapter C, Chapter 111, Education
Code, is amended by adding Section 111.43, OPTOMETRY
CAREER PROGRAM. [FA5?]
ARTICLE _. PREMARITAL EDUCATION COURSES
[FA62,FA63]
119
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION _.01 Section 2.013. Family Code. is amended by
adding Subsection (g). [FA62.FA63]
ARTICLE _. SUITS AFFECTING THE PARENT-CHILD
RELATIONSHIP [FA64]
SECTION _.01. Section 263.601. Family Code. is amended
by amending Subdivision (1) and adding Subdivision (3-a) as
follows:
(1) "Foster care" means a voluntary residential living
arrangement with a foster parent or other residential child-care
provider that is:
(A) licensed or approved by the department or verified by a
licensed child-placing agency; and
(B) paid under a contract with the department.
C3-a) "Trial independence period" means a period of not less
than six months. or a longer period as a court may order not to
exceed 12 months. during which a young adult exits foster
care with the option to return to foster care under the
continuing extended jurisdiction of the court. [FA64]
CONFERENCE
SECTION 63.0 I. Same as House version.
No equivalent provision. SECTION .02. Section 263.602. Family Code.
EXTENDED JURISDICTION. is amended as follows:
(a) A court that had continuing. exclusive jurisdiction over a
young adult on the day before ["'8;'. lIl] the young adult's 18th
birthday continues to have extended [reEtyesl. reHaer lIH sraer
IAal eJ<leHas IAe eSYFI's] jurisdiction over the young adult and
shall retain the case on the court's docket while the young
adult remains in extended foster care and during a trial
independence period described [as rFsYiaeaj by this section
[SyeeAarler].
(b) A court with extended jurisdiction over a young adult who
120
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
remains in extended foster care shall conduct extended foster
care review hearings every six months for the purpose of
reviewing and making findings regarding:
(I) whether the young adult's living arrangement is safe and
appropriate and whether the department has made reasonable
efforts to place the young adult in the least restrictive
environment necessary to meet the young adult's needs:
(2) whether the department is making reasonable efforts to
finalize the permanency plan tbat is in effect for tbe young
adult. including a permanency plan for independent living:
(3) wbetber. for a young adult whose permanency plan is
independent living:
(A) tbe young adult participated in the development of the
plan of service:
(8) tbe young adult's plan of service reflects the independent
living skills and appropriate services needed to achieve
independence by the projected date: and
(C) the young adult continues to make reasonable progress in
developing the skills needed to achieve independence by the
projected date: and
(4) whether additional services tbat tbe department is
authorized to provide are needed to meet the needs of the
young adult [The eJtteflseEl jl:ifisElietisfl sf lke Stlft termiA8tes
lin the earlier af:
[(1) the ySHRg aaaifs 21st 13iftlutay; 8f
[(2) the aale the )'allAg aEillII wilhEiraws eaAseAt ta Ihe
eJtteRsisR sf lRe seHrt's juriselietieR iR writiRg Sf iR eeHrt].
(c) Not later tban the IOtb day before tbe date set for a hearing
under this section. the department shall file witb the court a
copy of the young adult's plan of service and a report that
addresses the issues described by Subsection (b).
(d) Notice of an extended foster care review hearing shall be
121
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
given as provided by Rule 21 a. Texas Rules of Civil
Procedure. to the following persons. each of whom has a right
to present evidence and be heard at the hearing:
(Il the young adult who is the subject of the suit:
(2) the department:
(3) the foster parent with whom the young adult is placed and
the administrator of a child-placing agency responsible for
placing the young adult. if applicable:
(4) the director of the residential child-care facility or other
approved provider with whom the young adult is placed. if
applicable:
(5) each parent of the young adult whose parental rights have
not been terminated and who is still actively involved in the
life of the young adult:
(6) a legal guardian of the young adult. if applicable: and
(7) the young adult's attorney ad litem. guardian ad litem. and
volunteer advocate. the appointment of which has not been
previously dismissed by the court.
(e) If. after reviewing the young adult's plan of service and the
report filed under Subsection (c). and any additional testimony
and evidence presented at the review hearing. the court
determines that the young adult is entitled to additional
services. the court may order the department to take
appropriate action to ensure that the young adult receives
those services.
(Q A court with extended jurisdiction over a young adult as
described in Subsection (a) shall continue to have jurisdiction
over the young adult and shall retain the case on the court's
docket until the earlier of:
(I) the last day of the:
(A) sixth month after the date the young adult leaves foster
care: or
122
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
(m 12th month after the date the young adult leaves foster
care if specified in a court order, for the purpose of allowing
the young adult to pursue a trial independence period; or
(2) the young adult's 21st birthday,
(g) A court with extended jurisdiction described by this
section is not required to conduct periodic hearings for a
young adult during a trial independence period and may not
compel a young adult who has exited foster care to attend a
court hearing, [FA64]
SECTION _,03, Subchapter G, Chapter 263, Family Code, is
amended by adding Section 263,6021, VOLUNTARY
EXTENDED JURISDICTION FOR YOUNG ADULT
RECEIVING TRANSITIONAL LIVING SERVICES, as
follows:
(a) Notwithstanding Section 263,602, a court that had
continuing, exclusive jurisdiction over a young adult on the
day before the young adult's 18th birthday may, at the young
adult's request, render an order that extends the court's
jurisdiction beyond the end of a trial independence period if
the young adult receives tmnsitional living services from the
department.
(b) The extended jurisdiction of the court under this section
terminates on the earlier of;
(ll the young adult's 21 st birthday; or
(2) the date the young adult withdmws consent to the
extension of the court's jurisdiction in writing or in court,
(c) At the request of a young adult who is receiving
transitional living services from the department and who
consents to voluntary extension of the court's jurisdiction
under this section, the court may hold a hearing to review the
services the young adult is receiving,
123
CONFERENCE
SECTION 63,03, Same as House version,
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
Cdl Before a review hearing scheduled under this section. the
department must file with the court a report summarizing the
young adult's transitional living services plan. services being
provided to the young adult under that plan. and the young
adult's progress in achieving independence.
Cel If. after reviewing the report and any additional testimony
and evidence presented at the hearing. the court determines
that the young adult is entitled to additional services. the court
may order the department to take appropriate action to ensure
that the young adult receives those services. [FA64]
SECTION _.04. Subsections (a) and (c), Section 263.603,
Family Code, are amended as follows:
(a) Notwithstanding Section 263.6021 [283.8Q2], if the court
believes that a young adult may be incapacitated as defined by
Section 60I(14)(B), Texas Probate Code, the court may
extend its jurisdiction on its own motion without the young
adult's consent to allow the department to refer the young
adult to the Department of Aging and Disability Services for
guardianship services as required by Section 48.209, Human
Resources Code.
(c) If the Department of Aging and Disability Services
determines a guardianship is not appropriate, or the court with
probate jurisdiction denies the application to appoint a
guardian, the court under Subsection (a) may continue to
extend its jurisdiction over the young adult only as provided
by Section 263.602 or 263.6021. [FA64]
SECTION _.05. Section 263.609, Family Code, is repealed.
[FA64]
SECTION _.06.
124
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the, for immediate effect,
this article takes effect [FA64]
CONFERENCE
provided by Section 39, Article IlI, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect,
this article takes effect on the 91 st day after the jast day or'the
legislative
.,
..
No equivalent provision. ARTICLE _.
TECHNOLOGY IN
[FA65]
VIDEO COMMUNICATIONS
DISTRICT COURT PROCEEDINGS
SECTION _.01. Subchapter A, Chapter 24, Government
Code, is amended by adding Section 24.035, CONDUCTING
HEARINGS BY VIDEO. [FA65]
ARTICLE _. GENERAL APPROPRIATIONS ACT
FORMAT [FA67]
SECTION .0I. Section 322.008, Government Code, IS
amended by adding Subsection (b-l). [FA67]
ARTICLE _. FEDERAL FUNDS DESIGNATION. [FA74]
SECTION _.01. Subchapter H, Chapter 418, Government
Code, is amended by adding Section 418.187, FEDERAL
FUNDS DESIGNATION, as follows:
(a) The governor shall designate an agency or agencies. under
the Omnibus Budget Reconciliation Act of 1981 <PubL No.
97-35) and 24 CFR. Part 570. Subpart 1, to administer the
state's allocation of federal funds provided under the
125
(a) Notwithstanding Section 487.051 or 487.351. on the
written request of the commissioner of agriculture or the
administrative head of a stine agency designated under this
subsection. the governor may designate one or more state
agencies. under the Omnibus Budget Reconciliation Act of
1981 (Pub. L. No. 97-35\ and 24 C.F.R. Part 570. Subpart 1, to
administer the state's allocation of federal funds provided
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
community development block grant nonentitlement program
authorized by Title I of the Housing and Community
Development Act of 1974. (42 U.S.C. Section 5301 et seq.).
(b) Notwithstanding any other provIsIOn of this Act, the
governor retains his. authority to designate any agency or
agencies to administer all non-entitlement federal community
development . block grant program funds and federal
community development block grant disaster recovery funds
and to transfer such federal funds to any agency. [FA74]
SECTION _.02. The following sections are repealed:
(I) Section 487.051(a)(6), Government Code; and
(2) Subchapter I, Chapter 487, Government Code. [FA74]
ARTICLE _. TEXAS COMMISSION ON FIRE
PROTECTION FEES [FA75]
SECTION _,01. Section 419.026(d), Government Code, is
amended as follows:
(d) The commission shall send the fees authorized by
Subsection (a) and Section 419.033(b) to the comptroller. The
comptroller [,........fte] shall deposit a portion [3Q flereeRt] of the
fees collected [8RRH8I1y] into [tRe geReral reveRHe fHREI 8REl3Q
flereeRt ef tRe fees eelleeteEi 8RRH811)' iRte] a special account
in the general revenue fund dedicated for use by the
commission. In any state fiscal biennium. the comptroller may
not deposit into the account fees in an amount that exceeds the
126
CONFERENCE
under the community development block grant nonentitlement
program authorized by Title I of the Housing and Community
Development Act of 1974 (42 U.S.C. Section 5301 et seq.).
(b) Notwithstanding Subsection (a) or ariyother law, the
governor may designate any agency to administer all federal
and to transfer such federal funds to any agency.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
amount appropriated to the commission for that biennium, less
any other amount appropriated to the commission from a
source other than the fees. The account is exempt from the
application of Section 403.095. The comptroller shall deposit
the remainder of the fees in the general revenue fund. [ ~
as et!lerwise Ilrsyiaea By t!lis ehUllter, $0 Ilereent sf the
slleeilll fana ereatea anaer this saBsestien may Be asea e n l ~ ' te
aefrey the semmissien's eests in Ilerferming inslleetiens anaer
8estien q19.027 lIna the ether $0 Ilersent may Be asea enly ts
Ilre"iae training assistanee Bnaer 8estien q19.031.;FA75]
SECTION _.02. The dedication of certain fees to a special
account in the general revenue fund dedicated for use by the
Texas Commission on Fire Protection under Section
419.026(d), Government Code, was abolished effective
August 31, 1995, under former Section 403.094(h),
Government Code, as enacted by Section 11.04, Chapter 4
(S.B. 3), Acts of the nnd Legislature, 1st Called Session,
1991. Those fees are rededicated to that fund by this article.
[FA75]
SECTION _.03. This article takes effect immediately if this
Act receives a vote of twothirds of all the members elected to
for this article to have immediate effect, this article takes
effect October I, 2011. [FA75]
ARTICLE _. PROVISIONS RELATING TO THE
CORRECTIONAL SYSTEM [FA78]
SECTION _.01. Section 495.027(d), Government Code, is
127
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
amended. [FA78]
ARTICLE _. TRANSFERRING TEXAS DEPARTMENT
OF RURAL AFFAIRS TO OFFICE OF RURAL AFFAIRS
WITHIN DEPARTMENT OF AGRICULTURE [FA79]
SECTION _.01. The heading to Chapter 487, Government
CHAPTER 487. OFFICE [TeXAS OF
RURAL AFFAIRS IN DEPARTMENT OF AGRICULTURE
[FA79]
SECTION _.02. Section 487.00I, Government Code,
DEFINITIONS, is amended as follows:
In this chapter:
(I) "Board" means the commissioner [BeeFs ef tile Telles
Dep9FtmeAt sf RHFSI Affairs].
(2) "Commissioner" means the commissioner of agriculture.
ill "Department" means the office [Telles gefleFlment ef
Rt::1Fa] At+airs].
(4) "Office" means the Office of Rural Affairs established
within the Department of Agriculture under Section 12.038,
Agriculture Code. [FA79]
SECTION _.03. Subchapter A, Chapter 487, Government
Code, is amended by adding Section 487.003, REFERENCE
IN LAW, as follows:
(a) A reference in this chapter or other law to the Texas
Department of Rural Affairs or the Office of Rural
Community Affairs means the office and a reference in this
chapter or other law to the board of the Texas Department of
Rural Affairs means the commissioner.
128
CONFERENCE
,
f
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
Ibl A reference in law to the executive director of the Texas
Department of Rural Affairs means the director of the Office
of Rural Affairs appointed under Section 12.038. Agriculture
Code. [FA79]
SECTION _.04. Section 487.026, Government Code, is
amended as follows:
Sec. 487.026. [EXBCUTIVE] DIRECTOR. (a) The [beam
may HiFe aA el,esHtive] director ~ [ta serve] as the chief
executive officer of the office [E1ejlartmeAt] and performs [Ia
jlerfarm] the administrative duties of the office [E1ejlartmeAt].
(b) [THe elEeelltiye Eli Fester sen'es at tHe will af the eearEl.
[fet] The [eJ,esllti'le] director may hire staff within guidelines
established by the commissioner [beam]. [FA79]
SECTION _.05. Section 487.051(a), Government Code, is
amended as follows:
(a) The office [E1ejlartmeAt] shall:
(I) assist rural communities in the key areas of economic
development, community development, rural health, and rural
housing;
(2) serve as a clearinghouse for information and resources on
all state and federal programs affecting rural communities;
(3) in consultation with rural community leaders, locaHy
elected officials, state elected and appointed officials,
academic and industry experts, and the interagency work
group created under this chapter, identify and prioritize policy
issues and concerns affecting rural communities in the state;
(4) make recommendations to the legislature to address the
concerns affecting rural communities identified under
Subdivision (3);
(5) monitor developments that have a substantial effect on
129
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
rural Texas communities, especially actions of state
government, and compile an annual report describing and
evaluating the condition of rural communities;
(6) administer the federal community development block
grant nonentitlement program;
(7) administer programs supporting rural health care as
provided by this chapter;
(8) perform research to determine the most beneficial and
cost-effective ways to improve the welfare of rural
communities;
(9) ensure that the office [aejlaFlRleRI] qualifies as the state's
office of rural health for the purpose of recei ving grants from
the Office of Rural Health Policy of the United States
Department of Health and Human Services under 42 U.S.C.
Section 254r;
(10) manage the state's Medicare rural hospital flexibility
program under 42 U.S.C. Section 1395i-4;
(11) seek state and federal money available for economic
development in rural areas for programs under this chapter;
(12) in conjunction with other offices and divisions of the
Department of Agriculture, regularly cross-train office
[aejlaFlRleRI] employees with other employees of the
Department of Agriculture regarding the programs
administered and services provided eaeh to rural
communities; and
(13) work with interested persons to assist volunteer fire
departments and emergency services districts in rural areas.
[FA79]
SECTION _.06. Section 487.0541(c), Government Code, is
amended as follows:
(c) The work group shall meet at the call of the
130
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
director of the office [eejlaFlffleRt]. [FA79]
SECTION _.07. Section 487.055, Government Code,
ADVISORY COMMITTEES, is amended as follows:
fill The commissioner [eeaffi] may appoint advisory
committees as necessary to assist the office [eeaffi] in
performing its duties. An advisory committee may be
composed of private citizens and representatives from state
and local governmental entities. A state or local governmental
entity shall appoint a representative to an advisory committee
at the request of the commissioner [eeaffi].
i!1l Chapter 2110 does not apply to an advisory committee
created under this section. [FA79]
SECTION _.08. Section 487.351(d), Government Code, is
amended as follows:
(d) An applicant for a grant, loan, or award under a
community development block grant program may appeal a
decision of the [ellee"tiYe] director by filing an appeal with
the commissioner [eeaffi]. The commissioner [eeaffi] shall
hold a hearing on the appeal and render a decision. [FA79]
CONFERENCE
..
SECTION _._. Chapter 487, Government Code, is
amended by adding Subchapter R, TEXAS RURAL HEALTH
AND ECONOMIC DEVELOPMENT ADVISORY
COUNCIL, as follows:
Sec. 487.801. DEFINITION. In this subchapter, "advisory
council" means the Texas Rural Health and Economic
Development Advisory Council established under this
subchapter.
Sec. 487.802. ESTABLISHMENT AND COMPOSITION OF
ADVISORY COUNCIL: PRESIDING OFFICER. fa) The
131
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
commISSIoner shall establish the Texas Rural Health and
Economic Development Advisory Council. composed of the
following members:
(]) one local official in this state with health care expertise.
appointed by the commissioner;
(2) one county official in this state with health care expertise.
appointed by the commissioner:
(3) one senator serving a predominantly rural area. appointed
by the lieutenant governor:
(4) one member of the house of representatives serving a
predominantly rural area, appointed by the speaker of the
house of representatives;
(5) a representative of an institution of higher education in this
state that specializes in public health and community and
economic development. appointed by the commissioner; and
(6) four public members with health care or economic
development expertise, appointed by the commissioner.
(b) The members of the advisory council serve staggered
three-year terms. A member of the council appointed by the
commissioner serves at the pleasure of the commissioner,
(c) The commissioner shall serve as presiding officer of the
advisory council and as a nonvoting member of the advisory
council. The commissioner is not counted as a member of the
advisory council for purposes of establishing a quorum.
Sec, 487.803. DUTIES OF ADVISORY COUNCIL. The
advisory council shall;
(Il advise the commissioner. director. and office on rural
policy priorities, including priorities for the use and allocation
in this state of federal block grant money;
(2) review this state's existing rural policies and programs;
(3) meet with the representatives of state agencies that
administer rural programs as necessary to conduct the review
132
CONFERENCE
..
SENATE VERSION
- -------- ----
Senate Bill 1
HOUSE VERSION (lE)
required under Subdivision (2);
(4) make recommendations to the office regarding the
allocation in this state of federal block grant money; and
(5) establish a rural health task force composed of all or a
portion of the members of the advisory council.
Sec. 487.804. RURAL POLICY PLAN. (a) Not later than
December I of each even-numbered year, the advisory council
shall develop a rural policy plan that includes;
(I) Strategic initiatives for this state regarding economic
development. community development, and rural health,
including priorities for the use and allocation in this state of
federal block grant money; and
(2) recommendations for legislation and program development
or revision.
(b) Not later than January 1 of each even-numbered year, the
commissioner shall submit to the legislature a report of the
findings of the advisory council.
Sec. 487.805. RURAL HEALTH TASK FORCE, The rural
health task force shall;
(]) assist the advisory council in its efforts to expand and
improve access to health care in rural areas of this state; and
(2) develop a statewide rural health plan for this state that
includes:
(A) strate!!ic initiatives for this state re!!ardin!! rural health;
and
(B) recommendations for legislation and program
development or revision.
Sec. 487.806. REIMBURSEMENT OF EXPENSES. A
member of this advisory council may not receive
compensation for service on the advisory council or rural
health task force. Subject to availability of funds, an advisory
council member may receive reimbursement for actual and
133
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
necessarv expenses incurred while conducting advisory
councilor task force business. as appropriate. [FA79,FA80]
SECTION _.09. Section 2306.1092(b), Government Code. is
amended as follows:
(b) The council is composed of 16 members consisting of:
(I) the director;
(2) one representative from each of the following agencies,
appointed by the head of that agency:
(A) the Office of Rural [Cell"flllSil)'] Affairs within the
(B) the Texas State Affordable Housing Corporation;
(C) the Health and Human Services Commission;
(D) the Department of Assistive and Rehabilitative Services;
(E) the Department of Aging and Disability Services; and
(F) the Department of State Health Services;
(3) one representative from the Department of Agriculture
who is:
(A) knowledgeable about the Texans Feeding Texans and
Retire in Texas programs or similar programs; and
(B) appointed by the head of that agency;
(4) one member who is:
(A) a member of the Health and Human Services Commission
Promoting Independence Advisory Committee; and
(B) appointed by the governor; and
(5) one representative from each of the following interest
groups, appointed by the governor:
(A) financial institutions;
(B) multifamily housing developers;
(C) health services entities;
(D) nonprofit organizations that advocate for affordable
housing and consumer-directed long-term services and
134
CONFERENCE
..
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
support;
(E) consumers of service-enriched housing;
(F) advocates for minority issues; and
(G) rural communities. [FA79]
SECTION _.10. Sections 487.002, 487.021, 487.022,
487.023, 487.024, 487.025, 487.028, 487.029, 487.05 I(b),
487.058, and 487.352, Government Code, are repealed.
[FA79]
SECTION _.11. (a) The Texas Department of Rural Affairs
is abolished as an independent agency and transferred as a
program to the Office of Rural Affairs in the Department of
Agriculture. The board of the Texas Department of Rural
Affairs is abolished.
(b) The validity of an action taken by the Texas Department of
Rural Affairs or its board before either is abolished under
Subsection (a) of this section is not affected by the
abolishment.
(c) All rules, policies, procedures, and decisions of the Texas
Department of Rural Affairs are continued in effect as rules,
policies, procedures, and decisions of the Office of Rural
Affairs in the Department of Agriculture until superseded by a
lule, poHcy, procedure, or deciSIon of the office.
(d) Any pending action or proceeding before the Texas
Department of Rural Affairs becomes an action or proceeding
before the Office of Rural Affairs in the Department of
Agriculture. [FA79]
SECTION _.12. (a) On October I, 20II:
(I) the position of executive director of the Texas Department
of Rural Affairs is abolished, except that the director of the
135
CONFERENCE
'.
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
Office of Ruml Affairs in the Department of Agriculture may
hire the executive director for a position in the office;
(2) an employee of the Texas Department of Rural Affairs
becomes an employee of the Office of Rural Affairs in the
Affairs means the Office of Rural Affairs in the Department of
Agriculture;
(4) all money, contracts, leases, rights, and obligations of the
Texas Department of Rural Affairs are transferred to the
Office of Rural Affairs in the Department of Agriculture;
(5) all property, including records, in the custody of the Texas
Department of Rural Affairs becomes the property of the
Office of Rural Affairs in the Department of Agriculture; and
(6) all funds appropriated by the legislature to the Texas
Department of Rural Affairs are transferred to the Office of
Rural Affairs in the Department of Agriculture.
(b) A function or activity performed by the Texas Department
of Rural Affairs is transferred to the Office of Rural Affairs in
the Department of Agriculture as provided by this article.
[FA79]
SECTION _.13. The Texas Department of Rural Affairs and
the Department of Agriculture shall establish a transition plan
for the transfer described in Sections _.11 and _.12 of this
article. [FA79]
SECTION _.14. Notwithstanding any other provision of this
article, the governor retains the authority to designate an
agency to administer federal disaster recovery funds and to
transfer the federal funds to any state agency. On the date the
governor designates a state agency, other than the Texas
136
CONFERENCE
SECTION 62. J4. The Texas Department of Rural Affairs and
the Department of Agriculture shall establish a transition plan
for the transfer described in Sections 62. I2 and 62. I3 of this
article.
SECTION 62. J5. Same as House version.
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
Department of Rural Affairs, to administer the federal
received for Hurricanes Rita, Dolly, and Ike:
Affairs related to the disaster recovery funds means the
agency designated by the governor to administer the disaster
recovery funds;
(2) all money, contracts, leases, rights, and obligations of the
Texas Department of Rural Affairs related to the disaster
recovery funds are transferred to the designated agency; and
(3) all property, including records, in the custody of the Texas
Department of Rural Affairs related to the disaster recovery
funds becomes the property of the designated agency. [FA79]
CONFERENCE
..
No equivalent provision. ARTICLE _. PROVISIONS RELATING
CORRECTIONAL HEALTH CARE [FA8t]
TO ARTICLE 65. Same as House version except as follows:
SECTION _.01. Subchapter C, Chapter 499, Government
Code, is amended by adding Section 499.055, POPULATION
MANAGEMENT BASED ON INMATE HEALTH, as
follows:
The department shall adopt policies designed to manage
inmate population based on similar health conditions suffered
by inmates. The policies adopted under this section must
maximize organizational efficiencies and reduce health care
costs to the department by housing inmates with similar health
conditions in the same unit or units that are, if possible, served
by or located near one or more specialty health care providers
most likely to be needed for the treatment of the health
condition. [FA8I]
SECTION _.02. (a) Section 501.063, Government Code, is
137
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
amended as follows:
Sec. 501.063. INMATE FEE FOR
[CERTAIN] HEALTH CARE [VISITS]. (a)ill An inmate
confined in a facility operated by or under contract with the
department. other than a halfway house. who initiates a visit to
a health care provider shall pay a health care services fee
[Iflol,e 0 eSjla)'lflent] to the department in the amount of $100
[$;].
(2) The fee imposed under Subdivision (I) covers all visits to
a health care orovider that the inmate initiates until the first
anniversary of the imposition of the fee.
ru The inmate shall m!Y [fflftlEe] the fee [esjla)'lflent] out of
the inmate's trust fund. If the balance in the fund is insufficient
to cover the fee [esjla)'lflent]. 50 percent of each deposit to the
fund shall be applied toward the balance owed until the total
amount owed is paid.
(b) [The aefHlFtmeAt may Ret eRafge a eSf3aymeRl fer
-[( I) jlrs\'iaea iA resjlsAse ts a life threatening sr elflergeAe)'
sitttatisR af'feetiAg tfie ifllTl8te's healtH;
[(2) initiatea Il)' the aejlartlflent;
[(3) iAitiatea By the safe tJFBvitler 8F SSAsistiAg af
rSHrifts ffillew Hfl. tJFeAatal. 8f SAfaRis eaFe; 8f
[(4) tJr8viEleSl::IRSer a eSfltF8etl::lal 8e1igatisR tRat is estaBlishes
HAtler the IRterstate CSFFeetisAS CSfA13aet Sf HAser 8R
agreemeRt .... ith RAetRer state lkat f'feeh:lEles assessiAg a
eSjlaylflent.
[fe)] The department shall adopt policies to ensure that before
any deductions are made from an inmate's trust fund under
this section [eA iRITutte iAitiates a visit 18 a HealtH Safe
jlrs\'iEler], the inmate is informed that the health care services
fee [a $:1 eSjl8)'lfleRt] will be deducted from the inmate's trust
138
CONFERENCE
Sec. 501.063. INMATE FEE [COPAYMHITS] FOR
[CERTAH>I] HEALTH CARE [VISITS], (a)ill An inmate
confined in a facility operated by or under contract with the
department. other than a halfway house. who initiates a visit to
a health care provider shall pay a health care services fee
[Iflake a eSjla)'lflent] to the department in the amount of $\00
[$;].
(2) The fee imposed under Subdivision (I) covers all visits to
a health care provider that the inmate initiates until the first
anniversary of the imposition of the fee.
ru The inmate shall m!Y [1flltI<e] the fee [esjla)'lflent] out of
the inmate's trust fund. If the balance in the fund is
insufficient to cover the fee [esjla)'lflent], 50 percent of each
deposit to the fund shall be applied toward the balance owed
until the total amount owed is paid.
(b) [The E1ejlartrneAt Iflay nst eharge a eSjla)'lflent fer health
-[( I) jlrs\'iElea in resjlsnse ts a life threateAing sr elflergene)'
sitHatieR at=t:eetiAg tAe iAfTlate's kealtk;
[(2) iAitiates B)! tAe
[(3) iAitiates 8} tAe kealtk eare fJfaviser af SSAsistiAg sf
FSHtiAe feJlsw Hp, f)FeAatal, SF eAFaRis eaFe; aF
[(4) jlrBviEleEl Mnder a eBAtraetMal sllligatiBA that is estalllisheEl
HAser tAe IAterstate CSffestisAG CefFlf)aet eF HAseF aA
8gFeefFleAt witli aAetlier state tAat fJFeSIHSeS assessiAg a

