1-1  By:  Harris of Tarrant                                 S.B. No. 122
    1-2        (In the Senate - Filed January 15, 1993; January 19, 1993,
    1-3  read first time and referred to Committee on Criminal Justice;
    1-4  April 6, 1993, reported adversely, with favorable Committee
    1-5  Substitute by the following vote:  Yeas 6, Nays 0; April 6, 1993,
    1-6  sent to printer.)
    1-7                            COMMITTEE VOTE
    1-8                          Yea     Nay      PNV      Absent 
    1-9        Whitmire                                      x    
   1-10        Brown              x                               
   1-11        Nelson             x                               
   1-12        Sibley             x                               
   1-13        Sims               x                               
   1-14        Turner             x                               
   1-15        West               x                               
   1-16  COMMITTEE SUBSTITUTE FOR S.B. No. 122                    By:  Brown
   1-17                         A BILL TO BE ENTITLED
   1-18                                AN ACT
   1-19  relating to the appraisal of certain property listed as security in
   1-20  an application for a bail bondsman license.
   1-21        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-22        SECTION 1.  Section 6, Chapter 550, Acts of the 63rd
   1-23  Legislature, Regular Session, 1973 (Article 2372p-3, Vernon's Texas
   1-24  Civil Statutes), is amended by amending Subsections (a) and (f) and
   1-25  adding Subsection (i) to read as follows:
   1-26        (a)  Any person desiring to act as a bondsman in any court of
   1-27  the county shall file with the County Bail Bond Board a sworn
   1-28  application for a license.  The application shall be in such form
   1-29  and shall contain such information as the board may prescribe
   1-30  including the following:
   1-31              (1)  The name, age, and address of the applicant, and
   1-32  if the applicant is a surety corporation, and whether chartered or
   1-33  admitted to do business in this state and qualified to write
   1-34  fidelity, guaranty, and surety bonds under the Texas Insurance
   1-35  Code, as amended;
   1-36              (2)  The name under which the business shall be
   1-37  conducted;
   1-38              (3)  The name of the place or places, including street
   1-39  address and city, wherein the business is to be conducted;
   1-40              (4)  A statement listing any nonexempt real estate
   1-41  owned by the applicant that the applicant intends to convey in
   1-42  trust to the board to secure payment of any obligations incurred by
   1-43  the applicant in the bonding business if the license is granted.
   1-44  The following shall be included for each parcel listed:
   1-45                    (A)  a legal description equivalent to the
   1-46  description required to convey the property by general warranty
   1-47  deed;
   1-48                    (B)  current statements from each taxing unit
   1-49  with power to assess or collect taxes against the property
   1-50  indicating that there are no outstanding tax liens against the
   1-51  property and indicating the net value of the property according to
   1-52  the current appraisal made by the local appraisal district <a real
   1-53  estate appraiser who is a member in good standing of a nationally
   1-54  recognized professional appraiser society or trade organization
   1-55  that has an established code of ethics, educational program, and
   1-56  professional certification program>, accompanied by a statement
   1-57  from the applicant agreeing to keep all taxes paid on the property
   1-58  while it remains in trust;
   1-59                    (C)  a statement of the applicant that he will
   1-60  not further encumber the property after conveying it in trust to
   1-61  the County Bail Bond Board, without notifying and obtaining the
   1-62  permission of the board;
   1-63                    (D)  an agreement to insure and keep current the
   1-64  insurance on any improvements on the property against any damage or
   1-65  destruction while the property remains in trust, in the full amount
   1-66  of the value claimed for the improvements;
   1-67                    (E)  a statement indicating whether the applicant
   1-68  is married and, if so, a sworn statement from the spouse agreeing
    2-1  to transfer to the board, as a part of the trust, any right, title,
    2-2  or interest that the spouse may have in the property; and the
    2-3  spouse must execute the deeds of trust to any community property
    2-4  placed in the security deposit required under this section;
    2-5              (5)  A statement indicating the amount of cash or cash
    2-6  value of any certificate of deposit or cashier's checks which the
    2-7  applicant intends to place on deposit with the county treasurer to
    2-8  secure payment of any obligations incurred by the applicant in the
    2-9  bonding business if the license is granted;
   2-10              (6)  A complete, sworn financial statement;
   2-11              (7)  A declaration by the applicant that he will comply
   2-12  with this Act and the rules prescribed by the board.
