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By: Hinojosa, Blanco |
S.B. No. 424 |
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(In the Senate - Filed January 25, 2021; March 9, 2021, read |
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first time and referred to Committee on Business & Commerce; |
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April 6, 2021, reported adversely, with favorable Committee |
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Substitute by the following vote: Yeas 9, Nays 0; April 6, 2021, |
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sent to printer.) |
| Click here to see the committee vote |
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COMMITTEE SUBSTITUTE FOR S.B. No. 424 |
By: Nichols |
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A BILL TO BE ENTITLED
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AN ACT
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relating to state agency enforcement of laws regulating small |
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businesses. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 2006, Government Code, is |
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amended by adding Section 2006.003 to read as follows: |
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Sec. 2006.003. OPPORTUNITY TO REMEDY VIOLATION; POLICY. |
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(a) This section applies only to a state agency with regulatory |
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authority over a small business. |
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(b) A state agency may not impose an administrative penalty |
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against a small business for a first violation of a statute or a |
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rule administered by the agency, other than a violation committed |
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knowingly or intentionally, unless the agency first provides the |
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small business written notice of the violation and an opportunity |
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to remedy the violation within a reasonable time after receiving |
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the notice. Notwithstanding any other law, a violation is not |
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considered to be a continuing violation during the reasonable time |
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in which the small business attempts in good faith to remedy the |
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violation. |
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(c) Each state agency subject to this section shall adopt a |
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policy consistent with the requirements of Subsection (b). The |
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policy must provide that the agency will not attempt to recover an |
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administrative penalty during the reasonable time the small |
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business is attempting in good faith to remedy the violation. |
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(d) This section does not apply to an action taken by: |
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(1) a state agency to protect public health and safety |
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or the environment; |
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(2) an officer listed in Section 411.0765(b)(18) in |
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connection with the regulation of financial services; or |
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(3) the Texas Workforce Commission if the action is |
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required to conform to or comply with federal law. |
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SECTION 2. Not later than January 1, 2022, each state agency |
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shall adopt and implement the policy required by Section 2006.003, |
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Government Code, as added by this Act. |
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SECTION 3. This Act takes effect September 1, 2021. |
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