[fe)] The department shall adopt policies to ensure that before
any deductions are made from an inmate's trust fund under
this section [aR iRfflate iflitiates a visit te a heald=t eaFe
jlrs\'iEler]. the inmate is informed that the health care services
fee [a $3 eBjla) rnent] will be deducted from the inmate's trust ..
,..
--_.. ------------------------------------------------------
Senate BiIIl
..
fund as required by Subsection (a).
ill [fe1] The department may not deny an inmate access to
health care as a result of the inmate's failure or inability to Qi!Y
a fee under this section [malce a
@ [wl The department shall deposit money received under
this section in an account in the general revenue fund that may
be used only to pay the cost of correctional health care
[asmiflisteriflg this seetisfl]. At the beginning of each fiscal
year, the comptroller shall transfer any surplus from the
preceding fiscal year to the state treasury to the credit of the
general revenue fund.
(b) Effective September 1, 2015,' SectislO 50L063,
Government Code, is,atm;nded as follows:
Sec. 501.063:'lNMATE COPAYMENTSFOR CERTAIN
HEALTH CARE VISITS. (a) An inmate confined in a facility
operated by under contract with the department, other than
a halfway house; wno initiates aVlsit'to a health care prQvider
shall make a copayment to the department in the amount of
$3. The inmate shall make copayment out of.the inmate's
trUSt fund. Ifthe balance in the futid is insufficient to cover the
copaymerit;50 percent of each deposit to the fund shall be
applied toward the balance 6.wed until the total al1lountowed
is paid.
(b) The department may not charge'a copaymentfor health
care:
(1) provided in response to a life-threatening or emergency
situation affecting the inmate's health;
(2) initiated by the department;
(3) initiated by the health care provider or consisting of
routine follow-up, prenatal, or chronic care; or
(4) provided under a ,contractual obligation that is established
under the Interstate Corrections, Compact or under an
139
CONFERENCE
fund as required by Subsection (a).
ill [fe1] The department may not deny an inmate access to
health care as a result of the inmate's failure or inability to Qi!Y
a fee under this section [make a
@[W] The department shall deposit money received under
this section in an account in the general revenue fund that may
be used only to pay the cost of correctional health care
[asmiflisteriflg this seetisfl]. At the beginning of each fiscal
year, the comptroller shall transfer any surplus from the
preceding fiscal year to the state treasury to the credit of the
general revenue fund.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
agreement with another state that preCludes assessing a
copayment.
(c) The adopt policies to ensure that before
an inmate initiates a visit to a health care provider, the inmate
is informed that a $3 copayment will be deducted from the
inmate's trust fund as required bySubsection (a).
(d) The department may not deny an inmate access to health
care as a result of the inmate's failure or inability to make a
copayment.
(e) The 'department shall deposit money received under this
section in an accountin the general revenue fund that may be
used only to pay the coSt of administering this section. At the
beginning of eachJiscaIyear, th
7
comptrollershall
any surplus from the preceding fiscal year to the state treasury
to the creditofthe geneml revenue fund. [FA81,FA82]
SECTION _.03. Subchapter B, Chapter 501, Government
AVAILABILITY OF CERTAIN MEDICATION, as follows:
(a) In this section, "over-the-counter medication" means
medication that may legally be sold and purchased without a
prescription.
(b) The department shall make over-the-counter medication
available for purchase by inmates in each inmate commissary
operated by or under contract with the department.
(cl The department may not deny an inmate access to over-
the-counter medications as a result of the inmate's inability to
pay for the medication. The department shall pay for the cost
of over-the-counter medication for inmates who are unable to
pay for the medication out of the profits of inmate
commissaries operated by or under contract with the
department.
140
CONFERENCE
..
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
(d) The department may adopt policies concerning the sale
and purchase of over-the-counter medication under this
section as necessary to ensure the safety and security of
inmates in the custody of, and employees of, the department.
including policies concerning the quantities and types of over-
the-counter medication that may be sold and purchased under
this section. [FA81]
SECTION _.04. Subchapter E, Chapter 501, Government
CORRECTIONS MEDICATION AIDES, as follows:
(a) The department. in cooperation with The University of
Texas Medical Branch at Galveston and the Texas Tech
University Health Sciences Center, shall develop and
implement a training program for corrections medication aides
that uses a curriculum specific to administering medication in
a correctional setting.
(b) In developing the curriculum for the training program, the
department, The University of Texas Medical Branch at
Galveston, and the Texas Tech University Health Sciences
Center shall:
(n consider the content of the curriculum developed by the
American Correctional Association for certified corrections
nurses; and
(2) modify as appropriate the content of the curriculum
developed under Chapter 242, Health and Safety Code, for
medication aides administering medication in convalescent
and nursing homes and related institutions to produce content
suitable for administering medication in a correctional setting.
(c) The department shall submit an application for the
approval of a training program developed under this section,
including the curriculum, to the Department of Aging and
141
CONFERENCE
,
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
Disability Services in the manner established by the executive
commissioner of the Health and Human Services Commission
under Section 161.083. Human Resources Code. [FA81]
SECTION _.05. Section 25 I.Ql2, Health and Safety Code,
EXEMPTIONS FROM LICENSING REQUIREMENT, as
effective September 1,2011, is amended as follows:
The following facilities are not required to be licensed under
this chapter:
(I) a home and community support services agency licensed
under Chapter 142 with a home dialysis designation;
(2) a hospital licensed under Chapter 241 that provides
dialysis only to individuals receiving:
(A) [iREli,'iEl""ls feeei ...iRg] inpatient services from the
hospital; or
(B) [iREli"iEl""ls feeei"iRg] outpatient services due to a disaster
declared by the governor or a federal disaster declared by the
president of the United States occurring in this state or another
state during the term of the disaster declaration; reF]
(3) a hospital operated by or on behalf of the state as part of
the managed health care provider network established under
Chapter 50I. Government Code. that provides dialysis only to
individuals receiving:
(A) inpatient services from the hospital: or
(B) outpatient services while serving a term of confinement in
a facility operated by or under contract with the Texas
Department of Criminal Justice;
(4) an end stage renal disease facility operated by or on behalf
of the state as part of the managed health care provider
network established under Chapter 501. Government Code.
that provides dialysis only to individuals receiving those
services while serving a term of confinement in a facility
142
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
operated by or under contract with the Texas Department of
Criminal Justice: or
ill the office of a physician unless the office is used primarily
as an end stage renal disease facility. [FA8l]
SECTION _.06. Subchapter D, Chapter 161, Human
Resources Code, is amended by adding Section 161.083,
CORRECTIONS MEDICATION AIDES, as follows:
(a) The executive commissioner shall establish:
(1) minimum standards and procedures for the approval of
corrections medication aide training programs, including
curricula, developed under Section 501.1485, Government
Code:
(2) minimum requirements for the issuance, denial, renewal,
suspension. and revocation of a permit to a corrections
medication aide, including the payment of an application or
renewal fee in an amount necessary to cover the costs incurred
by the department in administering this section: and
(3) the acts and practices that are within and outside the scope
of a permit issued under this section.
(b) Not later than the 90th day after receipt of an application
for approval of a corrections medication aide training program
developed under Section 501.1485, Government Code. the
department shall:
(Il approve the program, if the program meets the minimum
standards and procedures established under Subsection (a)(]):
or
(2) provide notice to the Texas Department of Criminal
Justice that the program is not approved and include in the
notice a description of the actions that are required for the
program to be approved.
(cl The department shall issue a permit to or renew the permit
143
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
of an applicant who meets the minimum requirements
established under Subsection (a)(2). The department shall
coordinate with the Texas Department of Criminal Justice in
the performance of the department's duties and functions
under this subsection. [FA8I]
SECTION _.07. (a) The Texas Department of Criminal
Justice, in cooperation with The University of Texas Medical
Branch at Galveston, the Texas Tech University Health
Sciences Center, or a successor correctional managed health
care provider, shall develop the training program required by
Section 501.1485, Government Code, as added by this article,
and the department shall submit an application for approval of
that program, as required by Subsection (c) of that section, not
later than January I, 2012. If after the effective date of this
Act and before the date the department develops the training
program described by this subsection The University of Texas
Medical Branch at Galveston and the Texas Tech University
Health Sciences Center are no longer represented on the
Correctional Managed Health Care Committee, or no longer
serve as correctional managed health care providers, the
executive director of the department shall request and receive
the cooperation of any other state agency determined by the
executive director to be an appropriate resource in the
development of the program.
(b) The change in law made by this article in amending
Section 251.012, Health and Safety Code, applies only to
dialysis services provided on or after the effective date of this
Act. Dialysis services provided before the effective date of
this Act are covered by the law in effect immediately before
that date, and the former law is continued in effect for that
purpose.
144
CONFERENCE
..
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
(c) The executive commissioner of the Health and Human
Services Commission shall establish the minimum standards
and requirements and the acts and practices allowed or
prohibited, as required by Section 161.083, Human Resources
Code, as added by this article, not later than January 1,2012.
[FA81]
ARTICLE _. COUNTY HIV AND AIDS SERVICES
MEDICAID WAIVER PROGRAM [FA84]
SECTION _.0I. Subchapter B, Chapter 531, Government
Code, is amended by adding Section 531.09721, COUNTY
HIV AND AIDS SERVICE MEDICAID WAIVER
PROGRAM. [FA84]
ARTICLE _. COUNTY}vIENTAL HEALTH SERVICES
MEDICAID WAIVER PROGRAM [FA85]
SECTION _.01. Subchapter B, Chapter 531, Government
Code, is amended by adding Section 531.0226 as follows:
Sec. 531.0226. COUNTYMENTAL HEALTH SERVICES
MEDICAID WAIVER PROGRAM. (a) If feasible and cost-
effective, the commission may apply for a waiver from the
federal Centers for Medicare and Medicaid Services or
another appropriate federal agency to more efficiently
leverage the use of state and local funds in order to maximize
the receipt of federal Medicaid matching funds by providing
counties in the state with the flexibility to provide benefits
under the Medicaid program to individuals who:
(I) have anet family income thatis at or below 200 percent of
the federal poverty level; and
(2) are eligible to receive l11entalhealth services through the
145
CONFERENCE
ARTICLE 71. CHRONIC HEALTH CONDmONS
SERVICES MEDICAID WAIVER PROGRAM
Sec. 531.0226. CHRONIC HEALTH CONDITIONS
SERVICES MEDICAID WAIVER PROGRAM. (a) If
feasible and cost-effective, the commission may apply for a
waiver from the federal Centers for Medicare and Medicaid
Services or another appropriate federal agency to more
efficiently leverage the use of state and local funds in order to
maximize the receipt of federal Medicaid matching funds by
providing counties in the state with the flexibility to provide
benefits under the Medicaid program to individuals who:
(I) meet established income and other eligibility criteria: and
(2) are eligible to receive services through the county for
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
county.
(b) In establishing the waiver program under this section. the
commission shall:
(I) ensure that the state is a prudent purchaser of the health
care services that are needed for the individuals described by
Subsection (a):
(2) solicit broad-based input from interested persons:
(3) ensure that the benefits received by an individual through
the county are not reduced once the individual is enrolled in
the waiver program: and
(4) employ the use of intergovernmental transfers and other
procedures to maximize the receipt of federal Medicaid
matching funds. [FA85]
ARTICLE . TEXAS HEALTH OPPORTUNITY POOL
TRUST FUND [FA86,FA87]
SECTION .02. Section 53 J.504, Government Code,
DEPOSITS TO FUND, is amended. [FA86,FA87]
SECTION _.03. Section 53 I.508, Government Code, is
amended by adding Subsection (d). [FA86,FA87]
CONFERENCE
chronic health conditions.
(b) In establishing the waiver program under this section. the
commission shall:
(I) ensure that the state is a prudent purchaser of the health
care services that are needed for the individuals described by
Subsection (a);
(2) solicit broad-based input from interested persons;
(3) ensure that the benefits received by an individual through
the county are not reduced once the individual is enrolled in
the wai ver program: and
(4) employ the use of intergovernmental transfers and other
procedures to maximize the receipt of federal Medicaid
matching funds.
SECTION .04. Subsection (g), Section 531.502,
Government Code, is repealed. [FA86,FA87]
-'
DELIVERY OF MEDICAID MANAGED
146
..
SENATE VERSION
~ - - - - - - - - - - - - - - - - - - - - - - -
Senate Bill 1
HOUSE VERSION (IE)
CARE SERVICES [FA88,FA89]
CONFERENCE
..
SECTION _.01. (a) Subsection (e), Section 533.0025,
(b) Subchapter A, Chapter 533, Government Code, is
amended by adding Sections 533.0027, PROCEDURES TO
ENSURE CERTAIN RECIPIENTS ARE ENROLLED IN
SAME MANAGED CARE PLAN, 533.0028,
EVALUATION OF CERTAIN STAR + PLUS MEDICAID
MANAGED CARE PROGRAM SERVICES, and 533.0029,
PROMOTION AND PRINCIPLES OF PATIENT-
CENTERED MEDlCAL HOMES FOR RECIPIENTS.
(c) Section 533.003, Government Code, CONSIDERATIONS
IN AWARDlNG CONTRACTS, is amended
(d) Section 533.005, Government Code, is amended by
amending Subsection (a) and adding Subsection (a-I).
(e) Subchapter A, Chapter 533, Government Code, is
amended by adding Section 533.0066, PROVIDER
INCENTIVES.
(0 Section 533.0071, Government Code,
ADMINISTRATION OF CONTRACTS, is amended.
(g) Subchapter A, Chapter 533, Government Code, is
amended by adding Section 533.0073, MEDICAL
DlRECTOR QUALIFICATIONS. [FA88,FA89]
SECTION _.02. If before implementing any provision of this
article a state agency determines that a waiver or authorization
from a federal agency is necessary for implementation of that
provision, the agency affected by the provision shall request
the waiver or authorization and may delay implementing that
provision until the waiver or authorization is granted.
[FA88,FA89]
147
SENATE VERSION
ARTICLE _.
MEDICAID
[FA88,FA90]
Senate Bill 1
HOUSE VERSION (IE)
CONSIDERATIONS IN AWARDING
MANAGED CARE CONTRACTS
CONFERENCE
SECTION .0I. Subchapter B, Chapter 531, Government
Code, IS amended by adding Section 531.0696,
CONSIDERATIONS IN AWARDING CERTAIN
CONTRACTS. [FA88,FA90]
SECTION _.02. If before implementing any provision of this
article a state agency determines that a waiver or authorization
from a federal agency is necessary for implementation of that
provision, the agency affected by the provision shall request
the waiver or authorization and may delay implementing that
provision until the waiver or authorization is granted.
[FA88,FA90]
No equivalent provision. ARTICLE _. QUALIFIED
BENEFITS [FA92]
TRANSPORTATION Same as Senate version.
SECTION .01. Section 659.102, Government Code, is
amended by adding Subsection (b-I) and amending
Subsection (c). [FAn]
SECTION _.02. This article takes effect January I, 2013.
[FA92]
SECTION _.01. Section 791.01 I, Government Code, is
ARTICLE _. INTERLOCAL
CONTRACTS [FA93]
COOPERATION Same as Senate version.
Same as Senate version. ..
148
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
amended by adding Subsections (h-I) and (h-2). [FA93]
SECTION _.02. Saving provision. [FA93]
SECTION _.03. This article takes effect October 1, 2011.
[FA93]
ARTICLE _. TEACHER RETIREMENT SYSTEM OF
TEXAS: SUPPLEMENTAL PAYMENT [FA94]
SECTION _.0I. This article is not intended to supplant the
power or discretion of the legislature to provide supplemental
payments to annuitants of the Teacher Retirement System of
Texas. This article provides an additional tool by which the
legislature, in enacting this Jaw, may provide those annuitants
with a much-needed one-time supplemental payment without
requesting additional funds from general revenue. [FA94]
SECTION _.02. Section 821.006, Government Code, is
amended by adding Subsections (c), (d), and (e). [FA94]
CONFERENCE
SECTION _.03. Section 825.402, Government Code, \s
amended by adding Subsection (c-l). [FA94]
SECTION _.04. (a) The Teacher Retirement System of
Texas shall make a one-time supplemental payment of a
retirement or death benefit, as provided by Section 821.006,
Government Code, as amended by this article, and this
section.
(b) The supplemental payment is payable not later than
December 31, 20J3, and, to the extent practicable, on a date or
149
SENATE VERSION
Senate Bill}
HOUSE VERSION (IE)
dates that coincide with the regular annuity payment payable
to each eligible annuitant.
(c) The amount of the supplemental payment is equal to the
lesser of:
(I) the gross amount of the regular annuity payment to which
the eligible annuitant is otherwise entitled for the month of
August 2011; or
(2) $2,400.
(d) The supplemental payment is payable without regard to
any forfeiture of benefits under Section 824.601, Government
Code. The Teacher Retirement System of Texas shall make
applicable tax withholding and other legally required
deductions before disbursing the supplemental payment. A
supplemental payment under this section is in addition to and
not in lieu of the regular monthly annuity payment to which
the eligible annuitant is otherwise entitled.
(e) Subject to Subsection (f) of this section, to be eligible for
the supplemental payment, a person must be, for the month of
August 2011, and disregarding any forfeiture of benefits under
Section 824.601, Government Code, an annuitant eligible to
receive:
(I) a standard retirement annuity payment;
(2) an optional retirement annuity payment as either a retiree
or beneficiary;
(3) a life annuity payment under Section 824.402(a)(4),
Government Code;
(4) an annuity for a guaranteed period of 60 months under
Section 824.402(a)(3), Government Code; or
(5) an alternate payee annuity payment under Section 804.005,
Government Code.
(f) If the annuitant is a retiree or a beneficiary under an
optional retirement payment plan, to be eligible for the
150
CONFERENCE
,t-
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
supplemental payment, the effective date of the retirement of
the member of the Teacher Retirement System of Texas must
have been on or before December 31, 2008. If the annuitant is
a beneficiary under Section 824.402(a)(3) or (4), Government
Code, to be eligible for the supplemental payment, the date of
death of the member of the retirement system must have been
on or before December 3I, 2008. The supplemental payment
shall be made to an alternate payee who is an annuitant under
Section 804.005, Government Code, only if the annuity
payment to the alternate payee commenced on or before
December 31, 2008. The supplemental payment is in addilion
to the guaranteed number of payments under Section
824.402(a)(3), 824.204(c)(3) or (4), or 824.308(c)(3) or (4),
Government Code, and may not be counted as one of Ihe
guaranteed monthly payments.
(g) The supplemental paymenl does not apply to payments
under:
(I) Section 824.304(a), Government Code, relating to
disability retirees with less than 10 years of service credit;
(2) Section 824.804(b), Government Code, relating to
participants in the deferred retirement option plan with regard
10 payments from their deferred retirement option plan
accounts;
(3) Section 824.501(a), Government Code, relating to retiree
survivor beneficiaries who receive a survivor annuity in an
amount fixed by statute; or
(4) Section 824.404(a), Government Code, relating to active
member survivor beneficiaries who receive a survivor annuity
in an amount fixed by statute.
(h) Except as provided by this section, the board of trustees of
the Teacher Retirement System of Texas shall determine the
eligibility for and the amount and timing of a supplemental
lSI
CONFERENCE
-------------------------------------------------
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
payment and the manner in which the payment is made.
[FA94]
SECTION _.05. This article takes effect October I, 20 II.
[FA94]
ARTICLE _. SECURITY TECHNOLOGY [FA95,FA96]
Code, is amended by adding Section 2054.061, SECURITY
TECHNOLOGY. [FA95,FA96]
SECTION _.02. Transition provision. [FA95,FA96]
ARTICLE _. ADVERTISING ON STATE ELECTRONIC
INTERNET PORTALS [FA95]
CONFERENCE
ADVERTISING ON STATE ELECTRONIC INTERNET
PORTALS. [FA95]
ARTICLE _. COSTEFFICIENCY SUGGESTIONS AND
IDEAS FOR STATE AGENCIES [part] [FA97,FA98]
SECTION _.01. Subchapter F, Chapter 2054, Government
Code, is amended by adding Sections 2054.1266, POSTING
OF COST-EFFICIENCY SUGGESTIONS AND IDEAS ON
STATE AGENCY WEBSITE, and 2054.1267, POSTING
HIGH-VALUE DATA SETS ON INTERNET. [FA97,FA98]
152
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
ARTICLE _. ABOLISHING STATE KIDS INSURANCE
PROGRAM
(a) Section 62.10], Health and Safety Code, is amended by
adding Subsection (a-I). [FA99]
ARTICLE _. STATE FUNDING FOR CERTAIN
MEDICAL PROCEDURES [FAIOO,FA10I]
SECTION _.0I. The heading to Subchapter M, Chapter 285,
Health and Safety Code, is amended.
SECTION _.02. Subchapter M, Chapter 285, Health and
Safety Code, is amended by adding Section 285.202, USE OF
TAX REVENUE FOR ABORTIONS; EXCEPTION FOR
MEDICAL EMERGENCY, as follows:
(a) In this section. "medical emergency" means a life-
threatening physical condition aggravated by. caused by. or
arising from a pregnancy that. as certified by a physician.
places the woman in danger of death or a serious risk of
substantial impairment of a major bodily function unless an
abortion is performed. [FA100, FAlOI(l)]
ib) Except in the case of a medical emergency, a hospital
district created under general or special law that uses tax
revenue of the district to finance the performance of an
abortion may not receive state funding.
(c) A physician who performs an abortion in a medical
emergency at a hospital or other health care facility owned or
operated by a hospital district that receives state funds shall:
(I) include in the patient's medical records a statement signed
by the physician certifying the nature of the medical
emergency; and
(2) not later than the 30th day after the date the ahortion is
153
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
perfonned. certify to the Department of State Health Services
the specific medical condition that constituted the emergency.
(d) The statement required under Subsection (c)( I) shall be
placed in the patient's medical records and shall be kept by the
hospital or other health care facility where the abortion is
performed until:
(I) the seventh anniversary of the date the abortion is
perfonned: or
(2) if the pregnant woman is a minor. the later of:
(A) the seventh anniversary of the date the abortion is
performed: or
(B) the woman's 21 st birthday.
(e) A hospital district created by general or special law that
receives state funding may not:
(]) make a charitable donation or financial contribution from
tax revenue of the district to an organization. agency. or entity
that provides or refers for abortion: or [FA100,FA10I (2)]
(2) contract or affiliate with other organizations, agencies. or
entities that provide or refer for abortion. [FAlOO,FAIOI(3)]
ARTICLE . EMPLOYMENT SERVICES PROGRAM
FOR CERTAIN CHILD SUPPORT OBLIGORS [FAI05]
SECTION _.0I. Subtitle B, Title 4, Labor Code, is amended
by adding Chapter 314, EMPLOYMENT SERVICES
PROGRAM FOR CERTAIN CHILD SUPPORT
OBLIGORS. [FA105]
SECTION _.02. As soon as practicable after the effective
date of this article, the Texas Workforce Commission, in
collaboration with the Title IV-D agency, shall adopt rules for
the administration of Chapter 3I 4, Labor Code, as added by
154
CONFERENCE
\
r
,
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
this article. [FA105]
ARTICLE _. GUARDIANSHIP MATTERS AND
PROCEEDINGS [FAI09]
SECTION _.01. Section 612, Texas Probate Code,
APPLICATION FOR TRANSFER OF GUARDIANSHIP TO
ANOTHER COUNTY, is amended as follows:
When a guardian or any other person desires to transfer
[feme.,.e] the transaction of the business of the guardianship
from one county to another, the person shall file a written
application in the court in which the guardianship is pending
stating the reason for the transfer [me\'iag the tffiasaetiea ef
eesiaess). [FAJ09]
SECTION _.02. Section 613(a), Texas Probate Code, is
amended as follows:
(a) On filing an application to transfer [Femeve] a
guardianship to another county, the sureties on the bond of the
guardian shall be cited by personal service to appear and show
cause why the application should not be granted, [FAI09]
SECTION _.03. Sections 614, 615, 616, 617, and 618, Texas
Probate Code, are amended as follows:
Sec. 614. COURT ACTION. ill On hearing an application
under Section 612 of this code, if good cause is not shown to
deny the application and it appears that transfer [Femeval] of
the guardianship is in the best interests of the ward, the court
shall enter an order authorizing the transfer [Femeval] on
payment on behalf of the estate of all accrued costs.
(b) In an order entered under Subsection (a) of this section. the
court shall require the guardian. not later than the 20th day
155
CONFERENCE
SECTION 66.0 l. Same as House version.
SECTION 66.03. Same as House version,
..
!;
.-'-
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
after the date the order is entered. to:
(]) give a new bond payable to the judge of the court to which
the guardianship is transferred: or
(2) file a rider to an existing bond noting the court to which
the guardianship is transferred.
Sec. 615. TRANSFER OF RECORD. When an order of
transfer [reffley"l] is made under Section 614 of this code, the
clerk shall record any unrecorded papers of the guardianship
required to be recorded. On payment of the clerk's fee, the
clerk shall transmit to the county clerk of the county to which
the guardianship was ordered transferred [feffle,'ee]:
(I) the case file of the guardianship proceedings; and
(2) a certified copy of the index of the guardianship records.
Sec. 616. TRANSFER [REMOVAL] EFFECTIVE. The order
transferring [feffle',iRg] a guardianship does not take effect
until:
(I) the case file and a certified copy of the index required by
Section 615 of this code are filed in the office of the county
clerk of the county to which the guardianship was ordered
transferred [feffle,'ee]; and
(2) a certificate under the clerk's official seal and reporting the
filing of the case file and a certified copy of the index is filed
in the court ordering the transfer [feffle','"I] by the county clerk
of the county to which the guardianship was ordered
transferred [reffle,<ee].
Sec. 617. CONTINUATION OF GUARDIANSHIP. When a
guardianship is transferred [feffle,<ee] from one county to
another in accordance with this subpart, the guardianship
proceeds in the court to which it was transferred [reffleyee] as
if it had been originally commenced in that court. It is not
necessary to record in the receiving court any of the papers in
the case that were recorded in the court from which the case
156
CONFERENCE

SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
was transferred [FeffiS\'ea].
Sec. 618. NEW GUARDIAN APPOINTED ON TRANSFER
[REMOVAL]. If it appears to the court that transfer [Feffisval]
of the guardianship is in the best interests of the ward, but that
because of the transfer [fsffisval] it is not in the best interests
of the ward [willlle \I1lE!\Ily el'pSllsive Sf \Illa\lly illesilvelliellt
ts the estate] for the guardian of the estate to continue to serve
in that capacity, the court may in its order of transfer
[feffisval] revoke the letters of guardianship and appoint a
new guardian, and the former guardian shall account for and
deliver the estate as provided by this chapter in a case in
which a guardian resigns. [FAI09]
SECTION _.04. Subpart B, Part 2, Chapter XIII, Texas
Probate Code, is amended by adding Section 619, REVIEW
OF TRANSFERRED GUARDIANSHIP, as follows:
Not later than the 90th day after the date the transfer of the
guardianship takes effect under Section 616 of this code, the
court to which the guardianship was transferred shall hold a
hearing to consider modifying the rights. duties. and powers
of the guardian or any other provisions of the transferred
guardianship. [FA109]
SECTION .05. Section 892, Texas Probate Code, is
amended by amending Subsections (a) and (e) and adding
Subsection (f-1) as follows:
(a) A guardian appointed by a foreign court to represent an
incapacitated person who is residing in this state or intends to
move to this state may file an application with a court in
which the ward resides or intends to reside to have the
guardianship transferred to the court. The application must
have attached a certified copy of all papers of the guardianship
157
CONFERENCE
\-'
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
filed and recorded in the foreign court.
(e) The [OR the eSHFt's 8WA metieR Sf SA the FRstiSA sf the
\'"..a SF !lA)' iAlereslea lleFssA, IIle] court shall hold a hearing
t o ~
ill consider the application for receipt and acceptance of a
foreign guardianship; and
(2) consider modifying the administrative procedures or
requirements of the proposed transferred guardianship in
accordance with local and state law.
(f-I) At the time of granting an application for receipt and
acceptance of a foreign guardianship. the court may also
modify the administrative procedures or requirements of the
transferred guardianship in accordance with local and state
law, [FA109]
SECTION .06. Section 894(b), Texas Probate Code, is
amended as follows:
(b) A court that delays further action in a guardianship
proceeding under Subsection (a) of this section shall
determine whether venue of the proceeding is more suitable in
that court or in the foreign court. In making that
determination, the court may consider:
(J) the interests of justice;
(2) the best interests of the ward or proposed ward; [llftEi]
(3) the convenience of the parties: and
(4) the preference of the ward or proposed ward. if the ward or
proposed ward is 12 years of age or older. [FA109]
SECTION _.07. Subpart G, Part 5, Chapter XIII, Texas
Probate Code, is amended by adding Section 895,
DETERMINATION OF MOST APPROPRIATE FORUM
FOR CERTAIN GUARDIANSHIP PROCEEDINGS, as
158
CONFERENCE
SECTION 66.06. Same as House version,
SENATE VERSION
- ----- ---_.._----------------
Senate BiIll
HOUSE VERSION (IE)
-------- - ---
CONFERENCE
...
..
follows:
(a) If at any time a court of this state determines that it
acquired jurisdiction of a proceeding for the appointment of a
guardian of the person or estate, or both, of a ward or
proposed ward because of unjustifiable conduct, the court
may:
(I) decline to exercise jurisdiction;
(2) exercise jurisdiction for the limited purpose of fashioning
an appropriate remedy to ensure the health, safety, and
welfare of the ward or proposed ward or the protection of the
ward's or proposed ward's property or prevent a repetition of
the unjustifiable conduct, including staying the proceeding
until a petition for the appointment of a guardian or issuance
of a protective order is filed in a court of another state having
jurisdiction; or
(3) continue to exercise jurisdiction after considering:
(A) the extent to which the ward or proposed ward and all
persons required to be notified of the proceedings have
acquiesced in the exercise of the court's jurisdiction;
(B) whether the court of this state is a more appropriate forum
than the court of any other state after considering the factors
described by Section 894(b) of this code: and
(C) whether the court of any other state would have
jurisdiction under the factual circumstances of the matter.
(b) If a court of this state determines that it acquired
jurisdiction of a proceeding for the appointment of a guardian
of the person or estate, or both, of a ward or proposed ward
because a party seeking to invoke the court's jurisdiction
engaged in unjustifiable conduct. the court may assess against
that party necessary and reasonable expenses, including
attorney's fees, investigative fees, court costs, communication
expenses, witness fees and expenses, and travel expenses. The
159
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
court may not assess fees. costs. or expenses of any kind
against this state or a governmental subdivision. agency. or
instrumentality of this state unless authorized by other law.
[FA109]
SECTION _.08. Section 893, Texas Probate Code, is
repealed. [FA109]
SECTION _.09. Sections 612, 613, 614, 615, 616, 617, and
618, Texas Probate Code, as amended by this article, and
Section 619, Texas Probate Code, as added by this article,
apply only to an application for the transfer of a guardianship
to another county filed on or after the effective date of this
Act. An application for the transfer of a guardianship to
another county filed before the effective date of this Act is
governed by the law in effect on the date the application was
filed, and the former law is continued in effect for that
purpose. [FA109]
SECTION _.10. The changes in law made by this article to
Sections 892 and 893, Texas Probate Code, apply only to an
application for receipt and acceptance of a foreign
guardianship filed on or after the effective date of this Act. An
application for receipt and acceptance of a foreign
guardianship filed before the effective date of this Act is
governed by the law in effect on the date the application was
filed, and the former law is continued in effect for that
purpose. [FAI09]
CONFERENCE
SECTION 66.09. Same as House version except refers to the
effecti ve date of this article.
effective date of this article.
No equivalent provision. SECTION .11. Section 894, Texas Probate Code, as
amended by this article, and Section 895, Texas Probate Code,
as added by this article, apply only to a guardianship
160
effective date of this artie/e.
..
- -- ---- ------------- -------------------------------------------
Senate Bill!
..
proceeding filed on or after the effective date of this Act. A
guardianship proceeding filed before the effective date of this
Act is governed by the law in effect on the date the proceeding
was filed, and the former law is continued in effect for that
purpose. [FAI09]
161
CONFERENCE
ARTICLE 66A. GUARDIANSHIP MATTERS AND
PROCEEDINGS: AMENDMENTS TO ESTATES CODE
SECTION 66A.01. Subpart B, Part 2, Subtitle Y, Title 3,
Estates Code, as effective January I, 2014, is amended by
adding Section 619, REVIEW OF TRANSFERRED
GUARDIANSHIP, as follows:
Not later than the 90th day after the date the transfer of the
guardianship takes effect under Section 616. the court to
which the guardianship was transferred shall hold a hearing to
consider modifying the rights, duties. and powers of the
guardian or any other provisions of the transferred
guardianship.
SECTION 66A.02. Section 1253.051, Estates Code,
APPLICATION FOR RECEIPT AND ACCEPTANCE OF
FOREIGN GUARDIANSHIP, as effective January 1,2014, is
amended as follows:
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
162
CONFERENCE
A guardian appointed by a foreign court to represent an
incapacitated person who is residing in this state or intends to
move to this state may file an application with a coun in
which the ward resides or intends to reside to have the
guardianship transferred to the coun. The application must
have attached a cenified copy of all papers of the guardianship
filed and recorded in the foreign coun.
imposed on its jurisdiction. but onlv the presiding officer can
SECTION 66A.03. Section 1253.053, Estates Code, as
effective January I, 2014, is amended by amending
Subsection (a) and adding Subsection (f) as follows:
(a) The [OR the eeeFl's eWR metieR er eA the metieR ef the
wlIrd er IIR)' iRterested flerseR, the] court shall hold a hearing
t o ~
ill consider an application for receipt and acceptance of a
foreign guardianship under this subchapter; and
(2) consider modifying the administrative procedures or
requirements of the proposed transferred guardianship In
accordance with local and state law.
(Q At the time of granting an application for receipt and
acceptance of a foreign guardianship, the coun may also
modify the administrative procedures or requirements of the
transferred guardianship in accordance with local and state
law.
make the final determination on this issue.] ..
-
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
163
CONFERENCE
SECTION 66A.04. Subsection (b), Section 1253.102, Estates
Code, as effective January 1,2014, is amended as follows:
(b) In making a determination under Subsection (a), the court
may consider:
(1) the interests of justice;
(2) the best interests of the ward or proposed ward; [aftEl]
(3) the convenience of the parties: and
(4) the preference of the ward or proposed ward, if the ward or
proposed ward is 12 years of age or older.
SECTION 66A.05. Chapter 1253, Estates Code, as effective
January 1, 2014, is amended by adding Subchapter D,
DETERMINATION OF MOST APPROPRIATE FORUM
FOR CERTAIN GUARDIANSHIP PROCEEDINGS, as
follows:
Sec. 1253.151. DETERMINATION OF ACOUISITION OF
JURISDICTION IN THIS STATE DUE TO
UNJUSTIFIABLE CONDUCT. If at any time a court of this
state determines that it acquired jurisdiction of a proceeding
for the appointment of a guardian of the person or estate. or
both. of a ward or proposed ward because of unjustifiable
conduct. the court may:
(I) decline to exercise jurisdiction:
(2) exercise jurisdiction for the limited purpose of fashioning
an appropriate remedy to ensure the health. safety. and
welfare of the ward or proposed ward or the protection of the
ward's or proposed ward's property or prevent a repetition of
the unjustifiable conduct. including staying the proceeding
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
164
CONFERENCE
until a petition for the appointment of a guardian or issuance
of a protective order is filed in a court of another state having
jurisdiction; or
(31 continue to exercise jurisdiction after considering:
(Al the extent to which the ward or proposed ward and all
persons required to be notified of the proceedings have
acquiesced in the exercise of the court's jurisdiction;
(Bl whether the court of this state is a more appropriate forum
than the court of any other state after considering the factors
described by Section 1253.102(bl; and
(C) whether the court of any other state would have
jurisdiction under the factual circumstances of the matter.
Sec. 1253.152. ASSESSMENT OF EXPENSES AGAINST
PARTY. (al If a court of this state determines that it acquired
jurisdiction of a proceeding for the appointment of a guardian
of the person or estate, or both, of a ward or proposed ward
because a party seeking to invoke the court's jurisdiction
engaged in unjustifiable conduct. the court may assess against
that party necessary and reasonable expenses, including
attorney's fees, investigative fees. court costs, communication
expenses. witness fees and expenses. and travel expenses.
(b1 The court rnay not assess fees. costs. or expenses of any
kind against this state or a governmental subdivision, agency.
or instrumentality of this state unless authorized by other law.
SECTION 66A.06. The following are repealed:
(I) Section 1253.054, Estates Code, as effective January I,
2014; ..
----------------------------------------- - -----
Senate Bill!
..
SENATE VERSION HOUSE VERSION (lE)
CONFERENCE
(2) the changes in law made by Sections 66.05 and 66.06 of
this Act to Sections 892 and 894, Texas Probate Code; and
(3) Section 895, Texas Probate Code, as added by Section
66.07 of this Act.
SECTION 66A.07. This article takes effect January 1,2014.
No equivalent provision. ARTICLE _. PURCHASES BY
ORGANIZATIONS DESCRIBED IN
151.3 IO(a)(I) AND (a)(2), TAX CODE. [FAllS]
EXEMPT
SECTION
SECTION _. Section 151.006, Tax Code, is amended by
adding Subsections (c) and (d). [FAllS]
SECTION _. Section 151.310, Tax Code, is amended by
adding Subsection (c-2) and (c-3). [FAllS]
SECTION _. This article takes effect immediately if this Act
receives a vote of two-thirds of all the members elected to
each house, as provided by Section 39, Article In, Texas
for immediate effect, this article takes effect September I,
201 I. [FAllS]
165
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE _. SALES AND USE TAX EXEMPTION FOR
CERTAIN COINS AND PRECIOUS METALS [FAI 16)
SECTION _.01. Section 151.336, Tax Code, CERTAIN
COINS AND PRECIOUS METALS, is amended. [FAI16)
SECTION _.02. Saving provision. [FAI16)
ARTICLE _. SUPPORT FOR HABITAT PROTECTION
MEASURES [FAI18,FAI 19)
SECTION _.0I. Chapter 403, Govemment Code, is amended
by adding Subchapter Q, SUPPORT FOR HABITAT
PROTECTION MEASURES, as follows:
Sec. 403.451. DEFINITIONS. In this subchapter.
(l) "Candidate species" means a species identified by the U.S.
Department of Interior as appropriate for listing as threatened
or endangered;
(2) "Candidate conservation plan" means a plan to implement
such actions as necessary for the conservation of one or more
candidate species or species likely to become a candidate
species in the near future: and
(3) "Endangered species," "federal permit." "habitat
conservation plan." and "mitigation fee" have the meanings
assigned by Section 83.011, Parks and Wildlife Code.
Sec. 403.452. COMPTROLLER POWERS AND DUTIES.
(a) To promote compliance with federal law protecting
endangered species and candidate species in a manner
consistent with this state's economic development and fiscal
stability, the comptroller may:
(l) develop or coordinate the development of a habitat
conservation plan or candidate conservation plan;
166
CONFERENCE
SECTION 67.0I. Substantially the same as House version.
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
(2) apply for and hold a federal permit issued in connection
with a habitat conservation plan or candidate conservation
plan developed by the comptroller or the development of
which is coordinated by the comptroller:
(3) enter into an agreement for the implementation of a
candidate conservation plan with the United States
Department of the Interior or assist another entity in entering
into such an agreement:
(42 establish the Habitat Protection Fund, to be held by the
comptroller outside of the treasury, to be used to support the
development or coordination of the development of a habitat
conservation plan. a candidate conservation plan, or to pay the
costs of monitoring or administering the implementation of
such a plan:
(5) impose or provide for the imposition of a mitigation fee in
connection with a habitat conservation plan or such fees as is
necessary or advisable for a candidate conservation plan
developed by the comptroller or the development of which is
coordinated by the comptroller; and
(6) implement. monitor. or support the implementation of a
habitat conservation plan or candidate conservation plan
developed by the comptroller or the development of which is
coordinated by the comptroller.
(b2 The comptroller may solicit and accept appropriations.
fees under this subchapter, gifts, or grants from any public or
private source. including the federal government. this state. a
public agency, or a political subdivision of this state, for
deposit to the credit of the fund established under this section.
(c) The legislature finds tbat expenditures described by
Subsection (a)(4) serve public purposes, including economic
development in this state.
(d) The comptroller may establish a nonprofit corporation or
167
CONFERENCE
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
contract with a third party to perform one or more of the
comptroller's functions under this section.
Sec. 403.453. STATE AGENCY POWERS AND DUTIES.
(a) Upon consideration of the factors identified in subsection
(b), the comptroller may designate one of the following
agencies to undertake the functions identified in subsections
403.452(a)( I). (2), (3), (5) or (6):
(I) the Agriculture Department;
(2) the Parks and Wildlife Department:
(3) the Department of Transportation;
(4) the State Soil and Water Conservation Board; or
(5) any agency receiving funds through Article VI (Natural
Resources) of the 2012-2013 appropriations bill.
(b) In designating an agency pursuant to subsection (a2. the
comptroller shall consider the following factors:
(I) the economic sectors impacted by the species of interest
that will be included in the habitat conservation plan or
candidate conservation plan;
(2) the identified threats to the species of interest: and
(3) the location of the species of interest.
(c) The comptroller may enter into a memorandum of
understanding or interagency contract with any of the agencies
listed in this section to implement this subchapter and to
provide for the use of the habitat protection fund.
Sec. 403.454. CONFIDENTIAL INFORMATION.
Information collected under this subchapter by an agency, or
an entity acting on the agency's behalf, from a private
landowner or other participant or potential participant in a
habitat conservation plan, proposed habitat conservation plan.
candidate conservation plan. or proposed candidate
conservation plan is not subject to Chapter 552 and may not
be disclosed to any person, including a state or federal agency,
168
CONFERENCE
..
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
if the information relates to the specific location. species
identification. or quantity of any animal or plant life for which
a plan is under consideration or development or has been
established under this section. The agency may disclose
information described by this section only to the person who
provided the information unless the person consents in writing
to full or specified partial disclosure of the information.
Sec. 403.455. RULES. The comptroller or agencies identified
in Sec. 403.453 may adopt rules as necessary for the
administration of this subchapter. [FAIl8,FA1I9]
ARTICLE _. FRANCHISE TAX LIABILITY OF
CERTAIN TAXABLE ENTITIES [FAI22]
SECTION _.01. Subchapter A, Chapter ITI, Tax Code, is
amended by adding Section 171.0024, TAX LIABILITY OF
CERTAIN TAXABLE ENTITIES. [FA122]
SECTION _.02. Section 171.204(b), Tax Code, is amended.
[FAI22]
SECTION _.03. This article applies only to a report
originally due on or after the effective date of this article.
[FA122]
[FA122]
ARTICLE _. STATE FINANCING OF PUBLIC
TRANSPORTATION [FA130]
169
CONFERENCE
....
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION .01. Section 456.003, Transportation Code,
PARTICIPATION INELIGIBILITY, is amended. [FAI30]
CONFERENCE
SECTION _.02. Section 456.006, Tmnsportation Code, is
amended by adding Subsections (b-I) and (b-2). [FAI30]
SECTION _.03. Subchapter B, Chapter 456, Transportation
ALLOCATION TO CERTAIN RECIPIENTS AFFECTED
BY NATURAL DISASTER. [FAI30]
ARTICLE _. LICENSE PLATES ISSUED FOR CERTAIN
GOLF CARTS. [FAI31]
SECTION .01. If H.B. No. 2702, Acts of the 82nd
Legislature, Regular Session, 2011, does not become law,
Section 504.510(d), Transportation Code, is amended as
follows:
(d) This section applies only to an owner of a golf cart who
r e s i d e s [ ~ ]
[fB] on real property that is owned or under the control of the
United States Corps of Engineers and is required by that
agency to register the owner's golf cart under this chapter[t
flIlEi
[(2j iA So eOHAly tRat eOFseFS 8:AotRer state aRe Has 8: 138f'l:IlatioA
sf !RBR! tkaA IIQ,oog eat less tkHA III ,gOO]. [FA131]
SECTION _.02. If H.B. No. 2702, Acts of the 82nd
Legislature, Regular Session, 20II, becomes law, Section
504.51 O(d), Transportation Code, is amended as follows:
(d) This section applies only to an owner of a golf cart who
170
SECTION 68.0J. Same as House version except removes
contingency provision relating to H.B. No. 2702.
.. ----- -_. --- ~ ~ - - - - ~ ~ - - - - - ~ - ~ ~ ~ ~ ~ ~ ~ ~ -
Senate Bill!
..
..
resides[f]
[fl1] on real property that is owned or under the control of the
United States Corps of Engineers and is required by that
agency to register the owner's golf cart under this chapterlt
!tOO
[(2) in a sSloln!)' that hsflefS ansther state ana has a j'lsj'llollatisn
efmere thaft 120,750 hlolt less thaA 121,000]. [FA13I]
ARTICLE _. DRIVER'S LICENSES AND PERSONAL
IDENTIFICATION CERTIFICATES [FAI32]
SECTION _.01. Subchapter A, Chapter 521, Transportation
Code, is amended by adding Section 521.007, TEMPORARY
VISITOR STATIONS, as follows:
(a) The department shall designate as temporary visitor
stations certain driver's license offices.
(b) A driver's license office designated as a temporary visitor
station under this section must have at least two staff members
who have completed specialized training on the temporary
visitor issuance guide published by the department.
(c) A driver's license office designated as a temporary visitor
station shall provide information and assistance to other
driver's license offices in the state. [FAI 32]
SECTION .02. Subsection (b), Section 521.041,
Transportation Code, is amended as follows:
(b) The department shall maintain suitable indexes, in
alphabetical or numerical order, that contain:
(1) each denied application and the reasons for the denial;
(2) each application that is granted; [aREI]
(3) the name of each license holder whose license has been
suspended, canceled, or revoked and the reasons for that
171
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
action: and
(4) the citizenship status of each holder of a license or
personal identification certificate. [FA132]
SECTION _.03. Section 521.101, Transportation Code, is
amended by adding Subsections (d-I), (f-2), (f-3), and (k) and
amending Subsection (t) as follows:
(d- I) Unless the information has been previously provided to
the department. the department shall require each applicant for
an original. renewal. or duplicate personal identification
certificate to furnish to the department:
(I) proof of the applicant's United States citizenship: or
(2) documentation described by Subsection (f2).
(t) A personal identification c e r t i f i c a t e ~
(I) for an applicant who is a citizen. national. or legal
