SENATE JOURNAL

EIGHTY-FIRST LEGISLATURE — REGULAR SESSION


AUSTIN, TEXAS


PROCEEDINGS


SIXTY-NINTH DAY

(Continued)

(Saturday, May 30, 2009)

AFTER RECESS

The Senate met at 9:45 a.m. and was called to order by President Pro Tempore Duncan.

The Reverend Dr. Jack Kyle Daniels, United Methodist Church, Austin, offered the invocation as follows:

God of our fathers, we invoke Your blessings on the Senate of the State of Texas and its business on this day. We acknowledge that Your blessings in the past have enabled us to build this great state as we celebrate our freedoms as citizens. We are mindful of our heritage and rejoice in the achievements of those who have led us in the past. Help us to be true to the highest hopes of the past and uphold the faith of those who have gone before us. We ask for Your guidance as we realize that our actions today will be instrumental in writing the history of our time. Today, we seek humility and wisdom as we deliberate matters of great concern for people from all walks of life who rely upon government to serve the common welfare. Let our strength become a blessing to the weak, and let our resources be at the command of all who are worthy, regardless of class, creed, race, or national origin. Grant us Your wisdom and power in all we do this day. Amen.

MESSAGE FROM THE GOVERNOR

The following Message from the Governor was read and was filed with the Secretary of the Senate:

Austin, Texas

May 29, 2009

OFFICIAL MEMORANDUM

STATE OF TEXAS

OFFICE OF THE GOVERNOR

MESSAGE

TO THE MEMBERS OF THE SENATE AND HOUSE OF REPRESENTATIVES OF THE EIGHTY-FIRST TEXAS LEGISLATURE, REGULAR SESSION:

Pursuant to Article IV, Section 14 of the Texas Constitution, I, Rick Perry, Governor of Texas, do hereby disapprove and veto Senate Bill No.i2038 of the 81st Texas Legislature, Regular Session, due to the following objections:

The plain words of a statute are the starting point for interpreting the law. Senate Bill No.i2038 would eliminate this fundamental principle. Citizens, judges and lawyers may debate the proper interpretation and application of those words but they may not debate what those words are. Senate Bill No.i2038 would abandon that basic and necessary premise. The reliability of the language found in the Texas codes would be subject to second guessing. Judges would no longer be able to apply the law simply by looking at its plain text. Senate Bill No.i2038 would likely result in an increase in litigation as lawyers would challenge the plain meaning of Texas statutes and compel courts to look to repealed codes and former session laws to determine what is Texas law.

The codification and revision process was established to make Texas law more accessible. Senate Bill No.i2038 would undermine the very purpose of the codification process by forcing both practitioners and ordinary citizens to locate and research old versions of our laws in order to determine if the current Texas codes really mean what they say.

Similar legislation, House Bill No.i2809, was vetoed in 2001. The concerns that existed then still exist today. Determining our state's laws should not be a burdensome process; Texans should be able to determine what our law says by simply reading the codes.

Since you remain gathered in regular session and continue to conduct formal business, I am delivering this disapproval message directly to you along with the official enrolled copy of the bill.

IN TESTIMONY WHEREOF, I have signed my name officially and caused the Seal of the State to be affixed hereto at Austin, this 29th day of May, 2009.

/s/Rick Perry

Governor of Texas

Attested by:

/s/Esperanza "Hope" Andrade

Secretary of State

MOTION TO RECESS

On motion of Senator VanideiPutte, the Senate at 9:59ia.m. agreed to recess upon conclusion of the Joint Session until 1:00ip.m. today.

JOINT SESSION

(To hear the Honorable Rick Perry speak during the Texas Legislative Memorial Ceremony)

The President of the Senate and the Senators present, escorted by the Sergeant-at-Arms, proceeded to the Hall of the House of Representatives at 10:00ia.m. for the Joint Session, pursuant to the provisions of HCRi184.

4516 81st Legislature — Regular Session 69th Day (Cont.)


The Honorable Rick Perry, Governor of the State of Texas, was announced and, on invitation of the Speaker, occupied a seat at the Speaker's Rostrum.

The Honorable David Dewhurst, President of the Senate, was announced and, on invitation of the Speaker, occupied a seat at the Speaker's Rostrum.

The Senators were announced and were admitted and escorted to seats prepared for them.

The President called the Senate to order and announced a quorum of the Senate present.

The Honorable Joe Straus, Speaker of the House of Representatives, called the House to order, announced a quorum of the House present, and stated the purpose of the Joint Session.

Representative Frank Corte, Chair of the House Committee on Defense and Veterans' Affairs, was recognized and thanked the Texas National Guard for the presentation of colors, Jessica Leibowitz for singing the National Anthem, Representative Leo Berman for leading the Pledge of Allegiance, and Dr. Jerry Hardwick of San Antonio, President and founder of New Centurions, Incorporated, for the invocation.

The President introduced the Honorable Rick Perry, who addressed the Joint Session as follows:

For the past 138 days, this historic room has witnessed leaders engaging in passionate debate over points of difference, but, today, we share a common purpose.

In a group representing a great diversity of political viewpoints, there is no debate today as we together express our heartfelt gratitude for the men and women who protect us and remember those who gave their lives in the process.

When we ponder the concept of laying down one's life for another, we are reminded that such sacrifice is a supreme act of love, love for those protected, and love for the ideals of a nation steeped in freedom.

We are amazed by accounts of such selflessness, but also saddened at lives cut short, dreams extinguished, and loved ones left behind.

As we honor these brave Texans who made the ultimate sacrifice, we also offer our heartfelt condolences to those who love them.

It can be no easy thing to balance admiration for your fallen warrior with the realities of a life that continues to unfold, one challenging day after another. Know that the people of Texas genuinely appreciate the service and sacrifice of our military personnel and lift up their survivors in their thoughts and prayers.

Not only do the leaders here today pray for you but they and their colleagues have been working to express support in tangible ways.

For example, when this ceremony concludes today, I will take pen in hand and sign Senate Bill 90, making it easier for dependents to pursue their education while enduring the frequent relocations of military life.

Saturday, May 30, 2009 SENATE JOURNAL 4517


I want to thank Senator VanideiPutte and Representative Geren for carrying these bills.

There is also time left in this session to extend the benefits of the Hazlewood Act to surviving spouses of killed or completely disabled military members. Providing for themselves and their families is a significant burden for these spouses, a burden that can be reduced by the better pay that typically comes with a college degree.

I also hope we can say "thank you" to all of our veterans by extending in-state tuition rates to all GI-Bill-eligible veterans.

No matter the outcome of the debates in this building, the fact remains that Texas owes much to those who have died as well as their families.

In the days to come, I encourage you to live your life fully because you know that each day is precious, and be assured that the cause for which your loved ones fought and died is still a just and noble cause.

The wreckage of that fateful September day was long ago removed and order restored to sites of unimaginable carnage, but the sentiment that drove our attackers still festers.

It is a sterling tribute to the men and women of our armed forces, our intelligence services, and members of the law enforcement community that no similar attack has occurred on our nation's soil in the intervening days.

Because our defenders have been willing to answer the call and muddy their boots with the soil of faraway lands, we enjoy safety and security here at home.

That said, the global war on terror is far from over, and the need for vigilance and engagement will continue as long as the hateful ideologies that drive our enemies continue to find a foothold in their hearts and minds.

Because these sentiments emanate from the basest parts of human nature, their demise will be a long time coming.

So we will continue to call upon the best and brightest among us to stand between us and those who would do us harm and join the long line that takes up arms to defend others.

I am reminded of the words written by Bayard Taylor in his poem, "The Song of the Camp," that conveys the unique character of those defenders and honors them in repose.

"Sleep, soldiers! still in honored rest

Your truth and valor wearing:

The bravest are the tenderest,

The loving are the daring."

Today, we remember these Texans, the bravest of our lot, and celebrate their daring. Because of them, we live and breathe free.

In the days to come, let us all cling tightly to those ideals that motivated their selfless service.

Let us never take for granted the freedom for which they traded their lives.

Let us strive to live in a manner befitting their sacrifice.

4518 81st Legislature — Regular Session 69th Day (Cont.)


May God bless you all and, through you, may He continue to bless the great State of Texas.

The reading of the names of fallen Texans and the presentation of flags was conducted by Senator Leticia VanideiPutte, Senator Eddie Lucio, Jr., Senator Craig Estes, Representative Frank Corte, Representative Jimmie Don Aycock, and Representative Norma Chávez.

Speaker Straus requested a moment of silence. "Amazing Grace" was sung by Michael and Melanie McCracken, worship leaders of The Church at Vineyard Hills, San Antonio.

The cannon salute was conducted by the Texas National Guard Salute Battery.

"Taps" was played and echoed by Chad Kloesel and Tyler Lewis of the Fightin' Texas Aggie Band.

CONCLUSION OF JOINT SESSION

The Speaker of the House of Representatives at 11:54 a.m. announced that the purpose for which the Joint Session was called having been completed, the House would stand At Ease pending the departure of its guests.

RECESS

The President announced that the Senate, pursuant to a previously adopted motion, would stand recessed until 1:00ip.m. today.

AFTER RECESS

The Senate met at 1:13ip.m. and was called to order by the President.

MESSAGE FROM THE HOUSE

HOUSE CHAMBER

Austin, Texas

May 30, 2009

The Honorable President of the Senate

Senate Chamber

Austin, Texas

Mr. President:

I am directed by the House to inform the Senate that the House has taken the following action:

THE HOUSE HAS CONCURRED IN THE SENATE AMENDMENTS TO THE FOLLOWING MEASURES:

HB 55 (138 Yeas, 4 Nays, 1 Present, not voting)

HB 192 (139 Yeas, 0 Nays, 1 Present, not voting)

HB 281 (138 Yeas, 2 Nays, 1 Present, not voting)

HB 339 (142 Yeas, 0 Nays, 1 Present, not voting)

HB 358 (144 Yeas, 0 Nays, 1 Present, not voting)

Saturday, May 30, 2009 SENATE JOURNAL 4519


HB 464 (142 Yeas, 0 Nays, 1 Present, not voting)

HB 498 (110 Yeas, 28 Nays, 1 Present, not voting)

HB 857 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 1013 (144 Yeas, 0 Nays, 1 Present, not voting)

HB 1151 (141 Yeas, 0 Nays, 1 Present, not voting)

HB 1174 (142 Yeas, 0 Nays, 2 Present, not voting)

HB 1285 (142 Yeas, 0 Nays, 2 Present, not voting)

HB 1462 (98 Yeas, 41 Nays, 1 Present, not voting)

HB 1720 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 1819 (124 Yeas, 12 Nays, 2 Present, not voting)

HB 1822 (138 Yeas, 0 Nays, 1 Present, not voting)

HB 2013 (138 Yeas, 0 Nays, 1 Present, not voting)

HB 2113 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 2127 (142 Yeas, 0 Nays, 1 Present, not voting)

HB 2154 (122 Yeas, 21 Nays, 2 Present, not voting)

HB 2161 (120 Yeas, 23 Nays, 1 Present, not voting)

HB 2256 (136 Yeas, 1 Nays, 4 Present, not voting)

HB 2344 (145 Yeas, 0 Nays, 1 Present, not voting)

HB 2462 (144 Yeas, 0 Nays, 1 Present, not voting)

HB 2488 (139 Yeas, 0 Nays, 1 Present, not voting)

HB 2504 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 2525 (125 Yeas, 16 Nays, 2 Present, not voting)

HB 2559 (100 Yeas, 43 Nays, 2 Present, not voting)

HB 2570 (142 Yeas, 0 Nays, 1 Present, not voting)

HB 2656 (140 Yeas, 0 Nays, 1 Present, not voting)

HB 2668 (145 Yeas, 0 Nays, 1 Present, not voting)

HB 2808 (139 Yeas, 0 Nays, 1 Present, not voting)

HB 2859 (141 Yeas, 0 Nays, 1 Present, not voting)

HB 2914 (142 Yeas, 0 Nays, 1 Present, not voting)

HB 2941 (138 Yeas, 0 Nays, 1 Present, not voting)

HB 2954 (140 Yeas, 0 Nays, 2 Present, not voting)

HB 3009 (142 Yeas, 0 Nays, 1 Present, not voting)

HB 3082 (145 Yeas, 0 Nays, 1 Present, not voting)

HB 3094 (144 Yeas, 0 Nays, 2 Present, not voting)

4520 81st Legislature — Regular Session 69th Day (Cont.)


HB 3144 (140 Yeas, 0 Nays, 1 Present, not voting)

HB 3186 (136 Yeas, 0 Nays, 1 Present, not voting)

HB 3201 (139 Yeas, 0 Nays, 2 Present, not voting)

HB 3202 (141 Yeas, 0 Nays, 1 Present, not voting)

HB 3228 (138 Yeas, 1 Nays, 1 Present, not voting)

HB 3445 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 3480 (136 Yeas, 0 Nays, 1 Present, not voting)

HB 3481 (137 Yeas, 0 Nays, 2 Present, not voting)

HB 3485 (142 Yeas, 2 Nays, 1 Present, not voting)

HB 3628 (139 Yeas, 0 Nays, 1 Present, not voting)

HB 3669 (139 Yeas, 1 Nays, 1 Present, not voting)

HB 3896 (141 Yeas, 0 Nays, 2 Present, not voting)

HB 4031 (145 Yeas, 0 Nays, 1 Present, not voting)

HB 4189 (145 Yeas, 0 Nays, 1 Present, not voting)

HB 4294 (118 Yeas, 24 Nays, 2 Present, not voting)

HB 4300 (139 Yeas, 0 Nays, 1 Present, not voting)

HB 4338 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 4433 (143 Yeas, 0 Nays, 1 Present, not voting)

HB 4445 (136 Yeas, 0 Nays, 2 Present, not voting)

HB 4728 (141 Yeas, 0 Nays, 2 Present, not voting)

HB 4730 (142 Yeas, 0 Nays, 1 Present, not voting)

HJR 7 (142 Yeas, 0 Nays, 1 Present, not voting)

HJR 36 (142 Yeas, 0 Nays, 1 Present, not voting)

THE HOUSE HAS REFUSED TO CONCUR IN THE SENATE AMENDMENTS TO THE FOLLOWING MEASURES AND REQUESTS THE APPOINTMENT OF A CONFERENCE COMMITTEE TO ADJUST THE DIFFERENCES BETWEEN THE TWO HOUSES:

HB 51 (non-record vote)

House Conferees:iiBranch - Chair/Cohen/Eiland/Madden/McCall

HB 103 (non-record vote)

House Conferees:iiBrown, Fred - Chair/Branch/McClendon/Patrick/Villarreal

HB 171 (non-record vote)

House Conferees:iiOlivo - Chair/Allen/Aycock/Eissler/Patrick

HB 431 (non-record vote)

House Conferees:iiLucio III - Chair/Anchia/Keffer/Maldonado/Otto

Saturday, May 30, 2009 SENATE JOURNAL 4521


HB 432 (non-record vote)

House Conferees:iiLucio III - Chair/Cook/Menendez/Otto/Strama

HB 451 (non-record vote)

House Conferees:iiAllen - Chair/Bolton/Cohen/Herrero/Leibowitz

HB 459 (non-record vote)

House Conferees:iiLeibowitz - Chair/Bohac/Harless/King, Tracy O./Walle

HB 469 (non-record vote)

House Conferees:iiKing, Phil - Chair/Anchia/Hardcastle/Lewis/Strama

HB 537 (non-record vote)

House Conferees:iiBerman - Chair/Bolton/Darby/Naishtat/Weber

HB 635 (non-record vote)

House Conferees:iiGuillen - Chair/Hochberg/Hughes/Parker/Rodriguez

HB 715 (non-record vote)

House Conferees:iiKing, Phil - Chair/Callegari/Davis, Yvonne/

Gonzales/Harper-Brown

HB 746 (non-record vote)

House Conferees:iiBrown, Fred - Chair/Alonzo/Aycock/Branch/Rodriguez

HB 756 (non-record vote)

House Conferees:iiMartinez Fischer - Chair/Anchia/Corte/Gutierrez/Laubenberg

HB 770 (non-record vote)

House Conferees:iiHoward, Donna - Chair/Christian/Eiland/Hamilton/Taylor

HB 963 (non-record vote)

House Conferees:iiGuillen - Chair/Gutierrez/Madden/McReynolds/Thompson

HB 1030 (non-record vote)

House Conferees:iiCallegari - Chair/Bohac/Fletcher/Howard, Charlie/Turner, Sylvester

HB 1041 (non-record vote)

House Conferees:iiParker - Chair/Chavez/Rose/Shelton/Zerwas

HB 1218 (non-record vote)

House Conferees:iiHoward, Donna - Chair/Coleman/Davis, John/Kolkhorst/Rose

HB 1320 (non-record vote)

House Conferees:iiChristian - Chair/Berman/Chisum/Flynn/King, Phil

HB 1322 (non-record vote)

House Conferees:iiHochberg - Chair/Allen/Farias/Jackson, Jim/Shelton

HB 1357 (non-record vote)

House Conferees:iiIsett - Chair/King, Susan/Laubenberg/McReynolds/Rios Ybarra

HB 1506 (non-record vote)

House Conferees:iiHerrero - Chair/Gallego/Gattis/Otto/Pierson

4522 81st Legislature — Regular Session 69th Day (Cont.)


HB 1795 (non-record vote)

House Conferees:iiPierson - Chair/Eiland/Gonzales/McCall/Zerwas

HB 1801 (non-record vote)

House Conferees:iiBohac - Chair/Castro/Martinez Fischer/Oliveira/Patrick

HB 1831 (non-record vote)

House Conferees:iiCorte - Chair/Edwards/McClendon/Oliveira/Taylor

HB 1924 (non-record vote)

House Conferees:iiHeflin - Chair/Chisum/Gonzalez Toureilles/Hopson/Swinford

HB 1935 (non-record vote)

House Conferees:iiVillarreal - Chair/Eissler/Lucio III/McReynolds/Naishtat

HB 1959 (non-record vote)

House Conferees:iiIsett - Chair/Cook/Hunter/McCall/McReynolds

HB 2000 (non-record vote)

House Conferees:iiMcCall - Chair/Bohac/King, Susan/Madden/Pierson

HB 2003 (non-record vote)

House Conferees:iiMcCall - Chair/Castro/King, Susan/Madden/Pierson

HB 2012 (non-record vote)

House Conferees:iiVaught - Chair/Bohac/Gattis/Kent/King, Susan

HB 2086 (non-record vote)

House Conferees:iiMoody - Chair/Fletcher/Gallego/Miklos/Riddle

HB 2093 (non-record vote)

House Conferees:iiDriver - Chair/Chisum/Hunter/Isett/Pena

HB 2139 (non-record vote)

House Conferees:iiMcClendon - Chair/Dukes/Hodge/Marquez/Moody

HB 2153 (non-record vote)

House Conferees:iiEdwards - Chair/Fletcher/Kent/Riddle/Vaught

HB 2163 (non-record vote)

House Conferees:iiTurner, Sylvester - Chair/Edwards/Giddings/Kolkhorst/Zerwas

HB 2169 (non-record vote)

House Conferees:iiChavez - Chair/Davis, Yvonne/Eissler/Morrison/Strama

HB 2240 (non-record vote)

House Conferees:iiLewis - Chair/Guillen/Howard, Donna/Moody/Vaught

HB 2347 (non-record vote)

House Conferees:iiThibaut - Chair/Coleman/Driver/Fletcher/Guillen

HB 2521 (non-record vote)

House Conferees:iiPickett - Chair/Farabee/Harless/Menendez/Solomons

HB 2553 (non-record vote)

House Conferees:iiHilderbran - Chair/Corte/King, Tracy O./Phillips/Villarreal

HB 2555 (non-record vote)

House Conferees:iiHilderbran - Chair/Chisum/Darby/Hughes/Rose

Saturday, May 30, 2009 SENATE JOURNAL 4523


HB 2582 (non-record vote)

House Conferees:iiGonzalez Toureilles - Chair/Alonzo/Herrero/Hughes/Swinford

HB 2730 (non-record vote)

House Conferees:iiKolkhorst - Chair/Burnam/Driver/Frost/Merritt

HB 2752 (non-record vote)

House Conferees:iiEiland - Chair/Hancock/Martinez Fischer/Smithee/Taylor

HB 2833 (non-record vote)

House Conferees:iiMarquez - Chair/Chisum/Deshotel/Harless/Ritter

HB 2917 (non-record vote)

House Conferees:iiMcReynolds - Chair/Frost/Hopson/Kolkhorst/Truitt

HB 2919 (non-record vote)

House Conferees:iiKing, Susan - Chair/Corte/Isett/McClendon/Vaught

HB 3065 (non-record vote)

House Conferees:iiBohac - Chair/Crownover/Hopson/Jackson, Jim/Solomons

HB 3076 (non-record vote)

House Conferees:iiDeshotel - Chair/Allen/Eissler/Hochberg/Patrick

HB 3220 (non-record vote)

House Conferees:iiHancock - Chair/Dutton/Eissler/Jackson, Jim/Lucio III

HB 3287 (non-record vote)

House Conferees:iiMcReynolds - Chair/Bonnen/Darby/Hardcastle/Homer

HB 3309 (non-record vote)

House Conferees:iiGattis - Chair/Hamilton/Kolkhorst/Lucio III/Ritter

HB 3335 (non-record vote)

House Conferees:iiCallegari - Chair/Hilderbran/Miller, Doug/Ritter/Zerwas

HB 3389 (non-record vote)

House Conferees:iiHarper-Brown - Chair/Driver/Fletcher/Frost/King, Phil

HB 3452 (non-record vote)

House Conferees:iiGattis - Chair/Aycock/Geren/Vaught/Veasey

HB 3454 (non-record vote)

House Conferees:iiOtto - Chair/Farabee/Hardcastle/Heflin/Keffer

HB 3461 (non-record vote)

House Conferees:iiOrr - Chair/Bonnen/Chisum/Gattis/Gonzalez Toureilles

HB 3479 (non-record vote)

House Conferees:iiGallego - Chair/Castro/Chisum/Christian/Herrero

HB 3526 (non-record vote)

House Conferees:iiCallegari - Chair/Creighton/King, Tracy O./Lucio III/Ritter

HB 3612 (non-record vote)

House Conferees:iiOtto - Chair/Darby/Gattis/Heflin/Quintanilla

4524 81st Legislature — Regular Session 69th Day (Cont.)


HB 3621 (non-record vote)

House Conferees:iiSolomons - Chair/Deshotel/Elkins/Farabee/Flynn

HB 3632 (non-record vote)

House Conferees:iiGeren - Chair/Hamilton/Harless/Homer/Ritter

HB 3646 (non-record vote)

House Conferees:iiHochberg - Chair/Allen/Aycock/Eissler/Patrick

HB 3653 (non-record vote)

House Conferees:iiMarquez - Chair/Guillen/King, Susan/Olivo/Strama

HB 3676 (non-record vote)

House Conferees:iiHeflin - Chair/Hartnett/Oliveira/Ritter/Swinford

HB 3689 (non-record vote)

House Conferees:iiMcClendon - Chair/Kolkhorst/Madden/McReynolds/Turner, Sylvester

HB 3737 (non-record vote)

House Conferees:iiAnchia - Chair/Elkins/Naishtat/Rose/Walle

HB 3751 (non-record vote)

House Conferees:iiGallego - Chair/Christian/Miklos/Moody/Riddle

HB 3827 (non-record vote)

House Conferees:iiHancock - Chair/Chisum/Farabee/Legler/Ritter

HB 3864 (non-record vote)

House Conferees:iiSmithee - Chair/Heflin/Homer/McCall/Swinford

HB 3872 (non-record vote)

House Conferees:iiGattis - Chair/Corte/Kleinschmidt/Sheffield/Vaught

HB 3876 (non-record vote)

House Conferees:iiPhillips - Chair/Hodge/Hughes/Lewis/Pena

HB 3907 (non-record vote)

House Conferees:iiMadden - Chair/Marquez/McCall/McReynolds/Sheffield

HB 4009 (non-record vote)

House Conferees:iiWeber - Chair/Anchia/Hughes/Hunter/Thompson

HB 4244 (non-record vote)

House Conferees:iiHochberg - Chair/Aycock/King, Susan/Morrison/Villarreal

HB 4275 (non-record vote)

House Conferees with Instructions:iiMenendez - Chair/

Bohac/Kent/Leibowitz/Thompson

HB 4424 (non-record vote)

House Conferees:iiHernandez - Chair/Creighton/Hughes/Lucio III/Martinez, "Mando"

HB 4833 (non-record vote)

House Conferees:iiHunter - Chair/Craddick/Hughes/Leibowitz/Martinez, "Mando"

HJR 14 (non-record vote)

House Conferees:iiCorte - Chair/Bonnen/Hilderbran/Pena/Woolley

Saturday, May 30, 2009 SENATE JOURNAL 4525


HJR 127 (non-record vote)

House Conferees:iiKing, Phil - Chair/Flynn/Guillen/Pena/Vaught

THE HOUSE HAS GRANTED THE REQUEST OF THE SENATE FOR THE APPOINTMENT OF A CONFERENCE COMMITTEE ON THE FOLLOWING MEASURES:

SB 679 (non-record vote)

House Conferees:iiDavis, Yvonne - Chair/Fletcher/Menendez/Miklos/Pierson

SB 726 (non-record vote)

House Conferees:iiHughes - Chair/Bolton/Hopson/Orr/Pitts

SB 1001 (non-record vote)

House Conferees:iiIsett - Chair/Hancock/Martinez Fischer/Smithee/Thompson

SB 1011 (non-record vote)

House Conferees:iiHarper-Brown - Chair/Davis, Yvonne/

Laubenberg/McClendon/Paxton

SB 2314 (non-record vote)

House Conferees:iiCallegari - Chair/Creighton/King, Tracy O./Lucio III/Ritter

SB 2513 (non-record vote)

House Conferees:iiDunnam - Chair/Anderson/Farrar/Miller, Sid/Veasey

Respectfully,

/s/Robert Haney, Chief Clerk

House of Representatives

SENATE BILL 1645 WITH HOUSE AMENDMENT

Senator VanideiPutte called SBi1645 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 1645 (House committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiNORMAL DISTRIBUTION CHANNEL. Section 431.401(5), Health and Safety Code, is amended to read as follows:

(5)ii"Normal distribution channel" means a chain of custody for a prescription drug, either directly or by drop shipment, from the manufacturer of the prescription drug, the manufacturer to the manufacturer's co-licensed product partner, the manufacturer to the manufacturer's third-party logistics provider, or the manufacturer to the manufacturer's exclusive distributor, to:

(A)iia pharmacy to:

(i)iia patient; or

(ii)iianother designated person authorized by law to dispense or administer the drug to a patient;

(B)iian authorized distributor of record to:

4526 81st Legislature — Regular Session 69th Day (Cont.)


(i)iia pharmacy to a patient; or

(ii)iianother designated person authorized by law to dispense or administer the drug to a patient;

(C)iian authorized distributor of record to a wholesale distributor licensed under this chapter to another designated person authorized by law to dispense or administer the drug to a patient;

(D)iian authorized distributor of record to a pharmacy warehouse to the pharmacy warehouse's intracompany pharmacy;

(E)i[(D)]iia pharmacy warehouse to the pharmacy warehouse's intracompany pharmacy or another designated person authorized by law to dispense or administer the drug to a patient;

(F)i[(E)]iia person authorized by law to prescribe a prescription drug that by law may be administered only under the supervision of the prescriber; or

(G)i[(F)]iian authorized distributor of record to one other authorized distributor of record to a licensed practitioner for office use.

SECTIONi____.iiEXEMPTION FROM CERTAIN PROVISIONS FOR CERTAIN WHOLESALE DISTRIBUTORS.iiSection 431.4031, Health and Safety Code, is amended to read as follows:

Sec.i431.4031.iiEXEMPTION FROM CERTAIN PROVISIONS FOR CERTAIN WHOLESALE DISTRIBUTORS. (a) A wholesale distributor that distributes prescription drugs that are medical gases or a wholesale distributor that is a manufacturer or a third-party logistics provider on behalf of a manufacturer is exempt from Sections 431.404(a)(5) and (6), (b), and (c), 431.4045(2), 431.405, 431.407, and 431.408.

(b)iiA state agency or a political subdivision of this state that distributes prescription drugs using federal or state funding to nonprofit health care facilities or local mental health or mental retardation authorities for distribution to a pharmacy, practitioner, or patient is exempt from Sections 431.405(b), 431.407, 431.408, 431.412, and 431.413.

SECTIONi____.iiRULES.iiAs soon as practicable after the effective date of this Act, the executive commissioner of the Health and Human Services Commission shall adopt, modify, or repeal rules as necessary to implement the changes in law made by this Act to Chapter 431, Health and Safety Code.

The amendment was read.

Senator VanideiPutte moved that the Senate do not concur in the House amendment, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on SBi1645 before appointment.

There were no motions offered.

The President announced the appointment of the following conferees on the part of the Senate:iiSenators VanideiPutte, Chair; Duncan, Nelson, Nichols, and Zaffirini.

Saturday, May 30, 2009 SENATE JOURNAL 4527


SENATE BILL 1449 WITH HOUSE AMENDMENTS

Senator West called SBi1449 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Amendment

Amend SBi1449 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the appointment of a receiver to remedy hazardous properties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter A, Chapter 214, Local Government Code, is amended by adding Section 214.0031 to read as follows:

Sec.i214.0031.iiADDITIONAL AUTHORITY TO APPOINT RECEIVER FOR HAZARDOUS PROPERTIES. (a) In this section:

(1)ii"Eligible nonprofit housing organization" means a nonprofit housing organization that is certified by a home-rule municipality to bring an action under this section.

(2)ii"Multifamily residential property" means any residential dwelling complex consisting of four or more units.

(b)iiA home-rule municipality may annuallyicertify one or more nonprofit housing organizations to bring an action under this section after making the following findings:

(1)iithe nonprofit housing organization has a record of community involvement; and

(2)iithe certification will further the home-rule municipality's goal to rehabilitate hazardous properties.

(c)iiA home-rule municipality or an eligible nonprofit housing organization may bring an action under this section in district court against an owner of property that is not in substantial compliance with one or more municipal ordinances regarding:

(1)iithe prevention of substantial risk of injury to any person; or

(2)iithe prevention of an adverse health impact to any person.

(d)iiA municipality that grants authority to an eligible nonprofit housing organization to initiate an action under this section has standing to intervene in the proceedings at any time as a matter of right.

(e)iiThe court may appoint a receiver if the court finds that:

(1)iithe property is in violation of one or more ordinances of the municipality described by Subsection (c);

(2)iithe condition of the property constitutes a serious and imminent public health or safety hazard; and

(3)iithe property is not an owner-occupied, single-family residence.

(f)iiThe following are eligible to serve as court-appointed receivers:

(1)iian entity with, as determined by the court, sufficient capacity and experience rehabilitating properties; and

4528 81st Legislature — Regular Session 69th Day (Cont.)


(2)iian individual with, as determined by the court, sufficient resources and experience rehabilitating properties.

(g)iiNotwithstanding Subsection (f), an entity is ineligible to serve as a receiver for a multifamily residential property if the nonprofit housing organization that brought the action under this section has an ownership interest or a right to income in the entity.

(h)iiThe home-rule municipality or eligible nonprofit housing organization must send by certified mail notice of any ordinance violation alleged to exist on the property on or before the 30th day before the date an action is filed under this section to:

(1)iithe physical address of the property; and

(2)iithe address as indicated on the most recently approved municipal tax roll for the property owner or the property owner's agent.

(i)iiIn an action under this section, each record owner and each lienholder of record of the property shall be served with notice of the proceedings or, if not available after due diligence, may be served by alternative means, including publication, as prescribed by the Texas Rules of Civil Procedure. Actual service or service by publication on a record owner or lienholder constitutes notice to each unrecorded owner or lienholder.

(j)iiOn a showing of imminent risk of injury to a person occupying the property or present in the community, the court may issue a mandatory or prohibitory temporary restraining order or temporary injunction as necessary to protect the public health or safety.

(k)iiUnless inconsistent with this section or other law, the rules of equity govern all matters relating to a court action under this section.

(l)iiSubject to control of the court, a court-appointed receiver has all powers necessary and customary to the powers of a receiver under the laws of equity and may:

(1)iitake possession and control of the property;

(2)iioperate and manage the property;

(3)iiestablish and collect rents and income on the property;

(4)iilease the property;

(5)iimake any repairs and improvements necessary to bring the property into compliance with local codes and ordinances and state laws, including:

(A)iiperforming and entering into contracts for the performance of work and the furnishing of materials for repairs and improvements; and

(B)iientering into loan and grant agreements for repairs and improvements to the property;

(6)iipay expenses, including paying for utilities and paying taxes and assessments, insurance premiums, and reasonable compensation to a property management agent;

(7)iienter into contracts for operating and maintaining the property;

(8)iiexercise all other authority of an owner of the property other than the authority to sell the property unless authorized by the court under Subsection (n); and

(9)iiperform other acts regarding the property as authorized by the court.

Saturday, May 30, 2009 SENATE JOURNAL 4529


(m)iiA court-appointed receiver may demolish a single-family structure on the property under this section on authorization by the court and only if the court finds:

(1)iiit is not economically feasible to bring the structure into compliance with local codes and ordinances and state laws; and

(2)iithe structure is:

(A)iiunfit for human habitation or is a hazard to the public health or safety;

(B)iiregardless of its structural condition:

(i)iiunoccupied by its owners or lessees or other invitees; and

(ii)iiunsecured from unauthorized entry to the extent that it could be entered or used by vagrants or other uninvited persons as a place of harborage or could be entered or used by children; or

(C)iiboarded, fenced, or otherwise secured, but:

(i)iithe structure constitutes a danger to the public even though secured from entry; or

(ii)iithe means used to secure the structure are inadequate to prevent unauthorized entry or use of the structure in the manner described by Paragraph (B)(ii).

(n)iiOn demolition of the structure, the court may authorize the receiver to sell the property to an individual or organization that will bring the property into productive use.

(o)iiOn completing the repairs or demolishing the structure or before petitioning a court for termination of the receivership, the receiver shall file with the court a full accounting of all costs and expenses incurred in the repairs or demolition, including reasonable costs for labor and supervision, all income received from the property, and, at the receiver's discretion, a receivership fee of 10 percent of those costs and expenses. If the property was sold under Subsection (n) and the revenue exceeds the total of the costs and expenses incurred by the receiver plus any receivership fee, any net income shall be returned to the owner. If the property is not sold and the income produced exceeds the total of the costs and expenses incurred by the receiver plus any receivership fee, the rehabilitated property shall be restored to the owner and any net income shall be returned to the owner. If the total of the costs and expenses incurred by the receiver plus any receivership fee exceeds the income produced during the receivership, the receiver may maintain control of the property until all rehabilitation and maintenance costs plus any receivership fee are recovered or until the receivership is terminated.

(p)iiA receiver shall have a lien on the property for all of the receiver's unreimbursed costs and expenses, plus any receivership fee.

(q)iiAny lienholder of record may, after initiation of an action under this section:

(1)iiintervene in the action; and

(2)iirequest appointment as a receiver under this section if the lienholder demonstrates to the court an ability and willingness to rehabilitate the property.

(r)iiA receiver appointed under this section or the home-rule municipality or eligible nonprofit housing organization that filed the action under which the receiver was appointed may petition the court to terminate the receivership and order the sale

4530 81st Legislature — Regular Session 69th Day (Cont.)


of the property if an owner has been served with notice but has failed to repay all of the receiver's outstanding costs and expenses plus any receivership fee on or before the 180th day after the date the notice was served.

(s)iiThe court may order the sale of the property if the court finds that:

(1)iinotice was given to each record owner of the property and each lienholder of record;

(2)iithe receiver has been in control of the property and the owner has failed to repay all the receiver's outstanding costs and expenses of rehabilitation plus any receivership fee within the period prescribed by Subsection (r); and

(3)iino lienholder of record has intervened in the action and tendered the receiver's costs and expenses, plus any receivership fee, and assumed control of the property.

(t)iiThe court may order the property sold:

(1)iito a land bank or other party as the court may direct, excluding, for multifamily residential properties, an eligible nonprofit housing organization that initiated the action under this section; or

(2)iiat public auction.

(u)iiThe receiver, if an entity not excluded under Subsection (t), may bid on the property at the sale described by Subsection (t)(2) and may use a lien granted under Subsection (p) as credit toward the purchase.

(v)iiThe court shall confirm a sale under this section and order a distribution of the proceeds of the sale in the following order:

(1)iicourt costs;

(2)iicosts and expenses, plus a receivership fee, and any lien held by the receiver; and

(3)iiother valid liens.

(w)iiAny remaining amount shall be paid to the owner. If the owner cannot be identified or located, the court shall order the remaining amount to be deposited in an interest-bearing account with the district clerk's office in the district court in which the action is pending. The district clerk shall hold the funds as provided by other law.

(x)iiAfter the proceeds are distributed, the court shall award fee title to the purchaser. If the proceeds of the sale are insufficient to pay all liens, claims, and encumbrances on the property, the court shall extinguish all unpaid liens, claims, and encumbrances on the property and award title to the purchaser free and clear.

(y)iiThis section does not foreclose any right or remedy that may be available under Section 214.003, other state law, or the laws of equity.

SECTIONi2.iiThis Act takes effect September 1, 2009.

Floor Amendment No.i1

Amend CSSB 1449 by inserting new SECTION 2 to read as follows and renumber the subsequent sections accordingly:

SECTION 2. Subchapter A, Chapter 214, Local Government Code, is amended by adding Section 214.0032 to read as follows:

(a) Notwithstanding Section 361.8065, (a) (1) (B), Health and Safety Code, if a retail public utility does not inform the executive director that it has passed a resolution opposing an application within the later of 120 days from the date of receipt

Saturday, May 30, 2009 SENATE JOURNAL 4531


of the notice filed subject to 361.805, Health and Safety Code, or 120 days from the effective date of this Act, the executive director shall deem the retail public utility to have passed a resolution in support of the application.

The amendments were read.

Senator West moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on SBi1449 before appointment.

There were no motions offered.

The President announced the appointment of the following conferees on the part of the Senate:iiSenators West, Chair; Williams, Ellis, Eltife, and Wentworth.

CONFERENCE COMMITTEE ON HOUSE BILL 4817

Senator Ogden called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4817 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi4817 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Ogden, Chair; West, Williams, Nichols, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 1914

Senator Nichols called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1914 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi1914 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Nichols, Chair; Whitmire, Shapleigh, Williams, and Patrick.

SENATE BILL 313 WITH HOUSE AMENDMENT

Senator Wentworth called SBi313 from the President's table for consideration of the House amendment to the bill.

4532 81st Legislature — Regular Session 69th Day (Cont.)


The President laid the bill and the House amendment before the Senate.

Committee Amendment No.i1

Amend SB 313 by striking all below the enacting clause and substituting the following:

SECTIONi1.iiSection 311.002(1), Tax Code, is amended to read as follows:

(1)ii"Project costs" means the expenditures made or estimated to be made and monetary obligations incurred or estimated to be incurred by the municipality or county designating [establishing] a reinvestment zone that are listed in the project plan as costs of public works, [or] public improvements, programs, or other projects benefiting [in] the zone, plus other costs incidental to those expenditures and obligations. "Project costs" include:

(A)iicapital costs, including the actual costs of the acquisition and construction of public works, public improvements, new buildings, structures, and fixtures; the actual costs of the acquisition, demolition, alteration, remodeling, repair, or reconstruction of existing buildings, structures, and fixtures; the actual costs of the remediation of conditions that contaminate public or private land or buildings; the actual costs of the preservation of the facade of a public or private building; the actual costs of the demolition of public or private buildings; and the actual costs of the acquisition of land and equipment and the clearing and grading of land;

(B)iifinancing costs, including all interest paid to holders of evidences of indebtedness or other obligations issued to pay for project costs and any premium paid over the principal amount of the obligations because of the redemption of the obligations before maturity;

(C)iireal property assembly costs;

(D)iiprofessional service costs, including those incurred for architectural, planning, engineering, and legal advice and services;

(E)iiimputed administrative costs, including reasonable charges for the time spent by employees of the municipality or county in connection with the implementation of a project plan;

(F)iirelocation costs;

(G)iiorganizational costs, including the costs of conducting environmental impact studies or other studies, the cost of publicizing the creation of the zone, and the cost of implementing the project plan for the zone;

(H)iiinterest before and during construction and for one year after completion of construction, whether or not capitalized;

(I)iithe cost of operating the reinvestment zone and project facilities;

(J)iithe amount of any contributions made by the municipality or county from general revenue for the implementation of the project plan; [and]

(K)iithe costs of a program described by Section 311.010(h);

(L)iithe costs of school buildings, other educational buildings, other educational facilities, or other buildings owned by or on behalf of a school district, community college district, or other political subdivision of this state;

(M)iithe costs of providing affordable housing or areas of public assembly in or outside of the zone; and

Saturday, May 30, 2009 SENATE JOURNAL 4533


(N)iipayments made at the discretion of the governing body of the municipality or county that the governing body finds necessary or convenient to the creation of the zone or to the implementation of the project plans for the zone.

SECTIONi2.iiSections 311.003(a) and (b), Tax Code, are amended to read as follows:

(a)iiThe governing body of a county by order may designate a geographic area in the county or the governing body of a municipality by ordinance [or the governing body of a county by order] may designate a [contiguous] geographic area that is in the corporate limits of the municipality, in the extraterritorial jurisdiction of the municipality, or in both [in the jurisdiction of the municipality or county] to be a reinvestment zone to promote development or redevelopment of the area if the governing body determines that development or redevelopment would not occur solely through private investment in the reasonably foreseeable future. The area need not be contiguous if the governing body determines that the tracts included in the area are substantially related. The designation of an area that is wholly or partly located in the extraterritorial jurisdiction of a municipality is not affected by a subsequent annexation of real property in the reinvestment zone by the municipality. The tax increment base of a municipality that annexes an area in a zone after the area is included in the zone is computed as if the area were located in the corporate limits of the municipality at the time the area was included in the zone.

(b)iiBefore adopting an ordinance or order designating [providing for] a reinvestment zone, the governing body of the municipality or county must prepare a preliminary reinvestment zone financing plan. [As soon as the plan is completed, a copy of the plan must be sent to the governing body of each taxing unit that levies taxes on real property in the proposed zone.]

SECTIONi3.iiChapter 311, Tax Code, is amended by adding Section 311.0035 to read as follows:

Sec.i311.0035.iiPROCEDURE FOR DESIGNATING JOINT REINVESTMENT ZONE. (a) The governing bodies of two or more municipalities by ordinance adopted by each municipality may designate a contiguous area in the jurisdiction of each of the municipalities to be a joint reinvestment zone. Except as otherwise provided by this section, each of the municipalities must follow the procedures provided by Section 311.003 to designate an area as a joint reinvestment zone. The ordinances adopted by all of the municipalities designating an area as a joint reinvestment zone must contain the same terms and must:

(1)iidescribe the boundaries of the zone with sufficient definiteness to identify with ordinary and reasonable certainty the territory included in the zone;

(2)iicreate a board of directors for the zone and specify:

(A)iithe number of directors;

(B)iithe qualifications of directors;

(C)iithe manner in which directors are appointed;

(D)iithe terms of directors;

(E)iithe manner in which vacancies on the board are filled; and

(F)iithe manner by which officers of the board are selected;

4534 81st Legislature — Regular Session 69th Day (Cont.)


(3)iiprovide that the zone takes effect immediately on adoption of the ordinance by the last of the municipalities in the jurisdiction of which the area contained in the zone is located;

(4)iiprovide a termination date for the zone;

(5)iiassign a name to the zone, which may include the name of one or more of the designating municipalities and may contain a number;

(6)iiestablish a tax increment fund for the zone; and

(7)iicontain findings that:

(A)iiimprovements in the zone will significantly enhance the value of all taxable real property in the zone and will be of general benefit to the municipalities; and

(B)iithe area meets the requirements of Sections 311.005(a)(1) and (2) and (a-1).

(b)iiFor purposes of complying with Subsection (a)(7)(A), the ordinances are not required to identify the specific parcels of real property to be enhanced in value.

(c)iiThe boundaries of a joint reinvestment zone may be enlarged or reduced by ordinance of the governing bodies of the municipalities that designated the zone, subject to the restrictions contained in this section.

(d)iiThe municipalities designating a joint reinvestment zone may exercise any power necessary and convenient to carry out this section and the other provisions of this chapter, including the powers listed in Section 311.008.

(e)iiExcept as otherwise provided by this section, the board of directors of a joint reinvestment zone has the same powers and duties and is subject to the same limitations as the board of directors of a reinvestment zone designated by a single municipality. Sections 311.011, 311.012, 311.0123, 311.013, 311.014, 311.015, 311.016, 311.0163, and 311.018 apply to the municipalities designating a joint reinvestment zone, except that a reference in those sections to a municipality means all of the municipalities designating a joint reinvestment zone and an action required of a municipality under those sections is considered to be required of all of the municipalities designating a joint reinvestment zone.

(f)iiExpenditures from tax increment financing funds or bonds secured by tax increment financing may be made without regard to the location from which the funds were derived or the location within the joint reinvestment zone at which the funds are spent, but only if those expenditures are authorized as required by this chapter.

SECTIONi4.iiSection 311.005(a), Tax Code, is amended to read as follows:

(a)iiTo be designated as a reinvestment zone, an area must:

(1)iisubstantially arrest or impair the sound growth of the municipality or county designating [creating] the zone, retard the provision of housing accommodations, or constitute an economic or social liability and be a menace to the public health, safety, morals, or welfare in its present condition and use because of the presence of:

(A)iia substantial number of substandard, slum, deteriorated, or deteriorating structures;

(B)iithe predominance of defective or inadequate sidewalk or street layout;

Saturday, May 30, 2009 SENATE JOURNAL 4535


(C)iifaulty lot layout in relation to size, adequacy, accessibility, or usefulness;

(D)iiunsanitary or unsafe conditions;

(E)iithe deterioration of site or other improvements;

(F)iitax or special assessment delinquency exceeding the fair value of the land;

(G)iidefective or unusual conditions of title;

(H)iiconditions that endanger life or property by fire or other cause; or

(I)iistructures, other than single-family residential structures, less than 10 percent of the square footage of which has been used for commercial, industrial, or residential purposes during the preceding 12 years, if the municipality has a population of 100,000 or more;

(2)iibe predominantly open, undeveloped, or underdeveloped and, because of obsolete platting, deterioration of structures or site improvements, or other factors, substantially impair or arrest the sound growth of the municipality or county;

(3)iibe in a federally assisted new community located in the municipality or county or in an area immediately adjacent to a federally assisted new community; or

(4)iibe an area described in a petition requesting that the area be designated as a reinvestment zone, if the petition is submitted to the governing body of the municipality or county by the owners of property constituting at least 50 percent of the appraised value of the property in the area according to the most recent certified appraisal roll for the county in which the area is located.

SECTIONi5.iiSection 311.007, Tax Code, is amended to read as follows:

Sec.i311.007.iiCHANGING BOUNDARIES OR TERM OF EXISTING ZONE. (a)iiThe [Subject to the limitations provided by Section 311.006, if applicable, the] boundaries of an existing reinvestment zone may be reduced or enlarged by ordinance or resolution of the governing body of the municipality or by order or resolution of the governing body of the county that designated [created] the zone.

(b)iiThe governing body of the municipality or county that designated a reinvestment zone by ordinance or resolution or by order or resolution, respectively, may extend the term of all or a portion of the zone after notice and hearing in the manner provided for the designation of the zone. A taxing unit other than the municipality or county that designated the zone is not required to participate in the zone or portion of the zone for the extended term unless the taxing unit enters into a written agreement to do so [may enlarge an existing reinvestment zone to include an area described in a petition requesting that the area be included in the zone if the petition is submitted to the governing body of the municipality or county by the owners of property constituting at least 50 percent of the appraised value of the property in the area according to the most recent certified appraisal roll for the county in which the area is located. The composition of the board of directors of the zone continues to be governed by Section 311.009(a) or (b), whichever applied to the zone immediately before the enlargement of the zone, except that the membership of the board must conform to the requirements of the applicable subsection of Section 311.009 as applied to the zone after its enlargement. The provision of Section

4536 81st Legislature — Regular Session 69th Day (Cont.)


311.006(b) relating to the amount of property used for residential purposes that may be included in the zone does not apply to the enlargement of a zone under this subsection].

SECTIONi6.iiSection 311.008, Tax Code, is amended by amending Subsection (b) and adding Subsections (f) and (g) to read as follows:

(b)iiA municipality or county may exercise any power necessary and convenient to carry out this chapter, including the power to:

(1)iicause project plans to be prepared, approve and implement the plans, and otherwise achieve the purposes of the plan;

(2)iiacquire real property by purchase, condemnation, or other means [to implement project plans] and sell real [that] property, on the terms and conditions and in the manner it considers advisable, to implement project plans;

(3)iienter into agreements, including agreements with bondholders, determined by the governing body of the municipality or county to be necessary or convenient to implement project plans and achieve their purposes, which agreements may include conditions, restrictions, or covenants that run with the land or that by other means regulate or restrict the use of land; and

(4)iiconsistent with the project plan for the zone:

(A)iiacquire blighted, deteriorated, deteriorating, undeveloped, or inappropriately developed real property or other property in a blighted area or in a federally assisted new community in the zone for the preservation or restoration of historic sites, beautification or conservation, the provision of public works or public facilities, or other public purposes;

(B)iiacquire, construct, reconstruct, or install public works, facilities, or sites or other public improvements, including utilities, streets, street lights, water and sewer facilities, pedestrian malls and walkways, parks, flood and drainage facilities, or parking facilities, but not including educational facilities; or

(C)iiin a reinvestment zone created on or before September 1, 1999, acquire, construct, or reconstruct educational facilities in the municipality.

(f)iiThe governing body of a municipality or county may impose a fee:

(1)iion property owners who submit a petition under Section 311.005(a)(4) for processing the petition; or

(2)iifor reviewing a project designated or proposed to be designated under this chapter.

(g)iiA fee under Subsection (f) must be reasonably related to the estimated cost to the municipality or county of processing the petition or reviewing the project, respectively.

SECTIONi7.iiSection 311.0085(a), Tax Code, is amended to read as follows:

(a)iiThis section applies only to a municipality with a population of less than 130,000 as shown by the 2000 federal decennial census that has[:

[(1)]iiterritory in three counties[; and

[(2)iia population of less than 120,000].

SECTIONi8.iiSections 311.009(a), (b), and (e), Tax Code, are amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4537


(a)iiExcept as provided by Subsection (b), the board of directors of a reinvestment zone consists of at least five and not more than 15 members, unless more than 15 members are required to satisfy the requirements of this subsection. Each taxing unit other than the municipality or county that designated [created] the zone that levies taxes on real property in the zone may appoint one member of the board if the taxing unit has approved the payment of all or part of the tax increment produced by the unit into the tax increment fund for the zone. A unit may waive its right to appoint a director. The governing body of the municipality or county that designated [created] the zone may appoint not more than 10 directors to the board; except that if there are fewer than five directors appointed by taxing units other than the municipality or county, the governing body of the municipality or county may appoint more than 10 members as long as the total membership of the board does not exceed 15.

(b)iiIf the zone was designated under Section 311.005(a)(4), the governing body of the municipality or county that designated the zone may provide that the board of directors of the zone consists of nine members appointed as provided by this subsection, unless more than nine members are required to comply with this subsection. Each taxing unit [school district, county, or municipality], other than the municipality or county that designated [created] the zone, that levies taxes on real property in the zone may appoint one member of the board if the taxing unit [school district, county, or municipality] has approved the payment of all or part of the tax increment produced by the unit into the tax increment fund for the zone. The member of the state senate in whose district the zone is located is a member of the board, and the member of the state house of representatives in whose district the zone is located is a member of the board, except that either may designate another individual to serve in the member's place at the pleasure of the member. If the zone is located in more than one senate or house district, this subsection applies only to the senator or representative in whose district a larger portion of the zone is located than any other senate or house district, as applicable. If fewer than seven taxing units, other than the municipality or county that designated the zone, are eligible to appoint members of the board of directors of the zone, the municipality or county may appoint a number of members of the board such that the board comprises nine members. If at least seven taxing units, other than the municipality or county that designated the zone, are eligible to appoint members of the board of directors of the zone, the municipality or county may appoint one member. [The remaining members of the board are appointed by the governing body of the municipality or county that created the zone.]

(e)iiTo be eligible for appointment to the board by the governing body of the municipality or county that designated [created] the zone, an individual must:

(1)iiif the board is covered by Subsection (a):

(A)iibe a resident of this state and a citizen of the United States [qualified voter of the municipality or county, as applicable]; and [or]

(B)iibe at least 18 years of age [and own real property in the zone, whether or not the individual resides in the municipality or county]; or

(2)iiif the board is covered by Subsection (b):

(A)iibe at least 18 years of age; and

4538 81st Legislature — Regular Session 69th Day (Cont.)


(B)iiown real property in the zone or be an employee, tenant, or agent of a person that owns real property in the zone.

SECTIONi9.iiSection 311.0091, Tax Code, is amended by amending Subsection (f) and adding Subsection (i) to read as follows:

(f)iiExcept as provided by Subsection (i), to [To] be eligible for appointment to the board, an individual must:

(1)iibe a qualified voter of the municipality; or

(2)iibe at least 18 years of age and own real property in the zone or be an employee or agent of a person that owns real property in the zone.

(i)iiThe eligibility criteria for appointment to the board specified by Subsection (f) do not apply to an individual appointed by a conservation and reclamation district:

(1)iicreated under Section 59, Article XVI, Texas Constitution; and

(2)iithe jurisdiction of which covers four counties.

SECTIONi10.iiSections 311.010(b), (g), and (h), Tax Code, are amended to read as follows:

(b)iiThe board of directors of a reinvestment zone and the governing body of the municipality or county that designates [creates] a reinvestment zone may each enter into agreements as the board or the governing body considers necessary or convenient to implement the project plan and reinvestment zone financing plan and achieve their purposes. An agreement may provide for the regulation or restriction of the use of land by imposing conditions, restrictions, or covenants that run with the land. An agreement may during the term of the agreement dedicate, pledge, or otherwise provide for the use of revenue in the tax increment fund to pay any project costs that benefit the reinvestment zone, including project costs relating to the cost of buildings, schools, or other educational facilities owned by or on behalf of a school district, community college district, or other political subdivision of this state, railroad or transit facilities, affordable housing, the remediation of conditions that contaminate public or private land or buildings, the preservation of the facade of a private or public building, [or] the demolition of public or private buildings, or the construction of a road, sidewalk, or other public infrastructure in or out of the zone, including the cost of acquiring the real property necessary for the construction of the road, sidewalk, or other public infrastructure. An agreement may dedicate revenue from the tax increment fund to pay the costs of providing affordable housing or areas of public assembly in or out of the zone. [An agreement may dedicate revenue from the tax increment fund to pay a neighborhood enterprise association for providing services or carrying out projects authorized under Subchapters E and G, Chapter 2303, Government Code, in the zone. The term of an agreement with a neighborhood enterprise association may not exceed 10 years.]

(g)iiChapter 252, Local Government Code, does not apply to a dedication, pledge, or other use of revenue in the tax increment fund for a reinvestment zone [by the board of directors of the zone in carrying out its powers] under Subsection (b).

(h)iiSubject to the approval of the governing body of the municipality or county that designated [created] the zone, the board of directors of a reinvestment zone, as necessary or convenient to implement the project plan and reinvestment zone financing plan and achieve their purposes, may establish and provide for the administration of one or more programs for the public purposes of developing and

Saturday, May 30, 2009 SENATE JOURNAL 4539


diversifying the economy of the zone, eliminating unemployment and underemployment in the zone, and developing or expanding transportation, business, and commercial activity in the zone, including programs to make grants and loans [from the tax increment fund of the zone in an aggregate amount not to exceed the amount of the tax increment produced by the municipality and paid into the tax increment fund for the zone] for activities that benefit the zone and stimulate business and commercial activity in the zone. For purposes of this subsection, on approval of the municipality or county, the board of directors of the zone has all the powers of a municipality under Chapter 380, Local Government Code. The approval required by this subsection may be granted in an ordinance, in the case of a zone designated by a municipality, or in an order, in the case of a zone designated by a county, approving a project plan or reinvestment zone financing plan or approving an amendment to a project plan or reinvestment zone financing plan.

SECTIONi11.iiSection 311.01005, Tax Code, is amended by adding Subsection (f) to read as follows:

(f)iiThis section does not limit the power of the board of directors of a reinvestment zone or the governing body of the municipality that designates a reinvestment zone to dedicate, pledge, or otherwise provide for the use of revenue in the tax increment fund for the zone to finance the costs of a project involving real property located outside the zone.

SECTIONi12.iiSection 311.011, Tax Code, is amended by amending Subsections (a), (b), (c), (d), and (g) and adding Subsection (h) to read as follows:

(a)iiThe board of directors of a reinvestment zone shall prepare and adopt a project plan and a reinvestment zone financing plan for the zone and submit the plans to the governing body of the municipality or county that designated [created] the zone. [The plans must be as consistent as possible with the preliminary plans developed for the zone before the creation of the board.]

(b)iiThe project plan must include:

(1)iia description of [map showing] existing uses and conditions of real property in the zone and [a map showing] proposed [improvements to and proposed] uses of that property;

(2)iiproposed changes of zoning ordinances, [the master plan of the municipality,] building codes, other municipal ordinances, and subdivision rules and regulations, if any, of the county, if applicable; and

(3)ii[a list of estimated nonproject costs; and

[(4)]iia statement of a method of relocating persons to be displaced, if any, as a result of implementing the plan.

(c)iiThe reinvestment zone financing plan must include:

(1)iia detailed list describing the estimated project costs of the zone, including administrative expenses;

(2)iia statement listing the proposed kind, number, and location of all [proposed] public works or public improvements to be financed by [in] the zone;

(3)iia finding that the plan is economically feasible [an economic feasibility study];

(4)iithe estimated amount of bonded indebtedness to be incurred;

4540 81st Legislature — Regular Session 69th Day (Cont.)


(5)iithe estimated time when related costs or monetary obligations are to be incurred;

(6)iia description of the methods of financing all estimated project costs and the expected sources of revenue to finance or pay project costs, including the percentage of tax increment to be derived from the property taxes of each taxing unit anticipated to contribute tax increment to the zone that levies taxes on real property in the zone;

(7)iithe current total appraised value of taxable real property in the zone;

(8)iithe estimated captured appraised value of the zone during each year of its existence; and

(9)iithe duration of the zone.

(d)iiThe governing body of the municipality or county that designated [created] the zone must approve a project plan or reinvestment zone financing plan after its adoption by the board. The approval must be by ordinance, in the case of a municipality, or by order, in the case of a county, that finds that the plan is feasible [and conforms to the master plan, if any, of the municipality or to subdivision rules and regulations, if any, of the county].

(g)iiA [An amendment to the project plan or the reinvestment zone financing plan for a zone does net apply to a] school district that participates in a [the] zone is not required to increase the percentage or amount of the tax increment to be contributed by the school district because of an amendment to the project plan or reinvestment zone financing plan for the zone unless the governing body of the school district by official action approves the amendment[, if the amendment:

[(1)iihas the effect of directly or indirectly increasing the percentage or amount of the tax increment to be contributed by the school district; or

[(2)iirequires or authorizes the municipality or county creating the zone to issue additional tax increment bonds or notes].

(h)iiUnless specifically provided otherwise in the plan, all amounts contained in the project plan or reinvestment zone financing plan, including amounts of expenditures relating to project costs and amounts relating to participation by taxing units, are considered estimates and do not act as a limitation on the described items.

SECTIONi13.iiSections 311.012(a) and (c), Tax Code, are amended to read as follows:

(a)iiThe amount of a taxing unit's tax increment for a year is the amount of property taxes levied and assessed by the unit for that year on the captured appraised value of real property taxable by the unit and located in a reinvestment zone or the amount of property taxes levied and collected by the unit for that year on the captured appraised value of real property taxable by the unit and located in a reinvestment zone. The governing body of a taxing unit shall determine which of the methods specified by this subsection is used to calculate the amount of the unit's tax increment.

(c)iiThe tax increment base of a taxing unit is the total taxable [appraised] value of all real property taxable by the unit and located in a reinvestment zone for the year in which the zone was designated under this chapter. If the boundaries of a zone are enlarged, the tax increment base is increased by the taxable value of the real property added to the zone for the year in which the property was added. If the boundaries of a zone are reduced, the tax increment base is reduced by the taxable value of the real

Saturday, May 30, 2009 SENATE JOURNAL 4541


property removed from the zone for the year in which the property was originally included in the zone's boundaries. If the municipality that designates a zone does not levy an ad valorem tax in the year in which the zone is designated, the tax increment base is determined by the appraisal district in which the zone is located using assumptions regarding exemptions and other relevant information provided to the appraisal district by the municipality.

SECTIONi14.iiSections 311.013(f), (g), (l), and (n), Tax Code, are amended to read as follows:

(f)iiA taxing unit is not required to pay into the tax increment fund any of its tax increment produced from property located in a reinvestment zone designated under Section 311.005(a) or in an area added to a reinvestment zone under Section 311.007 unless the taxing unit enters into an agreement to do so with the governing body of the municipality or county that designated [created] the zone. A taxing unit may enter into an agreement under this subsection at any time before or after the zone is designated [created] or enlarged. The agreement may include conditions for payment of that tax increment into the fund and must specify the portion of the tax increment to be paid into the fund and the years for which that tax increment is to be paid into the fund. In addition to any other terms to which the parties may agree, the agreement may specify the projects to which a participating taxing unit's tax increment will be dedicated and that the taxing unit's participation may be computed with respect to a base year later than the original base year of the zone. The agreement and the conditions in the agreement are binding on the taxing unit, the municipality or county, and the board of directors of the zone.

(g)iiSubject to the provisions of Section 311.0125, in lieu of permitting a portion of its tax increment to be paid into the tax increment fund, and notwithstanding the provisions of Section 312.203, a taxing unit, including [other than] a municipality [city], may elect to offer the owners of taxable real property in a reinvestment zone designated [created] under this chapter an exemption from taxation of all or part of the value of the property. To be effective, an [Any] agreement under this subsection to exempt real property [concerning an exemption] from ad valorem taxes must be approved by:

(1)iithe board of directors of the reinvestment zone; and

(2)iithe governing body of each taxing unit that imposes taxes on real property in the reinvestment zone and deposits or agrees to deposit any of its tax increment into the tax increment fund for the zone [shall be executed in the manner and subject to the limitations of Chapter 312; provided, however, the property covered by the agreement need not be in a zone created pursuant to Chapter 312. A taxing unit may not offer a tax abatement agreement to property owners in the zone after it has entered into an agreement that its tax increments would be paid into the tax increment fund pursuant to Subsection (f)].

(l)iiThe governing body of a municipality or county that designates an area as a reinvestment zone may determine, in the designating ordinance or order adopted under Section 311.003 or in the ordinance or order adopted under Section 311.011 approving the reinvestment zone financing plan for the zone, the portion of the tax increment produced by the municipality or county that the municipality or county is required to pay into the tax increment fund for the zone. If a municipality or county

4542 81st Legislature — Regular Session 69th Day (Cont.)


does not determine the portion of the tax increment produced by the municipality or county that the municipality or county is required to pay into the tax increment fund for a reinvestment zone, the municipality or county is required to pay into the fund for the zone the entire tax increment produced by the municipality or county, except as provided by Subsection (b)(1).

(n)iiThis subsection applies only to a school district whose taxable value computed under Section 403.302(d), Government Code, is reduced in accordance with Subdivision (4) [(5)] of that subsection. In addition to the amount otherwise required to be paid into the tax increment fund, the district shall pay into the fund an amount equal to the amount by which the amount of taxes the district would have been required to pay into the fund in the current year if the district levied taxes at the rate the district levied in 2005 exceeds the amount the district is otherwise required to pay into the fund in the year of the reduction[, not to exceed the amount the school district realizes from the reduction in the school district's taxable value under Section 403.302(d)(5), Government Code].

SECTIONi15.iiSection 311.014(b), Tax Code, is amended to read as follows:

(b)iiTax increment and other funds deposited in the tax increment fund of the zone shall be administered by the governing body of the municipality or county that designated the zone or, if delegated by the governing body, by the board of directors of the zone, to implement the project plan and reinvestment zone financing plan for the zone during the term of the zone, as it may be extended, and for any period in which the zone remains in existence for collection and disbursement pursuant to Section 311.017(d). Money may be disbursed from the fund only to satisfy claims of holders of tax increment bonds or notes issued for the zone, to pay project costs for the zone, to make payments pursuant to an agreement made under Section 311.010(b) or a program under Section 311.010(h) dedicating revenue from the tax increment fund, or to repay other obligations incurred for the zone.

SECTIONi16.iiSections 311.015(a) and (l), Tax Code, are amended to read as follows:

(a)iiA municipality or county designating [creating] a reinvestment zone may issue tax increment bonds or notes, the proceeds of which may be used to make payments pursuant to agreements made under Section 311.010(b), to make payments pursuant to programs under Section 311.010(h), to pay project costs for the reinvestment zone on behalf of which the bonds or notes were issued, or to satisfy claims of holders of the bonds or notes. The municipality or county may issue refunding bonds or notes for the payment or retirement of tax increment bonds or notes previously issued by it. In lieu of issuing bonds or notes under this subsection, a municipality may issue certificates of obligation under Subchapter C, Chapter 271, Local Government Code, to pay the project costs for a zone and may use tax increment from the zone to pay debt service on the certificates.

(l)iiA tax increment bond or note must mature on or before the date by which the final payments of tax increment into the tax increment fund are due [within 20 years of the date of issue].

SECTIONi17.iiSection 311.016(a), Tax Code, is amended to read as follows:

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(a)iiOn or before the 150th [90th] day following the end of the fiscal year of the municipality or county, the governing body of a municipality or county shall submit to the chief executive officer of each taxing unit that levies property taxes on real property in a reinvestment zone created by the municipality or county a report on the status of the zone. The report must include:

(1)iithe amount and source of revenue in the tax increment fund established for the zone;

(2)iithe amount and purpose of expenditures from the fund;

(3)iithe amount of principal and interest due on outstanding bonded indebtedness;

(4)iithe tax increment base and current captured appraised value retained by the zone; and

(5)iithe captured appraised value shared by the municipality or county and other taxing units, the total amount of tax increments received, and any additional information necessary to demonstrate compliance with the tax increment financing plan adopted by the governing body of the municipality or county.

SECTIONi18.iiSection 311.016(b), Tax Code, as amended by Chapters 977 (H.B.i1820) and 1094 (H.B.i2120), Acts of the 79th Legislature, Regular Session, 2005, is reenacted to read as follows:

(b)iiThe municipality or county shall send a copy of a report made under this section to:

(1)iithe attorney general; and

(2)iithe comptroller.

SECTIONi19.iiSection 311.017, Tax Code, is amended by amending Subsection (a) and adding Subsections (a-1), (c), (d), and (e) to read as follows:

(a)iiA reinvestment zone terminates on the earlier of:

(1)iithe termination date designated in the ordinance or order, as applicable, designating [creating] the zone or an earlier or later termination date designated by an ordinance or order adopted under Section 311.007(b) [subsequent to the ordinance or order creating the zone]; or

(2)iithe date on which all project costs, tax increment bonds and interest on those bonds, and other obligations have been paid in full.

(a-1)iiNotwithstanding the designation of a later termination date under Section 311.007(b), a taxing unit that taxes real property located in the zone, other than the municipality or county that created the zone, is not required to pay any of its tax increment into the tax increment fund for the zone for any tax year after the termination date designated in the ordinance or order designating the zone unless the governing body of the taxing unit enters into an agreement to do so with the governing body of the municipality or county that designated the zone.

(c)iiA zone designated under other law as described by Section 311.0031 terminates for purposes of this chapter on the date specified in the ordinance or order designating the zone as a reinvestment zone under this chapter, regardless of whether the zone has terminated under the other law under which the zone was originally designated.

4544 81st Legislature — Regular Session 69th Day (Cont.)


(d)iiSubject to Subsection (a-1), if tax increment bonds or other obligations issued or incurred for the zone are outstanding when the zone terminates, the zone remains in existence solely for the purpose of collecting and disbursing tax increment with respect to tax years during the designated term of the zone, as it may have been extended. Those funds shall be used to pay the tax increment bonds or other obligations issued or incurred for the zone. Notwithstanding the other provisions of this subsection or the extension of the term of a zone under Section 311.007, the termination date of a zone for purposes of any contract entered into by the board, or by the municipality or county that designated the zone, remains the termination date designated by ordinance or order in effect on the date the contract was executed unless a subsequent amendment to the contract expressly provides otherwise.

(e)iiAfter termination of the zone, the governing body of the municipality or county that designated the zone may continue the zone for an additional period for the purpose of continuing the implementation of the reinvestment zone project plan and financing plan. In that event, although tax increment shall cease to be deposited with respect to tax years following termination of the zone, the zone shall retain all remaining funds, property, and assets of the zone to be used to implement the plans as authorized by the governing body.

SECTIONi20.iiChapter 311, Tax Code, is amended by adding Section 311.021 to read as follows:

Sec.i311.021.iiACT OR PROCEEDING PRESUMED VALID. (a) A governmental act or proceeding of a municipality or county, the board of directors of a reinvestment zone, or an entity acting under Section 311.010(f) relating to the designation, operation, or administration of a reinvestment zone or the implementation of a project plan or reinvestment zone financing plan under this chapter is conclusively presumed, as of the date it occurred, valid and to have occurred in accordance with all applicable statutes and rules if:

(1)iithe second anniversary of the effective date of the act or proceeding has expired; and

(2)iia lawsuit to annul or invalidate the act or proceeding has not been filed on or before the later of that second anniversary or August 1, 2009.

(b)iiThis section does not apply to:

(1)iian act or proceeding that was void at the time it occurred;

(2)iian act or proceeding that, under a statute of this state or the United States, was a misdemeanor or felony at the time the act or proceeding occurred;

(3)iia rule that, at the time it was passed, was preempted by a statute of this state or the United States, including Section 1.06 or 109.57, Alcoholic Beverage Code; or

(4)iia matter that on the effective date of the Act enacting this section:

(A)iiis involved in litigation if the litigation ultimately results in the matter being held invalid by a final judgment of a court; or

(B)iihas been held invalid by a final judgment of a court.

SECTIONi21.iiSection 42.2516(b), Education Code, is amended to read as follows:

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(b)iiSubject to Subsections (b-1), (b-2), (f-1), (g), and (h), but notwithstanding any other provision of this title, a school district is entitled to state revenue necessary to provide the district with the sum of:

(1)iithe amount of state revenue necessary to maintain state and local revenue per student in weighted average daily attendance in the amount equal to the greater of:

(A)iithe amount of state and local revenue per student in weighted average daily attendance for the maintenance and operations of the district available to the district for the 2005-2006 school year;

(B)iithe amount of state and local revenue per student in weighted average daily attendance for the maintenance and operations of the district to which the district would have been entitled for the 2006-2007 school year under this chapter, as it existed on January 1, 2006, or, if the district would have been subject to Chapter 41, as that chapter existed on January 1, 2006, the amount to which the district would have been entitled under that chapter, based on the funding elements in effect for the 2005-2006 school year, if the district imposed a maintenance and operations tax at the rate adopted by the district for the 2005 tax year; or

(C)iithe amount of state and local revenue per student in weighted average daily attendance for the maintenance and operations of the district to which the district would have been entitled for the 2006-2007 school year under this chapter, as it existed on January 1, 2006, or, if the district would have been subject to Chapter 41, as that chapter existed on January 1, 2006, the amount to which the district would have been entitled under that chapter, based on the funding elements in effect for the 2005-2006 school year, if the district imposed a maintenance and operations tax at the rate equal to the rate described by Section 26.08(i) or (k)(1), Tax Code, as applicable, for the 2006 tax year;

(2)iian amount equal to the product of $2,500 multiplied by the number of classroom teachers, full-time librarians, full-time counselors certified under Subchapter B, Chapter 21, and full-time school nurses employed by the district and entitled to a minimum salary under Section 21.402; [and]

(3)iian amount equal to the product of $275 multiplied by the number of students in average daily attendance in grades nine through 12 in the district; and

(4)iian amount equal to the amount the district is required to pay into the tax increment fund for a reinvestment zone under Section 311.013(n), Tax Code, in the current tax year.

