Enrolled Bill Summary

            House Bill 1465 amends the Labor Code to revise procedures for regulating staff leasing services. The act mandates that the Texas Department of Licensing and Regulation require that information be submitted to determine if an applicant meets licensing requirements and if individuals affiliated with the applicant are qualified to serve as a controlling person of the staff leasing company. Under current law, the department is only authorized to require this information. It specifies that background checks are conducted for an original license only and that the department shall provide written notice of a license application denial. The term and maximum fee for a license is doubled from one to two years and from $3,000 to $6,000, respectively. The act provides for issuing or reinstating a license after a denial or revocation and authorizes the department to impose administrative penalties of not less than $1,000 or more than $50,000.

            Additionally, House Bill 1465 adds bonds to the list of acceptable methods for meeting net worth standards, provides for the use of trademarks and brand names in advertising, and revises requirements for qualifying for unemployment compensation.

            The act also changes provisions concerning limited licenses and provides that businesses licensed by other states qualify for this type of license if they employ fewer than 50, rather than 20, employees in Texas.