lawfully admitted into the United States:
ill expires on a date specified by the department if the
applicant is younger than 60 years of age: or
(8) does not expire if the applicant is 60 years of age or older:
or
(2) for an applicant not described by Subdivision (ll. expires
Q.!!.;.
(A) the earlier of:
(i) a date specified by the department: or
(iil the expiration date of the applicant's authorized stay in the
United States: or
(8) the first anniversary of the date of issuance, if there is no
definite expiration date for the applicant's authorized stay in
the United States[, eJ,eefJt that a eertliisate issHeEl is a 138F58R
aQ )'ears ef age er eleer eees ReI eXflire].
(f-2) An applicant who is not a citizen of the United States
172
CONFERENCE
amended by adding Subsections (d-I), (f-2), (f-3), (f-4), and
(k) and amending Subsection (t) to read as follows:
(d-ll Unless the information has been previously provided to
the department, the department shall require each applicant for
an original. renewal. or duplicate personal identification
certificate to furnish to the department:
(ll proof of the applicant's United States citizenship: or
(2) documentation described by Subsection (f-21.
(t) A personal identification c e r t i f i c a t e ~
(ll for an applicant who is a citizen. national. or legal
lawfully admitted into the United States:
ill expires on a date specified by the department if the
applicant is younger than 60 years of age: or
(B) does not expire if the applicant is 60 years of age or older:
or
(2) for an applicant not described by Subdivision (I). expires
on:
(A) the earlier of:
(i) a date specified by the department: or
(ii) the expiration date of the applicant's authorized stay in the
United States: or
(8) the first anniversary of the date of issuance. if there is no
the United States[, eleseflt tkat a eertifieate iSSHea (8 a perseR
aQ )'ears ef age er eleer eees ReI 81(flireJ.
(f-2) An applicant who is not a citizen of the United States ..
SENATE VERSION
Senate Bill 1
SectionbySection Analysis
HOUSE VERSION (IE)
must present to the department documentation issued by the
appropriate United States agency that authorizes the applicant
to be in the United States.
(f3) The department may not issue a personal identification
certificate to an applicant who fails or refuses to comply with
Subsection (f2).
(k) Except as provided bythis.
identification certificate issued by"the
(ll must:
(A) be in the same format:
(B) have the same appearance and orientation: and
(C) contain the same type of information: and
(2) may not include any information that this chapter does not
reference or require. [FA132]
amended by adding Subsection (c) as follows:
(c) Sections 521.101(f2) and (f3) apply to a personal
identification certificate for which application is made under
this section. [FA132]
SECTION .05. Section 521.121, Transportation Code, is
amended by adding subsection (e) as follows:
173
CONFERENCE
must present to the department documentation issued by the
appropriate United States agency that authorizes the applicant
to be in the United States.
(f3) The department may not issue a personal identification
certificate to an applicant who fails or refuses to comply with
Subsection (f22-
(f-4)The department filly not deny "personal identification
certificate to an applicant who complies with Subsection (f2)
based on" the duration of the person's authorized stay in the
United'Stlites, as indicated by the documentation presented
;JOder Subsection (f2),
(k) Except as provided by this section, a personal
identification certificate issued under this chapter:
(ll must:
(B) have the same appearance and orientation: and
(C) contain the same type of information: and
reference or require.
SECTION 72.04. Same as House version except makes a
conforming change.
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
Ie) Except as provided by this section. each driver's license
issued under this chapter:
II) must:
IA) be in the same format;
(8) have the same appearance and orientation; and
Ie) contain the same type of information; and
reference or require. [FAI32]
SECTION _.06. Subsections (a) and (e), Section 521.142,
Transportation Code, are amended as follows;
(a) An application for an original license must state the
applicant's full name and place and date of birth. This
information must be verified by presentation of proof of
identity satisfactory to the department. An applicant who is
not a citizen of the United States must present to the
department documentation issued by the appropriate United
States agency that authorizes the applicant to be in the United
States before the applicant may be issued a driver's license.
The department must accept as satisfactory proof of identity
under this subsection an offender identification card or similar
form of identification issued to an inmate by the Texas
Department of Criminal Justice if the applicant also provides
supplemental verifiable records or documents that aid in
establishing identity.
(e) The application must include any other information the
department requires to determine the applicant's identity,
residency. competency, and eligibility as required by the
department or state law. [FAI 32]
174
CONFERENCE
..
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
(c) as follows:
(a) Except as provided by Subsections [SH8seetien] (b) and
{d, the department may require each applicant for an original,
renewal, or duplicate driver's license to furnish to the
department the information required by Section 521.142.
(c) Unless the information has been previously provided to the
department. the department shall reguire each applicant for an
original, renewal. or duplicate driver's license to furnish to the
department:
(I) proof of the applicant's United States citizenship: or
(2) documentation described by Section 521.142(a). [FAI32]
Subsections (a-2), (a-3), and (a-4) as follows:
(a) Each original driver's license, [llIld] provisional license,
instruction permit. or occupational driver's license issued to an
applicant who is a citizen. national, or legal permanent
resident of the United States or a refugee or asylee lawfully
admitted into the United States expires as follows:
(1) except as provided by Section 521.2711, a driver's license
expires on the first birthday of the license holder occurring
after the sixth anniversary of the date of the application;
175
CONFERENCE
(c) and (d) as follows:
(a) Except as provided by Subsections [Su8seetien] (b) and
{d, the department may require each applicant for an original,
renewal, or duplicate driver's license to furnish to the
department the information required by Section 521.142.
(c) Unle.ss the information has been previously provided to the
department, the department shall reguire each applicant for an
original, renewal, or duplicate driver's license to furnish to the
department:
(I) proof of the applicant's United States citizenship; or
(2) 521.142(a).
(d) The department may 'not deny a driver's 'license-Io an
applicant who provides' daeumentationdescribed by Section
521.142(a) based6n the duration >ofthe person's 'authorized
stay in the United States, as indicated by the documentation
presented under Section 521.142(a).
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
(2) a provisional license expires on the 18th birthday of the
license holder;
(3) an instruction pennit expires on the 18th birthday of the
license holder;
(4) an occupational driver's license expires on the first
anniversary of the court order granting the license; and
(5) unless an earlier date is otherwise provided, a driver's
license issued to a person whose residence or domicile is a
correctional facility or a parole facility expires on the first
birthday of the license holder occurring after the first
anni versary of the date of issuance.
(a-2) Each original driver's license issued to an applicant who
is not a citizen. national. or legal permanent resident of the
United States or a refugee or asylee lawfully admitted into the
United States expires on:
(]) the earlier of:
(A) the first birthday of the license holder occurring after the
sixth anniversary of the date of the application: or
(B) the expiration date of the license holder's lawful presence
in the United States as detennined by the appropriate United
States agency in compliance with federal law; or
(2) the first anniversary of the date of issuance. if there is no
the United States.
(a-3) Each original provisional license or instruction permit
issued to an applicant who is not a citizen. national. or legal
pennanent resident of the United States or a refugee or asylee
lawfully admitted into the United States expires on the earliest
of:
(I) the 18th birthday of the license holder;
(2) the first birthday of the license holder occurring after the
date of the application; or
176
CONFERENCE
..
--------------------------------------------------------------
Senate BiIIl
..
..
(3) the expiration of the license holder's lawful presence in the
United States as determined by the United States agency
responsible for citizenship and immigration in compliance
with federal law.
(a-4) Each original occupational driver's license issued to an
applicant who is not a citizen. national, or legal permanent
admitted into the United States expires on the earlier of:
(n the first anniversary of the date of issuance: or
(2) the expiration of the license holder's lawful presence in the
United States as determined by the appropriate United States
agency in compliance with federal law.
(b) Except as provided by Section 521.2711, a driver's license
that is renewed expires on the earlier of:
(1) the sixth anniversary of the expiration date before renewal
if the applicant is a citizen, national, or legal permanent
admitted into the United States:
(I-a) for an applicant not described by Subdivision (n:
(A) the earlier of:
(i) the sixth anniversary of the expiration date before renewal:
ill
(ij) the expiration date of the applicant's authorized stay in the
United States: or
(B) the first anniversary of the date of issuance, if there is no
the United States; or
(2) for a renewal driver's license issued to a person whose
residence or domicile is a correctional facility or a parole
facility, the first birthday of the license holder occurring after
the first anniversary of the date of issuance unless an earlier
date is otherwise provided. [FA132]
177
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
(c) Notwithstanding Subsections (a) and (b), an original or
renewal driver's license issued to an applicant who is 85 years
of age or older and not a citizen. national, or legal permanent
admitted into the United States expires on:
(]) the earlier of:
(A) the second anniversary of the expiration date before
renewal: or
(B) the expiration date of the applicant's authorized stay in the
United States: or
(2) the first anniversary of the date of issuance if there is no
the United States. [FA132]
SECT10N _.10. Section 521.272, Transportation Code, is
(d) as follows:
(c) Notwithstanding Sections [SeetisR] 521.271 and 521.2711,
a driver's license issued under this section, including a
renewal, duplicate, or corrected license, e x p i r e s ~
(]) if the license holder is a citizen. national, or legal
lawfully admitted into the United States. on the first birthday
of the license holder occurring after the date of application,
except that the initial license issued under this section expires
on the second birthday of the license holder occurring after the
date of application;.Qr
(2) if the applicant is not described by Subdivision (I), on the
earlier of:
(A) the expiration date of the applicant's authorized stay in the
178
CONFERENCE
...
SENATE VERSION
Senate BiIIl
HOUSE VERSION (IE)
United States: or
(B) the first birthday of the license holder occurring after the
date of application, except that the initial license issued under
this section expires on the second birthday of the license
holder occurring after the date of application.
(d) Subsection (c) [This sllBseetisn] does not apply to:
(I) a provisional license;
(2) an instruction permit issued under Section 521.222; or
(3) a hardship license issued under Section 521.223. [FA132]
(a-3) Except as provided by Subsections (a-I) and (a-2), the
fee for a driver's license or personal identification certificate
that is issued to a person who is not a citizen, national, or legal
lawfully admitted into the United States and that is valid for
not more than one year is $24. [FA132]
amended as follows:
Sec. 522.005. RULEMAKING AUTHORITY. The
department may adopt rules necessary to carry out this chapter
and the federal act and to maintain compliance with 49 C.F.R.
Parts 383 and 384. [FA132]
SECTION _.13. Section 522.030, Transportation Code,
CONTENT OF LICENSE, is amended as follows:
ill A commercial driver's license must:
(I) be marked "Commercial Driver License" or "COL";
(3) include:
179
CONFERENCE
SECTION 72.13. Same as House version except m (b) as
follows:
ill A commercial driver's license must:
(I) be marked "Commercial Driver License" or "COL";
(3) include:
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
(A) the name and mailing address of the person to whom it is
issued;
(B) the person's color photograph;
(C) a physical description of the person, including sex, height,
and eye color;
(D) the person's date of birth;
(E) a number or identifier the department considers
appropriate;
(F) the person's signature;
(G) each class of commercial motor vehicle that the person is
authorized to drive, with any endorsements or restrictions;
(H) the name of this state; and
(I) the dates between which the license is valid.
(bl Except as provided by this section. each personal
commercial driver's license issued under this chapter:
(]) must:
(B) have the same appearance and orientation; and
(C) contain the same type of information; and
(2l may not include any information that this chapter does not
(cl To the extent of a conflict or inconsistency between this
section and Section 522.013 or 522.051, Section 522.013 or
522.051 controls. [FAI32]
SECTION .14. Subsection (b), Section 522.033,
Transportation Code, is amended as follows:
(b) Notwithstanding Section 522.051, a commercial driver's
license or commercial driver leamer's pennit issued under this
section, including a renewal, duplicate, or corrected license,
e x p i r e s ~
(Il if the license or permit holder is a citizen, national, or legal
180
CONFERENCE
(A) the name and mailing address of the person to whom it is
issued;
(B) the person's color photograph;
(C) a physical description of the person, including sex, height,
and eye color;
(D) the person's date of birth;
(E) a number or identifier the department considers
appropriate;
(F) the person's signature;
(G) each class of commercial motor vehicle that the person is
authorized to drive, with any endorsements or restrictions;
(H) the name of this state; and
(I) the dates between which the license is valid.
(bl Except as provided by this section. a commercial driver's
license issued under this chapter:
f Il must:
fAl be in the same format;
(Bl have the same appearance and orientation; and
fC) contain the same type of information; and
(2l may not include any information that this chapter does not
(cl To the extent of a conflict or inconsistency between this
section and Section 522m3 or 522.051. Section 522.013 or
522.051 controls.
..
SENATE VERSION
Senate BiIIl
HOUSE VERSION (lE)
lawfully admitted into the United States. on the first birthday
of the license holder occurring after the date of application,
except that the initial license issued under this section expires
on the second birthday of the license holder occurring after the
date of application.;.Qr
(2) if the applicant is not described by Subdivision (I). on the
earlier of:
(A) the expiration date of the applicant's authorized stay in the
United States: or
(B) the first birthday of the license holder occurring after the
date of application. except that the initial license issued under
this section expires on the second birthday of the license
holder occurring after the date of application. [FA132]
amended by adding Subsection (i) as follows:
(i) Unless the information has been previously provided to the
department. the department shall require each applicant for a
renewal or duplicate commercial driver's license to furnish to
the department:
(I) proof of the applicant's United States citizenship; or
(2) documentation described by Section 521.142(a). [FA132]
181
CONFERENCE
amended by adding Subsections (i) and G) as follows:
(i) Unless the information has been previously provided to the
department. the department shall require each applicant for a
renewal or duplicate commercial driver's license to furnish to
the department:
0) proof of the applicant's United States citizenship: or
(2) documentation described by Section 521. 142(a).
c1upllca;e
applicant who provides
documentation described by Section 521.142(a) based on the
duration of the person's authorized stay in the United States.
as indicated by the documentation presented under Section
521.142(a).
imposed on its jurisdiction, hilt only the presiding officer can
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION _.16. Not later than January I, 2013, the
Department of Public Safety of the State of Texas shall submit
to the legislature a report evaluating the effectiveness of the
temporary visitor stations established under Section 521.007,
Tmnsportation Code, as added by this Act. [FA132]
SECTION _.17. The changes in law made by this Act to
Chapters 521 and 522, Transportation Code, apply only to a
driver's license, personal identification certificate, commercial
driver's license, or commercial driver learner's permit issued,
reissued, reinstated, or renewed on or after the effective date
of this Act. A driver's license, personal identification
certificate, commercial driver's license, or commercial driver
learner's permit issued, reissued, reinstated, or renewed before
the effective date of this Act is governed by the law in effect
when the license, certificate, or permit was issued, reissued,
reinstated, or renewed, and the former law is continued in
effect forthat purpose. [FAI32]
ARTICLE _. CERTAIN COURT COSTS ASSOCIATED
WITH THE OFFENSE OF FAILING TO SECURE A CHILD
PASSENGER IN A MOTOR VEHICLE [FA136]
SECTION _.01. The following laws are repealed:
(I) Section 545.412(b-I), Transportation Code;
(2) Section 102.104, Government Code; and
(3) Section 102.122, Government Code. [FAI36]
SECTION _.02. The change in law made by this article
182
CONFERENCE
SECTION 72. I 6. Same as House version except refers to this
article.
changes in law made by this article.
..
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
applies only to an offense committed on or after the effective
date of this Act. An offense committed before the effective
date of this Act is governed by the law in effect when the
offense was committed, and the former law is continued in
effect for that purpose. For purposes of this section, an offense
was committed before the effective date of this Act if any
element of the offense was committed before that date.
[FA136]
CONFERENCE
..
No equivalent provision. ARTICLE _. FISCAL MATTERS
CERTAIN GROUNDWATER
DISTRICTS [FA139]
RELATING TO
CONSERVATION
SECTION _.01. Section 36.0151, Water Code, is amended
by adding Subsections (t), (g), and (h) as follows:
CO Before September 1. 2015, the commission may not create
a groundwater conservation district under this section in a
county:
(Il in which the annual amount of surface water used is more
than 50 times the annual amount of groundwater produced;
(2) that is located in a priority groundwater management area;
and
(3) that has a population greater than 2.3 million.
(m To the extent of a conflict between Subsection CO and
Section 35.0] 2. Subsection CO prevails.
(h) The commission may charge an annual fee not to exceed
$500 to a county described by Subsection CO for the purpose
of studying compliance with that subsection in that county and
the overall groundwater consumption in that county. [FAI39]
ARTICLE _. STATE COSTS FOR ATTORNEYS AD
LITEM AND GUARDIANS AD LITEM APPOINTED TO
183
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
REPRESENT MINORS IN JUDICIAL BYPASS
ABORTION PROCEEDINGS [FAI41]
SECTION _.01. (a) Not later than December I, 2011, the
supreme court by rule shall establish procedures for the
supreme court and each county court at law, court having
probate jurisdiction, district court, and court of appeals in this
state to conduct a financial audit to determine for the state
fiscal year beginning September I, 20II, the amount of state
funds used to pay the costs of attomeys ad litem and guardians
ad litem appointed to represent minors under Section 33.003
or 33.004, Family Code.
(b) In the procedures adopted under Subsection (a) of this
section, the supreme court must require each court to submit
to the supreme court a report on the results of the financial
audit conducted by each court not later than November I,
2012.
(c) Not later than January I, 2013, the supreme court shall
submit to the lieutenant governor and the speaker of the house
of representatives a report that summarizes the results of
financial audits conducted pursuant to subsections (a) and (b)
of this section. [FA141]
ARTICLE . JUVENILE JUSTICE ALTERNATIVE
EDUCATION PROGRAMS [FAI43,FAI45(2)]
(a-3) For purposes of this section and Section 37.01O(a). a
county with a population greater than 125.000 is considered to
be a county with a population of 125.000 or less if the county:
(1) has a population of more than 200,000 and less than
184
CONFERENCE
SECTION 70.0I. Same as House version except adds
Subsections (a-4) and (a-5)as follows:
(a-3) For purposes of this section and Section 37.0I Ora). a
county with a population greater than 125.000 is considered to
be a county with a population of 125,000 or less if the county:
(1) has a population of more than 200.000 and less than
..
SENATE VERSION
-----------
Senate Bill!
HOUSE VERSION (IE)
220,000;
(2) has five or more school districts located wholly within the
county's boundaries; and
(3) has located in the county a juvenile justice alternative
education program that, on May I. 2011. served fewer than 15
students. [FAI43,FAI45(2)]
185
CONFERENCE
220,000;
(2) has five or more school districts located wholly within the
county's boundaries; and
(3) has located in the county a juvenile justice alternative
education program that, on May I. 201 I. served fewer than 15
students.
(<1-4) A school district located in a county considered to be a
county with a population of 125,000 or less under Subsection
(a-3) shall provide educational services to a student who is
expelled from school under this chapter. The district is" entitled
to count the student in the district's average 'daily. attendance
for purposes of receipt of state funds under the Foundation