SECTIONi22.iiSection 42.253, Education Code, is amended by adding Subsection (c-1) to read as follows:

(c-1)iiThe amounts to be paid under Section 42.2516(b)(4) shall be paid at the same time as other state revenue is paid to the district. Payments shall be based on amounts paid under Section 42.2516(b)(4) for the preceding year. Any deficiency shall be paid to the district at the same time the final amount to be paid to the district is determined, and any overpayment shall be deducted from the payments the district would otherwise receive in the following year.

SECTIONi23.iiSections 403.302(d) and (i), Government Code, are amended to read as follows:

4546 81st Legislature — Regular Session 69th Day (Cont.)


(d)iiFor the purposes of this section, "taxable value" means the market value of all taxable property less:

(1)iithe total dollar amount of any residence homestead exemptions lawfully granted under Section 11.13(b) or (c), Tax Code, in the year that is the subject of the study for each school district;

(2)iione-half of the total dollar amount of any residence homestead exemptions granted under Section 11.13(n), Tax Code, in the year that is the subject of the study for each school district;

(3)iithe total dollar amount of any exemptions granted before May 31, 1993, within a reinvestment zone under agreements authorized by Chapter 312, Tax Code;

(4)iisubject to Subsection (e), the total dollar amount of any captured appraised value of property that:

(A)iiis within a reinvestment zone created on or before May 31, 1999, or is proposed to be included within the boundaries of a reinvestment zone as the boundaries of the zone and the proposed portion of tax increment paid into the tax increment fund by a school district are described in a written notification provided by the municipality or the board of directors of the zone to the governing bodies of the other taxing units in the manner provided by Section 311.003(e), Tax Code, before May 31, 1999, and within the boundaries of the zone as those boundaries existed on September 1, 1999, including subsequent improvements to the property regardless of when made;

(B)iigenerates taxes paid into a tax increment fund created under Chapter 311, Tax Code, under a reinvestment zone financing plan approved under Section 311.011(d), Tax Code, on or before September 1, 1999; and

(C)iiis eligible for tax increment financing under Chapter 311, Tax Code;

(5)ii[for a school district for which a deduction from taxable value is made under Subdivision (4), an amount equal to the taxable value required to generate revenue when taxed at the school district's current tax rate in an amount that, when added to the taxes of the district paid into a tax increment fund as described by Subdivision (4)(B), is equal to the total amount of taxes the district would have paid into the tax increment fund if the district levied taxes at the rate the district levied in 2005;

[(6)]iithe total dollar amount of any captured appraised value of property that:

(A)iiis within a reinvestment zone:

(i)iicreated on or before December 31, 2008, by a municipality with a population of less than 18,000; and

(ii)iithe project plan for which includes the alteration, remodeling, repair, or reconstruction of a structure that is included on the National Register of Historic Places and requires that a portion of the tax increment of the zone be used for the improvement or construction of related facilities or for affordable housing;

(B)iigenerates school district taxes that are paid into a tax increment fund created under Chapter 311, Tax Code; and

(C)iiis eligible for tax increment financing under Chapter 311, Tax Code;

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(6)i[(7)]iithe total dollar amount of any exemptions granted under Section 11.251 or 11.253, Tax Code;

(7)i[(8)]iithe difference between the comptroller's estimate of the market value and the productivity value of land that qualifies for appraisal on the basis of its productive capacity, except that the productivity value estimated by the comptroller may not exceed the fair market value of the land;

(8)i[(9)]iithe portion of the appraised value of residence homesteads of individuals who receive a tax limitation under Section 11.26, Tax Code, on which school district taxes are not imposed in the year that is the subject of the study, calculated as if the residence homesteads were appraised at the full value required by law;

(9)i[(10)]iia portion of the market value of property not otherwise fully taxable by the district at market value because of:

(A)iiaction required by statute or the constitution of this state that, if the tax rate adopted by the district is applied to it, produces an amount equal to the difference between the tax that the district would have imposed on the property if the property were fully taxable at market value and the tax that the district is actually authorized to impose on the property, if this subsection does not otherwise require that portion to be deducted; or

(B)iiaction taken by the district under Subchapter B or C, Chapter 313, Tax Code;

(10)i[(11)]iithe market value of all tangible personal property, other than manufactured homes, owned by a family or individual and not held or used for the production of income;

(11)i[(12)]iithe appraised value of property the collection of delinquent taxes on which is deferred under Section 33.06, Tax Code;

(12)i[(13)]iithe portion of the appraised value of property the collection of delinquent taxes on which is deferred under Section 33.065, Tax Code; and

(13)i[(14)]iithe amount by which the market value of a residence homestead to which Section 23.23, Tax Code, applies exceeds the appraised value of that property as calculated under that section.

(i)iiIf the comptroller determines in the annual study that the market value of property in a school district as determined by the appraisal district that appraises property for the school district, less the total of the amounts and values listed in Subsection (d) as determined by that appraisal district, is valid, the comptroller, in determining the taxable value of property in the school district under Subsection (d), shall for purposes of Subsection (d)(13) [(d)(14)] subtract from the market value as determined by the appraisal district of residence homesteads to which Section 23.23, Tax Code, applies the amount by which that amount exceeds the appraised value of those properties as calculated by the appraisal district under Section 23.23, Tax Code. If the comptroller determines in the annual study that the market value of property in a school district as determined by the appraisal district that appraises property for the school district, less the total of the amounts and values listed in Subsection (d) as determined by that appraisal district, is not valid, the comptroller, in determining the taxable value of property in the school district under Subsection (d), shall for purposes of Subsection (d)(13) [(d)(14)] subtract from the market value as estimated by the

4548 81st Legislature — Regular Session 69th Day (Cont.)


comptroller of residence homesteads to which Section 23.23, Tax Code, applies the amount by which that amount exceeds the appraised value of those properties as calculated by the appraisal district under Section 23.23, Tax Code.

SECTIONi24.iiSection 373A.151(b), Local Government Code, is amended to read as follows:

(b)iiIn addition to other provisions of this subchapter that modify or supersede the application of Chapter 311, Tax Code, to a zone established under this subchapter, Section [Sections] 311.005 [and 311.006], Tax Code, does [do] not apply to a zone established under this subchapter.

SECTIONi25.iiSections 311.003(e), (f), and (g), 311.006, and 311.013(d) and (e), Tax Code, are repealed.

SECTIONi26.ii(a) The legislature validates and confirms all governmental acts and proceedings of a municipality or county, the board of directors of a reinvestment zone, or an entity acting under Section 311.010(f), Tax Code, that were taken before the effective date of this Act and relate to or are associated with the designation, operation, or administration of a reinvestment zone or the implementation of a project plan or reinvestment zone financing plan under Chapter 311, Tax Code, including the extension of the term of a reinvestment zone, as of the dates on which they occurred. The acts and proceedings may not be held invalid because they were not in accordance with Chapter 311, Tax Code, or other law.

(b)iiSubsection (a) of this section does not apply to any matter that on the 30th day after the effective date of this Act:

(1)iiis involved in litigation if the litigation ultimately results in the matter being held invalid by a final judgment of a court; or

(2)iihas been held invalid by a final judgment of a court.

SECTIONi27.ii(a) Section 311.002(1), Tax Code, as amended by this Act, applies to all costs described by that subdivision regardless of when they were incurred.

(b)iiSection 311.0091, Tax Code, as amended by this Act, applies only to an individual appointed by a conservation and reclamation district to the board of directors of a reinvestment zone on or after the effective date of this Act. An individual appointed by a conservation and reclamation district to the board of a reinvestment zone before the effective date of this Act is governed by Section 311.0091, Tax Code, as that section existed immediately before the effective date of this Act, and the former law is continued in effect for that purpose.

(c)iiSection 311.012(c), Tax Code, as amended by this Act, applies only to the determination of the tax increment base of a taxing unit for a tax year beginning on or after the effective date of this Act, except that if the tax increment base of a taxing unit for a tax year beginning before the effective date was determined in the manner provided by Section 311.012(c), Tax Code, as amended by this Act, the determination is validated as if the amendment were in accordance with Section 311.012(c), Tax Code, as that section existed immediately before the effective date of this Act.

SECTIONi28.iiSection 42.2516, Education Code, as amended by this Act, applies as if Subsection (b)(4) of that section were in effect in the state fiscal year beginning September 1, 2006, and any amounts due a school district under Subsection (b)(4) of that section for the state fiscal years beginning September 1, 2006,

Saturday, May 30, 2009 SENATE JOURNAL 4549


September 1, 2007, and September 1, 2008, shall be paid to the district in the state fiscal year beginning September 1, 2009, at the time payments are made to the district under Section 42.259(f), Education Code.

SECTIONi29.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Wentworth moved that the Senate do not concur in the House amendment, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on SBi313 before appointment.

There were no motions offered.

The President announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Ogden, Hinojosa, Deuell, and Zaffirini.

CONFERENCE COMMITTEE ON HOUSE BILL 2647

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2647 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2647 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; West, Nichols, Gallegos, and Eltife.

CONFERENCE COMMITTEE ON HOUSE BILL 2649

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2649 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2649 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; Wentworth, Watson, Lucio, and Jackson.

4550 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 2571

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2571 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2571 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; Williams, Carona, Nelson, and Zaffirini.

CONFERENCE COMMITTEE ON HOUSE BILL 1161

Senator Harris called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1161 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi1161 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Harris, Chair; Watson, Lucio, VanideiPutte, and Eltife.

CONFERENCE COMMITTEE ON HOUSE BILL 1924

Senator Seliger called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1924 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi1924 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Seliger, Chair; Nelson, Nichols, Uresti, and VanideiPutte.

CONFERENCE COMMITTEE ON HOUSE BILL 269

Senator VanideiPutte called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi269 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4551


The President asked if there were any motions to instruct the conference committee on HBi269 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators VanideiPutte, Chair; Shapleigh, Ogden, Duncan, and Zaffirini.

CONFERENCE COMMITTEE ON HOUSE BILL 4409

Senator Jackson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4409 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi4409 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Jackson, Chair; Fraser, Huffman, Nichols, and VanideiPutte.

CONFERENCE COMMITTEE ON HOUSE BILL 2854

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2854 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2854 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; Wentworth, Averitt, Ellis, and Hinojosa.

CONFERENCE COMMITTEE ON HOUSE BILL 3526

Senator Averitt called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3526 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi3526 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Averitt, Chair; Hegar, Lucio, Seliger, and Hinojosa.

4552 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 2682

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2682 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2682 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Carona, Watson, Davis, and Ellis.

CONFERENCE COMMITTEE ON HOUSE BILL 2644

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2644 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2644 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; Carona, Uresti, Nichols, and Nelson.

CONFERENCE COMMITTEE ON HOUSE BILL 3676

Senator Seliger called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3676 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi3676 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Seliger, Chair; Shapleigh, Eltife, Watson, and Shapiro.

CONFERENCE COMMITTEE ON HOUSE BILL 853

Senator Uresti called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi853 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4553


The President asked if there were any motions to instruct the conference committee on HBi853 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Davis, Hinojosa, Nelson, and Whitmire.

CONFERENCE COMMITTEE ON HOUSE JOINT RESOLUTION 127

Senator Carona called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HJRi127 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HJRi127 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Carona, Chair; Averitt, Deuell, Jackson, and Watson.

SENATE BILL 379 WITH HOUSE AMENDMENT

Senator Carona called SBi379 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No.i1

Amend SB 379, in SECTION 1 on page 1, line 6, after "Section 421.082, Government Code, is amended by adding Subsections (e), (f)," by removing "and" and adding "(g), and (h)..."

Amend SB 379, in SECTION 1 on page 2, line 19, after subsection (g), add "(h) Any information received by the center under Section 421.082, Government Code, that is stored, combined with other information, analyzed or disseminated shall be subject to the rules governing criminal intelligence in 28 C.F.R. part 23."

The amendment was read.

Senator Carona moved that the Senate do not concur in the House amendment, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on SBi379 before appointment.

There were no motions offered.

The President announced the appointment of the following conferees on the part of the Senate:iiSenators Carona, Chair; Shapleigh, Huffman, Whitmire, and Patrick.

4554 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 548

Senator Carona called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi548 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi548 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Carona, Chair; Davis, Huffman, Nichols, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 666

Senator Uresti called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi666 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi666 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Whitmire, Seliger, Williams, and Hinojosa.

CONFERENCE COMMITTEE ON HOUSE BILL 882

Senator Eltife called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi882 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi882 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Eltife, Chair; VanideiPutte, Watson, Seliger, and Deuell.

CONFERENCE COMMITTEE ON HOUSE BILL 770

Senator Jackson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi770 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4555


The President asked if there were any motions to instruct the conference committee on HBi770 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Jackson, Chair; Eltife, Huffman, Williams, and Wentworth.

CONFERENCE COMMITTEE ON HOUSE BILL 2919

Senator Fraser called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2919 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2919 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Fraser, Chair; Wentworth, Uresti, Davis, and VanideiPutte.

CONFERENCE COMMITTEE ON HOUSE BILL 2531

Senator Shapiro called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2531 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi2531 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Shapiro, Chair; Harris, Eltife, Davis, and VanideiPutte.

CONFERENCE COMMITTEE ON HOUSE BILL 469

Senator Seliger called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi469 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi469 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Seliger, Chair; Averitt, Fraser, Ogden, and Shapleigh.

4556 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 103

Senator Patrick called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi103 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi103 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Patrick, Chair; Deuell, Duncan, Davis, and Ogden.

CONFERENCE COMMITTEE ON HOUSE BILL 451

Senator Lucio called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi451 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi451 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Lucio, Chair; Carona, Deuell, Shapiro, and VanideiPutte.

CONFERENCE COMMITTEE ON HOUSE BILL 1218

Senator Watson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1218 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi1218 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Watson, Chair; Averitt, Deuell, VanideiPutte, and Nelson.

SENATE RULE 2.02 SUSPENDED

(Restrictions on Admission)

On motion of Senator Williams and by unanimous consent, Senate Rule 2.02 was suspended to grant floor privileges to two staff members for each Senator today to help with conference committee assignments.

Saturday, May 30, 2009 SENATE JOURNAL 4557


(Senator Eltife in Chair)

CONFERENCE COMMITTEE ON HOUSE BILL 2093

Senator Hegar called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2093 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2093 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hegar, Chair; Patrick, Whitmire, West, and Seliger.

CONFERENCE COMMITTEE ON HOUSE BILL 2003

Senator Watson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2003 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2003 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Watson, Chair; Ellis, Whitmire, Wentworth, and Seliger.

CONFERENCE COMMITTEE ON HOUSE JOINT RESOLUTION 14

Senator Duncan called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HJRi14 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HJRi14 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Duncan, Chair; Estes, Hegar, VanideiPutte, and Whitmire.

CONFERENCE COMMITTEE ON HOUSE BILL 498

Senator Ellis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi498 and moved that the request be granted.

The motion prevailed without objection.

4558 81st Legislature — Regular Session 69th Day (Cont.)


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi498 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ellis, Chair; Whitmire, Carona, Huffman, and Hegar.

CONFERENCE COMMITTEE ON HOUSE BILL 1796

Senator Watson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1796 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1796 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Watson, Chair; Averitt, Eltife, Davis, and Duncan.

CONFERENCE COMMITTEE ON HOUSE BILL 1320

Senator Ellis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1320 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1320 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ellis, Chair; Whitmire, Averitt, Carona, and Hinojosa.

SENATE BILL 1263 WITH HOUSE AMENDMENTS

Senator Watson called SBi1263 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Amendment

Amend SBi1263 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to certain mass transit entities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSections 451.0611(e) and (f), Transportation Code, are amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4559


(e)iiThe notice required by Subsection (d)(2) may be included in a citation issued to the person under Article 14.06, Code of Criminal Procedure, or under Section 451.0612, in connection with an offense relating to the nonpayment of the appropriate fare or charge for the use of the public transportation system.

(f)iiAn offense under Subsection (d) is:

(1)iia Class C misdemeanor; and

(2)iinot a crime of moral turpitude.

SECTIONi2.iiSubchapter B, Chapter 451, Transportation Code, is amended by adding Section 451.0612 to read as follows:

Sec.i451.0612.iiFARE ENFORCEMENT OFFICERS IN CERTAIN AUTHORITIES. (a) An authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000 may employ persons to serve as fare enforcement officers to enforce the payment of fares for use of the public transportation system by:

(1)iirequesting and inspecting evidence showing payment of the appropriate fare from a person using the public transportation system; and

(2)iiissuing a citation to a person described by Section 451.0611(d)(1).

(b)iiBefore commencing duties as a fare enforcement officer a person must complete a 40-hour training course approved by the authority that is appropriate to the duties required of a fare enforcement officer.

(c)iiWhile performing duties, a fare enforcement officer shall:

(1)iiwear a distinctive uniform that identifies the officer as a fare enforcement officer; and

(2)iiwork under the direction of the authority's manager of safety and security.

(d)iiA fare enforcement officer may:

(1)iirequest evidence showing payment of the appropriate fare from passengers of the public transportation system;

(2)iirequest personal identification from a passenger who does not produce evidence showing payment of the appropriate fare on request by the officer;

(3)iirequest that a passenger leave the public transportation system if the passenger does not possess evidence of payment of the appropriate fare; and

(4)iifile a complaint in the appropriate court that charges the person with an offense under Section 451.0611(d).

(e)iiA fare enforcement officer may not carry a weapon while performing duties under this section.

(f)iiA fare enforcement officer is not a peace officer and has no authority to enforce a criminal law, other than the authority possessed by any other person who is not a peace officer.

SECTIONi3.iiSection 451.108(c), Transportation Code, is amended to read as follows:

(c)iiA peace officer commissioned under this section, except as provided by Subsections (d) and (e), or a peace officer contracted for employment by an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000, may:

4560 81st Legislature — Regular Session 69th Day (Cont.)


(1)iimake an arrest in any county in which the transit authority system is located as necessary to prevent or abate the commission of an offense against the law of this state or a political subdivision of this state if the offense or threatened offense occurs on or involves the transit authority system;

(2)iimake an arrest for an offense involving injury or detriment to the transit authority system;

(3)iienforce traffic laws and investigate traffic accidents that involve or occur in the transit authority system; and

(4)iiprovide emergency and public safety services to the transit authority system or users of the transit authority system.

Section 451.061, Transportation Code, is amended by amending Subsection (d) and adding Subsection (d-1) to read as follows:

(d)iiExcept as provided by Subsection (d-1), the [The] fares, tolls, charges, rents, and other compensation established by an authority in which the principal municipality has a population of less than 1.2 million may not take effect until approved by a majority vote of a committee composed of:

(1)iifive members of the governing body of the principal municipality, selected by that governing body;

(2)iithree members of the commissioners court of the county having the largest portion of the incorporated territory of the principal municipality, selected by that commissioners court; and

(3)iithree mayors of municipalities, other than the principal municipality, located in the authority, selected by:

(A)iithe mayors of all the municipalities, except the principal municipality, located in the authority; or

(B)iithe mayor of the most populous municipality, other than the principal municipality, in the case of an authority in which the principal municipality has a population of less than 300,000.

(d-1)iiThe establishment of or a change to fares, tolls, charges, rents, and other compensation by an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000, takes effect immediately on approval by a majority vote of the board, except that the establishment of or a change to a single-ride base fare takes effect on the 60th day after the date the board approves the fare or change to the fare, unless the policy board of the metropolitan planning organization that serves the area of the authority disapproves the fare or change to the fare by a majority vote.

SECTIONi4.iiSection 451.071, Transportation Code, is amended by adding Subsections (g) and (h) to read as follows:

(g)iiThis section does not require the authority to hold a referendum on a proposal to enter into a contract or interlocal agreement to build, operate, or maintain a fixed rail transit system for another entity. Notwithstanding Subsection (d) the authority may spend funds of the authority to enter into a contract and operate under that contract to build, operate, or maintain a fixed rail transit system if the other entity will reimburse the authority for the funds.

Saturday, May 30, 2009 SENATE JOURNAL 4561


(h)iiA referendum held by a political subdivision, the authority or an entity other than the authority at which funding is approved for a fixed rail transit system is considered to meet the requirements of Subsections (d) and (e) and Section 451.3625 if the notice for the election called by the political subdivision, the authority or other entity contains the description required by Subsection (c). The referendum may allow for financial participation of more than one political subdivision or entity. The authority may only spend funds of the authority if the referendum authorizes that expenditure.

SECTIONi5.iiSubchapter J, Chapter 451, Transportation Code, is amended by adding Sections 451.458, 451.459, and 451.460 to read as follows:

Sec.i451.458.iiINTERNAL AUDITOR. (a) This section applies only to an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000.

(b)iiThe board shall appoint a qualified individual to perform internal auditing services for a term of five years. The board may remove the auditor only on the affirmative vote of at least three-fourths of the members of the board.

(c)iiThe auditor shall report directly to the board.

Sec.i451.459.iiSUNSET REVIEW. (a) An authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000 is subject to review under Chapter 325, Government Code (Texas Sunset Act), as if it were a state agency but may not be abolished under that chapter. The review shall be conducted as if the authority were scheduled to be abolished September 1, 2011. In addition, another review shall be conducted as if the authority were scheduled to be abolished September 1, 2017. The reviews conducted under this section must include an assessment of the governance, management, and operating structure of the authority and the authority's compliance with the duties and requirements placed on it by the legislature.

(b)iiThe authority shall pay the cost incurred by the Sunset Advisory Commission in performing a review of the authority under this section. The Sunset Advisory Commission shall determine the cost, and the authority shall pay the amount promptly on receipt of a statement from the Sunset Advisory Commission detailing the cost.

Sec.i451.460.iiANNUAL REPORT. (a) This section applies only to an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000.

(b)iiThe authority shall provide an annual report to each governing body of a municipality or county in the authority regarding the status of any financial obligation of the authority to the municipality or county.

SECTIONi6.iiSection 451.5021, Transportation Code, is amended by amending Subsections (a), (b), (d), and (e) and adding Subsections (b-1), (d-1), (d-2), (d-3), and (e-1) to read as follows:

(a)iiThis section applies only to the board of an authority created before July 1, 1985, in which the principal municipality has a population of less than 750,000 [in which each member of the governing body of the principal municipality is elected at large].

4562 81st Legislature — Regular Session 69th Day (Cont.)


(b)iiMembers of the [The] board [is composed of seven members who] are appointed as follows:

(1)iione member, who is an elected official, [two members representing the general public] appointed by the metropolitan planning organization designated by the governor that serves the area of the authority;

(2)iione member, who is an elected official, [two members] appointed by the governing body of the principal municipality;

(3)iione member jointly appointed by:

(A)iithe governing body of the principal municipality; and

(B)iithe commissioners court of the principal county;

(4)iione member jointly appointed by:

(A)iithe governing body of the principal municipality; and

(B)iithe commissioners court of the county, excluding the principal county, that has the largest population of the counties in the authority [a panel composed of the mayors of all the municipalities in the authority located in the principal county of the authority, excluding the mayor of the principal municipality]; [and]

(5)iione member, who is an elected official, appointed by a panel composed of[:

[(A)] the mayors of all municipalities in the authority [located outside the principal county of the authority], excluding the mayor of the principal municipality;

(6)iione member, who has at least 10 years of experience as a financial or accounting professional, appointed by the metropolitan planning organization that serves the area in which the authority is located;

(7)iione member, who has at least 10 years of experience in an executive-level position in a public or private organization, including a governmental entity, appointed by the metropolitan planning organization that serves the area in which the authority is located; and

(8)iitwo members appointed by the metropolitan planning organization that serves the area in which the authority is located, if according to the most recent federal decennial census more than 35 percent of the population in the territory of the authority resides outside the principal municipality [(B)iithe county judges of the counties having unincorporated area in the authority, excluding the county judge of the principal county; and

[(C)iithe presiding officer of each municipal utility district that:

[(i)iihas a majority of its territory located outside the principal county; and

[(ii)iiis located wholly or partly in the authority].

(b-1)iiNotwithstanding Section 451.505, members of the board serve staggered three-year terms, with the terms of two or three members, as applicable, expiring Junei1 of each year.

(d)iiA person appointed under Subsection (b)(1), (2) [(b)(2), (3), (4)], or (5):

(1)iimust be a member of the governing body:

(A)iiof the political subdivision that is entitled to make the appointment; or

(B)iiover which a member of the panel entitled to make an appointment presides;

Saturday, May 30, 2009 SENATE JOURNAL 4563


(2)iivacates the office of board member if the person ceases to be a member of the governing body described by Subdivision (1);

(3)iiserves on the board as an additional duty of the office held on the governing body described by Subdivision (1); and

(4)iiis not entitled to compensation for serving as a member of the board.

(d-1)iiAt least two members appointed under Subsections (b)(1), (6), and (7) must be qualified voters residing in the principal municipality.

(d-2)iiA person appointed under Subsection (b)(3) must:

(1)iihave the person's principal place of occupation or employment in:

(A)iithe principal municipality; or

(B)iithe portion of the authority's service area that is located in the principal county; or

(2)iibe a qualified voter of:

(A)iithe principal municipality; or

(B)iithe portion of the authority's service area that is located in the principal county.

(d-3)iiA person appointed under Subsection (b)(4) must:

(1)iihave the person's principal place of occupation or employment in:

(A)iithe principal municipality; or

(B)iithe portion of the authority's service area that is located in the county, other than the principal county, that has the largest population of the counties in the authority; or

(2)iibe a qualified voter of:

(A)iithe principal municipality; or

(B)iithe portion of the authority's service area that is located in the county, other than the principal county, that has the largest population of the counties in the authority.

(e)iiA panel appointing a member under Subsection (b)(5) [this section] operates in the manner prescribed by Section 451.503.

(e-1)iiA joint appointment to fill a vacancy in a position under Subsection (b)(3) or (4) shall be made not later than the 60th day after the date a position becomes vacant.

SECTIONi7.iiSection 451.505(b), Transportation Code, is amended to read as follows:

(b)iiThe terms of members of a board are staggered if the authority was[:

[(1)]iicreated before 1980 and has a principal municipality with a population of less than 1.2 million[; or

[(2)iiconfirmed before July 1, 1985, and has a principal municipality with a population of less than 750,000].

SECTIONi8.iiSubsections (g) and (h), Section 451.5021, Transportation Code, are repealed.

SECTIONi9.ii(a) This section applies only to a member of the board of a metropolitan rapid transit authority created before July 1, 1985, in which the principal municipality has a population of 750,000 or less.

4564 81st Legislature — Regular Session 69th Day (Cont.)


(b)iiThe term of a board member that is scheduled, under the law as it existed before the effective date of this Act, to expire:

(1)iiafter the effective date of this Act but before January 1, 2010, is extended to December 31, 2009; and

(2)iion or after January 1, 2010, expires on the date the term was scheduled to expire under this law as it existed before the effective date of this Act.

(c)iiAs soon as practicable on or after the effective date of this Act, but not later than December 31, 2009, the persons and entities specified in Section 451.5021, Transportation Code, as amended by this Act, shall appoint the members of the board in compliance with that section, as amended, to serve terms that begin, as applicable and as subject to Subsection (d) of this section:

(1)iiJanuary 1, 2010; or

(2)iithe day after a term expires under Subsection (b)(2) of this section.

(d)iiA vacancy created because of the expiration of a term under Subsection (b) of this section is filled in the following manner:

(1)iifor a member appointed under Section 451.5021(b)(1), Transportation Code, under the law as it existed before the effective date of this Act:

(A)iione vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(6), Transportation Code, as amended by this Act; and

(B)iione vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(7), Transportation Code, as amended by this Act;

(2)iifor a member appointed under Section 451.5021(b)(2), Transportation Code, under the law as it existed before the effective date of this Act:

(A)iione vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(1), Transportation Code, as amended by this Act; and

(B)iione vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(2), Transportation Code, as amended by this Act;

(3)iifor a member appointed under Section 451.5021(b)(3), Transportation Code, under the law as it existed before the effective date of this Act, the vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(3), Transportation Code, as amended by this Act;

(4)iifor a member appointed under Section 451.5021(b)(4), Transportation Code, under the law as it existed before the effective date of this Act, the vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(5), Transportation Code, as amended by this Act; and

(5)iifor a member appointed under Section 451.5021(b)(5), Transportation Code, under the law as it existed before the effective date of this Act, the vacancy shall be filled by the appointing person or entity specified by Section 451.5021(b)(4), Transportation Code, as amended by this Act.

(e)iiThe members of the board appointed under Subsection (c) of this section shall draw lots to determine which terms of two members expire June 1, 2011, which terms of two members expire June 1, 2012, and which terms of three members expire June 1, 2013.

Saturday, May 30, 2009 SENATE JOURNAL 4565


(f)iiAs soon as practicable after the metropolitan planning organization specified by Section 451.5021(b)(8), Transportation Code, as added by this Act, determines that that subdivision applies to the metropolitan rapid transit authority, the metropolitan planning organization shall appoint:

(1)iione member of the board of the authority for a term to expire June 1, 2011, or, if that date has passed, the following six-year anniversary of that date; and

(2)iione member of the board of the authority for a term to expire June 1, 2013, or, if that date has passed, the following six-year anniversary of that date.

This subsection applies only to an authority created under Chapter 451, Transportation Code, that operates in an area in which the principal municipality has a population of 1.9 million or more. Notwithstanding any other law, an authority to which this subsection applies may not take private property through the use of eminent domain if the taking of the property is related to the construction of a segment of a fixed guideway transit system, including a light rail or bus rapid transit segment, authorized by the voters of the authority and:

(1)iithe planned route of the segment as approved in the ballot proposition submitted to the voters is changed by the authority after approval of the ballot proposition by the voters; or

(2)iithe ballot proposition submitted to the voters did not specifically describe the route of the segment.

(g)iiIf a court in which a condemnation proceeding is initiated under Chapter 21, Property Code, determines that the condemnation proceeding was initiated in violation of Subsection (f), the court shall:

(1)iidetermine that the condemnor does not have the right to condemn;

(2)iidismiss the condemnation proceeding; and

(3)iiorder the condemnor to pay all costs of the condemnation proceeding, including all reasonable attorney's fees incurred by the owner.

SECTIONi10.iiAmend section 451.0711 (a) This Section applies only to an authority created under Chapter 451, Transportation Code, that operates in an area in which the principal municipality has a population of 1.9 million or more. Notwithstanding any other law, an authority to which this subsection applies may not vote to authorize the initiation of condemnation proceedings under this section if the proposed condemnation proceedings are related to the construction of a segment of a fixed guideway transit system, including a light rail or bus rapid transit segment, authorized by the voters of the authority and:

(1)iithe planned route of the segment as approved in the ballot proposition submitted to the voters is changed by the authority after approval of the ballot proposition by the voters; or

(2)iithe ballot proposition submitted to the voters did not specifically describe the route of the segment.

(b)iiIf a court in which a condemnation proceeding is initiated under Chapter 21, Property Code, determines that the condemnation proceeding was authorized or initiated in violation of Subsection (a), the court shall:

(1)iidetermine that the condemnor does not have the right to condemn;

(2)iidismiss the condemnation proceeding; and

4566 81st Legislature — Regular Session 69th Day (Cont.)


(3)iiorder the condemnor to pay all costs of the condemnation proceeding, including all reasonable attorney's fees incurred by the owner.

SECTIONi11.ii(a) Except as provided by this section, the changes in law made by Chapter 2206, Government Code, and Chapter 21, Property Code, as amended by this Act, apply only to a condemnation proceeding in which the petition is filed on or after the effective date of this Act and to any property condemned through the proceeding. A condemnation proceeding in which the petition is filed before the effective date of this Act and any property condemned through the proceeding is governed by the law in effect immediately before that date, and that law is continued in effect for that purpose.

(b)iiSection 2206.051, Government Code, as added by this Act, applies to a condemnation proceeding in which the petition is filed on or after the effective date of this Act or a condemnation proceeding pending on the effective date of this Act in which the petition was filed on or after May 15, 2007.

(c)iiSection 2206.103, Government Code, as added by this Act, applies to a condemnation proceeding authorized or initiated on or after May 15, 2007.

SECTIONi12.iiThis Act takes effect September 1, 2009.

Floor Amendment No.i1

Amend CSSB 1263 (House committee printing) as follows:

(1)iiOn page 3, line 23, before "Section" insert "SECTION 4." and renumber subsequent SECTIONS of the bill accordingly.

(2)iiIn SECTION 9(f) of the bill, strike the underlined language (page 13, line 27 through page 14, line 24).

(3)iiStrike SECTIONS 10 and 11 of the bill (page 4, line 25 through page 16, line 14) and renumber subsequent SECTIONS of the bill accordingly.

The amendments were read.

Senator Watson moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi1263 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Watson, Chair; Carona, Ellis, Shapleigh, and Wentworth.

SENATE BILL 2274 WITH HOUSE AMENDMENTS

Senator Seliger called SBi2274 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Amendment

Amend SB 2274 by substituting in lieu thereof the following:

Saturday, May 30, 2009 SENATE JOURNAL 4567


A BILL TO BE ENTITLED

AN ACT

relating to the authority of a school district to impose ad valorem taxes.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 26.08, Tax Code, is amended by adding Subsection (p) to read as follows:

(p)iiThis subsection applies only to a school district that borders another state of the United States, includes within its territory at least 75 percent but not more than 85 percent of the territory of a single county, and has at least 500 but not more than 1,000 students in average daily attendance as defined by Section 42.302, Education Code. Notwithstanding Subsections (i), (n), and (o), if for the preceding tax year the district adopted a maintenance and operations tax rate that was less than the district's effective maintenance and operations tax rate for that preceding tax year, the rollback tax rate of the district for the current tax year is calculated as if the district adopted a maintenance and operations tax rate for the preceding tax year that was equal to the district's effective maintenance and operations tax rate for that preceding tax year.

SECTIONi2.iiSection 45.001(a), Education Code, is amended to read as follows:

(a)iiThe governing board of an independent school district, including the city council or commission that has jurisdiction over a municipally controlled independent school district, the governing board of a rural high school district, and the commissioners court of a county, on behalf of each common school district under its jurisdiction, may:

(1)iiissue bonds for:

(A)iithe construction, acquisition, and equipment of school buildings in the district;

(B)iithe acquisition of property or the refinancing of property financed under a contract entered under Subchapter A, Chapter 271, Local Government Code, regardless of whether payment obligations under the contract are due in the current year or a future year;

(C)iithe purchase of the necessary sites for school buildings; and

(D)iithe purchase of new school buses; and

(2)iimay levy, pledge, assess, and collect annual ad valorem taxes sufficient to pay the principal of and interest on the bonds as or before the principal and interest become due, subject to Section 45.003.

SECTIONi3.ii(a) The change in law made by this Act applies to the ad valorem tax rate of a school district beginning with the 2009 tax year, except as provided by Subsection (b) of this section.

(b)iiIf the governing body of a school district adopted an ad valorem tax rate for the school district for the 2009 tax year before the effective date of this Act, the change in law made by this Act applies to the ad valorem tax rate of that school district beginning with the 2010 tax year, and the law in effect when the tax rate was adopted applies to the 2009 tax year with respect to that school district.

SECTIONi4.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

4568 81st Legislature — Regular Session 69th Day (Cont.)


Floor Amendment No.i1

Amend CSSB 2274 (House committee report) by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSection 11.42, Tax Code, is amended by amending Subsection (c) and adding Subsection (c-1) to read as follows:

(c)iiAn exemption authorized by Section 11.13(c) or (d) is effective as of Januaryi1 of the tax year in which the person qualifies for the exemption and applies to the entire tax year. If the individual acquired the property in that tax year, each other exemption authorized by Section 11.13 for which the individual qualifies the property in that tax year is also effective as of January 1 of the tax year and applies to the entire tax year.

(c-1)iiExcept as provided by Subsection (c), if an individual acquires a property after January 1 of a tax year and qualifies the property during that tax year for one or more exemptions under Section 11.13, but the individual does not qualify for an exemption under Section 11.13(c) or (d) for an individual 65 years of age or older, and the property did not previously qualify for any exemption under Section 11.13 for any portion of the tax year in which the property was acquired, the individual may receive the exemptions for which the individual qualifies for the portion of that tax year for which the individual qualifies for the exemptions immediately on qualification for the exemptions.

SECTIONi____.iiSection 26.10, Tax Code, is amended by adding Subsection (c) to read as follows:

(c)iiThis section does not affect a residence homestead exemption other than an exemption under Section 11.13(c) or (d) for an individual 65 years of age or older, and for purposes of Subsection (b)(1)(B) the taxes shall be calculated taking into account any residence homestead exemption applicable to the property other than an exemption under Section 11.13(c) or (d) for an individual 65 years of age or older.

SECTIONi____.iiChapter 26, Tax Code, is amended by adding Section 26.1115 to read as follows:

Sec.i26.1115.iiCALCULATION OF TAXES ON RESIDENCE HOMESTEAD GENERALLY. (a) If an individual receives one or more exemptions under Section 11.13, other than an exemption under Section 11.13(c) or (d) for an individual 65 years of age or older, for a portion of a tax year as provided by Section 11.42(c-1), except as provided by Subsection (b) the amount of tax due on the property for that year is calculated by:

(1)iisubtracting:

(A)iithe amount of the taxes that otherwise would be imposed on the property for the entire year had the individual qualified for the exemptions for the entire year; from

(B)iithe amount of the taxes that otherwise would be imposed on the property for the entire year had the individual not qualified for the exemptions during the year;

Saturday, May 30, 2009 SENATE JOURNAL 4569


(2)iimultiplying the remainder determined under Subdivision (1) by a fraction, the denominator of which is 365 and the numerator of which is the number of days in that year that elapsed before the date the individual first qualified the property for the exemptions; and

(3)iiadding the product determined under Subdivision (2) and the amount described by Subdivision (1)(A).

(b)iiIf an individual receives one or more exemptions to which Subsection (a) applies for a portion of a tax year as provided by Section 11.42(c-1) and the exemptions terminate during the year in which the individual acquired the property, the amount of tax due on the property for that year is calculated by:

(1)iisubtracting:

(A)iithe amount of the taxes that otherwise would be imposed on the property for the entire year had the individual qualified for the exemptions for the entire year; from

(B)iithe amount of the taxes that otherwise would be imposed on the property for the entire year had the individual not qualified for the exemptions during the year;

(2)iimultiplying the remainder determined under Subdivision (1) by a fraction, the denominator of which is 365 and the numerator of which is the sum of:

(A)iithe number of days in that year that elapsed before the date the individual first qualified the property for the exemptions; and

(B)iithe number of days in that year that elapsed after the date the exemptions terminated; and

(3)iiadding the product determined under Subdivision (2) and the amount described by Subdivision (1)(A).

(c)iiIf an individual qualifies to receive an exemption as described by Subsection (a) with respect to a property after the amount of tax due on the property is calculated and if the effect of the qualification is to reduce the amount of tax due on the property, the assessor for each taxing unit shall recalculate the amount of the tax due on the property and correct the tax roll. If the tax bill has been mailed and the tax on the property has not been paid, the assessor shall mail a corrected tax bill to the person in whose name the property is listed on the tax roll or to the person's authorized agent. If the tax on the property has been paid, the collector for the taxing unit shall refund to the person who paid the tax the amount by which the payment exceeded the tax due.

SECTIONi____.iiSection 26.112(a), Tax Code, is amended to read as follows:

(a)iiExcept as provided by Section 26.10(b), if at any time during a tax year property is owned by an individual who qualifies for an exemption under Section 11.13(c) or (d), the amount of the tax due on the property for the tax year is calculated as if the person qualified for the exemption on January 1 and continued to qualify for the exemption for the remainder of the tax year. If the individual acquired the property in that tax year, the amount of the tax due on the property is calculated as if the person qualified on January 1 for each exemption for which the individual qualifies the property in that tax year under Section 11.13 and continued to qualify for each exemption for the remainder of the tax year.

The amendments were read.

4570 81st Legislature — Regular Session 69th Day (Cont.)


Senator Seliger moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi2274 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Seliger, Chair; Shapiro, Whitmire, Ogden, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 2521

Senator West called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2521 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2521 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators West, Chair; Watson, Deuell, Harris, and Eltife.

CONFERENCE COMMITTEE ON HOUSE BILL 2347

Senator Whitmire called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2347 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2347 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Whitmire, Chair; Ogden, Zaffirini, Gallegos, and Duncan.

CONFERENCE COMMITTEE ON HOUSE BILL 3065

Senator Ellis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3065 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3065 before appointment.

There were no motions offered.

Saturday, May 30, 2009 SENATE JOURNAL 4571


Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ellis, Chair; Averitt, Carona, Wentworth, and West.

CONFERENCE COMMITTEE ON HOUSE BILL 3389

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3389 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3389 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; West, Hegar, Whitmire, and Carona.

CONFERENCE COMMITTEE ON HOUSE BILL 3452

Senator Ogden called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3452 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3452 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ogden, Chair; VanideiPutte, Huffman, Davis, and Estes.

CONFERENCE COMMITTEE ON HOUSE BILL 3461

Senator Watson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3461 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3461 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Watson, Chair; Seliger, Averitt, Carona, and Ogden.

4572 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 3632

Senator Averitt called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3632 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3632 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Averitt, Chair; Eltife, Hegar, Uresti, and Duncan.

CONFERENCE COMMITTEE ON HOUSE BILL 3653

Senator Davis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3653 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3653 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Davis, Chair; Whitmire, Seliger, Carona, and Zaffirini.

CONFERENCE COMMITTEE ON HOUSE BILL 3864

Senator Seliger called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3864 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3864 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Seliger, Chair; Deuell, Hinojosa, Eltife, and Shapleigh.

CONFERENCE COMMITTEE ON HOUSE BILL 3646

Senator Shapiro called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3646 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4573


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3646 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Shapiro, Chair; Ogden, Duncan, VanideiPutte, and Patrick.

CONFERENCE COMMITTEE ON HOUSE BILL 4009

Senator VanideiPutte called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4009 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer, Senator Eltife in Chair, asked if there were any motions to instruct the conference committee on HBi4009 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators VanideiPutte, Chair; Ogden, Hinojosa, Williams, and Whitmire.

CONFERENCE COMMITTEE ON HOUSE BILL 756

Senator Ellis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi756 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi756 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ellis, Chair; Zaffirini, Duncan, Wentworth, and Deuell.

CONFERENCE COMMITTEE ON HOUSE BILL 3309

Senator Ogden called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3309 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3309 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ogden, Chair; Fraser, Williams, Lucio, and Estes.

4574 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 1795

Senator Uresti called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1795 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1795 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Zaffirini, Averitt, Williams, and Huffman.

CONFERENCE COMMITTEE ON HOUSE BILL 4583

Senator Ogden called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4583 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi4583 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ogden, Chair; Duncan, Hinojosa, Whitmire, and Eltife.

CONFERENCE COMMITTEE ON HOUSE BILL 1506

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1506 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1506 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; West, Averitt, Whitmire, and Seliger.

CONFERENCE COMMITTEE ON HOUSE BILL 1801

Senator Shapiro called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1801 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4575


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1801 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Shapiro, Chair; Seliger, Williams, Hinojosa, and Duncan.

CONFERENCE COMMITTEE ON HOUSE BILL 2153

Senator Shapiro called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2153 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2153 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Shapiro, Chair; Ellis, Duncan, Hinojosa, and Davis.

CONFERENCE COMMITTEE ON HOUSE BILL 3872

Senator Estes called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3872 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3872 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Estes, Chair; VanideiPutte, Patrick, Lucio, and Jackson.

CONFERENCE COMMITTEE ON HOUSE BILL 715

Senator Estes called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi715 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi715 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Estes, Chair; Carona, West, Shapleigh, and Averitt.

4576 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 1959

Senator Hegar called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1959 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1959 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hegar, Chair; Hinojosa, Estes, Averitt, and Huffman.

CONFERENCE COMMITTEE ON HOUSE BILL 2163

Senator Uresti called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2163 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2163 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Deuell, Zaffirini, Nelson, and West.

CONFERENCE COMMITTEE ON HOUSE BILL 3220

Senator Patrick called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3220 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3220 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Patrick, Chair; Shapiro, Williams, VanideiPutte, and Lucio.

CONFERENCE COMMITTEE ON HOUSE BILL 2774

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2774 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4577


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2774 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Duncan, Eltife, VanideiPutte, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 3221

Senator VanideiPutte called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3221 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3221 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators VanideiPutte, Chair; Hegar, Watson, Averitt, and Harris.

CONFERENCE COMMITTEE ON HOUSE BILL 2917

Senator Shapiro called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2917 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2917 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Shapiro, Chair; Huffman, Fraser, Nelson, and Carona.

MESSAGES FROM THE HOUSE

HOUSE CHAMBER

Austin, Texas

May 30, 2009

The Honorable President of the Senate

Senate Chamber

Austin, Texas

Mr. President:

I am directed by the House to inform the Senate that the House has taken the following action:

4578 81st Legislature — Regular Session 69th Day (Cont.)


THE HOUSE HAS REFUSED TO CONCUR IN THE SENATE AMENDMENTS TO THE FOLLOWING MEASURES AND REQUESTS THE APPOINTMENT OF A CONFERENCE COMMITTEE TO ADJUST THE DIFFERENCES BETWEEN THE TWO HOUSES:

HB 498 (non-record vote)

House Conferees:iiMcClendon - Chair/Hodge/Moody/Pierson/Thompson

THE HOUSE HAS DISCHARGED ITS CONFEREES AND CONCURRED IN SENATE AMENDMENTS TO THE FOLLOWING MEASURES:

HB 746 (143 Yeas, 0 Nays, 2 Present, not voting)

THE HOUSE HAS GRANTED THE REQUEST OF THE SENATE FOR THE APPOINTMENT OF A CONFERENCE COMMITTEE ON THE FOLLOWING MEASURES:

SB 52 (non-record vote)

House Conferees:iiColeman - Chair/Branch/Harless/King, Susan/Zerwas

SB 78 (non-record vote)

House Conferees:iiSmithee - Chair/Eiland/Isett/Thompson/Zerwas

SB 497 (non-record vote)

House Conferees:iiHartnett - Chair/Hughes/Jackson, Jim/Martinez, "Mando"/McReynolds

SB 537 (non-record vote)

House Conferees:iiVaught - Chair/Fletcher/Kent/Moody/Riddle

SB 546 (non-record vote)

House Conferees:iiAnchia - Chair/Geren/Keffer/Rose/Strama

SB 968 (non-record vote)

House Conferees:iiTruitt - Chair/Harper-Brown/Kent/Kolkhorst/Miller, Doug

SB 1068 (non-record vote)

House Conferees:iiGallego - Chair/Christian/Fletcher/Miklos/Moody

SB 1273 (non-record vote)

House Conferees:iiFletcher - Chair/Cook/Gallego/Miklos/Phillips

SB 1620 (non-record vote)

House Conferees:iiPaxton - Chair/Bohac/Hilderbran/Pena/Taylor

SB 1757 (non-record vote)

House Conferees:iiHoward, Donna - Chair/Aycock/Burnam/Hopson/Shelton

SB 1759 (non-record vote)

House Conferees:iiPickett - Chair/Chisum/Guillen/Menendez/Otto

SB 2440 (non-record vote)

House Conferees:iiCorte - Chair/Leibowitz/Martinez Fischer/Menendez/Ritter

SB 2468 (non-record vote)

House Conferees:iiColeman - Chair/Davis, John/Hernandez/Smith, Wayne/Walle

Respectfully,

/s/Robert Haney, Chief Clerk

House of Representatives

Saturday, May 30, 2009 SENATE JOURNAL 4579


SENATE BILL 1970 WITH HOUSE AMENDMENTS

Senator Duncan called SBi1970 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer, Senator Eltife in Chair, laid the bill and the House amendments before the Senate.

Amendment

Amend SBi1970 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to certain election practices and procedures; providing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubsection (a), Section 2.051, Election Code, is amended to read as follows:

(a)iiExcept as provided by Sections 2.055 and 2.056, this subchapter applies only to an election for officers of a political subdivision other than a county in which write-in votes may be counted only for names appearing on a list of write-in candidates and in which[:

[(1)]iieach candidate for an office that is to appear on the ballot is unopposed, except as provided by Subsection (b)[; and

[(2)iino proposition is to appear on the ballot]. For purposes of this section, a special election of a political subdivision is considered to be a separate election with a separate ballot from:

(1)iia general election for officers of the political subdivision held at the same time as the special election; or

(2)iianother special election of the political subdivision held at the same time as the special election.

SECTIONi2.iiSection 2.053, Election Code, is amended to read as follows:

Sec.i2.053.iiACTION ON CERTIFICATION. (a)iiOn receipt of the certification, the governing body of the political subdivision by order or ordinance may declare each unopposed candidate elected to the office. If no election is to be held on election day by the political subdivision, a copy of the order or ordinance shall be posted on election day at each polling place used or that would have been used in the election.

(b)iiIf a declaration is made under Subsection (a), the election is not held. [A copy of the order or ordinance shall be posted on election day at each polling place that would have been used in the election.]

(c)iiThe ballots used at a separate election held at the same time as an election that would have been held if the candidates were not declared elected under this section shall include the offices and names of the candidates declared elected under this section listed separately after the measures or contested races in the separate election under the heading "Unopposed Candidates Declared Elected." The candidates shall be grouped in the same relative order prescribed for the ballot generally. No votes are cast in connection with the candidates.

4580 81st Legislature — Regular Session 69th Day (Cont.)


(d)iiThe secretary of state by rule may prescribe any additional procedures necessary to accommodate a particular voting system or ballot style and to facilitate the efficient and cost-effective implementation of this section.

(e)iiA certificate of election shall be issued to each candidate in the same manner and at the same time as provided for a candidate elected at the election. The candidate must qualify for the office in the same manner as provided for a candidate elected at the election.

SECTIONi3.iiSubsection (a), Section 2.054, Election Code, is amended to read as follows:

(a)iiIn an election that may be subject to this subchapter, a [A] person commits an offense if by intimidation or by means of coercion the person influences or attempts to influence a person to:

(1)iinot file an application for a place on the ballot or a declaration of write-in candidacy; or

(2)iiwithdraw as a candidate [in an election that may be subject to this subchapter].

SECTIONi4.iiChapter 2, Election Code, is amended by adding Subchapter D to read as follows:

SUBCHAPTERiD.iiCANCELLATION OF ELECTIONS

Sec.i2.081.iiCANCELLATION OF MOOT MEASURE. (a)iiIf an authority that orders an election on a measure determines that the action to be authorized by the voters may not be taken, regardless of the outcome of the election, the authority may declare the measure moot and remove the measure from the ballot.

(b)iiIf a measure is declared moot under this section and is removed from the ballot, the authority holding the election shall post notice of the declaration during early voting by personal appearance and on election day, at each polling place that would have been used for the election on the measure.

Sec.i2.082.iiSPECIFIC AUTHORITY FOR CANCELLATION REQUIRED. An authority that orders an election may cancel the election only if the power to cancel the election is specifically provided by statute.

SECTIONi5.iiSubsection (a), Section 4.004, Election Code, is amended to read as follows:

(a)iiThe notice of a general or special election must state:

(1)iithe nature and date of the election;

(2)iiexcept as provided by Subsection (c), the location of each polling place, including each early voting polling place;

(3)iithe hours that the polls will be open; and

(4)iiany other information required by other law.

SECTIONi6.iiSubsection (a), Section 16.031, Election Code, is amended to read as follows:

(a)iiThe registrar shall cancel a voter's registration immediately on receipt of:

(1)iinotice under Section 13.072(b) or 15.021 or a response under Section 15.053 that the voter's residence is outside the county;

(2)iian abstract of the voter's death certificate under Section 16.001(a) or an abstract of an application indicating that the voter is deceased under Section 16.001(b);

Saturday, May 30, 2009 SENATE JOURNAL 4581


(3)iian abstract of a final judgment of the voter's total mental incapacity, partial mental incapacity without the right to vote, conviction of a felony, or disqualification under Section 16.002, 16.003, or 16.004;

(4)iinotice under Section 112.012 that the voter has applied for a limited ballot in another county;

(5)iinotice from a voter registration official in another state that the voter has registered to vote outside this state; [or]

(6)iinotice from the early voting clerk under Section 101.0041 that a federal postcard application submitted by an applicant states a voting residence address located outside the registrar's county; or

(7)iinotice from the secretary of state that the voter has registered to vote in another county, as determined by the voter's driver's license number or personal identification card number issued by the Department of Public Safety or social security number.

SECTIONi7.iiSection 67.010, Election Code, is amended by adding Subsection (d) to read as follows:

(d)iiThe presiding officer may make a clerical correction to the officially canvassed returns based on any authorized amended county canvass filed with the presiding officer.

SECTIONi8.iiSubsection (e), Section 85.001, Election Code, is amended to read as follows:

(e)iiFor an election held on the uniform election date in May and any resulting runoff election, the period for early voting by personal appearance begins on the 12th day before election day and continues through the fourth day before election day.

SECTIONi9.iiSection 85.004, Election Code, is amended to read as follows:

Sec.i85.004.iiPUBLIC NOTICE OF [MAIN] POLLING PLACE LOCATION. The election order and the election notice must state the location of each [the main] early voting polling place.

SECTIONi10.iiChapter 101, Election Code, is amended by adding Section 101.0041 to read as follows:

Sec.i101.0041.iiACTION BY EARLY VOTING CLERK ON CERTAIN APPLICATIONS. The early voting clerk shall notify the voter registrar of a federal postcard application submitted by an applicant that states a voting residence address located outside the registrar's county.

SECTIONi11.iiSubsection (a), Section 112.002, Election Code, is amended to read as follows:

(a)iiAfter changing residence to another county, a person is eligible to vote a limited ballot by personal appearance during the early voting period or by mail if:

(1)iithe person would have been eligible to vote in the county of former residence on election day if still residing in that county;

(2)iithe person is [was] registered to vote in the county of former residence at the time the person offers to vote in the county of new [when the voter changed] residence; and

(3)iia voter registration for the person in the county of new residence is not effective on or before election day.

4582 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi12.iiSubchapter A, Chapter 125, Election Code, is amended by adding Section 125.010 to read as follows:

Sec.i125.010.iiPRESENCE OF VOTING SYSTEM TECHNICIAN AUTHORIZED. (a)iiIn this section, "voting system technician" means a person who as a vocation repairs, assembles, maintains, or operates voting system equipment.

(b)iiOn the request of the authority holding the election, a voting system technician may be present at a polling place, a meeting of the early voting ballot board, or a central counting station for the purpose of repairing, assembling, maintaining, or operating voting system equipment.

SECTIONi13.iiSubchapter B, Chapter 141, Election Code, is amended by adding Section 141.040 to read as follows:

Sec.i141.040.iiNOTICE OF DEADLINES. Not later than the 30th day before the first day on which a candidate may file an application for a place on the ballot under this subchapter, the authority with whom the application must be filed shall post notice of the dates of the filing period in a public place in a building in which the authority has an office.

SECTIONi14.iiSubsection (a), Section 146.0301, Election Code, as amended by Chapters 1107 (H.B. 2309) and 1109 (H.B. 2339), Acts of the 79th Legislature, Regular Session, 2005, is reenacted to read as follows:

(a)iiA write-in candidate may not withdraw from the election after the 67th day before election day.

SECTIONi15.iiSubsection (b), Section 172.116, Election Code, is amended to read as follows:

(b)iiThe committee shall convene to conduct the local canvass at the county seat [not earlier than 6 p.m.] on the second Thursday [or later than 1 p.m. on the second Friday] after election day at the hour specified by the county chair.

SECTIONi16.iiSection 172.120, Election Code, is amended by amending Subsection (b) and adding Subsection (b-1) to read as follows:

(b)iiThe state executive committee shall convene to conduct the state canvass for the general primary election not later than:

(1)ii[on] the second Sunday [Wednesday] after general primary election day, for an election in which three or more candidates are seeking election to the same office; or

(2)iithe 22nd day after general primary election day, for an election not described by Subdivision (1).

(b-1)iiNot later than the third [second] Saturday after runoff primary election day, the committee shall convene at the call of the state chair to conduct the state canvass of the runoff primary election.

SECTIONi17.iiSection 192.031, Election Code, is amended to read as follows:

Sec.i192.031.iiPARTY CANDIDATE'S ENTITLEMENT TO PLACE ON BALLOT. (a)iiA political party is entitled to have the names of its nominees for president and vice-president of the United States placed on the ballot in a presidential general election if:

(1)iithe nominees possess the qualifications for those offices prescribed by federal law;

Saturday, May 30, 2009 SENATE JOURNAL 4583


(2)ii[before 5 p.m. of the 70th day before presidential election day,] the party's state chair signs [and delivers to the secretary of state] a written certification of:

(A)iithe names of the party's nominees for president and vice-president; and

(B)iithe names and residence addresses of presidential elector candidates nominated by the party, in a number equal to the number of presidential electors that federal law allocates to this state; [and]

(3)iithe party's state chair delivers the written certification to the secretary of state before the later of:

(A)ii5 p.m. of the 70th day before presidential election day; or

(B)ii5 p.m. of the first business day after the date of final adjournment of the party's national presidential nominating convention; and

(4)iithe party is:

(A)iirequired or authorized by Subchapter A of Chapter 172 to make its nominations by primary election; or

(B)iientitled to have the names of its nominees placed on the general election ballot under Chapter 181.

(b)iiIf the state chair's certification of the party's nominees is delivered by mail, it is considered to be delivered at the time of its receipt by the secretary of state.

SECTIONi18.iiSubsection (b), Section 192.033, Election Code, is amended to read as follows:

(b)iiThe [Not later than the 62nd day before presidential election day, the] secretary of state shall deliver the certification to the authority responsible for having the official ballot prepared in each county before the later of the 62nd day before presidential election day or the second business day after the date of final adjournment of the party's national presidential nominating convention.

SECTIONi19.iiSubsection (a), Section 201.054, Election Code, is amended to read as follows:

(a)iiExcept as provided by Subsection (f), a candidate's application for a place on a special election ballot must be filed not later than:

(1)ii5 p.m. of the 62nd [67th] day before election day, if election day is on or after the 70th day after the date the election is ordered;

(2)ii5 p.m. of the 31st day before election day, if election day is on or after the 36th day and before the 70th day after the date the election is ordered; or

(3)ii5 p.m. of a day fixed by the authority ordering the election, which day must be not earlier than the fifth day after the date the election is ordered and not later than the 20th day before election day, if election day is before the 36th day after the date the election is ordered.

SECTIONi20.iiSection 212.112, Election Code, is amended to read as follows:

Sec.i212.112.iiAMOUNT OF DEPOSIT. The [(a)iiSubject to Subsection (d), the] amount of the recount deposit is [determined by the number of precincts for which a recount is requested in the document that the deposit accompanies, in accordance with the following schedule]:

(1)ii$60 [five times the maximum hourly rate of pay for election judges,] for each [a] precinct in which[:

4584 81st Legislature — Regular Session 69th Day (Cont.)


[(A)]iiregular paper ballots were used; and

(2)ii$100 for each precinct in which an electronic voting system was used [(B)iielectronic voting system ballots, other than printed images of ballots cast using direct recording electronic voting machines, are to be recounted manually; or

[(C)iiboth write-in votes and voting system votes are to be recounted;

[(2)ii10 times the maximum hourly rate of pay for election judges, for a precinct in which printed images of ballots cast using direct recording electronic voting machines are to be recounted manually;

[(3)iithree times the maximum hourly rate of pay for election judges, for a precinct in which ballots are to be recounted by automatic tabulating equipment and no write-in votes are to be recounted; and

[(4)iitwo times the maximum hourly rate of pay for election judges, for a precinct in which:

[(A)iivoting machines were used and no write-in votes are to be recounted; or

[(B)iionly the write-in votes cast in connection with a voting system are to be recounted].

[(b)iiIn a recount of an election for which a majority vote is required for nomination or election to an office, the rate prescribed by Subsection (a)(1)(C) applies to each precinct in which a voting system was used, regardless of whether any write-in votes were cast in the precinct, if:

[(1)iithe original election results show that write-in votes were cast in the election; and

[(2)iian exclusion of write-in votes from the recount is not obtained under Section 212.136.

[(c)iiIf more than one method of voting is used for early voting, each additional method of voting used for the early voting shall be treated as constituting an additional precinct in determining the amount of a recount deposit for a recount of early voting votes.

[(d)iiThe minimum amount of a deposit accompanying a petition for a recount is $50.]

SECTIONi21.iiSubsections (b), (c), (d), (e), (f), (g), (h), and (i), Section 213.013, Election Code, are amended to read as follows:

(b)iiIn a recount of an election on an office, each candidate for the office is entitled to be present at the recount and have watchers [representatives] present in the number corresponding to the number of counting teams designated for the recount. If only one counting team is designated or the recount is conducted on automatic tabulating equipment, each candidate is entitled to two watchers [representatives].

(c)iiIn a recount of an election on an office for which a political party has a nominee or for which a candidate is aligned with a political party, the party is entitled to have watchers [representatives] present in the same number prescribed for candidates under Subsection (b).

(d)iiIn a recount of an election on a measure, watchers [representatives] may be appointed by the campaign treasurer or assistant campaign treasurer of a specific-purpose political committee that supports or opposes the measure in the number corresponding to the number of counting teams designated for the recount. If

Saturday, May 30, 2009 SENATE JOURNAL 4585


only one counting team is designated or the recount is conducted on automatic tabulating equipment, each eligible specific-purpose political committee is entitled to two watchers [representatives].

(e)iiA watcher [representative] appointed to serve at a recount must deliver a certificate of appointment to the recount committee chair at the time the watcher [representative] reports for service. A watcher [representative] who presents himself or herself for service at any time immediately before or during the recount and submits a proper certificate of appointment must be accepted for service unless the number of appointees to which the appointing authority is entitled have already been accepted.

(f)iiThe certificate must be in writing and must include:

(1)iithe printed name and the signature of the watcher [representative];

(2)iithe election subject to the recount;

(3)iithe time and place of the recount;

(4)iithe measure, candidate, or political party being represented;

(5)iithe signature and the printed name of the person making the appointment; and

(6)iian indication of the capacity in which the appointing authority is acting.

(g)iiIf the watcher [representative] is accepted for service, the recount committee chair shall keep the certificate and deliver it to the recount coordinator after the recount for preservation under Section 211.007. If the watcher [representative] is not accepted for service, the recount committee chair shall return the certificate to the watcher [representative] with a signed statement of the reason for the rejection.

(h)iiEach person entitled to be present at a recount is entitled to observe any activity conducted in connection with the recount. The person is entitled to sit or stand conveniently near the officers conducting the observed activity and near enough to an officer who is announcing the votes or examining or processing the ballots to verify that the ballots are counted or processed correctly or to an officer who is tallying the votes to verify that they are tallied correctly. Rules concerning a watcher's [representative's] rights, duties, and privileges are otherwise the same as those prescribed by this code for poll watchers to the extent they can be made applicable.

(i)iiNo mechanical or electronic means of recording images or sound are allowed inside the room in which the recount is conducted, or in any hallway or corridor in the building in which the recount is conducted within 30 feet of the entrance to the room, while the recount is in progress. However, on request of a person entitled to appoint watchers [representatives] to serve at the recount, the recount committee chair shall permit the person to photocopy under the chair's supervision any ballot, including any supporting materials, challenged by the person or person's watcher [representative]. The person must pay a reasonable charge for making the copies and, if no photocopying equipment is available, may supply that equipment at the person's expense. The person shall provide a copy on request to another person entitled to appoint watchers [representatives] to serve at the recount.

SECTIONi22.iiSection 213.016, Election Code, is amended to read as follows:

Sec.i213.016.iiPRINTING IMAGES OF BALLOTS CAST USING DIRECT RECORDING ELECTRONIC VOTING MACHINES. During any printing of images of ballots cast using direct recording electronic voting machines for the purpose of a recount, the full recount committee is not required to be present. The recount

4586 81st Legislature — Regular Session 69th Day (Cont.)


committee chair shall determine how many committee members must be present during the printing of the images. Each candidate is entitled to be present and to have representatives present during the printing of the images in the same number as [prescribed by] Section 213.013(b) prescribes for watchers for a recount [during the printing of the images].

SECTIONi23.iiSubsection (b), Section 221.014, Election Code, is amended to read as follows:

(b)iiThe county shall pay the expenses of a new election ordered in the contest of a local option election [held under the Alcoholic Beverage Code] that was financed from money deposited by the applicants for the petition requesting the election.

SECTIONi24.iiSubsections (a), (b), and (c), Section 271.002, Election Code, are amended to read as follows:

(a)iiIf the elections ordered by the authorities of two or more political subdivisions are to be held on the same day in all or part of the same county [territory], the governing bodies of the political subdivisions may enter into an agreement to hold the elections jointly in the election precincts that can be served by common polling places, subject to Section 271.003.

(b)iiIf an election ordered by the governor and the elections ordered by the authorities of one or more political subdivisions are to be held on the same day in all or part of the same county [territory], the commissioners court of a county in which the election ordered by the governor is to be held and the governing bodies of the other political subdivisions may enter into an agreement to hold the elections jointly in the election precincts that can be served by common polling places, subject to Section 271.003.

(c)iiIf another law requires two or more political subdivisions to hold a joint election, the governing body of any other political subdivision holding an election on the same day in all or part of the same county [territory] in which the joint election is to be held may enter into an agreement to participate in the joint election with the governing bodies of the political subdivisions holding the joint election.

SECTIONi25.iiSection 277.001, Election Code, is amended to read as follows:

Sec.i277.001.iiAPPLICABILITY OF CHAPTER. This chapter applies to a petition authorized or required to be filed under a law outside this code in connection with an election[, except a petition for a local option election held under the Alcoholic Beverage Code].

SECTIONi26.iiThe following provisions of the Election Code are repealed:

(1)iiSection 1.016;

(2)iiSubsection (d), Section 32.051;

(3)iiSubsection (b), Section 33.031;

(4)iiSubsection (b), Section 41.0041; and

(5)iiSubsection (d), Section 65.002.

SECTIONi27.iiThe change in law made by the repeal of Section 1.016, Election Code, by this Act does not affect the validity of a person's action taken before the effective date of this Act, including a person's registration to vote, if the person was qualified to take such action before the effective date of this Act.

SECTIONi28.iiThe changes in law made by this Act apply only to an election ordered on or after September 1, 2009.

SECTIONi29.iiThis Act takes effect September 1, 2009.

Saturday, May 30, 2009 SENATE JOURNAL 4587


Floor Amendment No. 1

Amend CSSB 1970 by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSection 141.001(a), Election Code, is amended to read as follows:

(a)iiTo be eligible to be a candidate for, or elected or appointed to, a public elective office in this state, a person must:

(1)iibe a United States citizen;

(2)iibe 18 years of age or older on the first day of the term to be filled at the election or on the date of appointment, as applicable;

(3)iihave not been determined by a final judgment of a court exercising probate jurisdiction to be:

(A)iitotally mentally incapacitated; or

(B)iipartially mentally incapacitated without the right to vote;

(4)iihave not been finally convicted of a felony from which the person has not been pardoned or otherwise released from the resulting disabilities or for which the person's sentence has not been commuted by the chief executive officer of the jurisdiction of conviction;

(5)iihave resided continuously in the state for 12 months and in the territory from which the office is elected for six months immediately preceding the following date:

(A)iifor a candidate whose name is to appear on a general primary election ballot, the date of the regular filing deadline for a candidate's application for a place on the ballot;

(B)iifor an independent candidate, the date of the regular filing deadline for a candidate's application for a place on the ballot;

(C)iifor a write-in candidate, the date of the election at which the candidate's name is written in;

(D)iifor a party nominee who is nominated by any method other than by primary election, the date the nomination is made;iiand

(E)iifor an appointee to an office, the date the appointment is made; and

(6)iisatisfy any other eligibility requirements prescribed by law for the office.

SECTIONi____.iiSection 141.031(a), Election Code, is amended to read as follows:

(a)iiA candidate's application for a place on the ballot that is required by this code must:

(1)iibe in writing;

(2)iibe signed and sworn to by the candidate and indicate the date that the candidate swears to the application;

(3)iibe timely filed with the appropriate authority; and

(4)iiinclude:

(A)iithe candidate's name;

(B)iithe candidate's occupation;

4588 81st Legislature — Regular Session 69th Day (Cont.)


(C)iithe office sought, including any place number or other distinguishing number;

(D)iian indication of whether the office sought is to be filled for a full or unexpired term if the office sought and another office to be voted on have the same title but do not have place numbers or other distinguishing numbers;

(E)iia statement that the candidate is a United States citizen;

(F)iia statement that the candidate has not been determined by a final judgment of a court exercising probate jurisdiction to be:

(i)iitotally mentally incapacitated; or

(ii)iipartially mentally incapacitated without the right to vote;

(G)iia statement that the candidate has not been finally convicted of a felony from which the candidate has not been pardoned or otherwise released from the resulting disabilities or for which the person's sentence has not been commuted by the chief executive officer of the jurisdiction of conviction;

(H)iithe candidate's date of birth;

(I)iithe candidate's residence address or, if the residence has no address, the address at which the candidate receives mail and a concise description of the location of the candidate's residence;

(J)iithe candidate's length of continuous residence in the state and in the territory from which the office sought is elected as of the date the candidate swears to the application;

(K)iithe statement:ii"I, __________, of __________ County, Texas, being a candidate for the office of __________, swear that I will support and defend the constitution and laws of the United States and of the State of Texas"; and

(L)iia statement that the candidate is aware of the nepotism law, Chapter 573, Government Code.

The amendments were read.

Senator Duncan moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi1970 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Duncan, Chair; Williams, VanideiPutte, Estes, and Hinojosa.

CONFERENCE COMMITTEE ON HOUSE BILL 459

Senator Zaffirini called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi459 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4589


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi459 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Zaffirini, Chair; Hinojosa, Eltife, Ellis, and Carona.

CONFERENCE COMMITTEE ON HOUSE BILL 537

Senator Hegar, on behalf of Senator Eltife, called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi537 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi537 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Eltife, Chair; Watson, Huffman, Deuell, and Shapleigh.

CONFERENCE COMMITTEE ON HOUSE BILL 1041

Senator West called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1041 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1041 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators West, Chair; Uresti, Shapiro, Nelson, and Averitt.

CONFERENCE COMMITTEE ON HOUSE BILL 2730

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2730 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2730 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; Hegar, Carona, Whitmire, and Nelson.

4590 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 3335

Senator Averitt called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3335 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3335 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Averitt, Chair; Williams, Uresti, Deuell, and Duncan.

CONFERENCE COMMITTEE ON HOUSE BILL 2833

Senator Shapleigh called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2833 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2833 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Shapleigh, Chair; Averitt, Gallegos, Nichols, and Huffman.

CONFERENCE COMMITTEE ON HOUSE BILL 2169

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2169 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2169 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; Eltife, Watson, Shapiro, and Williams.

CONFERENCE COMMITTEE ON HOUSE BILL 3689

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3689 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4591


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3689 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; Whitmire, Hegar, West, and Ogden.

CONFERENCE COMMITTEE ON HOUSE BILL 3737

Senator Davis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3737 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3737 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Davis, Chair; Nelson, Eltife, Uresti, and Carona.

CONFERENCE COMMITTEE ON HOUSE BILL 4275

Senator West called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4275 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi4275 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators West, Chair; Nichols, Whitmire, Williams, and Shapleigh.