   2-13        (f)  Upon notice from the board that the application has been
   2-14  tentatively approved, the applicant shall then:
   2-15              (1)  deposit with the county treasurer of the county in
   2-16  which the license is to be issued a cashier's check, certificate of
   2-17  deposit, cash, or cash equivalent in the amount indicated by the
   2-18  applicant under Subdivision (5) of Subsection (a) of Section 6 of
   2-19  this Act but in no event less than $50,000 except in counties with
   2-20  populations of less than 250,000 persons by the most recent federal
   2-21  census, the amount for applicants in said counties shall be $10,000
   2-22  to be held in a special fund to be called the bail security fund;
   2-23  or
   2-24              (2)  execute in trust to the board deeds to the
   2-25  property listed by the applicant under Subdivision (4) of
   2-26  Subsection (a) of Section 6 of this Act, which property shall be
   2-27  valued in the amount indicated on an appraisal by the local
   2-28  appraisal district <a real estate appraiser who is a member in good
   2-29  standing of a nationally recognized professional appraiser society
   2-30  or trade organization that has an established code of ethics,
   2-31  educational program, and professional certification program>, but
   2-32  in no event less than $50,000 valuation, except in counties with
   2-33  populations of less than 250,000 persons by the most recent federal
   2-34  census, the amount for applicants in said counties shall be
   2-35  $10,000, the condition of the trust being that the property may be
   2-36  sold to satisfy any final judgment forfeitures that may be made in
   2-37  bonds on which the licensee is surety after such notice and upon
   2-38  such conditions as are required by the Code of Criminal Procedure,
   2-39  1965, as amended, in bond forfeiture cases; the board shall file
   2-40  the deeds of trust in the records of each county in which the
   2-41  property is located, and the applicant shall pay the filing fees.
   2-42              (3)  If the licensee is a corporation, it shall furnish
   2-43  to the sheriff an irrevocable letter of credit as a cash equivalent
   2-44  to satisfy any final judgment of forfeiture that may be made on any
   2-45  bonds on which the corporate licensee is surety.
   2-46        (i)  An applicant for a bail bondsman license may appeal the
   2-47  net value of real property listed under Subdivision (4) of
   2-48  Subsection (a) of this section by providing the board with a
   2-49  current appraisal of the property made by a real estate appraiser
   2-50  who is licensed or certified under the Texas Appraiser Licensing
   2-51  and Certification Act (Article 6573a.2, Vernon's Texas Civil
   2-52  Statutes) and its subsequent amendments.
   2-53        SECTION 2.  This Act takes effect September 1, 1993, and
   2-54  applies only to a license issued or renewed by a county bail bond
   2-55  board after that date.
   2-56        SECTION 3.  The importance of this legislation and the
   2-57  crowded condition of the calendars in both houses create an
   2-58  emergency   and   an   imperative   public   necessity   that   the
   2-59  constitutional rule requiring bills to be read on three several
   2-60  days in each house be suspended, and this rule is hereby suspended.
   2-61                               * * * * *
   2-62                                                         Austin,
   2-63  Texas
   2-64                                                         April 6, 1993
   2-65  Hon. Bob Bullock
   2-66  President of the Senate
   2-67  Sir:
   2-68  We, your Committee on Criminal Justice to which was referred S.B.
   2-69  No. 122, have had the same under consideration, and I am instructed
   2-70  to report it back to the Senate with the recommendation that it do
    3-1  not pass, but that the Committee Substitute adopted in lieu thereof
    3-2  do pass and be printed.
    3-3                                                         Whitmire,
    3-4  Chairman
    3-5                               * * * * *
    3-6                               WITNESSES
    3-7  No witnesses appeared on S.B. No. 122.