School Program. An educational placement under this section
roilY include:
(1) the district's disciplinary alternative education program;
(2) a contracted placement with another school district;
(3) an open-enrollment charter school;
(4) an institution of higher education;
(5) an adult literacy council; or
(6) a community organization that can provide an educational
program that allows the student to complete the credits
required for high school graduation.
(3-5) (a-5) For purposes of Subsection (a-4), an educational
placement other than a school district's disciplinary alternative
education program' is . subject to the educational and
certification requirements applicable to an open-enrollment
charter school under Subchapter D, Chapter 12.
..
..
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
ARTICLE _. TEXAS JUVENILE PROBATION
COMMISSION [FAI46]
SECTION _.0I. (a) The Texas Education Agency and the
Department of Family and Protective Services each may enter
into an interagency agreement with the Texas Juvenile
Probation Commission to perform prevention and intervention
services described by S.B. No. 653, Acts of the 82nd
Legislature, Regular Session, 2011, as effective September I,
20 II, during the state fiscal biennium beginning September I,
2011.
(b) Each fiscal year of the state fiscal biennium beginning
September 1,2011, the Texas Education Agency may transfer
to the Texas Juvenile Probation Commission or its successor
agency not more than $10 million from money appropriated to
the Texas Education Agency that is available for that purpose.
The unexpended balance of the money transferred during the
state fiscal year ending August 3I, 20I2, may be spent for the
same purpose during the state fiscal year beginning September
1,2012.
(c) Each fiscal year of the state fiscal biennium beginning
September 1,201 I, the Department of Family and Protective
Services may transfer to the Texas Juvenile Probation
Commission or its successor agency not more than $28
million from money appropriated to the Department of Family
and Protective Services that is available for that purpose. The
unexpended balance of the money transferred during the state
fiscal year ending August 3I, 2012, may be spent for the same
purpose during the state fiscal year beginning September I,
2012.
(d) Of money transferred under Subsection (b) or (c), the
Texas Juvenile Probation Commission or its successor agency
186
CONFERENCE
..
i
;
f
~ ..
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
may use not more than $250,000 for an external evaluation of
the current methods of delivering at-risk youth services in
Texas. The evaluation must include recommendations for a
model system of at-risk youth service delivery with clear
accountability measures. The recommendations may include
recommendations to state agencies regarding program
functions of those agencies that the Texas Juvenile Probation
Commission or its successor agency may perform.
Notwithstanding any other law, a state agency identified by a
recommendation made under this subsection may enter into an
interagency agreement with the Texas JuveniJe Probation
Commission or its successor agency for the Texas Juvenile
Probation Commission or its successor agency to perform the
identified program functions. [FA146]
CONFERENCE
..
No equivalent provision. ARTICLE _.
[FA159,FAI60]
VIRTUAL SCHOOL NETWORK Same as Senate version.
SECTION .01. Section 30A.002(a), Education Code, is
amended as follows:
(a) A student is eligible to enroll in a course provided through
the state virtual school network only if the student:
(I )[;5 )ellAger than 2) years ef age] on September 1 of the
school y e a r ~
(A) is younger than 21 years of age: or
(B) is younger than 26 years of age and entitled to the benefits
of the Foundation School Program under Section 42.003;
(2) has not graduated from high school; and
(3) is otherwise eligible to enroll in a public school in this
state. [FAI59,FA160]
SECTION _.02. Section 30A.107(a), Education Code, is
187
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
amended as follows:
(a) A provider school district or school may offer electronic
courses to:
(l) students and adults who reside in this state; and
(2) students who reside outside this state and who meet the
eligibility requirements under Section 30A.002(c).
[FAI59,FAI60]
ARTICLE _. MEDICAID SERVICES [FAI64,FAI65]
SECTION _.01. (a) Subchapter A, Chapter 533, Government
Code, is amended by adding Section 533.0065, EYE
HEALTH CARE SERVICE PROVIDERS. [FAl64,FAI65]
CONFERENCE
SCHOOL
[FA166]
_. INTERNET ACCESS TO CERTAIN
DISTRICT FINANCIAL INFORMATION
SECTION _.0I. Subchapter A. Chapter 44, Education Code,
is amended by adding Section 44.0031, INTERNET ACCESS
TO FINANCIAL DATA. [FA166]
[FA166]
ARTICLE _. AD VALOREM TAXATION OF LOW-
INCOME OR MODERATE-INCOME HOUSING
[FAI69,FA170]
SECTION _.01. Section I 1.1 82(a), Tax Code, is amended by
adding Subdivision (3). [FA169,FA170]
188
..
,-
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
SECTION _.02. Section 11.182, Tax Code, is amended by
adding Subsections (a-I), (a-2), (b-I), and (b-2).
[FA169,FA170)
SECTION _.03. Section 11.1825, Tax Code, is amended by
amending Subsection (a) and adding Subsections (a-I) and (a-
2). [FAI69,FAI70]
SECTION _.04. This article may not be construed to permit
a refund of ad valorem taxes paid before the effective date of
this article on property determined to be eligible for an
exemption under Section 11.182 or 11.1825, Tax Code, as
amended by this article. [FA169,FA170)
SECTION _.05. Transition provision. [FAI69,FAI70]
[FAI69,FAI70]
[ARTICLE _. MISCELLANEOUS PROVISIONS)
SECTION _. Title 5, Civil Practice and Remedies Code, is
amended by adding Chapter 114, ADJUDICATION OF
CLAIMS ARISING UNDER WRITTEN CONTRACTS
WITH STATE AGENCIES. [FA24]
CONFERENCE
SECTION _. Section 2260.002, Government Code,
APPLICABILITY, is amended. [FA24)
SECTION _. (a) Saving provision.
(b) Nothing in this Act is intended to create, rescind, expand,
189
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
or limit any waiver of sovereign immunity to suit applicable to
any contract executed before the 91st day after the Jast day of
the legislative session. [FA24]
SECTION _. Subchapter B, Chapter 39, Education Code, is
amended by adding Section 39.0221, TEMPORARY
MORATORIUM ON ADMINISTERING ASSESSMENT
INSTRUMENTS. [FA39]
SECTION _. Section 253.0351(a), Election Code, is
amended as follows:
(a) A candidate or officeholder who makes political
expenditures from the candidate's or officeholder's personal
funds may report the amount expended as all or part of a loan
from the candidate or officeholder and may reimburse those
personal funds from political contributions in the amount of
all or part of the reported loan. [FA59,FA61]
190
CONFERENCE
ARTICLE 76. REGULATION OF POLITICAL
CONTRIBUTIONS AND EXPENDITURES, REPORTING
OF PERSONAL FINANCIAL INFORMATION, AND
COMPLAINTS FILED WITH THE TEXAS ETHICS
COMMISSION
SECTION 76.01. Section 253.0351, Election Code, IS
(cl A candidate or officeholder who deposits personal funds in
an account in which political contributions are held shall
report the amount of personal funds deposited as a loan and
may reimburse the amount deposited as a loan from political
contributions or unexpended personal funds deposited in the
account. The reimbursement may not exceed the amount
reported as a loan. Personal funds deposited in an account in
which political contributions are held are subject to Section
253.035 and must be included in the reports of the total
t'
SENATE VERSION
- ~ - - - - - ~ ~ -
Senate Bill!
HOUSE VERSION (IE)
SECTION _. Section 254.031(a), Election Code, is amended
as follows:
(a) Except as otherwise provided by this chapter, each report
filed under this chapter must include:
(I) the amount of political contributions from each person that
in the aggregate exceed $50 and that are accepted during the
reporting period by the person or commillee required to file a
report under this chapter, the full name and address of the
person making the contributions, and the dates of the
contributions;
(2) the amount of loans that are made during the reporting
period for campaign or officeholder purposes to the person or
commillee required to file the report and that in the aggregate
exceed $50, the dates the loans are made, the interest rate, the
191
CONFERENCE
amount of political contributions maintained required by
Sections 254.03J(a)(S) and 254.061 [(a).
(a) Except as provided by Section 253.035I(c), each [&eft]
candidate or officeholder shall keep the person's campaign
and officeholder contributions in one or more accounts that
are separate from any other account maintained by the person.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
maturity date, the type of collateral for the loans, if any, the
full name and address of the person or financial institution
making the loans, the full name and address, principal
occupation, and name of the employer of each guarantor of
the loans, the amount of the loans guaranteed by each
guarantor, and the aggregate principal amount of all
outstanding loans as of the last day of the reporting period;
(3) the amount of political expenditures that in the aggregate
exceed $\00 [$W] and that are made during the reporting
period, the full name and address of the persons to whom the
expenditures are made, and the dates and purposes of the
expenditures;
(4) the amount of each payment made during the reporting
period from a political contribution if the payment is not a
political expenditure, the full name and address of the person
to whom the payment is made, and the date and purpose of the
payment;
(5) the total amount or a specific listing of the political
contributions of $50 or less accepted and the total amount or a
specific listing of the political expenditures of $100 [$W] or
less made during the reporting period;
(6) the total amount of all political contributions accepted and
the total amount of all political expenditures made during the
reporting period;
(7) the name of each candidate or officeholder who benefits
from a direct campaign expenditure made during the reporting
period by the person or committee required to fi Ie the report,
and the office sought or held, excluding a direct campaign
expenditure that is made by the principal political committee
of a political party on behalf of a slate of two or more
nominees of that party; [llIlE!]
(8) as of the last day of a reporting period for which the
192
CONFERENCE
~
I
I
~
SENATE VERSION
------------
Senate Bill!
HOUSE VERSION (IE)
person is required to file a report, the total amount of political
contributions accepted, including interest or other income on
those contributions, maintained in one or more accounts in
which political contributions are deposited as of the last day of
the reporting p e r i o d ~
(9) any credit, interest, rebate, refund, reimbursement. or
return of a deposit fee resulting from the use of a political
contribution or an asset purchased with a political contribution
received during the reporting period and the amount of which
exceeds $100:
(10) any proceeds of the sale of an asset purchased with a
political contribution received during the reporting period and
the amount of which exceeds $100;
(II) any investment purchased with a political contribution
received during the reporting period and the amount of which
exceeds $100:
(]2) any other gain from a political contribution received
during the reporting period and the amount of which exceeds
$100: and
(13) the full name and address of each person from whom an
amount described by Subdivisions (9), (]0), (] n, or (2) is
received, the date the amount is received, and the purnose for
which the amount is received. [FA59]
SECTION _' Subchapter B, Chapter 254, Election Code, is
amended by adding Section 254.0405, AMENDMENT OF
FILED REPORT. [FA59]
SECTION _. Section 254.041, Election Code, is amended by
adding Subsection (d). [FA59]
CONFERENCE
No equivalent provision. SECTION
-'
Section 571.122, Government Code, is
193
SECTION 76,04. Same as House version.
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
amended by adding Subsection (e) as follows:
(e) It is not a valid basis of a complaint to allege that a report
required under Chapter 254. Election Code. contains the
improper name or address of a person from whom a political
contribution was received if the name or address in the report
is the same as the name or address that appears on the check
for the political contribution. [FA59]
SECTION _. Subchapter E, Chapter 571, Government Code,
is amended by adding Section 571.1222, DISMISSAL OF
COMPLAINT CHALLENGING CERTAIN INFORMATION
IN POLITICAL REPORT, as follows:
At any stage of a proceeding under this subchapter. the
commission shall dismiss a complaint to the extent the
complaint alleges that a report required under Chapter 254.
Election Code. contains the improper name or address of a
person from whom a political contribution was received if the
name or address in the report is the same as the name or
address that appears on the check for the political
contribution. [FA59]
SECTION _. Section 571.123(b), Government Code, is
amended as follows:
(b) After a complaint is filed, the commission shall
immediately attempt to contact and notify the respondent of
the complaint by telephone or electronic mail. Not later than
the fifth business day after the date a complaint is filed, the
commission shall send written notice to the complainant and
the respondent. The written notice to the complainant and the
respondent must:
(I) state whether the complaint complies with the form
requirements of Section 57 I. I22;
194
CONFERENCE
r
[
I
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
(2) if the respondent is a candidate or officeholder. state the
procedure bv which the respondent may designate an a!!ent
with whom commission staff may discuss the complaint: and
[FA59,FA60)
ill [P-1J if applicable, include the information required by
Section 571.l24(e). [FA59)
SECTION _. Subchapter E, Chapter 571, Government Code,
is amended by adding Section 571.1231, DESIGNATION OF
AGENT BY CERTAIN RESPONDENTS as follows:
la) This section applies only to a respondent who is a
candidate or officeholder.
Ib) A respondent to a complaint filed against the respondent
may be writing submitted to the commission designate an
agent with whom the commission staff may communicate
regarding the complaint.
Ic) For purposes of this subchapter, including Section
571.140, communications with the respondent's agent
designated under this section are considered communications
with the respondent. [FA59]
SECTION _. Section 159.003(b), Local Government Code,
is amended as follows:
(b) The statement must:
(I) be filed with the county clerk of the county in which the
officer, justice, or candidate resides; and
(2) comply with Sections 572.022 and 572.023, Government
Code, and with any order of the commissioners court of the
county requiring additional disclosures. [FA59)
SECTION _. Section 254.031(a), Election Code, as amended
by this Act, applies only to a report under Chapter 254,
195
CONFERENCE
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
Election Code, that is required to be filed on or after the
effecti ve date of this Act. A report under Chapter 254,
Election Code, that is required to be filed before the effective
date of this Act is governed by the law in effect on the date the
report is required to be filed, and the former law is continued
in effect for that purpose. [FA59]
SECTION _. Saving provision. [FA59]
SECTION _. This Act takes effect September I, 2011.
[FA59]
SECTION _. (a) Section 322.007, Government Code,
ESTIMATES AND REPORTS, is amended. [FA66]
SECTION _. Chapter 322, Government Code, is amended by
adding Section 322.022, MEETING IN RESPONSE TO
REPORTED DECLINES IN SALES AND USE TAX
REVENUES. [FA68]
SECTION _. Section 77 1.00I, Health and Safety Code, is
amended by deleting subsection (4), and by renumbering
subsections (5) through (13) as subsections (4) through (12),
respectively. [FAI02]
SECTION _. Section 771.001, Health and Safety Code, is
further amended by amending subsection (12) and adding a
new subsection (13), as follows:
(12) "Wireless service connection" means any voice-capable
196
CONFERENCE
ARTICLE 73. FEES FOR 9-1-1 SERVICES
SECTION 73.01. Subdivision (4), Section 771.001, Health
and Safety Code, is repealed.
SECTION 73.02. Section 77 1.00I, Health and Safety Code, is
amended by amending Subdivision (13) and adding
Subdivision (14) as follows:
(13) "Wireless telecommunications connection" means any
...
."
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
wireless communication mobile station [assigAeEl a
eeAtaiAiAg aA area eeEle assigAeEl te Te"as tke
AffierieaA PlaA AElffiil1istrater tilat eel1l1eets a
wireless serviss previEler ta tHe 186M e3te'haflge] that is
provided to a customer by a wireless service provider.
(13) "Service provider" means a local exchange service
provider. a wireless service provider. and any other provider
of local exchange access lines or equivalent local exchange
access lines, [FAlO2]
SECTION _' Subsection (e) of Section 771.071, Health and
Safety Code, is amended as follows:
(e) A [Ieeal e)(ekaAge] service provider shall collect the fees
imposed on its customers under this section, Not later than the
30th day after the last day of the month in which the fees are
collected, the [Ieeal e)(eilaAge] service provider shall deliver
the fees to the comptroller. The comptroller shall deposit
money from the fees to the credit of the 9-1-1 services fee
account in the general revenue fund. The comptroller may
establish alternative dates for payment of fees under this
section, provided that the required payment date be no earlier
than the 30th day after the last day of the reponing period in
which the fees are collected, [FAI02]
SECTION _. Subsections (a) through (e) of Section 771.072,
Health and Safety Code, are amended as follows:
(a) [Ift] On and after Septernbetl'201l, in addition to the
[fee] fees imposed under [SeetieA] Sections 771.071 and
771.0711, the commission shall impose a 9-1-1 equalization
surcharge on each [el:lstsffier reeeiviAg lAlr=astate lang elistaAee
serviss, iAelHsiRg 6l:lstSlTieFS in an area serves By an
197
CONFERENCE
voice-capable wireless communication mobile station that is
provided to a customer by a wireless [assigAeEl a AHffil3er
eel1tail1ing al1 area eese assigl1eEl te Te)(as 13)' tke Nertk
AmerieaA PlaA ASffiiAistrater tkat eeAl1eets a
wireless seryiee jJr8viEler te tke leea! e)(ekaAge] service
provider,
(]4) "Service provider" means a local exchange service
provider. a wireless service provider. and any other provider
of local exchange access lines or equivalent local exchange
access lines.
(a) In addition to the fees [fee] imposed under Sections
[SeetieA] 771.071 and 771.0711, the commission shall impose
a 9-1-1 equalization surcharge on each local exchange access
line or equivalent local exchange access line and each wireless
telecommunications connection.
!-'
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
efAeFgeAsy eSFAffUIAieatisA Elistriet, eyeR if the Elistriet is Rst
fJBFtieifJatiRg in regisRal flieR] local exchange access line
or equivalent local exchange access line. and each wireless
telecommunications connection. The surcharge may not be
imposed on a line to coin-operated public telephone
equipment or to public telephone equipment operated by coin
or by card reader. The surcharge may also not be imposed on
any line that the commission excluded from the definition of a
local exchange access line or an equivalent local exchange
access line pursuant to Section 771.063. The surcharge may
also not be imposed on any wireless telecommunications
connection that constitutes prepaid wireless
telecommunications service subject to Section 771.0712.
(b) The [amslIAI sf Ihe sliFehar-ge ASt eJieeeEl eAe aAEI
dues teRd=ts sf eRe 1gerseRt sf lAe eliBrges fer iRtFastate leAg
elistHAee sen'ies, 85 seHRea ey lke SFflFflissisA] surcharge
shall be a fixed amount. not to exceed 10 cents per month for
each local exchange access line or equivalent local exchange
access line. or wireless telecommunications connection.
(c) Except as provided by Section 771.073(f), [aA iAIFaStale
ISAg ElistaAee] each service provider shall collect the
surcharge imposed on its customers under this section and
shall deliver the surcharges to the comptroller not later than
the date specified by the comptroller, provided that the
required payment date be no earlier than the 30th day after the
last day of the reporting period in which the surcharge is
collected. If the comptroller does not specify a date, the
provider shall deliver the surcharges to the comptroller not
198
CONFERENCE
The surcharge may not be imposed on:
(I) a line to coin-operated public telephone equipment or to
public telephone equipment operated by coin or by card
reader:
(2) any line that the commission excluded from the definition
of a local exchange access line or an equivalent local
exchange access line under Section 771.063: or
(3) any wireless telecommunications connection that
constitutes prepaid wireless telecommunications service
subject to Section 771.0712 [sestsFAer FeseiviAg iA1Fa5tate
ISAg ElistaAee sePt'iee. iASlusiAg l:IsteFflers in aA area sen'ee
By aR emergeR)' eSFflFftliRieatisR Elistriet, if lAS Elistriet is
Astl'aRieil'atiAg iA the FegisAall'laA].
(b) The surcharge must be a fixed amount. not to exceed 10
cents per month for each local exchange access line.
equivalent local exchange access line. or wireless
telecommunications connection [ameliA! ef the sliFeha>ge
fH:lt eRe aREI dues teAtAs sf SRe 13reeAt sf the eharges
fer iA1F8state leAg tlistaRse serviee, as EleHRetl By tke
eemmiisieR].
(c) Except as provided by Section 771.073(f), each [afl
;AtFestate ISAg Elisl8Aee] service provider shall collect the
surcharge imposed on its customers under this section and
shall deliver the surcharges to the comptroller not later than
the date specified by the comptroller, provided that the
required payment date be no earlier than the 30th day after the
last day of the reporting period in which the surcharge is
collected. If the comptroller does not specify a date, the
provider shall de.liver the surcharges to the comptroller not
SENATE VERSION
Senate Bill!
HOUSE VERSION (IE)
later than the 30th day after the last day of the month in which
the surcharges are collected.
(d) From the revenue received from the surcharge imposed
under this section, not more than 40 percent of the amount
derived from the application of the surcharge [at a fate ef ll8t
ffl8fe !flall .3 l'eFcenl] shall be allocated to regional planning
commissions or other public agencies designated by the
regional planning commissions for use in carrying out the
regional plans provided for by this chapter. The allocations to