CONFERENCE COMMITTEE ON HOUSE BILL 51

Senator Zaffirini called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi51 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi51 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Zaffirini, Chair; Duncan, VanideiPutte, Williams, and Watson.

4592 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 431

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi431 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi431 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; Nelson, Whitmire, Williams, and Averitt.

CONFERENCE COMMITTEE ON HOUSE BILL 3876

Senator Harris called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3876 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3876 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Harris, Chair; Hinojosa, Wentworth, Watson, and Eltife.

CONFERENCE COMMITTEE ON HOUSE BILL 3479

Senator Uresti called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3479 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3479 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Shapleigh, West, Patrick, and Wentworth.

CONFERENCE COMMITTEE ON HOUSE BILL 1935

Senator Duncan called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1935 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4593


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1935 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Duncan, Chair; Shapiro, Averitt, Zaffirini, and Ellis.

CONFERENCE COMMITTEE ON HOUSE BILL 4424

Senator Gallegos called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4424 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi4424 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Gallegos, Chair; Uresti, Hinojosa, Wentworth, and Harris.

CONFERENCE COMMITTEE ON HOUSE BILL 432

Senator Estes called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi432 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi432 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Estes, Chair; Averitt, Williams, VanideiPutte, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 2000

Senator VanideiPutte called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2000 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2000 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators VanideiPutte, Chair; Duncan, Deuell, Watson, and Zaffirini.

4594 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 2240

Senator Nelson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2240 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2240 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Nelson, Chair; Whitmire, Seliger, Patrick, and Shapiro.

CONFERENCE COMMITTEE ON HOUSE BILL 3827

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3827 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3827 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; Hegar, Averitt, Williams, and Estes.

CONFERENCE COMMITTEE ON HOUSE BILL 3454

Senator Williams called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3454 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3454 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Williams, Chair; Ellis, Uresti, Eltife, and Deuell.

CONFERENCE COMMITTEE ON HOUSE BILL 2752

Senator Averitt called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2752 and moved that the request be granted.

The motion prevailed without objection.

Saturday, May 30, 2009 SENATE JOURNAL 4595


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2752 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Averitt, Chair; Estes, VanideiPutte, Ellis, and Williams.

(President in Chair)

(Senator Eltife in Chair)

CONFERENCE COMMITTEE ON HOUSE BILL 764

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi764 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi764 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Watson, Hinojosa, Williams, and Harris.

CONFERENCE COMMITTEE ON HOUSE BILL 3076

Senator West called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3076 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3076 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators West, Chair; Watson, Averitt, Patrick, and Shapiro.

CONFERENCE COMMITTEE ON HOUSE BILL 4244

Senator Zaffirini called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4244 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi4244 before appointment.

There were no motions offered.

4596 81st Legislature — Regular Session 69th Day (Cont.)


Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Zaffirini, Chair; Shapleigh, Seliger, Averitt, and Uresti.

CONFERENCE COMMITTEE ON HOUSE BILL 3768

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3768 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3768 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Eltife, Whitmire, Averitt, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 1357

Senator Deuell called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1357 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1357 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Deuell, Chair; Patrick, Williams, Uresti, and VanideiPutte.

CONFERENCE COMMITTEE ON HOUSE BILL 2582

Senator Hegar called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2582 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2582 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hegar, Chair; Patrick, Averitt, Hinojosa, and Eltife.

Saturday, May 30, 2009 SENATE JOURNAL 4597


CONFERENCE COMMITTEE ON HOUSE BILL 3907

Senator Whitmire called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3907 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3907 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Whitmire, Chair; Hinojosa, Seliger, Hegar, and Zaffirini.

CONFERENCE COMMITTEE ON HOUSE BILL 4833

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi4833 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi4833 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Duncan, Harris, Hinojosa, and Ellis.

CONFERENCE COMMITTEE ON HOUSE BILL 2555

Senator Ogden called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2555 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2555 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ogden, Chair; Harris, Deuell, Wentworth, and Zaffirini.

CONFERENCE COMMITTEE ON HOUSE BILL 3287

Senator Ogden called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3287 and moved that the request be granted.

The motion prevailed without objection.

4598 81st Legislature — Regular Session 69th Day (Cont.)


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3287 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ogden, Chair; Nichols, West, Eltife, and Williams.

CONFERENCE COMMITTEE ON HOUSE BILL 3612

Senator Williams called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3612 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3612 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Williams, Chair; West, Hinojosa, Carona, and Patrick.

CONFERENCE COMMITTEE ON HOUSE BILL 1030

Senator Ellis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1030 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1030 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Ellis, Chair; Patrick, Shapleigh, Wentworth, and Nichols.

CONFERENCE COMMITTEE ON HOUSE BILL 635

Senator Zaffirini called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi635 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi635 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Zaffirini, Chair; Averitt, Ogden, VanideiPutte, and Lucio.

Saturday, May 30, 2009 SENATE JOURNAL 4599


CONFERENCE COMMITTEE ON HOUSE BILL 2086

Senator Whitmire called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2086 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2086 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Whitmire, Chair; Carona, Ellis, Ogden, and Seliger.

CONFERENCE COMMITTEE ON HOUSE BILL 3621

Senator Carona called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3621 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3621 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Carona, Chair; Averitt, Davis, Watson, and Wentworth.

SENATE BILL 2080 WITH HOUSE AMENDMENTS

Senator Uresti called SBi2080 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer, Senator Eltife in Chair, laid the bill and the House amendments before the Senate.

Floor Amendment No. 1

Amend SB 2080 by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill as appropriate:

SECTION ____. Chapter 1001, Health and Safety Code, is amended by adding Subchapter F to read as follows:

SUBCHAPTER F. TEXAS MEDICAL CHILD ABUSE RESOURCES AND EDUCATION SYSTEM (MEDCARES)

Sec. 1001.151. TEXAS MEDICAL CHILD ABUSE RESOURCES AND EDUCATION SYSTEM GRANT PROGRAM. (a) The department shall establish the Texas Medical Child Abuse Resources and Education System (MEDCARES) grant program to award grants for the purpose of developing and supporting regional programs to improve the assessment, diagnosis, and treatment of child abuse and neglect as described by the report submitted to the 80th Legislature by the committee

4600 81st Legislature — Regular Session 69th Day (Cont.)


on pediatric centers of excellence relating to abuse and neglect in accordance with Section 266.0031, Family Code, as added by Chapter 1406 (S.B.i758), Acts of the 80th Legislature, Regular Session, 2007.

(b) The department may award grants to hospitals or academic health centers with expertise in pediatric health care and a demonstrated commitment to developing basic and advanced programs and centers of excellence for the assessment, diagnosis, and treatment of child abuse and neglect.

(c) The department shall encourage collaboration among grant recipients in the development of program services and activities.

Sec. 1001.152. USE OF GRANT. A grant awarded under this subchapter may be used to support:

(1) comprehensive medical evaluations, psychosocial assessments, treatment services, and written and photographic documentation of abuse;

(2) education and training for health professionals, including physicians, medical students, resident physicians, child abuse fellows, and nurses, relating to the assessment, diagnosis, and treatment of child abuse and neglect;

(3) education and training for community agencies involved with child abuse and neglect, law enforcement officials, child protective services staff, and children's advocacy centers involved with child abuse and neglect;

(4) medical case reviews and consultations and testimony regarding those reviews and consultations;

(5) research, data collection, and quality assurance activities, including the development of evidence-based guidelines and protocols for the prevention, evaluation, and treatment of child abuse and neglect;

(6) the use of telemedicine and other means to extend services from regional programs into underserved areas; and

(7) other necessary activities, services, supplies, facilities, and equipment as determined by the department.

Sec. 1001.153. MEDCARES ADVISORY COMMITTEE. The executive commissioner shall establish an advisory committee to advise the department and the executive commissioner in establishing rules and priorities for the use of grant funds awarded through the program. The advisory committee is composed of the following nine members:

(1) the state Medicaid director or the state Medicaid director's designee;

(2) the medical director for the Department of Family and Protective Services or the medical director's designee; and

(3) as appointed by the executive commissioner:

(A)iitwo pediatricians with expertise in child abuse or neglect;

(B)iia nurse with expertise in child abuse or neglect;

(C)iia representative of a pediatric residency training program;

(D)iia representative of a children's hospital;

(E)iia representative of a children's advocacy center; and

(F)iia member of the Governor's EMS and Trauma Advisory Council.

Sec. 1001.154. GIFTS AND GRANTS. The department may solicit and accept gifts, grants, and donations from any public or private source for the purposes of this subchapter.

Saturday, May 30, 2009 SENATE JOURNAL 4601


Sec. 1001.155. REQUIRED REPORT. Not later than December 1 of each even-numbered year, the department, with the assistance of the advisory committee established under this subchapter, shall submit a report to the governor and the legislature regarding the grant activities of the program and grant recipients, including the results and outcomes of grants provided under this subchapter.

Sec. 1001.156. RULES. The executive commissioner may adopt rules as necessary to implement this subchapter.

Sec. 1001.157. APPROPRIATION REQUIRED. The department is not required to award a grant under this subchapter unless the department is specifically appropriated money for purposes of this subchapter.

SECTION ____. (a) Not later than November 1, 2009, the executive commissioner of the Health and Human Services Commission shall appoint the members of the advisory committee as required by Section 1001.153, Health and Safety Code, as added by this Act.

(b) Not later than January 1, 2010, the Department of State Health Services shall establish and implement a grant program as described by Subchapter F, Chapter 1001, Health and Safety Code, as added by this Act.

(c) Not later than December 1, 2010, the Department of State Health Services shall provide the initial report to the governor and the legislature as required by Section 1001.155, Health and Safety Code, as added by this Act.

SECTION ____. If before implementing any provision of this Act 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.

Section ____. This Act does not make an appropriation. This Act takes effect only if a specific appropriation for the implementation of the Act is provided in a general appropriations act of the 81st Legislature.

Floor Amendment No. 2

Amend SB 2080 (House committee printing) as follows:

(1)iiIn SECTION 2(a) of the bill (page 1, line 8), strike "15" and substitute "nine".

(2)iiIn SECTION 2(a)(2) of the bill (page 1, line 11), strike "five" and substitute "two".

(1)iiIn SECTION 2(a)(3) of the bill (page 1, line 13), strike "five" and substitute "two".

Floor Amendment No. 3

Amend SB 2080 (House committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSection 162.3041, Family Code, is amended by adding Subsection (a-1) and amending Subsection (d) to read as follows:

(a-1)iiNotwithstanding Subsection (a), if the department first entered into an adoption assistance agreement with a child's adoptive parents after the child's 16th birthday, the department shall, in accordance with rules adopted by the executive

4602 81st Legislature — Regular Session 69th Day (Cont.)


commissioner of the Health and Human Services Commission, offer adoption assistance after the child's 18th birthday to the child's adoptive parents under an existing adoption agreement until the last day of the month of the child's 21st birthday, provided the child is:

(1)iiregularly attending high school or enrolled in a program leading toward a high school diploma or high school equivalency certificate;

(2)iiregularly attending an institution of higher education or a postsecondary vocational or technical program;

(3)iiparticipating in a program or activity that promotes, or removes barriers to, employment;

(4)iiemployed for at least 80 hours a month; or

(5)iiincapable of doing any of the activities described by Subdivisions (1) through (4) due to a documented medical condition.

(d)iiIf the legislature does not appropriate sufficient money to provide adoption assistance to the adoptive parents of all children described by Subsection (a), the department shall provide adoption assistance only to the adoptive parents of children described by Subsection (a)(1). The department is not required to provide adoption assistance benefits under Subsection (a-1) unless the department is specifically appropriated funds for purposes of that subsection.

SECTIONi____.iiSection 264.101, Family Code, is amended by amending Subsections (a-1) and (d) and adding Subsection (a-2) to read as follows:

(a-1)iiThe department shall continue to pay the cost of foster care for a child for whom the department provides care, including medical care, until the last day of the month in which [later of:

[(1)iithe date] the child attains the age of 18. The department shall continue to pay the cost of foster care for a child after the month in which the child attains the age of 18 as long as the child is:

(1)iiregularly attending[; or

[(2)iithe date the child graduates from] high school or [ceases to be] enrolled in a [secondary school in a] program leading toward a high school diploma or high school equivalency certificate;

(2)iiregularly attending an institution of higher education or a postsecondary vocational or technical program;

(3)iiparticipating in a program or activity that promotes, or removes barriers to, employment;

(4)iiemployed for at least 80 hours a month; or

(5)iiincapable of performing the activities described by Subdivisions (1) through (4) due to a documented medical condition.

(a-2)iiThe department shall continue to pay the cost of foster care under:

(1)iiSubsection (a-1)(1) until the last day of the month in which the child attains the age of 22; and

(2)iiSubsections (a-1)(2) through (5) until the last day of the month the child attains the age of 21.

(d)iiThe executive commissioner of the Health and Human Services Commission may adopt rules that establish criteria and guidelines for the payment of foster care, including medical care, for a child and for providing care for a child after the child

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becomes 18 years of age if the child meets the requirements for continued foster care under Subsection (a-1) [is regularly attending an institution of higher education or a vocational or technical program].

SECTIONi____.iiSections 264.751(1) and (3), Family Code, are amended to read as follows:

(1)ii"Designated caregiver" means an individual who has a longstanding and significant relationship with a child for whom the department has been appointed managing conservator and who:

(A)iiis appointed to provide substitute care for the child, but is not licensed by the department or verified by a licensed child-placing agency or the department [certified] to operate a foster home, foster group home, agency foster home, or agency foster group home under Chapter 42, Human Resources Code; or

(B)iiis subsequently appointed permanent managing conservator of the child after providing the care described by Paragraph (A).

(3)ii"Relative caregiver" means a relative who:

(A)iiprovides substitute care for a child for whom the department has been appointed managing conservator, but who is not licensed by the department or verified by a licensed child-placing agency or the department [certified] to operate a foster home, foster group home, agency foster home, or agency foster group home under Chapter 42, Human Resources Code; or

(B)iiis subsequently appointed permanent managing conservator of the child after providing the care described by Paragraph (A).

SECTIONi____.iiSubchapter I, Chapter 264, Family Code, is amended by adding Section 264.760 to read as follows:

Sec.i264.760.iiELIGIBILITY FOR FOSTER CARE PAYMENTS AND PERMANENCY CARE ASSISTANCE. Notwithstanding any other provision of this subchapter, a relative or other designated caregiver who becomes licensed by the department or verified by a licensed child-placing agency or the department to operate a foster home, foster group home, agency foster home, or agency foster group home under Chapter 42, Human Resources Code, may receive foster care payments in lieu of the benefits provided by this subchapter, beginning with the first month in which the relative or other designated caregiver becomes licensed or is verified.

SECTIONi____.iiChapter 264, Family Code, is amended by adding Subchapter K to read as follows:

SUBCHAPTER K. PERMANENCY CARE ASSISTANCE PROGRAM

Sec.i264.851.iiDEFINITIONS. In this subchapter:

(1)ii"Foster child" means a child who is or was in the temporary or permanent managing conservatorship of the department.

(2)ii"Kinship provider" means a relative of a foster child, or another adult with a longstanding and significant relationship with a foster child before the child was placed with the person by the department, with whom the child resides for at least six consecutive months after the person becomes licensed by the department or verified by a licensed child-placing agency or the department to provide foster care.

(3)ii"Permanency care assistance agreement" means a written agreement between the department and a kinship provider for the payment of permanency care assistance benefits as provided by this subchapter.

4604 81st Legislature — Regular Session 69th Day (Cont.)


(4)ii"Permanency care assistance benefits" means monthly payments paid by the department to a kinship provider under a permanency care assistance agreement.

(5)ii"Relative" means a person related to a foster child by consanguinity or affinity.

Sec.i264.852.iiPERMANENCY CARE ASSISTANCE AGREEMENTS. (a) The department shall enter into a permanency care assistance agreement with a kinship provider who is eligible to receive permanency care assistance benefits.

(b)iiThe department may enter into a permanency care assistance agreement with a kinship provider who is the prospective managing conservator of a foster child only if the kinship provider meets the eligibility criteria under federal and state law and department rule.

(c)iiA court may not order the department to enter into a permanency care assistance agreement with a kinship provider unless the kinship provider meets the eligibility criteria under federal and state law and department rule, including requirements relating to the criminal history background check of a kinship provider.

(d)iiA permanency care assistance agreement may provide for reimbursement of the nonrecurring expenses a kinship provider incurs in obtaining permanent managing conservatorship of a foster child, including attorney's fees and court costs. The reimbursement of the nonrecurring expenses under this subsection may not exceed $2,000.

Sec.i264.853.iiRULES. The executive commissioner shall adopt rules necessary to implement the permanency care assistance program. The rules must:

(1)iiestablish eligibility requirements to receive permanency care assistance benefits under the program; and

(2)iiensure that the program conforms to the requirements for federal assistance as required by the Fostering Connections to Success and Increasing Adoptions Act of 2008 (Pub. L. No. 110-351).

Sec.i264.854.iiMAXIMUM PAYMENT AMOUNT. The executive commissioner shall set the maximum monthly amount of assistance payments under a permanency care assistance agreement in an amount that does not exceed the amount of the monthly foster care maintenance payment the department would pay to a foster care provider caring for the child for whom the kinship provider is caring.

Sec.i264.855.iiCONTINUED ELIGIBILITY FOR PERMANENCY CARE ASSISTANCE BENEFITS AFTER AGE 18. If the department first entered into a permanency care assistance agreement with a foster child's kinship provider after the child's 16th birthday, the department may continue to provide permanency care assistance payments until the last day of the month of the child's 21st birthday, provided the child is:

(1)iiregularly attending high school or enrolled in a program leading toward a high school diploma or high school equivalency certificate;

(2)iiregularly attending an institution of higher education or a postsecondary vocational or technical program;

(3)iiparticipating in a program or activity that promotes, or removes barriers to, employment;

(4)iiemployed for at least 80 hours a month; or

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(5)iiincapable of any of the activities described by Subdivisions (1) through (4) due to a documented medical condition.

Sec.i264.856.iiAPPROPRIATION REQUIRED. The department is not required to provide permanency care assistance benefits under this subchapter unless the department is specifically appropriated money for purposes of this subchapter.

Sec.i264.857.iiDEADLINE FOR NEW AGREEMENTS. The department may not enter into a permanency care assistance agreement after August 31, 2017. The department shall continue to make payments after that date under a permanency care assistance agreement entered into on or before August 31, 2017, according to the terms of the agreement.

SECTIONi____.iiNot later than April 1, 2010, the executive commissioner of the Health and Human Services Commission shall adopt rules to implement and administer the permanency care assistance program under Subchapter K, Chapter 264, Family Code, as added by this Act.

SECTIONi____.iiSections 162.3041 and 264.101, Family Code, as amended by this Act, and Section 264.855, Family Code, as added by this Act, take effect Octoberi1, 2010.

The amendments were read.

Senator Uresti moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi2080 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Huffman, West, Averitt, and Williams.

CONFERENCE COMMITTEE ON HOUSE BILL 3751

Senator Shapiro called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3751 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi3751 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Shapiro, Chair; Ogden, Patrick, Hinojosa, and Averitt.

4606 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE ON HOUSE BILL 171

Senator Gallegos called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi171 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi171 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Gallegos, Chair; Zaffirini, Watson, Shapiro, and Ogden.

CONFERENCE COMMITTEE ON HOUSE BILL 1831

Senator Carona called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1831 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1831 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Carona, Chair; Nichols, Ellis, Whitmire, and Williams.

SENATE BILL 361 WITH HOUSE AMENDMENTS

Senator Patrick called SBi361 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Amendment

Amend SBi361 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the requirement that certain water service providers ensure emergency operations during an extended power outage.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter E, Chapter 13, Water Code, is amended by adding Sections 13.1395 and 13.1396 to read as follows:

Sec.i13.1395.iiSTANDARDS OF EMERGENCY OPERATIONS. (a)iiIn this section:

(1)ii"Affected utility" means a retail public utility, exempt utility, or provider or conveyor of potable or raw water service that furnishes water service to more than one customer:

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(A)iiin a county with a population of 3.3 million or more; or

(B)iiin a county with a population of 400,000 or more adjacent to a county with a population of 3.3 million or more.

(2)ii"Emergency operations" means the operation of a water system during an extended power outage at a minimum water pressure of 35 pounds per square inch.

(3)ii"Extended power outage" means a power outage lasting for more than 24 hours.

(b)iiAn affected utility shall:

(1)iiensure the emergency operation of its water system during an extended power outage as soon as safe and practicable following the occurrence of a natural disaster; and

(2)iiadopt and submit to the commission for its approval an emergency preparedness plan that demonstrates the utility's ability to provide emergency operations.

(c)iiThe commission shall review an emergency preparedness plan submitted under Subsection (b). If the commission determines that the plan is not acceptable, the commission shall recommend changes to the plan. The commission must make its recommendations on or before the 90th day after the commission receives the plan. In accordance with commission rules, an emergency preparedness plan shall provide for one of the following:

(1)iithe maintenance of automatically starting auxiliary generators;

(2)iithe sharing of auxiliary generator capacity with one or more affected utilities;

(3)iithe negotiation of leasing and contracting agreements, including emergency mutual aid agreements with other retail public utilities, exempt utilities, or providers or conveyors of potable or raw water service, if the agreements provide for coordination with the division of emergency management in the governor's office;

(4)iithe use of portable generators capable of serving multiple facilities equipped with quick-connect systems;

(5)iithe use of on-site electrical generation or distributed generation facilities;

(6)iihardening the electric transmission and distribution system serving the water system;

(7)iifor existing facilities, the maintenance of direct engine or right angle drives; or

(8)iiany other alternative determined by the commission to be acceptable.

(d)iiEach affected utility that supplies, provides, or conveys surface water shall include in its emergency preparedness plan under Subsection (b) provisions for the actual installation and maintenance of automatically starting auxiliary generators or distributive generation facilities for each raw water intake pump station, water treatment plant, pump station, and pressure facility necessary to provide water to its wholesale customers.

(e)iiThe commission shall adopt rules to implement this section as an alternative to any rule requiring elevated storage.

(f)iiThe commission shall provide an affected utility with access to the commission's financial, managerial, and technical contractors to assist the utility in complying with the applicable emergency preparedness plan submission deadline.

4608 81st Legislature — Regular Session 69th Day (Cont.)


(g)iiThe commission by rule shall create an emergency preparedness plan template for use by an affected utility when submitting a plan under this section. The emergency preparedness plan template shall contain:

(1)iia list and explanation of the preparations an affected utility may make under Subsection (c) for the commission to approve the utility's emergency preparedness plan; and

(2)iia list of all commission rules and standards pertaining to emergency preparedness plans.

(h)iiAn emergency generator used as part of an approved emergency preparedness plan under Subsection (c) must be operated and maintained according to the manufacturer's specifications.

(i)iiThe commission shall inspect each utility to ensure that the utility complies with the approved plan.

(j)iiThe commission may grant a waiver of the requirements of this section to an affected utility if the commission determines that compliance with this section will cause a significant financial burden on customers of the affected utility.

(k)iiAn affected utility may adopt and enforce limitations on water use while the utility is providing emergency operations.

(l)iiExcept as specifically required by this section, information provided by an affected utility under this section is confidential and is not subject to disclosure under Chapter 552, Government Code.

Sec.i13.1396.iiCOORDINATION OF EMERGENCY OPERATIONS. (a)iiIn this section:

(1)ii"Affected utility" has the meaning assigned by Section 13.1395.

(2)ii"County judge" means a county judge or the person designated by a county judge.

(3)ii"Electric utility" means the electric transmission and distribution utility providing electric service to the water and wastewater facilities of an affected utility.

(4)ii"Retail electric provider" has the meaning assigned by Section 31.002, Utilities Code.

(b)iiAn affected utility shall submit to the county judge, the office of emergency management of each county in which the utility has more than one customer, the Public Utility Commission of Texas, and the office of emergency management of the governor, a copy of:

(1)iithe affected utility's emergency preparedness plan approved under Section 13.1395; and

(2)iithe commission's notification to the affected utility that the plan is accepted.

(c)iiEach affected utility shall submit to the county judge and the office of emergency management of each county in which the utility has water and wastewater facilities that qualify for critical load status under rules adopted by the Public Utility Commission of Texas, and to the Public Utility Commission of Texas and the division of emergency management of the governor:

(1)iiinformation identifying the location and providing a general description of all water and wastewater facilities that qualify for critical load status; and

(2)iiemergency contact information for the affected utility, including:

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(A)iithe person who will serve as a point of contact and the person's telephone number;

(B)iithe person who will serve as an alternative point of contact and the person's telephone number; and

(C)iithe affected utility's mailing address.

(d)iiAn affected utility shall immediately update the information provided under Subsection (c) as changes to the information occur.

(e)iiNot later than February 1 of each year, the county judge of each county that receives the information required by Subsections (c) and (d) shall:

(1)iisubmit the information for each affected utility to each retail electric provider that sells electric power to an affected utility and each electric utility that provides transmission and distribution service to an affected utility; and

(2)iiin cooperation with the affected utility, submit for each affected utility any forms reasonably required by an electric utility or retail electric provider for determining critical load status, including a critical care eligibility determination form or similar form.

(f)iiNot later than May 1 of each year, each electric utility and each retail electric provider shall determine whether the facilities of the affected utility qualify for critical load status under rules adopted by the Public Utility Commission of Texas.

(g)iiIf an electric utility determines that an affected utility's facilities do not qualify for critical load status, the electric utility and the retail electric provider, not later than the 30th day after the date the electric utility or retail electric provider receives the information required by Subsections (c) and (d), shall provide a detailed explanation of the electric utility's determination to each county judge that submitted the information.

SECTIONi2.ii(a) Not later than December 1, 2009, the Texas Commission on Environmental Quality shall adopt standards as required by Section 13.1395, Water Code, as added by this Act. As part of the rulemaking process, the commission shall conduct at least two public hearings in Harris County. The commission shall issue a report to the governor, lieutenant governor, and speaker of the house of representatives if the commission is unable to adopt the standards by the time provided by this subsection.

(b)iiNot later than November 1, 2009, each affected utility shall submit the information required by Section 13.1396, Water Code, as added by this Act, to:

(1)iieach appropriate county judge and office of emergency management;

(2)iithe Public Utility Commission of Texas; and

(3)iithe office of emergency management of the governor.

(c)iiNot later than March 1, 2010, each affected utility shall submit to the Texas Commission on Environmental Quality the emergency preparedness plan required by Section 13.1395, Water Code, as added by this Act.

(d)iiNot later than July 1, 2010, each affected utility shall implement the emergency preparedness plan approved by the Texas Commission on Environmental Quality under Section 13.1395, Water Code, as added by this Act.

4610 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi3.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

Floor Amendment No. 1

Amend CSSB 361 at the end of Section 2 of the bill by adding the following:

(e)iiAn affected utility may file with the Texas Commission on Environmental Quality a written request for an extension, not to exceed 90 days, of the date by which the affected utility is required under Subsection (c) of this section to submit the affected utility's emergency preparedness plan or of the date by which the affected utility is required under Subsection (d) of this section to implement the affected utility's emergency preparedness plan. The Texas Commission on Environmental Quality shall approve the requested extension for good cause shown.

The amendments were read.

Senator Patrick moved to concur in the House amendments to SBi361.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 44 WITH HOUSE AMENDMENT

Senator Zaffirini called SBi44 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Amendment

Amend SBi44 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the participation of students in funding awarded under the advanced research program.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 142.001, Education Code, is amended by amending Subdivision (3) and adding Subdivision (3-a) to read as follows:

(3)ii"Eligible institution" means an institution of higher education[, as defined by Section 61.003(8) of this code].

(3-a)ii"Institution of higher education" and "medical and dental unit" have the meanings assigned by Section 61.003.

SECTIONi2.iiSection 142.002, Education Code, is amended to read as follows:

Sec.i142.002.iiPURPOSE. The advanced research program is established to encourage and provide support for basic research conducted by faculty members and students in astronomy, atmospheric science, biological and behavioral sciences, chemistry, computer sciences, earth sciences, engineering, information science, mathematics, material sciences, oceanography, physics, environmental issues affecting the Texas-Mexico border region, the reduction of industrial, agricultural, and domestic water use, social sciences, and related disciplines in eligible institutions.

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SECTIONi3.iiSubsection (c), Section 142.003, Education Code, is amended to read as follows:

(c)iiThe guidelines and procedures developed by the coordinating board must:

(1)iiprovide for awards on a competitive, peer review basis for specific projects at eligible institutions; and

(2)iirequire that, as a condition of receiving an award, an eligible institution must use a portion of the award to support, in connection with the project for which the award is made, basic research conducted by:

(A)iigraduate or undergraduate students, if the eligible institution is a medical and dental unit; or

(B)iiundergraduate students, if the eligible institution is any other institution of higher education.

SECTIONi4.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Zaffirini moved to concur in the House amendment to SBi44.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 683 WITH HOUSE AMENDMENTS

Senator Wentworth called SBi683 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Amendment

Amend SBi683 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the recusal or disqualification of a statutory probate court judge and subsequent assignment of another judge.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSections 25.0022(d) and (h), Government Code, are amended to read as follows:

(d)iiThe presiding judge shall:

(1)iiensure the promulgation of local rules of administration in accordance with policies and guidelines set by the supreme court;

(2)iiadvise local statutory probate court judges on case flow management practices and auxiliary court services;

(3)iiperform a duty of a local administrative statutory probate court judge if the local administrative judge does not perform that duty;

(4)iiappoint an assistant presiding judge of the statutory probate courts;

(5)iicall and preside over annual meetings of the judges of the statutory probate courts at a time and place in the state as designated by the presiding judge;

4612 81st Legislature — Regular Session 69th Day (Cont.)


(6)iicall and convene other meetings of the judges of the statutory probate courts as considered necessary by the presiding judge to promote the orderly and efficient administration of justice in the statutory probate courts;

(7)iistudy available statistics reflecting the condition of the dockets of the probate courts in the state to determine the need for the assignment of judges under this section; [and]

(8)iicompare local rules of court to achieve uniformity of rules to the extent practical and consistent with local conditions; and

(9)iiassign a judge or former or retired judge of a statutory probate court to hear a case under the circumstances described by Section 25.002201(b).

(h)iiSubject to Section 25.002201, a [A] judge or a former or retired judge of a statutory probate court may be assigned by the presiding judge of the statutory probate courts to hold court in a statutory probate court, a county court, or any statutory court exercising probate jurisdiction when:

(1)iia statutory probate judge requests assignment of another judge to the judge's court;

(2)iia statutory probate judge is absent, disabled, or disqualified for any reason;

(3)iia statutory probate judge is present or is trying cases as authorized by the constitution and laws of this state and the condition of the court's docket makes it necessary to appoint an additional judge;

(4)iithe office of a statutory probate judge is vacant;

(5)iithe presiding judge of an administrative judicial district requests the assignment of a statutory probate judge to hear a probate matter in a county court or statutory county court;

(6)iithe presiding judge of the administrative judicial district fails to timely assign a judge to replace a recused or disqualified statutory probate court judge as described by Section 25.002201(b) [a motion to recuse the judge of a statutory probate court has been filed];

(7)iia county court judge requests the assignment of a statutory probate judge to hear a probate matter in the county court; or

(8)iia local administrative statutory probate court judge requests the assignment of a statutory probate judge to hear a matter in a statutory probate court.

SECTIONi2.iiSubchapter B, Chapter 25, Government Code, is amended by adding Section 25.002201 to read as follows:

Sec.i25.002201.iiASSIGNMENT OF JUDGE ON RECUSAL OR DISQUALIFICATION. (a)iiNot later than the 15th day after the date an order of recusal or disqualification of a statutory probate court judge is issued in a case, the presiding judge of the administrative judicial district shall assign a statutory probate court judge or a former or retired judge of a statutory probate court to hear the case if:

(1)iithe judge of the statutory probate court recused himself or herself under Section 25.00255(g)(1)(A);

(2)iithe judge of the statutory probate court disqualified himself or herself under Section 25.00255(g-1);

(3)iithe order was issued under Section 25.00255(i-3)(1); or

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(4)iithe presiding judge of the administrative judicial district receives notice and a request for assignment from the clerk of the statutory probate court under Section 25.00255(l).

(b)iiIf the presiding judge of an administrative judicial district does not assign a judge under Subsection (a) within the time prescribed by that subsection, the presiding judge of the statutory probate courts may assign a judge to hear the case instead of the presiding judge of the administrative judicial district making the assignment under that subsection.

(c)iiThe provisions of Section 25.0022 applicable to a judge assigned under that section apply to the same extent to a judge assigned under the authority of this section.

SECTIONi3.iiSection 25.00255, Government Code, is amended by amending Subsections (f), (g), (h), and (i) and adding Subsections (g-1), (i-1), (i-2), (i-3), (i-4), (i-5), (l), and (m) to read as follows:

(f)iiBefore further proceedings in a case in which a motion for the recusal or disqualification of a judge has been filed, the judge shall:

(1)iirecuse or disqualify himself or herself; or

(2)iirequest the assignment of a judge to hear the motion by forwarding the motion and opposing and concurring statements to the presiding judge of the statutory probate courts as provided by Subsection (h).

(g)iiA judge who recuses himself or herself:

(1)iishall enter an order of recusal and:

(A)iiif the judge serves a statutory probate court located in a county with only one statutory probate court, request that the presiding judge of the administrative judicial district assign [statutory probate courts request the assignment of] a judge under Section 25.002201 to hear the case; or

(B)iisubject to Subsection (l), if the judge serves a statutory probate court located in a county with more than one statutory probate court, request that the clerk who serves the statutory probate courts in that county randomly reassign the case to a judge of one of the other statutory probate courts located in the county [motion for recusal or disqualification as provided by Subsection (i)]; and

(2)iimay not take other action in the case except for good cause stated in the order in which the action is taken.

(g-1)iiA judge who disqualifies himself or herself:

(1)iishall enter an order of disqualification and request that the presiding judge of the administrative judicial district assign a judge under Section 25.002201 to hear the case; and

(2)iimay not take other action in the case.

(h)iiA judge who does not recuse or disqualify himself or herself:

(1)iishall forward to the presiding judge of the statutory probate courts, in either original form or certified copy, an order of referral, the motion for recusal or disqualification, and all opposing and concurring statements; and

(2)iimay not take other action in the case during the time after the filing of the motion for recusal or disqualification and before a hearing on the motion, except for good cause stated in the order in which the action is taken.

4614 81st Legislature — Regular Session 69th Day (Cont.)


(i)iiAfter receiving a request under Subsection [(g) or] (h), the presiding judge of the statutory probate courts shall immediately forward the request to the presiding judge of the administrative judicial district and request that the presiding judge of the administrative judicial district assign a judge to hear the motion for recusal or disqualification. Not later than the 15th day after the date [On receipt of the request,] the presiding judge of the administrative judicial district receives the request, the presiding judge shall:

(1)ii[immediately] set a hearing before himself or herself or a judge designated by the presiding judge, except that the presiding judge may not designate a judge of a statutory probate court in the same county as the statutory probate court served by the judge who is the subject of the motion;

(2)iicause notice of the hearing to be given to all parties or their counsel to the case; and

(3)iimake other orders, including orders for interim or ancillary relief, in the pending case.

(i-1)iiIf the presiding judge of the administrative judicial district does not assign a judge to hear a motion for recusal or disqualification within the time prescribed by Subsection (i), the presiding judge of the statutory probate courts may assign a judge to hear the motion and take other action under that subsection.

(i-2)iiA judge who hears a motion for recusal or disqualification under Subsection (i) or (i-1) may also hear any amended or supplemented motion for recusal or disqualification filed in the case.

(i-3)iiIf a motion for recusal or disqualification is granted after a hearing conducted as provided by Subsection (i) or (i-1), the judge who heard the motion shall:

(1)iiif the judge subject to recusal or disqualification serves a statutory probate court located in a county with only one statutory probate court, enter an order of recusal or disqualification, as appropriate, and request that the presiding judge of the administrative judicial district assign a judge under Section 25.002201 to hear the case; or

(2)iisubject to Subsection (l), if the judge subject to recusal or disqualification serves a statutory probate court located in a county with more than one statutory probate court, enter an order of recusal or disqualification, as appropriate, and request that the clerk who serves the statutory probate courts in that county randomly reassign the case to a judge of one of the other statutory probate courts located in the county.

(i-4)iiThe presiding judge of an administrative judicial district may delegate the judge's authority to make orders of interim or ancillary relief under Subsection (i)(3) to the presiding judge of the statutory probate courts.

(i-5)iiA judge assigned to hear a motion for recusal or disqualification under Subsection (i) is entitled to receive the same salary, compensation, and expenses, and to be paid in the same manner and from the same fund, as a judge otherwise assigned under Section 25.0022, except that a judge assigned under Subsection (i) shall provide the information required by Section 25.0022(l) to the presiding judge of the administrative judicial district, who shall immediately forward the information to the presiding judge of the statutory probate courts.

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(l)iiIf a clerk of a statutory probate court is unable to reassign a case as requested under Subsection (g)(1)(B) or (i-3)(2) because the other statutory probate court judges in the county have been recused or disqualified or are otherwise unavailable to hear the case, the clerk shall immediately notify the presiding judge of the administrative judicial district and request that the presiding judge of the administrative judicial district assign a judge under Section 25.002201 to hear the case.

(m)iiThe clerk of a statutory probate court shall immediately notify and provide to the presiding judge of the statutory probate courts a copy of an order of recusal or disqualification issued with respect to the judge of the statutory probate court.

SECTIONi4.iiThis Act takes effect September 1, 2009.

Floor Amendment No. 1

Amend CSSB 683 (House committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSection 54.604, Government Code, is amended by amending Subsection (d) and adding Subsections (e), (f), (g), and (h) to read as follows:

(d)iiThe appointment of the associate judge terminates if:

(1)ii[the appointing judge vacates the judge's office;

[(2)]iithe associate judge becomes a candidate for election to public office; or

(2)i[(3)]iithe commissioners court does not appropriate funds in the county's budget to pay the salary of the associate judge.

(e)iiIf an associate judge serves a single court and the appointing judge vacates the judge's office, the associate judge's employment continues, subject to Subsections (d) and (h), unless the successor appointed or elected judge terminates that employment.

(f)iiIf an associate judge serves two courts and one of the appointing judges vacates the judge's office, the associate judge's employment continues, subject to Subsections (d) and (h), unless the successor appointed or elected judge terminates that employment or the judge of the other court served by the associate judge terminates that employment as provided by Subsection (c).

(g)iiIf an associate judge serves more than two courts and an appointing judge vacates the judge's office, the associate judge's employment continues, subject to Subsections (d) and (h), unless:

(1)iiif no successor judge has been elected or appointed, the majority of the judges of the other courts the associate judge serves vote to terminate that employment; or

(2)iiif a successor judge has been elected or appointed, the majority of the judges of the courts the associate judge serves, including the successor judge, vote to terminate that employment as provided by Subsection (b).

(h)iiNotwithstanding the powers of an associate judge provided by Section 54.610, an associate judge whose employment continues as provided by Subsection (e), (f), or (g) after the judge of a court served by the associate judge vacates the judge's office may perform administrative functions with respect to that court, but may not perform any judicial function, including any power prescribed by Section 54.610, with respect to that court until a successor judge is appointed or elected.

4616 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi____.iiSection 54.610, Government Code, is amended to read as follows:

Sec.i54.610.iiPOWERS OF ASSOCIATE JUDGE. (a) Except as limited by an order of referral, an associate judge may:

(1)iiconduct a hearing;

(2)iihear evidence;

(3)iicompel production of relevant evidence;

(4)iirule on the admissibility of evidence;

(5)iiissue a summons for the appearance of witnesses;

(6)iiexamine a witness;

(7)iiswear a witness for a hearing;

(8)iimake findings of fact on evidence;

(9)iiformulate conclusions of law;

(10)iirecommend an order to be rendered in a case;

(11)iiregulate all proceedings in a hearing before the associate judge; [and]

(12)iitake action as necessary and proper for the efficient performance of the associate judge's duties;

(13)iiorder the attachment of a witness or party who fails to obey a subpoena;

(14)iiorder the detention of a witness or party found guilty of contempt, pending approval by the referring court as provided by Section 54.616;

(15)iiwithout prejudice to the right to a de novo hearing under Section 54.618, render and sign:

(A)iia final order agreed to in writing as to both form and substance by all parties;

(B)iia final default order;

(C)iia temporary order;

(D)iia final order in a case in which a party files an unrevoked waiver made in accordance with Rule 119, Texas Rules of Civil Procedure, that waives notice to the party of the final hearing or waives the party's appearance at the final hearing;

(E)iian order specifying that the court clerk shall issue:

(i)iiletters testamentary or of administration; or

(ii)iiletters of guardianship; or

(F)iian order for inpatient or outpatient mental health, mental retardation, or chemical dependency services; and

(16)iisign a final order that includes a waiver of the right to a de novo hearing in accordance with Section 54.618.

(b)iiAn associate judge may, in the interest of justice, refer a case back to the referring court regardless of whether a timely objection to the associate judge hearing the trial on the merits or presiding at a jury trial has been made by any party.

(c)iiAn order described by Subsection (a)(15) that is rendered and signed by an associate judge constitutes an order of the referring court. The judge of the referring court shall sign the order not later than the 30th day after the date the associate judge signs the order.

(d)iiAn answer filed by or on behalf of a party who previously filed a waiver described in Subsection (a)(15)(D) revokes that waiver.

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SECTIONi____.iiSection 54.612, Government Code, is amended by amending Subsections (a), (b), and (c) and adding Subsection (e) to read as follows:

(a)iiA court reporter may be provided [is not required] during a hearing held by an associate judge appointed under this subchapter unless required by other law. A court reporter is required to be provided when the associate judge presides over a jury trial.

(b)iiA party, the associate judge, or the referring court may provide for a reporter during the hearing, if one is not otherwise provided.

(c)iiExcept as provided by Subsection (a), in the absence of a court reporter or on agreement of the parties, the [The] record [of a hearing before an associate judge] may be preserved by any means approved by the referring court.

(e)iiOn a request for a de novo hearing, the referring court may consider testimony or other evidence in the record, if the record is taken by a court reporter, in addition to witnesses or other matters presented under Section 54.618.

SECTIONi____.iiSection 54.614, Government Code, is amended to read as follows:

Sec.i54.614.iiREPORT. (a) The associate judge's report may contain the associate judge's findings, conclusions, or recommendations. The associate judge shall prepare a written report in the form directed by the referring court, including in the form of:

(1)ii[. The form may be] a notation on the referring court's docket sheet; or

(2)iia proposed order.

(b)iiAfter a hearing, the associate judge shall provide the parties participating in the hearing notice of the substance of the associate judge's report, including any proposed order.

(c)iiNotice may be given to the parties:

(1)iiin open court, by an oral statement or a copy of the associate judge's written report; [or]

(2)iiby certified mail, return receipt requested; or

(3)iiby facsimile transmission.

(d)iiThere is a rebuttable presumption that notice is received [The associate judge shall certify the date of mailing of notice by certified mail. Notice is considered given] on the [third day after the] date stated on:

(1)iithe signed return receipt, if notice was provided by certified mail; or

(2)iithe confirmation page produced by the facsimile machine, if notice was provided by facsimile transmission [of mailing].

(e)iiAfter a hearing conducted by an associate judge, the associate judge shall send the associate judge's signed and dated report, including any proposed order, and all other papers relating to the case to the referring court.

SECTIONi____.iiThe heading to Section 54.615, Government Code, is amended to read as follows:

Sec.i54.615.iiNOTICE OF RIGHT TO DE NOVO HEARING BEFORE REFERRING COURT [APPEAL].

SECTIONi____.iiSection 54.615(a), Government Code, is amended to read as follows:

4618 81st Legislature — Regular Session 69th Day (Cont.)


(a)iiAn associate judge shall give all parties notice of the right to a de novo hearing before [of appeal to the judge of] the referring court.

SECTIONi____.iiSection 54.616, Government Code, is amended to read as follows:

Sec.i54.616.iiORDER OF COURT. (a) Pending a de novo hearing before [appeal of the associate judge's report to] the referring court, a proposed order or judgment [the decisions and recommendations] of the associate judge has [judge's report have] the force and effect, and is [are] enforceable as, an order or judgment of the referring court, except for an order [orders] providing for [incarceration or for] the appointment of a receiver.

(b)iiExcept as provided by Section 54.610(c), if a request for a de novo hearing before [If an appeal to] the referring court is not timely filed or the right to a de novo hearing before [an appeal to] the referring court is waived, the proposed order or judgment [findings and recommendations] of the associate judge becomes [become] the order or judgment of the referring court at the time the judge of the referring court signs the proposed [an] order or judgment [conforming to the associate judge's report].

SECTIONi____.iiSection 54.617, Government Code, is amended to read as follows:

Sec.i54.617.iiJUDICIAL ACTION ON ASSOCIATE JUDGE'S PROPOSED ORDER OR JUDGMENT [REPORT]. (a) Unless a party files a written request for a de novo hearing before the referring court [notice of appeal], the referring court may:

(1)iiadopt, modify, or reject the associate judge's proposed order or judgment [report];

(2)iihear further evidence; or

(3)iirecommit the matter to the associate judge for further proceedings.

(b)iiThe judge of the referring court shall sign a proposed order or judgment the court adopts as provided by Subsection (a)(1) not later than the 30th day after the date the associate judge signed the order or judgment.

SECTIONi____.iiSection 54.618, Government Code, is amended to read as follows:

Sec.i54.618.iiDE NOVO HEARING BEFORE [APPEAL TO] REFERRING COURT. (a) A party may request a de novo hearing before the referring court [appeal an associate judge's report] by filing with the clerk of the referring court a written request [notice of appeal] not later than the seventh working [third] day after the date the party receives notice of the substance of the associate judge's report as provided by Section 54.614.

(b)iiA request for a de novo hearing under this section must specify the issues that will be presented [An appeal] to the referring court [must be made in writing and specify the findings and conclusions of the associate judge to which the party objects. The appeal is limited to the findings and conclusions specified in the written appeal].

(c)iiIn the de novo hearing before the referring court, the [The] parties may present witnesses [on appeal to the referring court as in a hearing de novo] on the issues specified [raised] in the request for hearing [appeal]. The referring court may also consider the record from the hearing before the associate judge, including the charge to and verdict returned by a jury, if the record was taken by a court reporter.

Saturday, May 30, 2009 SENATE JOURNAL 4619


(d)iiNotice of a request for a de novo hearing before [an appeal to] the referring court must be given to the opposing attorney in the manner provided by Rule 21a, Texas Rules of Civil Procedure.

(e)iiIf a request for a de novo hearing before [an appeal to] the referring court is filed by a party, any other party may file a request for a de novo hearing before [an appeal to] the referring court not later than the seventh day after the date of filing of the initial request [appeal].

(f)iiThe referring court, after notice to the parties, shall hold a de novo hearing [on all appeals] not later than the 30th day after the date on which the initial request for a de novo hearing [appeal] was filed with the clerk of the referring court, unless all of the parties agree to a later date.

(g)iiBefore the start of a hearing conducted by an associate judge, the parties may waive the right of a de novo hearing before [appeal to] the referring court. The waiver may be in writing or on the record.

(h)iiThe denial of relief to a party after a de novo hearing under this section or a party's waiver of the right to a de novo hearing before the referring court does not affect the right of a party to file a motion for new trial, motion for judgment notwithstanding the verdict, or other post-trial motion.

(i)iiA party may not demand a second jury in a de novo hearing before the referring court if the associate judge's proposed order or judgment resulted from a jury trial.

SECTIONi____.iiSection 54.619, Government Code, is amended to read as follows:

Sec.i54.619.iiAPPELLATE REVIEW. (a) A party's failure to request a de novo hearing before [Failure to appeal to] the referring court or a party's waiver of the right to request a de novo hearing before[, by waiver or otherwise, the approval by] the referring court [of an associate judge's report] does not deprive the [a] party of the right to appeal to or request other relief from a court of appeals or the supreme court.

(b)iiExcept as provided by Subsection (c), the [The] date the judge of a referring court signs an order or judgment is the controlling date for the purposes of appeal to or request for other relief from a court of appeals or the supreme court.

(c)iiThe date an order described by Section 54.610(a)(15) is signed by an associate judge is the controlling date for the purpose of an appeal to or a request for other relief relating to the order from a court of appeals or the supreme court.

SECTIONi____.iiThe changes in law made by this Act to Chapter 54, Government Code, apply to a matter referred to a statutory probate court associate judge on or after the effective date of this Act. A matter referred to a statutory probate court associate judge before the effective date of this Act is governed by the law in effect on the date the matter was referred to the associate judge, and the former law is continued in effect for that purpose.

The amendments were read.

Senator Wentworth moved to concur in the House amendments to SBi683.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

4620 81st Legislature — Regular Session 69th Day (Cont.)


SENATE BILL 939 WITH HOUSE AMENDMENT

Senator Watson called SBi939 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 939 by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill as appropriate:

SECTIONi____.iiSection 54.211, Education Code, is amended to read as follows:

Sec.i54.211.iiEXEMPTIONS FOR STUDENTS IN FOSTER OR OTHER RESIDENTIAL CARE. (a) A student is exempt from the payment of tuition and fees authorized in this chapter if the student:

(1)iiwas in [foster care or other residential care under] the conservatorship of the Department of Family and Protective Services [on or after]:

(A)iion the day preceding the student's 18th birthday;

(B)iion or after the day of the student's 14th birthday, if the student was also eligible for adoption on or after that day; [or]

(C)iion the day the student graduated from high school or received the equivalent of a high school diploma; or

(D)iion the day preceding:

(i)iithe date the student is adopted, if that date is on or after September 1, 2009; or

(ii)iithe date permanent managing conservatorship of the student is awarded to a person other than the student's parent, if that date is on or after September 1, 2009; and

(2)iienrolls in an institution of higher education as an undergraduate student not later than [:

[(A)iithe third anniversary of the date the student was discharged from the foster or other residential care, the date the student graduated from high school, or the date the student received the equivalent of a high school diploma, whichever date is earliest; or

[(B)]iithe student's 25th [21st] birthday.

(b)iiThe Texas Education Agency and the Texas Higher Education Coordinating Board shall develop outreach programs to ensure that students in the conservatorship of the Department of Family and Protective Services and [foster or other residential care] in grades 9-12 are aware of the availability of the exemption from the payment of tuition and fees provided by this section.

SECTIONi____.iiSubsection (b), Section 261.312, Family Code, is amended to read as follows:

(b)iiA review team consists of at least five members who serve staggered two-year terms. Review team members are appointed by the director of the department and consist of volunteers who live in and are broadly representative of the region in which the review team is established and have expertise in the prevention and treatment of child abuse and neglect. At least two members of a review team [community representatives and private citizens who live in the region for which the

Saturday, May 30, 2009 SENATE JOURNAL 4621


team is established. Each member] must be parents [a parent] who have [has] not been convicted of or indicted for an offense involving child abuse or neglect, have [has] not been determined by the department to have engaged in child abuse or neglect, and are [or is] not under investigation by the department for child abuse or neglect. A member of a review team is a department volunteer for the purposes of Section 411.114, Government Code.

SECTIONi____.iiSection 263.3025, Family Code, is amended by adding Subsection (d) to read as follows:

(d)iiIn accordance with department rules, a child's permanency plan must include concurrent permanency goals consisting of a primary permanency goal and at least one alternate permanency goal.

SECTIONi____.iiSubchapter D, Chapter 263, Family Code, is amended by adding Section 263.3026 to read as follows:

Sec.i263.3026.iiPERMANENCY GOALS; LIMITATION. (a) The department's permanency plan for a child may include as a goal:

(1)iithe reunification of the child with a parent or other individual from whom the child was removed;

(2)iithe termination of parental rights and adoption of the child by a relative or other suitable individual;

(3)iithe award of permanent managing conservatorship of the child to a relative or other suitable individual; or

(4)iianother planned, permanent living arrangement for the child.

(b)iiIf the goal of the department's permanency plan for a child is to find another planned, permanent living arrangement for the child, the department shall document that there is a compelling reason why the other permanency goals identified in Subsection (a) are not in the child's best interest.

SECTIONi____.iiSubsection (b), Section 263.303, Family Code, is amended to read as follows:

(b)iiThe permanency progress report must:

(1)iirecommend that the suit be dismissed; or

(2)iirecommend that the suit continue, and:

(A)iiidentify the date for dismissal of the suit under this chapter;

(B)iiprovide:

(i)iithe name of any person entitled to notice under Chapter 102 who has not been served;

(ii)iia description of the efforts by the department or another agency to locate and request service of citation; and

(iii)iia description of each parent's assistance in providing information necessary to locate an unserved party;

(C)iievaluate the parties' compliance with temporary orders and with the service plan;

(D)iievaluate whether the child's placement in substitute care meets the child's needs and recommend other plans or services to meet the child's special needs or circumstances;

4622 81st Legislature — Regular Session 69th Day (Cont.)


(E)iidescribe the permanency plan for the child and recommend actions necessary to ensure that a final order consistent with that permanency plan, including the concurrent permanency goals contained in that plan, is rendered before the date for dismissal of the suit under this chapter; and

(F)iiwith respect to a child 16 years of age or older, identify the services needed to assist the child in the transition to adult life.

SECTIONi____.iiSubsection (b), Section 263.306, Family Code, is amended to read as follows:

(b)iiThe court shall also review the service plan, permanency report, and other information submitted at the hearing to:

(1)iidetermine:

(A)iithe safety of the child;

(B)iithe continuing necessity and appropriateness of the placement;

(C)iithe extent of compliance with the case plan; [and]

(D)iithe extent of progress that has been made toward alleviating or mitigating the causes necessitating the placement of the child in foster care; and

(E)iiwhether the department has made reasonable efforts to finalize the permanency plan that is in effect for the child, including the concurrent permanency goals for the child; and

(2)iiproject a likely date by which the child may be returned to and safely maintained in the child's home, placed for adoption, or placed in permanent managing conservatorship.

SECTIONi____.iiSubsection (b), Section 263.501, Family Code, is amended to read as follows:

(b)iiIf the department has been named as a child's managing conservator in a final order that terminates a parent's parental rights, the court shall conduct a placement review hearing not later than the 90th day after the date the court renders the final order. The court shall conduct additional [a] placement review hearings [hearing] at least once every six months until the date the child is adopted or the child becomes an adult.

SECTIONi____.iiSection 263.502, Family Code, is amended by amending Subsection (c) and adding Subsection (d) to read as follows:

(c)iiThe placement review report must identify the department's permanency goal for the child and must:

(1)iievaluate whether the child's current placement is appropriate for meeting the child's needs;

(2)iievaluate whether efforts have been made to ensure placement of the child in the least restrictive environment consistent with the best interest and special needs of the child if the child is placed in institutional care;

(3)iicontain a transition [discharge] plan for a child who is at least 16 years of age that identifies the services and specific tasks that are needed to assist the child in making the transition from substitute care to adult living and describes the services that are being provided [available] through the Transitional Living Services [Preparation for Adult Living] Program operated by the department;

(4)iievaluate whether the child's current educational placement is appropriate for meeting the child's academic needs;

Saturday, May 30, 2009 SENATE JOURNAL 4623


(5)iiidentify other plans or services that are needed to meet the child's special needs or circumstances; [and]

(6)iidescribe the efforts of the department or authorized agency to place the child for adoption if parental rights to the child have been terminated and the child is eligible for adoption, including efforts to provide adoption promotion and support services as defined by 42 U.S.C. Section 629a and other efforts consistent with the federal Adoption and Safe Families Act of 1997 (Pub. L. No. 105-89); and

(7)iifor a child for whom the department has been named managing conservator in a final order that does not include termination of parental rights, describe the efforts of the department to find a permanent placement for the child, including efforts to:

(A)iiwork with the caregiver with whom the child is placed to determine whether that caregiver is willing to become a permanent placement for the child;

(B)iilocate a relative or other suitable individual to serve as permanent managing conservator of the child; and

(C)iievaluate any change in a parent's circumstances to determine whether:

(i)iithe child can be returned to the parent; or

(ii)iiparental rights should be terminated.

(d)iiIf the goal of the department's permanency plan for a child is to find another planned, permanent living arrangement, the placement review report must document a compelling reason why adoption, permanent managing conservatorship with a relative or other suitable individual, or returning the child to a parent are not in the child's best interest.

SECTIONi____.iiSection 263.503, Family Code, is amended to read as follows:

Sec.i263.503.iiPLACEMENT REVIEW HEARINGS; PROCEDURE. (a) At each placement review hearing, the court shall determine whether:

(1)iithe child's current placement is necessary, safe, and appropriate for meeting the child's needs, including with respect to a child placed outside of the state, whether the placement continues to be appropriate and in the best interest of the child;

(2)iiefforts have been made to ensure placement of the child in the least restrictive environment consistent with the best interest and special needs of the child if the child is placed in institutional care;

(3)iithe services that are needed to assist a child who is at least 16 years of age in making the transition from substitute care to independent living are available in the community;

(4)iiother plans or services are needed to meet the child's special needs or circumstances;

(5)iithe department or authorized agency has exercised due diligence in attempting to place the child for adoption if parental rights to the child have been terminated and the child is eligible for adoption; [and]

(6)iifor a child for whom the department has been named managing conservator in a final order that does not include termination of parental rights, a permanent placement, including appointing a relative as permanent managing conservator or returning the child to a parent, is appropriate for the child;

4624 81st Legislature — Regular Session 69th Day (Cont.)


(7)iifor a child whose permanency goal is another planned, permanent living arrangement, the department has:

(A)iidocumented a compelling reason why adoption, permanent managing conservatorship with a relative or other suitable individual, or returning the child to a parent is not in the child's best interest; and

(B)iiidentified a family or other caring adult who has made a permanent commitment to the child; and

(8)iithe department or authorized agency has made reasonable efforts to finalize the permanency plan that is in effect for the child.

(b)iiFor a child for whom the department has been named managing conservator in a final order that does not include termination of parental rights, the court may order the department to provide services to a parent for not more than six months after the date of the placement review hearing if:

(1)iithe child has not been placed with a relative or other individual, including a foster parent, who is seeking permanent managing conservatorship of the child; and

(2)iithe court determines that further efforts at reunification with a parent are:

(A)iiin the best interest of the child; and

(B)iilikely to result in the child's safe return to the child's parent.

SECTIONi____.ii(a)iiThe changes in law made by this Act to Section 54.211, Education Code, apply beginning with tuition and fees imposed by a public institution of higher education for the 2009 fall semester. Tuition and fees for a term or semester before the 2009 fall semester are covered by the law in effect immediately before the effective date of this Act, and the former law is continued in effect for that purpose.

(b)iiThe change in law made by this Act to Subsection (b), Section 263.501, Family Code, applies only to a child in the conservatorship of the Department of Family and Protective Services for whom a final order in a suit affecting the parent-child relationship is rendered on or after the effective date of this Act. A child in the conservatorship of the Department of Family and Protective Services for whom a final order in a suit affecting the parent-child relationship is rendered before the effective date of this Act is governed by the law in effect on the date the final order was rendered, and the former law is continued in effect for that purpose.

SECTIONi____.iiNotwithstanding any other provision of this Act providing an effective date of this Act, this section and the section of this Act that amends Section 54.211, Education Code, take 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. If this Act does not receive the vote necessary for immediate effect, those sections take effect September 1, 2009.

The amendment was read.

Senator Watson moved to concur in the House amendment to SBi939.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 292 WITH HOUSE AMENDMENT

Senator Nelson called SBi292 from the President's table for consideration of the House amendment to the bill.

Saturday, May 30, 2009 SENATE JOURNAL 4625


The Presiding Officer laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 292 (House committee report) by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS accordingly:

SECTIONi____.ii(a) Subtitle B, Title 3, Occupations Code, is amended by adding Chapter 167 to read as follows:

CHAPTER 167. TEXAS PHYSICIAN HEALTH PROGRAM

Sec.i167.001.iiDEFINITIONS. In this chapter:

(1)ii"Committee" means the Physician Health and Rehabilitation Advisory Committee established under this chapter.

(2)ii"Governing board" means the governing board of the program.

(3)ii"Medical director" means a person appointed under Section 167.002 to oversee the program.

(4)ii"Physician assistant board" means the Texas Physician Assistant Board established under Chapter 204.

(5)ii"Program" means the Texas Physician Health Program established under this chapter.

(6)ii"Program participant" means a physician or physician assistant who receives services under the program.

Sec.i167.002.iiMEDICAL DIRECTOR. (a)iiThe board shall appoint a medical director for the program.

(b)iiThe medical director must:

(1)iibe a physician licensed by the board; and

(2)iihave expertise in a field of medicine relating to disorders commonly affecting physicians or physician assistants, including substance abuse disorders.

(c)iiThe medical director shall provide clinical and policy oversight for the program.

Sec.i167.003.iiGOVERNING BOARD. (a)iiThe president of the board shall appoint persons to serve on the governing board of the program. The appointees shall include physicians, physician assistants, and other related professionals with experience addressing health conditions commonly found in the population of monitored physicians or physician assistants.

(b)iiThe governing board shall:

(1)iiprovide advice and counsel to the board; and

(2)iiestablish policy and procedures for the operation and administration of the program.

(c)iiThe board, with the advice and in consultation with the physician assistant board and Texas-based professional associations of physicians and physician assistants, shall adopt rules relating to the appointment of members to the governing board, including length of terms, procedures for filling a vacancy, and conflict-of-interest provisions.

Sec.i167.004.iiPHYSICIAN HEALTH AND REHABILITATION ADVISORY COMMITTEE. (a)iiThe governing board shall appoint physicians to the Physician Health and Rehabilitation Advisory Committee who have experience in disorders commonly affecting physicians or physician assistants.

4626 81st Legislature — Regular Session 69th Day (Cont.)


(b)iiThe committee shall assist the governing board by making recommendations on the request of the governing board.

(c)iiThe board, with the advice and in consultation with the physician assistant board and Texas-based professional associations of physicians and physician assistants, shall adopt rules relating to the appointment of members to the committee, including length of terms, procedures for filling a vacancy, and conflict-of-interest provisions.

(d)iiChapter 2110, Government Code, does not apply to the committee.

Sec.i167.005.iiTEXAS PHYSICIAN HEALTH PROGRAM. (a)iiThe Texas Physician Health Program is established to promote:

(1)iiphysician and physician assistant wellness; and

(2)iitreatment of all health conditions that have the potential to compromise the physician's or physician assistant's ability to practice with reasonable skill and safety, including mental health issues, substance abuse issues, and addiction issues.

(b)iiThe program is a confidential, nondisciplinary therapeutic program for physicians and physician assistants.

(c)iiThe program is administratively attached to the board.

Sec.i167.006.iiRULES. The board, with the advice of and in consultation with the governing board, committee, and Texas-based professional associations of physicians and physician assistants, shall:

(1)iiadopt rules and policies as necessary to implement the program, including:

(A)iipolicies for assessments under the program and guidelines for the validity of a referral to the program;

(B)iipolicies and guidelines for initial contacts used to determine if there is a need for a physician or physician assistant to complete a clinically appropriate evaluation or to enter treatment, including policies and guidelines for arrangements for that evaluation or treatment; and

(C)iipolicies and guidelines for interventions conducted under the program; and

(2)iidefine applicable guidelines for the management of substance abuse disorders, psychiatric disorders, and physical illnesses and impairments.

Sec.i167.007.iiOPERATION OF PROGRAM. (a)iiThe program must include provisions for:

(1)iicontinuing care, monitoring, and case management of potentially impairing health conditions, including provisions for cooperation with the evaluating or treating facility;

(2)iiongoing monitoring for relapse, including random drug testing, consultations with other physician health and rehabilitation committees, work site monitors, and treating health professionals, including mental health professionals; and

(3)iiother physician and physician assistant health and rehabilitation programs to operate under an agreement with the program, using established guidelines to ensure uniformity and credibility of services throughout this state.

(b)iiThe program must ensure appropriate communications with the board, the physician assistant board, other state licensing boards, and physician health and rehabilitation programs.

Saturday, May 30, 2009 SENATE JOURNAL 4627


(c)iiThe program shall use physicians or other health care professional experts or consultants, as appropriate, when necessary to evaluate, recommend solutions for, or resolve a medical dispute.

Sec.i167.008.iiREFERRALS TO PROGRAM. (a)iiThe program shall accept a self-referral from a physician or physician assistant and referrals from an individual, a physician health and rehabilitation committee, a physician assistant organization, a state physician health program, a hospital or hospital system licensed in this state, a residency program, the board, or the physician assistant board.

(b)iiA physician or physician assistant may refer the physician or physician assistant to the program.

(c)iiThe program may not accept a referral, except as provided by board rules, for a violation of the standard of care as a result of drugs or alcohol or boundary violations with a patient or a patient's family.

Sec.i167.009.iiREFERRAL BY BOARD OR PHYSICIAN ASSISTANT BOARD AS PREREQUISITE FOR ISSUING OR MAINTAINING A LICENSE. (a)iiThe board or the physician assistant board, through an agreed order or after a contested proceeding, may make a referral to the program and require participation in the program by a specified physician or physician assistant as a prerequisite for issuing or maintaining a license under Chapter 155 or 204.

(b)iiThe board or the physician assistant board may discipline a physician or physician assistant required to participate in the program under Subsection (a) who does not participate in the program.

(c)iiEach program participant is individually responsible for payment of the participant's own medical costs, including any required evaluations, primary treatment, and continuing care.

Sec.i167.010.iiCONFIDENTIALITY. (a)iiEach referral, proceeding, report, investigative file, record, or other information received, gathered, created, or maintained by the program or its employees, consultants, work site monitors, or agents relating to a physician or physician assistant is privileged and confidential and is not subject to disclosure under Chapter 552, Government Code, or to discovery, subpoena, or other means of legal compulsion for release to any person except as provided by this chapter.

(b)iiNotwithstanding Subsection (a), the program may report to the board or the physician assistant board, as appropriate, the name and pertinent information relating to impairment of a physician or physician assistant.

(c)iiNotwithstanding Subsection (a), the program shall make a report to the board or the physician assistant board, as appropriate, regarding a physician or physician assistant if the medical director or the governing board determines that the physician or physician assistant poses a continuing threat to the public welfare. If requested by the board or the physician assistant board, a report under this subsection must include all information in the possession or control of the program.

Sec.i167.011.iiFUNDING; FEES. (a)iiThe Texas physician health program account is a special account in the general revenue fund. Funds in the account may be appropriated only to the board for administration of the program.

4628 81st Legislature — Regular Session 69th Day (Cont.)


(b)iiThe board by rule shall set and collect reasonable and necessary fees from program participants in amounts sufficient to offset, to the extent reasonably possible, the cost of administering this chapter.

(c)iiEach program participant shall pay an annual fee to partially offset the cost of participation and monitoring services.

(d)iiThe board shall deposit fees collected under this section to the credit of the account established under Subsection (a).

(e)iiThe board may grant a waiver to the fee imposed under Subsection (c). The board shall adopt rules relating to the issuance of a waiver under this subsection.

(b)iiSubsection (d), Section 153.051, Occupations Code, is amended to read as follows:

(d)iiThe board may not set, charge, collect, receive, or deposit any of the following fees in excess of:

(1)ii$900 for a license;

(2)ii$400 for a first registration permit;

(3)ii$200 for a temporary license;

(4)ii$400 for renewal of a registration permit;

(5)ii$200 for a physician-in-training permit;

(6)ii$600 for the processing of an application and the issuance of a registration for anesthesia in an outpatient setting;

(7)ii$200 for an endorsement to other state medical boards;

(8)ii$200 for a duplicate license; [or]

(9)ii$700 for a reinstated license after cancellation for cause; or

(10)ii$1,200 for an annual fee under Section 167.011(c) for a program participant in the Texas Physician Health Program.

(c)iiEffective January 1, 2010, the following laws are repealed:

(1)iiSections 164.202, 164.203, 164.204, and 164.205, Occupations Code; and

(2)iiSections 204.305, 204.306, 204.307, and 204.3075, Occupations Code.

(d)iiA rehabilitation order under Chapter 167 or 204, Occupations Code, entered into on or before January 1, 2010, is governed by the law as it existed immediately before that date, and that law is continued in effect for that purpose.

The amendment was read.

Senator Nelson moved to concur in the House amendment to SBi292.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1629 WITH HOUSE AMENDMENT

Senator Wentworth called SBi1629 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer, Senator Eltife in Chair, laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 1629 (House committee printing) as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4629


(1)iiIn SECTION 1 of the bill, amended Section 552.275(j), Government Code (page 1, lines 9 and 10), strike "a representative of" and substitute "an individual who, for a substantial portion of the individual's livelihood or for substantial financial gain, gathers, compiles, prepares, collects, photographs, records, writes, edits, reports, investigates, processes, or publishes news or information for and is seeking the information for [a representative of]".

(2)iiIn SECTION 1 of the bill, amended Section 552.275(j)(1), Government Code (page 1, line 11), between "television" and "station", insert "broadcast".

(3)iiIn SECTION 1 of the bill, amended Section 552.275(j)(1), Government Code (page 1, line 11), strike "license" and substitute "broadcast license for an assigned frequency".

(4)iiIn SECTION 1 of the bill, amended Section 552.275(j), Government Code (page 1, lines 13 through 22), strike amended Subdivision (2) and substitute the following:

(2)iia newspaper that is qualified under Section 2051.044 to publish legal notices or is a free newspaper of general circulation and that is published at least once a week and available and of interest to the general public in connection with the dissemination of news;

(5)iiIn SECTION 1 of the bill, amended Section 552.275(j), Government Code (page 1, line 23 through page 2, line 1), strike amended Subdivision (3) and substitute the following:

(3)iia newspaper of general circulation that is published on the Internet by a news medium engaged in the business of disseminating news or information to the general public; or

(4)iia magazine that is published at least once a week or on the Internet by a news medium engaged in the business of disseminating news or information to the general public.

The amendment was read.

Senator Wentworth moved to concur in the House amendment to SBi1629.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2033 WITH HOUSE AMENDMENT

Senator Nelson called SBi2033 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Amendment

Amend SBi2033 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to adoption of a school district grading policy.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter B, Chapter 28, Education Code, is amended by adding Section 28.0216 to read as follows:

4630 81st Legislature — Regular Session 69th Day (Cont.)


Sec.i28.0216.iiDISTRICT GRADING POLICY. A school district shall adopt a grading policy, including provisions for the assignment of grades on class assignments and examinations, before each school year. A district grading policy:

(1)iimust require a classroom teacher to assign a grade that reflects the student's relative mastery of an assignment;

(2)iimay not require a classroom teacher to assign a minimum grade for an assignment without regard to the student's quality of work; and

(3)iimay allow a student a reasonable opportunity to make up or redo a class assignment or examination for which the student received a failing grade.

SECTIONi2.iiThis Act applies beginning with the 2009-2010 school year.

SECTIONi3.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Nelson moved to concur in the House amendment to SBi2033.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1247 WITH HOUSE AMENDMENTS

Senator Harris called SBi1247 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Amendment

Amend SBi1247 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the imposition of the municipal hotel occupancy tax by certain eligible central municipalities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 351.001(7), Tax Code, is amended to read as follows:

(7)ii"Eligible central municipality" means a municipality with a population of more than 140,000 [440,000] but less than 1.5 million that is located in a county with a population of one million or more and that has adopted a capital improvement plan for the expansion of an existing convention center facility.

SECTIONi2.iiSection 351.003(b), Tax Code, is amended to read as follows:

(b)iiThe rate in an eligible central municipality may not exceed nine percent of the price paid for a room. This subsection does not apply to a municipality to which Section 351.106 applies or to an eligible central municipality with a population of less than 440,000.

