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House Bill 2134 |
House Author: Villarreal |
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Effective: 9-1-13 |
Senate Sponsor: Carona |
House Bill 2134 amends the Finance Code to authorize the banking commissioner of Texas, in order to efficiently and effectively administer and enforce the Money Services Act and to minimize regulatory burden, to enter into a written cooperation, coordination, or information‑sharing contract or agreement with an intergovernmental organization of state or federal agencies that regulate or supervise persons engaged in money services businesses or activities subject to such regulation or that are authorized to investigate or prosecute violations of a state, federal, or foreign law related to such persons.
House Bill 2134 authorizes the commissioner to require a person to submit through the Nationwide Mortgage Licensing System and Registry any information, document, or payment of a fee required to be submitted under the Money Services Act or rules adopted under the act. The bill authorizes the commissioner to use the registry as a channeling agent for obtaining information required for licensing purposes under the Money Services Act or associated rules, including criminal history record information, information related to any administrative, civil, or criminal findings by a governmental jurisdiction, and information requested by the commissioner to make a determination on an application for a money services license.
House Bill 2134 removes provisions setting an annual August 15 expiration date for a money services license and establishing a renewal process that required payment of an annual renewal fee and submission of a renewal report not later than July 1 of each year and instead provides for the continuation of such a license on payment of an annual license fee and submission of an annual report on a date prescribed by commissioner rule, provided the license holder continues to meet the applicable licensing qualifications and requirements. The bill provides a 45-day grace period for a late submission of the required fee and report together with an applicable late fee and provides for a license's expiration on the license holder's failure to submit the completed annual report with the annual fee and any applicable late fees within that grace period. The bill also authorizes the commissioner to revoke a license if the license holder fails to maintain the qualifications for a license or meet the applicable licensing requirements.
House Bill 2134 increases from 30 to 90 the maximum number of days the commissioner may extend the effective period for a temporary money transmission license. The bill removes provisions conditioning the requisite security to be maintained by an applicant for a money transmission license on the faithful compliance of the license holder and related parties with the Money Services Act or any rules adopted or order issued under the act. The bill requires a money transmission license holder to include authorized delegates doing business with persons located in Texas, as well as authorized delegates located in Texas, in the current list that the license holder must maintain and must provide to the commissioner on request.
The bill expands the definition of "currency exchange" to include the exchange of a negotiable instrument for the currency of another government. The bill includes prepaid access within the meaning of "stored value" and excludes an electronic record that is redeemable only for goods or services from a specified merchant or set of affiliated merchants. The bill repeals a provision requiring a currency transmission business to make the disclosures required in statutory provisions regulating currency transmissions in English and, if the currency transmission is to a country where Spanish is widely spoken, in Spanish.