the regional planning commissions are not required to be
equal, but should be made to carry out the policy of this
chapter to implement 9-1-1 service statewide. Money
collected under this section may be allocated to an emergency
communication district regardless of whether the district is
participating in the applicable regional plan.
(e) From the revenue received from the surcharge imposed by
this section, not more than 60 percent of the amount derived
from the application of the surcharge [at a fate sf n81 fflSfe
Ihan .8 l'efcent] shall be periodically allocated to fund grants
awarded under Section 777.009 and other activities related to
the poison control centers as required by Chapter 777.
[FA102]
SECTION _. A new subsection (e) is added to Section
771.0725, Health and Safety Code, as follows:
(e) Wlthtespe2t tblheequalizationsurcharge (fIip()sed tMeler
Section 771.072, the commission shall establish the rate as of
SeptembeI' 1. 2011. and noemore thanoiJce every state fiscal
biennium thereafter, so that the aggregate of the surcharges
collected from all customers for the next 12 months is not
expected to exceed the aggregate of the surcharges collected
from all customers during the preceding 12 months. Any
199
CONFERENCE
later than the 30th day after the last day of the month in which
the surcharges are collected.
(d) From the revenue recei.ved from the surcharge imposed
under this section, not more than 40 percent of the amount
derived from the application of the surcharge [at a Fate sf nst
Hlsfe thall .3 l'efsent] shall be allocated to regional planning
commissions or other public agencies designated by the
regional planning commissions for use in carrying out the
regional plans provided for by this chapter. The allocations to
the regional planning commissions are not required to be
equal, but should be made to carry out the policy of this
chapter to implement 9-1-1 service statewide. Money
collected under this section may be allocated to an emergency
communication district regardless of whether the district is
participating in the applicable regional plan.
(e) From the revenue received from the surcharge imposed by
this section, not more than 60 percent of the amount derived
from the application of the surcharge [al a Fale sf llet m8re
Ihan .8 l'eFcent] shall be periodically allocated to fund grants
awarded under Section 777.009 and other activities related to
the poison control centers as required by Chapter 777.
SECTION 73.05. Section 771.0725, Health and Safety Code,
is amended by adding Subsection (e) as follows:
(e) The commission shall establish the rate for .the
equalization surcharge iOlPosed under. Section 771.072 for
each. state fiscal biennium in an amount that ensures the
aggregate of the anticipated surcharges collected from all
customers for the following 12 months does not exceed the
aggregate of the surcharges collected from all customers
during the preceding 12 months. Any change in the
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
change in the equalization surcharge rate shall be made
effective not earlier than 90 days after notice of such change is
provided by the commission to service providers. [FAI02]
SECTION _. Subsection (a) of Section 771.073, Health and
collect the fees and surcharges in the same manner it collects
those charges for service, except that the service provider is
not required to take legal action to enforce the collection of
the fees or surcharges. [AJ Other than the fee imposed under
section 771.0712. a fee or surcharge imposed under this
subchapter must either be stated separately on the customer's
bill, or combined into an appropriately labeled single line item
on the customer's bill with all other fees and surcharges that
are imposed under this subchapter or that are imposed for 9-1-
I emergency service by a political subdivision. A service
provider that combines such fees and surcharges into a single
line for billing purposes shall maintain books and records
reflecting the collection of each fee and surcharge. [FAI02]
SECTION _. Subsection (3) of Section 77 1.0735, Health and
(3) the fee and the surcharge imposed on wireless
telecommunications bills shall be administered in accordance
with Section 151.061, Tax Code. [FAI02]
200
CONFERENCE
equalization surcharge rate may not become effective before
the 90th day after the date notice of the change is provided by
the commission to the service providers.
collect the fees and surcharges in the same manner it collects
those charges for service, except that the service provider is
not required to take legal action to enforce the collection of
the fees or surcharges. Other than the fee imposed under
Section 771.0712, a [A] fee or surcharge imposed under this
subchapter must be either stated separately on the customer's
bill or combined in an appropriately labeled single line item
on the customer's bill with all other fees and surcharges that
are imposed under this subchapter or that are imposed for 9-1-
1 emergency service by a political subdivision. A service
provider that combines the fees and surcharges into a single
line item for billing purposes must maintain books and records
reflecting the collection of each separate fee and surcharge.
SECTION 73.08. The changes in law made by this article
apply only to a fee or surcharge imposed on or after the later -- --- --- - ----_.... _- -------------
Senate Bill 1
SECTION_.
This Act takes effect S ~ p t ~ t n b e r I,ZOll. [FA102)
201
CONFERENCE
of the effective date of this article or September 1, 2011. A fee
or surcharge imposed before that date is governed by the law
as it existed immediately before that date, and that law is
This article takes effect imrIlediately if this Act receive"s a vote
of two-thirds of all the members elected to each house; as
provided jJy Section 39. Article m. Texas Constitution. If this
Act does nolreceive the vote ne-cessary for this article to have
immediate effect; this article takes effect on the 91st day after
the last day of theJegisiative seSSion.
ARTICLE 74. OPERATION AND ADMINISTRATION OF
THE TEXAS DEPARTMENT OF HOUSING AND
COMMUNITY AFFAIRS
make the final determination On this issue.)
SECTION 74.01. Section 2306.022, Government Code.
APPLICATION OF SUNSET ACT. is amended as follows:
The Texas Department of Housing and Community Affairs is
subject to Chapter 325 (Texas Sunset Act). Unless continued
in existence as provided by that chapter, the department is
abolished and this chapter expires September I, 2013 [;lG.j.J.).
imposed On its jurisdiction, but only the presiding officer can
make the final determination On this issue.)
SENATE VERSION
Senate Bill 1
HOUSE VERSION (IE)
202
CONFERENCE
SECTION 74.02. Subsections (d-I) and (d-2), Section
2306. I I I, Government Code, are amended as follows:
(d-I) In allocating low income housing tax credit
commitments under Subchapter DD, the department shall,
before applying the regional allocation formula prescribed by
Section 2306.1 I 15, set aside for at-risk developments, as
defined by Section 2306.6702, not less than the minimum
amount of housing tax credits required under Section
2306.6714. Funds or credits are not required to be allocated
according to the regional allocation formula under Subsection
(d) if:
(I) the funds or credits are reserved for contract-for-deed
conversions or for set-asides mandated by state or federal law
and each contract-for-deed allocation or set-aside allocation
equals not more than 10 percent of the total allocation of
funds or credits for the applicable program;
(2) the funds or credits are allocated by the department
primarily to serve persons with disabilities; or
(3) the funds are housing trust funds administered by the
department under Sections 2306.201-2306.206 that are not
otherwise required to be set aside under state or federal law
and do not exceed $3 million for each programmed activity
during each application cycle.
(d-2) In allocating low income housing tax credit
commitments under Subchapter DD, the department shall
allocate five percent of the housing tax credits in each
application cycle to developments that receive federal
financial assistance through the Texas Rural Development
Office of the United States Department of Agriculture. Any
funds allocated to developments under this subsection that
involve rehabilitation must come from the funds set aside for
at-risk developments under Section 2306.6714 and any
..
SENATE VERSION
Senate Bill 1
Conference Commiltee Report
HOUSE VERSION (IE)
203
---_. -------_. ----
CONFERENCE
additional funds set aside for those developments under
Subsection (d-I). This subsection does not apply to a
development financed wholly or partly under Section 538 of
the Housing Act of 1949 (42 U.S.C. Section 1490p-2) unless
the development involves the rehabilitation of an existing
property that has received and will continue to receive as part
of the financing of the development federal financial
assistance provided under Section 515 of the Housing Act of
1949 (42 U.S.C. Section 1485).
make the final determination on this issue.)
QUALIFIED ALLOCATION PLAN; MANUAL, is amended
as follows:
At least biennially. the [+fie) board [ a R R a a l l ~ ' ) shall adopt a
qualified allocation plan and a corresponding manual to
provide information regarding the administration of and
eligibility for the low income housing tax credit program. The
board may adopt the plan and manual annually. as considered
appropriate by the board.
make the final determination on this issue.)
SECTION 74.04. Subsections (b) and (t), Section 2306.6711,
Government Code, are amended as follows:
(b) Not later than the deadline specified in the qualified
allocation plan, the board shall issue commitments for
'.
SENATE VERSION
Senate Bill 1
:.ection-by-:.ection AnalysIs
HOUSE VERSION (IE)
SECTION _. Subchapter I, Chapter lSI, Tax Code, is
amended by adding Section 151.4292, TAX REFUNDS FOR
QUALIFIED DATA CENTERS. [FAI 17]
SECTION _. Saving provision. [FAI 17]
SECTION _. This Act takes effect September I, 20 I 1.
[FAI17]
SECTION _. (a) Section 23.51(7), Tax Code, is amended.
[FAIlS]
SECTION _.Section 313.007, Tax Code, EXPIRATION, is
amended. [FAI26]
SECTION _. Subchapter C. Chapter 2171, Government
Code, is amended by adding Section 2171.101 I. FLEET
PLANNING AND OPTIMIZATION PROGRAM. [FAI,3rd]
204
CONFERENCE
date of this article. An application for a license filed before
that date is governed by the law in effect on the date the
application was filed, and the former law is continued in effect
for that purpose.
[The conference commil/ee may have exceeded the limitations
make thefinal determination on this issue.]
[ARTICLE 78 reserved.]
[See ARTICLE 79 above.]
to
SENATE VERSION
Senate Bill I
Seclion-by-Seclion Analysis
HOUSE VERSION (IE)
CONFERENCE
ARTICLE 79A. CONFIDENTIALITY OF CERTAIN
PEACE OFFICER VOUCHERS
No equivalent provision. No equivalent provision.
205
SECTION 79A.01. Subchapter H, Chapter 660, Government
CONFIDENTIALITY OF CERTAIN PEACE OFFICER
VOUCHERS; QUARTERLY SUMMARIES, as follows:
(a) A voucher or other expense reimbursement form, and any
receipt or other document supporting that voucher or other
expense reimbursement form, that is submitted or to be
submitted under Section 660.027 is confidential under Chapter
552 for a period of 18 months following the date of travel if
the voucher or other expense reimbursement form is submitted
or is to be submitted for pavment or reimbursement of a travel
expense incurred bv a peace officer while assigned to provide
protection for an elected official of this state or a member of
the elected official's familv.
(b) At the expiration of the period provided by Subsection (a),
the voucher or other expense reimbursement form and any
supporting documents become subject to disclosure under
Chapter 552 and are not excepted from public disclosure or
confidential under that chapter or other law, except that the
following provisions of that chapter apply to the information
in the voucher, reimbursement form, or supporting
documents:
(2) Section 552.1175:
(3) Section 552.119;
(4) Section 552.136;
SENATE VERSION
Senate Bill 1
SccLionby-SccLion Anaiysis
HOUSE VERSION (IE)
206
CONFERENCE
(5) Section 552.137:
(7) Section 552.151.
(c) A state agency that submits vouchers or other expense
reimbursement forms describcd by Subsection (a) shall
prepare quarterly a summary of the amounts paid or
reimbursed bv the comptroller based on those vouchers or
other expense reimbursement forms. Each summary must:
(I) list separatelv for each elected official the final travel
destinations and the total amounts paid or reimbursed in
conncction with protection provided to each elected official
and that elected official's family members; and
(2) itemize the amounts listed under Subdivision (I) by the
categories of travel. fuel. food. lodging or rent. and other
operating expenses.
(d) The itemized amounts under Subsection (e)(2) must equal
the total amount listed under Subsection (c)( I) for each
elected official for the applicable quarter.
(e) A summary prepared under Subsection (c) mav not
include:
(I) the number or names of the peace officers or elected
official's family members identified in the vouchers. expense
reimbursement forms. or supporting documents;
(2) the name of any business or vendor identified in the
vouchers. expense reimbursement forms. or supporting
documents: or
(3) the locations in which expenses were incurred. other than
the city. state. and countrv in which incurred.
<0 A summary prepared under Subsection (c) is subject to
disclosure under Chapter 552. except as otherwise excepted
from disclosure under that chapter.
(g) A state agency that receives a request for information
described by Subsection (a) during the period provided bv that
....
SENATE VERSION
ARTICLE 73. EFFECTIVE DATE
(I) this Act takes effect September I, 20 II, if it receives a
provided by Section 39, Article III, Texas Constitution; and
(2) if this Act does not receive the vote necessary for effect on
that date:
Senate Bill 1
Conference Committee Reron
St::t:tion-by-Sc(;tiun Anaiysis
HOUSE VERSION (IE)
(1) this Act takes effect September I, 20II, if it receives a
provided by Section 39, Article 111, Texas Constitution; and
(2) if this Act docs not receive the vote necessary for effect on
that date, this Act takes effect on the 91 st day after the last day
207
CONFERENCE
subsection mav withhold that information without the
necessity of requesting a decision from the attorney general
under Subchapter G, Chapter 552. The Suprcme Court of
Texas has original and exclusive mandamus jurisdiction over
any dispute regarding the construction, applicabilitv, or
constitutionality of Subsection (a). The supreme court may
appoint a master to assist in the resolution of any such dispute
as provided by Rule 171, Texas Rules of Civil Procedure, and
may adopt additional rules as necessary to govern the
procedures for thc resolution of any such dispute.
make thefinal determination on this issue.)
SECTION 79A.02. Section 660.2035, Government Code, as
added by this article, applies according to its terms in relation
to travel vouchers or other reimbursement form and any
supporting documents that pertain to expenses incurred or
paid on or afterthe effective date of this article.
make thefinal determination on this issue.)
----------_.. --------------
SENATE VERSION
(A) this Act takes effect on the 91st day after the last day of
the legislative session; and
(B) a provision of this Act that purports to take effect on
September 1, 2011, takes effect on the date specified by
Paragraph (A) of this subdivision,
Senate Bill 1
Analysis
HOUSE VERSION (IE)
of the legislative session.
208
CONFERENCE
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 82nd LEGISLATURE 1st CALLED SESSION - 2011
June 27, 2011
TO: Honorable David Dewhurst, Lieutenant Governor, Senate
Honorable Joe Straus, Speaker of the House, House of Representatives
FROM: John S O'Brien, Director, Legislative Budget Board
IN RE: SBI by Duncan (Relating to certain state fiscal matters; providing penalties. ), Conference
Committee Report
Estimated Two-year Net Impact to General Revenue Related Funds for SBI, Conference Committee
Report: a positive impact of $7,327,438,898 through the biennium ending August 31,2013.
The bill would also result in a $148,480,500 loss to the Property Tax Relief Fund 304 for the biennium
ending August 31, 2013. Therefore the bill would have a net positive impact 0$7,178,958,398 to
General Revenue Funds for the biennium.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to
implement the provisions of the bill.
General Revenue-Related Funds, Five-Year Impact:
All Funds, Five-Year Impact:
Fiscal Year
2012
2013
2014
2015
2016
Probable Net Positivel(Negative)
Impact to General Revenue Related
Funds
$2,134,013,628
$5,193,425,270
$1,444,221,405
$2,167,489,833
$1.636,290.958
Probable Savings! Probable Revenue Probable Revenue
(Cost) from Gain/(Loss) from Gain/(Loss) from
General Revenue Fund General Revenue Fund Available School Fund
1 1 2
Fiscal Year
20J2
2013
2014
2015
20J6
$2,043,459.8 J7
$2,043,531,885
$2,035.706,885
$2,035.73 J,885
$J,501.006,885
$101,144,107
$981,225,696
($727,102,054)
$130,415,446
$133,874,446
$0
($134,338,000)
$J34,338,Ooo
$0
$0
Probable Savings!
(Cost) from
Foundation School
Fund
193
($10,590,296)
$2,30 J,217,689
$1,278,574
$J,342,502
$1,409,627
Probable Revenue Probable Revenue
Probable Savings! Probable Revenue
Gain/(Loss) from Gain/(Loss) from
Fiscal Year Foundation School Property Tax Relief
(Cost) from Gain/(Loss) from
Fund FUlld
Oilfield Cleallup Acct Oilfield Cleanllp Acct
193 304
145 145
2012 $0 ($75,084,750) $27,500,000 ($55.201,000)
2013 $1,788.000 ($73,395,750) $27,500.000 ($25,111.000)
2014 $0 $2,157,250 $27,500,000 ($25.268,000)
2015 $0 $2,327.250 $27.500,000 ($25,483,000)
2016 $0 $1,911.000 $27.500,000 ($25,696,000)
Probable Revenue Probable Revenue Probable Revenue Probable Revenue
Gain/(Loss) from Gain/(Loss) from Gain/(Loss) from Gain/(Loss) from
Fiscal Year Tx Preservatioll Trust Tobacco Children & Public Ems & Trauma Care
Ace Education/Enforce Health Accoullt
664 5044 5045 5046
2012 $10.089,461 $10,562.519 $5,281,258 $5,281.258
2013 $0 $28,481,408 $14.240,704 $14,240,704
2014 $0 $0 $0 $0
2015 $0 $0 $0 $0
2016 $0 $0 $0 $0
Probable Revenue Probable Revenue Probable Revenue Probable Revenue
Gain/(Loss) from Gain/(Loss) from Gain/(Loss) from Gain/(Loss) from
Fiscal Year DIR Clearing FUlld Telecommunications DlR Clearing Fund Telecomllllll/ications
AccountAR Revolving - AR Account lAC Revolvillg lAC
8122 8123 8124 8125
2012 $272,351 $226,863 $116,722 $1,550,119
2013 $256,572 $221,938 $109,960 $1,506,890
2014 $0 $0 $0 $0
2015 $0 $0 $0 $0
2016 $0 $0 $0 $0
Probable Revenue Probable Savings! Probable Revenue
Probable Revenue
Gain/(Loss) from (Cost) from Gain/(Loss) from
Gain/(Loss) from
Fiscal Year Statewide Technology New Gelleral Revenue New General Revenue
New Gelleral Revenue
AccountIAC Dedicated Oil & Gas Dedicated Oil & Gas
Dedicated Iud Ed Acet
8126 Acct Acct
2012 $365.729 ($48,897,500) $79,097,500 $11.716,000
2013 $344,541 ($48,897,500) $48,897,500 $10,660,000
2014 $0 ($48,897,500) $48.897,500 $10,660,000
2015 $0 ($48.897.500) $48,897,500 $10,660,000
2016 $0 ($48,897,500) $48,897.500 $10.660,000
Probable Revenue
Probable Revenue
Probable Revenue
Gain/(Loss) from
Gain/(Loss) from
Gain/(Loss) from
Probable Revenue
Fiscal Year
Texas Mobility FUlld
Iud & Courl Trainillg
State Highway Fund
Gain/(Loss) from
Fd Cities
365
540
6
2012 $0 ($11,716,000) $0 $15,825.000
2013 $1,432,595 ($10.660.000) ($403,016,000) $16,525,000
2014 $1,461,247 ($10,660,000) $403,016,000 $16,925,000
2015 $1,490,467 ($10,660.000) $0 $17,525,000
2016 $1,520,278 ($10,660,000) $0 $18,125,000
Probable Revenue Probable Revenue
Fiscal Year Gain/(Loss) from Gain/(Loss) from
Trallsit Authorities Counties & Sp Disl
2012 $4,975.000 $2,750,000
2013 $5,175,000 $2,850,000
2014 $5.275,000 $2,950,000
2015 $5,475,000 $3,050.000
2016 $5,675,000 $3,150,000
Fiscal Analysis
Fiscal Year
2012
2013
2014
2015
2016
Change in Numher of State
Employees from FY 2011
10.0
10.0
10.0
10.0
10.0
Article I would defer the Foundation School Program (FSP) payment to school districts scheduled for
August of fiscal year 2013 to not earlier than September 5th of the following fiscal year. Article I
would amend Government Code Section 466.355 to require the comptroller to estimate the amount to
be transferred to the foundation school fund on or before September 15th and transfer the amount to
the FSP before August 25.
Article 2 would implement a recommendation in the report, "End the Use of General Revenue Funds
to Pay for Insurance Company Examinations," in the Legislative Budget Board's Government
Effectiveness and Efficiency Report, submitted to the Eighty-second Texas Legislature, 2011, by
repealing insurance premium tax credits for examination fees. This provision would apply to
examination fees or evaluations paid in calendar year 2012 or 2013 and the provision would expire on
January 1,2014.
Article 3 would partially implement recommendations from the report, "Phase out Economic
Development Tax Refunds," in the Legislative Budget Board's (LBB) Government Effectiveness and
Efficiency Report submitted to the Eighty-Second Legislature, 2011. This bill would repeal
Subchapter F of Chapter III of the Tax Code, regarding tax refunds for certain ad valorem taxpayers
in reinvestment zones. This article would take effect October I, 20l L
Article 4, relating to tax records, would amend the Occupations Code and the Tax Code to extend the
amount of time that taxpayers must keep records such as electronically stored images of documents.
Specifically, Section 111.0041 of the Tax Code would be amended to extend the time to at least four
years that taxpayers would be required to maintain records to substantiate and verify a claim regarding
the taxes, penalties, and interest. Conforming changes would be made elsewhere in the Tax Code and
the Occupations Code. This Article would take effect immediately if the bill receives the requisite
two-thirds vote of each chamber, otherwise it would take effect October 1, 2011.
Article 5 as amended would implement the recommendation in the report, "Reduce the Unclaimed
Property Dormancy Period for Certain Property Types" in the Legislative Budget Board's Government
Effectiveness and Efficiency Report, submitted to the Eighty-second Legislature, 20II. It would
decrease the unclaimed property dormancy period for utility deposits from l8 months to one year.
Article 6 of the bill would change the classification of the Judicial and Court Personnel Training Fund
No. 540 from Other Funds to a dedicated account within the General Revenue Fund.
Article 7 would amend Government Code to authorize the Office of Court Administration to
collect process server fees. Fees collected shall be sent to the Comptroller for deposit into the General