SECTIONi3.iiSections 351.102(b) and (c), Tax Code, are amended to read as follows:

(b)iiAn eligible central municipality may pledge the revenue derived from the tax imposed under this chapter from a hotel project that is owned by or located on land owned by the municipality or by a nonprofit corporation acting on behalf of an

Saturday, May 30, 2009 SENATE JOURNAL 4631


eligible central municipality and that is located within 1,000 feet of a convention center facility owned by the municipality for the payment of bonds or other obligations issued or incurred to acquire, lease, construct, and equip the hotel and any facilities ancillary to the hotel, including convention center entertainment-related facilities, restaurants, shops, and parking facilities within 1,000 feet of the hotel or convention center facility. For bonds or other obligations issued under this subsection, an eligible central municipality may only pledge revenue or other assets of the hotel project benefiting from those bonds or other obligations.

(c)iiA municipality to which Subsection (b) applies is entitled to receive all funds from a project described by this section that an owner of a project may receive under Section 151.429(h) of this code, or Section 2303.5055, Government Code, and may pledge the funds for the payment of obligations issued under this section.

SECTIONi4.iiSection 1504.001(b), Government Code, is amended to read as follows:

(b)iiAn eligible central municipality, as defined by Section 351.001, Tax Code, may establish, acquire, lease as lessee or lessor, construct, improve, enlarge, equip, repair, operate, or maintain a hotel, and any facilities ancillary to the hotel, including convention center entertainment-related facilities, restaurants, shops, and parking facilities, that are owned by or located on land owned by the municipality or by a nonprofit corporation acting on behalf of the municipality, and that are [is] located within 1,000 feet of a hotel or a convention center facility owned by the municipality.

SECTIONi5.iiThe change in law made by this Act applies only to revenue derived from the tax to which this section applies that is pledged on or after the effective date of this Act. Revenue pledged before the effective date of this Act is governed by the law in effect when the revenue was pledged, and the former law is continued in effect for that purpose.

SECTIONi6.iiThis Act takes effect September 1, 2009.

Floor Amendment No. 1

Amend CSSB 1247 by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS accordingly:

SECTIONi____.ii(a) Section 351.101(a), Tax Code, is amended to read as follows:

(a)iiRevenue from the municipal hotel occupancy tax may be used only to promote tourism and the convention and hotel industry, and that use is limited to the following:

(1)iithe acquisition of sites for and the construction, improvement, enlarging, equipping, repairing, operation, and maintenance of convention center facilities or visitor information centers, or both;

(2)iithe furnishing of facilities, personnel, and materials for the registration of convention delegates or registrants;

(3)iiadvertising and conducting solicitations and promotional programs to attract tourists and convention delegates or registrants to the municipality or its vicinity;

(4)iithe encouragement, promotion, improvement, and application of the arts, including instrumental and vocal music, dance, drama, folk art, creative writing, architecture, design and allied fields, painting, sculpture, photography, graphic and

4632 81st Legislature — Regular Session 69th Day (Cont.)


craft arts, motion pictures, radio, television, tape and sound recording, and other arts related to the presentation, performance, execution, and exhibition of these major art forms;

(5)iihistorical restoration and preservation projects or activities or advertising and conducting solicitations and promotional programs to encourage tourists and convention delegates to visit preserved historic sites or museums:

(A)iiat or in the immediate vicinity of convention center facilities or visitor information centers; or

(B)iilocated elsewhere in the municipality or its vicinity that would be frequented by tourists and convention delegates;

(6)iifor a municipality located in a county with a population of one million or less, expenses, including promotion expenses, directly related to a sporting event in which the majority of participants are tourists who substantially increase economic activity at hotels and motels within the municipality or its vicinity; [and]

(7)iisubject to Section 351.1076, the promotion of tourism by the enhancement and upgrading of existing sports facilities or fields, including facilities or fields for baseball, softball, soccer, and flag football, if:

(A)iithe municipality owns the facilities or fields;

(B)iithe municipality:

(i)iihas a population of 80,000 or more and is located in a county that has a population of 350,000 or less;

(ii)iihas a population of at least 65,000 but not more than 70,000 and is located in a county that has a population of 155,000 or less; or

(iii)iihas a population of at least 34,000 but not more than 36,000 and is located in a county that has a population of 90,000 or less; and

(C)iithe sports facilities and fields have been used, in the preceding calendar year, a combined total of more than 10 times for district, state, regional, or national sports tournaments; and

(8)iisignage directing the public to sights and attractions that are visited frequently by hotel guests in the municipality.

(b)iiThis section 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. If this Act does not receive the vote necessary for immediate effect, this section takes effect September 1, 2009.

The amendments were read.

Senator Harris moved to concur in the House amendments to SBi1247.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 194 WITH HOUSE AMENDMENT

Senator Shapleigh called SBi194 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Amendment

Amend SBi194 by substituting in lieu thereof the following:

Saturday, May 30, 2009 SENATE JOURNAL 4633


A BILL TO BE ENTITLED

AN ACT

relating to a prohibition against certain activities by a person employed in the financial aid office of a public institution of higher education or of a career school or college.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter Z, Chapter 51, Education Code, is amended by adding Section 51.9645 to read as follows:

Sec.i51.9645.iiPROHIBITION AGAINST CERTAIN ACTIVITIES BY FINANCIAL AID EMPLOYEES. (a) In this section:

(1)ii"Institution of higher education" has the meaning assigned by Section 61.003.

(2)ii"Student loan" means a loan for which the loan agreement requires that all or part of the loan proceeds be used to assist a person in attending an institution of higher education or other postsecondary institution.

(3)ii"Student loan lender" means a person whose primary business is:

(A)iimaking, brokering, arranging, or accepting applications for student loans; or

(B)iia combination of activities described by Paragraph (A).

(b)iiA person employed by an institution of higher education in the financial aid office of the institution may not:

(1)iiown stock or hold another ownership interest in a student loan lender, other than through ownership of shares in a publicly traded mutual fund or similar investment vehicle in which the person does not exercise any discretion regarding the investment of the assets of the fund or other investment vehicle; or

(2)iisolicit or accept any gift from a student loan lender.

(c)iiA person who violates this section is subject to dismissal or other appropriate disciplinary action.

SECTIONi2.iiSubchapter F, Chapter 132, Education Code, is amended by adding Section 132.158 to read as follows:

Sec.i132.158.iiPROHIBITION AGAINST CERTAIN ACTIVITIES BY FINANCIAL AID EMPLOYEES. (a) In this section:

(1)ii"Student loan" means a loan for which the loan agreement requires that all or part of the loan proceeds be used to assist a person in attending an institution of higher education or other postsecondary institution, including a career school or college.

(2)ii"Student loan lender" means a person whose primary business is:

(A)iimaking, brokering, arranging, or accepting applications for student loans; or

(B)iia combination of activities described by Paragraph (A).

(b)iiA person employed by a career school or college in the financial aid office of the school or college may not:

(1)iiown stock or hold another ownership interest in a student loan lender, other than through ownership of shares in a publicly traded mutual fund or similar investment vehicle in which the person does not exercise any discretion regarding the investment of the assets of the fund or other investment vehicle; or

(2)iisolicit or accept any gift from a student loan lender.

4634 81st Legislature — Regular Session 69th Day (Cont.)


(c)iiA career school or college may not knowingly employ a person who violates Subsection (b). If a career school or college discovers that its employee is in violation of Subsection (b), the school or college shall promptly take appropriate action to cure the violation, including appropriate disciplinary action, based on the severity of the violation and whether the violation was inadvertent.

SECTIONi3.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Shapleigh moved to concur in the House amendment to SBi194.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1492 WITH HOUSE AMENDMENT

Senator Williams called SBi1492 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Committee Amendment No. 1

Amend SB 1492 (engrossed version) as follows:

On page 4, line 26, add Subsection (i):

(i)iiNotwithstanding any other provision of this Subtitle, in awarding a certificate of convenience and necessity or allowing cost recovery for purchased power by an electric utility subject to this section, the Commission shall ensure in its determination that the provision of section 37.056(4)(d) and (e) are met.

The amendment was read.

Senator Williams moved to concur in the House amendment to SBi1492.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 300 WITH HOUSE AMENDMENT

Senator Patrick called SBi300 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Amendment

Amend SBi300 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to eliminating or modifying certain mandates on school districts.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubsection (d), Section 11.1513, Education Code, is amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4635


(d)iiThe employment policy must provide that not later than the 10th school day before the date on which a district fills a vacant position for which a certificate or license is required as provided by Section 21.003, other than a position that affects the safety and security of students as determined by the board of trustees, the district must provide to each current district employee:

(1)iinotice of the position by posting the position on:

(A)iia bulletin board at:

(i)iia place convenient to the public in the district's central administrative office; and

(ii)iithe central administrative office of each campus in the district during any time the office is open; or [and]

(B)iithe district's Internet website, if the district has a website; and

(2)iia reasonable opportunity to apply for the position.

SECTIONi2.iiSection 25.112, Education Code, is amended by amending Subsection (d) and adding Subsections (e), (f), and (g) to read as follows:

(d)iiOn application of a school district, the commissioner may except the district from the limit in Subsection (a) if the commissioner finds the limit works an undue hardship on the district. An exception expires at the end of the school year [semester] for which it is granted[, and the commissioner may not grant an exception for:

[(1)iimore than one semester at a time].

(e)iiA school district seeking an exception under Subsection (d) shall notify the commissioner and apply for the exception not later than the later of:

(1)iiOctober 1; or

(2)iithe 30th day after the first school day the district exceeds the limit in Subsection (a).

(f)iiIf a school district repeatedly fails to comply with this section, the commissioner may take any appropriate action authorized to be taken by the commissioner under Section 39.131.

(g)iiNot later than January 1, 2011, the agency shall report to the legislature the number of applications for exceptions under Subsection (d) submitted by each school district and for each application indicate whether the application was granted or denied. This subsection expires February 1, 2011.

SECTIONi3.iiSection 34.0021, Education Code, is amended by amending Subsections (a) and (b) and adding Subsection (c-1) to read as follows:

(a)iiPursuant to the safety standards established by the Department of Public Safety under Section 34.002, each school district may [shall] conduct a training session for students and teachers concerning procedures for evacuating a school bus during an emergency.

(b)iiA school district that chooses to conduct a training session under Subsection (a) is encouraged to [shall] conduct the school bus emergency evacuation training session [at least twice each school year, with one training session occurring] in the fall of the school year [and one training session occurring in the spring]. The school district is also encouraged to structure the training session so that the session applies to school bus passengers, a [A] portion of the [training] session occurs [must occur] on a school bus, and the [training] session lasts [must last] for at least one hour.

4636 81st Legislature — Regular Session 69th Day (Cont.)


(c-1)iiImmediately before each field trip involving transportation by school bus, a school district is encouraged to review school bus emergency evacuation procedures with the school bus passengers, including a demonstration of the school bus emergency exits and the safe manner to exit.

SECTIONi4.iiSection 44.902, Education Code, is amended to read as follows:

Sec.i44.902.iiLONG-RANGE ENERGY PLAN [GOAL] TO REDUCE CONSUMPTION OF ELECTRIC ENERGY. (a)iiThe board of trustees of a school district shall establish a long-range energy plan [goal] to reduce the [school] district's annual electric consumption by five percent beginning with the 2008 [each] state fiscal year and consume electricity in subsequent fiscal years in accordance with the district's energy plan [for six years beginning September 1, 2007].

(b)iiThe plan required under Subsection (a) must include:

(1)iistrategies for achieving energy efficiency that:

(A)iiresult in net savings for the district; or

(B)iican be achieved without financial cost to the district; and

(2)iifor each strategy identified under Subdivision (1), the initial, short-term capital costs and lifetime costs and savings that may result from implementation of the strategy.

(c)iiIn determining under Subsection (b) whether a strategy may result in financial cost to the district, the board of trustees shall consider the total net costs and savings that may occur over the seven-year period following implementation of the strategy.

(d)iiThe board of trustees may submit the plan required under Subsection (a) to the State Energy Conservation Office for the purposes of determining whether funds available through loan programs administered by the office are available to the district.

SECTIONi5.iiSubsection (b), Section 44.901, Education Code, is repealed.

SECTIONi6.iiThis Act applies beginning with the 2009-2010 school year.

SECTIONi7.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Patrick moved to concur in the House amendment to SBi300.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 175 WITH HOUSE AMENDMENTS

Senator Shapiro called SBi175 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Amendment

Amend SBi175 by substituting in lieu thereof the following:

Saturday, May 30, 2009 SENATE JOURNAL 4637


A BILL TO BE ENTITLED

AN ACT

relating to limitations on the automatic admission of undergraduate students to general academic teaching institutions.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 51.803, Education Code, is amended by amending Subsection (a) and adding Subsections (a-1) and (a-2) to read as follows:

(a)iiSubject to Subsection (a-1), each [Each] general academic teaching institution shall admit an applicant for admission to the institution as an undergraduate student if the applicant graduated with a grade point average in the top 10 percent of the student's high school graduating class in one of the two school years preceding the academic year for which the applicant is applying for admission and:

(1)iithe applicant graduated from a public or private high school in this state accredited by a generally recognized accrediting organization or from a high school operated by the United States Department of Defense;

(2)iithe applicant:

(A)iisuccessfully completed:

(i)iiat a public high school, the curriculum requirements established under Section 28.025 for the recommended or advanced high school program; or

(ii)iiat a high school to which Section 28.025 does not apply, a curriculum that is equivalent in content and rigor to the recommended or advanced high school program; or

(B)iisatisfied ACT's College Readiness Benchmarks on the ACT assessment applicable to the applicant or earned on the SAT assessment a score of at least 1,500 out of 2,400 or the equivalent; and

(3)iiif the applicant graduated from a high school operated by the United States Department of Defense, the applicant is a Texas resident under Section 54.052 or is entitled to pay tuition fees at the rate provided for Texas residents under Section 54.058(d) for the term or semester to which admitted.

(a-1)iiBeginning with admissions for the 2010-2011 academic year, a general academic teaching institution is not required to admit under Subsection (a) more than 50 percent of the institution's first-time resident undergraduate students in an academic year. If the number of applicants who qualify for automatic admission to a general academic teaching institution under Subsection (a) exceeds 50 percent of the institution's enrollment capacity designated for first-time resident undergraduate students, the institution may elect to offer admission to those applicants as provided by this subsection and not as otherwise required by Subsection (a). If the institution elects to offer admission under this subsection, the institution shall offer admission to those applicants by percentile rank according to high school graduating class standing based on grade point average, beginning with the top percentile rank, until the applicants qualified under Subsection (a) have been offered admission in the number estimated in good faith by the institution as sufficient to fill 40 percent of the institution's enrollment capacity designated for first-time resident undergraduate students, except that the institution must offer admission to all applicants with the same percentile rank. In addition to those admissions, until applicants qualified under Subsection (a) have been offered admission in the number estimated in good faith by

4638 81st Legislature — Regular Session 69th Day (Cont.)


the institution as sufficient to fill 50 percent of the designated enrollment capacity described by this subsection, the institution shall offer to applicants qualified for automatic admission under Subsection (a) admission in the same manner as other applicants for admission as first-time undergraduate students in accordance with Section 51.805, except that the institution may not consider applicants other than those applicants qualified under Subsection (a). After the applicants qualified for automatic admission under Subsection (a) have been offered admission under this subsection in the number estimated in good faith as sufficient to fill 50 percent of the designated enrollment capacity described by this subsection, the institution shall consider any remaining applicants qualified for automatic admission under Subsection (a) in the same manner as other applicants for admission as first-time undergraduate students in accordance with Section 51.805.

(a-2)iiIn the manner prescribed by the Texas Education Agency and not later than April 15, a general academic teaching institution shall provide to each school district, for dissemination of the information to high school junior-level students and their parents, notice of which percentile ranks of high school senior-level students are anticipated by the institution to be automatically offered admission under Subsection (a-1) during the next school year if:

(1)iithe number of applicants to the institution during the current school year who qualify for automatic admission to the institution under Subsection (a) exceeds 50 percent of the institution's enrollment capacity designated for first-time resident undergraduate students; and

(2)iithe institution plans to offer admission under Subsection (a-1) during the next school year.

SECTIONi2.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

Floor Amendment No. 1

Amend CSSB 175 (House committee report) by striking all below the enacting clause and substituting the following:

SECTIONi1.iiSection 51.803, Education Code, is amended by amending Subsection (a) and adding Subsections (a-1), (a-2), and (g) to read as follows:

(a)iiSubject to Subsection (a-1), each [Each] general academic teaching institution shall admit an applicant for admission to the institution as an undergraduate student if the applicant graduated with a grade point average in the top 10 percent of the student's high school graduating class in one of the two school years preceding the academic year for which the applicant is applying for admission and:

(1)iithe applicant graduated from a public or private high school in this state accredited by a generally recognized accrediting organization or from a high school operated by the United States Department of Defense;

(2)iithe applicant:

(A)iisuccessfully completed:

(i)iiat a public high school, the curriculum requirements established under Section 28.025 for the recommended or advanced high school program; or

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(ii)iiat a high school to which Section 28.025 does not apply, a curriculum that is equivalent in content and rigor to the recommended or advanced high school program; or

(B)iisatisfied ACT's College Readiness Benchmarks on the ACT assessment applicable to the applicant or earned on the SAT assessment a score of at least 1,500 out of 2,400 or the equivalent; and

(3)iiif the applicant graduated from a high school operated by the United States Department of Defense, the applicant is a Texas resident under Section 54.052 or is entitled to pay tuition fees at the rate provided for Texas residents under Section 54.058(d) for the term or semester to which admitted.

(a-1)iiBeginning with admissions for the 2010-2011 academic year, a general academic teaching institution is not required to offer admission to applicants who qualify for automatic admission under Subsection (a) in excess of the number required to fill 60 percent of the institution's enrollment capacity designated for first-time resident undergraduate students in an academic year. If the number of applicants who qualify for automatic admission to a general academic teaching institution under Subsection (a) for an academic year exceeds 60 percent of the institution's enrollment capacity designated for first-time resident undergraduate students for that academic year, the institution may elect to offer admission to those applicants as provided by this subsection and not as otherwise required by Subsection (a). If the institution elects to offer admission under this subsection, the institution shall offer admission to those applicants by percentile rank according to high school graduating class standing based on grade point average, beginning with the top percentile rank, until the applicants qualified under Subsection (a) have been offered admission in the number estimated in good faith by the institution as sufficient to fill 50 percent of the institution's enrollment capacity designated for first-time resident undergraduate students, except that the institution must offer admission to all applicants with the same percentile rank. In addition to those admissions, until applicants qualified under Subsection (a) have been offered admission in the number estimated in good faith by the institution as sufficient to fill 60 percent of the designated enrollment capacity described by this subsection, the institution shall offer to applicants qualified for automatic admission under Subsection (a) admission in the same manner as other applicants for admission as first-time undergraduate students in accordance with Section 51.805, except that the institution may not consider applicants other than those applicants qualified under Subsection (a). After the applicants qualified for automatic admission under Subsection (a) have been offered admission under this subsection in the number estimated in good faith as sufficient to fill 60 percent of the designated enrollment capacity described by this subsection, the institution shall consider any remaining applicants qualified for automatic admission under Subsection (a) in the same manner as other applicants for admission as first-time undergraduate students in accordance with Section 51.805. A general academic teaching institution may not offer admission under this subsection for an academic year after the eighth consecutive academic year for which general academic teaching institutions have had the option of electing to offer admission to applicants under this subsection.

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(a-2)iiIfiithe number of applicants who apply to a general academic teaching institution during the current academic year for admission in the next academic year and who qualify for automatic admission to a general academic teaching institution under Subsection (a) exceeds 60 percent of the institution's enrollment capacity designated for first-time resident undergraduate students for that next academic year and the institution plans to offer admission under Subsection (a-1) during the next school year, the institution shall, in the manner prescribed by the Texas Education Agency and not later than April 15, provide to each school district, for dissemination of the information to high school junior-level students and their parents, notice of which percentile ranks of high school senior-level students who qualify for automatic admission under Subsection (a) are anticipated by the institution to be offered admission under Subsection (a-1) during the next school year.

(g)iiThe Texas Higher Education Coordinating Board by rule shall develop and implement a program to increase and enhance the efforts of general academic teaching institutions in conducting outreach to academically high-performing high school seniors in this state who are likely to be eligible for automatic admission under Subsection (a) to provide to those students information and counseling regarding the operation of this section and other opportunities, including financial assistance, available to those students for success at public institutions of higher education in this state. Under the program, the coordinating board, after gathering information and recommendations from available sources and examining current outreach practices by institutions in this state and in other states, shall prescribe best practices guidelines and standards to be used by general academic teaching institutions in conducting the student outreach described by this subsection.

SECTIONi2.iiSection 28.026, Education Code, is amended to read as follows:

Sec.i28.026.iiNOTICE OF AUTOMATIC COLLEGE ADMISSION. (a) The board of trustees of a school district shall require each high school in the district to post appropriate signs in each counselor's office, in each principal's office, and in each administrative building indicating the substance of Section 51.803 regarding automatic college admission. To assist in the dissemination of this information, the school district shall:

(1)iirequire that each high school counselor and class advisor be provided a detailed explanation of the substance of Section 51.803;

(2)iiprovide each district student, at the time the student first registers for one or more classes required for high school graduation, with a written notification of the substance of Section 51.803;

(3)iirequire that each high school counselor and senior class advisor explain to eligible students the substance of Section 51.803; and

(4)i[(3)]iiprovide each eligible senior student under Section 51.803, at the commencement of a class's senior year, with a written notification of the student's eligibility with a detailed explanation of the substance of Section 51.803.

(b)iiThe commissioner shall adopt forms to use in providing notice under Subsections (a)(2) and (4). In providing notice under Subsection (a)(2) or (4), a school district shall use the appropriate form adopted by the commissioner.

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(c)iiThe commissioner shall adopt procedures to ensure that, as soon as practicable after this subsection becomes law, each school district provides written notification of the substance of Section 51.803, as amended by the 81st Legislature, Regular Session, 2009, to each district student who, for the 2009-2010 school year, registers for one or more courses required for high school graduation. The commissioner may adopt rules under this subsection in the manner provided by law for emergency rules. Each district shall comply with the procedures adopted by the commissioner under this subsection. This subsection expires September 1, 2010.

SECTIONi3.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

Floor Amendment No. 2

Amend Floor Amendment No. 1 by Representative Branch to CSSBi175 in SECTION 1 of the bill as follows:

(1)iiIn added Section 51.803(a-1), Education Code (page 2, lines 5 and 6), strike "Beginning with admissions for the 2010-2011 academic year" and substitute "Beginning with admissions for the 2011-2012 academic year".

(2)iiIn added Section 51.803(a-2), Education Code (page 3, line 27), strike "not later than April 15" and substitute "not later than September 15".

Floor Amendment No. 3

Substitute the following Floor Amendment for No. 2 by Representative Branch to CSSBi175 in SECTION 1 of the bill as follows:

(1)iiIn added Section 51.803(a-1), Education Code (page 2, lines 5 and 6), strike "Beginning with admissions for the 2010-2011 academic year" and substitute "Beginning with admissions for the 2012-2013 academic year".

(2)iiIn added Section 51.803(a-2), Education Code (page 3, line 27), strike "not later than April 15" and substitute "not later than September 15".

Floor Amendment No. 4

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSBi175 by adding the following appropriately numbered SECTIONS to the bill and renumbering the remaining SECTIONS of the bill accordingly:

SECTIONi____.iiSubchapter U, Chapter 51, Education Code, is amended by adding Section 51.8035 to read as follows:

Sec.i51.8035.iiAUTOMATIC ADMISSION OF APPLICANTS COMPLETING CORE CURRICULUM AT ANOTHER INSTITUTION. (a) In this section:

(1)ii"Core curriculum" means the core curriculum adopted by an institution of higher education under Section 61.822.

(2)ii"General academic teaching institution" has the meaning assigned by Section 61.003.

(b)iiA general academic teaching institution shall admit an applicant for admission to the institution as a transfer undergraduate student who:

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(1)iigraduated from high school not earlier than the fourth school year before the academic year for which the applicant seeks admission to the institution as a transfer student and:

(A)iiqualified for automatic admission to a general academic teaching institution under Section 51.803 at the time of graduation; or

(B)iiwas previously offered admission under this subchapter to the institution to which the applicant seeks admission as a transfer student;

(2)iifirst enrolled in a public junior college or other public or private lower-division institution of higher education not earlier than the third academic year before the academic year for which the applicant seeks admission;

(3)iicompleted the core curriculum at a public junior college or other public or private lower-division institution of higher education with a cumulative grade point average of at least 2.5 on a four-point scale or the equivalent; and

(4)iisubmits a completed application for admission as a transfer student before the expiration of any application filing deadline established by the institution.

(c)iiFor purposes of this section, transfer semester credit hours from a different institution of higher education and semester credit hours earned by examination shall be included in determining whether the person completed the core curriculum at an institution of higher education.

(d)iiIt is the responsibility of the applicant for admission under this section to:

(1)iiexpressly and clearly claim in the application entitlement to admission under this section; and

(2)iitimely provide to the general academic teaching institution the documentation required by the institution to determine the student's entitlement to admission under this section.

SECTIONi____.iiSection 51.8035, Education Code, as added by this Act, applies beginning with admissions to a general academic teaching institution for the 2010 spring semester.

Floor Amendment No. 6

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSBi175 by adding the following appropriately numbered SECTIONS to the bill and renumbering existing SECTIONS of the bill accordingly:

SECTIONi____.iiChapter 56, Education Code, is amended by adding Subchapter R to read as follows:

SUBCHAPTER R. SCHOLARSHIPS FOR STUDENTS GRADUATING
IN TOP 10 PERCENT OF HIGH SCHOOL CLASS

Sec.i56.481.iiPURPOSE. The purpose of this program is to encourage attendance at public institutions of higher education in this state by outstanding high school students in the top 10 percent of their graduating class.

Sec.i56.482.iiDEFINITIONS. In this subchapter:

(1)ii"Coordinating board" means the Texas Higher Education Coordinating Board.

(2)ii"Institution of higher education" has the meaning assigned by Section 61.003.

(3)ii"Program" means the scholarship program authorized by this subchapter.

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Sec.i56.483.iiAWARD OF SCHOLARSHIP. (a) The coordinating board shall award scholarships to eligible students under this subchapter.

(b)iiAn institution of higher education shall provide to a student who receives a scholarship under the program for a semester or other academic term:

(1)iia credit in the amount of the scholarship, to be applied toward the payment of any amount of educational costs charged by the institution for that semester or term; and

(2)iia check, electronic transfer, or other disbursement of any remaining scholarship amount.

(c)iiAn amount paid under Subsection (b)(2) may be applied only to any usual and customary cost incurred by the student to attend the institution of higher education.

Sec.i56.484.iiINITIAL ELIGIBILITY FOR SCHOLARSHIP.iiTo be eligible for a scholarship under this subchapter, a student must:

(1)iihave graduated from a public or accredited private high school in this state while ranked in the top 10 percent of the student's graduating class, subject to Section 56.487(b);

(2)iihave completed the recommended or advanced high school curriculum established under Section 28.025 or its equivalent;

(3)iihave applied for admission as a first-time freshman student for the 2010-2011 academic year or a subsequent academic year to an institution of higher education that has elected to offer admissions for that academic year to applicants as provided by Section 51.803(a-1);

(4)iienroll as a first-time freshman student in an institution of higher education not later than the 16th month after the date of the student's high school graduation;

(5)iihave been awarded a TEXAS grant under Subchapter M, Chapter 56, Education Code, for the same semester or other academic term for which the scholarship will be awarded;

(6)iibe a Texas resident under Section 54.052; and

(7)iicomply with any other eligibility requirements established by coordinating board rule.

Sec.i56.485.iiINELIGIBILITY FOR SCHOLARSHIP.i Notwithstanding Section 56.484, a student is not eligible for an initial or subsequent scholarship under this subchapter if the student was offered admission as a first-time freshman student to any institution of higher education for an academic year for which that institution made admissions under Section 51.803(a-1), regardless of whether the student subsequently enrolls at that institution.

Sec.i56.486.iiAMOUNT OF SCHOLARSHIP. (a) Except as provided by Subsection (b), the amount of a scholarship for each semester or other academic term in which an eligible student is enrolled at an institution of higher education is an amount sufficient to cover, but not exceed, the amount of tuition charged to the student for that semester or term.

(b)iiThe amount of a scholarship for each semester or other academic term may not exceed the amount of student's unmet financial need for that semester or term after any other gift aid has been awarded.

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(c)iiThe coordinating board shall issue to each eligible student a certificate indicating the amount of the scholarship awarded to the student.

Sec.i56.487.iiAPPLICATION PROCEDURE. (a) The coordinating board shall establish application procedures for the program. The procedures may require an officer of the applicable high school or school district to verify the eligibility of a student to receive a scholarship under the program.

(b)iiThe coordinating board may permit a student to establish initial eligibility based on the student's class rank at the end of the student's seventh semester in high school. The board may revoke an initial scholarship awarded to a student who subsequently loses eligibility based on the student's class rank on graduation from high school.

(c)iiThe coordinating board may consider applications received after the application deadline only if sufficient funding for scholarships remains after the board awards scholarships to all eligible students who applied on or before the deadline.

(d)iiThe coordinating board shall establish procedures to notify each eligible student of the receipt of a scholarship under the program and to enable an institution of higher education to verify the award of a scholarship to a student who is enrolled at that institution.

Sec.i56.488.iiCONTINUING ELIGIBILITY FOR SCHOLARSHIP. (a)iiAfter establishing eligibility to receive an initial scholarship under the program, a student may continue to receive additional scholarships during each subsequent semester or other academic term in which the student is enrolled at an institution of higher education if the student:

(1)iimakes satisfactory academic progress as required by Section 56.489;

(2)iisubmits to the institution transcripts for any coursework completed at other public or private institutions of higher education;

(3)iihas been awarded a TEXAS grant under Subchapter M, Chapter 56, Education Code, for the same semester or other academic term for which the scholarship will be awarded; and

(4)iicomplies with any other eligibility requirements established by coordinating board rule.

(b)iiIf a student fails to meet any of the requirements of Subsection (a) after completing a semester or other academic term, the student may not receive a scholarship during the next semester or other academic term in which the student enrolls. A student may become eligible to receive a scholarship in a subsequent semester or term if the student:

(1)iicompletes a semester or term during which the student is not eligible for a scholarship; and

(2)iimeets all the requirements of Subsection (a).

(c)iiExcept as provided by Section 56.490(b), a student's eligibility for a scholarship under the program ends on the fourth anniversary of the first day of the semester or other academic term for which the student was awarded an initial scholarship under the program.

Sec.i56.489.iiSATISFACTORY ACADEMIC PROGRESS.iiFor each academic year in which a student receives one or more scholarships under the program, the student must:

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(1)iicomplete for that year:

(A)iiat least 75 percent of all credit hours attempted, as determined by the institution of higher education in which the student is enrolled; and

(B)iiat least 30 credit hours or the number of credit hours needed to complete the student's degree or certificate program, whichever is less; and

(2)iimaintain an overall grade point average of at least 3.25 on a four-point scale or its equivalent for all coursework attempted at any public or private institution of higher education.

Sec.i56.490.iiEXCEPTION FOR HARDSHIP OR OTHER GOOD CAUSE.ii(a)iiEach institution of higher education shall adopt a policy to allow a student who fails to make satisfactory academic progress as required by Section 56.489 to receive a scholarship in a subsequent semester or other academic term on a showing of hardship or other good cause, including:

(1)iia showing of a severe illness or other debilitating condition that could affect the student's academic performance;

(2)iian indication that the student is responsible for the care of a sick, injured, or needy person and that the student's provision of care could affect the student's academic performance; or

(3)iiany other cause considered acceptable by the coordinating board.

(b)iiAn institution of higher education may extend the eligibility period described by Section 56.488(c) in the event of hardship or other good cause as provided by the institution's policy adopted under Subsection (a).

(c)iiAn institution of higher education shall maintain documentation of each exception granted to a student under this section and shall provide timely notice of those exceptions to the coordinating board.

Sec.i56.491.iiPUBLICATION OF PROGRAM INFORMATION. (a) The coordinating board shall publish and disseminate general information and rules for the program as provided by Subsection (b) and as otherwise considered appropriate by the board.

(b)iiThe coordinating board shall provide application instructions to:

(1)iieach school district and each institution of higher education; and

(2)iian individual student on request.

Sec.i56.492.iiREIMBURSEMENT. (a) Each institution of higher education that provides scholarships under the program to eligible students enrolled at the institution is entitled to reimbursement by the coordinating board of the amounts provided. The institution must request reimbursement in the manner specified by coordinating board rule.

(b)iiOn approval of an institution's request for reimbursement, the coordinating board shall direct the comptroller to transfer the appropriate amount to the institution. The institution may use the transferred funds as reimbursement for any credits provided to students under this subchapter, to reimburse students for charges previously paid to the institution, or to make scholarship payments to students, as applicable.

Sec.i56.493.iiRULES. The coordinating board shall adopt rules as necessary to administer the program under this subchapter.

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SECTIONi____.ii(a)iiThe Texas Higher Education Coordinating Board shall adopt rules to administer Subchapter R, Chapter 56, Education Code, as added by this Act, as soon as practicable after the effective date of this Act. For that purpose, the coordinating board may adopt the initial rules in the manner provided by law for emergency rules.

(b)iiThe Texas Higher Education Coordinating Board shall begin awarding scholarships under Subchapter R, Chapter 56, Education Code, as added by this Act, for the first academic year for which money is appropriated for that purpose, except that the coordinating board may not award scholarships under that subchapter for an academic year before the 2010-2011 academic year.

Floor Amendment No. 7

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175ias follows:

(1)iiIn the recital to SECTION 1 of the bill (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (g), and (h)".

(2)iiIn SECTION 1 of the bill,iat the end of amended Section 51.803, Education Code (page 4, between lines 18 and 19), insert the following:

(h)iiA general academic teaching institution that elects to offer admission under Subsection (a-1) for an academic year may not offer admission to first-time undergraduate students who are not residents of this state for that academic year in excess of the number required to fill 12.5 percent of the institution's enrollment capacity designated for first-time undergraduate students for that academic year.

Floor Amendment No. 8

Amend Floor Amendment No. 1 by Representative Branch to CSSBi175 as follows:

(1)iiOn page 1, lines 4 and 5, strike "(a-1), (a-2), and (g)" and substitute "(a-1), (a-2), (g), and (h)".

(2)iiAt the end of SECTION 1 of the bill (page 4, between lines 18 and 19), add the following:

(h)iiAn institution that admits under this section an applicant qualified for automatic admission under Subsection (a) may admit the applicant for either the fall semester of the academic year for which the applicant applies or for the summer session preceding that fall semester, as determined by the institution.

Floor Amendment No. 11

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSBi175ias follows:

(1)iiIn the recital to SECTION 1 of the bill (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (g), and (h)".

(2)iiIn SECTION 1 of the bill,iat the end of amended Section 51.803, Education Code (page 4, between lines 18 and 19), insert the following:

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(h)iiIf a general academic teaching institution denies admission to an applicant for an academic year, in any letter or other communication the institution provides to the applicant notifying the applicant of that denial, the institution may not reference the provisions of this section, including using a description of a provision of this section such as the top 10 percent automatic admissions law, as a reason the institution is unable to offer admission to the applicant unless the number of applicants for admission to the institution for that academic year who qualify for automatic admission under Subsection (a) is sufficient to fill 100 percent of the institution's enrollment capacity designated for first-time resident undergraduate students.

Floor Amendment No. 17

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, in SECTION 1 of the bill, as follows:

(1)iiStrike added Section 51.803(a-1), Education Code (page 2, line 5, through page 3, line 17), and substitute the following:

(a-1)iiBeginning with admissions for the 2011-2012 academic year, The University of Texas at Austin is not required to offer admission to applicants who qualify for automatic admission under Subsection (a) in excess of the number required to fill 75 percent of the university's enrollment capacity designated for first-time resident undergraduate students in an academic year. If the number of applicants who qualify for automatic admission to The University of Texas at Austin under Subsection (a) for an academic year exceeds 75 percent of the university's enrollment capacity designated for first-time resident undergraduate students for that academic year, the university may elect to offer admission to those applicants as provided by this subsection and not as otherwise required by Subsection (a). If the university elects to offer admission under this subsection, the university shall offer admission to those applicants by percentile rank according to high school graduating class standing based on grade point average, beginning with the top percentile rank, until the applicants qualified under Subsection (a) have been offered admission in the number estimated in good faith by the university as sufficient to fill 75 percent of the university's enrollment capacity designated for first-time resident undergraduate students, except that the university must offer admission to all applicants with the same percentile rank. After the applicants qualified for automatic admission under Subsection (a) have been offered admission under this subsection in the number estimated in good faith as sufficient to fill 75 percent of the designated enrollment capacity described by this subsection, the university shall consider any remaining applicants qualified for automatic admission under Subsection (a) in the same manner as other applicants for admission as first-time undergraduate students in accordance with Section 51.805.

(2)iiIn added Section 51.803(a-2), Education Code (page 3, line 22), strike "60" and substitute "75".

Floor Amendment No. 19

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175ias follows:

(1)iiIn the recital to SECTION 1 of the bill (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (g), and (h)".

4648 81st Legislature — Regular Session 69th Day (Cont.)


(2)iiIn SECTION 1 of the bill,iat the end of amended Section 51.803, Education Code (page 4, between lines 18 and 19), insert the following:

(h)iiA general academic teaching institution that elects to offer admission under Subsection (a-1) for an academic year may not offer admission to first-time undergraduate students who are not residents of this state for that academic year in excess of the number required to fill 10 percent of the institution's enrollment capacity designated for first-time undergraduate students for that academic year.

Floor Amendment No. 20

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, in SECTION 1 of the bill, as follows:

(1)iiIn the recital (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (a-3), and (g)".

(2)iiImmediately following added Section 51.803(a-2), Education Code (page 4, between lines 2 and 3), insert the following:

(a-3)iiNotwithstanding Subsection (a-1), The University of Texas at Austin may not offer admission under that subsection for an academic year after the 2015-2016 academic year.

Floor Amendment No. 21

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175ias follows:

(1)iiIn the recital to SECTION 1 of the bill (page 1, lines 4 and 5), strike "adding Subsections (a-1), (a-2), and (g)" and substitute "adding Subsections (a-1), (a-2), (a-3), and (g)".

(2)iiIn SECTION 1 of the bill, immediately following added Section 51.803(a-2), Education Code (page 4, between lines 2 and 3), insert the following:

(a-3)iiIf The University of Texas at Austin elects to offer admission to first-time resident undergraduate students under Subsection (a-1) for an academic year, the university must continue its practice of not considering an applicant's legacy status as a factor in the university's decisions relating to admissions for that academic year.

Floor Amendment No. 24

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175 by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiThe purpose of the reforms provided for in this Act is to continue and facilitate progress in general academic teaching institutions in this state with regard to the racial, ethnic, demographic, geographic, and rural/urban diversity of the student bodies of those institutions in undergraduate, graduate, and professional education, including the participation goals identified in the Closing the Gaps initiative, the state's master plan for higher education. Nothing in this Act prevents a general academic teaching institution in this state from engaging in appropriate individualized holistic review, consistent with that purpose, for the admission of students who are not entitled to automatic admission under Section 51.803, Education Code, as amended by this Act.

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Floor Amendment No. 25

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175ias follows:

(1)iiIn the recital to SECTION 1 of the bill (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (g), and (h)".

(2)iiIn SECTION 1 of the bill,iat the end of amended Section 51.803, Education Code (page 4, between lines 18 and 19), insert the following:

(h)iiA general academic teaching institution may not offer admission under Subsection (a-1) for an academic year if, on the date of the institution's general deadline for applications for admission of first-time undergraduate students for that academic year:

(1)iia final court order applicable to the institution prohibits the institution from considering an applicant's race or ethnicity as a factor in the institution's decisions relating to first-time undergraduate admissions; or

(2)iithe institution's governing board by rule, policy, or other manner has provided that an applicant's race or ethnicity may not be considered as a factor in the institution's decisions relating to first-time undergraduate admissions, except that this subdivision does not apply to an institution that did not consider, on or before June 1, 2009, an applicant's race or ethnicity as a factor in its admissions of first-time resident undergraduate students for the 2009-2010 academic year.

Floor Amendment No. 35

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, in SECTION 1 of the bill,ias follows:

(1)iiIn the recital (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (g), and (h)".

(2)iiImmediately following added Section 51.803(g), Education Code (page 4, between lines 18 and 19), insert the following:

(h)iiThe Texas Higher Education Coordinating Board shall publish an annual report on the impact of Subsection (a-1) on the state's goal of closing college access and achievement gaps under "Closing the Gaps," the state's master plan for higher education, with respect to students of an institution that offers admission under that subsection, disaggregated by race, ethnicity, socioeconomic status, and geographic region and by whether the high school from which the student graduated was a small school, as defined by the commissioner of education, or a public high school that is ranked among the lowest 20 percent of public high schools according to the percentage of each high school's graduates who enroll in a four-year institution, including a general academic teaching institution, in one of the two academic years following the year of the applicant's high school graduation. On request, a general academic teaching institution that offers admission under Subsection (a-1) shall provide the board with any information the board considers necessary for the completion of the report required by this subsection.

Floor Amendment No. 39

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS of the bill accordingly:

4650 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi____.iiSection 33.007, Education Code, is amended by adding Subsection (c) to read as follows:

(c)iiAt the beginning of grade 10 and 11, a school counselor certified under the rules of the State Board for Educator Certification shall explain the requirements of automatic admission to a general academic teaching institution under Section 51.803 to each student enrolled in a high school or at the high school level in an open-enrollment charter school who has a grade point average in the top 25 percent of the student's high school class.

Floor Amendment No. 45

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, in SECTION 1 of the bill, as follows:

(1)iiIn the recital (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (a-3), and (g)".

(2)iiImmediately following added Section 51.803(a-2), Education Code (page 4, between lines 2 and 3), insert the following:

(a-3)iiA general academic teaching institution that offers admission to first-time resident undergraduate students under Subsection (a-1) shall require that a student admitted under that subsection complete a designated portion of not less than six semester credit hours of the student's coursework during evening hours or other low-demand hours as necessary to ensure the efficient use of the institution's available classrooms.

Floor Amendment No. 46

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, as follows:

(1)iiStrike SECTION 2 of the bill, amending Section 28.026, Education Code (page 4, line 19, through page 5, line 25), and substitute the following:

SECTIONi2.iiSection 28.026, Education Code, is amended to read as follows:

Sec.i28.026.iiNOTICE OF AUTOMATIC COLLEGE ADMISSION. (a) The board of trustees of a school district shall require each high school in the district to post appropriate signs in each counselor's office, in each principal's office, and in each administrative building indicating the substance of Section 51.803 regarding automatic college admission. To assist in the dissemination of this information, the school district shall:

(1)iirequire that each high school counselor and class advisor be provided a detailed explanation of the substance of Section 51.803;

(2)iiprovide each district student, at the time the student first registers for one or more classes required for high school graduation, with a written notification of the substance of Section 51.803;

(3)iirequire that each high school counselor and senior class advisor explain to eligible students the substance of Section 51.803; and

(4)iinot later than the 14th day after the last day of classes for the fall semester or an equivalent date in the case of a school operated on a year-round system under Section 25.084,i[(3)]iprovide each eligible senior student under Section 51.803 and each student enrolled in the junior year of high school who has a grade point average in the top 10 percent of the student's high school class, and the student's

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parent or guardian [at the commencement of a class's senior year], with a written notification of the student's eligibility with a detailed explanation in plain language of the substance of Section 51.803.

(b)iiThe commissioner shall adopt forms to use in providing notice under Subsections (a)(2) and (4). In providing notice under Subsection (a)(2) or (4), a school district shall use the appropriate form adopted by the commissioner. The notice to a student and the student's parent or guardian under Subsection (a)(4) must be on a single form that may contain one or more signature lines to indicate receipt of notice by the student or the student's parent or guardian.

(c)iiThe commissioner shall adopt procedures to ensure that, as soon as practicable after this subsection becomes law, each school district provides written notification of the substance of Section 51.803, as amended by the 81st Legislature, Regular Session, 2009, to each district student who, for the 2009-2010 school year, registers for one or more courses required for high school graduation. The commissioner may adopt rules under this subsection in the manner provided by law for emergency rules. Each district shall comply with the procedures adopted by the commissioner under this subsection. This subsection expires September 1, 2010.

(2)iiAdd the following appropriately numbered SECTION to the bill:

SECTIONi____.iiThe commissioner of education shall adopt a form for notifying eligible high school seniors and their parents or guardians of automatic college admission as required by Section 28.026, Education Code, as amended by this Act, as soon as practicable after the effective date of this Act.

(3)iiRenumber the SECTIONS of the bill accordingly.

Floor Amendment No. 47

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175 by inserting into the bill the following appropriately numbered SECTION and renumbering subsequent SECTIONS of the bill to read as follows:

SECTIONi____.iiSubchapter C, Chapter 61, Education Code, is amended by adding Section 61.07622 to read as follows:

Sec.i61.07622.iiHIGHER EDUCATION ASSISTANCE PLAN. (a) The board shall develop a plan under which each public high school in this state that is, as determined by the board in accordance with board rule, substantially below the state average in the number of graduates who attend public or private or independent institutions of higher education is required to:

(1)iiprovide to prospective students information related to enrollment in public or private or independent institutions of higher education, including admissions and financial aid information; and

(2)iiassist those prospective students in completing applications related to enrollment in those institutions, including admissions and financial aid applications.

Floor Amendment No. 58

Amend Floor Amendment No. 1 (floor substitute) by Representative Branch to CSSB 175, in SECTION 1 of the bill, as follows:

(1)iiIn the recital (page 1, lines 4 and 5), strike "Subsections (a-1), (a-2), and (g)" and substitute "Subsections (a-1), (a-2), (a-3), and (g)".

4652 81st Legislature — Regular Session 69th Day (Cont.)


(2)iiImmediately following added Section 51.803(a-2), Education Code (page 4, between lines 2 and 3), insert the following:

(a-3)iiNot later than December 31 of each academic year in which The University of Texas at Austin offers admission under Subsection (a-1), the university shall deliver a written report to the governor, the lieutenant governor, and speaker of the house of representatives regarding the university's progress in each of the following matters:

(1)iiincreasing geographic diversity of the entering freshman class;

(2)iicounseling and outreach efforts aimed at students qualified for automatic admission under this section;

(3)iirecruiting Texas residents who graduate from other institutions of higher education to the university's graduate and professional degree programs;

(4)iirecruiting students who are members of underrepresented demographic segments of the state's population; and

(6)iiassessing and improving the university's regional recruitment centers.

The amendments were read.

Senator Shapiro moved to concur in the House amendments to SBi175.

The motion prevailed by the following vote:iiYeasi27, Naysi4.

Yeas:iiAveritt, Carona, Davis, Deuell, Duncan, Ellis, Eltife, Estes, Fraser, Gallegos, Harris, Hegar, Hinojosa, Jackson, Lucio, Nelson, Nichols, Patrick, Seliger, Shapiro, Uresti, VanideiPutte, Watson, Wentworth, West, Whitmire, Zaffirini.

Nays:iiHuffman, Ogden, Shapleigh, Williams.

SENATE BILL 636 WITH HOUSE AMENDMENTS

Senator Seliger called SBi636 from the President's table for consideration of the House amendments to the bill.

The Presiding Officer laid the bill and the House amendments before the Senate.

Floor Amendment No. 1

Amend SB 636 (House committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSubchapter C, Chapter 151, Tax Code, is amended by adding Section 151.0565 to read as follows:

Sec.i151.0565.iiTAXABLE ITEMS SOLD OR PROVIDED UNDER DESTINATION MANAGEMENT SERVICES CONTRACTS. (a) In this section:

(1)ii"Destination management services" means the following services when provided under a qualified destination management services contract:

(A)iitransportation management;

(B)iibooking and managing entertainers;

(C)iicoordination of tours or recreational activities;

(D)iimeeting, conference, or event registration;

(E)iimeeting, conference, or event staffing;

(F)iievent management; and

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(G)iimeal coordination.

(2)ii"Qualified destination management company" means a business entity that:

(A)iiis incorporated or is a limited liability company;

(B)iireceives at least 80 percent of the entity's annual total revenue from providing or arranging for the provision of destination management services;

(C)iimaintains a permanent nonresidential office from which the destination management services are provided or arranged;

(D)iihas at least three full-time employees;

(E)iispends at least one percent of the entity's annual gross receipts to market the destinations with respect to which destination management services are provided;

(F)iihas at least 80 percent of the entity's clients described by Subdivision (3)(A) located outside this state;

(G)iiother than office equipment used in the conduct of the entity's business, does not own equipment used to directly provide destination management services, including motor coaches, limousines, sedans, dance floors, decorative props, lighting, podiums, sound or video equipment, or equipment for catered meals;

(H)iiis not doing business as a caterer;

(I)iidoes not provide services for weddings;

(J)iidoes not own a venue at which events or activities for which destination management services are provided occur; and

(K)iiis not a subsidiary of another entity that, and is not a member of an affiliated group, as that term is defined by Section 171.0001, another member of which:

(i)iiis doing business as, or owns or operates another entity doing business as, a caterer; or

(ii)iiowns or operates a venue described by Paragraph (J).

(3)ii"Qualified destination management services contract" means a contract under which at least three of the destination management services listed in Subdivision (1) are provided:

(A)iiin this state to a client that is not an individual and that:

(i)iiis a corporation, partnership, limited liability company, trade association, or other business entity, other than a social club or fraternal organization;

(ii)iihas its principal place of business outside the county where the destination management services are to be provided; and

(iii)iiagrees to pay the qualified destination management company for all destination management services provided to the client under the terms of the contract; and

(B)iiby a qualified destination management company that pays or accrues liability for the payment of taxes imposed by this chapter on purchases of taxable items that will be consumed or used by the company in performing the contract.

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(b)iiA qualified destination management company is the consumer of taxable items sold or otherwise provided under a qualified destination management services contract, and the destination management services provided under the contract are not considered taxable services, as that term is defined by Section 151.0101.

SECTIONi____.ii(a) Section 171.1011, Tax Code, is amended by adding Subsection (g-6) to read as follows:

(g-6)iiA taxable entity that is a qualified destination management company as defined by Section 151.0565 shall exclude from its total revenue, to the extent included under Subsection (c)(1)(A), (c)(2)(A), or (c)(3), payments made to other persons to provide services, labor, or materials in connection with the provision of destination management services as defined by Section 151.0565.

(b)iiThis section applies only to a report originally due on or after the effective date of this section.

(c)iiNotwithstanding any other provision of this Act, this section takes effect January 1, 2010.

Floor Amendment No. 2

Amend SB 636 by adding the following appropriately numbered sections to read as follows and renumbered the subsequent sections accordingly:

SECTIONi____.iSubdivision (3), Subsection (a), Section 321.002, Tax Code, is amended to read as follows:

(3)ii"Place of business of the retailer" means an established outlet, office, or location operated by the retailer or the retailer's agent or employee for the purpose of receiving orders for taxable items and includes any location at which three or more orders are received by the retailer during a calendar year. A warehouse, storage yard, or manufacturing plant is not a "place of business of the retailer" unless at least three orders are received by the retailer during the calendar year at the warehouse, storage yard, or manufacturing plant. An outlet, office, facility, or location that contracts with a retail or commercial business engaged in activities to which this chapter applies to process for that business invoices or bills of lading onto which sales tax is added is not a "place of business of the retailer" if the comptroller determines that the outlet, office, facility, or location functions or exists to avoid the tax imposed by this chapter or to rebate a portion of the tax imposed by this chapter to the contracting business. Notwithstanding any other provision of this subdivision, a kiosk is not a "place of business of the retailer." In this subdivision, "kiosk" means a small stand-alone area or structure that:

(A)iiis used solely to display merchandise or to submit orders for taxable items from a data entry device, or both;

(B)iiis located entirely within a location that is a place of business of another retailer, such as a department store or shopping mall; and

(C)iiat which taxable items are not available for immediate delivery to a customer.

SECTIONi____.iiSection 321.203, Tax Code, is amended by amending Subsections (c) and (d) and adding Subsections (c-1), (c-2), and (c-3) to read as follows:

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(c)iiIf a retailer has more than one place of business in this state, each [a] sale of each [a] taxable item by the retailer is consummated at the [retailer's] place of business of the retailer in this state where the retailer first receives the order, provided that the order is placed in person by the purchaser or lessee of the taxable item at the place of business of the retailer in this state where the retailer first receives the order.

(c-1)iiIf the retailer has more than one place of business in this state and Subsection (c) does not apply, the sale is consummated at the place of business of the retailer in this state:

(1)iifrom which the retailer ships or delivers the item, if the retailer ships or delivers the item to a point designated by the purchaser or lessee; or

(2)iiwhere the purchaser or lessee takes possession of and removes the item, if the purchaser or lessee takes possession of and removes the item from a place of business of the retailer.

(c-2)iiSubsection (c) does not apply if:

(1)iithe taxable item is shipped or delivered from a warehouse:

(A)iithat is a place of business of the retailer;

(B)iiin relation to which the retailer has an economic development agreement with:

(i)iithe municipality in which the warehouse is located that was entered into under Chapter 380, 504, or 505, Local Government Code, or a predecessor statute, before January 1, 2009; or

(ii)iithe county in which the warehouse is located that was entered into under Chapter 381, Local Government Code, before January 1, 2009; and

(C)iiin relation to which the municipality provides information relating to the economic development agreement as required by Subsection (c-3) by the deadline prescribed by that subsection, or, if appropriate, the county complies with Section 323.203(c-3) by the deadline prescribed by that section; and

(2)iithe place of business of the retailer at which the retailer first receives the order in the manner described by Subsection (c) is a retail outlet identified in the information required by Subsection (c-3) or Section 323.203(c-3) as being served by the warehouse on January 1, 2009.

(c-3)iiNot later than September 1, 2009, a municipality that has entered into an economic development agreement described by Subsection (c-2) shall send to the comptroller information prescribed by the comptroller relating to the agreement that identifies each warehouse subject to the agreement and each retail outlet that, on January 1, 2009, was served by that warehouse. The comptroller shall prescribe the manner in which the information must be provided. The provision of information to the comptroller under this subsection does not affect whether information described by this subsection is confidential or excepted from required public disclosure. This subsection and Subsection (c-2) expire September 1, 2014.

(d)iiIf the retailer has more than one place of business in this state and Subsections (c) and (c-1) do not apply [neither the possession of a taxable item is taken at nor shipment or delivery of the item is made from the retailer's place of business in this state], the sale is consummated at:

(1)iithe [retailer's] place of business of the retailer in this state where the order is received; or

4656 81st Legislature — Regular Session 69th Day (Cont.)


(2)iiif the order is not received at a place of business of the retailer, the place of business from which the retailer's agent or employee who took the order operates.

SECTIONi____.iiSection 323.203, Tax Code, is amended by amending Subsections (c) and (d) and adding Subsections (c-1), (c-2), and (c-3) to read as follows:

(c)iiIf a retailer has more than one place of business in this state, each [a] sale of each [a] taxable item by the retailer is consummated at the [retailer's] place of business of the retailer in this state where the retailer first receives the order, provided that the order is placed in person by the purchaser or lessee of the taxable item at the place of business of the retailer in this state where the retailer first receives the order.

(c-1)iiIf the retailer has more than one place of business in this state and Subsection (c) does not apply, the sale is consummated at the place of business of the retailer in this state:

(1)iifrom which the retailer ships or delivers the item, if the retailer ships or delivers the item to a point designated by the purchaser or lessee; or

(2)iiwhere the purchaser or lessee takes possession of and removes the item, if the purchaser or lessee takes possession of and removes the item from a place of business of the retailer.

(c-2)iiSubsection (c) does not apply if:

(1)iithe taxable item is shipped or delivered from a warehouse:

(A)iithat is a place of business of the retailer;

(B)iiin relation to which the retailer has an economic development agreement with:

(i)iithe county in which the warehouse is located that was entered into under Chapter 381, Local Government Code, before January 1, 2009; or

(ii)iithe municipality in which the warehouse is located that was entered into under Chapter 380, 504, or 505, Local Government Code, or a predecessor statute, before January 1, 2009; and

(C)iiin relation to which the county provides information relating to the economic development agreement as required by Subsection (c-3) by the deadline prescribed by that subsection, or, if appropriate, the municipality complies with Section 321.203(c-3) by the deadline prescribed by that section; and

(2)iithe place of business of the retailer at which the retailer first receives the order in the manner described by Subsection (c) is a retail outlet identified in the information required by Subsection (c-3) or Section 321.203(c-3) as being served by the warehouse on January 1, 2009.

(c-3)iiNot later than September 1, 2009, a county that has entered into an economic development agreement described by Subsection (c-2) shall send to the comptroller information prescribed by the comptroller relating to the agreement that identifies each warehouse subject to the agreement and each retail outlet that, on January 1, 2009, was served by that warehouse. The comptroller shall prescribe the manner in which the information must be provided. The provision of information to the comptroller under this subsection does not affect whether information described by this subsection is confidential or excepted from required public disclosure. This subsection and Subsection (c-2) expire September 1, 2014.

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(d)iiIf the retailer has more than one place of business in this state and Subsections (c) and (c-1) do not apply [neither the possession of a taxable item is taken at nor shipment or delivery of the item is made from the retailer's place of business in this state], the sale is consummated at:

(1)iithe [retailer's] place of business of the retailer in this state where the order is received; or

(2)iiif the order is not received at a place of business of the retailer, the place of business from which the retailer's agent or employee who took the order operates.

SECTIONi____.iiThe change in law made by this Act does not affect tax liability accruing before the effective date of this Act. That liability continues in effect as if this Act had not been enacted, and the former law is continued in effect for the collection of taxes due and for civil and criminal enforcement of the liability for those taxes.

SECTIONi____.iiSection 321.203, and Section 323.203, Tax Code, as added by this Act, take 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. If this Act does not receive the vote necessary for immediate effect, Section 321.203 and Section 323.203, Tax Code, as added by this Act, take effect August 31, 2009.

The amendments were read.

Senator Seliger moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi636 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Seliger, Chair; Williams, Deuell, Eltife, and West.

SENATE BILL 2096 WITH HOUSE AMENDMENT

Senator Wentworth called SBi2096 from the President's table for consideration of the House amendment to the bill.

The Presiding Officer laid the bill and the House amendment before the Senate.

Amendment

Amend SBi2096 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the creation of and the powers of a comprehensive multimodal urban transportation authority, including the power to impose taxes, issue bonds, and exercise limited eminent domain authority.

4658 81st Legislature — Regular Session 69th Day (Cont.)


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiChapter 451, Transportation Code, is amended by adding Subchapter R to read as follows:

SUBCHAPTER R. URBAN TRANSPORTATION AUTHORITIES

Sec.i451.901.iiDEFINITIONS. (a)iiIn this subchapter:

(1)ii"Advanced transportation district" means a district created or operating under Subchapter O.

(2)ii"Authority" means a rapid transit authority created or operating under this chapter.

(3)ii"Board" means the governing body of an urban transportation authority, except as otherwise provided by this subchapter.

(4)ii"Comprehensive advanced transportation" means the design, construction, extension, expansion, improvement, reconstruction, alteration, acquisition, financing, and maintenance of mass transit, light rail, commuter rail, intercity municipal rail, freight rail, fixed guideways, traffic management systems, bus ways, bus lanes, technologically advanced bus transit vehicles and systems, bus rapid transit vehicles and systems, passenger amenities, transit centers, stations, parking facilities and payment mechanisms, sidewalks, bicycle lanes, electronic transit-related information, fare collection and operating systems, high occupancy vehicle lanes, bridges, traffic signal prioritization and coordination systems, monitoring systems, tracks and rail line, switching and signaling equipment, operating equipment, depots, locomotives, rolling stock, maintenance facilities, other real and personal property associated with a rail operation and transit-oriented development, and other comprehensive advanced transportation facilities, equipment, operations, comprehensive transportation systems, and services, including planning, feasibility studies, operations, and professional and other services in connection with those facilities, equipment, operations, comprehensive transportation systems, and services.

(5)ii"Comprehensive mobility enhancement" means the design, construction, extension, expansion, improvement, reconstruction, alteration, acquisition, financing, and maintenance of:

(A)iistreets, roads, highways, high occupancy vehicle lanes, toll lanes, turnpike projects, pedestrian or bicycle facilities, bridges, grade separations, parking facilities and payment mechanisms, and infrastructure designed to improve mobility;

(B)iitraffic signal prioritization and street lighting;

(C)iimonitoring systems;

(D)iiother mobility enhancement facilities, equipment, systems, and services, including drainage improvements or drainage-related measures reasonable and necessary for the effective use of the transportation facility being constructed or maintained;

(E)iian intermodal hub, air quality improvement initiative, and public utility facility; and

(F)iia conveyance or acceptance of the exclusive rights to develop tolled infrastructure or other mobility-related assets, including concession fees.

(6)ii"Comprehensive transportation system" means a transportation project or a combination of transportation projects designated as a system by the board of an urban transportation authority.

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(7)ii"Construction costs" means the costs of acquisition, construction, reconstruction, improvement, extension, or expansion of a transportation project under this subchapter. The term includes a construction cost as defined by Chapter 370.

(8)ii"Costs" means finance costs and construction costs.

(9)ii"Debt" means a bond, certificate, long-term or short-term note, commercial paper, loan, certificate of participation, agreement with a local government, or any other obligation with a variable or fixed interest rate authorized by this chapter or the constitution or another law of this state. The term includes a credit agreement issued under Chapter 1371, Government Code.

(10)ii"Finance costs" means any fee or expense associated with the financing of a transportation project, including any debt service requirement, capitalized interest, reserve fund requirement, professional or administrative cost, or other cost incurred by or relating to the issuance of debt under this subchapter relating to the design, construction, extension, expansion, improvement, reconstruction, alteration, financing, acquisition, or maintenance of a transportation project.

(11)ii"Regional mobility authority" means a regional mobility authority created or operating under Chapter 370.

(12)ii"Revenue" means revenue available to an urban transportation authority under this subchapter, including any source of taxes or revenue available under Chapter 370 or this chapter, including Subchapter O.

(13)ii"Transportation project" means a comprehensive advanced transportation project or a comprehensive mobility enhancement project.

(14)ii"Urban transportation authority" means an entity that has the powers of an authority, a regional mobility authority, and an advanced transportation district and is created under this subchapter.

(b)iiA word or phrase that is not defined in this subchapter but is defined in Subchapter O has the meaning in this subchapter that is assigned by that subchapter.

(c)iiA word or phrase that is not defined in this subchapter but is defined in Chapter 370 has the meaning in this subchapter that is assigned by that chapter.

Sec.i451.902.iiLIBERAL CONSTRUCTION. This subchapter shall be liberally construed to carry out its purposes. A provision of this subchapter that conflicts with Subchapter A or O or with Chapter 370 shall be construed to grant the broadest power.

Sec.i451.903.iiCREATION OF URBAN TRANSPORTATION AUTHORITY AUTHORIZED. (a)iiThe governing body of an authority in which the principal municipality has a population of more than 700,000 and in the territory of which both an advanced transportation district and a regional mobility authority exist may approve and submit a petition to the governing bodies of the advanced transportation district and the regional mobility authority that seeks consent to the creation of an urban transportation authority under this subchapter.

(b)iiCreation of an urban transportation authority under this subchapter may occur if:

4660 81st Legislature — Regular Session 69th Day (Cont.)


(1)iithe governing body of the principal municipality in the authority and the commissioners court of each county in which the authority is located and in which a sales and use tax is collected under this chapter consent to the creation of the urban transportation authority;

(2)iithe governing body of the regional mobility authority consents to the creation of the urban transportation authority;

(3)iithe commissioners court of each county in which the regional mobility authority is located consents to the creation of the urban transportation authority;

(4)iithe governing body of the advanced transportation district consents to the creation of the urban transportation authority; and

(5)iithe commissioners court of each county and the governing body of the principal municipality in which the advanced transportation district is located consent to the creation of the urban transportation authority.

(c)iiThe petition of the authority and the consents described in Subsection (b) must:

(1)iiapprove the transfer of the assets, liabilities, rights, and obligations of each entity to the urban transportation authority; or

(2)iimake adequate provision therefor by the applicable entity.

Sec.i451.904.iiEFFECT OF CREATION OF URBAN TRANSPORTATION AUTHORITY. (a)iiAn urban transportation authority is created only after the occurrence of the actions required by Section 451.903. On the first day of the calendar month after the month in which the final action required by that section is taken, an urban transportation authority is considered to have been created. The urban transportation authority has the rights, powers, duties, and privileges granted to an authority under this chapter, to an urban transportation authority under this subchapter, to an advanced transportation district under Subchapter O, and to a regional mobility authority under Chapter 370, including the right to plan and develop transportation projects in any county in which the urban transportation authority is located.

(b)iiOn the date the urban transportation authority is considered to have been created, the urban transportation authority becomes the successor entity to the authority, the advanced transportation district, and the regional mobility authority. On that date the authority, the advanced transportation district, and the regional mobility authority cease to exist.

(c)iiThe urban transportation authority succeeds to and is obligated for all assets, liabilities, rights, and obligations not otherwise provided for of the authority, the advanced transportation district, and the regional mobility authority, on terms and conditions that, upon succession, are no less beneficial to employees than those extant immediately before the creation of the urban transportation authority, including continuation of all rights, privileges, and benefits such as pension rights and benefits, wages, and working conditions, afforded to employees under an existing agreement.

Sec.i451.905.iiPOWERS. (a)iiAn urban transportation authority has the powers necessary or convenient to implement this subchapter or to effect a purpose of this subchapter.

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(b)iiAn urban transportation authority through its board may plan, study, evaluate, design, finance, acquire, construct, maintain, repair, and operate a transportation project, individually or as one or more comprehensive transportation systems.

(c)iiAn urban transportation authority has:

(1)iiall of the rights, powers, duties, and privileges granted to an authority by this chapter;

(2)iiall of the rights, powers, duties, and privileges granted to a regional mobility authority by Chapter 370; and

(3)iiall of the rights, powers, duties, and privileges granted to an advanced transportation district by Subchapter O.

(d)iiA right, power, duty, or privilege of an urban transportation authority described in Subsection (c) may be exercised independently or in combination to effect the purposes of this subchapter. Except as otherwise provided by this subchapter, in the event of a conflict, the most liberal provision applies.

(e)iiIn the manner and to the extent that an authority is authorized by this chapter, an urban transportation authority may develop and operate a transit system, set fares and other charges, and develop stations or terminal complexes for the use of the transit system and related right-of-way.

(f)iiAn urban transportation authority has any right, power, duty, or privilege granted by Chapter 370 to a regional mobility authority that relates to mass transit or a transit system and that is not in conflict with this subchapter.

(g)iiAn urban transportation authority may impose any kind of tax or fee other than an ad valorem tax, including a sales and use tax. The applicable provisions of this chapter, including Subchapter O, and Chapter 370 apply to the imposition of a fee or tax by the urban transportation authority. If the legislature enacts provisions for local option transportation financing through a transportation finance authority or a centralized transportation finance entity, an urban transportation authority may serve as such an entity.

(h)iiAn urban transportation authority may develop and operate a turnpike project. The turnpike project must be developed and operated under the provisions of Chapter 370, including any provision relating to the setting of toll rates.

(i)iiUnless otherwise provided by this subchapter, the board shall allocate the proceeds of the advanced transportation district sales and use tax in compliance with Subchapter O.

(j)iiUnless otherwise provided by this subchapter, an election relating to the sales and use tax or the boundaries of an advanced transportation district is governed by the provisions of Subchapter O relating to such an election of an advanced transportation district.

(k)iiAn urban transportation authority may create a transportation corporation or local government corporation under Chapter 431.

(l)iiAn urban transportation authority is a toll project entity and a local toll project entity to the same extent as a regional mobility authority under the provisions of this code.

4662 81st Legislature — Regular Session 69th Day (Cont.)


(m)iiIn its selection and prioritization of transportation projects, the board shall consider the geographic location of other transportation projects funded by this state or the United States so as to foster geographic equity in the planning and development of the projects.

Sec.i451.906.iiNATURE OF URBAN TRANSPORTATION AUTHORITY. (a)iiAn urban transportation authority:

(1)iiis a body politic and corporate and a political subdivision of this state;

(2)iihas perpetual succession; and

(3)iiexercises public and essential governmental functions.

(b)iiThe exercise of a right, power, or privilege granted by this subchapter is for a public purpose and is a matter of public necessity and is, in all respects, for the benefit of the people of the territory in which an urban transportation authority operates and of the people of this state, for the increase of their commerce and prosperity, and for the improvement of their health, living conditions, and public safety.

(c)iiAn urban transportation authority is a governmental unit under Chapter 101, Civil Practice and Remedies Code. The operations of the urban transportation authority are not proprietary functions for any purpose.

(d)iiAn urban transportation authority is:

(1)iia public entity under Section 222.1045; and

(2)iia governmental agency under Subchapter A, Chapter 271, Local Government Code.

(e)iiThe property, revenue, and income of an urban transportation authority are exempt from state and local taxes.

Sec.i451.907.iiGOVERNANCE OF URBAN TRANSPORTATION AUTHORITY; INITIAL BOARD OF DIRECTORS. (a)iiAn urban transportation authority is governed by a board of directors. The board consists of:

(1)iisix members appointed by the governing body of the principal municipality, with one member designated to represent the interests of the transportation disadvantaged;

(2)iifour members appointed by the commissioners court of the county in which the urban transportation authority is located, or if the urban transportation authority is located in more than one county, jointly appointed by the commissioners courts of those counties;

(3)iitwo members appointed by a panel composed of the mayors of the municipalities, other than the principal municipality, that are inside the boundaries of the authority and contribute sales and use tax revenue to the authority; and

(4)iione member appointed by the governor.

(a-1)iiThe members appointed under Subsection (a) shall select by majority vote one member to serve as presiding officer of the board.

(b)iiOn the creation of the urban transportation authority, the initial board of the urban transportation authority shall be appointed from among the memberships of the governing body of the authority, the governing body of the advanced transportation district, and the governing body of the regional mobility authority, as extant immediately before the urban transportation authority was created.

(c)iiThe board is responsible for the management, operation, and control of the urban transportation authority and the property of the urban transportation authority.

Saturday, May 30, 2009 SENATE JOURNAL 4663


(d)iiA provision of this chapter that is applicable to the governing body of an authority and relates to vacancies, term limitations, residency requirements, compensation, surety bonds, nepotism, financial disclosure, indemnification, insurance, or removal applies to the board.

(e)iiBoard meetings and actions are governed by the provisions of this chapter that are applicable to the governing body of an authority. Those meetings and actions are not governed by Chapter 370.

(f)iiTo be eligible to serve as a director, an individual:

(1)iimay be a representative of an entity that is also represented on a metropolitan planning organization in the region where the principal municipality is located; and

(2)iimay not be:

(A)iian elected official;

(B)iian officer or employee of the department;

(C)iian employee of a county or a municipality, including the principal municipality, that contributes sales and use tax revenue to the urban transportation authority; or

(D)iia person who owns an interest in real property that will be acquired for a transportation project, if it is known at the time of the person's proposed appointment that the property will be acquired for the transportation project.

Sec.i451.908.iiPUBLIC ACCESS. An urban transportation authority shall:

(1)iimake and implement policies that provide the public with a reasonable opportunity to appear before the board to speak on any issue under the jurisdiction of the urban transportation authority; and

(2)iiprepare and maintain a written plan that describes how an individual who does not speak English or who has a physical, mental, or developmental disability may be provided reasonable access to the urban transportation authority's programs.

Sec.i451.909.iiSTRATEGIC PLANS AND ANNUAL REPORTS. (a)iiAn urban transportation authority shall develop a strategic plan for its operations. Before December 31 of each even-numbered year, the urban transportation authority shall issue a plan that covers the succeeding five fiscal years of the urban transportation authority, beginning with the next odd-numbered fiscal year.

