1-1 By: Parker S.B. No. 336
1-2 (In the Senate - Filed February 12, 1993; February 15, 1993,
1-3 read first time and referred to Committee on Economic Development;
1-4 February 23, 1993, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 11, Nays 0;
1-6 February 23, 1993, sent to printer.)
1-7 COMMITTEE VOTE
1-8 Yea Nay PNV Absent
1-9 Parker x
1-10 Lucio x
1-11 Ellis x
1-12 Haley x
1-13 Harris of Dallas x
1-14 Harris of Tarrant x
1-15 Leedom x
1-16 Madla x
1-17 Rosson x
1-18 Shapiro x
1-19 Wentworth x
1-20 COMMITTEE SUBSTITUTE FOR S.B. No. 336 By: Harris of Tarrant
1-21 A BILL TO BE ENTITLED
1-22 AN ACT
1-23 relating to prohibiting certain extensions of credit by retail
1-24 stores owned or operated by public institutions of higher
1-25 education.
1-26 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-27 SECTION 1. Subchapter Z, Chapter 51, Education Code, is
1-28 amended by adding Section 51.929 to read as follows:
1-29 Sec. 51.929. PROHIBITION AGAINST CERTAIN EXTENSIONS OF
1-30 CREDIT BY CERTAIN RETAIL STORES. (a) Except as provided by
1-31 Subsection (b) of this section, a retail store that is owned or
1-32 operated by an institution of higher education may not enter into a
1-33 transaction for the sale or lease of goods or services in which the
1-34 institution extends the credit of the state to the obligor.
1-35 (b) This section does not apply to an extension of credit to
1-36 a student for the purchase of books or other educational supplies
1-37 if the credit may be offset against undistributed grant or loan
1-38 funds that are held by the institution for the student or that the
1-39 institution is entitled to receive on behalf of the student. The
1-40 institution may not withhold grant or loan funds to require the
1-41 student to purchase books or educational supplies from a store that
1-42 it owns or operates.
1-43 (c) In this section, "institution of higher education" has
1-44 the meaning assigned by Section 61.003 of this code.
1-45 SECTION 2. This Act takes effect September 1, 1993, and
1-46 applies only to sales or leases that are made on or after that
1-47 date.
1-48 SECTION 3. The importance of this legislation and the
1-49 crowded condition of the calendars in both houses create an
1-50 emergency and an imperative public necessity that the
1-51 constitutional rule requiring bills to be read on three several
1-52 days in each house be suspended, and this rule is hereby suspended.
1-53 * * * * *
1-54 Austin,
1-55 Texas
1-56 February 23,
1-57 1993
1-58 Hon. Bob Bullock
1-59 President of the Senate
1-60 Sir:
1-61 We, your Committee on Economic Development to which was referred
1-62 S.B. No. 336, have had the same under consideration, and I am
1-63 instructed to report it back to the Senate with the recommendation
1-64 that it do not pass, but that the Committee Substitute adopted in
1-65 lieu thereof do pass and be printed.
1-66 Parker,
1-67 Chairman
1-68 * * * * *
2-1 WITNESSES
2-2 FOR AGAINST ON
2-3 ___________________________________________________________________
2-4 Name: James Raney x
2-5 Representing: Texas Retailers
2-6 City: Nacogdoches
2-7 -------------------------------------------------------------------
2-8 Name: Mickey Moore x
2-9 Representing: Texas Retailers Asson.
2-10 City: Austin
2-11 -------------------------------------------------------------------
2-12 Name: Robert Howden x
2-13 Representing: Nat'l Federation of Business
2-14 City: Austin
2-15 -------------------------------------------------------------------
2-16 Name: John Raney x
2-17 Representing: Texas Aggie Bookstore
2-18 City: College Station
2-19 -------------------------------------------------------------------