Revenue Fund. The bill would allow fees collected to be appropriated for the support of regulatory
programs for process servers, guardians, and court reporters.
Article 9 would impact the collection of certain motor fuel taxes. The bill would amend various
chapters of the Tax Code to require tax remittances on motor fuel taxes and delay the transfer of motor
fuels taxes from general revenue to the State Highway Fund and Fund 002 that would normally occur
in August 2013. The revenue would be deposited in September 2013. This article would take effect
October I, 2011.
Article 10 would impact collections of mixed beverage taxes and takes and fees on certain alcoholic
beverages. The bill would amend various chapters of the Alcoholic Beverage Code to require tax
t
remittances for the month of September to be paid in August for certain taxes in odd-numbered years.
Article II would reduce the cigarette tax distributors' discount from three percent to two and a half
percent.
Article 12 would amend Tax Code to redefine sale for resale. This provision would take effect
immediately if the bill received the requisite two-thirds vote of each chamber; otherwise, it would take
effect October 1, 20 II.
Article l3 would amend Chapter 15l of the Tax Code relating to tax due dates and report dates to
provide for a 25 percent prepayment of the sales and use tax in August 2013 and an offsetting credit in
September 2013. The prepayment would be required of taxpayers who pay by electronic funds transfer
and who do not prepay as provided by Section 151.424.
Article l4, relating to the penalties for failure to report or remit certain taxes or fees, would amend the
Tax Code and the Health and Safety Code to add a penalty of $50 for a person who fails to file certain
reports required under the codes. The penalty would be in addition to any other authorized penalties,
and without regard to whether the person subsequently files the report or whether any taxes or fees
were due. The bill's provisions would apply to several taxes including the sales and use tax and motor
vehicle rental and seller financed taxes. This article would take effect October I, 20 II.
Article 19 would create the Oil and Gas Regulation and Cleanup (OGRC) Fund as an account in the
General Revenue Fund. The OGRC would replace the existing General Revenue-Dedicated Oil Field
Cleanup (OFCU) Account No. 145, with all balances in that account transferring to the OGRC Fund,
and all current revenue streams to the OFCU Account No. 145, except penalties, accruing to the
OGRC Fund. Penalties would be deposited to the credit of the General Revenue Fund. The bill would
authorize surcharges on the agency's existing fees to provide that the OGRC Fund cover all of the
Railroad Commission's (RRC) costs related to the regulation of oil and gas development. The bill
would provide a specific methodology for the RRC to determine the amount of such surcharges. The
amount of such surcharges shall not exceed an amount equal to 185 percent of the fee on which they
are imposed. In addition, the bill would require that the Comptroller notify the RRC when the OGRC
Fund has an unexpended balance of $20.0 million or greater, at which point the agency would cease
collecting oil field cleanup regulatory fees, until the unexpended balance of the OGRC Fund falls
to$IO.0 million.
Article 19 would also require the RRC to establish specific performance goals for oil and gas
regulation through the appropriations process for: the number of orphaned wells plugged with the use
of state funds; the number of abandoned sites to be investigated, assessed, or cleaned up; and the
number of surface locations to be remediated. The RRC would also be required to submit quarterly
reports to the Legislative Budget Board on OGRC Fund revenues and expenditures and progress
towards the performance goals. Annually, the RRC would be required to report to the Legislature a
review of the effectiveness of money provided in the OGRC Fund at enabling the agency to better
protect the environment. Article 19 would also expand the applicability of the pipeline safety fee to
include gas utility regulatory functions at the RRC and allow the RRC to use funds other than the oil
and gas regulation cleanup fund for regulation and cleanup if appropriated.
Article 20 would eliminate the publication and distribution of bound copies of the General and Special
Laws of Texas (referred to as session law) by the Secretary of State following each session of the
legislation, replacing such information with an electronic version on the agency's website.
Article 21 would authorize the Attorney General to charge a reasonable fee for electonic filing of
documents. This article would take effect immediately if it receives a two-thirds vote of each chamber;
otherwise, this article would take effect 91 days after the last day of the session.
Article 22 would authorize money in the Preservation Trust Fund to be used for operation expenses of
the Texas Historical Commission.
Article 23 would continue the operation of DIR for two years, until September l, 2013. The bill
would clarify the appropriate expenditure of revenue derived from the collection of fees imposed by
the Department of Information Resources. The bill would exempt a database or network managed by
the Department of Agriculture from the Statewide Technology Center, or data center consolidation
project, managed by DIR.
Article 24 would direct the State Bar to credit an attorney with meeting the minimum continuing legal
education requirements while employed full-time with the Office of the Attorney General, with the
exception of requirements for ethics and professional responsibility courses. The bill requires the
OAG to provide OAG attorneys with continuing legal requirement opportunities. These provisions
would expire January 1,2014.
Article 25 would increase lobby registration fees by 50 percent and add lobbyists for 50l(c)(6)
organizations to the new $150 fee category.
Article 28 would expand the use of three tobacco settlement funds to pay the principal or interest on a
bond issued on behalf of the Cancer Prevention and Research Institute of Texas, including: the
Permanent Fund for Health and Tobacco Education and Enforcement; the Permanent Fund for
Children and Public Health; and the Permanent Fund for Emergency medical Services and Trauma
Care.
Article 29 of the bill would restructure the process used to dispose of state surplus or salvage property
to improve the efficiency of the program.
Article 30 relates to the collection and allocation of certain sales and use tax. The bill would amend
Section 151.008(b) to provide that the terms "seller" and "retailer" include a person who by agreement
with an owner of tangible personal property has been entrusted with possession of and authority to
sell, lease, or rent the property without additional action on the part of the owner. This article takes
effect January 1,2012.
The bill would amend Section 151.107 to provide that a "retailer engaged in business in this state"
includes a retailer that (1) holds a substantial ownership in, or is owned in whole or substantial part by,
a person who maintains a business location in this state if the retailer sells substantially the same
product line and does so under substantially the same business name as the related retailer or if the
facilities or employees of the related person in this state are used to advertise, promote, or facilitate
sales by the retailer or are used to maintain a marketplace in this state for the retailer, exchanging
returned merchandise; or (2) holds a substantial ownership in, or is owned in whole or substantial part
by, a person that maintains a distribution center, warehouse, or similar location in this state that
delivers property sold by the retailer.
Article 31 extends the eligibility period for which businesses can take tax credits that had accrued
under the old franchise tax through to December 31,2016.
Article 32 would allow the Comptroller to enter into contracts with procurement specialists to more
effectively and inexpensively procure items purchased and used by state agencies. The specialist
would be paid from the cost savings generated.
Article 34 would amend several sections of the Government Code related to the development of state
budgets and the publication of related documentation, including: requiring the Legislative Budget
Board (LBB) to hold public hearings each state fiscal year to hear a report from the comptroller on the
financial condition of the state and receive public testimony; requiring the LBB to hold public
hearings on interim budget reduction requests from state agencies; requiring the Comptroller of Public
Accounts to publish data related to revenue from fees; and amending procedures related to the Cash
Management Committee. Article 34 would also require the LBB place information on its internet
website showing additional program level detail for appropriations.
Article 35 of the bill would amend the Government Code relating to the Texas Back to Work Initiative
would allow the Governor to transfer appropriations from the Texas Enterprise Fund (TEF) to the
Texas Back To Work initiative administered by the Texas Workforce Commission.
Article 36 would provide a homestead exemption for surviving veteran spouses. This article would
o t
take effect January 1,2012.
Article 37 extends the small business franchise tax exemption at $1,000,000 until 2014.
Article 39 relates to fiscal matters concerning process servers and entitIes a person appointed to the
process server review board to reimbursement for actual and necessary expenses incurred in traveling
and performing official board duties and requires the office to establish a certification division. The
Article would also require OCA to establish a certification division to oversee regulatory programs
and would enable fees collected under Section 51.008, Government Code, to be appropriated to the
office to support the certification division. This support includes the restoration of salaries and
operating costs that were cut from OCA's appropriations during the regular session, and adds funding
for travel costs for members of the Process Server Review Board.
Article 40 relates to fiscal matters regarding reimbursement of jurors and entitles a person who reports
for jury service to receive reimbursement for travel and other expenses.
Article 41 of the bill would amend the Code of Criminal Procedure to require counties with a
population of 50,000 or greater to participate in the Collection Improvement Program unless granted a
Waiver.
Article 42 would amend Government Code, Chapter 50I, to decrease the number of public members
appointed to the Correctional Managed Health Care Committee, and require the committee to take
certain actions relating to contracts.
Article 43 would allow for the transfer of appropriated funds from the Texas Enterprise Fund to the
Texas Department of Housing and Community Affairs to fund the Texas homeless housing and
servIces program.
Article 45 expands certain franchise tax exemptions to live event promotion companies, courier
services. This article would take effect January 1,2012.
Article 46 would amend Chapter 23 of the Tax Code to add beekeeping for the purpose of pollination,
food production, or production of other commercial products to the list of activities that could qualify
land for the reduced agricultural use property tax appraisal if the activity is at the degree of intensity
generally accepted in the area and meets other existing requirements. The bill would provide that land
used for these purposes could not be less than five acres but not more than 20 acres.
Article 47 would allow the Comptroller to collect data for unclaimed property search every five years,
instead of every year.
Article 48 would amend Chapter 11 of the Tax Code, regarding property taxation and exemptions, to
change the definition of "goods-in-transit" to require that the personal property be stored under a
contract of bailment by a public warehouse operator at one or more public warehouses that are not in
any way owned or controlled by the owner of the personal property. Certain provisions of this article
would take effect January 1,2012; others would take effect October I, 2011.
Article 49 would implement the recommendation in the report, "Limit Advanced Placement Incentive
Program Exam Fee Subsidies and End Campus Awards," in the Legislative Budget Board's
Government Effectiveness and Efficiency Report submitted to the Eighty-Second Texas Legislature,
2011 by funding the cost of examinations for students who demonstrate financial need in accordance
with adopted guidelines.
Article 50 would limit eligibility for Educational Aide tuition exemptions to persons seeking
certification in subject areas experiencing teacher shortages in public schools as determined by the
Texas Education Agency. This article would apply beginning with tuition and fees charged for the
2012 fall semester.
Article 51 would amend Chapter 171 of the Tax Code, regarding the franchise tax, by revising the
definition of "retail trade." The bill would add apparel rental activities to the definition of retail trade.
J
The bill would take effect on January 1,2012, and apply only to reports due on or after that date.
Article 52 would authorize certain school districts to retain additional state aid and would expire
September 1,2013.
Article 53 would amend Chapter 42 of the Education code to reduce a district's additional state aid for
tax relief in proportion to the degree to which its adopted maintenance and operations tax rates is
below its compressed tax rate, applying beginning with tax rates adopted for the 2009 tax year.
Article 54 would remove the CPA from the Texas Guarantee Student Loan Board, authorize the
Governor to appoint an additional member to the Board and authorize the Governor to appoint the
Board of the Chair.
Article 55 redefines the disposition of mineral proceeds for Texas A&M University System, Texas
State University System, Texas Tech University and Texas A&M Kingsville.
Article 56 relates to the Foundation School Program financing and reporting. This section would
expire September 1, 2013.
Article 57 of the bill would make structural changes in the Foundation School Program that would
result in significant state savings in fiscal year 2012 and continuing thereafter.
Article 61 would repeal the state virtual school network allotment in the Foundation School Program
(FSP), including the commissioner's authority to grant allotments for courses that exceed a normal
course load. The bill would allow school districts to count students enrolled in courses through the
VSN in the calculation of students in average daily attendance (ADA) for purposes of determining
FSP entitlement.
Article 62 would abolish the Texas Department of Rural Affairs (TDRA) and creates the Office of
Rural Affairs within the Texas Department of Agriculture (TDA). This article would transfer all of the
appropriations, powers, duties, FTEs, and performance measures from TDRA to the new office within
TDA. The bill would establish a Rural Health and Economic Development Advisory Council and
require the council to review rural policies and allocations of CDBG funds.
Article 63 would require judicial status reviews at least every six months for chi.ldren age 18 or older
in extended foster care placements. This would satisfy case plan requirements for Title IV-E
reimbursement under the U.S. Fostering Connections to Success and Increasing Adoptions Act of
2008. It would also allow the Department of Family and Protective Services (DFPS) to use federal
matching funds in lieu of state funds to pay for extended foster care maintenance costs.
Article 64 would re-allocate the revenue collected from fees authorized by Sections 419.026(a) and
419.033 (b) of this code to be deposited to the credit of a special account in General Revenue Fund
000I (i.e. GR Account-Fire Protection) in a portion of the fees not to exceed the amount
appropriated to the TCFP for the biennium, less any other amount appropriated from a source other
than the fees. The remainder of the fees would continue to be deposited to Fund 0001.
Article 65 as amended would amend the Government Code to add provisions regarding TDC] policies
designed to manage inmate population based on similar health conditions, to require inmates to pay an
annual $100 health care services fee, and to require TDC] to provide certain over-the-counter
medications to offenders through commissary operations and do so at no cost if the inmate is indigent.
Article 65 would also implement recommendations in the report "Eliminate Statutory Barriers to
Contain Costs in Correctional Managed Health Care" in the LBB' s Government Effectiveness and
Efficiency Report, submitted to the Eighty-second Texas Legislature, 2011.The bill would require
TDC], UTMB, and TTUHSC to develop and implement a training program for corrections medication
aides similar to the one currently offered by DADS which certifies medication aides who work in
nursing homes. The bill would provide an exemption from end stage renal disease licensing
requirements for clinics and hospitals operated on behalf of the state that provide dialysis to
individuals receiving services in the correctional managed health care program.
Article 66 would change certain practices and procedures for guardianships that are transferred from
one jurisdiction to another.
Article 67 would amend the Government Code to allow the Comptroller to develop a habitat
conservation plan (or to enter into an interagency contract with another agency for this purpose) to
promote compliance with federal laws protecting endangered species. The bill would also establish the
Habitat Protection Fund as a fund outside of the Treasury and allow the Comptroller to impose a
mitigation fee to support the development and coordination of the habitat conservation plan.
Article 68 would remove the population brackets relating to the registration of golf carts on U.S. Corp
of Engineers property.
Article 69 would repeal a 15-cent state court cost associated with the offense of failing to secure a
child passenger in a motor vehicle. To the extent the repeal of the court cost may result in decreased
state revenue, the fiscal implication to the state is not anticipated to be significant.
Article70 would exempt Smith Country from certain Juvenile Justice Adult Education Program
requirements.
Article 71 would direct the Health and Human Services Commission (HHSC), if feasible and cost
effective, to apply for a waiver from the federal government to maximize the federal Medicaid
matching funds by providing Medicaid benefits to individuals with chronic health conditions who
meet certain income and other eligibility requirements.
Article 72 would require the Department of Public Safety (DPS) to designate certain driver's license
offices as temporary visitor stations employing at least two staff who have completed certain
specialized training. The bill would amend the Transportation Code to establish expiration dates for
driver's licenses issued to people who are not citizens, nationals, or legal permanent residents of the
United States or a refugee or asylee lawfully admitted into the United States. The bill would also
establish fee amounts for various issuances of the license or personal identification certificate issued to
applicants who are not citizens of the United States.
Article 73 would change various aspects of the equalization surcharge.
Article 75 allows the Governor to designate a single agency to administer the community development
block grant (CDBG) program; however, the amendment does not designate a specific agency. The bill
would also repeal the Texas Department of Rural Affairs authority over CDBG funds.
Article 76 would amend the Election Code to make additions to the list of information that must be
included on campaign finance reports filed with the Texas Ethics Commission (Commission), and
changes the reporting threshold for political contributions from $50 to $100.
Article 79a would exempt travel vouchers and supporting documentation of certain peace officers
from public disclosure for 18 months following the date of travel. Agencies that pay such vouchers
would be required to prepare a quarterly report summarizing amounts paid for these vouchers. This
provision would apply to expenses incurred or paid after the date of this Act.
Except as otherwise noted, the provisions of this bill take effect September I, 20II, if it receives a
vote of two-thirds of each chamber. If this bill does not receive the vote necessary for effect on
September 1,2011, this Act takes effect on the 91st day after the last day of the legislative session.
Methodology
For Article I of the bill, the effect of deferring the August FSP payment in fiscal year 2013 to
September of the following fiscal year is that a total of 23 monthly FSP payments would be dispersed
during the 2012-13 biennium. Under current law funding of the FSP, this deferral would result in a
one-time savings of $2.3 billion in fiscal year 2013. However, any statutory reduction to school
districts' FSP entitlements would decrease the savings gained from this deferral. Funding levels in
Conference Committee Report House Bill I (CCRHB I) would produce a savings of $2.3 billion.
Article 2 would result in a revenue gain of $7.1 in General Revenue Related Funds in fiscal year 2013.
To estimate the provisions of Article 2, data from TDI and the Comptroller were used to calculate the
amount of examination fee and overhead assessment credits that would be available, the proportion of
available examination fee credits that would be applied towards premium tax liability under current
law, and the extent to which the repeal of these credits would increase the use of other types of
premium tax credits.
Article 3 of the bill would result in a gain of $10 million in General Revenue Related funds in
the2012-13 bicnnium. The Comptroller estimated fiscal impact from the proposed repeal based on
refunds that have been made under the provisions of Subchapter F. There is no estimated fiscal impact
for 2012 as the current statute and provisions of the bilt would result in refunds being made through
fiscal 2012. State savings would begin in fiscal 2013.
The Comptroller estimates that Article 4 relating to tax record maintenance requirements would result
in gain of $11 million in General Revenue Funds for the 2012-13 biennium.
For Article 5, there would be a one-time gain of $300,000 in fiscal year 2013 from reducing the
unclaimed property dormancy period for utility deposits.
For Article 6, this analysis projects probable revenue gain to the General Revenue Fund from the
reclassification of the Judicial and Court Personnel Training Fund No. 540 from Other Funds to