(b)iiNot later than March 31 of each year, an urban transportation authority shall file with each county in which the urban transportation authority is located, the principal municipality, and the panel composed of the mayors of the municipalities in the urban transportation authority that contribute sales and use tax revenue to the authority, a written report on the urban transportation authority's activities that includes a description of anticipated issuances of debt during the next fiscal year, a description of the financial condition of the urban transportation authority, schedules for the development of approved projects, and the status of the urban transportation authority's performance under the most recent strategic plan.

(c)iiNotwithstanding Subsection (b), a failure to identify a debt issuance or a change in a project development schedule in a written report does not prevent the issuance of the debt or the change in the project development schedule, including the commencement of the operation of a project.

4664 81st Legislature — Regular Session 69th Day (Cont.)


Sec.i451.910.iiESTABLISHMENT OF COMPREHENSIVE TRANSPORTATION SYSTEM. (a)iiIf the board determines that the mobility needs of the county or counties in which the urban transportation authority operates and of the surrounding region could be most efficiently and economically met by jointly operating two or more transportation projects as one operational and financial enterprise, the board may create one or more comprehensive transportation systems composed of those transportation projects.

(b)iiThe board may:

(1)iicreate more than one comprehensive transportation system; and

(2)iicombine two or more comprehensive transportation systems into a single comprehensive transportation system.

(c)iiAn urban transportation authority may finance, acquire, construct, cross-collateralize, and operate a comprehensive transportation system if the board determines that:

(1)iithe transportation projects could most efficiently and economically be acquired or constructed as part of the comprehensive transportation system; and

(2)iithe transportation projects will benefit the comprehensive transportation system.

Sec.i451.911.iiISSUANCE OF DEBT. (a)iiAn urban transportation authority, or an entity created by the urban transportation authority for the purposes of issuing debt, by resolution of the board or the governing body of the entity, as applicable, may authorize the issuance of debt payable solely from revenue.

(b)iiDebt, any portion of which is payable from taxes, may not be issued by an urban transportation authority unless the issuance is authorized by a majority of the votes cast at an election ordered and held for that purpose.

(c)iiDebt issued by an urban transportation authority is fully negotiable. An urban transportation authority may make the debt redeemable before maturity at the price and subject to the terms and conditions provided in the proceedings that authorized the issuance or in a related legal document.

(d)iiDebt issued by an urban transportation authority under this subchapter may be sold at a public or private sale as determined by the board to be most advantageous and may have a maturity of not longer than 50 years.

(e)iiCosts attributable to a transportation project that were incurred before the issuance of debt to finance the transportation project may be reimbursed from the proceeds of debt that is subsequently issued.

Sec.i451.912.iiTRANSPORTATION PROJECT FINANCING. (a)iiAn urban transportation authority may exercise the powers of a regional mobility authority, an authority, and an advanced transportation district and may issue debt or enter into other agreements or financial arrangements to pay all or part of the costs of a transportation project or to refund any debt previously issued for a transportation project.

(b)iiThe powers described in Subsection (a) are cumulative and may be exercised by an urban transportation authority independently or in combination to develop, finance, operate, and pay the costs of a transportation project. Subject to other provisions of this subchapter, the urban transportation authority may pledge any

Saturday, May 30, 2009 SENATE JOURNAL 4665


revenue available to the urban transportation authority under this subchapter, separately or in combination, for the payment of a debt, agreement, or financial arrangement described by Subsection (a).

(c)iiAs authorized by Chapter 370 in connection with a regional mobility authority, the department may provide for or contribute to the payment of the costs of a financial or engineering and traffic feasibility study for a transportation project.

Sec.i451.913.iiSALES AND USE TAX. (a)iiWhen an authority that collects a sales and use tax becomes part of an urban transportation authority:

(1)iithe sales and use tax remains subject to the provisions of this chapter that relate to the sales and use tax of an authority; and

(2)iiany restriction, covenant, obligation, or pledge attributed to that sales and use tax remains in effect.

(b)iiWhen an advanced transportation district that collects a sales and use tax becomes part of an urban transportation authority:

(1)iithe sales and use tax remains subject to the provisions of Subchapter O that relate to the sales and use tax of an advanced transportation district; and

(2)iiany restriction, covenant, obligation, allocation, or pledge attributed to that sales and use tax remains in effect until the voters elect to increase, decrease, or otherwise alter the terms of the sales and use tax.

(c)iiThe allocation of the proceeds of the sales and use tax adopted at the initial election of an advanced transportation district may not be altered unless a proposition for the reallocation is approved by a majority of the votes cast at an election ordered and held for that purpose under this subchapter.

(d)iiAn urban transportation authority may order a subsequent advanced transportation district sales and use tax election to reallocate the proceeds of the tax or to increase or decrease the rate of the tax collected by the urban transportation authority. An election ordered under this section must be held for one or more transportation projects; the combined rate of all sales and use taxes imposed by the urban transportation authority and all other political subdivisions of this state may not exceed the statutory sales and use tax cap in any location in the urban transportation authority; and the proceeds of the sales and use tax under a subsequent election may be pledged only for:

(1)iitransportation project purposes as determined by the board, including debt service requirements, capitalized interest, reserve fund requirements, credit agreements, administrative costs, or other debt-related costs incurred by or relating to the issuance of obligations by the urban transportation authority relating to the purchase, design, construction, extension, expansion, improvement, reconstruction, alteration, financing, and maintenance of an advanced transportation facility, equipment, operations, a comprehensive transportation system, and services, including feasibility studies, operations, and professional or other services in connection with the facility, equipment, operations, system, or services;

(2)iitransportation project purposes in the territory of the urban transportation authority as determined by the governing bodies of each participating unit in proportion to the amount of sales and use tax proceeds that were collected in that participating unit; or

4666 81st Legislature — Regular Session 69th Day (Cont.)


(3)iias a local match for, or the local share of, a state or federal grant for transportation project purposes in the territory of the urban transportation authority or in connection with the transfer of money by the department or another entity of this state or the United States under an agreement with a county or municipality or a local government corporation created by a county or municipality under Chapter 431, for transportation project purposes in the territory of the urban transportation authority.

(e)iiAt an election under this section, the ballot shall be prepared to permit voting for or against the proposition: "The imposition of a sales and use tax for comprehensive advanced transportation and comprehensive mobility enhancement in the (name of urban transportation authority), at the rate to be set by the governing body of the urban transportation authority."

(f)iiAfter a favorable subsequent election held under this subchapter, an allocation specified by Subchapter O ceases to be binding.

Sec.i451.914.iiUSE OF FARE REVENUE. (a)iiAll fare revenue generated by the mass transit operations of the urban transportation authority, other than fare revenue generated by a rail operation, must be dedicated exclusively to the support of mass transit operations.

(b)iiFare revenue generated by a rail operation of the urban transportation authority may be used for any comprehensive advanced transportation or comprehensive mobility enhancement purpose.

Sec.i451.915.iiPOWERS AND PROCEDURES OF URBAN TRANSPORTATION AUTHORITY IN ACQUIRING PROPERTY. An urban transportation authority has the same powers and may use the same procedures as a regional mobility authority operating under Chapter 370 in acquiring property.

Sec.i451.916.iiPUBLIC UTILITY FACILITIES. An urban transportation authority has the same powers and may use the same procedures as a regional mobility authority operating under Chapter 370 with regard to public utility facilities.

Sec.i451.917.iiTOLL COLLECTION AND VIOLATIONS. An urban transportation authority has the same powers and may use the same procedures as a regional mobility authority operating under Chapter 370 with regard to toll collections, transponders, enforcement, violations, and penalties.

Sec.i451.918.iiPROJECT DELIVERY. An urban transportation authority may procure, develop, finance, design, construct, maintain, or operate a transportation project using the rights, powers, duties, and privileges that are granted by Chapter 223, by Chapter 370 to a regional mobility authority, or by Subchapter H, Chapter 271, Local Government Code, including a right, power, duty, or privilege associated with:

(1)iia construction manager agent;

(2)iia construction manager-at-risk;

(3)iiuse of design build;

(4)iia pass-through agent; or

(5)iia comprehensive development agreement.

Sec.i451.919.iiMUNICIPAL TRANSPORTATION REINVESTMENT ZONES. A municipality located in the territory served by an urban transportation authority may:

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(1)iidesignate a municipal transportation reinvestment zone under Section 222.106 to promote a transportation project under this subchapter; and

(2)iiuse money deposited to the tax increment account for the reinvestment zone to pay the urban transportation authority for a portion of the costs of the transportation project.

SECTIONi2.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Wentworth moved that the Senate do not concur in the House amendment, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi2096 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Carona, Watson, Nichols, and Davis.

CONFERENCE COMMITTEE ON HOUSE BILL 2908

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2908 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2908 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Eltife, Whitmire, Williams, and Watson.

CONFERENCE COMMITTEE ON HOUSE BILL 1322

Senator Watson called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1322 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1322 before appointment.

There were no motions offered.

4668 81st Legislature — Regular Session 69th Day (Cont.)


Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Watson, Chair; VanideiPutte, Davis, Ogden, and Shapiro.

CONFERENCE COMMITTEE ON HOUSE BILL 148

Senator Wentworth called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi148 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi148 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Wentworth, Chair; Duncan, Watson, Hinojosa, and Harris.

CONFERENCE COMMITTEE ON HOUSE BILL 963

Senator Whitmire called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi963 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi963 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Whitmire, Chair; VanideiPutte, Fraser, Jackson, and Carona.

CONFERENCE COMMITTEE ON HOUSE BILL 2139

Senator Hinojosa called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2139 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2139 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Hinojosa, Chair; Whitmire, Seliger, Huffman, and Ellis.

SENATE BILL 1833 WITH HOUSE AMENDMENT

Senator Patrick called SBi1833 from the President's table for consideration of the House amendment to the bill.

Saturday, May 30, 2009 SENATE JOURNAL 4669


The Presiding Officer, Senator Eltife in Chair, laid the bill and the House amendment before the Senate.

Amendment

Amend SBi1833 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to county participation in the enterprise zone program.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 2303.003(8), Government Code, is amended to read as follows:

(8)ii"Qualified hotel project" means a hotel proposed to be constructed by a municipality, a county, or a nonprofit municipally sponsored or county-sponsored local government corporation created under the Texas Transportation Corporation Act, Chapter 431, Transportation Code, that is within 1,000 feet of a convention center owned by a municipality having a population of 1,500,000 or more or a county having a population of 3.3 million or more, as appropriate, including shops, parking facilities, and any other facilities ancillary to the hotel.

SECTIONi2.iiSection 2303.505(a), Government Code, is amended to read as follows:

(a)iiTo encourage the development of areas designated as enterprise zones, the governing body of a municipality or county through a program may refund its local sales and use taxes paid by a qualified business on all taxable items purchased for use at the qualified business site related to the project or activity.

SECTIONi3.iiSection 2303.505(a), Government Code, as amended by this Act, applies only to the refund of local sales and use taxes paid on or after the effective date of this Act.

SECTIONi4.iiThis Act takes effect September 1, 2009.

The amendment was read.

Senator Patrick moved that the Senate do not concur in the House amendment, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on SBi1833 before appointment.

There were no motions offered.

The Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Patrick, Chair; Harris, Ogden, Williams, and Eltife.

CONFERENCE COMMITTEE ON HOUSE BILL 1343

Senator VanideiPutte called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi1343 and moved that the request be granted.

The motion prevailed without objection.

4670 81st Legislature — Regular Session 69th Day (Cont.)


The Presiding Officer asked if there were any motions to instruct the conference committee on HBi1343 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators VanideiPutte, Chair; Uresti, Hinojosa, Shapiro, and Patrick.

CONFERENCE COMMITTEE ON HOUSE BILL 2553

Senator Davis called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2553 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2553 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Davis, Chair; Carona, Watson, Ogden, and Williams.

CONFERENCE COMMITTEE ON HOUSE BILL 2012

Senator Carona called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi2012 and moved that the request be granted.

The motion prevailed without objection.

The Presiding Officer asked if there were any motions to instruct the conference committee on HBi2012 before appointment.

There were no motions offered.

Accordingly, the Presiding Officer announced the appointment of the following conferees on the part of the Senate:iiSenators Carona, Chair; Deuell, Watson, Whitmire, and Williams.

RECESS

On motion of Senator Whitmire, the Senate at 4:45ip.m. recessed until 5:45ip.m. today.

AFTER RECESS

The Senate met at 5:49ip.m. and was called to order by the President.

SENATE RULE 7.25 SUSPENDED
(Limitation on Vote)

Senator Williams moved to suspend Senate Rule 7.25, as it relates to the deadline for votes taken in the last 24 hours of the session, to extend the deadline to midnight Monday, June 1, 2009, in order to consider Conference Committee Reports and House amendments to Senate bills.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

Saturday, May 30, 2009 SENATE JOURNAL 4671


MESSAGE FROM THE HOUSE

HOUSE CHAMBER

Austin, Texas

May 30, 2009

The Honorable President of the Senate

Senate Chamber

Austin, Texas

Mr. President:

I am directed by the House to inform the Senate that the House has taken the following action:

THE HOUSE HAS PASSED THE FOLLOWING MEASURES:

SCR 77, Approving the system-wide settlement agreement with the United States Department of Justice resolving certain investigations of state mental retardation facilities.

THE HOUSE HAS GRANTED THE REQUEST OF THE SENATE FOR THE APPOINTMENT OF A CONFERENCE COMMITTEE ON THE FOLLOWING MEASURES:

SB 313 (non-record vote)

House Conferees:iiHamilton - Chair/Coleman/Hartnett/Isett/Villarreal

SB 379 (non-record vote)

House Conferees:iiGuillen - Chair/Corte/Flynn/Gonzales/Raymond

SB 1263 (non-record vote)

House Conferees:iiRodriguez - Chair/Coleman/Gattis/Kleinschmidt/Thompson

SB 1449 (non-record vote)

House Conferees:iiDeshotel - Chair/Anderson/Elkins/Guillen/Pena

SB 1645 (non-record vote)

House Conferees:iiHopson - Chair/Frost/Gonzalez Toureilles/Smith, Wayne/Swinford

SB 1970 (non-record vote)

House Conferees:iiSmith, Todd - Chair/Anchia/Bohac/Heflin/Hilderbran

SB 2080 (non-record vote)

House Conferees:iiMcClendon - Chair/Coleman/Davis, John/Gattis/Kolkhorst

SB 2274 (non-record vote)

House Conferees:iiChisum - Chair/Aycock/Eissler/Gallego/Hochberg

THE HOUSE HAS ADOPTED THE FOLLOWING CONFERENCE COMMITTEE REPORTS:

HB 4498 (145 Yeas, 0 Nays, 1 Present, not voting)

SB 488 (142 Yeas, 0 Nays, 2 Present, not voting)

SB 1182 (139 Yeas, 1 Nays, 2 Present, not voting)

SB 1206 (143 Yeas, 0 Nays, 2 Present, not voting)

Respectfully,

/s/Robert Haney, Chief Clerk

House of Representatives

4672 81st Legislature — Regular Session 69th Day (Cont.)


SENATE BILL 870 WITH HOUSE AMENDMENTS

Senator Lucio called SBi870 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Floor Amendment No. 1

Amend SB 870 (House committee printing) by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSubchapter B, Chapter 531, Government Code, is amended by adding Section 531.0993 to read as follows:

Sec.i531.0993.iiOBESITY PREVENTION PILOT PROGRAM. (a)iiThe commission and the Department of State Health Services shall coordinate to establish a pilot program designed to:

(1)iidecrease the rate of obesity in child health plan program enrollees and Medicaid recipients;

(2)iiimprove the nutritional choices and increase physical activity levels of child health plan program enrollees and Medicaid recipients; and

(3)iiachieve long-term reductions in child health plan and Medicaid program costs incurred by the state as a result of obesity.

(b)iiThe commission and the Department of State Health Services shall implement the pilot program for a period of at least 24 months in one or more health care service regions in this state, as selected by the commission. In selecting the regions for participation, the commission shall consider the degree to which child health plan program enrollees and Medicaid recipients in the region are at higher than average risk of obesity.

(c)iiIn developing the pilot program, the commission and the Department of State Health Services shall identify measurable goals and specific strategies for achieving those goals. The specific strategies may be evidence-based to the extent evidence-based strategies are available for the purposes of the program.

(d)iiThe commission shall submit a report on or before each November 1 that occurs during the period the pilot program is operated to the standing committees of the senate and house of representatives having primary jurisdiction over the child health plan and Medicaid programs regarding the results of the program. In addition, the commission shall submit a final report to the committees regarding those results not later than three months after the conclusion of the program. Each report must include:

(1)iia summary of the identified goals for the program and the strategies used to achieve those goals;

(2)iian analysis of all data collected in the program as of the end of the period covered by the report and the capability of the data to measure achievement of the identified goals;

(3)iia recommendation regarding the continued operation of the program; and

(4)iia recommendation regarding whether the program should be implemented statewide.

(e)iiThe executive commissioner may adopt rules to implement this section.

Saturday, May 30, 2009 SENATE JOURNAL 4673


Floor Amendment No. 2

Amend SB 870 (House committee report) in SECTION 1 of the bill, by striking added Section 114.007, Health and Safety Code (page 2, line 26 through page 3, line 23), and renumbering subsequent sections of amended Chapter 114, Health and Safety Code, appropriately.

The amendments were read.

Senator Lucio moved to concur in the House amendments to SBi870.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1304 WITH HOUSE AMENDMENT

Senator Patrick called SBi1304 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi1304 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to notice to students of a public institution of higher education of the required use of a portion of a student's tuition payments to provide student financial aid.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter B, Chapter 56, Education Code, is amended by adding Section 56.014 to read as follows:

Sec.i56.014.iiNOTICE TO STUDENTS REGARDING TUITION SET ASIDE FOR FINANCIAL ASSISTANCE. (a) An institution of higher education that is required by this subchapter to set aside a portion of a student's tuition payments to provide financial assistance for students enrolled in the institution shall provide to each student of the institution who pays tuition from which a portion is required to be set aside for that purpose a notice regarding the specific amount that is required to be set aside by the institution.

(b)iiThe institution shall provide the notice required by Subsection (a) to the student in a prominently printed statement that appears on or is included with:

(1)iithe student's tuition bill or billing statement, if the institution provides the student with a printed bill or billing statement for the payment of the student's tuition; or

(2)iithe student's tuition receipt, if the institution provides the student with a printed receipt evidencing the payment of the student's tuition.

(c)iiIf for any semester or other academic term the institution does not provide the student with a printed tuition bill, tuition billing statement, or tuition receipt, the institution shall include the notice required by Subsection (a) for that semester or other term in a statement prominently displayed in an e-mail sent to the student. The notice may be included in any other e-mail sent to the student in connection with the student's tuition charges for that semester or other term.

4674 81st Legislature — Regular Session 69th Day (Cont.)


(d)iiThe Texas Higher Education Coordinating Board by rule shall prescribe minimum standards for the manner, form, and content of the notice required by this section.

SECTIONi2.ii(a) Section 56.014, Education Code, as added by this Act, applies beginning with tuition charged for the 2010 spring semester.

(b)iiThe Texas Higher Education Coordinating Board shall adopt the rules required by Section 56.014, Education Code, as added by this Act, as soon as practicable after the effective date of this Act. For that purpose, the coordinating board may adopt the initial rules in the manner provided by law for emergency rules.

SECTIONi3.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Patrick moved to concur in the House amendment to SBi1304.

The motion prevailed by the following vote:iiYeasi30, Naysi1.

Nays:iiDavis.

SENATE BILL 771 WITH HOUSE AMENDMENTS

Senator Williams called SBi771 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Amendment

Amend SBi771 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the determination of the value of property for ad valorem tax purposes, including appeals through binding arbitration of appraisal review board orders determining protests of property value determinations.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 23.01, Tax Code, is amended by amending Subsection (b) and adding Subsection (c) to read as follows:

(b)iiThe market value of property shall be determined by the application of generally accepted appraisal methods and techniques. If the appraisal district determines the appraised value of a property using mass appraisal standards, the mass appraisal standards must comply with the Uniform Standards of Professional Appraisal Practice. The same or similar appraisal methods and techniques shall be used in appraising the same or similar kinds of property. However, each property shall be appraised based upon the individual characteristics that affect the property's market value, and all available evidence that is specific to the value of the property shall be taken into account in determining the property's market value.

(c)iiNotwithstanding any provision of this subchapter to the contrary, if the appraised value of property in a tax year is lowered under Subtitle F, the appraised value of the property as finally determined under that subtitle is considered to be the

Saturday, May 30, 2009 SENATE JOURNAL 4675


appraised value of the property for that tax year. In the following tax year, the chief appraiser may not increase the appraised value of the property unless the increase by the chief appraiser is reasonably supported by substantial evidence when all of the reliable and probative evidence in the record is considered as a whole. If the appraised value is finally determined in a protest under Section 41.41(a)(2) or an appeal under Section 42.26, the chief appraiser may satisfy the requirement to reasonably support by substantial evidence an increase in the appraised value of the property in the following tax year by presenting evidence showing that the inequality in the appraisal of property has been corrected with regard to the properties that were considered in determining the value of the subject property. The burden of proof is on the chief appraiser to support an increase in the appraised value of property under the circumstances described by this subsection.

SECTIONi2.iiSections 23.013, 23.014, and 23.24, Tax Code, are amended to read as follows:

Sec.i23.013.iiMARKET DATA COMPARISON METHOD OF APPRAISAL. (a)iiIf the chief appraiser uses the market data comparison method of appraisal to determine the market value of real property, the chief appraiser shall use comparable sales data and shall adjust the comparable sales to the subject property.

(b)iiA sale is not considered to be a comparable sale unless the sale occurred within 24 months of the date as of which the market value of the subject property is to be determined, except that a sale that did not occur during that period may be considered to be a comparable sale if enough comparable properties were not sold during that period to constitute a representative sample.

(c)iiA sale of a comparable property must be appropriately adjusted for any change in the market value of the comparable property during the period between the date of the sale of the comparable property and the date as of which the market value of the subject property is to be determined.

(d)iiWhether a property is comparable to the subject property shall be determined based on similarities with regard to location, square footage of the lot and improvements, property age, property condition, property access, amenities, views, income, operating expenses, occupancy, and the existence of easements, deed restrictions, or other legal burdens affecting marketability.

Sec.i23.014.iiEXCLUSION OF PROPERTY AS REAL PROPERTY. Except as provided by Section 23.24(b), in [In] determining the market value of real property, the chief appraiser shall analyze the effect on that value of, and exclude from that value the value of, any:

(1)iitangible personal property, including trade fixtures;

(2)iiintangible personal property; or

(3)iiother property that is not subject to appraisal as real property.

Sec.i23.24.iiFURNITURE, FIXTURES, AND EQUIPMENT. (a)iiIf real property is appraised by a method that takes into account the value of furniture, fixtures, and equipment in or on the real property, the furniture, fixtures, and equipment shall not be subject to additional appraisal or taxation as personal property.

4676 81st Legislature — Regular Session 69th Day (Cont.)


(b)iiIn determining the market value of the real property appraised on the basis of rental income, the chief appraiser may not separately appraise or take into account any personal property valued as a portion of the income of the real property, and the market value of the real property must include the combined value of the real property and the personal property.

SECTIONi3.iiSubchapter D, Chapter 23, Tax Code, is amended by adding Section 23.522 to read as follows:

Sec.i23.522.iiTEMPORARY CESSATION OF AGRICULTURAL USE DURING DROUGHT. The eligibility of land for appraisal under this subchapter does not end because the land ceases to be devoted principally to agricultural use to the degree of intensity generally accepted in the area if:

(1)iia drought declared by the governor creates an agricultural necessity to extend the normal time the land remains out of agricultural production; and

(2)iithe owner of the land intends that the use of the land in that manner and to that degree of intensity be resumed when the declared drought ceases.

SECTIONi4.iiSection 41A.01, Tax Code, is amended to read as follows:

Sec.i41A.01.iiRIGHT OF APPEAL BY PROPERTY OWNER. As an alternative to filing an appeal under Section 42.01, a property owner is entitled to appeal through binding arbitration under this chapter an appraisal review board order determining a protest filed under Section 41.41(a)(1) concerning the appraised or market value of [real] property if:

(1)iithe property qualifies as the owner's residence homestead under Section 11.13; or

(2) the appraised or market value, as applicable, of the property as determined by the order is $1 million or less[; and

[(2)iithe appeal does not involve any matter in dispute other than the determination of the appraised or market value of the property].

SECTIONi5.iiSection 41A.03(a), Tax Code, is amended to read as follows:

(a)iiTo appeal an appraisal review board order under this chapter, a property owner must file with the appraisal district not later than the 45th day after the date the property owner receives notice of the order:

(1)iia completed request for binding arbitration under this chapter in the form prescribed by Section 41A.04; and

(2)iian arbitration deposit [in the amount of $500,] made payable to the comptroller in the amount of:

(A)ii$500; or

(B)ii$250, if the property owner requests expedited arbitration under Section 41A.031.

SECTIONi6.iiChapter 41A, Tax Code, is amended by adding Section 41A.031 to read as follows:

Sec.i41A.031.iiEXPEDITED ARBITRATION. (a) A property owner is entitled to an expedited arbitration if the property owner includes a request for expedited arbitration in the request filed under Section 41A.03 and pays the required deposit.

(b)iiAn expedited arbitration must provide for not more than one hour of argument and testimony on behalf of the property owner and not more than one hour of argument and testimony on behalf of the appraisal district.

Saturday, May 30, 2009 SENATE JOURNAL 4677


(c)iiThe comptroller shall adopt rules and processes to assist in the conduct of an expedited arbitration.

SECTIONi7.iiThe heading to Section 41A.06, Tax Code, is amended to read as follows:

Sec.i41A.06.iiREGISTRY AND INITIAL QUALIFICATION [QUALIFICATIONS] OF ARBITRATORS.

SECTIONi8.iiSection 41A.06(b), Tax Code, is amended to read as follows:

(b)iiTo initially qualify to serve as an arbitrator under this chapter, a person must:

(1)iimeet the following requirements, as applicable:

(A)iibe licensed as an attorney in this state; or

(B)iihave:

(i)iicompleted at least 30 hours of training in arbitration and alternative dispute resolution procedures from a university, college, or legal or real estate trade association; and

(ii)iibeen licensed or certified continuously during the five years preceding the date the person agrees to serve as an arbitrator as:

(a)i[(2)iibe licensed as] a real estate broker or salesperson under Chapter 1101, Occupations Code;

(b)i[, or be licensed or certified as] a real estate appraiser under Chapter 1103, Occupations Code; or

(c)iia certified public accountant under Chapter 901, Occupations Code; and

(2)i[(3)]iiagree to conduct an arbitration for a fee that is not more than 90 percent of the amount of the arbitration deposit required by Section 41A.03.

SECTIONi9.iiChapter 41A, Tax Code, is amended by adding Section 41A.061 to read as follows:

Sec.i41A.061.iiCONTINUED QUALIFICATION OF ARBITRATOR; RENEWAL OF AGREEMENT. (a) The comptroller shall include a qualified arbitrator in the registry until the second anniversary of the date the person was added to the registry. To continue to be included in the registry after the second anniversary of the date the person was added to the registry, the person must renew the person's agreement with the comptroller to serve as an arbitrator on or as near as possible to the date on which the person's license or certification issued under Chapter 901, 1101, or 1103, Occupations Code, is renewed.

(b)iiTo renew the person's agreement to serve as an arbitrator, the person must:

(1)iifile a renewal application with the comptroller at the time and in the manner prescribed by the comptroller;

(2)iicontinue to meet the requirements provided by Section 41A.06(b); and

(3)iiduring the preceding two years have completed at least eight hours of continuing education in arbitration and alternative dispute resolution procedures offered by a university, college, real estate trade association, or legal association.

(c)iiThe comptroller shall remove a person from the registry if the person fails or declines to renew the person's agreement to serve as an arbitrator in the manner required by this section.

4678 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi10.iiSection 41A.08(b), Tax Code, as added by Chapters 372 (S.B. 1351) and 912 (H.B. 182), Acts of the 79th Legislature, Regular Session, 2005, is reenacted and amended to read as follows:

(b)iiThe parties to an arbitration proceeding under this chapter may represent themselves or, at their own cost, may be represented by:

(1)iian employee of the appraisal district;

(2)iian attorney who is licensed in this state;

(3)iia person who is licensed as a real estate broker or salesperson under Chapter 1101, Occupations Code, or is licensed or certified as a real estate appraiser under Chapter 1103, Occupations Code; [or]

(4)iia property tax consultant registered under Chapter 1152, Occupations Code; or

(5)iian individual who is licensed as a certified public accountant under Chapter 901, Occupations Code.

SECTIONi11.iiSection 41A.09(b), Tax Code, is amended to read as follows:

(b)iiAn award under this section:

(1)iimust include a determination of the appraised or market value, as applicable, of the property that is the subject of the appeal;

(2)iimay include any remedy or relief a court may order under Chapter 42 in an appeal relating to the appraised or market value of property;

(3)iishall specify the arbitrator's fee, which may not exceed the amount provided by Section 41A.06(b)(2) [41A.06(b)(3)];

(4)iiis final and may not be appealed except as permitted under Section 171.088, Civil Practice and Remedies Code, for an award subject to that section; and

(5)iimay be enforced in the manner provided by Subchapter D, Chapter 171, Civil Practice and Remedies Code.

SECTIONi12.ii(a) Sections 41A.01, 41A.03, and 41A.08, Tax Code, as amended by this Act, and Section 41A.031, Tax Code, as added by this Act, apply only to an appeal through binding arbitration under Chapter 41A of that code that is requested on or after the effective date of this Act.

(b)iiSection 41A.06, Tax Code, as amended by this Act, applies only to a person who initially qualifies to serve as an arbitrator under Chapter 41A, Tax Code, on or after the effective date of this Act.

(c)iiSection 41A.061, Tax Code, as added by this Act, does not affect the eligibility of a person who is included on the registry list of qualified arbitrators on the effective date of this Act to continue to remain on that registry list before the date on which the person's license or certificate under Chapter 901, 1101, or 1103, Occupations Code, expires unless renewed.

SECTIONi13.iiThis Act applies only to the appraisal of property for a tax year beginning on or after the effective date of this Act.

SECTIONi14.iiThis Act takes effect January 1, 2010.

Floor Amendment No. 1

Amend CSSB 771 on page 9 after line 8 by adding a new SECTION 12 to read as follows:

SECTION 12. Section 6.411(c) and (d), Tax Code, are amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4679


(c) This section does not apply to communications [that do not discuss the specific evidence, argument, facts, merits, or property involved in a hearing currently pending before the appraisal review board or to communications] between the board and its legal counsel.

(d) An offense under this section is a Class A [C] misdemeanor.

The amendments were read.

Senator Williams moved to concur in the House amendments to SBi771.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

BILLS AND RESOLUTIONS SIGNED

The President announced the signing of the following enrolled bills and resolutions in the presence of the Senate after the captions had been read:

SBi1 (signed subject to Sec. 49-a, Art. III, Texas Constitution), SBi28, SBi359, SBi390, SBi395, SBi397, SBi418, SBi448, SBi449, SBi470, SBi480, SBi521, SBi571, SBi572, SBi581, SBi646, SBi652, SBi671, SBi689, SBi698, SBi742, SBi876, SBi882, SBi883, SBi887, SBi904, SBi963, SBi1024, SBi1112, SBi1127, SBi1153, SBi1166, SBi1171, SBi1204, SBi1211, SBi1225, SBi1326, SBi1382, SBi1409, SBi1436, SBi1437, SBi1439, SBi1441, SBi1515, SBi1571, SBi1598, SBi1599, SBi1609, SBi1650, SBi1672, SBi1685, SBi1715, SBi1723, SBi1728, SBi1729, SBi1774, SBi1798, SBi1803, SBi1820, SBi1824, SBi1853, SBi1932, SBi1984, SBi2085, SBi2135, SBi2148, SBi2228, SBi2230, SBi2248, SBi2258, SBi2262, SBi2325, SBi2340, SBi2381, SBi2385, SBi2420, SBi2424, SBi2435, SBi2512, SBi2517, SBi2524, SBi2550, SBi2554, SBi2565, SCRi42, SCRi78, HBi118, HBi144, HBi176, HBi221, HBi233, HBi400, HBi434, HBi534, HBi585, HBi610, HBi646, HBi732, HBi765, HBi780, HBi781, HBi796, HBi821, HBi874, HBi878, HBi960, HBi965, HBi1003, HBi1056, HBi1063, HBi1083, HBi1145, HBi1146, HBi1177, HBi1193, HBi1230, HBi1233, HBi1256, HBi1265, HBi1286, HBi1295, HBi1321, HBi1360, HBi1372, HBi1448, HBi1457, HBi1460, HBi1461, HBi1470, HBi1473, HBi1474, HBi1518, HBi1551, HBi1600, HBi1686, HBi1688, HBi1691, HBi1730, HBi1739, HBi1750, HBi1757, HBi1783, HBi1843, HBi1850, HBi1884, HBi1925, HBi1960, HBi1972, HBi1973, HBi1995, HBi2002, HBi2022, HBi2031, HBi2035, HBi2052, HBi2082, HBi2102, HBi2168, HBi2228, HBi2232, HBi2236, HBi2237, HBi2242, HBi2276, HBi2385, HBi2435, HBi2449, HBi2456, HBi2465, HBi2502, HBi2846, HBi2847, HBi2916, HBi3001, HBi3003, HBi3069, HBi3070, HBi3075, HBi3080, HBi3098, HBi3112, HBi3128, HBi3136, HBi3140, HBi3147, HBi3206, HBi3316, HBi3450, HBi3464, HBi3468, HBi3496, HBi3593, HBi3597, HBi3599, HBi3601, HBi3602, HBi3623, HBi3638, HBi3649, HBi3666, HBi3671, HBi3767, HBi3802, HBi3829, HBi3844, HBi3857, HBi3918, HBi3945, HBi4002, HBi4136, HBi4257, HBi4281, HBi4343, HBi4353, HBi4359, HBi4360, HBi4376, HBi4402, HBi4685, HBi4698, HBi4710, HBi4712, HBi4713, HBi4719, HBi4790, HBi4793, HBi4798.

SENATE BILL 1440 WITH HOUSE AMENDMENT

Senator Watson called SBi1440 from the President's table for consideration of the House amendment to the bill.

4680 81st Legislature — Regular Session 69th Day (Cont.)


The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SBi1440 by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill as appropriate:

SECTIONi____.iiSection 261.302, Family Code, is amended by adding Subsection (g) to read as follows:

(g)iiThe department, without filing suit, may seek a court order in aid of an investigation under Section 261.303.

SECTIONi____.iiSection 261.303, Family Code, is amended by amending Subsections (a), (b), and (c) and adding Subsections (c-1), (c-2), (c-3), (f), (g), (h), (i), (j), (k), (l), and (m) to read as follows:

(a)iiA person may not interfere with an investigation of a report of child abuse or neglect conducted by the department or designated agency, and a court may render an order to assist the department in an investigation under this subchapter.

(b)iiIf admission to the home, school, or any place where the child may be cannot be obtained, or if consent to transport a child for purposes relating to an interview or investigation cannot be obtained, then, on presentation of an application supported by an affidavit described by Subsection (c-2) that is executed by an investigator or authorized representative of the department, [for good cause shown] the court having family law jurisdiction, including any associate judge designated by the court, may, on finding that the affidavit is sufficient and without prior notice or a hearing, [shall] order the parent, the person responsible for the care of the children, or the person in charge of any place where the child may be to allow entrance, transport of the child, or both entrance and transport for the interview, examination, and investigation.

(c)iiIf a parent or person responsible for the child's care does not consent to release of the child's prior medical, psychological, or psychiatric records or to a medical, psychological, or psychiatric examination of the child that is requested by the department or designated agency, then, on presentation of an application supported by an affidavit described by Subsection (c-2) that is executed by an investigator or authorized representative of the department, the court having family law jurisdiction, including any associate judge designated by the court, may, on finding that the affidavit is sufficient and without prior notice or a hearing, [shall, for good cause shown,] order the records to be released or the examination to be made at the times and places designated by the court.

(c-1)iiIf a person having possession of records relating to a child that are relevant to an investigation does not consent to the release of the records on the request of the department or designated agency, then, on presentation of an application supported by an affidavit described by Subsection (c-2) that is executed by an investigator or authorized representative of the department, the court having family law jurisdiction, including any associate judge designated by the court, may, on finding that the affidavit is sufficient and without prior notice or a hearing, order the records to be released at the time and place designated by the court.

Saturday, May 30, 2009 SENATE JOURNAL 4681


(c-2)iiAn application filed under this section must be accompanied by an affidavit executed by an investigator or authorized representative of the department that states facts sufficient to lead a person of ordinary prudence and caution to believe that:

(1)iibased on information available, a child's physical or mental health or welfare has been or may be adversely affected by abuse or neglect;

(2)iithe requested order is necessary to aid in the investigation; and

(3)iithere is a fair probability that allegations of abuse or neglect will be sustained if the order is issued and executed.

(c-3)iiAn application and supporting affidavit used to obtain a court order in aid of an investigation under this section may be filed on any day, including Sunday.

(f)iiA court may designate an associate judge to render an order in aid of an investigation under this section. An order rendered by an associate judge is immediately effective without the ratification or signature of the court making the designation.

(g)iiAs soon as practicable after executing the order or attempting to execute the order, as applicable, the department shall file with the clerk of the court that rendered the order a written report stating:

(1)iithe facts surrounding the execution of the order, including the date and time the order was executed and the name of the investigator or authorized representative executing the order; or

(2)iithe reasons why the department was unable to execute the order.

(h)iiA court issuing an order in aid of an investigation under this section shall keep a record of all the proceedings before the court under this subchapter, including a report filed with the court under Subsection (g). The record of proceedings, including any application and supporting affidavit presented to the court and any report filed with the court under Subsection (g), is confidential and may only be disclosed as provided by Subsection (i) or Section 261.201.

(i)iiIf the department files a suit under Chapter 262, the department shall include with its original petition a copy of the record of all the proceedings before the court under this subchapter, including an application and supporting affidavit for an order under this section and any report relating to an order in aid of an investigation.

(j)iiAs soon as practicable after the department obtains access to records of a child under an order in aid of an investigation, the department shall notify the child's parents or another person with legal custody of the child that the department has obtained the records.

(k)iiAccess to a confidential record under this subchapter does not constitute a waiver of confidentiality.

(l)iiThis section does not prevent a court from requiring notice and a hearing before issuance of an order in aid of an investigation under this section if the court determines that:

(1)iithere is no immediate risk to the safety of the child; and

4682 81st Legislature — Regular Session 69th Day (Cont.)


(2)iinotice and a hearing are required to determine whether the requested access to persons, records, or places or to transport the child is necessary to aid in the investigation.

(m)iiA court's denial of a request for an ex parte order under this section does not prevent the issuance of a criminal warrant.

The amendment was read.

Senator Watson moved to concur in the House amendment to SBi1440.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1199 WITH HOUSE AMENDMENT

Senator Ogden called SBi1199 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SBi1199 (House committee report) as follows by adding a new Section 2 as follows and renumbering other sections accordingly:

SECTION 2. Subchapter I, Chapter 151, Tax Code, is amended by adding a new section to read as follows:

Section 151.4261. Credit or Reimbursement In Return Transactions. A seller is entitled to a credit or reimbursement equal to the amount of sales tax refunded to a purchaser when the purchaser receives a full or partial refund of the sales price of a returned taxable item.

The amendment was read.

Senator Ogden moved to concur in the House amendment to SBi1199.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1343 WITH HOUSE AMENDMENT

Senator Hinojosa called SBi1343 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment No. 1

Amend SB 1343 as follows:

In amended Section 61.0595(d)(3), Education Code, insert the following between "contact hours," and "or another": "a dual credit course for which the student received credit toward a high school diploma,"

The amendment was read.

Senator Hinojosa moved to concur in the House amendment to SBi1343.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1735 WITH HOUSE AMENDMENT

Senator West called SBi1735 from the President's table for consideration of the House amendment to the bill.

Saturday, May 30, 2009 SENATE JOURNAL 4683


The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 1735 (House committee printing) by adding the following appropriately numbered SECTION to the bill and renumbering existing SECTIONS of the bill accordingly:

SECTIONi____.iiSections 51.2125(a) and (c), Education Code, are amended to read as follows:

(a)iiThis section applies only to a private institution of higher education that [has a fall head count enrollment of more than 10,000 students and that] has under its control and jurisdiction property that is contiguous to, or located in any part within the boundaries of, a home-rule municipality that has [with] a population of 1.18 million or more and is located predominantly in a county that has a total area of less than 1,000 square miles [than one million]. For purposes of this section, a private institution of higher education is a private or independent institution of higher education as defined by Section 61.003.

(c)iiA mutual assistance agreement authorized by this section may designate the geographic area in which the campus peace officers are authorized to provide assistance to the peace officers of the municipality, except that if the agreement is entered into with a municipality described by Subsection (a) that elects all or part of the municipality's governing body from election districts [with a population of more than one million], the designated geographic area consists of each of the election districts of the municipality's governing body that contains any part of the campus of the institution and each of the election districts of the governing body that is contiguous to another municipality that contains any part of the campus of the institution.

The amendment was read.

Senator West moved to concur in the House amendment to SBi1735.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2253 WITH HOUSE AMENDMENTS

Senator Zaffirini called SBi2253 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Amendment

Amend SBi2253 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the authority of certain municipalities and counties to regulate platting requirements near an international border.

4684 81st Legislature — Regular Session 69th Day (Cont.)


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 212.012, Local Government Code, is amended by amending Subsections (a), (c), (d), (e), and (f) and adding Subsections (j) and (k) to read as follows:

(a)iiExcept as provided by Subsection (c), (d), or (j), an entity described by Subsection (b) may not serve or connect any land with water, sewer, electricity, gas, or other utility service unless the entity has been presented with or otherwise holds a certificate applicable to the land issued under Section 212.0115.

(c)iiAn entity described by Subsection (b) may serve or connect land with water, sewer, electricity, gas, or other utility service regardless of whether the entity is presented with or otherwise holds a certificate applicable to the land issued under Section 212.0115 if:

(1)iithe land is covered by a development plat approved under Subchapter B or under an ordinance or rule relating to the development plat;

(2)iithe land was first served or connected with service by an entity described by Subsection (b)(1), (b)(2), or (b)(3) before September 1, 1987; or

(3)iithe land was first served or connected with service by an entity described by Subsection (b)(4), (b)(5), or (b)(6) before September 1, 1989[; or

[(4)iithe municipal authority responsible for approving plats issues a certificate stating that:

[(A)iithe land:

[(i)iiwas sold or conveyed to the person requesting service by any means of conveyance, including a contract for deed or executory contract, before:

[(a)iiSeptember 1, 1995, in a county defined under Section 232.022(a)(1); or

[(b)iiSeptember 1, 2005, in a county defined under Section 232.022(a)(2);

[(ii)iiis located in a subdivision in which the entity has previously provided service;

[(iii)iiis located outside the limits of the municipality;

[(iv)iiis located in a county to which Subchapter B, Chapter 232, applies; and

[(v)iiis the site of construction of a residence, evidenced by at least the existence of a completed foundation, that was begun on or before:

[(a)iiMay 1, 1997, in a county defined under Section 232.022(a)(1); or

[(b)iiSeptember 1, 2005, in a county defined under Section 232.022(a)(2); or

[(B)iithe land was not subdivided after September 1, 1995, in a county defined under Section 232.022(a)(1), or September 1, 2005, in a county defined under Section 232.022(a)(2), and:

[(i)iiwater service is available within 750 feet of the subdivided land; or

[(ii)iiwater service is available more than 750 feet from the subdivided land and the extension of water service to the land may be feasible, subject to a final determination by the water service provider].

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(d)iiIn a county to which Subchapter B, Chapter 232, applies, an entity described by Subsection (b) may serve or connect land with water, sewer, electricity, gas, or other utility service that is located in the extraterritorial jurisdiction of a municipality regardless of whether the entity is presented with or otherwise holds a certificate applicable to the land issued under Section 212.0115, if the municipal authority responsible for approving plats issues a certificate stating that:

(1)iithe subdivided land:

(A)iiwas sold or conveyed by a subdivider by any means of conveyance, including a contract for deed or executory contract, before:

(i)iiSeptember 1, 1995, in a county defined under Section 232.022(a)(1);

(ii)iiSeptember 1, 1999, in a county defined under Section 232.022(a)(1) if, on August 31, 1999, the subdivided land was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42; or

(iii)iiSeptember 1, 2005, in a county defined under Section 232.022(a)(2);

(B)iihas not been subdivided after September 1, 1995, September 1, 1999, or September 1, 2005, as applicable under Paragraph (A);

(C)iiis the site of construction of a residence, evidenced by at least the existence of a completed foundation, that was begun on or before:

(i)iiMay 1, 2003, in a county defined under Section 232.022(a)(1); or

(ii)iiSeptember 1, 2005, in a county defined under Section 232.022(a)(2); and

(D)iihas had adequate sewer services installed to service the lot or dwelling, as determined by an authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code;

(2)iithe subdivided land is a lot of record as defined by Section 232.021(6-a) that is located in a county defined by Section 232.022(a)(1) and has adequate sewer services installed that are fully operable to service the lot or dwelling, as determined by an authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code; or

(3)iithe land was not subdivided after September 1, 1995, in a county defined under Section 232.022(a)(1), or September 1, 2005, in a county defined under Section 232.022(a)(2), and:

(A)iiwater service is available within 750 feet of the subdivided land; or

(B)iiwater service is available more than 750 feet from the subdivided land and the extension of water service to the land may be feasible, subject to a final determination by the water service provider.

(e)iiAn entity described by Subsection (b) may provide utility service to land described by Subsection (d)(1), (2), or (3) [(c)(4)(A)] only if the person requesting service:

(1)iiis not the land's subdivider or the subdivider's agent; and

(2)iiprovides to the entity a certificate described by Subsection (d) [(c)(4)(A)].

4686 81st Legislature — Regular Session 69th Day (Cont.)


(f)i[(e)]iiA person requesting service may obtain a certificate under Subsection (d)(1), (2), or (3) [(c)(4)(A)] only if the person is the owner or purchaser of the subdivided land and provides to the municipal authority responsible for approving plats documentation containing [either]:

(1)iia copy of the means of conveyance or other documents that show that the land was sold or conveyed by a subdivider [to the person requesting service] before September 1, 1995, before September 1, 1999, or before September 1, 2005, as applicable under Subsection (d)[, and a notarized affidavit by that person that states that construction of a residence on the land, evidenced by at least the existence of a completed foundation, was begun on or before May 1, 1997, or on or before September 1, 2005, as applicable]; [or]

(2)iifor a certificate issued under Subsection (d)(1), a notarized affidavit by the person requesting service that states that [the property was sold or conveyed to that person before September 1, 1995, or before September 1, 2005, as applicable, and that] construction of a residence on the land, evidenced by at least the existence of a completed foundation, was begun on or before May 1, 2003, in a county defined by Section 232.022(a)(1) or September 1, 2005, in a county defined by Section 232.022(a)(2), and the request for utility connection or service is to connect or serve a residence described by Subsection (d)(1)(C);

(3)iia notarized affidavit by the person requesting service that states that the subdivided land has not been further subdivided after September 1, 1995, Septemberi1, 1999, or September 1, 2005, as applicable under Subsection (d); and

(4)iievidence that adequate sewer service or facilities have been installed and are fully operable to service the lot or dwelling from an entity described by Subsection (b) or the authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code [May 1, 1997, or on or before September 1, 2005, as applicable.

[(f)iiA person requesting service may obtain a certificate under Subsection (c)(4)(B) only if the person provides to the municipal authority responsible for approving plats an affidavit that states that the property was not sold or conveyed to that person from a subdivider or the subdivider's agent after September 1, 1995, or after September 1, 2005, as applicable].

(j)iiExcept as provided by Subsection (k), this section does not prohibit a water or sewer utility from providing in a county defined by Section 232.022(a)(1) water or sewer utility connection or service to a residential dwelling that:

(1)iiis provided water or wastewater facilities under or in conjunction with a federal or state funding program designed to address inadequate water or wastewater facilities in colonias or to residential lots located in a county described by Section 232.022(a)(1);

(2)iiis an existing dwelling identified as an eligible recipient for funding by the funding agency providing adequate water and wastewater facilities or improvements;

(3)iiwhen connected, will comply with the minimum state standards for both water and sewer facilities and as prescribed by the model subdivision rules adopted under Section 16.343, Water Code; and

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(4)iiis located in a project for which the municipality with jurisdiction over the project or the approval of plats within the project area has approved the improvement project by order, resolution, or interlocal agreement under Chapter 791, Government Code.

(k)iiA utility may not serve any subdivided land with water utility connection or service under Subsection (j) unless the entity receives a determination that adequate sewer services have been installed to service the lot or dwelling from the municipal authority responsible for approving plats, an entity described by Subsection (b), or the authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code.

SECTIONi2.iiSection 232.021, Local Government Code, is amended by adding Subdivision (6-a) and amending Subdivision (12) to read as follows:

(6-a)ii"Lot of record" means:

(A)iia lot, the boundaries of which were established by a plat recorded in the office of the county clerk before September 1, 1989, that has not been subdivided after September 1, 1989; or

(B)iia lot, the boundaries of which were established by a metes and bounds description in a deed of conveyance, a contract of sale, or other executory contract to convey real property that has been legally executed and recorded in the office of the county clerk before September 1, 1989, that has not been subdivided after September 1, 1989.

(12)ii"Subdivider" means an individual, firm, corporation, or other legal entity [that owns any interest in land and] that directly or indirectly subdivides land into lots for sale or lease as part of a common promotional plan in the ordinary course of business.

SECTIONi3.iiSubsection (b), Section 232.024, Local Government Code, is amended to read as follows:

(b)iiIf any part of a plat applies to land intended for residential housing and any part of that land lies in a floodplain, the commissioners court shall not approve the plat unless:

(1)iithe subdivision is developed in compliance with the minimum requirements of the National Flood Insurance Program and local regulations or orders adopted under Section 16.315, Water Code; and

(2)iithe plat evidences a restrictive covenant prohibiting [as required by this subsection. The restrictive covenant shall prohibit] the construction of residential housing in any area of the subdivision that is in a floodplain unless the housing is developed in compliance with the minimum requirements of [qualifies for insurance under] the National Flood Insurance Program and local regulations or orders adopted under Section 16.315, Water Code [Act of 1968 (42 U.S.C. Sections 4001 through 4127)].

SECTIONi4.iiSection 232.025, Local Government Code, is amended to read as follows:

Sec.i232.025.iiSUBDIVISION REQUIREMENTS. By an order adopted and entered in the minutes of the commissioners court, and after a notice is published in English and Spanish in a newspaper of general circulation in the county, the commissioners court shall for each subdivision:

4688 81st Legislature — Regular Session 69th Day (Cont.)


(1)iirequire a right-of-way on a street or road that functions as a main artery in a subdivision, of a width of not less than 50 feet or more than 100 feet;

(2)iirequire a right-of-way on any other street or road in a subdivision of not less than 40 feet or more than 70 feet;

(3)iirequire that the shoulder-to-shoulder width on collectors or main arteries within the right-of-way be not less than 32 feet or more than 56 feet, and that the shoulder-to-shoulder width on any other street or road be not less than 18 [25] feet or more than 35 feet;

(4)iiadopt, based on the amount and kind of travel over each street or road in a subdivision, reasonable specifications relating to the construction of each street or road;

(5)iiadopt reasonable specifications to provide adequate drainage for each street or road in a subdivision in accordance with standard engineering practices;

(6)iirequire that each purchase contract made between a subdivider and a purchaser of land in the subdivision contain a statement describing how and when water, sewer, electricity, and gas services will be made available to the subdivision; and

(7)iirequire that the subdivider of the tract execute a bond in the manner provided by Section 232.027.

SECTIONi5.iiSubchapter B, Chapter 232, Local Government Code, is amended by adding Section 232.0251 to read as follows:

Sec.i232.0251.iiSTANDARD FOR ROADS IN SUBDIVISION. (a) Except as provided by Subsection (b) or (c), a county may not impose under Section 232.025 a higher standard for streets or roads in a subdivision than the county imposes on itself for the construction of streets or roads with a similar type and amount of traffic.

(b)iiA county may maintain a less stringent street or road construction standard for county roads or streets that were established, acquired, or constructed before September 1, 2009.

(c)iiA county may establish and maintain less stringent construction standards for roads or streets that are acquired, dedicated, or donated through an acquisition project undertaken by the county to convert an existing privately owned or maintained street or easement into a public right-of-way or easement for public access or utility purposes.

SECTIONi6.iiSubsection (b), Section 232.028, Local Government Code, is amended to read as follows:

(b)iiOn the commissioners court's own motion or on the written request of a subdivider, an owner or resident of a lot in a subdivision, or an entity that provides a utility service, the commissioners court shall make the following determinations regarding the land in which the entity or commissioners court is interested that is located within the jurisdiction of the county:

(1)iiwhether a plat has been prepared and whether it has been reviewed and approved by the commissioners court;

(2)iiwhether water service facilities have been constructed or installed to service the lot or subdivision under Section 232.023 and are fully operable;

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(3)iiwhether sewer service facilities have been constructed or installed to service the lot or subdivision under Section 232.023 and are fully operable, or if septic systems are used, whether the lot is served by a permitted on-site sewage facility or lots in the subdivision can be adequately and legally served by septic systems under Section 232.023; and

(4)iiwhether electrical and gas facilities, if available, have been constructed or installed to service the lot or subdivision under Section 232.023.

SECTIONi7.iiSection 232.029, Local Government Code, is amended by amending Subsections (b), (c), (d), (e), and (i) and adding Subsections (n) and (o) to read as follows:

(b)iiExcept as provided by Subsections (c) and (k) or Section 232.037(c), a utility may not serve or connect any subdivided land with electricity or gas unless the entity receives a determination from the county commissioners court under Sections [Section] 232.028(b)(2) and (3) that adequate water and sewer services have been installed to service the lot or subdivision.

(c)iiAn electric, gas, water, or sewer service utility may serve or connect subdivided land with water, sewer, electricity, gas, or other utility service regardless of whether the utility receives a certificate issued by the commissioners court under Section 232.028(a) or receives a determination from the commissioners court under Section 232.028(b) if the utility is provided with a certificate issued by the commissioners court that states that:

(1)iithe subdivided land:

(A)iiwas sold or conveyed by a subdivider [to the person requesting service] by any means of conveyance, including a contract for deed or executory contract:

(i)iibefore September 1, 1995; or

(ii)iibefore September 1, 1999, if the subdivided land on August 31, 1999, was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42;

(B)iihas not been subdivided after September 1, 1995, or September 1, 1999, as applicable under Paragraph (A) [is located in a subdivision in which the utility has previously provided service]; [and]

(C)iiis the site of construction of a residence, evidenced by at least the existence of a completed foundation, that was begun[:

[(i)iion or before May 1, 1997; or

[(ii)]iion or before May 1, 2003; and

(D)iihas had adequate sewer services installed to service the lot or dwelling, as determined by an authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code;

(2)iithe subdivided land is a lot of record and has adequate sewer services installed that are fully operable to service the lot or dwelling, as determined by an authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code[, if the subdivided land on August 31, 1999, was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42]; or

(3)i[(2)]iithe land was not subdivided after September 1, 1995, and:

4690 81st Legislature — Regular Session 69th Day (Cont.)


(A)iiwater service is available within 750 feet of the subdivided land; or

(B)iiwater service is available more than 750 feet from the subdivided land and the extension of water service to the land may be feasible, subject to a final determination by the water service provider.

(d)iiA utility may provide utility service to subdivided land described by Subsection (c)(1), (2), or (3) only if the person requesting service:

(1)iiis not the land's subdivider or the subdivider's agent; and

(2)iiprovides to the utility a certificate described by Subsection (c) [(c)(1)].

(e)iiA person requesting service may obtain a certificate under Subsection (c)(1), (2), or (3) only if the person is the owner or purchaser of the subdivided land and provides to the commissioners court documentation containing [either]:

(1)ii[documentation containing:

[(A)]iia copy of the means of conveyance or other documents that show that the land was sold or conveyed by a subdivider before September 1, 1995, or before September 1, 1999, as applicable under Subsection (c);

(2)ii[to the person requesting service:

[(i)iibefore September 1, 1995; or

[(ii)iibefore September 1, 1999, if the subdivided land on Augusti31, 1999, was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42; and

[(B)]iia notarized affidavit by that person requesting service under Subsection (c)(1) that states that construction of a residence on the land, evidenced by at least the existence of a completed foundation, was begun[:

[(i)iion or before May 1, 1997; or

[(ii)]iion or before May 1, 2003, and the request for utility connection or service is to connect or serve a residence described by Subsection (c)(1)(C);

(3)ii[if the subdivided land on August 31, 1999, was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42; or

[(2)]iia notarized affidavit by the person requesting service that states that the subdivided land has not been further subdivided after[:

[(A)iithe property was sold or conveyed to that person:

[(i)iibefore] September 1, 1995,[;] or

[(ii)iibefore] September 1, 1999, as applicable under Subsection (c); and

(4)iievidence that adequate sewer service or facilities have been installed and are fully operable to service the lot or dwelling from an entity described by Section 232.021(14) or the authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code [if the subdivided land on August 31, 1999, was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42; and

[(B)iiconstruction of a residence on the land, evidenced by at least the existence of a completed foundation, was begun:

[(i)iion or before May 1, 1997; or

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[(ii)iion or before May 1, 2003, if the subdivided land on August 31, 1999, was located in the extraterritorial jurisdiction of a municipality as determined by Chapter 42].

(i)iiThe prohibition established by this section shall not prohibit a water, sewer, [an] electric, or gas utility from providing water, sewer, electric, or gas utility connection or service to a lot [being] sold, conveyed, or purchased through a contract for deed or executory contract or other device by a subdivider prior to July 1, 1995, or September 1, 1999, if on August 31, 1999, the subdivided land was located in the extraterritorial jurisdiction of a municipality that has adequate sewer services installed that are fully operable to service the lot, as determined by an authorized agent responsible for the licensing or permitting of on-site sewage facilities under Chapter 366, Health and Safety Code, [which is located within a subdivision where the utility has previously established service] and was subdivided by a plat approved prior to September 1, 1989.

(n)iiExcept as provided by Subsection (o), this section does not prohibit a water or sewer utility from providing water or sewer utility connection or service to a residential dwelling that:

(1)iiis provided water or wastewater facilities under or in conjunction with a federal or state funding program designed to address inadequate water or wastewater facilities in colonias or to residential lots located in a county described by Section 232.022(a)(1);

(2)iiis an existing dwelling identified as an eligible recipient for funding by the funding agency providing adequate water and wastewater facilities or improvements;

(3)iiwhen connected, will comply with the minimum state standards for both water and sewer facilities and as prescribed by the model subdivision rules adopted under Section 16.343, Water Code; and

(4)iiis located in a project for which the municipality with jurisdiction over the project or the approval of plats within the project area has approved the improvement project by order, resolution, or interlocal agreement under Chapter 791, Government Code, if applicable.

(o)iiA utility may not serve any subdivided land with water utility connection or service under Subsection (n) unless the entity receives a determination from the county commissioners court under Section 232.028(b)(3) that adequate sewer services have been installed to service the lot or dwelling.

SECTIONi8.iiSubsection (a), Section 232.031, Local Government Code, is amended to read as follows:

(a)iiExcept as provided by Subsection (d), a subdivider may not sell or lease land in a subdivision first platted or replatted after July 1, 1995, unless the subdivision plat is approved by the commissioners court in accordance with Section 232.024. The subdivider may market, promote, advertise, and execute an earnest money contract in relation to the sale or lease of land in the subdivision before the subdivision plat is approved.

SECTIONi9.iiSubchapter B, Chapter 232, Local Government Code, is amended by adding Section 232.045 to read as follows:

4692 81st Legislature — Regular Session 69th Day (Cont.)


Sec.i232.045.iiCOUNTY DEVELOPMENT PERMIT REQUIRED. (a) In this section:

(1)ii"Development or develop" means new construction or substantial improvement of any structure.

(2)ii"Structure" means a walled and roofed building that is principally above ground. The term includes manufactured homes, transportable structures, and recreational vehicles.

(3)ii"Substantial improvement" means:

(A)iithe reconstruction, rehabilitation, restoration, addition, remodeling, or improvement of a structure, the cost of which equals or exceeds 50 percent of the market value of the structure before the start of construction of the improvement; or

(B)iia change in occupancy of a building that results in a change in the purpose or use of a structure from a nonresidential use to a residential use.

(b)iiThis section applies to a tract of land that is 10 acres or less and that is located in the unincorporated area of a county described by Section 232.022(a).

(c)iiNotwithstanding any conflicting law, including any conflicting rule, regulation, or order adopted under that law, the platting requirements under Subchapter A apply to each tract of land covered by this section that is more than five acres but not more than 10 acres. The platting requirements under this subchapter apply to each tract of land covered by this section that is five acres or less.

(d)iiA person may not commence construction or a substantial improvement to a structure unless the person obtains a county development permit issued in accordance with this section and the applicable rules, regulations, or orders of the county in which the development is located. The commissioners court may adopt rules, regulations, and orders as necessary for the administration and enforcement of this section.

(e)iiA notice of the authorized use, residential or nonresidential, as appropriate, for each tract of land covered by this section that is more than five acres but not more than 10 acres must be included in both English and Spanish on the face of the plat if platting requirements must be met in relation to the tract under applicable law or a person otherwise chooses to file a plat. A uniform written notice, prescribed by the county in both English and Spanish, of the authorized use must be attached to contracts, deeds, and notices to purchasers that relate to the tract. The bilingual notice to a purchaser prescribed by the county in accordance with this subsection must also be attached to all written documents relating to the sale and must include a reference to the infrastructure requirements of this section and inform the purchaser that it is the purchaser's responsibility to satisfy the county that the infrastructure requirements of this section have or will be met before obtaining a development permit or occupying a residential structure constructed on the land subject to the permit.

(f)iiA person may not occupy a residential structure covered by this section if the structure is without infrastructure and services that comply with this section and with applicable rules, regulations, or orders of the county in which the residential structure is located.

(g)iiBy order adopted and entered in the minutes of the commissioners court, the court may designate an official, department head, or county employee to perform the necessary duties and functions to administer a county order under this section. If a designation is made under this subsection, the commissioners court shall establish an

Saturday, May 30, 2009 SENATE JOURNAL 4693


appeal procedure and sit as the appeal body for any appeal or grievance of an applicant for a development permit in regard to an action or decision of the court's designee.

(h)iiThe commissioners court or the court's designee shall issue a development permit to a person submitting an application for the permit only if the person:

(1)iihas met the infrastructure and certification requirements for the land subject to the permit application;

(2)iihas met the applicable platting requirements under:

(A)iiSubchapter A, if the tract of land is more than five acres but not more than 10 acres; or

(B)iithis subchapter, if the tract of land is five acres or less;

(3)iihas complied, or will comply through development, with the minimum requirements of the National Flood Insurance Act of 1968 (42 U.S.C. Sections 4001-4127) and local regulations and orders of the county adopted under Section 16.315, Water Code;

(4)iihas connected, or will connect through development, to water and sewer service facilities in compliance with applicable state law and rules, orders, or regulations that the county shall establish to ensure that water and sewer service facilities are provided to residential structures covered by this section, including any rule adopted under Section 16.343 or 17.934, Water Code;

(5)iihas connected, or will connect through development, electricity and gas, if available, with connections that meet, or will meet, the minimum state standards;

(6)iihas complied, or will comply through development, with all plat restrictions, limitations, and conditions established by a recorded plat approved by the commissioners court;

(7)iihas complied, or will comply through development, with all building set-back requirements established by a recorded plat approved by the commissioners court or by county order under Section 233.032 or other law;

(8)iihas submitted applicable fees, required documentation, or other information established by the county for the issuance of a development permit under this section;

(9)iiif the tract of land is more than five acres but not more than 10 acres, has only a single residence on the tract or will have only a single residence on the tract after the construction allowed by the development permit is complete; and

(10)iiif the tract of land is more than five acres but not more than 10 acres and if platting requirements must be met in relation to the tract under applicable law or the person otherwise chooses to file a plat, has complied with the requirement to include a bilingual notice of authorized use on the face of the plat in accordance with Subsection (e).

(i)iiBy order adopted and entered in the minutes of the commissioners court, the court may charge a reasonable fee to cover the costs of administering the issuance of development permits and enforcing the requirements under this section. Fees collected under this subsection may be used only to defray those costs.

(j)iiThe commissioners court or the court's designee shall issue a written list of the documentation and other information that must be submitted as part of the development permit application. The documentation or other information must relate

4694 81st Legislature — Regular Session 69th Day (Cont.)


to a requirement authorized under this section or other applicable law. If a person submits an application that does not include all of the documentation or other information required by this subsection, the commissioners court or the court's designee shall notify the applicant, not later than the 15th business day after the date of receipt by the commissioners court or the court's designee, of the missing documentation or other information. The county's orders adopted under this section must allow for a timely submission of the missing documentation or other information.

(k)iiA development permit application is considered to be complete when all documentation or other information required by Subsection (j) and all applicable fees charged under Subsection (i) are received by the county. Acceptance by the commissioners court or the court's designee of a completed application may not be construed as approval of the application.

(l)iiThe commissioners court or the court's designee shall take final action on the approval or disapproval of an application for a development permit not later than the 30th day after the date a completed application is received by the commissioners court or the court's designee. If the application is disapproved, the commissioners court or the court's designee shall provide to the applicant a complete list of the reasons for the disapproval. If the commissioners court or the court's designee fails to take final action on the application for a development permit as required by this subsection, the permit application is approved by operation of law.

(m)iiThe county may conduct inspections to ensure compliance with an application submitted or a permit issued under this section.

(n)iiThe county's authority granted under this section is cumulative of and in addition to the authority granted under this chapter and under other law pertaining to county regulation of the subdivision or development of land.

(o)iiA person commits an offense if the person knowingly fails to obtain a development permit in accordance with this section or a rule, regulation, or order adopted in accordance with this section. A person commits an offense if the person knowingly fails to comply with a rule, regulation, or order adopted in accordance with this section or knowingly violates the prohibition on occupancy prescribed by Subsection (f). An offense under this subsection is a Class C misdemeanor, except that the offense is a Class B misdemeanor if it is shown on the trial of the offense that the defendant has knowingly caused five or more residential structures to be constructed, substantially improved, or occupied in violation of this section or a rule, regulation, or order adopted in accordance with this section.

(p)iiThe county, in a suit brought by the appropriate attorney representing the county in a district court of that county, is entitled to appropriate injunctive relief to prevent the violation or threatened violation of a provision of this section from occurring or continuing.

SECTIONi10.iiSubsection (f), Section 232.029, Local Government Code, is repealed.

SECTIONi11.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

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Floor Amendment No. 1

Amend CSSB 2253 (House committee printing) as follows:

(1)iiStrike SECTION 4 of the bill, amended Section 232.025, Local Government Code (page 9, line 10, through page 10, line 11).

(2)iiStrike SECTION 5 of the bill, added Section 232.0251, Local Government Code (page 10, lines 12-27).

(3)iiStrike SECTION 8 of the bill, amended Section 232.031(a), Local Government Code (page 17, lines 12-20).

(4)iiStrike SECTION 9 of the bill, added Section 232.045, Local Government Code (page 17, line 21, through page 24, line 2).

(5)iiRenumber SECTIONS of the bill accordingly.

The amendments were read.

Senator Zaffirini moved to concur in the House amendments to SBi2253.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1896 WITH HOUSE AMENDMENTS

Senator Gallegos called SBi1896 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Floor Amendment No. 1

Amend SB 1896 (House committee printing) by inserting the following appropriately numbered SECTIONS and renumbering existing SECTIONS of the bill accordingly:

SECTION ____. Section 147.002, Local Government Code, is amended to read as follows:

Sec. 147.002. DEFINITIONS. In this chapter:

(1) "Firefighter" means a firefighter employed by the municipality who is covered by the municipality's fire pension plan and is classified by the municipality as nonexempt [exempt]. The term does not include a firefighter with a rank that is above that of battalion chief or section chief.

(2) "Firefighter employee group" means an organization:

(A) in which, on or before September 1, 2007, firefighters of the municipality have participated and paid dues via automatic payroll deduction [for at least one year]; and

(B) that exists for the purpose, in whole or in part, of dealing with the municipality concerning grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of employment affecting firefighters.

(3) "Police officer" means a sworn police officer employed by the municipality who is covered by the municipality's police pension plan and is classified by the municipality as nonexempt [exempt]. The term does not include a police officer with a rank above that of captain, a civilian, or a municipal marshal.

(4) "Police officer employee group" means an organization:

4696 81st Legislature — Regular Session 69th Day (Cont.)


(A) in which, on or before September 1, 2007, at least three percent of the police officers of the municipality have participated and paid dues via automatic payroll deduction [for at least one year]; and

(B) that exists for the purpose, in whole or in part, of dealing with the municipality concerning grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of employment affecting police officers.

Floor Amendment No. 1 on Third Reading

Amend SB 1896 on third reading by inserting the following appropriately numbered SECTIONS and renumbering existing SECTIONS of the bill accordingly:

SECTION ____. Section 143.0052, Local Government Code, is added to read as follows:

(a) This section applies only to a municipality that: (1) has a population of more than 200,000 and less than 250,000; (2) is located in a county in which another municipality that has a population of more than one million is predominately located, and (3) whose emergency medical services are administered by a Fire Department.

(b) by resolution of its governing body, a municipality may establish a monthly fee for the costs of emergency medical services, including salary and overtime related to medical personnel. This fee is applicable to each and every customer served by a municipal water account and may be collected in conjunction with the bill for water services.

(c) a municipality acting under this section supersedes any authority established under Section 286 of the Health and Safety Code.

The amendments were read.

Senator Gallegos moved to concur in the House amendments to SBi1896.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2324 WITH HOUSE AMENDMENT

Senator Duncan called SBi2324 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi2324 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the classification of certain types of marital property in regards to claims for payment of a criminal restitution judgment.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 3.202, Family Code, is amended by adding Subsection (e) to read as follows:

(e)iiFor purposes of this section, all retirement allowances, annuities, accumulated contributions, optional benefits, and money in the various public retirement system accounts of this state that are community property subject to the participating spouse's sole management, control, and disposition are not subject to

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any claim for payment of a criminal restitution judgment entered against the nonparticipant spouse except to the extent of the nonparticipant spouse's interest as determined in a qualified domestic relations order under Chapter 804, Government Code.

SECTIONi2.iiThis Act applies only to a claim for payment of a criminal restitution judgment issued on or after the effective date of this Act. A claim for payment of a criminal restitution judgment issued before the effective date of this Act is governed by the law as it existed immediately before the effective date of this Act, and that law is continued in effect for that purpose.

SECTIONi3.iiThis Act takes effect September 1, 2009.

The amendment was read.

Senator Duncan moved to concur in the House amendment to SBi2324.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1764 WITH HOUSE AMENDMENT

Senator Watson called SBi1764 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi1764 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the dissemination of information regarding the cost of attending public and private institutions of higher education and regarding the availability of financial aid to assist in paying that cost.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter C, Chapter 61, Education Code, is amended by adding Section 61.0777 to read as follows:

Sec.i61.0777.iiUNIFORM STANDARDS FOR PUBLICATION OF COST OF ATTENDANCE INFORMATION. (a)iiThe board shall prescribe uniform standards intended to ensure that information regarding the cost of attendance at institutions of higher education is available to the public in a manner that is consumer-friendly and readily understandable to prospective students and their families. In developing the standards, the board shall examine common and recommended practices regarding the publication of such information and shall solicit recommendations and comments from institutions of higher education and interested private or independent institutions of higher education.

