By Place                                              H.B. No. 1940
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to regulation of bail bondsmen and providing for
    1-3  educational requirements of bail bondsmen.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 1, Chapter 550, Acts of the 63rd
    1-6  Legislature, Regular Session, 1973, Section 3 (Article 2372p-3,
    1-7  Vernon's Texas Civil Statutes, Section 3), is amended to read as
    1-8  follows:
    1-9        Sec. 3.  Licensing Requirement and Eligibility.  <The
   1-10  provisions of this Act apply only to the execution of bail bonds in
   1-11  counties having a population of more than 110,000 according to the
   1-12  last federal census or in counties of less than 110,000 where a
   1-13  board has been created.  The creation of the board is within the
   1-14  discretion of a majority of the officers of the county who would be
   1-15  members of, or who would designate members of, the board as
   1-16  provided under Subsection (b) of this Section.>
   1-17        (a)  In any county where a bond is to be posted, <that has a
   1-18  board> no person may act as a bondsman except:
   1-19              (1)  persons licensed by the Board of that county;
   1-20  <under this Act, and>
   1-21              (2)  persons licensed to practice law in this state who
   1-22  meet the requirements set forth in Subsection (<e>d) of this
   1-23  Section <3 of this Act>; and<.>
    2-1              (3)  in counties having a population of less than
    2-2  110,000 persons according to the most recent federal census,
    2-3  persons licensed by any Board in this state presenting a bond which
    2-4  is certified by the County Sheriff of the county where the bondsman
    2-5  is licensed.  The Sheriff shall certify a bond under this section
    2-6  if the bondsman has sufficient financial resources in his bail
    2-7  security fund account to permit execution of the bond in the county
    2-8  of licensing.  Certification of such bond shall be made in writing,
    2-9  shall state the date of certification and the dollar amount
   2-10  certified and shall bear the signature of the Sheriff or his
   2-11  authorized deputy.
   2-12        (b)  An <No> individual is eligible for and shall be issued a
   2-13  license under this Act, if <unless> the individual:
   2-14              (1)  is a resident of this state and a citizen of the
   2-15  United States;
   2-16              (2)  is at least twenty-one (21) <18> years of age;
   2-17              (3)  possesses a high school diploma or general
   2-18  education degree, twenty-four (24) hours of college credit and
   2-19  twenty (20) hours of bondsman's continuing education, as defined in
   2-20  this Act.  Provided, however, that this requirement shall not apply
   2-21  to anyone who acted as a surety in counties in which a license was
   2-22  not required prior to the effective date of this Act nor to anyone
   2-23  licensed or previously licensed to execute bonds by any Board in
   2-24  this State whose license has never been finally revoked;
   2-25  <sufficient financial resources to provide indemnity against loss
    3-1  on such obligations as he may undertake as required by Section 6 of
    3-2  this Article>.
    3-3              (4)  possesses the financial responsibility and
    3-4  resources required by Section 6(f) of this Act;
    3-5              (5)  submits an application which meets the
    3-6  requirements of this Act;
    3-7              (6)  has not been:
    3-8                    (a)  found finally guilty of any felony within
    3-9  the preceding ten (10) year period;
   3-10                    (b)  found finally guilty of any misdemeanor
   3-11  which involves moral turpitude, other than a Class C misdemeanor,
   3-12  within the preceding one (1) year period; or
   3-13                    (c)  found finally guilty of any felony offense
   3-14  which directly relates to the duties and responsibilities of a bail
   3-15  bondsman as defined in this Act; and,
   3-16              (7)  is not a peace officer, jailer, employee of a law
   3-17  enforcement agency, judicial officer, court employee, or an
   3-18  employee of any similar or related agency.
   3-19        (c)  A corporation is eligible for and shall be issued a
   3-20  license under this Act, if the corporation: <No person shall be
   3-21  eligible for a license under this Act, who after the effective date
   3-22  of this Act, commits an offense for which he is finally convicted,
   3-23  such offense being a felony or misdemeanor involving moral
   3-24  turpitude>
   3-25              (1)  has a valid certificate of authority issued to it
    4-1  by the State Board of Insurance, pursuant to article 8.20,
    4-2  Insurance Code, as amended;
    4-3              (2)  designates in its application an agent who meets
    4-4  the requirements for an individual set forth in Section 3(b)
    4-5  Subsections 1, 2, 3, 6 and 7 of this Act;
    4-6              (3)  submits an application which meets the
    4-7  requirements of this Act; and
    4-8              (4)  deposits the security required by Section 6(f) of
    4-9  this Act.