General Revenue account of $11.7 million in fiscal year 2012 and $10,660,000 in each fiscal year
thereafter. Projected revenues to the Judicial and Court Personnel Training Fund are based on amounts
included in the Comptroller's 2012-13 Biennial Revenue Estimate, or $10.6 million in fiscal year
2012 and $10.7 million in fiscal year 2013. Additionally, this estimate assumes $1,128,000 in
unexpended balances available in the Judicial and Court Personnel Training Fund at the end of fiscal
year 2011.
Article 7 of the bill would result in cost of $150,000 to the General Revenue Fund in the 2012-13
biennium to establish a system to collect over 6,000 certification fees, as well as maintaining
administrative information associated with these certificates. The CPA could not estimate the potential
revenue gain.
Article 9, relating to the motor fuels tax speed-up would result in a revenue gain of $67.1 million in
General Revenue Funds for the 2012-13 biennium. Article 9 would also delay the motor fuels tax
transfer to Fund 6 and 2 and this provision would result in a net revenue gain of $403 million in
General Revenue Related Funds.
Article 10 relating to the alcohol tax speed up would result in a gain of $17.6 million in General
Revenue funds in the 2012-13 biennium. The fiscal impacts of Articles 10 and 11 were based on the
Comptroller's 2012-13 Biennial Revenue Estimate. The provisions of this bill would impact revenue
collections only in fiscal year 2013 and 2014.
Article 11 would result in a revenue gain of $11.63 million in General Revenue Related funds in the
2012-13 biennium. The fiscal impact of Articles II was based on the Comptroller's 2012-13 Biennial
Revenue Estimate. The proposed cigarette stamping allowance change would increase the revenue
from each stamp by roughly one-half of one percent. First year revenue collections were adjusted for
collection lags.
Article 12 would result in gain of $150 million in General Revenue Related funds in the 2012-13
biennium. Article l2 relates to a recent court decision that expanded the interpretation of items that
may be purchased as a nontaxable sale for resale to include items purchased by contractors for use or
consumption in performing services under federal contract. The bill would preclude the court decision
from being further expanded to apply to contracts with exempt entities other than the federal
government. The Comptroller used data on refund claims pursuant to the court decision to estimate the
annual state sales tax reduction to be expected were the decision applied to contracts with exempt
entities other than the federal government, and the implications for units of local government were
estimated proportionally. The tables shown above assume an effective date of September 1, 2011.
For the 2012-13 biennium, Article 13 would result in a revenue gain of $231.2 million in General
Revenue funds. The fiscal impact of Article 13 was based on the Comptroller's 2012-13 Biennial
Revenue Estimate. The provisions of this bill would impact revenue collections only in fiscal year
2013 and 2014. The analysis for this article assumes a one-time payment would apply only to state
sales taxes.
Article 14, relating to the penalties for failure to report or remit certain taxes or fees would result in
gain of $13.2 million in General Revenue Funds in the 2012-13 biennium.
Article 19 relating to oil and gas regulation would result in a net positive impact of $56.4 million to
General Revenue and General Revenue-Dedicated Funds. For Article 19 regarding the creation of the
OGRC Fund, this estimate assumes that all balances in the OFCU Account No. 145 as of August 31,
2011 as reported in the Comptroller's Biennial Revenue Estimate (BRE) for 2012-13 of $30.2 million
would transfer to the new OGRC Fund (a General Revenue-Dedicated Account), with the General
Revenue Fund experiencing an equal loss. Current revenues to the OFCU Account No. 145, estimated
at approximately $25 million per year based on the Comptroller's BRE, less an estimated $2.5 million
in penalties, or $22.5 million per year, would begin to accrue to the new OGRC Fund, and is shown in
the table above as a revenue gain, while a loss of $25.0 million per fiscal year is shown to the OFCU
Account No. 145. The $2.5 million per year in penalty revenues is shown in the table above as a gain
to the General Revenue Fund.
Article 19 would also require the RRC to cover all costs of oil and gas-related activities. Currently in
the 2010-11 biennium, $18.9 million in annual expenditures for oil- and gas-related strategies are
being paid out of the General Revenue Fund, along with an estimated $3.9 million in associated
employee benefits, for a total of $22.8 million. This amount is shown as a savings to the General
Revenue Fund in the table above. Based on the agency's 2012-13 Legislative Appropriations Request,
the Railroad Commission's costs in 2010-11 out of the OFCU No. 145 of $27.5 million exceed
revenues by $2.5 million, including benefits costs. Upon passage of the bill, $2.5 million in penalties
would no longer be available, increasing that deficit to $5.0 million per year. This estimate assumes
that the agency would have to set fees sufficient to cover that deficit, along with the $22.8 million
amount to replace current General Revenue appropriations. It is therefore estimated that the RRC
would have to set surcharges sufficient to raise $27.8 million in new revenue per fiscal year. Because
the agency would spend all of the new revenue stream plus amounts covered by revenues to the OFCU
Account No. 145 ($22.5 million per fIscal year that would transfer to the new OGRC Fund), the
OGRC would have total annual estimated costs of $50.3 million. As shown in the table above, this
estimate assumes that revenue to the new OGRC Fund would be equal to total costs out of the Fund.
The bill's provision relating to the 185 percent on surcharges is expected to reduce the revenue
estimate for the new OGRC Fund by approximately $1.4 million per fiscal year and is included in the
above table. For purposes of this analysis, it is assumed that available balances in the new OGRC fund
would support costs in excess of the new Fund's annual revenue stream through the forecast period.
The Secretary of State estimates that implementing the provisions contained in Article 20 of the bill
would result in General Revenue savings of $75,000 in each even-numbered year.
The Office of the Attorney General (GAG) estimates that the bill's Article 21 provisions would result
in increased General Revenue fee collections of $3.9 million in the 2012-13 biennium.
This analysis assumes the bill's provisions contained in Article 22 would result in a one-time gain to
General Revenue-Dedicated funds of $10 million in fiscal year 2012 from transfer of the agency's
investments managed by the Comptroller through the Safekeeping Trust Company. The value of
related Safekeeping Trust assets, as of February 28, 2011, was $10.6 million, offset by anticipated
regular distributions of $212,000 into the Preservation Trust Fund during the remainder of fiscal year
2011 and a projected loss of $303,000 from the transition of the investments to cash in preparation for
transfer into the Preservation Trust Fund. This analysis assumes no further changes would be made
with regard to the fund's fair market value.
The provisions contained in Article 23 would result in a $5.0 million gain to the respective technology
accounts during the 2012-13 biennium, as shown in the tables above. Certain contractual obligations
related to the Texas Department of Agriculture's (TDA) participating in the data center consolidation
project may remain in the 2012-13 biennium. However, it is assumed these costs could be absorbed
within existing resources.
The Office of the Attorney General (OAG) estimates that Article 24 provisions regarding continuing
legal education for the OAG would result in a biennial General Revenue savings of $430,543.
The Texas Ethics Commission estimates that Article 25 regarding lobby registration fees would result
in a revenue gain of $486,000 in General Revenue during the 2012-13 biennium.
The provisions included in Article 28 related to expanding the use of three tobacco settlement funds to
pay the principal or interest on a bond issued on behalf of the Cancer Prevention and Research
Institute of Texas would result in a gain to General Revenue- Dedicated Funds of $78.1 in the 2012-13
biennium. The gain shown above is based on appropriated amounts for the 2012-13 biennium.
Article 29 relating to surplus and salvage property would have no significant fiscal impact in the 2012-
13 biennium.
According to the CPA for Articles 30 and 31, the extension of certain franchise tax credits would
result in a revenue loss of $6.8 million in General Revenue Funds in the 2012-13 biennium, and the
provisions related to nexus are estimated to result in a revenue gain of $16 million in General Revenue
Funds for the 2012-13 biennium.
The CPA estimates that Article 32 relating to procurement consultants would result in a General
Revenue Fund savings of $16 million in the 2012-13 biennium.
It is estimated that implementation of Article 34 would have no significant fiscal impact in the 2012-
13 biennium.
Article 35 relating to the Texas Back to Work Program would have no significant fiscal impact in the
2012-13 biennium.
Article 36 relating to ad valorem tax installment payments for surviving spouse of disabled veterans
would have no significant fiscal impact in the 2012-13 biennium.
Article 37 relating to small business tax exemptions, would result in a revenue loss of $149.9 million
in General Revenue Related Funds in the 2012-13 biennium.
Article 39 relating to the process server review board and certification division would result in a cost
of $218,898 in General Revenue Funds in the 2012-13 biennium. Travel reimbursement costs for the
Process Server Review Board are estimated to be $21,600 per year. OCA assumes the 9-member
board would meet monthly, and provide reimbursement of approximately $200 per board member per
meeting (9 board members x $200 per meeting x 12 meetings =$21,600 per year). According to OCA,
costs related to functions of the certification division would be $87,849 per year (including $79,564
for the guardianship program and $8,285 for court reporters).
Article 40 relating to juror pay changes for fiscal year 2012 and 2013 would have no significant fiscal
impact in the 2012-13 biennium.
Article 41 relating to the Collection Improvement Program (CIP) would result in a net revenue gain of
$1.2 million in General Revenue Funds in the 2012-13 biennium. The gain results from county
participation in the crp and is net of additional FTEs at the Office of Court Administration.
Article 42 relating to correctional managed health care would have no significant fiscal impact in the
2012-13 biennium.
Article 43 relates to homeless housing and service programs and would have no significant fiscal
According to the CPA, Article 45 relating to franchise tax exemptions for courier service providers
and live event promoters would result in a net revenue loss of $2.4 million in General Revenue
Related Funds in the 2012-13 biennium.
The fiscal impact of Article 46 relating to ad valorem agricultural tax exemptions for beekeeping
could not be determined.
Article 47 relating to data collection from unclaimed property searches would result in a General
Revenue savings of $400,000 in the 201213 biennium.
The fiscal impact of Article 48 relating to goods in transit could not be determined.
Article 49 would limit APIIB exam fee subsidies to students who are educationally disadvantaged as
defined in Section 5.001(4), Education Code, which would save an estimated $6.1 million in General
Revenue Funds for fiscal year 2012 and $6.2 million in General Revenue Funds for fiscal year 2013,
increasing to $6.5 million by fiscal year 2016. This estimate is based on current appropriations of $8.4
million for exam fee subsidies and assumes a 4 percent increase in the total number of AP/IB exams
taken and a 9 percent increase in the number of AP/IB exams taken by low income students that would
be eligible for a subsidy each school year. Projected increases are based on historical data and growth
in participation provided by TEA. The savings from the provision are assumed in CCRHB I.
Article 50 limiting eligibility for Educational Aide tuition exemptions is estimated to reduce state
costs for this program by $7.5 million in General Revenue related funds for the 2012-13 biennium.
The savings from the provision are assumed in CCRHB I.
Article 51 relating to the franchise tax and classification of entities as retail would result in a revenue
loss of $200,000 in the 201213 biennium.
Article 52 relating to the retention of certain FSP payments would have no significant fiscal impact in
the 2012-13 biennium.
Article 53 relating to the state compression percentage would have no significant fiscal impact in the
2012-13 biennium.
Article 54 relating to the TGSL Corporation Board of Director Membership, would have no significant
fiscal impact in the 2012-13 biennium. .
Article 55 relating to mineral funds outside of the treasury would have no significant fiscal impact in
the 2012-13 biennium.
Regarding Article 56, according to data from the Texas Education Agency, districts affected by the
bill would see the amount they owe the state, under the current school finance provisions of Chapter
41 and Chapter 42 of the Texas Education Code, decrease by an estimated $11.8 million entailing a
one-time state cost to the Foundation School Program compared to current law of a like amount.
Regarding Article 57, a model of the bill's changes to the calculation of Foundation School Program
(FSP) formulas indicates that savings of approximately $2.0 billion each year would be achieved in
the 2012-13 biennium. In fiscal year 2012 the $2.0 billion in reduction would be achieved through a
proportional reduction to the FSP regular program. In fiscal year 2013 the reduction is achieved
through a reduction to the regular program (25 percent of the reduction) and through a reduction to
target revenue (75 percent of the reduction). In fiscal years 2014 and 2015 the regular program
adjustment factor remains at 0.98, or a higher amount set by appropriation and not to exceed 1.00, and
the reduction to target revenue is determined by the General Appropriations Act. The regular program
adjustment factor is repealed in fiscal year 2016.
For purposes of this estimate for Article 61, it is assumed that school districts are already claiming full
attendance and therefore earning full FSP funding for students enrolled in courses through the VSN.
Based on that assumption, no additional FSP cost would accrue by entitling school districts to FSP
formula funding for students' enrollment in courses offered through the VSN for courses that are
successfully completed. The repeal of the VSN allotment in the FSP would yield a savings estimated
at $1,159,704 in fiscal year 2012 and $1,217,689 in fiscal year 2013, assumed to increase by 5 percent
annually to $1,409,627 by fiscal year 2016. Additionally, since the bill repeals the statutory basis for
the appropriation supporting allotments for courses in excess of a normal course load, the elimination
of that appropriation is estimated to yield a savings of $3,023,680 (the estimated fiscal year 20II
funding level) in fiscal year 2012 and each year thereafter.
For this analysis, it is assumed that Article 62 would not reduce FfEs or appropriations. but transfers
both from Texas Department of Rural Affairs to the Texas Department of Agriculture. As a result,
Article 62 would have no fiscal impact in the 2012-13 biennium since the total funds and FfEs would
stay the same.
Article 63 would have no significant fiscal impact in the 2012-13 biennium. DFPS estimates that 222
children (monthly FfEs) will be affected by the new method of finance in fiscal year 2012. It is
assumed that the number of affected children will increase by 5 percent each fiscal year. and that 73
percent of the affected children will be eligible for Title IV-E benefits. This will result in a cost to the
General Revenue Fund of $0.1 million per fiscal year due to state match requirements, and a savings
in TANF Federal Funds that is offset by the cost of federal matching funds ($2.0 million in fiscal year
2012, rising to $2.5 million in fiscal year 2016). It is assumed that DFPS can absorb the cost to
implement the provisions of the bill within available resources. The Office of Court Administration
reports that no significant impact on the courts is anticipated.
The fiscal implications of the Article 64 could not be determined. According to the Comptroller of
Public Accounts, the amount appropriated to the TCFP for the biennium, less any other amount
appropriated from a source other than the fees, is unknown.
Article 65 as amended would result in a $9.9 million gain General Revenue Funds in the 2012-13
biennium. Article 65 would replace an inmate copayment of $3 for certain inmates with an annual
inmate health care fee of $100 for all confined inmates. Currently only certain inmates who use
medical services are required to pay the $3 copayment while the revision would require all inmates.
regardless of the frequency in which they use health care services, to pay the annual fee. TDCJ reports
that in fiscal year 2010, there were 77,058 offenders with annual trust deposits of $100 of more.
However, deposits are not expected to remain constant in future years as a result of a variety of
economic and other factors. Assuming the fiscal year 2011 amount for fiscal year 2012 and calculating
75 percent of the amount for SUbsequent years, it is estimated that the bill would produce $9.9 in
revenue for the 2012-13 biennium. The other sections of Article 65 would have no significant fiscal
Articles 66 relating to the transfer of guardianships may have an impact on the court's time and
resources, but it is assumed it would not be significant.
Article 67 would have no significant fiscal impact in the 2012-13 biennium.
Article 68 affects golf carts residing only on U.S. Corp of Engineers property and would therefore
have no significant fiscal impHcation.
Regarding Article 69, to the extent the repeal of the court cost may result in decreased state revenue,
the fiscal implication to the state is not anticipated to be significant.
According to HHSC, Article 71 would have no significant fiscal impact in the 2012-13 biennium.
Article 72 requiring DPS to designate certain driver's license offices as temporary visitor stations
could be implemented within existing resources. The provisions of the bill related to expiration dates
and fee amounts for driver's licenses or personal identification certificates issued to applicants who are
not citizens of the United States would result in a revenue gain to the Texas Mobility Fund. The
Comptroller of Public Accounts (CPA) indicates the impact on revenue cannot be determined, but
DPS estimates a gain to the Texas Mobility Fund for the 2012-13 biennium would be $1.4 million.
Article 75 allows the Governor to designate an agency to administer the community development
block grant (COBG) program; however, the amendment does not designate a specific agency. The
amendment strikes statute language restricting TORA to be the only agency to administer COBG. If
the governor were to designate a different agency to administer the program, this analysis assumes the
new agency would be required to provide the matching requirement for the CDBG funds which is
currently funded through TORA at approximately $3.6 million of General Revenue over the 20 l2-13
biennium. These amounts are not reflected in the tables above.
This analysis assumes that agencies could prepare the reports required by Article 79a using existing
resources.
Local Government Impact
School districts would experience significant loss of revenue under the Article 57's provisions. In
total, revenues available to school districts would decline by approximately $2.0 billion per year
relative to current law in fiscal year 2012 and fiscal year 20l3. Reductions in revenue would vary
among districts depending on specific local circumstances. For school districts currently taxing at
$1.17 for maintenance and operations, the bill would provide a temporary tier 2 yield to offset
enrichment revenue reductions in fiscal year 2012. In addition, the bill would provide constant-level
regular program allotment adjustments for school districts that receive no target revenue hold harmless
aid to spread revenue reductions more evenly across fiscal years.
Source Agencies: 103 Legislative Council, 212 Office of Court Administration, Texas Judicial Council,
30I Office of the Governor, 313 Department of Information Resources, 332 Department
of Housing and Community Affairs, 357 Texas Department of Rural Affairs, 454
Department of Insurance, 529 Health and Human Services Commission, 551
Department of Agriculture, 696 Department of Criminal Justice, 781 Higher Education
Coordinating Board
LBB Staff: JOB, KK, JI, ACI, SD, JJ, LL
- ~
"j_. ~
Certification of Compliance with
Rule 13, Section 6(b), House Rules of Procedure
Rule 13, Section 6(b), House Rules ofProcedure, requires that a copy ofaconference committee
report signed by a majority ofeach committee of the conference must be furnished to each member
of the committee in person or if unable to deliver in person by placing a copy in the member's
newspaper mailbox at least one hour before the report is furnished to each member of the house
under Section IO(a) of this rule. The paper copies of the report submitted to the chief clerk under
Section 1O(b) of this rule must contain a certificate that the requirement of this subsection has been
satisfied, and that certificate must be attached to the printed copy of the report furnished to each
member under Section 100d) of this rule. Failure to comply with this subsection is not a sustainable
point of order under this rule.
I certify that a copy ofthe conference committee report on2-. B. \ was furnished
to each member of the conference committee in compliance with Rule 13, Section 6(b), House
Rules of Procedure, before submission of the paper copies of the report to the chief clerk under
Section IO(b), Rule 13, House Rules of Procedure.
(name)

Conference Version of SB 1

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Conference Version of SB 1

Uploaded by

Copyright:

Available Formats

(:ONFERENCE'COMMITTEE.

ICGCRt Hetie reeeivea by tHe frem the seoretary sf

is Government Code, SECTION 29.03. Section 2175.002,

82S11237 JJT-F 102

(2) [maintain eentIaetc fey ~ e a l t h Gare servieoo in

1 (3) in conjunction with the

82511237 JJT-F 189

82811237 JJT-F 214

equivalent local exchange

No equi valent provision.

You might also like