(b)iiThe uniform standards must:

(1)iiaddress all of the elements that constitute the total cost of attendance, including tuition and fees, room and board costs, book and supply costs, transportation costs, and other personal expenses; and

(2)iiprescribe model language to be used to describe each element of the cost of attendance.

4698 81st Legislature — Regular Session 69th Day (Cont.)


(c)iiEach institution of higher education that offers an undergraduate degree or certificate program shall:

(1)iiprominently display on the institution's Internet website in accordance with the uniform standards prescribed under this section information regarding the cost of attendance at the institution by a full-time entering first-year student; and

(2)iiconform to the uniform standards in any electronic or printed materials intended to provide to prospective undergraduate students information regarding the cost of attendance at the institution.

(d)iiEach institution of higher education shall consider the uniform standards prescribed under this section when providing information to the public or to prospective students regarding the cost of attendance at the institution by nonresident students, graduate students, or students enrolled in professional programs.

(e)iiThe board shall prescribe requirements for an institution of higher education to provide on the institution's Internet website consumer-friendly and readily understandable information regarding student financial aid opportunities. The required information must be provided in connection with the information displayed under Subsection (c)(1) and must include a link to the primary federal student financial aid Internet website intended to assist persons applying for student financial aid.

(f)iiThe board shall provide on the board's Internet website a program or similar tool that will compute for a person accessing the website the estimated net cost of attendance for a full-time entering first-year student attending an institution of higher education. The board shall require each institution to provide the board with the information the board requires to administer this subsection.

(g)iiThe board shall prescribe the initial standards and requirements under this section not later than January 1, 2010. Institutions of higher education shall comply with the standards and requirements not later than April l, 2010. This subsection expires January 1, 2011.

(h)iiThe board shall encourage private or independent institutions of higher education approved under Subchapter F to participate in the tuition equalization grant program, to the greatest extent practicable, to prominently display the information described by Subsections (a) and (b) on their Internet websites in accordance with the standards established under those subsections, and to conform to those standards in electronic and printed materials intended to provide to prospective undergraduate students information regarding the cost of attendance at the institutions. The board shall also encourage those institutions to include on their Internet websites a link to the primary federal student financial aid Internet website intended to assist persons applying for student financial aid.

(i)iiThe board shall make the program or tool described by Subsection (f) available to private or independent institutions of higher education described by Subsection (h), and those institutions shall make that program or tool, or another program or tool that complies with the requirements for the net price calculator required under Section 132(h)(3), Higher Education Act of 1965 (20 U.S.C. Section 1015a), available on their Internet websites not later than the date by which the institutions are required by Section 132(h)(3) to make the net price calculator publicly available on their Internet websites.

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SECTIONi2.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Watson moved to concur in the House amendment to SBi1764.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2064 WITH HOUSE AMENDMENT

Senator West called SBi2064 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi2064 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the issuance of state and local government securities, including the powers and duties of the Bond Review Board and the issuance of private activity bonds.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 1231.062, Government Code, is amended by amending Subsection (a) and adding Subsection (d) to read as follows:

(a)iiNot later than December [October] 31 of each even-numbered year, the board shall submit to the legislature a statistical report relating to:

(1)iistate securities; and

(2)iibonds and other debt obligations issued by local governments.

(d)iiThe board may enter into a contract for the procurement of services related to the collection and maintenance of information on the indebtedness of local governments and state agencies necessary to prepare the statistical report.

SECTIONi2.iiSubsection (c), Section 1231.063, Government Code, is amended to read as follows:

(c)iiNot later than February 15 [December 1] of each year, the board shall submit the annual study to:

(1)iithe governor;

(2)iithe comptroller;

(3)iithe presiding officer of each house of the legislature; and

(4)iithe Senate Committee on Finance and House Appropriations Committee.

SECTIONi3.iiThe heading to Chapter 1372, Government Code, is amended to read as follows:

CHAPTER 1372. PRIVATE ACTIVITY BONDS AND CERTAIN OTHER BONDS

SECTIONi4.iiSection 1372.001, Government Code, is amended by amending Subdivisions (1) and (2) and adding Subdivisions (1-a), (1-b), (4-a), and (8-a) to read as follows:

4700 81st Legislature — Regular Session 69th Day (Cont.)


(1)ii"Additional state ceiling" means authorization under federal law for the issuance of bonds that are tax-exempt private activity bonds subject to the limits imposed by Section 146, Internal Revenue Code (26 U.S.C. Section 146), in an amount in addition to the state ceiling, including the additional tax-exempt private activity bonds authorized by Section 3021 of the Housing and Economic Recovery Act of 2008 (Pub. L. No. 110-289).

(1-a)ii"Applicable official" means the state official or state agency designated by federal law to allocate a miscellaneous bond ceiling or designate bonds entitled to the federal subsidy limited by a miscellaneous bond ceiling or, in the absence of designation by federal law, the governor.

(1-b)ii"Board" means the Bond Review Board.

(2)ii"Bonds" means all obligations, including bonds, certificates, or notes, that are:

(A)iiauthorized to be issued by:

(i)iithe constitution or a statute of this state; or

(ii)iithe charter of a home-rule municipality; and

(B)iieither:

(i)iisubject to the limitations of Section 146, Internal Revenue Code (26 U.S.C. Section 146); or

(ii)iiwith respect to Subchapter D, otherwise entitled to a federal subsidy only if designated for the exemption, credit, or other subsidy, or allocated a portion of a limited amount of obligations for which the exemption, credit, or other subsidy is authorized, by this state or an applicable official or by an issuer to which this state or the applicable official has made an allocation, including exemptions, credits, and other subsidies authorized by:

(a)iithe Heartland Disaster Tax Relief Act of 2008 (Pub. L. No. 110-343), regarding Hurricane Ike disaster area bonds;

(b)iithe American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5); or

(c)iiany other federal law authorizing a federal subsidy.

(4-a)ii"Federal subsidy" means an exclusion of interest on a bond from gross income for federal income tax purposes, a federal income tax credit associated with a bond, a direct federal subsidy of interest on a bond, or any other federally authorized financial benefit associated with a bond.

(8-a)ii"Miscellaneous bond ceiling" means the maximum amount of bonds of any type that may be issued by issuers in this state during a calendar year, or cumulatively, that are entitled to a federal subsidy only if designated for the federal subsidy, or allocated a portion of a limited amount of bonds other than bonds subject to the limits imposed by Section 146, Internal Revenue Code (26 U.S.C. Section 146), for which the federal subsidy is authorized, by:

(A)iithis state or the applicable official; or

(B)iian issuer to which this state or the applicable official has made an allocation.

SECTIONi5.iiSection 1372.002, Government Code, is amended by amending Subsection (a) and adding Subsection (e) to read as follows:

(a)iiFor purposes of this chapter, a project is:

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(1)iian eligible facility or facilities that are proposed to be financed, in whole or in part, by an issue of qualified residential rental project bonds;

(2)iiin connection with an issue of qualified mortgage bonds or qualified student loan bonds, the providing of financial assistance to qualified mortgagors or students located in all or any part of the jurisdiction of the issuer; or

(3)iian eligible facility or facilities that are [is] proposed to be financed, in whole or in part, by an issue of bonds other than bonds described by Subdivision (1) or (2).

(e)iiFor purposes of Subsection (a)(3), and only for applications for the financing of sewage facilities, solid waste disposal facilities, and qualified hazardous waste facilities, an application under this chapter may include multiple facilities in multiple jurisdictions. In such an application, the number of facilities may be reduced as needed without affecting their status as a project for purposes of the application.

SECTIONi6.iiSubsection (a), Section 1372.006, Government Code, is amended to read as follows:

(a)iiAn application for a reservation under Subchapter B or a carryforward designation under Subchapter C must be accompanied by a nonrefundable fee in the amount of $500, except that:

(1)iifor projects that include multiple facilities authorized under Section 1372.002(e), the application must be accompanied by a nonrefundable fee in an amount of $500 for each facility included in the application for the project; and

(2)iifor issuers of qualified residential rental project bonds the application must be accompanied by a nonrefundable fee of $5,000, of which the board shall retain $1,000 to offset the costs of the private activity bond allocation program and the administration of that program and of which the board shall transfer $4,000 through an interagency agreement to the Texas Department of Housing and Community Affairs for use in the affordable housing research and information program as provided by Section 2306.259.

SECTIONi7.iiSection 1372.022, Government Code, is amended to read as follows:

Sec.i1372.022.iiAVAILABILITY OF STATE CEILING TO ISSUERS. (a) If the state ceiling is computed on the basis of $75 per capita or a greater amount, before August 15 of each year:

(1)ii28.0 percent of the state ceiling is available exclusively for reservations by issuers of qualified mortgage bonds;

(2)ii8 percent of the state ceiling is available exclusively for reservations by issuers of state-voted issues;

(3)ii2.0 percent of the state ceiling is available exclusively for reservations by issuers of qualified small issue bonds and enterprise zone facility bonds;

(4)ii22.0 percent of the state ceiling is available exclusively for reservations by issuers of qualified residential rental project bonds;

(5)ii10.5 percent of the state ceiling is available exclusively for reservations by issuers of qualified student loan bonds authorized by Section 53B.47 [53.47], Education Code, that are nonprofit corporations able to issue a qualified scholarship funding bond as defined by Section 150(d)(2), Internal Revenue Code (26 U.S.C. Section 150(d)(2)); and

4702 81st Legislature — Regular Session 69th Day (Cont.)


(6)ii29.5 percent of the state ceiling is available exclusively for reservations by any other issuer of bonds that require an allocation.

(b)iiOn and after August 15 [but before September 1], that portion of the state ceiling available for reservations becomes available for all applications for reservations in the order determined by the board by lot. If all applicants for a reservation have been offered a portion of the available state ceiling, then the board shall grant reservations in the order in which the applications for those reservations are received[, subject to Section 1372.0321. On and after September 1, that portion of the state ceiling available for reservations becomes available to any issuer for any bonds that require an allocation, subject to the provisions of this subchapter].

SECTIONi8.iiSection 1372.026, Government Code, is amended to read as follows:

Sec.i1372.026.iiLIMITATION ON AMOUNT OF STATE CEILING AVAILABLE TO HOUSING FINANCE CORPORATIONS. (a) The maximum amount of the state ceiling that may be reserved before August 15 by a housing finance corporation for the issuance of qualified mortgage bonds may not exceed the amount computed as follows:

(1)iiif the local population of the housing finance corporation is 300,000 or more, $36 [$22.5] million plus the product of the amount by which the local population exceeds 300,000 multiplied by $40 [$11.25];

(2)iiif the local population of the housing finance corporation is 200,000 or more but less than 300,000, $32 [$20] million plus the product of the amount by which the local population exceeds 200,000 multiplied by $40 [$22.5];

(3)iiif the local population of the housing finance corporation is 100,000 or more but less than 200,000, $24 [$15] million plus the product of the amount by which the local population exceeds 100,000 multiplied by $80 [$50]; or

(4)iiif the local population of the housing finance corporation is less than 100,000, the product of the local population multiplied by $240 [$150].

(b)iiA housing finance corporation may not receive an allocation for the issuance of qualified mortgage bonds in an amount that exceeds $40 [$25] million.

(c)iiFor purposes of this section, the local population of a housing finance corporation is the population of the local government or local governments on whose behalf a housing finance corporation is created. If two local governments that have a population of at least 50,000 [20,000] each and that have overlapping territory have created housing finance corporations that have the power to issue bonds to provide financing for home mortgages, the population of the housing finance corporation created on behalf of the larger local government is computed by subtracting from the population of the larger local government the population of the part of the smaller local government that is located in the larger local government. The reduction of population provided by this subsection is not required if the smaller local government assigns its authority to issue bonds, based on its population, to the larger local government.

SECTIONi9.iiSection 1372.0261, Government Code, is amended by amending Subsections (c) and (d) and adding Subsections (e), (f), and (g) to read as follows:

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(c)iiIf a housing finance corporation's utilization percentage is less than 80 [95] percent but at least 25 percent, the next time the corporation becomes eligible for a reservation of the state ceiling, the maximum amount of the state ceiling that may be reserved for the corporation is equal to the amount for which the corporation would otherwise be eligible under Section 1372.026 multiplied by the utilization percentage of the corporation's last bond issue that used an allocation of the state ceiling.

(d)iiA housing finance corporation may not be penalized under Subsection (c) if:

(1)iithe corporation fails to use:

(A)iibond proceeds recycled from previous allocations of the state ceiling; or

(B)iitaxable bond proceeds; or

(2)iias the result of an issuance of bonds, the corporation's utilization percentage is 80 [95] percent or greater.

(e)iiIf a housing finance corporation's utilization percentage is less than 25 percent, the next time the corporation becomes eligible for a reservation of the state ceiling, the maximum amount of the state ceiling that may be reserved for the corporation is equal to the amount for which the corporation would otherwise be eligible under Section 1372.026 multiplied by 25 percent.

(f)iiA housing finance corporation may not be penalized under Subsection (c) in a program year if, by December 31 of the preceding program year, an amount equal to or less than 50 percent of the aggregate state ceiling available for reservations by issuers of qualified mortgage bonds under Section 1372.022(a)(1):

(1)iihas been used in connection with bond issues that have closed on or before that date; or

(2)iihas had carryforward elections filed on or before that date.

(g)iiAn issuer that has carryforward available from the state ceiling created by the Housing and Economic Recovery Act of 2008 (Pub. L. No. 110-289) is not restricted by project limits for the state ceiling. An issuer who uses the carryforward to issue qualified mortgage bonds or mortgage credit certificates is not subject to the utilization percentage calculation in determining the amount of the issuer's reservation request.

SECTIONi10.iiSubsection (b), Section 1372.028, Government Code, is amended to read as follows:

(b)iiAn issuer may apply for a reservation for a program year not earlier than October 5 of the preceding year. An issuer may not submit an application for a program year after November 15 [December 1] of that year.

SECTIONi11.iiSubsection (a), Section 1372.035, Government Code, is amended to read as follows:

(a)iiThe board may not grant a reservation of a portion of the state ceiling for a program year before January 2 or after November 15 [December 1] of that year.

SECTIONi12.iiSubsection (a), Section 1372.037, Government Code, is amended to read as follows:

(a)iiExcept as provided by Subsection (b), before August 15 the board may not grant for any single project a reservation for that year that is greater than:

4704 81st Legislature — Regular Session 69th Day (Cont.)


(1)ii$40 [$25] million, if the issuer is an issuer of qualified mortgage bonds, other than the Texas Department of Housing and Community Affairs or the Texas State Affordable Housing Corporation;

(2)ii$50 million, if the issuer is an issuer of a state-voted issue, other than the Texas Higher Education Coordinating Board, or $75 million, if the issuer is the Texas Higher Education Coordinating Board;

(3)iithe amount to which the Internal Revenue Code limits issuers of qualified small issue bonds and enterprise zone facility bonds, if the issuer is an issuer of those bonds;

(4)iithe lesser of $20 [$15] million or 15 percent of the amount set aside for reservation by issuers of qualified residential rental project bonds, if the issuer is an issuer of those bonds;

(5)iithe amount as prescribed in Sections 1372.033(d), (e), and (f), if the issuer is an issuer authorized by Section 53B.47 [53.47], Education Code, to issue qualified student loan bonds; or

(6)ii$50 million, if the issuer is any other issuer of bonds that require an allocation.

SECTIONi13.iiSection 1372.042, Government Code, is amended by adding Subsection (e) to read as follows:

(e)iiIn addition to any other fees required by this chapter, an issuer shall submit to the board a nonrefundable fee in the amount of $500 before receiving a carryforward designation under Subsection (c).

SECTIONi14.iiSubchapter B, Chapter 1372, Government Code, is amended by adding Section 1372.045 to read as follows:

Sec.i1372.045.iiRESERVATION, ALLOCATION, AND CARRYFORWARD DESIGNATION BY BOARD OF ADDITIONAL STATE CEILING. (a) The board is authorized to establish and administer programs for the reservation, allocation, and carryforward designation of additional state ceiling in accordance with the federal law that establishes the additional state ceiling and, to the extent consistent with the federal law, as the board determines will achieve the purposes for which the additional state ceiling is authorized by federal law.

(b)iiThe board may adopt rules and procedures the board considers necessary to effectively administer programs authorized under this section.

(c)iiThe board may prescribe forms and applications as needed to effectively implement and administer programs authorized under this section.

(d)iiThe board may adopt emergency rules in connection with the programs authorized under this section when the board determines that the emergency rules are necessary for the state to obtain the full benefits of the additional state ceiling.

SECTIONi15.iiSubchapter C, Chapter 1372, Government Code, is amended by adding Section 1372.073 to read as follows:

Sec.i1372.073.iiDESIGNATION BY BOARD OF UNENCUMBERED STATE CEILING. Notwithstanding any other provision of this chapter, the board on the last business day of the year may assign as carryforward to state agencies at their request and in the order received any state ceiling that is not reserved or designated as carryforward and for which no application for carryforward is pending.

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SECTIONi16.iiChapter 1372, Government Code, is amended by adding Subchapter D to read as follows:

SUBCHAPTER D. ALLOCATION OF MISCELLANEOUS BOND CEILING

Sec.i1372.101.iiPROGRAM ADMINISTRATION. (a) The applicable official may designate bonds as entitled to a portion of a miscellaneous bond ceiling or allocate a portion of a miscellaneous bond ceiling to an issuer of bonds:

(1)iiin accordance with the federal law that establishes the federal subsidy for which the miscellaneous bond ceiling is established; and

(2)iito the extent consistent with the federal law, as the applicable official determines will achieve the purposes for which the federal subsidy is authorized by federal law.

(b)iiThe board is authorized to administer programs established by the applicable official for the allocation of a miscellaneous bond ceiling or the designation of bonds entitled to the federal subsidy limited by a miscellaneous bond ceiling.

Sec.i1372.102.iiRULES AND PROCEDURES. (a) Unless otherwise provided by law, the board may adopt rules and procedures the board considers necessary to effectively administer programs established by the applicable official for allocation of a miscellaneous bond ceiling or for designating bonds as entitled to the federal subsidy limited by the miscellaneous bond ceiling.

(b)iiThe board may adopt emergency rules in connection with the programs described in Subsection (a) when the board determines that the emergency rules are necessary for the state to obtain the full benefits of the federal subsidy that is limited by the miscellaneous bond ceiling.

(c)iiThe board may prescribe forms and applications as needed to effectively implement and administer programs described in Subsection (a).

(d)iiThis section does not prevent an applicable official from adopting rules and procedures in connection with the allocations and designations when required by federal or state law or from administering a program independently of the board.

Sec.i1372.103.iiAPPLICATION FEES. In connection with programs established by the applicable official for the allocation of a miscellaneous bond ceiling or the designation of bonds entitled to the federal subsidy limited by a miscellaneous bond ceiling, the board may charge an application fee for each application it receives under this subchapter.

SECTIONi17.iiSection 1372.0235, Government Code, is repealed.

SECTIONi18.iiSubsection (a), Section 2306.6703, Government Code, is amended to read as follows:

(a)iiAn application is ineligible for consideration under the low income housing tax credit program if:

(1)iiat the time of application or at any time during the two-year period preceding the date the application round begins, the applicant or a related party is or has been:

(A)iia member of the board; or

(B)iithe director, a deputy director, the director of housing programs, the director of compliance, the director of underwriting, or the low income housing tax credit program manager employed by the department;

4706 81st Legislature — Regular Session 69th Day (Cont.)


(2)iithe applicant proposes to replace in less than 15 years any private activity bond financing of the development described by the application, unless:

(A)iiat least one-third of all the units in the development are public housing units or Section 8 project-based units and the applicant proposes to maintain for a period of 30 years or more 100 percent of the [development] units supported by housing tax credits as rent-restricted and exclusively for occupancy by individuals and families earning not more than 50 percent of the area median income, adjusted for family size[; and

[(B)iiat least one-third of all the units in the development are public housing units or Section 8 project-based units];

(B)iithe applicable private activity bonds will be redeemed only in an amount consistent with their proportionate amortization; or

(C)iiif the redemption of the applicable private activity bonds will occur in the first five years of the operation of the development and is required to comply with Section 42(h)(4), Internal Revenue Code of 1986:

(i)iion the date the certificate of reservation is issued, the Bond Review Board determines that there is not a waiting list for private activity bonds in the same subpriority level established under Section 1372.0321 or, if applicable, in the same uniform state service region, as referenced in Section 1372.0231, that is served by the proposed development; and

(ii)iithe applicable private activity bonds will be redeemed according to underwriting criteria, if any, established by the department;

(3)iithe applicant proposes to construct a new development that is located one linear mile or less from a development that:

(A)iiserves the same type of household as the new development, regardless of whether the developments serve families, elderly individuals, or another type of household;

(B)iihas received an allocation of housing tax credits for new construction at any time during the three-year period preceding the date the application round begins; and

(C)iihas not been withdrawn or terminated from the low income housing tax credit program; or

(4)iithe development is located in a municipality or, if located outside a municipality, a county that has more than twice the state average of units per capita supported by housing tax credits or private activity bonds, unless the applicant:

(A)iihas obtained prior approval of the development from the governing body of the appropriate municipality or county containing the development; and

(B)iihas included in the application a written statement of support from that governing body referencing this section and authorizing an allocation of housing tax credits for the development.

SECTIONi19.ii(a) In this section, "additional state ceiling," "applicable official," and "miscellaneous bond ceiling" have the meanings assigned by Section 1372.001, Government Code, as amended by this Act.

(b)iiAll reservations, allocations, and carryforward designations by the Bond Review Board of additional state ceiling authorized by Section 3021 of the Housing and Economic Recovery Act of 2008 (Pub. L. No. 110-289), and by applicable

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officials of miscellaneous bond ceiling authorized by the Heartland Disaster Tax Relief Act of 2008 (Pub. L. No. 110-343), regarding Hurricane Ike disaster area bonds, or by the American Recovery and Reinvestment Act of 2009 (Pub. L. No. 111-5), before the effective date of this Act are validated.

(c)iiAn issuer that has carryforward available from additional state ceiling authorized by the Housing and Economic Recovery Act of 2008 (Pub. L. No. 110-289) is not restricted by the project limits for the state ceiling established by Chapter 1372, Government Code. An issuer that uses the carryforward to issue qualified mortgage bonds or mortgage credit certificates is not subject to the utilization percentage calculation established by Chapter 1372, Government Code, in determining the amount of the issuer's reservation request.

SECTIONi20.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator West moved to concur in the House amendment to SBi2064.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1369 WITH HOUSE AMENDMENT

Senator Lucio called SBi1369 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 1369 by adding the following appropriately numbered SECTIONS to the bill and renumbering the remaining SECTIONS of the bill appropriately:

SECTIONi____.iiSection 264.601(2), Family Code, is amended to read as follows:

(2)ii"Volunteer advocate program" means a volunteer-based, nonprofit program that:

(A)iiprovides advocacy services to abused or neglected children with the goal of obtaining a permanent placement for a child that is in the child's best interest; and

(B)iicomplies with recognized standards for volunteer advocate programs.

SECTIONi____.iiSection 264.602, Family Code, is amended by amending Subsection (a) and adding Subsection (f) to read as follows:

(a)iiThe statewide organization with which the attorney general contracts under Section 264.603 shall contract for services with eligible volunteer advocate programs to provide advocacy services to abused or neglected children [expand the existing services of the programs].

4708 81st Legislature — Regular Session 69th Day (Cont.)


(f)iiExpenses incurred by a volunteer advocate program to promote public awareness of the need for volunteer advocates or to explain the work performed by volunteer advocates that are paid with money from the attorney general volunteer advocate program account under Section 504.611, Transportation Code, are not considered administrative expenses for the purpose of Section 264.603(b).

SECTIONi____.iiSection 264.603(a), Family Code, is amended to read as follows:

(a)iiThe attorney general shall contract with one statewide organization of individuals or groups of individuals who have expertise in the dynamics of child abuse and neglect and experience in operating volunteer advocate programs to provide training, technical assistance, and evaluation services for the benefit of local volunteer advocate programs. The contract shall:

(1)iiinclude [require] measurable goals and objectives relating to the number of:

(A)iivolunteer advocates in the program; and

(B)iichildren receiving services from the program; and

(2)iifollow practices designed to ensure compliance with standards referenced in the contract [for expanding local volunteer child advocate programs to areas of the state in which those programs do not exist].

SECTIONi____.iiSection 264.604(a), Family Code, is amended to read as follows:

(a)iiA person is eligible for a contract under Section 264.602 only if the person is a public or private nonprofit entity that operates a volunteer advocate program that:

(1)iiuses individuals appointed as volunteer advocates or guardians ad litem by the court to provide for the needs of abused or neglected children;

(2)iihas provided court-appointed advocacy services for at least six months [two years];

(3)iiprovides court-appointed advocacy services for at least 10 children each month; and

(4)iihas demonstrated that the program has local judicial support.

SECTIONi____.iiSections 264.607(b) and (c), Family Code, are repealed.

The amendment was read.

Senator Lucio moved to concur in the House amendment to SBi1369.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1693 WITH HOUSE AMENDMENTS

Senator Ogden called SBi1693 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Amendment

Amend SBi1693 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the regulation of poultry facilities and poultry litter.

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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubchapter C, Chapter 382, Health and Safety Code, is amended by adding Section 382.068 to read as follows:

Sec.i382.068.iiPOULTRY FACILITY ODOR; RESPONSE TO COMPLAINTS. (a)iiIn this section, "poultry facility" and "poultry litter" have the meanings assigned by Section 26.301, Water Code.

(b)iiThe commission shall respond and investigate not later than 18 hours after receiving:

(1)iia second complaint against a poultry facility concerning odor associated with:

(A)iithe facility; or

(B)iithe application of poultry litter to land by the poultry facility; or

(2)iia complaint concerning odor from a poultry facility at which the commission has substantiated odor nuisance conditions in the previous 12 months.

(c)iiIf after the investigation the commission determines that a poultry facility is violating the terms of its air quality authorization or is creating a nuisance, the commission shall issue a notice of violation.

(d)iiThe commission by rule or order shall require the owner or operator of a poultry facility for which the commission has issued three notices of violation under this section during a 12-month period to enter into a comprehensive compliance agreement with the commission. The compliance agreement must include an odor control plan that the executive director determines is sufficient to control odors.

(e)iiThe owner or operator of a new poultry facility shall complete a poultry facility training course on the prevention of poultry facility odor nuisances from the poultry science unit of the Texas AgriLife Extension Service not later than the 90th day after the date the facility first accepts poultry to raise. The owner or operator of a new poultry facility shall maintain records of the training and make the records available to the commission for inspection.

(f)iiThe poultry science unit of the Texas AgriLife Extension Service may charge an owner or operator of a poultry facility a training fee to offset the direct cost of providing the training.

SECTIONi2.iiSection 26.302, Water Code, is amended by adding Subsections (b-2) and (b-3) to read as follows:

(b-2)iiThe State Soil and Water Conservation Board in consultation with the Texas Commission on Environmental Quality by rule shall establish criteria to determine the geographic, seasonal, and agronomic factors that the board will consider to determine whether a persistent nuisance odor condition is likely to occur when assessing the siting and construction of new poultry facilities.

(b-3)iiThe State Soil and Water Conservation Board may not certify a water quality management plan for a poultry facility located less than one-half of one mile from a business, off-site permanently inhabited residence, or place of worship if the presence of the facility is likely to create a persistent odor nuisance for such neighbors, unless the poultry facility provides an odor control plan the executive director determines is sufficient to control odors. This subsection does not apply to:

4710 81st Legislature — Regular Session 69th Day (Cont.)


(1)iia revision of a previously certified and existing water quality management plan unless the revision is necessary because of an increase in poultry production of greater than 50 percent than the amount included in the existing certified water quality management plan for the facility; or

(2)iiany poultry facility located more than one-half of one mile from a surrounding business, permanently inhabited off-site residence, or place of worship established before the date of construction of the poultry facility.

SECTIONi3.iiSubchapter H, Chapter 26, Water Code, is amended by adding Sections 26.304 and 26.305 to read as follows:

Sec.i26.304.iiRECORDS OF SALE, PURCHASE, TRANSFER, OR APPLICATION OF POULTRY LITTER. (a)iiA poultry facility that sells or transfers poultry litter for off-site application must maintain until the second anniversary of the date of sale or transfer a record regarding:

(1)iithe identity of the purchaser or applicator;

(2)iithe physical destination of the poultry litter identified by the purchaser or transferee;

(3)iithe date the poultry litter was removed from the poultry facility; and

(4)iithe number of tons of poultry litter removed.

(b)iiA person that purchases or obtains poultry litter for land application must maintain until the second anniversary of the date of application a signed and dated proof of delivery document for every load of poultry litter applied to land. The landowner or the owner's tenant or agent shall note on the document the date or dates on which the poultry litter was applied to land.

(c)iiSubsection (b) does not apply to poultry litter that is:

(1)iitaken to a composting facility;

(2)iiused as a bio-fuel;

(3)iiused in a bio-gasification process; or

(4)iiotherwise beneficially used without being applied to land.

Sec.i26.305.iiINSPECTION OF RECORDS. The commission may inspect any record required to be maintained under this subchapter.

SECTIONi4.iiThe change in law made by Section 382.068(e), Health and Safety Code, as added by this Act, applies only to an owner or operator of a poultry facility the construction of which begins on or after the effective date of this Act. An owner or operator of a poultry facility the construction of which began before the effective date of this Act is governed by the law in effect at the time the construction of the facility began, and the former law is continued in effect for that purpose.

SECTIONi5.iiThis Act takes effect September 1, 2009.

Floor Amendment No. 1

Amend CSSB 1693 (House committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS accordingly:

SECTION ____. Section 5.1175, Water Code, is amended to read as follows:

Sec. 5.1175. PAYMENT OF PENALTY BY INSTALLMENT. (a) The commission by rule may [shall] allow a person who [small business that] owes a monetary civil or administrative penalty imposed for a violation of law within the commission's jurisdiction or for a violation of a license, permit, or order issued or rule

Saturday, May 30, 2009 SENATE JOURNAL 4711


adopted by the commission to pay the penalty in periodic installments. The rule must provide a procedure for a person [qualified small business] to apply for permission to pay the penalty over time.

(b) [The rule must classify small businesses by their net annual receipts and number of employees. A business that is a wholly owed subsidiary of a corporation may not qualify as a small business under this section.

[(c)] The rule may vary the period over which the penalty may be paid or the amount of the periodic installments according to the amount of the penalty owed and the size of the business that owes the penalty. The period over which the penalty may be paid may not exceed 36 [12] months.

SECTION ____. Section 7.002, Water Code, is amended to read as follows:

Sec. 7.002. ENFORCEMENT AUTHORITY. The commission may initiate an action under this chapter to enforce provisions of this code and the Health and Safety Code within the commission's jurisdiction as provided by Section 5.013 of this code and rules adopted under those provisions. The commission or the executive director may institute legal proceedings to compel compliance with the relevant provisions of this code and the Health and Safety Code and rules, orders, permits, or other decisions of the commission. The commission may delegate to the executive director the authority to issue an administrative order, including an administrative order that assesses penalties or orders corrective measures, to ensure compliance with the provisions of this code and the Health and Safety Code within the commission's jurisdiction as provided by Section 5.013 of this code and rules adopted under those provisions.

SECTION ____. Section 26.0135(h), Water Code, is amended to read as follows:

(h) The commission shall apportion, assess, and recover the reasonable costs of administering the water quality management programs under this section [from users of water and wastewater permit holders in the watershed according to the records of the commission generally in proportion to their right, through permit or contract, to use water from and discharge wastewater in the watershed]. Irrigation water rights, non-priority hydroelectric rights of a water right holder that owns or operates privately owned facilities that collectively have a capacity of less than two megawatts, and water rights held in the Texas Water Trust for terms of at least 20 years will not be subject to this assessment. The cost to river authorities and others to conduct water quality monitoring and assessment shall be subject to prior review and approval by the commission as to methods of allocation and total amount to be recovered. The commission shall adopt rules to supervise and implement the water quality monitoring, assessment, and associated costs. The rules shall ensure that water users and wastewater dischargers do not pay excessive amounts, [that program funds are equitably apportioned among basins,] that a river authority may recover no more than the actual costs of administering the water quality management programs called for in this section, and that no municipality shall be assessed cost for any efforts that duplicate water quality management activities described in Section 26.177. [The rules concerning the apportionment and assessment of reasonable costs shall provide for a recovery of not more than $5,000,000 annually. Costs recovered by the commission are to be deposited to the credit of the water resource management account and may

4712 81st Legislature — Regular Session 69th Day (Cont.)


be used only to accomplish the purposes of this section. The commission may apply not more than 10 percent of the costs recovered annually toward the commission's overhead costs for the administration of this section and the implementation of regional water quality assessments. The commission, with the assistance and input of each river authority, shall file a written report accounting for the costs recovered under this section with the governor, the lieutenant governor, and the speaker of the house of representatives on or before December 1 of each even numbered year.]

The amendments were read.

Senator Ogden moved to concur in the House amendments to SBi1693.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 978 WITH HOUSE AMENDMENT

Senator West called SBi978 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 978 (House committee report) as follows:

(1) In SECTION 1 of the bill, in amended Section 372.003(b), Local Government Code, in proposed Subdivision (13) of that subsection (page 6, line 17), strike "and".

(2) In SECTION 1 of the bill, in amended Section 372.003(b), Local Government Code, after proposed Subdivision (14) of that subsection (page 7, line 3), strike "[; and" and substitute the following:

; and

(15) acquisition, construction, or improvement of a rainwater harvesting system

The amendment was read.

Senator West moved to concur in the House amendment to SBi978.

The motion prevailed by the following vote:iiYeasi29, Naysi2.

Yeas:iiAveritt, Carona, Davis, Deuell, Duncan, Ellis, Eltife, Estes, Fraser, Gallegos, Harris, Hegar, Hinojosa, Huffman, Jackson, Lucio, Nelson, Nichols, Seliger, Shapiro, Shapleigh, Uresti, VanideiPutte, Watson, Wentworth, West, Whitmire, Williams, Zaffirini.

Nays:iiOgden, Patrick.

SENATE BILL 1458 WITH HOUSE AMENDMENT

Senator Seliger called SBi1458 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi1458 by substituting in lieu thereof the following:

Saturday, May 30, 2009 SENATE JOURNAL 4713


A BILL TO BE ENTITLED

AN ACT

relating to the authority of the governing body of a municipality or the commissioners court of a county to enter into an ad valorem tax abatement agreement.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 312.006, Tax Code, as amended by Chapters 1029 (H.B. 1449) and 1505 (H.B. 1200), Acts of the 77th Legislature, Regular Session, 2001, is reenacted and amended to read as follows:

Sec.i312.006.iiEXPIRATION DATE. If not continued in effect, this chapter expires September 1, 2019 [2009].

SECTIONi2.iiSubchapter A, Chapter 312, Tax Code, is amended by adding Section 312.007 to read as follows:

Sec.i312.007.iiDEFERRAL OF COMMENCEMENT OF ABATEMENT PERIOD. (a) In this section, "abatement period" means the period during which all or a portion of the value of real property or tangible personal property that is the subject of a tax abatement agreement is exempt from taxation.

(b)iiNotwithstanding any other provision of this chapter, the governing body of the taxing unit granting the abatement and the owner of the property that is the subject of the agreement may agree to defer the commencement of the abatement period until a date that is subsequent to the date the agreement is entered into, except that the duration of an abatement period may not exceed 10 years.

SECTIONi3.iiSection 312.402, Tax Code, is amended by amending Subsection (a) and adding Subsections (a-1), (a-2), and (a-3) to read as follows:

(a)iiThe commissioners court may execute a tax abatement agreement with the owner of taxable real property located in a reinvestment zone designated under this subchapter or with the owner of tangible personal property located on real property in a reinvestment zone to exempt from taxation all or a portion of the value of the real property, all or a portion of the value of the tangible personal property located on the real property, or all or a portion of the value of both[. The court may execute a tax abatement agreement with the owner of a leasehold interest in tax-exempt real property or leasehold interests or improvements on tax-exempt real property that is located in a reinvestment zone designated under this subchapter to exempt a portion of the value of tangible personal property or leasehold interests or improvements on tax-exempt real property located on the real property. The execution, duration, and other terms of an agreement made under this section are governed by the provisions of Sections 312.204, 312.205, and 312.211 applicable to a municipality. Section 312.2041 applies to an agreement made by a county under this section in the same manner as it applies to an agreement made by a municipality under Section 312.204 or 312.211].

(a-1)iiThe commissioners court may execute a tax abatement agreement with the owner of a leasehold interest in tax-exempt real property located in a reinvestment zone designated under this subchapter to exempt all or a portion of the value of the leasehold interest in the real property. The court may execute a tax abatement agreement with the owner of tangible personal property or an improvement located on

4714 81st Legislature — Regular Session 69th Day (Cont.)


tax-exempt real property that is located in a designated reinvestment zone to exempt all or a portion of the value of the tangible personal property or improvement located on the real property.

(a-2)iiThe execution, duration, and other terms of an agreement entered into under this section are governed by the provisions of Sections 312.204, 312.205, and 312.211 applicable to a municipality. Section 312.2041 applies to an agreement entered into under this section in the same manner as that section applies to an agreement entered into under Section 312.204 or 312.211.

(a-3)iiThe commissioners court may execute a tax abatement agreement with a lessee of taxable real property located in a reinvestment zone designated under this subchapter to exempt from taxation all or a portion of the value of the fixtures, improvements, or other real property owned by the lessee and located on the property that is subject to the lease, all or a portion of the value of tangible personal property owned by the lessee and located on the real property that is the subject of the lease, or all or a portion of the value of both the fixtures, improvements, or other real property and the tangible personal property described by this subsection.

SECTIONi4.iiSection 312.007, Tax Code, as added by this Act, is intended to clarify rather than change existing law.

SECTIONi5.iiAn ad valorem tax abatement agreement that was executed before the effective date of this Act by the commissioners court of a county and an owner of taxable real property or tangible personal property or an owner of a leasehold interest in tax-exempt real property, under Section 312.402, Tax Code, as that section existed before the effective date of this Act, that provides for an exemption from taxation of all or a portion of the value of real property, tangible personal property, or both, or of all or a portion of the value of a leasehold interest in tax-exempt real property, that is not invalid for a reason other than an inconsistency with Section 312.402, Tax Code, as that section existed before the effective date of this Act, and that is consistent with Section 312.402, Tax Code, as amended by this Act, is ratified and validated as of the date the agreement was executed.

SECTIONi6.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Seliger moved to concur in the House amendment to SBi1458.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2543 WITH HOUSE AMENDMENT

Senator Hegar called SBi2543 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 2543 (House committee report) as follows:

(1) On page 1, lines 8 - 9, strike ", including a political subdivision,";

Saturday, May 30, 2009 SENATE JOURNAL 4715


(2) On page 2, line 12, strike ", including a political subdivision,".

The amendment was read.

Senator Hegar moved to concur in the House amendment to SBi2543.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1317 WITH HOUSE AMENDMENT

Senator Wentworth called SBi1317 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi1317 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to education and examination requirements for the issuance of a driver's license to certain persons.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 521.142(d), Transportation Code, is amended to read as follows:

(d)iiIf the applicant is under 25 years of age, the application must state whether the applicant has completed a driver education course required by Section 521.1601 [approved by the department].

SECTIONi2.iiThe heading to Subchapter H, Chapter 521, Transportation Code, is amended to read as follows:

SUBCHAPTER H. EDUCATION AND EXAMINATION REQUIREMENTS

SECTIONi3.iiSubchapter H, Chapter 521, Transportation Code, is amended by adding Sections 521.1601 and 521.167 to read as follows:

Sec.i521.1601.iiDRIVER EDUCATION REQUIRED. The department may not issue a driver's license to a person who is younger than 25 years of age unless the person submits to the department a driver education certificate issued under Chapter 1001, Education Code, that states that the person has completed and passed:

(1)iia driver education and traffic safety course approved by the Texas Education Agency under Section 29.902, Education Code, or a driver education course approved by that agency under Section 1001.101(a)(1) of that code or approved by the department under Section 521.205; or

(2)iiif the person is 18 years of age or older, a driver education course approved by the Texas Education Agency under Section 1001.101(a)(1) or (2), Education Code.

Sec.i521.167.iiWAIVER OF CERTAIN EDUCATION AND EXAMINATION REQUIREMENTS. A person who has completed and passed a driver education course approved by the Texas Education Agency under Section 1001.101(a)(2), Education Code, is not required to take the highway sign and traffic law parts of the examination required under Section 521.161 if those parts have been successfully completed as determined by a licensed driver education instructor.

4716 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi4.iiSection 1001.004, Education Code, is amended to read as follows:

Sec.i1001.004.iiCOST OF ADMINISTERING CHAPTER. (a) Except as provided by Subsection (b), the [The] cost of administering this chapter shall be included in the state budget allowance for the agency.

(b)iiThe commissioner may charge a fee to each driver education school in an amount not to exceed the actual expense incurred in the regulation of driver education courses established under Section 1001.101(a)(2).

SECTIONi5.iiSection 1001.055(a), Education Code, is amended to read as follows:

(a)iiThe agency shall print and supply to each licensed or exempt driver education school driver education certificates to be used for certifying completion of an approved driver education course to satisfy the requirements of Sections [Section] 521.204(a)(2) and 521.1601, Transportation Code. The certificates must be numbered serially.

SECTIONi6.iiSection 1001.101, Education Code, is amended to read as follows:

Sec.i1001.101.iiDRIVER EDUCATION COURSE CURRICULUM AND EDUCATIONAL MATERIALS [TEXTBOOKS]. (a) The commissioner by rule shall establish the curriculum and designate the educational materials [textbooks] to be used in:

(1)iia driver education course for minors and adults; and

(2)iia driver education course exclusively for adults.

(b)iiA driver education course under Subsection (a)(2) must:

(1)iibe a six-hour course; and

(2)iiinclude instruction in:

(A)iialcohol and drug awareness;

(B)iithe traffic laws of this state;

(C)iihighway signs, signals, and markings that regulate, warn, or direct traffic; and

(D)iithe issues commonly associated with motor vehicle accidents, including poor decision-making, risk taking, impaired driving, distraction, speed, failure to use a safety belt, driving at night, failure to yield the right-of-way, and using a wireless communication device while operating a vehicle.

(c)iiA course approved under Subsection (a)(2) may be offered as an online course.

(d)iiA driving safety course or a drug and alcohol driving awareness program may not be approved as a driver education course under Subsection (a)(2).

SECTIONi7.iiThe changes in law made by this Act apply to an application for the issuance of a driver's license filed on or after the effective date of this Act. An application for the issuance of a driver's license filed before the effective date of this Act is governed by the law in effect on the date of the filing, and that law is continued in effect for that purpose.

SECTIONi8.iiThis Act takes effect March 1, 2010.

The amendment was read.

Senator Wentworth moved to concur in the House amendment to SBi1317.

The motion prevailed by the following vote:iiYeasi23, Naysi8.

Saturday, May 30, 2009 SENATE JOURNAL 4717


Yeas:iiAveritt, Carona, Davis, Deuell, Duncan, Ellis, Estes, Harris, Huffman, Lucio, Nelson, Nichols, Ogden, Seliger, Shapiro, Shapleigh, Uresti, VanideiPutte, Watson, Wentworth, West, Williams, Zaffirini.

Nays:iiEltife, Fraser, Gallegos, Hegar, Hinojosa, Jackson, Patrick, Whitmire.

SENATE BILL 1844 WITH HOUSE AMENDMENT

Senator Van de Putte called SBi1844 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No.i1 on Third Reading

Amend SB 1844 on third reading by striking SECTION 3 of the bill and substituting the following:

SECTIONi3.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The amendment was read.

Senator Van de Putte moved to concur in the House amendment to SBi1844.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1616 WITH HOUSE AMENDMENTS

Senator Wentworth called SBi1616 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Floor Amendment No. 1

Amend SB 1616 (engrossed version) in SECTION 7 of the bill as follows:

(1) On page 5, line 20, strike "this chapter [subchapter]" and substitute "Subchapters G and I [this subchapter]".

(2) On page 6, line 16 through page 7, line 6, strike Subsections (c-1) and (j) and substitute the following:

(c-1) Subsections (b) and (c) do not apply to the sale at auction of a specialty plate or personalized specialty plate that is not used on a motor vehicle.

(j) From amounts received by the department under the contract described by Subsection (a), the department shall deposit to the credit of the state highway fund an amount sufficient to enable the department to recover its administrative costs for all license plates issued under this section, [including] any payments to the vendor under the contract [Subsection (a)], and any other amounts allocated by law to the state highway fund [by another law]. To the extent that the disposition of other amounts received by [from] the department is [vendor are] governed by another law, those amounts shall be deposited in accordance with the other law [, and for each type of license plate the amount charged for the license plate may not be less than the amount

4718 81st Legislature — Regular Session 69th Day (Cont.)


in effect on January 1, 2003]. Any additional amount received by [from] the department under the contract [vendor] shall be deposited to the credit of the general revenue fund.

Floor Amendment No. 2

Amend SB 1616 (House committee report) by adding an appropriately numbered Section ____ to read as follows and renumber the subsequent sections accordingly:

SECTION ____. Subchapter G, Chapter 504, Transportation Code, is amended by adding Section 504.660 to read as follows:

Sec. 504.660. SEXUAL ASSAULT AWARENESS LICENSE PLATES. (a) The department shall design and issue specialty license plates to support victims of sexual assault.

(b) The license plates must include the words "Speak up. Speak out." and an image of a blue ribbon.

(c) After deduction of the department's administrative costs, the remainder of the fee for issuance of the license plates shall be deposited to the credit of the sexual assault program fund established by Section 420.008, Government Code.

Floor Amendment No. 3

Amend SB 1616 by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSection 504.409, Transportation Code, is amended to read as follows:

Sec.i504.409.ii[VOLUNTEER] FIREFIGHTERS. (a) The department shall issue specialty license plates for:

(1)iivolunteer firefighters certified by:

(A)i[(1)]iithe Texas Commission on Fire Protection; or

(B)i[(2)]iithe State Firemen's and Fire Marshals' Association of Texas; and

(2)iifire protection personnel as that term is defined by Section 419.021, Government Code.

(b)iiThe fee for issuance of each set of [the] license plates is:

(1)ii$4 for volunteer firefighters; and

(2)ii$30 for fire protection personnel.

(c)iiA person may be issued not more than three sets [only one set] of [the] license plates.

The amendments were read.

Senator Wentworth moved to concur in the House amendments to SBi1616.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 58 ADOPTED

Senator Zaffirini called from the President's table the Conference Committee Report on SBi58. The Conference Committee Report was filed with the Senate on Friday, May 29, 2009.

Saturday, May 30, 2009 SENATE JOURNAL 4719


On motion of Senator Zaffirini, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1003 WITH HOUSE AMENDMENT

Senator Deuell called SBi1003 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi1003 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the continuation and functions of the Office of State-Federal Relations and the administrative attachment of that agency to the office of the governor.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 751.002(a), Government Code, is amended to read as follows:

(a)iiThe Office of State-Federal Relations is an agency of the state and operates within the executive department. The office is administratively attached to the office of the governor. The governor's office shall provide human resources and other administrative support for the office. The office is funded by appropriations made to the office of the governor.

SECTIONi2.iiSection 751.003, Government Code, is amended to read as follows:

Sec.i751.003.iiSUNSET PROVISION. The Office of State-Federal Relations is subject to Chapter 325 (Texas Sunset Act). Unless continued in existence as provided by that chapter, the office is abolished and this chapter expires September 1, 2015 [2009]. [In the review of the office by the Sunset Advisory Commission, as required by this section, the sunset commission shall limit its review to the appropriateness of recommendations made to the 80th Legislature. In its report to the 81st Legislature, the sunset commission may include any recommendations it considers appropriate.]

SECTIONi3.iiThe heading to Section 751.005, Government Code, is amended to read as follows:

Sec.i751.005.iiGENERAL POWERS AND DUTIES OF OFFICE [DIRECTOR].

SECTIONi4.iiSection 751.005, Government Code, is amended by amending Subsections (a), (b), and (c) and adding Subsection (e) to read as follows:

(a)iiThe office [director] shall exercise the powers and carry out the duties prescribed by this section in order to act as a liaison from the state to the federal government.

(b)iiThe office [director] shall:

(1)iihelp coordinate state and federal programs dealing with the same subject;

(2)iiinform the governor and the legislature of federal programs that may be carried out in the state or that affect state programs;

4720 81st Legislature — Regular Session 69th Day (Cont.)


(3)iiprovide federal agencies and the United States Congress with information about state policy and state conditions on matters that concern the federal government;

(4)iiprovide the legislature with information useful in measuring the effect of federal actions on the state and local programs;

(5)iiprepare and supply to the governor and all members of the legislature an annual report that:

(A)iidescribes the office's operations;

(B)iicontains the office's priorities and strategies for the following year;

(C)iidetails projects and legislation pursued by the office;

(D)iidiscusses issues in the following congressional session of interest to this state; and

(E)iicontains an analysis of federal funds availability and formulae; [and]

(6)iiprepare annually a complete and detailed written report accounting for all funds received and disbursed by the office during the preceding fiscal year;

(7)iinotify the governor, the lieutenant governor, the speaker of the house of representatives, and the legislative standing committees in each house with primary jurisdiction over intergovernmental affairs of federal activities relevant to the state and inform the Texas congressional delegation of state activities;

(8)iiconduct frequent conference calls with the lieutenant governor and the speaker of the house of representatives or their designees regarding state-federal relations and programs;

(9)iirespond to requests for information from the legislature, the United States Congress, and federal agencies;

(10)iicoordinate with the Legislative Budget Board regarding the effects of federal funding on the state budget; and

(11)iireport to, and on request send appropriate representatives to appear before, the legislative standing committees in each house with primary jurisdiction over intergovernmental affairs.

(c)iiThe office [director] may maintain office space at locations inside and outside the state as chosen by the office [director].

(e)iiThe report required under Subsection (b)(5) must include an evaluation of the performance of the office based on performance measures that are developed by the board.

SECTIONi5.iiSection 751.006(g), Government Code, is amended to read as follows:

(g)iiThe director and the staff of the office working in Washington, D.C., may receive a [the same] cost-of-living salary adjustment [as is established for an employee of another state agency under Section 751.012(d)].

SECTIONi6.iiSubchapter A, Chapter 751, Government Code, is amended by adding Sections 751.015 and 751.016 to read as follows:

Sec.i751.015.iiCONTRACTS BETWEEN OFFICE AND CONSULTANTS. (a) If the office elects to contract with federal-level government relations consultants, the office shall adopt written procedures for those contracts. The procedures must include:

(1)iiguidelines regarding contract management;

Saturday, May 30, 2009 SENATE JOURNAL 4721


(2)iia competitive procurement process and method to assess the effectiveness of a prospective consultant;

(3)iia technique for assigning a value to a prospective consultant's ability to provide services at a reasonable price and level of experience;

(4)iia process for determining a prospective consultant's ability to work with influential members of the United States Congress and serve as an effective advocate on behalf of the state; and

(5)iia method to verify that the interests of a prospective consultant or the consultant's other clients do not create a conflict of interest that may jeopardize the state's interest.

(b)iiA contract between the office and a federal-level government relations consultant must include:

(1)iian agreement regarding the goals of the service to be provided by the consultant and targeted performance measures;

(2)iia provision governing the manner in which the contract may be terminated by the parties to the contract; and

(3)iia provision allowing the office, the state auditor's office as provided by Section 2262.003, and other specified oversight entities to audit the contractor's performance under the contract.

(c)iiAll three members of the board must sign any contract between the office and a federal-level government relations consultant.

Sec.i751.016.iiCONTRACTS BY STATE AGENCIES OR POLITICAL SUBDIVISIONS. (a) In this section, "political subdivision" includes a river authority.

(b)iiAn agency or political subdivision of the state shall report to the office on any contract between the agency or subdivision and a federal-level government relations consultant. A state agency or political subdivision shall submit one report under this section not later than the 30th day after the date the contract is executed and a second report not later than the 30th day after the date the contract is terminated. The report must include:

(1)iithe name of the consultant or consulting firm;

(2)iithe issue on which the consultant was hired to consult; and

(3)iithe amount of compensation paid or to be paid to the consultant under the contract.

(b-1)iiA state agency or political subdivision contracting with a federal-level government relations consultant before September 1, 2009, shall, if the contract has not terminated before that date, submit a report as required by Subsection (b) not later than September 30, 2009. This subsection expires September 1, 2010.

(c)iiIf a state agency contracts with a federal-level government relations consultant and the consultant subcontracts the work to another firm or individual, the state agency shall report the subcontract to the office.

(d)iiThis section does not apply to a political subdivision whose federal-level government relations consultant is required by other law to disclose, report, and make available the information required by Subsection (b) to:

(1)iithe public; and

(2)iia federal or state entity.

SECTIONi7.iiThe following provisions of the Government Code are repealed:

4722 81st Legislature — Regular Session 69th Day (Cont.)


(1)iiSections 751.006(b), (c), (d), (e), and (f);

(2)iiSections 751.012(b), (e), and (f); and

(3)iiSections 751.013, 751.014, and 751.024.

SECTIONi8.iiThe Office of State-Federal Relations and the office of the governor shall establish a plan for the administrative attachment of the Office of State-Federal Relations to the office of the governor.

SECTIONi9.iiThis Act takes effect September 1, 2009.

The amendment was read.

Senator Deuell moved to concur in the House amendment to SBi1003.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 482 ADOPTED

Senator Ellis called from the President's table the Conference Committee Report on SBi482. The Conference Committee Report was filed with the Senate on Wednesday, May 20, 2009.

On motion of Senator Ellis, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 2423 ADOPTED

Senator Deuell called from the President's table the Conference Committee Report on SBi2423. The Conference Committee Report was filed with the Senate on Tuesday, May 26, 2009.

On motion of Senator Deuell, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1152 ADOPTED

Senator Hinojosa called from the President's table the Conference Committee Report on SBi1152. The Conference Committee Report was filed with the Senate on Wednesday, May 27, 2009.

On motion of Senator Hinojosa, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 2306 ADOPTED

Senator Williams called from the President's table the Conference Committee Report on SBi2306. The Conference Committee Report was filed with the Senate on Wednesday, May 20, 2009.

On motion of Senator Williams, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

Saturday, May 30, 2009 SENATE JOURNAL 4723


CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2196 ADOPTED

Senator Deuell called from the President's table the Conference Committee Report on HBi2196. The Conference Committee Report was filed with the Senate on Tuesday, May 26, 2009.

On motion of Senator Deuell, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2453 WITH HOUSE AMENDMENT

Senator Williams called SBi2453 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Amendment

Amend SBi2453 by substituting in lieu thereof the following:

A BILL TO BE ENTITLED

AN ACT

relating to the East Montgomery County Improvement District.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.ii(a) This section takes effect only if the Act of the 81st Legislature, Regular Session, 2009, relating to nonsubstantive additions to and corrections in enacted codes becomes law.

(b)iiSubdivision (3), Section 3846.001, Special District Local Laws Code, is amended to read as follows:

(3)ii"Venue" means a convention center facility or related improvement such as a convention center, civic center, civic center building, civic center hotel, auditorium, theater, opera house, music hall, exhibition hall, rehearsal hall, park, zoological park, museum, aquarium, tourist development area along an inland waterway, or plaza.

SECTIONi2.ii(a) This section takes effect only if the Act of the 81st Legislature, Regular Session, 2009, relating to nonsubstantive additions to and corrections in enacted codes does not become law.

(b)iiSubdivision (1), Subsection (a), Section 33, Chapter 1316, Acts of the 75th Legislature, Regular Session, 1997, as added by Section 11, Chapter 950, Acts of the 80th Legislature, Regular Session, 2007, is amended to read as follows:

(1)ii"Venue" means a convention center facility or related improvement such as a convention center, civic center, civic center building, civic center hotel, auditorium, theater, opera house, music hall, exhibition hall, rehearsal hall, park, zoological park, museum, aquarium, tourist development area along an inland waterway, or plaza.

SECTIONi3.iiSubsections (d) and (e), Section 3846.155, Special District Local Laws Code, are amended to read as follows:

(d)iiIf as a result of the imposition or increase in a sales and use tax by the district as provided under this section or Section 3846.152, the overlapping local sales and use taxes in a municipality or political subdivision located in the boundaries of

4724 81st Legislature — Regular Session 69th Day (Cont.)


the district will exceed two percent, the municipality's or political subdivision's sales and use tax is automatically reduced in that municipality or political subdivision to a rate that, when added to the district's rate, does not exceed two percent.

(e)iiIf the tax rate of a municipality or political subdivision is reduced in accordance with Subsection (d), the comptroller shall withhold from the district's monthly sales and use tax allocation an amount equal to the amount that would have been collected by the municipality or political subdivision had the district not imposed or increased its sales and use tax less amounts that the municipality or political subdivision collects following the district's imposition of or increase in its sales and use tax. The comptroller shall withhold and pay the amount withheld to the municipality or political subdivision under policies or procedures that the comptroller considers reasonable.

SECTIONi4.iiSection 3846.162, Special District Local Laws Code, is amended to read as follows:

Sec.i3846.162.iiBORROWING MONEY. The district may borrow money for the corporate purposes of the district and may issue bonds as authorized by Section 3846.164 for any district purpose, including for the purpose of an economic development program under Section 3846.106.

SECTIONi5.ii(a) This section takes effect only if the Act of the 81st Legislature, Regular Session, 2009, relating to nonsubstantive additions to and corrections in enacted codes becomes law.

(b)iiSections 3846.253 and 3846.260, Special District Local Laws Code, are amended to read as follows:

Sec.i3846.253.iiDEVELOPMENT ZONES AUTHORIZED. The board, on its own motion or on receipt of a petition signed by the owners of all real property in a defined area of the district consisting of one tract of land containing at least 25 [or more] contiguous acres and any additional smaller or larger tracts, as appropriate [of land], by resolution may create, designate, describe, assign a name to, and appoint the governing body for a development zone in the district to promote development or redevelopment of the area, if the board finds that the creation of the zone will further the public purposes of:

(1)iithe development and diversification of the economy of the district and the state;

(2)iithe elimination of unemployment or underemployment in the district and the state;

(3)iithe development or expansion of transportation or commerce in the district and the state; or

(4)iithe promotion and stimulation of business, commercial, and economic activity in the district and the state.

Sec.i3846.260.iiDEVELOPMENT ZONE BOUNDARIES. The boundaries of a development zone may be reduced or enlarged in the manner provided by this subchapter for creation of a zone, except that the boundaries may not be reduced to less than 25 contiguous acres. A development zone may be enlarged to include noncontiguous tracts only if on the date the zone is enlarged the zone contains at least one tract consisting of at least 25 contiguous acres. A confirmation election is not required for an enlargement if:

Saturday, May 30, 2009 SENATE JOURNAL 4725


(1)iiall landowners of the area proposed to be added consent to the enlargement and the tax authorization in the zone; and

(2)iithe enlarged area does not have any registered voters who reside in the area.

SECTIONi6.ii(a) This section takes effect only if the Act of the 81st Legislature, Regular Session, 2009, relating to nonsubstantive additions to and corrections in enacted codes does not become law.

(b)iiSubsections (b) and (j), Section 30, Chapter 1316, Acts of the 75th Legislature, Regular Session, 1997, as added by Section 9, Chapter 950, Acts of the 80th Legislature, Regular Session, 2007, are amended to read as follows:

(b)iiThe board, on its own motion or on receipt of a petition signed by the owners of all real property in a defined area of the district consisting of one tract of land containing at least 25 [or more] contiguous acres and any additional smaller or larger tracts, as appropriate [of land], by resolution may create, designate, describe, assign a name to, and appoint the governing body for a development zone in the district to promote development or redevelopment of the area, if the board finds that the creation of the zone will further the public purposes of:

(1)iithe development and diversification of the economy of the district and the state;

(2)iithe elimination of unemployment or underemployment in the district and the state;

(3)iithe development or expansion of transportation or commerce in the district and the state; or

(4)iithe promotion and stimulation of business, commercial, and economic activity in the district and the state.

(j)iiThe boundaries of a development zone may be reduced or enlarged in the manner provided by this section for creation of a zone, except that the boundaries may not be reduced to less than 25 contiguous acres. A development zone may be enlarged to include noncontiguous tracts only if on the date the zone is enlarged the zone contains at least one tract consisting of at least 25 contiguous acres. A confirmation election is not required for an enlargement if:

(1)iiall landowners of the area proposed to be added consent to the enlargement and the tax authorization in the zone; and

(2)iithe enlarged area does not have any registered voters who reside in the area.

SECTIONi7.ii(a) The legal notice of the intention to introduce this Act, setting forth the general substance of this Act, has been published as provided by law, and the notice and a copy of this Act have been furnished to all persons, agencies, officials, or entities to which they are required to be furnished under Section 59, Article XVI, Texas Constitution, and Chapter 313, Government Code.

(b)iiThe governor has submitted the notice and Act to the Texas Commission on Environmental Quality.

(c)iiThe Texas Commission on Environmental Quality has filed its recommendations relating to this Act with the governor, lieutenant governor, and speaker of the house of representatives within the required time.

4726 81st Legislature — Regular Session 69th Day (Cont.)


(d)iiAll requirements of the constitution and laws of this state and the rules and procedures of the legislature with respect to the notice, introduction, and passage of this Act are fulfilled and accomplished.

SECTIONi8.iiThis Act takes effect September 1, 2009.

The amendment was read.

Senator Williams moved to concur in the House amendment to SBi2453.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2626 ADOPTED

Senator Zaffirini called from the President's table the Conference Committee Report on HBi2626. The Conference Committee Report was filed with the Senate on Monday, May 25, 2009.

On motion of Senator Zaffirini, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 562 ADOPTED

Senator Jackson called from the President's table the Conference Committee Report on SBi562. The Conference Committee Report was filed with the Senate on Thursday, May 21, 2009.

On motion of Senator Jackson, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2030 ADOPTED

Senator Deuell called from the President's table the Conference Committee Report on HBi2030. The Conference Committee Report was filed with the Senate on Monday, May 25, 2009.

On motion of Senator Deuell, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

MESSAGE FROM THE HOUSE

HOUSE CHAMBER

Austin, Texas

May 30, 2009

The Honorable President of the Senate

Senate Chamber

Austin, Texas

Mr. President:

I am directed by the House to inform the Senate that the House has taken the following action:

Saturday, May 30, 2009 SENATE JOURNAL 4727


THE HOUSE HAS PASSED THE FOLLOWING MEASURES:

HCR 177, Directing state agencies to initiate emission reduction policies and programs in order to help Central and South Central Texas meet the 2008 National Ambient Air Quality Standard for ground-level ozone.

HCR 183, Urging Congress to reject provisions of President Barack Obama's budget that would eliminate certain deductions presently available to the oil and natural gas exploration industry.

HCR 222, Directing the Texas Facilities Commission to submit a proposal to the presiding officers of the Texas Legislature to name Building A at the DPS Headquarters Complex in Austin in honor of Thomas A. Davis, Jr., former director of the Texas Department of Public Safety.

SCR 38, Memorializing Congress to restore the presumption of a service connection for Agent Orange exposure to veterans who served on the inland waterways, territorial waters, and in the airspace of the Republic of Vietnam.

THE HOUSE HAS GRANTED THE REQUEST OF THE SENATE FOR THE APPOINTMENT OF A CONFERENCE COMMITTEE ON THE FOLLOWING MEASURES:

SB 636 (non-record vote)

House Conferees:iiRose - Chair/Hartnett/Lucio III/Strama/Thompson

SB 1833 (non-record vote)

House Conferees:iiSmith, Wayne - Chair/Callegari/Dutton/Harless/Taylor

SB 2096 (non-record vote)

House Conferees:iiMcClendon - Chair/Farias/Gutierrez/Leibowitz/Martinez Fischer

Respectfully,

/s/Robert Haney, Chief Clerk

House of Representatives

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 727 ADOPTED

Senator Patrick called from the President's table the Conference Committee Report on SBi727. The Conference Committee Report was filed with the Senate on Monday, May 25, 2009.

On motion of Senator Patrick, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2442 WITH HOUSE AMENDMENTS

Senator Uresti called SBi2442 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Floor Amendment No. 1

Amend SB 2442 (House committee printing) as follows:

(1)iiIn SECTION 1 of the bill, following reenacted and amended Section 11.18(d)(21), Tax Code (page 5, line 1), strike "or" and substitute "[or]".

4728 81st Legislature — Regular Session 69th Day (Cont.)


(2)iiIn SECTION 1 of the bill, in reenacted and amended Section 11.18(d)(22), Tax Code, between "land bank" and the period (page 5, line 4), insert the following:

; or

(23)iioperating a radio station that broadcasts educational, cultural, or other public interest programming, including classical music, and that in the preceding five years has received or been selected to receive one or more grants from the Corporation for Public Broadcasting under 47 U.S.C. Section 396, as amended

Floor Amendment No. 1 on Third Reading

Amend SB 2442 on third reading as follows:

(1)iiInsert the following appropriately-numbered SECTION and renumber any subsequent SECTIONS accordingly:

SECTIONi____.iiSection 11.11, Tax Code, is amended by adding Subsection (k) to read as follows:

(k)iiFor purposes of this section, any portion of a facility located on public property by a person, including a charitable organization, under a contract or other agreement with a governmental entity to capture and convert waste, including gas, from public property is public property if the person, for benefit to the governmental entity, processes and delivers the waste to a common carrier to displace a natural resource, reduces pollution, or processes and converts the waste to electrical or other useful energy.

The amendments were read.

Senator Uresti moved that the Senate do not concur in the House amendments, but that a conference committee be appointed to adjust the differences between the two Houses on the bill.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on SBi2442 before appointment.

There were no motions offered.

The President announced the appointment of the following conferees on the part of the Senate:iiSenators Uresti, Chair; Ogden, Shapiro, Williams, and Zaffirini.

SENATE BILL 1143 WITH HOUSE AMENDMENT

Senator Carona called SBi1143 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1 on Third Reading

Amend SB 1143 (House committee report) on third reading as follows:

(1) On page 3, between line 18 and line 19, insert new SECTION 3, as follows:

SECTION 3. Chapter 32, Insurance Code, is amended by adding new Section 32.0221, to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4729


Sec. 32.0221. TEXAS HEALTH BENEFITS STUDY. (a) The department shall study the disparity in patient co-payments between orally- and intravenously-administered chemotherapies, the reasons for the disparity, and the patient benefits in establishing co-payment parity between oral and infused chemotherapy agents.

(b) Not later than August 1, 2010, the department shall submit to the governor, the lieutenant governor, the speaker of the house of representatives, and the appropriate standing committees of the legislature a report regarding the results of the study conducted under Subsection (a), together with any recommendation for legislation.

(2) On page 3, line 19, between between "by" and "this", insert "SECTION 1 and SECTION 2 of".

(3) Renumber the remaining sections of the bill as appropriate.

The amendment was read.

Senator Carona moved to concur in the House amendment to SBi1143.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 1145 WITH HOUSE AMENDMENT

Senator Zaffirini called SBi1145 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1 on Third Reading

Amend SBi1145 on third reading by adding the following SECTION to the bill and renumbering the other SECTIONS accordingly:

SECTIONi1.iiThis Act shall be known as the Rod Welsh Act, in honor of Rod Welsh, Sergeant-at-Arms of the Texas House of Representatives, who is primarily responsible for developing the method of folding the state flag of Texas established by this Act.

The amendment was read.

Senator Zaffirini moved to concur in the House amendment to SBi1145.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 704 WITH HOUSE AMENDMENTS

Senator Nelson called SBi704 from the President's table for consideration of the House amendments to the bill.

The President laid the bill and the House amendments before the Senate.

Floor Amendment No.i1

Amend SB 704 (House committee printing) in SECTION 1 of the bill, by striking proposed Section 2158.403, Government Code (page 2, lines 13 through 20), and substituting the following:

4730 81st Legislature — Regular Session 69th Day (Cont.)


Sec.i2158.403.iiCONFIDENTIALITY. The information received by a state agency under this subchapter may not be disclosed to a person outside of the state agency or its agents.

Floor Amendment No.i2

Amend SB 704 by adding the following appropriately numbered SECTION to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSubchapter B, Chapter 1369, Insurance Code, is amended by adding Section 1369.0551 to read as follows:

Sec.i1369.0551. STUDY. (a)iiThe department shall conduct a study to evaluate the ways in which pharmacy benefit managers use prescription drug information to manage therapeutic drug interchange programs and other drug substitution recommendations made by pharmacy benefit managers or other similar entities. The study must include information regarding pharmacy benefit managers:

(1)iiintervening in the delivery or transmission of a prescription from a prescribing health care practitioner to a pharmacist for purposes of influencing the prescribing health care practitioner's choice of therapy;

(2)iirecommending that a prescribing health care practitioner change from the originally prescribed medication to another medication, including generic substitutions and therapeutic interchanges;

(3)iichanging a drug or device prescribed by a health care practitioner without the consent of the prescribing health care practitioner;

(4)iichanging a patient cost-sharing obligation for the cost of a prescription drug or device, including placing a drug or device on a higher formulary tier than the initial contracted benefit level; and

(5)iiremoving a drug or device from a group health benefit plan formulary without providing proper enrollee notice.

(b)iiNot later than August 1, 2010, the department shall submit to the governor, the lieutenant governor, the speaker of the house of representatives, and the appropriate standing committees of the legislature a report regarding the results of the study required by Subsection (a), together with any recommendations for legislation.

(c)iiThis section expires September 1, 2010.

Floor Amendment No.i3

Amend SB 704 (House committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering remaining SECTIONS of the bill accordingly:

SECTIONi____.iiSubchapter B, Chapter 1551, Insurance Code, is amended by adding Section 1551.067 to read as follows:

Sec.i1551.067.iiPHARMACY BENEFIT MANAGER CONTRACTS. (a) In awarding a contract to provide pharmacy benefit manager services under this chapter, the board of trustees is not required to select the lowest bid but must select a contract that meets the criteria established by this section.

(b)iiThe contract must state that:

(1)iithe board of trustees is entitled to audit the pharmacy benefit manager to verify costs and discounts associated with drug claims, pharmacy benefit manager compliance with contract requirements, and services provided by subcontractors;

Saturday, May 30, 2009 SENATE JOURNAL 4731


(2)iithe audit must be conducted by an independent auditor in accordance with established auditing standards; and

(3)iito conduct the audit, the board of trustees and the independent auditor are entitled access to information related to the services and the costs associated with the services performed under the contract, including access to the pharmacy benefit manager's facilities, records, contracts, medical records, and agreements with subcontractors.

(c)iiThe contract must define the information that the pharmacy benefit manager is required to provide to the board of trustees concerning the audit of the retail, independent, and mail order pharmacies performing services under the contract and describe how the results of these audits must be reported to the board of trustees, including how often the results must be reported. The contract must state whether the pharmacy benefit manager is required to return recovered overpayments to the board of trustees.

(d)iiThe contract must state that any audit of a mail order pharmacy owned by the pharmacy benefit manager must be conducted by an independent auditor selected by the board of trustees in accordance with established auditing standards.

SECTIONi____.iiSubchapter C, Chapter 1575, Insurance Code, is amended by adding Section 1575.110 to read as follows:

Sec.i1575.110.iiPHARMACY BENEFIT MANAGER CONTRACTS. (a) In awarding a contract to provide pharmacy benefit manager services under this chapter, the trustee is not required to select the lowest bid but must select a contract that meets the criteria established by this section.

(b)iiThe contract must state that:

(1)iithe trustee is entitled to audit the pharmacy benefit manager to verify costs and discounts associated with drug claims, pharmacy benefit manager compliance with contract requirements, and services provided by subcontractors;

(2)iithe audit must be conducted by an independent auditor in accordance with established auditing standards; and

(3)iito conduct the audit, the trustee and the independent auditor are entitled access to information related to the services and the costs associated with the services performed under the contract, including access to the pharmacy benefit manager's facilities, records, contracts, medical records, and agreements with subcontractors.