   4-10        <(d)  No corporation is eligible to be licensed unless:>
   4-11              <(1)  it is chartered or admitted to do business in
   4-12  this state; and>
   4-13              <(2)  it is qualified to write fidelity, guaranty and
   4-14  surety bonds under the Texas Insurance Code, as amended.>
   4-15        (<e>d)  Persons licensed to practice law in this state may
   4-16  execute bail bonds or act as sureties for persons they actually
   4-17  represent in criminal cases without being licensed under this Act,
   4-18  but they are prohibited from engaging in the practices made the
   4-19  basis for revocation of license under this Act and if found by the
   4-20  sheriff to have violated any term of this Act, may not qualify
   4-21  thereafter under the exception provided in this subsection unless
   4-22  and until they come into compliance with those practices made the
   4-23  basis of revocation under this Act.  Notwithstanding any other
   4-24  provision of this subsection, no person licensed to practice law
   4-25  shall be relieved of liability on a bail bond he has executed for
    5-1  the sole reason that he has not been employed to represent the
    5-2  principal on the merits of the case if he has been paid a fee for
    5-3  the execution of the bail bond.
    5-4        (e)  Any person employed by or contracting with a bondsman to
    5-5  provide any service which facilitates the execution of a specific
    5-6  bond or requires contact with the general public, other than a bona
    5-7  fide telephone answering service or the designated agent of a
    5-8  corporate bondsman, must file an application for an identification
    5-9  card with the board.  The application shall contain the information
   5-10  required by Section 6(b)(1) of this Act, certify that the applicant
   5-11  is in compliance with the terms of Section 3(b)(6) and (7) of this
   5-12  Act, and be accompanied by an application fee of $25.  The Sheriff
   5-13  shall verify the information contained in the application and the
   5-14  Chairman or staff of the Board shall issue an identification card
   5-15  to a qualified applicant.  The application shall act as a temporary
   5-16  identification card until a final determination on the application
   5-17  is made.
   5-18        (f)  Each individual, or corporate agent, who will execute
   5-19  bonds under this Act shall complete a minimum of eight (8) hours of
   5-20  bondsman's continuing education by the anniversary date of his
   5-21  license issuance each year.  This requirement shall not apply to
   5-22  any bondsman who is sixty-five (65) years or older or who has
   5-23  maintained a bondsman's license for a minimum of fifteen (15) years
   5-24  on the date this provision becomes effective.  The Professional
   5-25  Bondsmen of Texas Association shall conduct bondsman's continuing
    6-1  education programs pursuant to this subsection which shall be
    6-2  reasonably and directly related to the bonding business and the
    6-3  Association may access a reasonable fee from each individual
    6-4  registering for each such program.  The Association shall provide
    6-5  each individual in actual attendance at each such program with a
    6-6  certificate of attendance which shall specify the name of the
    6-7  person attending and the number of hours of the program.  Such
    6-8  certificate shall be conclusive proof of attendance by the named
    6-9  individual for the number of hours of stated continuing education.
   6-10        SECTION 2.  Section 1, Chapter 550, Acts of the 63rd
   6-11  Legislature, Regular Session, 1973, Section 5 (Article 2372p-3,
   6-12  Vernon's Texas Civil Statutes, Section 5), is amended to read as
   6-13  follows:
   6-14        Sec. 5  COUNTY BAIL BOND BOARD  (a)  There is hereby created
   6-15  in all counties <having a population of 110,000 or more, according
   6-16  to the most recent federal census,> a County Bail Bond Board.  <In
   6-17  counties of less than 110,000, the creation of a County Bail Bond
   6-18  Board is within the discretion of a majority of the officers of the
   6-19  county who would be members of, or who would designate members of,
   6-20  such a Board under the provisions of this Act.>
   6-21        (b)  Any Board created by election of the county under prior
   6-22  law shall be composed of the persons specified in below in this
   6-23  Subsection, after the effective date of this Act.  In counties
   6-24  having a population of less than 110,000 persons according to the
   6-25  most recent federal census in which there is no Board on the
    7-1  effective date of this Act, the County Sheriff shall act as the
    7-2  County Bail Bond Board.  Subject to all other provisions of this
    7-3  Act, the County Sheriff may set a bail security fund requirement
    7-4  which shall apply uniformly in his county.  Such bail security fund
    7-5  requirement may permit the use of varied types of security, but may
    7-6  not require less than the minimum amount of security specified
    7-7  under Section 6(f) of this Act.  In counties having a population of
    7-8  110,000 or more persons according to the most recent federal
    7-9  census, t<T>he County Bail Bond Board shall be composed of the
   7-10  following persons:
   7-11              (1)  the county sheriff or a designee from his office
   7-12  who may be his administrator or a deputy sheriff of the rank of
   7-13  sergeant or greater;
   7-14              (2)  a district judge of the county having jurisdiction
   7-15  over criminal matters designated by the presiding judge of the
   7-16  administrative judicial district;
   7-17              (3)  the county judge or a member of the commissioners
   7-18  court designated by the county judge, or a designee approved by the
   7-19  commissioners court;
   7-20              (4)  a judge of a county court or a county court at law
   7-21  in the county having jurisdiction over criminal matters designated
   7-22  by the commissioners court;
   7-23              (5)  the district attorney or his designee if that
   7-24  person is an assistant district attorney;
   7-25              (6)  a licensed bondsman, licensed in the county,
    8-1  elected by other county licensees;
    8-2              (7)  a justice of the peace;
    8-3              (8)  the district clerk or his designee;
    8-4              (9)  the county clerk or a designee from his office,
    8-5  except in those counties where the county clerk has no criminal
    8-6  matters jurisdiction; and
    8-7              <(10)  the board may appoint a presiding judge of a
    8-8  municipal court located within the county.>
    8-9              (10)  the presiding municipal judge of the principal
   8-10  city in a county in which the principal city designates a presiding
   8-11  judge in its municipal court system.