(c)iiThe contract must define the information that the pharmacy benefit manager is required to provide to the trustee concerning the audit of the retail, independent, and mail order pharmacies performing services under the contract and describe how the results of these audits must be reported to the trustee, including how often the results must be reported. The contract must state whether the pharmacy benefit manager is required to return recovered overpayments to the trustee.

(d)iiThe contract must state that any audit of a mail order pharmacy owned by the pharmacy benefit manager must be conducted by an independent auditor selected by the trustee in accordance with established auditing standards.

SECTIONi____.iiSubchapter B, Chapter 1579, Insurance Code, is amended by adding Section 1579.057 to read as follows:

4732 81st Legislature — Regular Session 69th Day (Cont.)


Sec.i1579.057.iiPHARMACY BENEFIT MANAGER CONTRACTS. (a) In awarding a contract to provide pharmacy benefit manager services under this chapter, the trustee is not required to select the lowest bid but must select a contract that meets the criteria established by this section.

(b)iiThe contract must state that:

(1)iithe trustee is entitled to audit the pharmacy benefit manager to verify costs and discounts associated with drug claims, pharmacy benefit manager compliance with contract requirements, and services provided by subcontractors;

(2)iithe audit must be conducted by an independent auditor in accordance with established auditing standards; and

(3)iito conduct the audit, the trustee and the independent auditor are entitled access to information related to the services and the costs associated with the services performed under the contract, including access to the pharmacy benefit manager's facilities, records, contracts, medical records, and agreements with subcontractors.

(c)iiThe contract must define the information that the pharmacy benefit manager is required to provide to the trustee concerning the audit of the retail, independent, and mail order pharmacies performing services under the contract and describe how the results of these audits must be reported to the trustee, including how often the results must be reported. The contract must state whether the pharmacy benefit manager is required to return recovered overpayments to the trustee.

(d)iiThe contract must state that any audit of a mail order pharmacy owned by the pharmacy benefit manager must be conducted by an independent auditor selected by the trustee in accordance with established auditing standards.

SECTIONi____.iiSubchapter B, Chapter 1601, Insurance Code, is amended by adding Section 1601.064 to read as follows:

Sec.i1601.064.iiPHARMACY BENEFIT MANAGER CONTRACTS. (a) In awarding a contract to provide pharmacy benefit manager services under this chapter, a system is not required to select the lowest bid but must select a contract that meets the criteria established by this section.

(b)iiThe contract must state that:

(1)iithe system is entitled to audit the pharmacy benefit manager to verify costs and discounts associated with drug claims, pharmacy benefit manager compliance with contract requirements, and services provided by subcontractors;

(2)iithe audit must be conducted by an independent auditor in accordance with established auditing standards; and

(3)iito conduct the audit, the system and the independent auditor are entitled access to information related to the services and the costs associated with the services performed under the contract, including access to the pharmacy benefit manager's facilities, records, contracts, medical records, and agreements with subcontractors.

(c)iiThe contract must define the information that the pharmacy benefit manager is required to provide to the system concerning the audit of the retail, independent, and mail order pharmacies performing services under the contract and describe how the results of these audits must be reported to the system, including how often the results must be reported. The contract must state whether the pharmacy benefit manager is required to return recovered overpayments to the system.

Saturday, May 30, 2009 SENATE JOURNAL 4733


(d)iiThe contract must state that any audit of a mail order pharmacy owned by the pharmacy benefit manager must be conducted by an independent auditor selected by the system in accordance with established auditing standards.

SECTIONi____.iiSections 1551.067, 1575.110, 1579.057, and 1601.064, Insurance Code, as added by this Act, apply only to a contract with a pharmacy benefit manager executed or renewed on or after the effective date of this Act.

Floor Amendment No.i4

Amend SB 704 by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTIONi____.iiSubtitle H, Title 8, Insurance Code, is amended by adding Chapter 1560 to read as follows:

CHAPTER 1560. DELIVERY OF PRESCRIPTION DRUGS BY MAIL

Sec.i1560.001.iiDEFINITIONS. In this chapter:

(1)ii"Community retail pharmacy" means a pharmacy that is licensed as a Class A pharmacy under Chapter 560, Occupations Code.

(2)ii"Mail order pharmacy" means a pharmacy that is licensed under Chapter 560, Occupations Code, and that primarily delivers prescription drugs to an enrollee through the United States Postal Service or a commercial delivery service.

Sec.i1560.002.iiAPPLICABILITY OF CHAPTER. This chapter applies only to a health benefit plan that provides benefits for medical or surgical expenses incurred as a result of a health condition, accident, or sickness, including an individual, group, blanket, or franchise insurance policy or insurance agreement, a group hospital service contract, or an individual or group evidence of coverage or similar coverage document that is offered or administered by:

(1)iithe Teacher Retirement System of Texas under Chapter 1575 or 1579; or

(2)iithe Employees Retirement System of Texas under Chapter 1551.

Sec.i1560.003.iiMULTIPLE-MONTH SUPPLY OF PRESCRIPTION DRUG. (a) In this section, "multiple-month supply" means a supply for 60 or more days.

(b)iiNotwithstanding any other law, an issuer of a health benefit plan that provides pharmacy benefits to enrollees must allow an enrollee to obtain from a community retail pharmacy a multiple-month supply of any prescription drug under the same terms and conditions applicable when the prescription drug is obtained from a mail order pharmacy, if the community retail pharmacy agrees to accept reimbursement on exactly the same terms and conditions that apply to a mail order pharmacy.

(c)iiThis section does not require:

(1)iithe issuer of a health benefit plan to contract with:

(A)iia retail pharmacy that does not agree to accept reimbursement on exactly the same terms and conditions that apply to a mail order pharmacy; or

(B)iimore than one mail order pharmacy; or

(2)iia community retail pharmacy to:

(A)iiprovide a multiple-month supply of a prescription drug under the same terms and conditions applicable when the prescription drug is obtained from a mail order pharmacy; or

(B)iiagree to accept reimbursement on exactly the same terms and conditions that apply to a mail order pharmacy.

4734 81st Legislature — Regular Session 69th Day (Cont.)


Sec.i1560.004.iiPRESCRIPTION DRUG REIMBURSEMENT RATES. (a) An issuer of a health benefit plan that provides pharmacy benefits to enrollees shall reimburse pharmacies participating in the health plan using prescription drug reimbursement rates, for both brand name and generic prescription drugs, that are based on a current and nationally recognized benchmark index that includes average wholesale price and maximum allowable cost.

(b)iiRegardless of whether a pharmacy is a mail order pharmacy or a community retail pharmacy, an issuer of a health benefit plan shall use the same benchmark index, including the same average wholesale price, maximum allowable cost, and national prescription drug codes, to reimburse all pharmacies participating in the health benefit plan.

SECTIONi____.iiSection 1551.224, Insurance Code, is amended to read as follows:

Sec.i1551.224.iiMAIL ORDER REQUIREMENT FOR PRESCRIPTION DRUG COVERAGE PROHIBITED. (a) The board of trustees or a health benefit plan under this chapter that provides benefits for prescription drugs may not require a participant in the group benefits program to purchase a prescription drug through a mail order program.

(b)iiExcept as provided by Subsection (c), the [The] board of trustees or a health benefit plan shall require that a participant who chooses to obtain a prescription drug through a retail pharmacy or other method other than by mail order pay a deductible, copayment, coinsurance, or other cost-sharing obligation to cover the additional cost of obtaining a prescription drug through that method rather than by mail order.

(c)iiThe board of trustees or a health benefit plan may not require a participant who obtains a multiple-month supply of a prescription drug from a retail pharmacy under Section 1560.003 to pay a deductible, copayment, coinsurance, or other cost-sharing obligation that differs from the amount the participant pays for a multiple-month supply of that drug through a mail order program.

SECTIONi____.iiChapter 1560, Insurance Code, as added by this Act, and Section 1551.224, Insurance Code, as amended by this Act apply only to a health benefit plan that is delivered, issued for delivery, or renewed on or after January 1, 2010. A health benefit plan that is delivered, issued for delivery, or renewed before January 1, 2010, is covered by the law in effect at the time the health benefit plan was delivered, issued for delivery, or renewed, and that law is continued in effect for that purpose.

The amendments were read.

Senator Nelson moved to concur in the House amendments to SBi704.

The motion prevailed by the following vote:iiYeasi30, Naysi1.

Nays:iiHinojosa.

SENATE BILL 958 WITH HOUSE AMENDMENT

Senator Hegar called SBi958 from the President's table for consideration of the House amendment to the bill.

Saturday, May 30, 2009 SENATE JOURNAL 4735


The President laid the bill and the House amendment before the Senate.

Floor Amendment No. 1

Amend SB 958 (House committee printing) by adding the following appropriately numbered SECTION and renumbering subsequent SECTIONS accordingly:

SECTION ____. Section 151.328, Tax Code, is amended by amending Subsections (a) and (b) and adding Subsection (h) to read as follows:

(a) Aircraft are exempted from the taxes imposed by this chapter if:

(1) sold to a person using the aircraft as a certificated or licensed carrier of persons or property;

(2) sold to a person who:

(A) has a sales tax permit issued under this chapter; and

(B) uses the aircraft for the purpose of providing flight instruction that is:

(i) recognized by the Federal Aviation Administration;

(ii) under the direct or general supervision of a flight instructor certified by the Federal Aviation Administration; and

(iii) designed to lead to a pilot certificate or rating issued by the Federal Aviation Administration or otherwise required by a rule or regulation of the Federal Aviation Administration;

(3) sold to a foreign government; [or]

(4) sold in this state to a person for use and registration in another state or nation before any use in this state other than flight training in the aircraft and the transportation of the aircraft out of this state; or

(5) sold in this state to a person for use exclusively in connection with an agricultural use, as defined by Section 23.51, and used for:

(A) predator control;

(B) wildlife or livestock capture;

(C) wildlife or livestock surveys;

(D) census counts of wildlife or livestock;

(E) animal or plant health inspection services; or

(F) crop dusting, pollination, or seeding.

(b) Repair, remodeling, and maintenance services to aircraft, including an engine or other component part of aircraft, operated by a person described by Subsection (a)(1), [or] (a)(2), or (a)(5) are exempted from the taxes imposed by this chapter.

(h) For purposes of the exemption under Subsection (a)(5), an aircraft is considered to be for use exclusively in connection with an agricultural use if 95 percent of the use of the aircraft is for a purpose described by Subsections (a)(5)(A) through (F). Travel of less than 30 miles each way to a location to perform a service described by Subsections (a)(5)(A) through (F) does not disqualify an aircraft from the exemption under Subsection (a)(5). A person who claims an exemption under Subsection (a)(5) must maintain and make available to the comptroller flight records for all uses of the aircraft.

SECTION ____. The changes in law made by this Act to Section 151.328, Tax Code, are a clarification of existing law and do not imply that the former law may be construed as inconsistent with the law as amended by this Act.

4736 81st Legislature — Regular Session 69th Day (Cont.)


The amendment was read.

Senator Hegar moved to concur in the House amendment to SBi958.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE BILL 2047 WITH HOUSE AMENDMENT

Senator Williams called SBi2047 from the President's table for consideration of the House amendment to the bill.

The President laid the bill and the House amendment before the Senate.

Committee Amendment No. 1

Amend SB 2047 by striking all of SECTION 5, line 18, page 4 and replace with the following:

SECTIONi5.iiSubsection (a), Section 14, Article 18.21, Code of Criminal Procedure, is amended to read as follows:

(a)iiA district judge may issue an order for the installation and use [within the judge's judicial district] of a mobile tracking device in the same judicial district as the site of:

(1)iithe investigation; or

(2)iithe person, vehicle, container, item, or object the movement of which will be tracked by the mobile tracking device.

The amendment was read.

Senator Williams moved to concur in the House amendment to SBi2047.

The motion prevailed by the following vote:iiYeasi31, Naysi0.

SENATE RULE 8.02 SUSPENDED
(Referral to Committee)

Senator Averitt moved to suspend Senate Rule 8.02 to take up for consideration HCR 252 at this time.

The motion prevailed by the following vote: iiYeasi25, Naysi5.

Yeas:iiAveritt, Carona, Davis, Duncan, Ellis, Eltife, Estes, Fraser, Gallegos, Harris, Hegar, Hinojosa, Jackson, Lucio, Ogden, Seliger, Shapleigh, Uresti, VanideiPutte, Watson, Wentworth, West, Whitmire, Williams, Zaffirini.

Nays:iiDeuell, Huffman, Nelson, Nichols, Patrick.

Absent:iiShapiro.

HOUSE CONCURRENT RESOLUTION 252

The President laid before the Senate the following resolution:

WHEREAS, The horse and greyhound racing industry in Texas has brought enormous economic benefits to the state's agricultural businesses and local communities over the past two decades; according to the Texas Racing Commission, the industry provides more than 36,000 jobs, $5.5 billion in annual expenditures, $2.5 billion in annual gross product, and $148 million in annual state revenue; and

Saturday, May 30, 2009 SENATE JOURNAL 4737


WHEREAS, Even so, in recent years horse and greyhound racing in Texas has struggled to compete with other forms of entertainment; attendance at horse and dog tracks has dropped 35 percent since 1998, and the amount of money wagered on races has fallen 28 percent during that period; and

WHEREAS, Several industry groups, including horse and dog owners and trainers and racetrack owners and workers, have expressed a desire to revitalize the industry through innovative advertising and marketing strategies and other initiatives; and

WHEREAS, Although the Texas Racing Commission provides regulation and oversight of the racing industry, the commission does not have the statutory authority to promote the very industry it oversees; as a result, another forum is needed to explore ways of stimulating Texas' horse and dog racing programs; now, therefore, be it

RESOLVED, That the 81st Legislature of the State of Texas hereby request the governor to appoint a Governor's Task Force on Horse and Greyhound Racing to:

(1)iisupport and promote horse and greyhound racing and breeding programs in Texas;

(2)iireview the Texas Racing Act;

(3)iiestablish guidelines for increasing revenue and creating more jobs within the industry;

(4)iiimprove the working and living conditions of the people who work and reside in and around the racetracks; and

(5)iidevelop methods to enhance participation in and enjoyment of the sport; and, be it further

RESOLVED, That the members of the task force be appointed by and serve at the pleasure of the governor, who may designate one member as the chair, and that the chair be authorized to determine the times and places for the task force to meet and to designate subcommittees to address specific issues; and, be it further

RESOLVED, That the governor's appointments to the task force include representatives from the training and breeding industries, the business community, the regulatory community, and other experts with an interest in horse and greyhound racing and that the membership also reflect the demographic diversity of the state; and, be it further

RESOLVED, That the governor's office and other state agencies may provide staff and funding to assist the task force in its work and the task force may consult with individuals familiar with the racing industry and may review and consider the horse and greyhound racing industries in other states; and, be it further

RESOLVED, That the task force submit a full report, including findings, recommendations, and possible legislation, to the governor, the lieutenant governor, and the speaker of the house of representatives before the convening of the 82nd Legislature on January 11, 2011; and, be it further

RESOLVED, That the task force be abolished not later than October 1, 2011.

AVERITT

HCR 252 was read.

4738 81st Legislature — Regular Session 69th Day (Cont.)


On motion of Senator Averitt, the resolution was considered immediately and was adopted by the following vote:iiYeasi24, Naysi6.

Yeas:iiAveritt, Carona, Davis, Duncan, Ellis, Eltife, Estes, Fraser, Gallegos, Harris, Hinojosa, Jackson, Lucio, Ogden, Seliger, Shapleigh, Uresti, VanideiPutte, Watson, Wentworth, West, Whitmire, Williams, Zaffirini.

Nays:iiDeuell, Hegar, Huffman, Nelson, Nichols, Patrick.

Absent:iiShapiro.

SENATE RULE 8.02 SUSPENDED
(Referral to Committee)

On motion of Senator Averitt and by unanimous consent, Senate Rule 8.02 was suspended to take up for consideration HCR 181 at this time.

HOUSE CONCURRENT RESOLUTION 181

The President laid before the Senate the following resolution:

WHEREAS, The Brazos River is the longest river in Texas, with a watershed stretching from New Mexico to the Gulf of Mexico; intertwined with the history of the Lone Star State, the Brazos was well-known to early Spanish explorers, who called it "Los Brazos de Dios," or "the Arms of God"; and

WHEREAS, In its 840-mile journey from the confluence of the Salt and Double Mountain Forks in Stonewall County, the Brazos crosses most of the physiographic regions of Texas, including the High Plains, the West Texas Rolling Plains, the Western Cross Timbers, the Grand Prairie, and the Gulf Coastal Plain; one of the loveliest stretches, between Possum Kingdom Reservoir and Lake Whitney, was immortalized by John Graves in his acclaimed and enduringly popular book Goodbye to a River, first published in 1960; the 79th Texas Legislature recognized the author's contributions to literature and to public awareness of the Brazos by designating as the John Graves Scenic Riverway the portion of the river basin downstream of the Morris Shepard Dam to the county line between Parker and Hood Counties; and

WHEREAS, Equally picturesque is the neighboring section of the Brazos that meanders through the eastern third of Somervell County, where Mr. Graves has lived for decades on a Glen Rose farm; the riverbanks are lush with cedar, live oaks, and post oaks, and limestone cliffs and outcroppings provide a dramatic backdrop as kayakers and canoeists enjoy the gentle, winding course of the water, which is well suited to families and novice paddlers; the landscape here is characterized by vistas of rocky hills and small, fertile valleys, and the idyllic, agrarian setting is populated by a wide variety of wildlife, such as white-tailed deer, turkey, fox, and rabbits; bird-watchers delight in the region's great horned owls, whip-poor-wills, and waterfowl; visitors to this resort area can also witness some of the state's most vibrant fall colors and enjoy an abundance of wildflowers in the spring; and

WHEREAS, Generations of Texans have rejoiced in the unforgettable beauty of the Brazos River Basin in Somervell County, and nearly half a century after John Graves wrote his eloquent tribute, this part of the Brazos remains a natural treasure; now, therefore, be it

Saturday, May 30, 2009 SENATE JOURNAL 4739


RESOLVED, That the 81st Legislature of the State of Texas hereby designate the section of the Brazos River Basin and its contributing watershed within Somervell County as the Scenic Riverway of Somervell County.

AVERITT

HCR 181 was read.

On motion of Senator Averitt, the resolution was considered immediately and was adopted by the following vote:iiYeasi31, Naysi0.

SENATE RULE 8.02 SUSPENDED
(Referral to Committee)

On motion of Senator Hinojosa and by unanimous consent, Senate Rule 8.02 was suspended to take up for consideration HCR 258 at this time.

HOUSE CONCURRENT RESOLUTION 258

The President laid before the Senate the following resolution:

WHEREAS, The display of the flag of the Socialist Republic of Vietnam on the central campus of the University of Houston, as well as on other campuses of higher learning, has caused great distress to many members of the Vietnamese American community; and

WHEREAS, This flag, which features a yellow star on a red background, was first adopted by the Indochinese Communist Party in the mid-20th century; it represents a source of anguish to countless people who fled to the United States as a welcoming haven of liberty and tolerance; to these esteemed citizens, the display of this flag is interpreted as a lack of respect for their historic struggles; and

WHEREAS, In contrast, the Freedom and Heritage Flag symbolizes both the Vietnamese cultural heritage and a deeply rooted resilience and yearning for democracy; this flag, which bears three red stripes on a background of golden yellow, was flown for the first time at a ceremony marking the official recognition by France of Vietnamese unity and independence; and

WHEREAS, The University of Houston and other institutions of higher learning can express their respect for Vietnamese American culture and their support for the ideals of liberty and democracy by replacing the flag of the Socialist Republic of Vietnam with the Freedom and Heritage Flag; now, therefore, be it

RESOLVED, That the 81st Legislature of the State of Texas hereby urge the University of Houston and other institutions of higher education to cease displaying the red flag of the Socialist Republic of Vietnam and to instead fly the golden yellow Freedom and Heritage Flag that has been embraced by the Vietnamese American community; and, be it further

RESOLVED, That the secretary of state forward an official copy of this resolution to the commissioner of higher education as an expression of the sentiment of the house of representatives and senate.

HINOJOSA

HCR 258 was read.

4740 81st Legislature — Regular Session 69th Day (Cont.)


On motion of Senator Hinojosa, the resolution was considered immediately and was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 2298 ADOPTED

Senator Watson called from the President's table the Conference Committee Report on SBi2298. The Conference Committee Report was filed with the Senate on Monday, May 25, 2009.

On motion of Senator Watson, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

AT EASE

The President at 8:08ip.m. announced the Senate would stand At Ease subject to the call of the Chair.

IN LEGISLATIVE SESSION

The President at 8:44ip.m. called the Senate to order as In Legislative Session.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1206 ADOPTED

Senator Hinojosa called from the President's table the Conference Committee Report on SBi1206. The Conference Committee Report was filed with the Senate on Friday, May 29, 2009.

On motion of Senator Hinojosa, the Conference Committee Report was adopted by the following vote:iiYeasi31, Naysi0.

CONFERENCE COMMITTEE ON HOUSE BILL 3224

Senator Whitmire called from the President's table, for consideration at this time, the request of the House for a conference committee to adjust the differences between the two Houses on HBi3224 and moved that the request be granted.

The motion prevailed without objection.

The President asked if there were any motions to instruct the conference committee on HBi3224 before appointment.

There were no motions offered.

Accordingly, the President announced the appointment of the following conferees on the part of the Senate:iiSenators Whitmire, Chair; Hegar, Williams, VanideiPutte, and Seliger.

MESSAGE FROM THE HOUSE

HOUSE CHAMBER

Austin, Texas

May 30, 2009

The Honorable President of the Senate

Senate Chamber

Austin, Texas

Mr. President:

I am directed by the House to inform the Senate that the House has taken the following action:

Saturday, May 30, 2009 SENATE JOURNAL 4741


THE HOUSE HAS GRANTED THE REQUEST OF THE SENATE FOR THE APPOINTMENT OF A CONFERENCE COMMITTEE ON THE FOLLOWING MEASURES:

SB 1742 (non-record vote)

House Conferees:iiPaxton - Chair/Laubenberg/Madden/McCall/Parker

SB 2442 (non-record vote)

House Conferees:iiGallego - Chair/Farabee/Miklos/Moody/Naishtat

Respectfully,

/s/Robert Haney, Chief Clerk

House of Representatives

(Senator Williams in Chair)

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1009

Senator Deuell submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi1009 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

DEUELL HARPER-BROWN
ELTIFE J. DAVIS
WHITMIRE MORRISON
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to the continuation and functions of the Commission on Jail Standards.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 511.003, Government Code, is amended to read as follows:

Sec.i511.003.iiSUNSET PROVISION. The Commission on Jail Standards is subject to Chapter 325 (Texas Sunset Act). Unless continued in existence as provided by that chapter, the commission is abolished and this chapter expires September 1, 2021 [2009].

SECTIONi2.iiSubsections (g), (h), (i), and (j), Section 511.004, Government Code, are amended to read as follows:

(g)iiA person is not eligible for appointment as a public member of the commission if the person or the person's spouse:

4742 81st Legislature — Regular Session 69th Day (Cont.)


(1)iiis registered, certified, or licensed by a [an occupational] regulatory agency in the field of law enforcement;

(2)iiis employed by or participates in the management of a business entity, county jail, or other organization regulated by the commission or receiving funds from the commission;

(3)iiowns or controls, directly or indirectly, more than a 10 percent interest in a business entity or other organization regulated by the commission or receiving funds from the commission; or

(4)iiuses or receives a substantial amount of tangible goods, services, or funds from the commission, other than compensation or reimbursement authorized by law for commission membership, attendance, or expenses.

(h)iiA person who is appointed to and qualifies for [To be eligible to take] office as a member of the commission may not vote, deliberate, or be counted as a member in attendance at a meeting of the commission until the[, a] person completes [appointed to the commission must complete at least one course of] a training program that complies with Subsection (i).

(i)iiThe training program required by Subsection (h) must provide information to the person regarding:

(1)iithis chapter [the enabling legislation that created the commission];

(2)iithe programs, functions, rules, and budget of [operated by] the commission;

(3)iithe results of the most recent formal audit [role and functions] of the commission;

(4)iithe requirements of laws relating to open meetings, public information, administrative procedure, and conflicts of interest [rules of the commission with an emphasis on the rules that relate to disciplinary and investigatory authority]; and

(5)ii[the current budget for the commission;

[(6)iithe results of the most recent formal audit of the commission;

[(7)iithe requirements of the:

[(A)iiopen meetings law, Chapter 551;

[(B)iiopen records law, Chapter 552; and

[(C)iiadministrative procedure law, Chapter 2001;

[(8)iithe requirements of the conflict of interests laws and other laws relating to public officials; and

[(9)]iiany applicable ethics policies adopted by the commission or the Texas Ethics Commission.

(j)iiA person appointed to the commission is entitled to reimbursement, [for travel expenses incurred in attending the training program required by Subsection (h)] as provided by the General Appropriations Act, for the travel expenses incurred in attending the training program required by Subsection (h) regardless of whether attendance at the program occurs before or after [and as if] the person qualifies for office [were a member of the commission].

SECTIONi3.iiSubsection (a), Section 511.0041, Government Code, is amended to read as follows:

(a)iiIt is a ground for removal from the commission if a member:

Saturday, May 30, 2009 SENATE JOURNAL 4743


(1)iidoes not have at the time of taking office [appointment] the qualifications required by Section 511.004;

(2)iidoes not maintain during service on the commission the qualifications required by Section 511.004;

(3)iiis ineligible for membership under [violates a prohibition established by] Section 511.004(g) or 511.0042;

(4)iicannot discharge the member's duties for a substantial part of the term for which the member is appointed because of illness or disability; or

(5)iiis absent from more than half of the regularly scheduled commission meetings that the member is eligible to attend during a calendar year without an excuse approved [unless the absence is excused] by a majority vote of the commission.

SECTIONi4.iiSection 511.0042, Government Code, is amended to read as follows:

Sec.i511.0042.iiCONFLICT OF INTEREST. (a)iiA person may not be a member of the commission and may not be a commission employee employed in a "bona fide executive, administrative, or professional capacity," as that phrase is used for purposes of establishing an exemption to the overtime provisions of the federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.), if:

(1)iithe person is an [An] officer, employee, or paid consultant of a Texas trade association in the field of county corrections; or

(2)iithe person's [may not be a member of the commission or an employee of the commission who is exempt from the state's position classification plan or is compensated at or above the amount prescribed by the General Appropriations Act for step 1, salary group 17, of the position classification salary schedule.

[(b)iiA person who is the] spouse is [of] an officer, manager, or paid consultant of a Texas trade association in the field of county corrections [may not be a commission member and may not be a commission employee who is exempt from the state's position classification plan or is compensated at or above the amount prescribed by the General Appropriations Act for step 1, salary group 17, of the position classification salary schedule].

(b)iiIni[(c)iiFor the purposes of] this section, "Texas trade association" means [a Texas trade association is] a [nonprofit,] cooperative[,] and voluntarily joined statewide association of business or professional competitors in this state designed to assist its members and its industry or profession in dealing with mutual business or professional problems and in promoting their common interest.

(c)i[(d)]iiA person may not be [serve as] a member of the commission or act as the general counsel to the commission if the person is required to register as a lobbyist under Chapter 305 because of the person's activities for compensation on behalf of a profession related to the operation of the commission.

SECTIONi5.iiChapter 511, Government Code, is amended by adding Section 511.0061 to read as follows:

Sec.i511.0061.iiUSE OF TECHNOLOGY. The commission shall implement a policy requiring the commission to use appropriate technological solutions to improve the commission's ability to perform its functions. The policy must ensure that the public is able to interact with the commission on the Internet.

4744 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi6.iiSection 511.0071, Government Code, is amended by amending Subsections (a), (d), (e), and (f) and adding Subsection (a-1) to read as follows:

(a)iiThe commission shall prepare information of public interest describing the functions of the commission and the commission's procedures by which complaints regarding the commission and complaints regarding jails under the commission's jurisdiction are filed with and resolved by the commission. The commission shall make the information available:

(1)iito the public, inmates, county officials, and appropriate state agencies; and

(2)iion any publicly accessible Internet website maintained by the commission.

(a-1)iiThe commission shall adopt rules and procedures regarding the receipt, investigation, resolution, and disclosure to the public of complaints regarding the commission and complaints regarding jails under the commission's jurisdiction that are filed with the commission. The commission shall:

(1)iiprescribe a form or forms on which written complaints regarding the commission and complaints regarding jails under the commission's jurisdiction may be filed with the commission;

(2)iikeep an information file in accordance with Subsection (f) regarding each complaint filed with the commission regarding the commission or a jail under the commission's jurisdiction;

(3)iidevelop procedures for prioritizing complaints filed with the commission and a reasonable time frame for responding to those complaints;

(4)iimaintain a system for promptly and efficiently acting on complaints filed with the commission;

(5)iidevelop a procedure for tracking and analyzing all complaints filed with the commission, according to criteria that must include:

(A)iithe reason for or origin of complaints;

(B)iithe average number of days that elapse between the date on which complaints are filed, the date on which the commission first investigates or otherwise responds to complaints, and the date on which complaints are resolved;

(C)iithe outcome of investigations or the resolution of complaints, including dismissals and commission actions resulting from complaints;

(D)iithe number of pending complaints at the close of each fiscal year; and

(E)iia list of complaint topics that the commission does not have jurisdiction to investigate or resolve; and

(6)iiregularly prepare and distribute to members of the commission a report containing a summary of the information compiled under Subdivision (5).

(d)ii[The commission shall keep an information file about each complaint filed with the commission that the commission has authority to resolve. The commission is not required to keep an information file about a complaint to the commission from or related to a prisoner of a county or municipal jail.] The commission shall adopt rules and procedures regarding the referral of [refer] a complaint filed with the commission

Saturday, May 30, 2009 SENATE JOURNAL 4745


from or related to a prisoner to the appropriate local agency for investigation and resolution. The commission [and] may perform a special inspection of a facility named in the complaint to determine compliance with commission requirements.

(e)iiIf a written complaint is filed with the commission that the commission has authority to resolve, the commission at least quarterly and until final disposition of the complaint shall notify the parties to the complaint of the status of the complaint, unless the notice would jeopardize an undercover investigation. This subsection does not apply to a complaint referred to a local agency under Subsection (d).

(f)iiThe commission shall collect and maintain information about each complaint received by the commission regarding the commission or a jail under the commission's jurisdiction, including:

(1)iithe date the complaint is received;

(2)iithe name of the complainant;

(3)iithe subject matter of the complaint;

(4)iia record of all persons contacted in relation to the complaint;

(5)iia summary of the results of the review or investigation of the complaint; and

(6)iifor a complaint for which the agency took no action, an explanation of the reason the complaint was closed without action.

SECTIONi7.iiSubsection (e), Section 511.008, Government Code, is amended to read as follows:

(e)iiThe commission shall develop and implement policies that clearly separate the policymaking responsibilities of the commission and the management responsibilities of the executive director [define the respective responsibilities of the commission] and the staff of the commission.

SECTIONi8.iiChapter 511, Government Code, is amended by adding Section 511.0085 to read as follows:

Sec.i511.0085.iiRISK FACTORS; RISK ASSESSMENT PLAN. (a)iiThe commission shall develop a comprehensive set of risk factors to use in assessing the overall risk level of each jail under the commission's jurisdiction. The set of risk factors must include:

(1)iia history of the jail's compliance with state law and commission rules, standards, and procedures;

(2)iithe population of the jail;

(3)iithe number and nature of complaints regarding the jail, including complaints regarding a violation of any required ratio of correctional officers to inmates;

(4)iiproblems with the jail's internal grievance procedures;

(5)iiavailable mental and medical health reports relating to inmates in the jail, including reports relating to infectious disease or pregnant inmates;

(6)iirecent turnover among sheriffs and jail staff;

(7)iiinmate escapes from the jail;

(8)iithe number and nature of inmate deaths at the jail, including the results of the investigations of those deaths; and

4746 81st Legislature — Regular Session 69th Day (Cont.)


(9)iiwhether the jail is in compliance with commission rules, standards developed by the Texas Correctional Office on Offenders with Medical or Mental Impairments, and the requirements of Article 16.22, Code of Criminal Procedure, regarding screening and assessment protocols for the early identification of and reports concerning persons with mental illness.

(b)iiThe commission shall use the set of risk factors developed under Subsection (a) to guide the inspections process for all jails under the commission's jurisdiction by:

(1)iiestablishing a risk assessment plan to use in assessing the overall risk level of each jail; and

(2)iiregularly monitoring the overall risk level of each jail.

SECTIONi9.iiSubsection (a), Section 511.009, Government Code, is amended to read as follows:

(a)iiThe commission shall:

(1)iiadopt reasonable rules and procedures establishing minimum standards for the construction, equipment, maintenance, and operation of county jails;

(2)iiadopt reasonable rules and procedures establishing minimum standards for the custody, care, and treatment of prisoners;

(3)iiadopt reasonable rules establishing minimum standards for the number of jail supervisory personnel and for programs and services to meet the needs of prisoners;

(4)iiadopt reasonable rules and procedures establishing minimum requirements for programs of rehabilitation, education, and recreation in county jails;

(5)iirevise, amend, or change rules and procedures if necessary;

(6)iiprovide to local government officials consultation on and technical assistance for county jails;

(7)iireview and comment on plans for the construction and major modification or renovation of county jails;

(8)iirequire that the sheriff and commissioners of each county submit to the commission, on a form prescribed by the commission, an annual report on the conditions in each county jail within their jurisdiction, including all information necessary to determine compliance with state law, commission orders, and the rules adopted under this chapter;

(9)iireview the reports submitted under Subdivision (8) and require commission employees to inspect county jails regularly to ensure compliance with state law, commission orders, and rules and procedures adopted under this chapter;

(10)iiadopt a classification system to assist sheriffs and judges in determining which defendants are low-risk and consequently suitable participants in a county jail work release program under Article 42.034, Code of Criminal Procedure;

(11)iiadopt rules relating to requirements for segregation of classes of inmates and to capacities for county jails;

(12)iirequire that the chief jailer of each municipal lockup submit to the commission, on a form prescribed by the commission, an annual report of persons under 17 years of age securely detained in the lockup, including all information necessary to determine compliance with state law concerning secure confinement of children in municipal lockups;

Saturday, May 30, 2009 SENATE JOURNAL 4747


(13)iiat least annually determine whether each county jail is in compliance with the rules and procedures adopted under this chapter;

(14)iirequire that the sheriff and commissioners court of each county submit to the commission, on a form prescribed by the commission, an annual report of persons under 17 years of age securely detained in the county jail, including all information necessary to determine compliance with state law concerning secure confinement of children in county jails; [and]

(15)iischedule announced and unannounced inspections of jails under the commission's [its] jurisdiction using the risk assessment plan established under Section 511.0085 to guide the inspections process;

(16)iiadopt a policy for gathering and distributing to jails under the commission's jurisdiction information regarding:

(A)iicommon issues concerning jail administration;

(B)iiexamples of successful strategies for maintaining compliance with state law and the rules, standards, and procedures of the commission; and

(C)iisolutions to operational challenges for jails;

(17)iireport to the Texas Correctional Office on Offenders with Medical or Mental Impairments on a jail's compliance with Article 16.22, Code of Criminal Procedure;

(18)iiadopt reasonable rules and procedures establishing minimum requirements for jails to:

(A)iidetermine if a prisoner is pregnant; and

(B)iiensure that the jail's health services plan addresses medical and mental health care, including nutritional requirements, and any special housing or work assignment needs for persons who are confined in the jail and are known or determined to be pregnant; and

(19)iiprovide guidelines to sheriffs regarding contracts between a sheriff and another entity for the provision of food services to or the operation of a commissary in a jail under the commission's jurisdiction, including specific provisions regarding conflicts of interest and avoiding the appearance of impropriety [based on the jail's history of compliance with commission standards and other high-risk factors identified by the commission].

SECTIONi10.iiSubsection (a), Section 511.0101, Government Code, is amended to read as follows:

(a)iiEach county shall submit to the commission on or before the fifth day of each month a report containing the following information:

(1)iithe number of prisoners confined in the county jail on the first day of the month, classified on the basis of the following categories:

(A)iitotal prisoners;

(B)iipretrial Class C misdemeanor offenders;

(C)iipretrial Class A and B misdemeanor offenders;

(D)iiconvicted misdemeanor offenders;

(E)iifelony offenders whose penalty has been reduced to a misdemeanor;

(F)iipretrial felony offenders;

(G)iiconvicted felony offenders;

(H)iiprisoners detained on bench warrants;

4748 81st Legislature — Regular Session 69th Day (Cont.)


(I)iiprisoners detained for parole violations;

(J)iiprisoners detained for federal officers;

(K)iiprisoners awaiting transfer to the institutional division of the Texas Department of Criminal Justice following conviction of a felony or revocation of probation, parole, or release on mandatory supervision and for whom paperwork and processing required for transfer have been completed;

(L)iiprisoners detained after having been transferred from another jail and for whom the commission has made a payment under Subchapter F, Chapter 499, Government Code; and

(M)iiother prisoners;

(2)iithe total capacity of the county jail on the first day of the month; [and]

(3)iithe total number of prisoners who were confined in the county jail during the preceding month, based on a count conducted on each day of that month, who were known or had been determined to be pregnant; and

(4)iicertification by the reporting official that the information in the report is accurate.

SECTIONi11.iiChapter 511, Government Code, is amended by adding Section 511.0115 to read as follows:

Sec.i511.0115.iiPUBLIC INFORMATION ABOUT COMPLIANCE STATUS OF JAILS. The commission shall provide information to the public concerning whether jails under the commission's jurisdiction are in compliance with state law and the rules, standards, and procedures of the commission:

(1)iion any publicly accessible Internet website maintained by the commission; and

(2)iithrough other formats, including newsletters or press releases, as determined by the commission.

SECTIONi12.iiChapter 511, Government Code, is amended by adding Section 511.018 to read as follows:

Sec.i511.018.iiALTERNATIVE DISPUTE RESOLUTION. (a)iiThe commission shall develop and implement a policy to encourage the use of:

(1)iinegotiated rulemaking procedures under Chapter 2008 for the adoption of commission rules; and

(2)iiappropriate alternative dispute resolution procedures under Chapter 2009 to assist in the resolution of internal and external disputes under the commission's jurisdiction.

(b)iiThe commission's procedures relating to alternative dispute resolution must conform, to the extent possible, to any model guidelines issued by the State Office of Administrative Hearings for the use of alternative dispute resolution by state agencies.

(c)iiThe commission shall designate a trained person to:

(1)iicoordinate the implementation of the policy adopted under Subsection (a);

(2)iiserve as a resource for any training needed to implement the procedures for negotiated rulemaking or alternative dispute resolution; and

(3)iicollect data concerning the effectiveness of those procedures, as implemented by the commission.

SECTIONi13.iiSubsection (c), Section 511.0071, Government Code, is repealed.

Saturday, May 30, 2009 SENATE JOURNAL 4749


SECTIONi14.iiThe change in law made by Subsection (h), Section 511.004, Government Code, as amended by this Act, regarding training for members of the Commission on Jail Standards does not affect the entitlement of a member serving on the commission immediately before September 1, 2009, to continue to serve and function as a member of the commission for the remainder of the member's term, unless otherwise removed as provided by law. The change in law described by Subsection (h), Section 511.004, Government Code, applies only to a member appointed or reappointed on or after September 1, 2009.

SECTIONi15.iiThe changes in law made by this Act in the prohibitions or qualifications applying to a member of the Commission on Jail Standards do not affect the entitlement of a member serving on the commission immediately before September 1, 2009, to continue to serve and function as a member of the commission for the remainder of the member's term, unless otherwise removed as provided by law. Those changes in law apply only to a member appointed on or after September 1, 2009.

SECTIONi16.iiThis Act takes effect September 1, 2009.

The Conference Committee Report on SBi1009 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 328

Senator Carona submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi328 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

CARONA PHILLIPS
ZAFFIRINI FLETCHER
WATSON GATTIS
SHAPLEIGH MOODY
NICHOLS PEÑA
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to operating a motor vehicle or a watercraft while intoxicated or under the influence of alcohol.

4750 81st Legislature — Regular Session 69th Day (Cont.)


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiThis Act shall be known as the Nicole "Lilly" Lalime Act.

SECTIONi2.iiThe heading to Section 106.041, Alcoholic Beverage Code, is amended to read as follows:

Sec.i106.041.iiDRIVING OR OPERATING WATERCRAFT UNDER THE INFLUENCE OF ALCOHOL BY MINOR.

SECTIONi3.iiSubsections (a) and (g), Section 106.041, Alcoholic Beverage Code, are amended to read as follows:

(a)iiA minor commits an offense if the minor operates a motor vehicle in a public place, or a watercraft, while having any detectable amount of alcohol in the minor's system.

(g)iiAn offense under this section is not a lesser included offense under Section 49.04, 49.045, or 49.06, Penal Code.

SECTIONi4.iiSubsection (j), Section 106.041, Alcoholic Beverage Code, is amended by adding Subdivision (4) to read as follows:

(4)ii"Watercraft" has the meaning assigned by Section 49.01, Penal Code.

SECTIONi5.iiArticle 18.01, Code of Criminal Procedure, is amended by amending Subsection (c) and adding Subsection (j) to read as follows:

(c)iiA search warrant may not be issued under Article 18.02(10) [pursuant to Subdivision (10) of Article 18.02 of this code] unless the sworn affidavit required by Subsection (b) [of this article] sets forth sufficient facts to establish probable cause: (1) that a specific offense has been committed, (2) that the specifically described property or items that are to be searched for or seized constitute evidence of that offense or evidence that a particular person committed that offense, and (3) that the property or items constituting evidence to be searched for or seized are located at or on the particular person, place, or thing to be searched. Except as provided by Subsections (d), [and] (i), and (j) [of this article], only a judge of a municipal court of record or a county court who is an attorney licensed by the State of Texas, a statutory county court judge, a district court judge, a judge of the Court of Criminal Appeals, including the presiding judge, or a justice of the Supreme Court of Texas, including the chief justice, may issue warrants under Article 18.02(10) [pursuant to Subdivision (10), Article 18.02 of this code].

(j)iiAny magistrate who is an attorney licensed by this state may issue a search warrant under Article 18.02(10) to collect a blood specimen from a person who:

(1)iiis arrested for an offense under Section 49.04, 49.045, 49.05, 49.06, 49.065, 49.07, or 49.08, Penal Code; and

(2)iirefuses to submit to a breath or blood alcohol test.

SECTIONi6.iiSubsections (h) and (n), Section 13, Article 42.12, Code of Criminal Procedure, are amended to read as follows:

(h)iiIf a person convicted of an offense under Sections 49.04-49.08, Penal Code, is placed on community supervision, the judge shall require, as a condition of the community supervision, that the defendant attend and successfully complete before the 181st day after the day community supervision is granted an educational program jointly approved by the Texas Commission on Alcohol and Drug Abuse, the Department of Public Safety, the Traffic Safety Section of the Texas Department of Transportation, and the community justice assistance division of the Texas

Saturday, May 30, 2009 SENATE JOURNAL 4751


Department of Criminal Justice designed to rehabilitate persons who have driven while intoxicated. The Texas Commission on Alcohol and Drug Abuse shall publish the jointly approved rules and shall monitor, coordinate, and provide training to persons providing the educational programs. The Texas Commission on Alcohol and Drug Abuse is responsible for the administration of the certification of approved educational programs and may charge a nonrefundable application fee for the initial certification of approval and for renewal of a certificate. The judge may waive the educational program requirement or may grant an extension of time to successfully complete the program that expires not later than one year after the beginning date of the person's community supervision, however, if the defendant by a motion in writing shows good cause. In determining good cause, the judge may consider but is not limited to: the defendant's school and work schedule, the defendant's health, the distance that the defendant must travel to attend an educational program, and the fact that the defendant resides out of state, has no valid driver's license, or does not have access to transportation. The judge shall set out the finding of good cause for waiver in the judgment. If a defendant is required, as a condition of community supervision, to attend an educational program or if the court waives the educational program requirement, the court clerk shall immediately report that fact to the Department of Public Safety, on a form prescribed by the department, for inclusion in the person's driving record. If the court grants an extension of time in which the person may complete the program, the court clerk shall immediately report that fact to the Department of Public Safety on a form prescribed by the department. The report must include the beginning date of the person's community supervision. Upon the person's successful completion of the educational program, the person's instructor shall give notice to the Department of Public Safety for inclusion in the person's driving record and to the community supervision and corrections department. The community supervision and corrections department shall then forward the notice to the court clerk for filing. If the Department of Public Safety does not receive notice that a defendant required to complete an educational program has successfully completed the program within the period required by this section, as shown on department records, the department shall revoke the defendant's driver's license, permit, or privilege or prohibit the person from obtaining a license or permit, as provided by Sections 521.344(e) and (f), Transportation Code. The Department of Public Safety may not reinstate a license suspended under this subsection unless the person whose license was suspended makes application to the department for reinstatement of the person's license and pays to the department a reinstatement fee of $100 [$50]. The Department of Public Safety shall remit all fees collected under this subsection to the comptroller for deposit in the general revenue fund. This subsection does not apply to a defendant if a jury recommends community supervision for the defendant and also recommends that the defendant's driver's license not be suspended.

(n)iiNotwithstanding any other provision of this section or other law, the judge who places on community supervision a defendant who was [is] younger than 21 years of age at the time of the offense and was convicted for an offense under Sections 49.04-49.08, Penal Code, shall:

(1)iiorder that the defendant's driver's license be suspended for 90 days beginning on the date that the person is placed on community supervision; and

4752 81st Legislature — Regular Session 69th Day (Cont.)


(2)iirequire as a condition of community supervision that the defendant not operate a motor vehicle unless the vehicle is equipped with the device described by Subsection (i) of this section.

SECTIONi7.iiSection 521.341, Transportation Code, is amended to read as follows:

Sec.i521.341.iiREQUIREMENTS FOR AUTOMATIC LICENSE SUSPENSION.iiExcept as provided by Sections 521.344(d)-(i), a license is automatically suspended on final conviction of the license holder of:

(1)iian offense under Section 19.05, Penal Code, committed as a result of the holder's criminally negligent operation of a motor vehicle;

(2)iian offense under Section 38.04, Penal Code, if the holder used a motor vehicle in the commission of the offense;

(3)iian offense under Section 49.04, 49.045, or 49.08, Penal Code;

(4)iian offense under Section 49.07, Penal Code, if the holder used a motor vehicle in the commission of the offense;

(5)iian offense punishable as a felony under the motor vehicle laws of this state;

(6)iian offense under Section 550.021;

(7)iian offense under Section 521.451 or 521.453; or

(8)iian offense under Section 19.04, Penal Code, if the holder used a motor vehicle in the commission of the offense.

SECTIONi8.iiSubsections (a) and (b), Section 521.342, Transportation Code, are amended to read as follows:

(a)iiExcept as provided by Section 521.344, the license of a person who was under 21 years of age at the time of the offense, other than an offense classified as a misdemeanor punishable by fine only, is automatically suspended on conviction of:

(1)iian offense under Section 49.04, 49.045, or 49.07, Penal Code, committed as a result of the introduction of alcohol into the body;

(2)iian offense under the Alcoholic Beverage Code, other than an offense to which Section 106.071 of that code applies, involving the manufacture, delivery, possession, transportation, or use of an alcoholic beverage;

(3)iia misdemeanor offense under Chapter 481, Health and Safety Code, for which Subchapter P does not require the automatic suspension of the license;

(4)iian offense under Chapter 483, Health and Safety Code, involving the manufacture, delivery, possession, transportation, or use of a dangerous drug; or

(5)iian offense under Chapter 485, Health and Safety Code, involving the manufacture, delivery, possession, transportation, or use of an abusable volatile chemical.

(b)iiThe department shall suspend for one year the license of a person who is under 21 years of age and is convicted of an offense under Section 49.04, 49.045, 49.07, or 49.08, Penal Code, regardless of whether the person is required to attend an educational program under Section 13(h), Article 42.12, Code of Criminal Procedure, that is designed to rehabilitate persons who have operated motor vehicles while intoxicated, unless the person is placed under community supervision under that article and is required as a condition of the community supervision to not operate a motor vehicle unless the vehicle is equipped with the device described by Section

Saturday, May 30, 2009 SENATE JOURNAL 4753


13(i) of that article. If the person is required to attend such a program and does not complete the program before the end of the person's suspension, the department shall suspend the person's license or continue the suspension, as appropriate, until the department receives proof that the person has successfully completed the program. On the person's successful completion of the program, the person's instructor shall give notice to the department and to the community supervision and corrections department in the manner provided by Section 13(h), Article 42.12, Code of Criminal Procedure.

SECTIONi9.iiSubsections (a), (c), and (i), Section 521.344, Transportation Code, are amended to read as follows:

(a)iiExcept as provided by Sections 521.342(b) and 521.345, and by Subsections (d)-(i), if a person is convicted of an offense under Section 49.04, 49.045, or 49.07, Penal Code, the license suspension:

(1)iibegins on a date set by the court that is not earlier than the date of the conviction or later than the 30th day after the date of the conviction, as determined by the court; and

(2)iicontinues for a period set by the court according to the following schedule:

(A)iinot less than 90 days or more than one year, if the person is punished under Section 49.04, 49.045, or 49.07, Penal Code, except that if the person's license is suspended for a second or subsequent offense under Section 49.07 committed within five years of the date on which the most recent preceding offense was committed, the suspension continues for a period of one year;

(B)iinot less than 180 days or more than two years, if the person is punished under Section 49.09(a) or (b), Penal Code; or

(C)iinot less than one year or more than two years, if the person is punished under Section 49.09(a) or (b), Penal Code, and is subject to Section 49.09(h) of that code.

(c)iiThe court shall credit toward the period of suspension a suspension imposed on the person for refusal to give a specimen under Chapter 724 if the refusal followed an arrest for the same offense for which the court is suspending the person's license under this chapter. The court may not extend the credit to a person:

(1)iiwho has been previously convicted of an offense under Section 49.04, 49.045, 49.07, or 49.08, Penal Code; or

(2)iiwhose period of suspension is governed by Section 521.342(b).

(i)iiOn the date that a suspension order under Section 521.343(c) is to expire, the period of suspension or the corresponding period in which the department is prohibited from issuing a license is automatically increased to two years unless the department receives notice of successful completion of the educational program as required by Section 13, Article 42.12, Code of Criminal Procedure. At the time a person is convicted of an offense under Section 49.04 or 49.045, Penal Code, the court shall warn the person of the effect of this subsection. On the person's successful completion of the program, the person's instructor shall give notice to the department and to the community supervision and corrections department in the manner required

4754 81st Legislature — Regular Session 69th Day (Cont.)


by Section 13, Article 42.12, Code of Criminal Procedure. If the department receives proof of completion after a period has been extended under this subsection, the department shall immediately end the suspension or prohibition.

SECTIONi10.iiSubdivision (3), Section 524.001, Transportation Code, is amended to read as follows:

(3)ii"Alcohol-related or drug-related enforcement contact" means a driver's license suspension, disqualification, or prohibition order under the laws of this state or another state resulting from:

(A)iia conviction of an offense prohibiting the operation of a motor vehicle or watercraft while:

(i)iiintoxicated;

(ii)iiunder the influence of alcohol; or

(iii)iiunder the influence of a controlled substance;

(B)iia refusal to submit to the taking of a breath or blood specimen following an arrest for an offense prohibiting the operation of a motor vehicle or an offense prohibiting the operation of a watercraft, if the watercraft was powered with an engine having a manufacturer's rating of 50 horsepower or more, while:

(i)iiintoxicated;

(ii)iiunder the influence of alcohol; or

(iii)iiunder the influence of a controlled substance; or

(C)iian analysis of a breath or blood specimen showing an alcohol concentration of a level specified by Section 49.01, Penal Code, following an arrest for an offense prohibiting the operation of a motor vehicle or watercraft while intoxicated.

SECTIONi11.iiSubsection (a), Section 524.011, Transportation Code, is amended to read as follows:

(a)iiAn officer arresting a person shall comply with Subsection (b) if:

(1)iithe person is arrested for an offense under Section 49.04, 49.045, or 49.06, Penal Code, or an offense under Section 49.07 or 49.08 of that code involving the operation of a motor vehicle or watercraft, submits to the taking of a specimen of breath or blood and an analysis of the specimen shows the person had an alcohol concentration of a level specified by Section 49.01(2)(B), Penal Code; or

(2)iithe person is a minor arrested for an offense under Section 106.041, Alcoholic Beverage Code, or Section 49.04, 49.045, or 49.06, Penal Code, or an offense under Section 49.07 or 49.08, Penal Code, involving the operation of a motor vehicle or watercraft and:

(A)iithe minor is not requested to submit to the taking of a specimen; or

(B)iithe minor submits to the taking of a specimen and an analysis of the specimen shows that the minor had an alcohol concentration of greater than .00 but less than the level specified by Section 49.01(2)(B), Penal Code.

SECTIONi12.iiSubsection (b), Section 524.012, Transportation Code, is amended to read as follows:

(b)iiThe department shall suspend the person's driver's license if the department determines that:

Saturday, May 30, 2009 SENATE JOURNAL 4755


(1)iithe person had an alcohol concentration of a level specified by Section 49.01(2)(B), Penal Code, while operating a motor vehicle in a public place or while operating a watercraft; or

(2)iithe person was [is] a minor on the date that the breath or blood specimen was obtained and had any detectable amount of alcohol in the minor's system while operating a motor vehicle in a public place or while operating a watercraft.

SECTIONi13.iiSubsection (b), Section 524.015, Transportation Code, is amended to read as follows:

(b)iiA suspension may not be imposed under this chapter on a person who is acquitted of a criminal charge under Section 49.04, 49.045, 49.06, 49.07, or 49.08, Penal Code, or Section 106.041, Alcoholic Beverage Code, arising from the occurrence that was the basis for the suspension. If a suspension was imposed before the acquittal, the department shall rescind the suspension and shall remove any reference to the suspension from the person's computerized driving record.

SECTIONi14.iiSubsection (b), Section 524.022, Transportation Code, is amended to read as follows:

(b)iiA period of suspension under this chapter for a minor is:

(1)ii60 days if the minor has not been previously convicted of an offense under Section 106.041, Alcoholic Beverage Code, or Section 49.04, 49.045, or 49.06, Penal Code, or an offense under Section 49.07 or 49.08, Penal Code, involving the operation of a motor vehicle or a watercraft;

(2)ii120 days if the minor has been previously convicted once of an offense listed by Subdivision (1); or

(3)ii180 days if the minor has been previously convicted twice or more of an offense listed by Subdivision (1).

SECTIONi15.iiSection 524.023, Transportation Code, is amended to read as follows:

Sec.i524.023.iiAPPLICATION OF SUSPENSION UNDER OTHER LAWS. (a)iiIf a person is convicted of an offense under Section 106.041, Alcoholic Beverage Code, or Section 49.04, 49.045, 49.06, 49.07, or 49.08, Penal Code, and if any conduct on which that conviction is based is a ground for a driver's license suspension under this chapter and Section 106.041, Alcoholic Beverage Code, Subchapter O, Chapter 521, or Subchapter H, Chapter 522, each of the suspensions shall be imposed.

(b)iiThe court imposing a driver's license suspension under Section 106.041, Alcoholic Beverage Code, or Chapter 521 or 522 as required by Subsection (a) shall credit a period of suspension imposed under this chapter toward the period of suspension required under Section 106.041, Alcoholic Beverage Code, or Subchapter O, Chapter 521, or Subchapter H, Chapter 522, unless the person was convicted of an offense under Article 6701l-1, Revised Statutes, as that law existed before Septemberi1, 1994, Section 19.05(a)(2), Penal Code, as that law existed before September 1, 1994, Section 49.04, 49.045, 49.06, 49.07, or 49.08, Penal Code, or Section 106.041, Alcoholic Beverage Code, before the date of the conviction on which the suspension is based, in which event credit may not be given.

SECTIONi16.iiSubsections (a) and (d), Section 524.035, Transportation Code, are amended to read as follows:

4756 81st Legislature — Regular Session 69th Day (Cont.)


(a)iiThe issues that must be proved at a hearing by a preponderance of the evidence are:

(1)iiwhether:

(A)iithe person had an alcohol concentration of a level specified by Section 49.01(2)(B), Penal Code, while operating a motor vehicle in a public place or while operating a watercraft; or

(B)iithe person was [is] a minor on the date that the breath or blood specimen was obtained and had any detectable amount of alcohol in the minor's system while operating a motor vehicle in a public place or while operating a watercraft; and

(2)iiwhether reasonable suspicion to stop or probable cause to arrest the person existed.

(d)iiAn administrative law judge may not find in the affirmative on the issue in Subsection (a)(1) if:

(1)iithe person is an adult and the analysis of the person's breath or blood determined that the person had an alcohol concentration of a level below that specified by Section 49.01, Penal Code, at the time the specimen was taken; or

(2)iithe person was [is] a minor on the date that the breath or blood specimen was obtained and the administrative law judge does not find that the minor had any detectable amount of alcohol in the minor's system when the minor was arrested.

SECTIONi17.iiSubsection (a), Section 524.042, Transportation Code, is amended to read as follows:

(a)iiA suspension of a driver's license under this chapter is stayed on the filing of an appeal petition only if:

(1)iithe person's driver's license has not been suspended as a result of an alcohol-related or drug-related enforcement contact during the five years preceding the date of the person's arrest; and

(2)iithe person has not been convicted during the 10 years preceding the date of the person's arrest of an offense under:

(A)iiArticle 6701l-1, Revised Statutes, as that law existed before September 1, 1994;

(B)iiSection 19.05(a)(2), Penal Code, as that law existed before September 1, 1994;

(C)iiSection 49.04, 49.045, or 49.06, Penal Code;

(D)iiSection 49.07 or 49.08, Penal Code, if the offense involved the operation of a motor vehicle or a watercraft; or

(E)iiSection 106.041, Alcoholic Beverage Code.

SECTIONi18.iiSubsections (b) and (d), Section 724.012, Transportation Code, are amended to read as follows:

(b)iiA peace officer shall require the taking of a specimen of the person's breath or blood under any of the following circumstances if[:

[(1)]iithe officer arrests the person for an offense under Chapter 49, Penal Code, involving the operation of a motor vehicle or a watercraft and the person refuses the officer's request to submit to the taking of a specimen voluntarily:[;]

Saturday, May 30, 2009 SENATE JOURNAL 4757


(1) [(2)]iithe person was the operator of a motor vehicle or a watercraft involved in an accident that the officer reasonably believes occurred as a result of the offense and,[;

[(3)]iiat the time of the arrest, the officer reasonably believes that as a direct result of the accident:

(A)iiany individual has died or will die; [or]

(B)iian individual other than the person has suffered serious bodily injury; or

(C)iian individual other than the person has suffered bodily injury and been transported to a hospital or other medical facility for medical treatment;

(2)iithe offense for which the officer arrests the person is an offense under Section 49.045, Penal Code; or

(3)iiat the time of the arrest, the officer possesses or receives reliable information from a credible source that the person:

(A)iihas been previously convicted of or placed on community supervision for an offense under Section 49.045, 49.07, or 49.08, Penal Code, or an offense under the laws of another state containing elements substantially similar to the elements of an offense under those sections; or

(B)iion two or more occasions, has been previously convicted of or placed on community supervision for an offense under Section 49.04, 49.05, 49.06, or 49.065, Penal Code, or an offense under the laws of another state containing elements substantially similar to the elements of an offense under those sections [and

[(4)iithe person refuses the officer's request to submit to the taking of a specimen voluntarily].

(d)iiIn this section, "bodily injury" and "serious bodily injury" have [has] the meanings [meaning] assigned by Section 1.07, Penal Code.

SECTIONi19.iiSection 724.017, Transportation Code, is amended by amending Subsection (b) and adding Subsection (d) to read as follows:

(b)iiIf the blood specimen was taken according to recognized medical procedures, the [The] person who takes the blood specimen under this chapter, the facility that employs the person who takes the blood specimen, or the hospital where the blood specimen is taken[,] is immune from civil liability [not liable] for damages arising from the taking of the blood specimen at the request or order of the peace officer or pursuant to a search warrant [to take the blood specimen] as provided by this chapter and is not subject to discipline by any licensing or accrediting agency or body [if the blood specimen was taken according to recognized medical procedures]. This subsection does not relieve a person from liability for negligence in the taking of a blood specimen. The taking of a specimen from a person who objects to the taking of the specimen or who is resisting the taking of the specimen does not in itself constitute negligence and may not be considered evidence of negligence.

(d)iiA person whose blood specimen is taken under this chapter in a hospital is not considered to be present in the hospital for medical screening or treatment unless the appropriate hospital personnel determine that medical screening or treatment is required for proper medical care of the person.

4758 81st Legislature — Regular Session 69th Day (Cont.)


SECTIONi20.ii(a)iiThe change in law to Article 18.01, Code of Criminal Procedure, applies only to a search warrant issued on or after the effective date of this Act. A search warrant issued before the effective date of this Act is governed by the law in effect on the date the warrant was issued, and the former law is continued in effect for that purpose.

(b)iiThe changes in law to Chapters 521 and 524 and Section 724.012, Transportation Code, and Section 13, Article 42.12, Code of Criminal Procedure, apply 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 covered 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.

SECTIONi21.iiThis Act takes effect September 1, 2009.

The Conference Committee Report on SBi328 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1557

Senator Duncan submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi1557 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

DUNCAN GALLEGO
CARONA MOODY
HINOJOSA MIKLOS
SELIGER FLETCHER
WHITMIRE CHRISTIAN
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to the early identification of criminal defendants who are or may be persons with mental illness or mental retardation.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiArticle 16.22, Code of Criminal Procedure, is amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4759


Art.i16.22.iiEARLY IDENTIFICATION [EXAMINATION AND TRANSFER] OF DEFENDANT SUSPECTED OF HAVING MENTAL ILLNESS OR MENTAL RETARDATION. (a)(1)iiNot later than 72 hours after receiving credible information [evidence or a statement] that may establish reasonable cause to believe that a defendant committed to the sheriff's custody has a mental illness or is a person with mental retardation, including observation of the defendant's behavior immediately before, during, and after the defendant's arrest and the results of any previous assessment of the defendant, the sheriff shall provide written or electronic notice of the information to the [notify a] magistrate [of that fact]. [A defendant's behavior or the result of a prior evaluation indicating a need for referral for further mental health or mental retardation assessment must be considered in determining whether reasonable cause exists to believe the defendant has a mental illness or is a person with mental retardation.] On a determination that there is reasonable cause to believe that the defendant has a mental illness or is a person with mental retardation, the magistrate, except as provided by Subdivision (2), shall order [an examination of the defendant by] the local mental health or mental retardation authority or another qualified mental health or mental retardation expert to:

(A)iicollect information regarding [determine] whether the defendant has a mental illness as defined by Section 571.003, Health and Safety Code, or is a person with mental retardation as defined by Section 591.003, Health and Safety Code, including information obtained from any previous assessment of the defendant; and

(B)iiprovide to the magistrate a written assessment of the information collected under Paragraph (A).

(2)iiThe magistrate is not required to order the collection of information under [an examination described by] Subdivision (1) if the defendant in the year preceding the defendant's applicable date of arrest has been [evaluated and] determined to have a mental illness or to be a person with mental retardation by the local mental health or mental retardation authority or another mental health or mental retardation expert described by Subdivision (1).iiA court that elects to use the results of that previous determination [evaluation] may proceed under Subsection (c).

(3)iiIf the defendant fails or refuses to submit to the collection of information regarding the defendant as [an examination] required under Subdivision (1), the magistrate may order the defendant to submit to an examination in a mental health facility determined to be appropriate by the local mental health or mental retardation authority for a reasonable period not to exceed 21 days.iiThe magistrate may order a defendant to a facility operated by the Department of State Health Services or the Department of Aging and Disability Services for examination only on request of the local mental health or mental retardation authority and with the consent of the head of the facility.iiIf a defendant who has been ordered to a facility operated by the Department of State Health Services or the Department of Aging and Disability Services for examination remains in the facility for a period exceeding 21 days, the head of that facility shall cause the defendant to be immediately transported to the committing court and placed in the custody of the sheriff of the county in which the

4760 81st Legislature — Regular Session 69th Day (Cont.)


committing court is located.iiThat county shall reimburse the facility for the mileage and per diem expenses of the personnel required to transport the defendant calculated in accordance with the state travel regulations in effect at the time.

(b)iiA written assessment of the information collected under Subsection (a)(1)(A) [report of the examination] shall be provided [submitted] to the magistrate not later than the 30th day after the date of any order [of examination] issued under Subsection (a) in a felony case and not later than the 10th day after the date of any order [of examination] issued under that subsection in a misdemeanor case, and the magistrate shall provide copies of the written assessment [report] to the defense counsel, [and] the prosecuting attorney, and the trial court.iiThe written assessment [report] must include a description of the procedures used in the collection of information under Subsection (a)(1)(A) [examination] and the applicable expert's [examiner's] observations and findings pertaining to:

(1)iiwhether the defendant is a person who has a mental illness or is a person with mental retardation;

(2)iiwhether there is clinical evidence to support a belief that the defendant may be incompetent to stand trial and should undergo a complete competency examination under Subchapter B, Chapter 46B; and

(3)iirecommended treatment.

(c)iiAfter the trial court receives the applicable [examining] expert's written assessment [report] relating to the defendant under Subsection (b) or elects to use the results of a previous determination as [an evaluation] described by Subsection (a)(2), the trial court may, as applicable:

(1)iiresume criminal proceedings against the defendant, including any appropriate proceedings related to the defendant's release on personal bond under Article 17.032; [or]

(2)iiresume or initiate competency proceedings, if required, as provided by Chapter 46B or other proceedings affecting the defendant's receipt of appropriate court-ordered mental health or mental retardation services, including proceedings related to the defendant's receipt of outpatient mental health services under Section 574.034, Health and Safety Code; or

(3)iiconsider the written assessment during the punishment phase after a conviction of the offense for which the defendant was arrested, as part of a presentence investigation report, or in connection with the impositions of conditions following placement on community supervision, including deferred adjudication community supervision.

(d)iiThis article does not prevent [Nothing in this article prevents] the applicable court from, before, during, or after the collection of information regarding the defendant [pending an evaluation of the defendant] as described by this article:

(1)iireleasing a mentally ill or mentally retarded defendant from custody on personal or surety bond; or

(2)iiordering an examination regarding the defendant's competency to stand trial.

SECTIONi2.iiSubsection (b), Article 17.032, Code of Criminal Procedure, is amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4761


(b)iiA magistrate shall release a defendant on personal bond unless good cause is shown otherwise if the:

(1)iidefendant is not charged with and has not been previously convicted of a violent offense;

(2)iidefendant is examined by the local mental health or mental retardation authority or another mental health expert under Article 16.22 of this code;

(3)iiapplicable [examining] expert, in a written assessment [report] submitted to the magistrate under Article 16.22:

(A)iiconcludes that the defendant has a mental illness or is a person with mental retardation and is nonetheless competent to stand trial; and

(B)iirecommends mental health treatment for the defendant; and

(4)iimagistrate determines, in consultation with the local mental health or mental retardation authority, that appropriate community-based mental health or mental retardation services for the defendant are available through the Texas Department of Mental Health and Mental Retardation under Section 534.053, Health and Safety Code, or through another mental health or mental retardation services provider.

SECTIONi3.iiSubsection (d), Section 11, Article 42.12, Code of Criminal Procedure, is amended to read as follows:

(d)iiIf the judge places a defendant on community supervision and the defendant is determined to have a mental illness or be a person with mental retardation as provided by [an examining expert under] Article 16.22 or Chapter 46B or in a psychological evaluation conducted under Section 9(i) of this article, the judge may require the defendant as a condition of community supervision to submit to outpatient or inpatient mental health or mental retardation treatment if the:

(1)iidefendant's:

(A)iimental impairment is chronic in nature; or

(B)iiability to function independently will continue to deteriorate if the defendant does not receive mental health or mental retardation services; and

(2)iijudge determines, in consultation with a local mental health or mental retardation services provider, that appropriate mental health or mental retardation services for the defendant are available through the Texas Department of Mental Health and Mental Retardation under Section 534.053, Health and Safety Code, or through another mental health or mental retardation services provider.

SECTIONi4.iiThe change in law made by this Act applies only to a defendant charged with an offense committed on or after the effective date of this Act. A defendant charged with an offense committed before the effective date of this Act is covered 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 occurred before that date.

SECTIONi5.iiThis Act takes effect September 1, 2009.

The Conference Committee Report on SBi1557 was filed with the Secretary of the Senate.

4762 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 1659

Senator Patrick submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi1659 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

PATRICK P. KING
ELLIS FROST
HUFFMAN DRIVER
WILLIAMS VO
On the part of the Senate On the part of the House

The Conference Committee Report on HBi1659 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 1924

Senator Seliger submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi1924 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

SELIGER HEFLIN
NICHOLS HOPSON
URESTI CHISUM
VANiDEiPUTTE SWINFORD
On the part of the Senate On the part of the House

The Conference Committee Report on HBi1924 was filed with the Secretary of the Senate.

Saturday, May 30, 2009 SENATE JOURNAL 4763


CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 3637

Senator Wentworth submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi3637 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

WENTWORTH HUGHES
HINOJOSA EILAND
WATSON SMITHEE
WILLIAMS S. TURNER
On the part of the Senate On the part of the House

The Conference Committee Report on HBi3637 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 1914

Senator Nichols submitted the following Conference Committee Report:

Austin, Texas

May 27, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi1914 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

NICHOLS MCREYNOLDS
WHITMIRE CHRISTIAN
SHAPLEIGH ENGLAND
PATRICK HODGE
MADDEN
On the part of the Senate On the part of the House

4764 81st Legislature — Regular Session 69th Day (Cont.)


The Conference Committee Report on HBi1914 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2644

Senator Deuell submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi2644 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

DEUELL KENT
CARONA SHELTON
URESTI ANCHIA
MARQUEZ
FROST
On the part of the Senate On the part of the House

The Conference Committee Report on HBi2644 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2330

Senator Zaffirini submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi2330 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

ZAFFIRINI GUILLEN
DEUELL NAISHTAT
VANiDEiPUTTE KOLKHORST
NICHOLS ZERWAS

Saturday, May 30, 2009 SENATE JOURNAL 4765


SHAPLEIGH S. KING
On the part of the Senate On the part of the House

The Conference Committee Report on HBi2330 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 3218

Senator Zaffirini submitted the following Conference Committee Report:

Austin, Texas

May 24, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi3218 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

ZAFFIRINI NAISHTAT
CARONA HERRERO
DEUELL PHILLIPS
DUNCAN PATRICK
VANiDEiPUTTE T. KING
On the part of the Senate On the part of the House

The Conference Committee Report on HBi3218 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 72

Senator Zaffirini submitted the following Conference Committee Report:

Austin, Texas

May 28, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi72 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

ZAFFIRINI GUILLEN
CARONA PHILLIPS

4766 81st Legislature — Regular Session 69th Day (Cont.)


ELTIFE GONZALEZ TOUREILLES
HINOJOSA HUNTER
WENTWORTH GONZALES
On the part of the Senate On the part of the House

The Conference Committee Report on HBi72 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2571

Senator Hinojosa submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi2571 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

HINOJOSA GONZALES
NELSON PHILLIPS
CARONA MCCLENDON
ZAFFIRINI T. SMITH
WILLIAMS PICKETT
On the part of the Senate On the part of the House

The Conference Committee Report on HBi2571 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2649

Senator Deuell submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi2649 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

Saturday, May 30, 2009 SENATE JOURNAL 4767


DEUELL W. SMITH
WATSON HARLESS
WENTWORTH CALLEGARI
LUCIO ANDERSON
HOMER
On the part of the Senate On the part of the House

The Conference Committee Report on HBi2649 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1495

Senator Williams submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi1495 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

WILLIAMS OLIVEIRA
AVERITT HARTNETT
CARONA KEFFER
HINOJOSA OTTO
WEST PEÑA
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to the taxation of motor fuels; providing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubsection (b), Section 101.009, Tax Code, is amended to read as follows:

(b)iiCigarette tax revenue allocated under Section 154.603(b) [of this code] shall be allocated as provided by Section 154.603 [of this code]. Motor fuel tax revenue shall be allocated and deposited as provided by Subchapter F, Chapter 162 [of Chapter 153 of this code].

SECTIONi2.iiSubsection (g), Section 111.006, Tax Code, is amended to read as follows:

(g)iiInformation made confidential by Subsection (a)(2) that relates to a taxpayer's responsibilities under Chapter 162 [153] may be examined by an official of another state or of the United States if:

4768 81st Legislature — Regular Session 69th Day (Cont.)


(1)iithe official has information that would assist the comptroller in administering Chapter 162 [153];

(2)iithe comptroller is conducting or may conduct an examination or a criminal investigation of the taxpayer that is the subject of the information made confidential by Subsection (a)(2); and

(3)iia reciprocal agreement exists allowing the comptroller to examine information under the control of the official in a manner substantially equivalent to the official's access to information under this subsection.

SECTIONi3.iiSubsection (d), Section 111.060, Tax Code, is amended to read as follows:

(d)iiSubsection (c) does not apply to the taxes imposed by Chapters 152 and 211 or under an agreement made under Section 162.003 [153.017].

SECTIONi4.iiSubsection (d), Section 111.064, Tax Code, is amended to read as follows:

(d)iiThis section does not apply to an amount paid to the comptroller under Title 6, Property Code, or under an agreement made under Section 162.003 [153.017].

SECTIONi5.iiSubsection (a), Section 111.107, Tax Code, is amended to read as follows:

(a)iiExcept as otherwise expressly provided, a person may request a refund or a credit or the comptroller may make a refund or issue a credit for the overpayment of a tax imposed by this title at any time before the expiration of the period during which the comptroller may assess a deficiency for the tax and not thereafter unless the refund or credit is requested:

(1)iiunder Subchapter B of Chapter 112 and the refund is made or the credit is issued under a court order;

(2)iiunder the provision of Section 111.104(c)(3) applicable to a refund claim filed after a jeopardy or deficiency determination becomes final; or

(3)iiunder Chapter 162 [153], except Section 162.126(f) [153.1195(e)], 162.128(d) [153.121(d)], 162.228(f) [153.2225(e)], or 162.230(d) [153.224(d)].

SECTIONi6.iiSection 151.308, Tax Code, is amended to read as follows:

Sec.i151.308.iiITEMS TAXED BY OTHER LAW. (a)iiThe following are exempted from the taxes imposed by this chapter:

(1)iioil as taxed by Chapter 202;

(2)iisulphur as taxed by Chapter 203;

(3)iimotor fuels and special fuels as defined, taxed, or exempted by Chapter 162 [153];

(4)iicement as taxed by Chapter 181;

(5)iimotor vehicles, trailers, and semitrailers as defined, taxed, or exempted by Chapter 152, other than a mobile office as defined by Section 152.001(16);

(6)iimixed beverages, ice, or nonalcoholic beverages and the preparation or service of these items if the receipts are taxable by Chapter 183;

(7)iialcoholic beverages when sold to the holder of a private club registration permit or to the agent or employee of the holder of a private club registration permit if the holder or agent or employee is acting as the agent of the members of the club and if the beverages are to be served on the premises of the club;

(8)iioil well service as taxed by Subchapter E, Chapter 191; and

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(9)iiinsurance premiums subject to gross premiums taxes.

(b)iiNatural gas is exempted under Subsection (a)(3) only to the extent that the gas is taxed as a motor fuel under Chapter 162 [153].

SECTIONi7.iiSection 162.001, Tax Code, is amended by amending Subdivisions (7), (9), (11), (19), (20), (29), (31), (42), (43), and (55) and adding Subdivision (10-a) to read as follows:

(7)ii"Biodiesel fuel" means any motor fuel or mixture of motor fuels, other than gasoline blended fuel, that is:

(A)iiderived wholly or partly from agricultural products, vegetable oils, recycled greases, or animal fats, or the wastes of those products or fats; and

(B)iiadvertised, offered for sale, sold, used, or capable of [suitable for] use[, or used] as [a motor] fuel for a diesel-powered [in an internal combustion] engine.

(9)ii"Blending" means the mixing together of liquids that produces a product that is offered for sale, sold, used, or [one or more petroleum products with another product, regardless of the original character of the product blended, if the product obtained by the blending is] capable of use as fuel for a gasoline-powered engine or diesel-powered engine [in the generation of power for the propulsion of a motor vehicle]. The term does not include mixing that occurs in the process of refining by the original refiner of crude petroleum or the commingling of products during transportation in a pipeline.

(10-a)ii"Bulk storage" means a container of more than 10 gallons.

(11)ii"Bulk transfer" means a transfer of motor fuel from one location to another by pipeline [tender] or marine movement [delivery] within a bulk transfer/terminal system, including:

(A)iia marine vessel movement of motor fuel from a refinery or terminal to a terminal;

(B)iia pipeline movement of motor fuel from a refinery or terminal to a terminal;

(C)iia book transfer or in-tank transfer of motor fuel within a terminal between licensed suppliers before completion of removal across the rack; and

(D)iia two-party exchange between licensed suppliers or between licensed suppliers and permissive suppliers.

(19)ii"Diesel fuel" means kerosene or another liquid, or a combination of liquids blended together, offered for sale, sold, [that is suitable for or] used, or capable of use as fuel for the propulsion of a diesel-powered engine [motor vehicles]. The term includes products commonly referred to as kerosene, light cycle oil, #1 diesel fuel, #2 diesel fuel, dyed or undyed diesel fuel, aviation jet fuel, biodiesel, distillate fuel, cutter stock, or heating oil, but does not include gasoline, aviation gasoline, or liquefied gas.

(20)ii"Distributor" means a person who [acquires motor fuel from a licensed supplier, permissive supplier, or another licensed distributor and who] makes sales of motor fuel at wholesale. A distributor's [and whose] activities may also include sales of motor fuel at retail.

4770 81st Legislature — Regular Session 69th Day (Cont.)


(29)ii"Gasoline" means any liquid or combination of liquids blended together, offered for sale, sold, [or] used, or capable of use as [the] fuel for a gasoline-powered engine. The term includes gasohol, aviation gasoline, and blending agents, but does not include racing gasoline, diesel fuel, aviation jet fuel, or liquefied gas.

(31)ii"Gasoline blended fuel" means a mixture composed of gasoline and other liquids, including gasoline blend stocks, gasohol, ethanol, methanol, fuel grade alcohol, and resulting blends, other than a de minimus amount of a product such as carburetor detergent or oxidation inhibitor, that is offered for sale, sold, [can be] used, or capable of use as fuel for a gasoline-powered engine [gasoline in a motor vehicle].

(42)ii"Motor fuel" means gasoline, diesel fuel, liquefied gas, gasoline blended fuel, and other products that are offered for sale, sold, [can be] used, or capable of use as fuel for a gasoline-powered engine or a diesel-powered engine [to propel a motor vehicle].

(43)ii"Motor fuel transporter" means a person who transports gasoline, diesel fuel, [or] gasoline blended fuel, aviation fuel, or any other motor fuel, except liquefied gas, outside the bulk transfer/terminal system by means of a transport vehicle, a railroad tank car, or a marine vessel. The term does not include a person who:

(A)iiis licensed under this chapter as a supplier, permissive supplier, or distributor; and

(B)iiexclusively transports gasoline, diesel fuel, gasoline blended fuel, aviation fuel, or any other motor fuel to which the person retains ownership while the fuel is being transported by the person.

(55)ii"Shipping document" means a delivery document issued [by a terminal or bulk plant operator] in conjunction with the sale, transfer, or transport [removal] of motor fuel [from the terminal or bulk plant]. A shipping document issued by a terminal operator shall be machine printed. All other shipping documents [A shipping document issued by a bulk plant] shall be typed or handwritten on a preprinted form or machine printed.

SECTIONi8.iiSection 162.004, Tax Code, is amended by amending Subsections (a) and (b) and adding Subsections (a-1) and (h) to read as follows:

(a)iiA person may not transport in this state any motor fuel by barge, vessel, railroad tank car, or transport vehicle unless the person has a shipping document for the motor fuel that complies with this section.

(a-1)iiA terminal operator or operator of a bulk plant shall give a shipping document to the person who operates the barge, vessel, railroad tank car, or transport vehicle into which motor fuel is loaded at the terminal rack or bulk plant rack.

(b)iiA [The] shipping document [issued by the terminal operator or operator of a bulk plant] shall contain the following information and any other information required by the comptroller:

(1)iithe terminal control number of the terminal or physical address of the terminal or bulk plant from which the motor fuel was received;

(2)iithe name [and license number] of the purchaser;

(3)iithe date the motor fuel was loaded;

(4)iithe net gallons loaded, or the gross gallons loaded if the fuel was purchased from a bulk plant;

Saturday, May 30, 2009 SENATE JOURNAL 4771


(5)iithe destination state of the motor fuel, as represented by the purchaser of the motor fuel or the purchaser's agent; and

(6)iia description of the product being transported.

(h)iiThis section does not apply to motor fuel that is delivered into the fuel supply tank of a motor vehicle.

SECTIONi9.iiSubsections (a), (b), (d), and (e), Section 162.016, Tax Code, are amended to read as follows:

(a)iiA person may not import motor fuel to a destination in this state or export motor fuel to a destination outside this state by any means unless the person possesses a shipping document for that fuel [created by the terminal or bulk plant at which the fuel was received]. The shipping document must include:

(1)iithe name and physical address of the terminal or bulk plant from which the motor fuel was received for import or export;

(2)iithe name [and federal employer identification number, or the social security number if the employer identification number is not available,] of the carrier transporting the motor fuel;

(3)iithe date the motor fuel was loaded;

(4)iithe type of motor fuel;

(5)iithe number of gallons:

(A)iiin temperature-adjusted gallons if purchased from a terminal for export or import; or

(B)iiin temperature-adjusted gallons or in gross gallons if purchased from a bulk plant;

(6)iithe destination of the motor fuel as represented by the purchaser of the motor fuel and the number of gallons of the fuel to be delivered, if delivery is to only one state;

(7)iithe name[, federal employer identification number, license number,] and physical address of the purchaser of the motor fuel;

(8)iithe name of the person responsible for paying the tax imposed by this chapter, as given to the terminal by the purchaser if different from the licensed supplier or distributor; [and]

(9)iithe destination state of each portion of a split load of motor fuel if the motor fuel is to be delivered to more than one state; and

(10)iiany other information that, in the opinion of the comptroller, is necessary for the proper administration of this chapter.

(b)iiThe [terminal or bulk plant shall provide the] shipping documents shall be provided to the importer or exporter.

(d)iiA seller, transporter, or receiver of [terminal, a bulk plant, the carrier, the licensed distributor or supplier, and the person that received the] motor fuel shall:

(1)iiretain a copy of the shipping document until at least the fourth anniversary of the date the fuel is received; and

(2)iiprovide a copy of the document to the comptroller or any law enforcement officer not later than the 10th working day after the date a request for the copy is received.

4772 81st Legislature — Regular Session 69th Day (Cont.)


(e)iiAn importer or exporter shall keep in the person's possession the shipping document [issued by the terminal or bulk plant] when transporting motor fuel imported into this state or for export from this state. The importer or exporter shall show the document to the comptroller or a peace officer on request. The comptroller may delegate authority to inspect the document to other governmental agencies. The importer or exporter shall provide a copy of the shipping document to the person that receives the fuel when it is delivered.

SECTIONi10.iiSubsections (a) through (e), Section 162.101, Tax Code, are amended to read as follows:

(a)iiA tax is imposed on the removal of gasoline from the terminal using the terminal rack, other than by bulk transfer. The supplier or permissive supplier is liable for and shall collect the tax imposed by this subchapter from the person who orders the withdrawal at the terminal rack.

(b)iiA tax is imposed at the time gasoline is imported into this state, other than by a bulk transfer, for delivery to a destination in this state. The supplier or permissive supplier is liable for and shall collect the tax imposed by this subchapter from the person who imports the gasoline into this state. If the seller is not a supplier or permissive supplier, then the person who imports the gasoline into this state is liable for and shall pay the tax.

(c)iiA tax is imposed on the removal [sale or transfer] of gasoline from [in] the bulk transfer/terminal system in this state [by a supplier to a person who does not hold a supplier's license]. The supplier is liable for and shall collect the tax imposed by this subchapter from the person who orders the removal from [sale or transfer in] the bulk transfer terminal system.

(d)iiA tax is imposed on gasoline brought into this state in a motor fuel supply tank or tanks of a motor vehicle operated by a person required to be licensed as an interstate trucker. The interstate trucker is liable for and shall pay the tax.

(e)iiA tax is imposed on the blending of gasoline at the point gasoline blended fuel is made in this state outside the bulk transfer/terminal system. The blender is liable for and shall pay the tax. The number of gallons of gasoline blended fuel on which the tax is imposed is equal to the difference between the number of gallons of blended fuel made and the number of gallons of previously taxed gasoline used to make the blended fuel.

SECTIONi11.iiSubchapter B, Chapter 162, Tax Code, is amended by adding Section 162.1025 to read as follows:

Sec.i162.1025.iiSEPARATE STATEMENT OF TAX COLLECTED FROM PURCHASER. (a)iiIn each subsequent sale of gasoline on which the tax has been paid, the tax imposed by this subchapter shall be collected from the purchaser so that the tax is paid ultimately by the person who uses the gasoline. Gasoline is considered to be used when it is delivered into a fuel supply tank.

(b)iiThe tax imposed by this subchapter must be stated separately from the sales price of gasoline and identified as gasoline tax on the invoice or receipt issued to a purchaser. Backup gasoline tax may be identified as gasoline tax. The tax must be separately stated and identified in the same manner on a shipping document, if the shipping document includes the sales price of the gasoline.

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(c)iiExcept as provided by Subsection (d), the sales price of gasoline stated on an invoice, receipt, or shipping document is presumed to be exclusive of the tax imposed by this subchapter. The seller or purchaser may overcome the presumption by using the seller's records to show that the tax imposed by this subchapter was included in the sales price.

(d)iiSubsection (b) does not apply to a sale of gasoline by a licensed dealer to a person who delivers the gasoline at the dealer's place of business into a fuel supply tank or into a container having a capacity of not more than 10 gallons.

SECTIONi12.iiSubsections (a) and (d), Section 162.103, Tax Code, are amended to read as follows:

(a)iiA backup tax is imposed at the rate prescribed by Section 162.102 on:

(1)iia person who obtains a refund of tax on gasoline by claiming the gasoline was used for an off-highway purpose, but actually uses the gasoline to operate a motor vehicle on a public highway;

(2)iia person who operates a motor vehicle on a public highway using gasoline on which tax has not been paid; [and]

(3)iia person who sells to the ultimate consumer gasoline on which tax has not been paid and who knew or had reason to know that the gasoline would be used for a taxable purpose; and

(4)iia person, other than a person exempted under Section 162.104, who acquires gasoline on which tax has not been paid from any source in this state.

(d)iiA person who sells gasoline in this state, other than by a bulk transfer, on which tax has not been paid for any purpose other than a purpose exempt under Section 162.104 shall at the time of sale collect the tax from the purchaser or recipient of gasoline in addition to the selling price and is liable to this state for the taxes imposed [collected at the time and] in the manner provided by this chapter.

SECTIONi13.iiSubsections (b) and (c), Section 162.112, Tax Code, are amended to read as follows:

(b)iiA licensed supplier, [or] permissive supplier, or distributor who sells gasoline tax-free to a person whose supplier's, [or] permissive supplier's, or aviation fuel dealer's license has been canceled or revoked under this chapter is liable for any tax due on gasoline sold after receiving notice of the cancellation or revocation.

(c)iiThe comptroller shall notify all license holders under this chapter when a canceled or revoked license is subsequently reinstated and include in the notice the effective date of the reinstatement. Sales to the supplier, [or] permissive supplier, or aviation fuel dealer after the effective date of the reinstatement may be made tax-free.

SECTIONi14.iiSection 162.115, Tax Code, is amended by adding Subsection (n) to read as follows:

(n)iiIn addition to the records specifically required by this chapter, a license holder, a dealer, or a person required to hold a license shall keep any other record required by the comptroller.

SECTIONi15.iiSection 162.117, Tax Code, is amended to read as follows:

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Sec.i162.117.iiDUTIES OF SELLER OF GASOLINE [SUPPLIER OR PERMISSIVE SUPPLIER]. (a)iiA seller [supplier or permissive supplier] who receives or collects tax holds the amount received or collected in trust for the benefit of this state and has a fiduciary duty to remit to the comptroller the amount of tax received or collected.

(b)iiA seller [supplier or permissive supplier] shall furnish the purchaser with an invoice, bill of lading, or other documentation as evidence of the number of gallons received by the purchaser.

(c)iiA seller [supplier or permissive supplier] who receives a payment of tax may not apply the payment of tax to a debt that the person making the payment owes for gasoline purchased from the seller [supplier or permissive supplier].

(d)iiA person required to receive or collect a tax under this chapter is liable for and shall pay the tax in the manner provided by this chapter.

SECTIONi16.iiSection 162.122, Tax Code, is amended to read as follows:

Sec.i162.122.iiINFORMATION REQUIRED ON EXPORTER'S RETURN AND PAYMENT OF TAX ON EXPORTS. The monthly return and supplements of an exporter shall contain for the period covered by the return:

(1)iithe number of net gallons of gasoline acquired from a supplier and exported during the month, including supplier name, terminal control number, and product code;

(2)iithe number of net gallons of gasoline acquired from a bulk plant and exported during the month, including bulk plant name and product code;

(3)iithe number of net gallons of gasoline acquired from a source other than a supplier or bulk plant and exported during the month, including the name of the source from which the gasoline was acquired and the name and address of the person receiving the gasoline;

(4)iithe destination state of the gasoline exported during the month; and

(5)i[(4)]iiany other information required by the comptroller.

SECTIONi17.iiSection 162.125, Tax Code, is amended by adding Subsection (j) to read as follows:

(j)iiA license holder may take a credit on a return for the tax included in the retail purchase price of gasoline for the period in which the purchase occurred when made by one of the following purchasers, if the purchase was made by acceptance of a credit card not issued by the license holder, the credit card issuer did not collect the tax from the purchaser, and the license holder reimbursed the credit card issuer for the amount of tax included in the retail purchase price:

(1)iithe United States government for its exclusive use;

(2)iia public school district in this state for the district's exclusive use;

(3)iia commercial transportation company that provides public school transportation services to a public school district under Section 34.008, Education Code, for its exclusive use to provide those services;

(4)iia nonprofit electric cooperative corporation organized under Chapter 161, Utilities Code; and

(5)iia nonprofit telephone cooperative corporation organized under Chapter 162, Utilities Code.

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SECTIONi18.iiSubsection (d), Section 162.128, Tax Code, is amended to read as follows:

(d)iiA supplier, [or] permissive supplier, distributor, importer, exporter, or blender that determines taxes were erroneously reported and remitted or that paid more taxes than were due this state because of a mistake of fact or law may take a credit on the monthly tax report on which the error has occurred and tax payment made to the comptroller. The credit must be taken before the expiration of the applicable period of limitation as provided by Chapter 111.

SECTIONi19.iiSubsections (a) through (e), Section 162.201, Tax Code, are amended to read as follows:

(a)iiA tax is imposed on the removal of diesel fuel from the terminal using the terminal rack other than by bulk transfer. The supplier or permissive supplier is liable for and shall collect the tax imposed by this subchapter from the person who orders the withdrawal at the terminal rack.

(b)iiA tax is imposed at the time diesel fuel is imported into this state, other than by a bulk transfer, for delivery to a destination in this state. The supplier or permissive supplier is liable for and shall collect the tax imposed by this subchapter from the person who imports the diesel fuel into this state. If the seller is not a supplier or permissive supplier, the person who imports the diesel fuel into this state is liable for and shall pay the tax.

(c)iiA tax is imposed on the removal [sale or transfer] of diesel fuel from [in] the bulk transfer/terminal system in this state [by a supplier to a person who does not hold a supplier's license]. The supplier is liable for and shall collect the tax imposed by this subchapter from the person who orders the removal from [sale or transfer in] the bulk transfer/terminal system.

(d)iiA tax is imposed on diesel fuel brought into this state in the motor fuel supply tank or tanks of a motor vehicle operated by a person required to be licensed as an interstate trucker. The interstate trucker is liable for and shall pay the tax.

(e)iiA tax is imposed on the blending of diesel fuel at the point blended diesel fuel is made in this state outside the bulk transfer/terminal system. The blender is liable for and shall pay the tax. The number of gallons of blended diesel fuel on which the tax is imposed is equal to the difference between the number of gallons of blended fuel made and the number of gallons of previously taxed diesel fuel used to make the blended fuel.

SECTIONi20.iiSubchapter C, Chapter 162, Tax Code, is amended by adding Section 162.2025 to read as follows:

Sec.i162.2025.iiSEPARATE STATEMENT OF TAX COLLECTED FROM PURCHASER. (a)iiIn each subsequent sale of diesel fuel on which the tax has been paid, the tax imposed by this subchapter shall be collected from the purchaser so that the tax is paid ultimately by the person who uses the diesel fuel. Diesel fuel is considered to be used when it is delivered into a fuel supply tank.

(b)iiThe tax imposed by this subchapter must be stated separately from the sales price of diesel fuel and identified as diesel fuel tax on the invoice or receipt issued to a purchaser. Backup diesel fuel tax may be identified as diesel fuel tax. The tax must be separately stated and identified in the same manner on a shipping document, if the shipping document includes the sales price of the diesel fuel.

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(c)iiExcept as provided by Subsection (d), the sales price of diesel fuel stated on an invoice, receipt, or shipping document is presumed to be exclusive of the tax imposed by this subchapter. The seller or purchaser may overcome the presumption by using the seller's records to show that the tax imposed by this subchapter was included in the sales price.

(d)iiSubsection (b) does not apply to a sale of diesel fuel by a licensed dealer to a person who delivers the diesel fuel at the dealer's place of business into a fuel supply tank or into a container having a capacity of not more than 10 gallons.

SECTIONi21.iiSubsections (a) and (d), Section 162.203, Tax Code, are amended to read as follows:

(a)iiA backup tax is imposed at the rate prescribed by Section 162.202 on:

(1)iia person who obtains a refund of tax on diesel fuel by claiming the diesel fuel was used for an off-highway purpose, but actually uses the diesel fuel to operate a motor vehicle on a public highway;

(2)iia person who operates a motor vehicle on a public highway using diesel fuel on which tax has not been paid; [and]

(3)iia person who sells to the ultimate consumer diesel fuel on which a tax has not been paid and who knew or had reason to know that the diesel fuel would be used for a taxable purpose; and

(4)iia person, other than a person exempted under Section 162.204, who acquires diesel fuel on which tax has not been paid from any source in this state.

(d)iiA person who sells diesel fuel in this state, other than by a bulk transfer, on which tax has not been paid for any purpose other than a purpose exempt under Section 162.204 shall at the time of sale collect the tax from the purchaser or recipient of diesel fuel in addition to the selling price and is liable to this state for the taxes imposed [collected at the time and] in the manner provided by this chapter.

SECTIONi22.iiSubsection (b), Section 162.205, Tax Code, is amended to read as follows:

(b)iiA person must obtain a license as a dyed diesel fuel bonded user to purchase dyed diesel fuel in amounts that exceed the limitations prescribed by Section 162.206(c). This subsection does not affect the right of a purchaser to purchase not more than the number of [10,000] gallons of dyed diesel fuel prescribed by Section 162.206(c) each month for the purchaser's own use using a signed statement [under Section 162.206].

SECTIONi23.iiSection 162.206, Tax Code, is amended by amending Subsections (c), (d), and (j) and adding Subsections (c-1), (g-1), and (k) to read as follows:

(c)iiA person may not make a tax-free purchase and a licensed supplier or distributor may not make a tax-free sale to a purchaser of any dyed diesel fuel under this section using a signed statement for the first sale or purchase and for any subsequent sale or purchase[:

[(1)iifor the purchase or the sale of more than 7,400 gallons of dyed diesel fuel in a single delivery; or

[(2)]iiin a calendar month for [in which the person has previously purchased from all sources or in which the licensed supplier has previously sold to that purchaser] more than:

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(1)i[(A)]ii10,000 gallons of dyed diesel fuel;

(2)i[(B)]ii25,000 gallons of dyed diesel fuel if the purchaser stipulates in the signed statement that all of the fuel will be consumed by the purchaser in the original production of, or to increase the production of, oil or gas and furnishes the licensed supplier or distributor with a letter of exception issued by the comptroller; or

(3)i[(C)]ii25,000 gallons of dyed diesel fuel if the purchaser stipulates in the signed statement that all of the fuel will be consumed by the purchaser in agricultural off-highway equipment.

(c-1)iiThe monthly limitations prescribed by Subsection (c) apply regardless of whether the dyed diesel fuel is purchased in a single transaction during that month or in multiple transactions during that month.

(d)iiAny gallons purchased or sold in excess of the limitations prescribed by Subsection (c) constitute a taxable purchase or sale. [The purchaser paying the tax on dyed diesel fuel in excess of the limitations prescribed by Subsection (c) may claim a refund of the tax paid on any dyed diesel fuel used for nonhighway purposes under Section 162.227.] A purchaser that exceeds the limitations prescribed by Subsection (c) shall be required to obtain a dyed diesel fuel bonded user license.

(g-1)iiFor purposes of this section, the purchaser is considered to have temporarily furnished the signed statement to the licensed supplier or distributor if the supplier or distributor verifies that the purchaser has an end user number issued by the comptroller. The licensed supplier or distributor shall use the comptroller's Internet website or other materials provided or produced by the comptroller to verify this information until the purchaser provides to the supplier or distributor a completed signed statement.

(j)iiA taxable use of any part of the dyed diesel fuel purchased under a signed statement shall, in addition to application of any criminal penalty, forfeit the right of the person to purchase dyed diesel fuel tax-free for a period of one year from the date of the offense. Any tax, interest, and penalty found to be due through false or erroneous execution or continuance of a promissory statement by the purchaser, if assessed to the licensed supplier or distributor, is a debt of the purchaser to the licensed supplier or distributor until paid and is recoverable at law in the same manner as the purchase price of the fuel. [The person may, however, claim a refund of the tax paid on any dyed diesel fuel used for nonhighway purposes under Section 162.227.]

(k)iiProperly completed signed statements should be in the possession of the licensed supplier or distributor at the time the sale of dyed diesel fuel occurs. If the licensed supplier or distributor is not in possession of the signed statements within 60 days after the date written notice requiring possession of them is given to the licensed supplier or distributor by the comptroller, exempt sales claimed by the licensed supplier or distributor that require delivery of the signed statements shall be disallowed. If the licensed supplier or distributor delivers the signed statements to the comptroller within the 60-day period, the comptroller may verify the reason or basis for the signed statements before allowing the exempt sales. An exempt sale may not be granted on the basis of signed statements delivered to the comptroller after the 60-day period.

SECTIONi24.iiSubsections (b) and (c), Section 162.213, Tax Code, are amended to read as follows:

4778 81st Legislature — Regular Session 69th Day (Cont.)


(b)iiA licensed supplier or permissive supplier who sells diesel fuel tax-free to a supplier, [or] permissive supplier, or aviation fuel dealer whose license has been canceled or revoked under this chapter, or who sells dyed diesel fuel to a distributor or dyed diesel fuel bonded user whose license has been canceled or revoked under this chapter, is liable for any tax due on diesel fuel sold after receiving notice of the cancellation or revocation.

(c)iiThe comptroller shall notify all license holders under this chapter when a canceled or revoked license is subsequently reinstated and include in the notice the effective date of the reinstatement. Sales to a supplier, permissive supplier, distributor, aviation fuel dealer, or dyed diesel fuel bonded user after the effective date of the reinstatement may be made tax-free.

SECTIONi25.iiSection 162.216, Tax Code, is amended by adding Subsection (o) to read as follows:

(o)iiIn addition to the records specifically required by this chapter, a license holder, a dealer, or a person required to hold a license shall keep any other record required by the comptroller.

SECTIONi26.iiSection 162.218, Tax Code, is amended to read as follows:

Sec.i162.218.iiDUTIES OF SELLER OF DIESEL FUEL [SUPPLIER OR PERMISSIVE SUPPLIER]. (a)iiA seller [supplier or permissive supplier] who receives or collects tax holds the amount received or collected in trust for the benefit of this state and has a fiduciary duty to remit to the comptroller the amount of tax received or collected.

(b)iiA seller [supplier or permissive supplier] shall furnish the purchaser with an invoice, bill of lading, or other documentation as evidence of the number of gallons received by the purchaser.

(c)iiA seller [supplier or permissive supplier] who receives a payment of tax may not apply the payment of tax to a debt that the person making the payment owes for diesel fuel purchased from the seller [supplier or permissive supplier].

(d)iiA person required to receive or collect a tax under this chapter is liable for and shall pay the tax in the manner provided by this chapter.

SECTIONi27.iiSection 162.223, Tax Code, is amended to read as follows:

Sec.i162.223.iiINFORMATION REQUIRED ON EXPORTER'S RETURN AND PAYMENT OF TAX ON IMPORTS. The monthly return and supplements of an exporter shall contain for the period covered by the return:

(1)iithe number of net gallons of diesel fuel acquired from a supplier and exported during the month, including supplier name, terminal control number, and product code;

(2)iithe number of net gallons of diesel fuel acquired from a bulk plant and exported during the month, including bulk plant name and product code;

(3)iithe number of net gallons of diesel fuel acquired from a source other than a supplier or bulk plant and exported during the month, including the name of the source from which the diesel fuel was acquired and the name and address of the person receiving the diesel fuel;

(4)iithe destination state of the diesel fuel exported during the month; and

(5)i[(4)]iiany other information the comptroller requires.

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SECTIONi28.iiSection 162.227, Tax Code, is amended by adding Subsection (j) to read as follows:

(j)iiA license holder may take a credit on a return for the tax included in the retail purchase price of diesel fuel for the period in which the purchase occurred when made by one of the following purchasers, if the purchase was made by acceptance of a credit card not issued by the license holder, the credit card issuer did not collect the tax from the purchaser, and the license holder reimbursed the credit card issuer for the amount of tax included in the retail purchase price:

(1)iithe United States government for its exclusive use;

(2)iia public school district in this state for the district's exclusive use;

(3)iia commercial transportation company that provides public school transportation services to a public school district under Section 34.008, Education Code, for its exclusive use to provide those services;

(4)iia nonprofit electric cooperative corporation organized under Chapter 161, Utilities Code; and

(5)iia nonprofit telephone cooperative corporation organized under Chapter 162, Utilities Code.

SECTIONi29.iiSubsection (d), Section 162.230, Tax Code, is amended to read as follows:

(d)iiA supplier, [or] permissive supplier, distributor, importer, exporter, or blender that determines taxes were erroneously reported and remitted or that paid more taxes than were due to this state because of a mistake of fact or law may take a credit on the monthly tax report on which the error has occurred and tax payment made to the comptroller. The credit must be taken before the expiration of the applicable period of limitation as provided by Chapter 111.

SECTIONi30.iiSubsection (a), Section 162.308, Tax Code, is amended to read as follows:

(a)iiA licensed dealer or a person required to hold a dealer's license who makes a sale or delivery of liquefied gas into a fuel supply tank of a motor vehicle on which the tax is required to be collected is liable to this state for the tax imposed and shall report and pay the tax in the manner required by this subchapter.

SECTIONi31.iiSubsections (a) and (c), Section 162.309, Tax Code, are amended to read as follows:

(a)iiA dealer or a person required to hold a dealer's license shall keep for four years, open to inspection at all times by the comptroller and the attorney general, a complete record of all liquefied gas sold or delivered for taxable purposes.

(c)iiEach taxable sale or delivery by a dealer or a person required to hold a dealer's license of liquefied gas into the fuel supply tanks of a motor vehicle, including deliveries by interstate truckers from bulk storage, shall be covered by an invoice. The invoice must be printed and contain:

(1)iithe preprinted or stamped name and address of the licensed dealer or interstate trucker;

(2)iithe date of the sale or delivery;

(3)iithe number of gallons sold or delivered;

(4)iithe mileage recorded on the odometer;

(5)iithe state and state highway license number;

4780 81st Legislature — Regular Session 69th Day (Cont.)


(6)iithe signature of the driver of the motor vehicle; and

(7)iithe amount of tax paid or accounted for stated separately from the selling price.

SECTIONi32.iiSubsections (a) and (d), Section 162.402, Tax Code, are amended to read as follows:

(a)iiA person forfeits to the state a civil penalty of not less than $25 and not more than $200 if the person:

(1)iirefuses to stop and permit the inspection and examination of a motor vehicle transporting or using motor fuel on demand of a peace officer or the comptroller;

(2)iioperates a motor vehicle in this state without a valid interstate trucker's license or a trip permit when the person is required to hold one of those licenses or permits;

(3)iioperates a liquefied gas-propelled motor vehicle that is required to be licensed in this state, including motor vehicles equipped with dual carburetion, and does not display a current liquefied gas tax decal or multistate fuels tax agreement decal;

(4)iimakes a tax-free sale or delivery of liquefied gas into the fuel supply tank of a motor vehicle that does not display a current Texas liquefied gas tax decal;

(5)iimakes a taxable sale or delivery of liquefied gas without holding a valid dealer's license;

(6)iimakes a tax-free sale or delivery of liquefied gas into the fuel supply tank of a motor vehicle bearing out-of-state license plates;

(7)iimakes a delivery of liquefied gas into the fuel supply tank of a motor vehicle bearing Texas license plates and no Texas liquefied gas tax decal, unless licensed under a multistate fuels tax agreement;

(8)iitransports gasoline or diesel fuel in any cargo tank that has a connection by pipe, tube, valve, or otherwise with the fuel injector or carburetor of, or with the fuel supply tank feeding the fuel injector or carburetor of, the motor vehicle transporting the product;

(9)iisells or delivers gasoline or diesel fuel from any fuel supply tank connected with the fuel injector or carburetor of a motor vehicle;

(10)iiowns or operates a motor vehicle for which reports or mileage records are required by this chapter without an operating odometer or other device in good working condition to record accurately the miles traveled;

(11)iifurnishes to a licensed supplier or distributor a signed statement for purchasing diesel fuel tax-free and then uses the tax-free diesel fuel to operate a diesel-powered motor vehicle on a public highway;

(12)iifails or refuses to comply with or violates a provision of this chapter;

(13)iifails or refuses to comply with or violates a comptroller's rule for administering or enforcing this chapter;

(14)iiis an importer who does not obtain an import verification number when required by this chapter; or

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(15)iipurchases motor fuel for export, on which the tax imposed by this chapter has not been paid, and subsequently diverts or causes the motor fuel to be diverted to a destination in this state or any other state or country other than the originally designated state or country without first obtaining a diversion number.

(d)iiA person [operating a bulk plant or terminal] who issues a shipping document that does not conform with the requirements of Section 162.016(a) is liable to this state for a civil penalty of $2,000 or five times the amount of the unpaid tax, whichever is greater, for each occurrence.

SECTIONi33.iiSection 162.403, Tax Code, is amended to read as follows:

Sec.i162.403.iiCRIMINAL OFFENSES. Except as provided by Section 162.404, a person commits an offense if the person:

(1)iirefuses to stop and permit the inspection and examination of a motor vehicle transporting or using motor fuel on the demand of a peace officer or the comptroller;

(2)iiis required to hold a valid trip permit or interstate trucker's license, but operates a motor vehicle in this state without a valid trip permit or interstate trucker's license;

(3)iioperates a liquefied gas-propelled motor vehicle that is required to be licensed in this state, including a motor vehicle equipped with dual carburetion, and does not display a current liquefied gas tax decal or multistate fuels tax agreement decal;

(4)iitransports gasoline or diesel fuel in any cargo tank that has a connection by pipe, tube, valve, or otherwise with the fuel injector or carburetor or with the fuel supply tank feeding the fuel injector or carburetor of the motor vehicle transporting the product;

(5)iisells or delivers gasoline or diesel fuel from a fuel supply tank that is connected with the fuel injector or carburetor of a motor vehicle;

(6)iiowns or operates a motor vehicle for which reports or mileage records are required by this chapter without an operating odometer or other device in good working condition to record accurately the miles traveled;

(7)iisells or delivers dyed diesel fuel for the operation of a motor vehicle on a public highway;

(8)iiuses dyed diesel fuel for the operation of a motor vehicle on a public highway except as allowed under Section 162.235;

(9)iimakes a tax-free sale or delivery of liquefied gas into the fuel supply tank of a motor vehicle that does not display a current Texas liquefied gas tax decal;

(10)iimakes a sale or delivery of liquefied gas on which the person knows the tax is required to be collected, if at the time the sale is made the person does not hold a valid dealer's license;

(11)iimakes a tax-free sale or delivery of liquefied gas into the fuel supply tank of a motor vehicle bearing out-of-state license plates;

(12)iimakes a delivery of liquefied gas into the fuel supply tank of a motor vehicle bearing Texas license plates and no Texas liquefied gas tax decal, unless licensed under a multistate fuels tax agreement;

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(13)iirefuses to permit the comptroller or the attorney general to inspect, examine, or audit a book or record required to be kept by a license holder, other user, or any person required to hold a license under this chapter;

(14)iirefuses to permit the comptroller or the attorney general to inspect or examine any plant, equipment, materials, or premises where motor fuel is produced, processed, blended, stored, sold, delivered, or used;

(15)iirefuses to permit the comptroller, the attorney general, an employee of either of those officials, a peace officer, an employee of the Texas Commission on Environmental Quality, or an employee of the Department of Agriculture to measure or gauge the contents of or take samples from a storage tank or container on premises where motor fuel is produced, processed, blended, stored, sold, delivered, or used;

(16)iiis a license holder, a person required to be licensed, or another user and fails or refuses to make or deliver to the comptroller a report required by this chapter to be made and delivered to the comptroller;

(17)iiis an importer who does not obtain an import verification number when required by this chapter;

(18)iipurchases motor fuel for export, on which the tax imposed by this chapter has not been paid, and subsequently diverts or causes the motor fuel to be diverted to a destination in this state or any other state or country other than the originally designated state or country without first obtaining a diversion number;

(19)iiconceals motor fuel with the intent of engaging in any conduct proscribed by this chapter or refuses to make sales of motor fuel on the volume-corrected basis prescribed by this chapter;

(20)iirefuses, while transporting motor fuel, to stop the motor vehicle the person is operating when called on to do so by a person authorized to stop the motor vehicle;

(21)iirefuses to surrender a motor vehicle and cargo for impoundment after being ordered to do so by a person authorized to impound the motor vehicle and cargo;

(22)iimutilates, destroys, or secretes a book or record required by this chapter to be kept by a license holder, other user, or person required to hold a license under this chapter;

(23)iiis a license holder, other user, or other person required to hold a license under this chapter, or the agent or employee of one of those persons, and makes a false entry or fails to make an entry in the books and records required under this chapter to be made by the person or fails to retain a document as required by this chapter;

(24)iitransports in any manner motor fuel under a false cargo manifest or shipping document, or transports in any manner motor fuel to a location without delivering at the same time a shipping document relating to that shipment;

(25)iiengages in a motor fuel transaction that requires that the person have a license under this chapter without then and there holding the required license;

(26)iimakes and delivers to the comptroller a report required under this chapter to be made and delivered to the comptroller, if the report contains false information;

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(27)iiforges, falsifies, or alters an invoice or shipping document prescribed by law;

(28)iimakes any statement, knowing said statement to be false, in a claim for a tax refund filed with the comptroller;

(29)iifurnishes to a licensed supplier or distributor a signed statement for purchasing diesel fuel tax-free and then uses the tax-free diesel fuel to operate a diesel-powered motor vehicle on a public highway;

(30)iiholds an aviation fuel dealer's license and makes a taxable sale or use of any gasoline or diesel fuel;

(31)iifails to remit any tax funds collected or required to be collected by a license holder, another user, or any other person required to hold a license under this chapter;

(32)iimakes a sale of dyed diesel fuel tax-free into a storage facility of a person who:

(A)iiis not licensed as a distributor, as an aviation fuel dealer, or as a dyed diesel fuel bonded user; or

(B)iidoes not furnish to the licensed supplier or distributor a signed statement prescribed in Section 162.206;

(33)iimakes a sale of gasoline tax-free to any person who is not licensed as an aviation fuel dealer;

(34)ii[is a dealer who] purchases any motor fuel tax-free when not authorized to make a tax-free purchase under this chapter;

(35)ii[is a dealer who] purchases motor fuel with the intent to evade any tax imposed by this chapter or [who] accepts a delivery of motor fuel by any means and does not at the same time accept or receive a shipping document relating to the delivery;

(36)iitransports motor fuel for which a cargo manifest or shipping document is required to be carried without possessing or exhibiting on demand by an officer authorized to make the demand a cargo manifest or shipping document containing the information required to be shown on the manifest or shipping document;

(37)iiimports, sells, uses, blends, distributes, or stores motor fuel within this state on which the taxes imposed by this chapter are owed but have not been first paid to or reported by a license holder, another user, or any other person required to hold a license under this chapter;

(38)iiblends products together to produce a blended fuel that is offered for sale, sold, or used and that expands the volume of the original product to evade paying applicable motor fuel taxes; or

(39)iievades or attempts to evade in any manner a tax imposed on motor fuel by this chapter.

SECTIONi34.iiSubsection (f), Section 162.405, Tax Code, is amended to read as follows:

(f)iiViolations of three or more separate offenses under the following sections [Sections 162.403(22) through (29)] committed pursuant to one scheme or continuous course of conduct may be considered as one offense and punished as a felony of the second degree:

(1)iiSection 162.403(7);

4784 81st Legislature — Regular Session 69th Day (Cont.)


(2)iiSections 162.403(13) through (16); or

(3)iiSections 162.403(22) through (29).

SECTIONi35.iiThe heading to Section 162.409, Tax Code, is amended to read as follows:

Sec.i162.409.iiISSUANCE OF BAD CHECK TO LICENSED DISTRIBUTOR, [OR] LICENSED SUPPLIER, OR PERMISSIVE SUPPLIER.

SECTIONi36.iiSubsections (a) and (d), Section 162.409, Tax Code, are amended to read as follows:

(a)iiA person commits an offense if:

(1)iithe person issues or passes a check or similar sight order for the payment of money knowing that the issuer does not have sufficient funds in or on deposit with the bank or other drawee for the payment in full of the check or order as well as all other checks or orders outstanding at the time of issuance;

(2)iithe payee on the check or order is a licensed distributor, [or] licensed supplier, or permissive supplier; and

(3)iithe payment is for an obligation or debt that includes a tax under this chapter to be collected by the licensed distributor, [or] licensed supplier, or permissive supplier.

(d)iiA person who makes payment on an obligation or debt that includes a tax under this chapter and pays with an insufficient funds check issued to a licensed distributor, [or] licensed supplier, or permissive supplier may be held liable for a penalty equal to the total amount of tax not paid to the licensed distributor, [or] licensed supplier, or permissive supplier.

SECTIONi37.iiSubchapter E, Chapter 162, Tax Code, is amended by adding Section 162.410 to read as follows:

Sec.i162.410.iiELECTION OF OFFENSES. If a violation of a criminal offense provision of this chapter by a person constitutes another offense under the laws of this state, the state may elect the offense for which it will prosecute the person.

SECTIONi38.iiArticle 12.01, Code of Criminal Procedure, as amended by Chapters 285 (H.B. 716), 593 (H.B. 8), 640 (H.B. 887), and 841 (H.B. 959), Acts of the 80th Legislature, Regular Session, 2007, is reenacted and amended to read as follows:

Art.i12.01.iiFELONIES. Except as provided in Article 12.03, felony indictments may be presented within these limits, and not afterward:

(1)iino limitation:

(A)iimurder and manslaughter;

(B)iisexual assault under Section 22.011(a)(2), Penal Code, or aggravated sexual assault under Section 22.021(a)(1)(B), Penal Code;

(C)iisexual assault, if during the investigation of the offense biological matter is collected and subjected to forensic DNA testing and the testing results show that the matter does not match the victim or any other person whose identity is readily ascertained;

(D)iicontinuous sexual abuse of young child or children under Section 21.02, Penal Code;

(E)iiindecency with a child under Section 21.11, Penal Code; or

Saturday, May 30, 2009 SENATE JOURNAL 4785


(F)iian offense involving leaving the scene of an accident under Section 550.021, Transportation Code, if the accident resulted in the death of a person;

(2)iiten years from the date of the commission of the offense:

(A)iitheft of any estate, real, personal or mixed, by an executor, administrator, guardian or trustee, with intent to defraud any creditor, heir, legatee, ward, distributee, beneficiary or settlor of a trust interested in such estate;

(B)iitheft by a public servant of government property over which he exercises control in his official capacity;

(C)iiforgery or the uttering, using or passing of forged instruments;

(D)iiinjury to an elderly or disabled individual punishable as a felony of the first degree under Section 22.04, Penal Code;

(E)iisexual assault, except as provided by Subdivision (1) [or (5)]; or

(F)iiarson;

(3)iiseven years from the date of the commission of the offense:

(A)iimisapplication of fiduciary property or property of a financial institution;

(B)iisecuring execution of document by deception;

(C)iia felony violation under Chapter 162 [Sections 162.403(22)-(39)], Tax Code;

(D)iifalse statement to obtain property or credit under Section 32.32, Penal Code;

(E)iimoney laundering;

(F)i[(D)]iicredit card or debit card abuse under Section 32.31, Penal Code; or

(G)i[(F)]iifraudulent use or possession of identifying information under Section 32.51, Penal Code;

(4)iifive years from the date of the commission of the offense:

(A)iitheft or robbery;

(B)iiexcept as provided by Subdivision (5), kidnapping or burglary;

(C)iiinjury to an elderly or disabled individual that is not punishable as a felony of the first degree under Section 22.04, Penal Code;

(D)iiabandoning or endangering a child; or

(E)iiinsurance fraud;

(5)iiif the investigation of the offense shows that the victim is younger than 17 years of age at the time the offense is committed, 20 years from the 18th birthday of the victim of one of the following offenses:

(A)iisexual performance by a child under Section 43.25, Penal Code;

(B)iiaggravated kidnapping under Section 20.04(a)(4), Penal Code, if the defendant committed the offense with the intent to violate or abuse the victim sexually; or

(C)iiburglary under Section 30.02, Penal Code, if the offense is punishable under Subsection (d) of that section and the defendant committed the offense with the intent to commit an offense described by Subdivision (1)(B) or (D) of this article or Paragraph (B) of this subdivision; [or]

(6)i[(5)]iiten years from the 18th birthday of the victim of the offense:

4786 81st Legislature — Regular Session 69th Day (Cont.)


[(A)iiindecency with a child under Section 21.11(a)(1) or (2), Penal Code;

[(B)iiexcept as provided by Subdivision (1), sexual assault under Section 22.011(a)(2), Penal Code, or aggravated sexual assault under Section 22.021(a)(1)(B), Penal Code; or

[(C)]iiinjury to a child under Section 22.04, Penal Code; or

(7)i[(6)]iithree years from the date of the commission of the offense: all other felonies.

SECTIONi39.iiSubsections (b) and (d), Section 20.002, Transportation Code, are amended to read as follows:

(b)iiThis section applies to a person, other than a political subdivision, who:

(1)iiowns, controls, operates, or manages a commercial motor vehicle; and

(2)iiis exempt from the state diesel fuel tax under Section 162.204 [153.203], Tax Code.

(d)iiThe fee imposed by this section is equal to 25 percent of the diesel fuel tax rate imposed under Section 162.202 [153.202(b)], Tax Code.

SECTIONi40.iiSubsection (o), Section 26.3574, Water Code, is amended to read as follows:

(o)iiChapters 101 and 111-113, and Sections 162.005 [153.006], 162.007 [153.007], and 162.111(b)-(k) [153.116(b)-(j)], Tax Code, apply to the administration, payment, collection, and enforcement of fees under this section in the same manner that those chapters apply to the administration, payment, collection, and enforcement of taxes under Title 2, Tax Code.

SECTIONi41.iiSection 162.017, Tax Code, is repealed.

SECTIONi42.ii(a)iiThe change in law made by this Act applies only to an offense committed on or after the effective date of this Act. For purposes of this section, an offense is committed before the effective date of this Act if any element of the offense occurs before that date.

(b)iiAn 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.

SECTIONi43.iiThe change in law made by this Act does not affect tax liability accruing before the effective date of this Act. That liability continues in effect as if this Act had not been enacted, and the former law is continued in effect for the collection of taxes due and for civil and criminal enforcement of the liability for those taxes.

SECTIONi44.iiThis Act takes effect September 1, 2009.

The Conference Committee Report on SBi1495 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 497

Senator Wentworth submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Saturday, May 30, 2009 SENATE JOURNAL 4787


Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi497 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

WENTWORTH HARTNETT
CARONA MCREYNOLDS
DUNCAN JACKSON
WATSON
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to compensation paid to certain judges and justices.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubsection (b), Section 26.006, Government Code, is amended to read as follows:

(b)iiTo receive a supplement under Subsection (a), a county judge must file with the comptroller's judiciary section [Office of Court Administration of the Texas Judicial System] an affidavit stating that at least 40 percent of the functions that the judge performs are judicial functions. [The office of court administration shall send the affidavit to the comptroller.]

SECTIONi2.iiSubsection (a), Section 659.0125, Government Code, is amended to read as follows:

(a)iiNotwithstanding Section 659.012 or any other law, a district judge who presides over multidistrict litigation involving claims for asbestos-related or silica-related injuries is entitled to receive, in addition to all other compensation, expenses, and perquisites authorized by law, the maximum amount of compensation set by the Texas Judicial Council for a presiding judge under Section 74.051(b). The annual amount must be apportioned over 12 equal monthly payments and be paid to the judge by the comptroller's judiciary section [Texas Judicial Council] for each month during which the judge retains jurisdiction over the claims.

SECTIONi3.iiSection 659.0445, Government Code, is amended by amending Subsection (b) and adding Subsections (d) and (e) to read as follows:

(b)iiThe monthly amount of longevity pay under this section to which a judge or justice described by Subsection (a) is entitled:

(1)iiis equal to the product of .031 multiplied by the amount of the judge's or justice's current monthly state salary [$20 for each year of service credited in the applicable retirement system, subject to Subsection (c)]; and

(2)ii[is calculated and] becomes payable beginning with the month following the month in which the judge or justice completes 16 years of service for which credit is established in the applicable retirement system.

(d)iiThe commissioners court of a county may provide longevity pay calculated in accordance with this section to a judge or justice described by Subsection (a) who:

4788 81st Legislature — Regular Session 69th Day (Cont.)


(1)iipreviously served as a statutory county court judge in the county;

(2)iiis not otherwise eligible for longevity pay under Subsection (b); and

(3)iiwould be entitled to longevity pay under this section if the service credit the judge or justice earned as a statutory county court judge was established in the applicable retirement system.

(e)iiNotwithstanding any other law, longevity pay that is paid to a judge or justice under this section is not included as part of the judge's or justice's combined salary from state and county sources for purposes of the salary limitations provided by Section 659.012.

SECTIONi4.iiSubsection (c), Section 659.0445, Government Code, is repealed.

SECTIONi5.iiThe changes in law made by this Act apply to longevity pay payable to a judge or justice after the effective date of this Act, regardless of the date the judge or justice first becomes entitled to longevity pay.

SECTIONi6.iiThis Act takes effect September 1, 2009.

The Conference Committee Report on SBi497 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 3347

Senator Duncan submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi3347 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

DUNCAN TRUITT
VANiDEiPUTTE OTTO
WEST MCCLENDON
WILLIAMS PITTS
EILAND
On the part of the Senate On the part of the House

The Conference Committee Report on HBi3347 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 3632

Senator Averitt submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Saturday, May 30, 2009 SENATE JOURNAL 4789


Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi3632 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

AVERITT GEREN
ELTIFE HAMILTON
HEGAR HOMER
URESTI RITTER
On the part of the Senate On the part of the House

The Conference Committee Report on HBi3632 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 269

Senator Van de Putte submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi269 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

VANiDEiPUTTE LUCIO
SHAPLEIGH BERMAN
OGDEN CORTE
ZAFFIRINI
On the part of the Senate On the part of the House

The Conference Committee Report on HBi269 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 956

Senator West submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

4790 81st Legislature — Regular Session 69th Day (Cont.)


Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi956 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

WEST BRANCH
SHAPIRO ANCHIA
HINOJOSA GIDDINGS
OGDEN MCCALL
CROWNOVER
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to the establishment of a law school in the city of Dallas by the University of North Texas System.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSection 105.001, Education Code, is amended to read as follows:

Sec.i105.001.iiUNIVERSITY OF NORTH TEXAS SYSTEM. The University of North Texas System is composed of:

(1)iithe University of North Texas;

(2)iithe University of North Texas Health Science Center at Fort Worth; [and]

(3)iithe University of North Texas at Dallas; and

(4)iithe University of North Texas at Dallas College of Law.

SECTIONi2.iiSection 105.151, Education Code, is amended by adding Subsection (c-1) and amending Subsection (d) to read as follows:

(c-1)iiVenue for a suit filed solely against the University of North Texas at Dallas College of Law or against officers or employees of the University of North Texas at Dallas College of Law is in Dallas County.

(d)iiIn case of a conflict between Subsection (a), (b), [or] (c), or (c-1) and any other law, Subsection (a), (b), [or] (c), or (c-1) controls.

SECTIONi3.iiSubchapter J, Chapter 105, Education Code, is amended by adding Section 105.502 to read as follows:

Sec.i105.502.iiUNIVERSITY OF NORTH TEXAS SYSTEM COLLEGE OF LAW. (a)iiThe board may establish and operate a school of law in the city of Dallas as a professional school of the University of North Texas System.

(b)iiIn administering the law school, the board may prescribe courses leading to customary degrees offered at other leading American schools of law and may award those degrees.

(c)iiUntil the University of North Texas at Dallas has been administered as a general academic teaching institution for five years, the board shall administer the law school as a professional school of the system. After that period, the law school shall

Saturday, May 30, 2009 SENATE JOURNAL 4791


become a professional school of the University of North Texas at Dallas. Until the law school becomes a professional school of the University of North Texas at Dallas, the law school:

(1)iiis considered an institution of higher education under Section 61.003 for all purposes under other law; and

(2)iiis entitled to formula funding as if the law school were a professional school of a general academic teaching institution.

(d)iiBefore the board establishes a law school under this section, but not later than June 1, 2010, the Texas Higher Education Coordinating Board shall prepare a feasibility study to determine the actions the system must take to obtain accreditation of the law school. The Texas Higher Education Coordinating Board shall deliver a copy of the study to the chair of each legislative standing committee or subcommittee with jurisdiction over higher education.

(e)iiThe board may solicit and accept gifts, grants, and donations from any public or private source for the purposes of this section.

SECTIONi4.iiSubchapter C, Chapter 61, Education Code, is amended by adding Section 61.0665 to read as follows:

Sec.i61.0665.iiSTUDY REGARDING ESTABLISHMENT OF LAW SCHOOLS. (a)iiThe board shall conduct a study to examine the need for and feasibility of establishing a public law school in areas of the state where a law school is not located, including the Texas-Mexico border region. The study shall be conducted using the same criteria used for determining the need for and feasibility of establishing the University of North Texas at Dallas College of Law.

(b)iiNot later than November 1, 2010, the board shall report the results of the study required by Subsection (a) to the governor, lieutenant governor, speaker of the house of representatives, and presiding officer of each legislative standing committee with primary jurisdiction over higher education.

(c)iiThis section expires January 31, 2011.

SECTIONi5.iiIf this Act receives a vote of at least two-thirds of the membership of each house of the legislature, the University of North Texas at Dallas College of Law created under Section 105.502, Education Code, as added by this Act, is entitled to participate in the funding provided by Section 17, Article VII, Texas Constitution.

SECTIONi6.iiThis Act does not make an appropriation. This Act takes effect only if a specific appropriation for the implementation of the Act is provided in a general appropriations act of the 81st Legislature.

SECTIONi7.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The Conference Committee Report on SBi956 was filed with the Secretary of the Senate.

4792 81st Legislature — Regular Session 69th Day (Cont.)


CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1757

Senator Watson submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi1757 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

WATSON D. HOWARD
AVERITT AYCOCK
DEUELL SHELTON
ELLIS HOPSON
SELIGER BURNAM
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to a study by the Texas Commission on Environmental Quality of methods for disposing of unused pharmaceuticals so that they do not enter a wastewater system.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.ii(a)iiIn this section, "commission" means the Texas Commission on Environmental Quality.

(b)iiThe commission shall study and make recommendations regarding the methods to be used by consumers, health care providers, and others for disposing of unused pharmaceuticals so that they do not enter a wastewater system. In conducting the study, the commission shall consider:

(1)iithe methods currently used in this state by consumers, health care providers, and others for that purpose;

(2)iialternative methods used for that purpose, including the methods used in other states; and

(3)iithe effects on public health and the environment of the various methods used for that purpose.

(c)iiIn conducting the study, the commission may solicit input from:

(1)iithe Health and Human Services Commission;

(2)iithe Department of Public Safety of the State of Texas;

(3)iipharmaceutical manufacturers;

(4)iipharmacies;

Saturday, May 30, 2009 SENATE JOURNAL 4793


(5)iihealth care providers, including home health care providers;

(6)iihospitals;

(7)iiclinics;

(8)iilong-term care facilities;

(9)iientities that engage in medical waste processing and handling;

(10)iisolid waste management service providers;

(11)iilocal governments;

(12)iiranchers and farmers;

(13)iiend users of medication;

(14)iiwater utilities and other water suppliers;

(15)iithe United States Postal Service;

(16)iithe United States Environmental Protection Agency; and

(17)iiany other entity the commission considers necessary.

(d)iiNot later than December 1, 2010, the commission shall submit a report of the results of the study to the legislature. The report must include:

(1)iithe commission's recommendations regarding the methods to be used by consumers, health care providers, and others for disposing of unused pharmaceuticals so that they do not enter a wastewater system; and

(2)iian analysis of the feasibility of implementing the recommended disposal methods on a statewide basis.

(e)iiThis Act expires January 1, 2011.

SECTIONi2.iiThis Act takes effect immediately if it 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 immediate effect, this Act takes effect September 1, 2009.

The Conference Committee Report on SBi1757 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 666

Senator Uresti submitted the following Conference Committee Report:

Austin, Texas

May 29, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi666 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

URESTI GUTIERREZ
WHITMIRE MCREYNOLDS
HINOJOSA GEREN

4794 81st Legislature — Regular Session 69th Day (Cont.)


WILLIAMS MOODY
SELIGER S. KING
On the part of the Senate On the part of the House

The Conference Committee Report on HBi666 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2328

Senator Carona submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi2328 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

CARONA GUILLEN
AVERITT RIDDLE
PATRICK LEIBOWITZ
VAN DE PUTTE CREIGHTON
RAYMOND
On the part of the Senate On the part of the House

The Conference Committee Report on HBi2328 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 2833

Senator Shapleigh submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi2833 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

Saturday, May 30, 2009 SENATE JOURNAL 4795


SHAPLEIGH MARQUEZ
AVERITT RITTER
GALLEGOS DESHOTEL
NICHOLS CHISUM
HUFFMAN HARLESS
On the part of the Senate On the part of the House

The Conference Committee Report on HBi2833 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 3737

Senator Davis submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi3737 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

DAVIS ANCHIA
NELSON ELKINS
ELTIFE ROSE
URESTI WALLE
CARONA
On the part of the Senate On the part of the House

The Conference Committee Report on HBi3737 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

HOUSE BILL 3983

Senator Watson submitted the following Conference Committee Report:

Austin, Texas

May 28, 2009

Honorable David Dewhurst

President of the Senate

4796 81st Legislature — Regular Session 69th Day (Cont.)


Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on HBi3983 have had the same under consideration, and beg to report it back with the recommendation that it do pass.

WATSON RODRIGUEZ
CARONA MALDONADO
HARRIS D. HOWARD
ELTIFE HARLESS
SHAPLEIGH
On the part of the Senate On the part of the House

The Conference Committee Report on HBi3983 was filed with the Secretary of the Senate.

CONFERENCE COMMITTEE REPORT ON

SENATE BILL 1263

Senator Watson submitted the following Conference Committee Report:

Austin, Texas

May 30, 2009

Honorable David Dewhurst

President of the Senate

Honorable Joe Straus

Speaker of the House of Representatives

Sirs:

We, Your Conference Committee, appointed to adjust the differences between the Senate and the House of Representatives on SBi1263 have had the same under consideration, and beg to report it back with the recommendation that it do pass in the form and text hereto attached.

WATSON RODRIGUEZ
CARONA GATTIS
ELLIS KLEINSCHMIDT
SHAPLEIGH
WENTWORTH
On the part of the Senate On the part of the House

A BILL TO BE ENTITLED
AN ACT

relating to certain mass transit entities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTIONi1.iiSubsections (e) and (f), Section 451.0611, Transportation Code, are amended to read as follows:

Saturday, May 30, 2009 SENATE JOURNAL 4797


(e)iiThe notice required by Subsection (d)(2) may be included in a citation issued to the person under Article 14.06, Code of Criminal Procedure, or under Section 451.0612, in connection with an offense relating to the nonpayment of the appropriate fare or charge for the use of the public transportation system.

(f)iiAn offense under Subsection (d) is:

(1)iia Class C misdemeanor; and

(2)iinot a crime of moral turpitude.

SECTIONi2.iiSubchapter B, Chapter 451, Transportation Code, is amended by adding Section 451.0612 to read as follows:

Sec.i451.0612.iiFARE ENFORCEMENT OFFICERS IN CERTAIN AUTHORITIES. (a)iiAn authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000 may employ persons to serve as fare enforcement officers to enforce the payment of fares for use of the public transportation system by:

(1)iirequesting and inspecting evidence showing payment of the appropriate fare from a person using the public transportation system; and

(2)iiissuing a citation to a person described by Section 451.0611(d)(1).

(b)iiBefore commencing duties as a fare enforcement officer, a person must complete a 40-hour training course approved by the authority that is appropriate to the duties required of a fare enforcement officer.

(c)iiWhile performing duties, a fare enforcement officer shall:

(1)iiwear a distinctive uniform that identifies the officer as a fare enforcement officer; and

(2)iiwork under the direction of the authority's manager of safety and security.

(d)iiA fare enforcement officer may:

(1)iirequest evidence showing payment of the appropriate fare from passengers of the public transportation system;

(2)iirequest personal identification from a passenger who does not produce evidence showing payment of the appropriate fare on request by the officer;

(3)iirequest that a passenger leave the public transportation system if the passenger does not possess evidence of payment of the appropriate fare; and

(4)iifile a complaint in the appropriate court that charges the person with an offense under Section 451.0611(d).

(e)iiA fare enforcement officer may not carry a weapon while performing duties under this section.

(f)iiA fare enforcement officer is not a peace officer and has no authority to enforce a criminal law, other than the authority possessed by any other person who is not a peace officer.

SECTIONi3.iiSubsection (c), Section 451.108, Transportation Code, is amended to read as follows:

(c)iiA peace officer commissioned under this section, except as provided by Subsections (d) and (e), or a peace officer contracted for employment by an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000, may:

4798 81st Legislature — Regular Session 69th Day (Cont.)


(1)iimake an arrest in any county in which the transit authority system is located as necessary to prevent or abate the commission of an offense against the law of this state or a political subdivision of this state if the offense or threatened offense occurs on or involves the transit authority system;

(2)iimake an arrest for an offense involving injury or detriment to the transit authority system;

(3)iienforce traffic laws and investigate traffic accidents that involve or occur in the transit authority system; and

(4)iiprovide emergency and public safety services to the transit authority system or users of the transit authority system.

SECTIONi4.iiSection 451.061, Transportation Code, is amended by amending Subsection (d) and adding Subsection (d-1) to read as follows:

(d)iiExcept as provided by Subsection (d-1), the [The] fares, tolls, charges, rents, and other compensation established by an authority in which the principal municipality has a population of less than 1.2 million may not take effect until approved by a majority vote of a committee composed of:

(1)iifive members of the governing body of the principal municipality, selected by that governing body;

(2)iithree members of the commissioners court of the county having the largest portion of the incorporated territory of the principal municipality, selected by that commissioners court; and

(3)iithree mayors of municipalities, other than the principal municipality, located in the authority, selected by:

(A)iithe mayors of all the municipalities, except the principal municipality, located in the authority; or

(B)iithe mayor of the most populous municipality, other than the principal municipality, in the case of an authority in which the principal municipality has a population of less than 300,000.

(d-1)iiThe establishment of or a change to fares, tolls, charges, rents, and other compensation by an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000, takes effect immediately on approval by a majority vote of the board, except that the establishment of or a change to a single-ride base fare takes effect on the 60th day after the date the board approves the fare or change to the fare, unless the policy board of the metropolitan planning organization that serves the area of the authority disapproves the fare or change to the fare by a majority vote.

SECTIONi5.iiSection 451.071, Transportation Code, is amended by adding Subsections (g) and (h) to read as follows:

(g)iiThis section does not require the authority to hold a referendum on a proposal to enter into a contract or interlocal agreement to build, operate, or maintain a fixed rail transit system for another entity. Notwithstanding Subsection (d), the authority may spend funds of the authority to enter into a contract and operate under that contract to build, operate, or maintain a fixed rail transit system if the other entity will reimburse the authority for the funds.

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(h)iiA referendum held by a political subdivision, the authority, or an entity other than the authority at which funding is approved for a fixed rail transit system is considered to meet the requirements of Subsections (d) and (e) and Section 451.3625 if the notice for the election called by the political subdivision, the authority, or other entity contains the description required by Subsection (c). The referendum may allow for financial participation of more than one political subdivision or entity. The authority may only spend funds of the authority if the referendum authorizes that expenditure.

SECTIONi6.iiSubchapter J, Chapter 451, Transportation Code, is amended by adding Sections 451.458, 451.459, and 451.460 to read as follows:

Sec.i451.458.iiINTERNAL AUDITOR. (a)iiThis section applies only to an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000.

(b)iiThe board shall appoint a qualified individual to perform internal auditing services for a term of five years. The board may remove the auditor only on the affirmative vote of at least three-fourths of the members of the board.

(c)iiThe auditor shall report directly to the board.

Sec.i451.459.iiSUNSET REVIEW. (a)iiAn authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000 is subject to review under Chapter 325, Government Code (Texas Sunset Act), as if it were a state agency but may not be abolished under that chapter. The review shall be conducted as if the authority were scheduled to be abolished September 1, 2011. In addition, another review shall be conducted as if the authority were scheduled to be abolished September 1, 2017. The reviews conducted under this section must include an assessment of the governance, management, and operating structure of the authority and the authority's compliance with the duties and requirements placed on it by the legislature.

(b)iiThe authority shall pay the cost incurred by the Sunset Advisory Commission in performing a review of the authority under this section. The Sunset Advisory Commission shall determine the cost, and the authority shall pay the amount promptly on receipt of a statement from the Sunset Advisory Commission detailing the cost.

Sec.i451.460.iiANNUAL REPORT. (a)iiThis section applies only to an authority confirmed before July 1, 1985, in which the principal municipality has a population of less than 750,000.

(b)iiThe authority shall provide an annual report to each governing body of a municipality or county in the authority regarding the status of any financial obligation of the authority to the municipality or county.

SECTIONi7.iiSection 451.5021, Transportation Code, is amended by amending Subsections (a), (b), (d), and (e) and adding Subsections (b-1), (d-1), (d-2), and (d-3) to read as follows:

(a)iiThis section applies only to the board of an authority created before July 1, 1985, in which the principal municipality has a population of less than 750,000 [in which each member of the governing body of the principal municipality is elected at large].

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(b)iiMembers of the [The] board [is composed of seven members who] are appointed as follows:

(1)iione member, who is an elected official, [two members representing the general public] appointed by the metropolitan planning organization designated by the governor that serves the area of the authority;

(2)iitwo members, one who must be and one who may be an elected official, [two members] appointed by the governing body of the principal municipality;

(3)iione member appointed by the commissioners court of the principal county;

(4)iione member appointed by the commissioners court of the county, excluding the principal county, that has the largest population of the counties in the authority [a panel composed of the mayors of all the municipalities in the authority located in the principal county of the authority, excluding the mayor of the principal municipality]; [and]

(5)iione member, who is an elected official, appointed by a panel composed of[:

[(A)] the mayors of all municipalities in the authority [located outside the principal county of the authority], excluding the mayor of the principal municipality;

(6)iione member, who has at least 10 years of experience as a financial or accounting professional, appointed by the metropolitan planning organization that serves the area in which the authority is located;

(7)iione member, who has at least 10 years of experience in an executive-level position in a public or private organization, including a governmental entity, appointed by the metropolitan planning organization that serves the area in which the authority is located; and

(8)iitwo members appointed by the metropolitan planning organization that serves the area in which the authority is located, if according to the most recent federal decennial census more than 35 percent of the population in the territory of the authority resides outside the principal municipality [(B)iithe county judges of the counties having unincorporated area in the authority, excluding the county judge of the principal county; and

[(C)iithe presiding officer of each municipal utility district that:

[(i)iihas a majority of its territory located outside the principal county; and

[(ii)iiis located wholly or partly in the authority].

(b-1)iiNotwithstanding Section 451.505, members of the board serve staggered three-year terms, with the terms of two or three members, as applicable, expiring Junei1 of each year.

(d)iiA person appointed under Subsection (b)(1), (2) [(b)(2), (3), (4)], or (5), except as provided by Subsection (b)(2):

(1)iimust be a member of the governing body:

(A)iiof the political subdivision that is entitled to make the appointment; or

(B)iiover which a member of the panel entitled to make an appointment presides;

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(2)iivacates the office of board member if the person ceases to be a member of the governing body described by Subdivision (1);

(3)iiserves on the board as an additional duty of the office held on the governing body described by Subdivision (1); and

(4)iiis not entitled to compensation for serving as a member of the board.

(d-1)iiAt least two members appointed under Subsections (b)(1), (6), and (7) must be qualified voters residing in the principal municipality.

(d-2)iiA person appointed under Subsection (b)(3) must:

(1)iihave the person's principal place of occupation or employment in the portion of the authority's service area that is located in the principal county; or

(2)iibe a qualified voter of the principal county.

(d-3)iiA person appointed under Subsection (b)(4) must:

(1)iihave the person's principal place of occupation or employment in the portion of the authority's service area that is located in the county, other than the principal county, that has the largest population of the counties in the authority; or

(2)iibe a qualified voter of the county, other than the principal county, that has the largest population of the counties in the authority.

(e)iiA panel appointing a member under Subsection (b)(5) [this section] operates in the manner prescribed by Section 451.503.

SECTIONi8.iiSubsection (b), Section 451.505, Transportation Code, is amended to read as follows:

(b)iiThe terms of members of a board are staggered if the authority was[:

[(1)]iicreated before 1980 and has a principal municipality with a population of less than 1.2 million[; or

[(2)iiconfirmed before July 1, 1985, and has a principal municipality with a population of less than 750,000].

SECTIONi9.iiSubsections (g) and (h), Section 451.5021, Transportation Code, are repealed.

SECTIONi10.ii(a)iiThis section applies only to a member of the board of a metropolitan rapid transit authority created before July 1, 1985, in which the principal municipality has a population of 750,000 or less.

(b)iiThe term of a board member that is scheduled, under the law as it existed before the effective date of this Act, to expire:

(1)iiafter the effective date of this Act but before January 1, 2010, is extended to December 31, 20