   8-12        (c)  The board shall meet within 60 days after its creation.
   8-13  The board shall initially elect one of its members as chairman who
   8-14  shall preside at all meetings to be held thereafter at the call of
   8-15  the chairman.
   8-16        (d)  Four members of the board shall constitute a quorum for
   8-17  the conduct of business, except in counties where the Sheriff is
   8-18  the sole member of the board.  All action by the board shall
   8-19  require the vote of a majority of the members present.  The board
   8-20  shall meet at least once a month.
   8-21        (e)  Unless clearly not required by this Act, all rules,
   8-22  regulations, and actions of the board passed pursuant to this Act
   8-23  shall be posted at an appropriate place in the courthouse for a
   8-24  period of 10 days prior to their effective date.
   8-25        (f)  In addition to the powers and duties given to the County
    9-1  Bail Bond Board by this Act, the board has the following powers and
    9-2  duties:
    9-3              (1)  To exercise any powers incidental or necessary to
    9-4  the administration of this Act, to supervise and regulate all
    9-5  phases of the bonding business and enforce this Act within the
    9-6  county, and to prescribe and post any rules necessary to implement
    9-7  this Act;
    9-8              (2)  To conduct hearings and investigations and make
    9-9  determinations respecting the issuance, refusal, suspension, or
   9-10  revocation of licenses to bondsmen within the provisions of this
   9-11  Act and to issue licenses to those applicants who qualify under the
   9-12  terms of this Act, to refuse licenses to those applicants who do
   9-13  not qualify, and to suspend or revoke the licenses of licensees who
   9-14  commit violations under this Act or the rules prescribed by the
   9-15  board under this Act;
   9-16              (3)  To require applicants and licensees to appear
   9-17  before the board, and to administer oaths, examine witnesses, and
   9-18  compel the production of pertinent books, accounts, records,
   9-19  documents, and testimony by the licensee or applicant in its
   9-20  hearings;
   9-21              (4)  To cause records and transcripts to be made of all
   9-22  its proceedings;
   9-23              (5)  To maintain records and minutes and otherwise
   9-24  operate its office affairs;
   9-25              (6)  To employ such employees to assist the board in
   10-1  its functions as necessary;
   10-2              (7)  To furnish and post in each court in the county
   10-3  having jurisdiction of criminal cases and each local official
   10-4  responsible for the detention of prisoners in the county with
   10-5  current lists of the bondsmen and their agents licensed and
   10-6  approved in the county and to notify immediately each court and
   10-7  local official when a bondsman's license is suspended or revoked or
   10-8  an agent's authority is rescinded; and
   10-9              (8)  To file reports and furnish information on the
  10-10  operation of the bonding business in the county at the request of
  10-11  the Texas Judicial Council which shall report annually to the
  10-12  governor and the legislature on or before December 1 of each year
  10-13  on the operation of the bonding business in the state.
  10-14        SECTION 3.  (a)  Any person initially applying for any
  10-15  license after the effective date of this Act shall be governed by
  10-16  this Act.
  10-17        (b)  Any license issued prior to the effective date of this
  10-18  Act shall be governed by the law in effect at the time the license
  10-19  was issued; however, at the time of first renewal of such license
  10-20  or the expiration of one (1) year from the effective date of this
  10-21  Act, whichever is greater, this Act shall govern such licenses.
  10-22        (c)  Persons not subject to licensing as a bondsman prior to
  10-23  the effective date of this Act shall comply with this Act within
  10-24  one (1) year of its effective date.
  10-25        (d)  The former law is continued in effect for the purposes
   11-1  of subsections (b) and (c) only.
   11-2        SECTION 4.  The importance of this legislation and the
   11-3  crowded condition of the calendars in both houses create an
   11-4  emergency and an imperative public necessity that the
   11-5  constitutional rule requiring bills to be read on three separate
   11-6  days in each house be suspended, and this rule is hereby suspended,
   11-7  and that this Act take effect and be in force from and after its
   11-8  passage, and its so enacted.