1-1  By:  Armbrister                                        S.B. No. 752
    1-2        (In the Senate - Filed March 9, 1993; March 10, 1993, read
    1-3  first time and referred to Committee on Finance; April 15, 1993,
    1-4  reported adversely, with favorable Committee Substitute by the
    1-5  following vote:  Yeas 11, Nays 0; April 15, 1993, sent to printer.)
    1-6                            COMMITTEE VOTE
    1-7                          Yea     Nay      PNV      Absent 
    1-8        Montford           x                               
    1-9        Turner             x                               
   1-10        Armbrister         x                               
   1-11        Barrientos         x                               
   1-12        Bivins             x                               
   1-13        Ellis              x                               
   1-14        Haley              x                               
   1-15        Moncrief           x                               
   1-16        Parker                                        x    
   1-17        Ratliff            x                               
   1-18        Sims                                          x    
   1-19        Truan              x                               
   1-20        Zaffirini          x                               
   1-21  COMMITTEE SUBSTITUTE FOR S.B. No. 752               By:  Armbrister
   1-22                         A BILL TO BE ENTITLED
   1-23                                AN ACT
   1-24  relating to the receipt, management, and expenditure of funds by
   1-25  state agencies and political subdivisions.
   1-26        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-27        SECTION 1.  Article 3, State Purchasing and General Services
   1-28  Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
   1-29  adding Section 3.33 to read as follows:
   1-30        Sec. 3.33.  CREDIT CARDS.  (a)  If authorized by rule adopted
   1-31  by the comptroller under Section 403.023, Government Code, the
   1-32  commission may contract with one or more credit card issuers for
   1-33  state agencies to use credit cards to pay for purchases.  The
   1-34  commission may not enter into a contract that conflicts with the
   1-35  comptroller's rules.
   1-36        (b)  This section does not apply to contracts regarding
   1-37  travel services or the use of credit cards to pay for travel
   1-38  services under Article 14 of this Act.
   1-39        (c)  In this section and notwithstanding Section 1.02 of this
   1-40  Act, "state agency" has the meaning assigned by Section 403.023(d),
   1-41  Government Code.
   1-42        SECTION 2.  Subsection (h), Section 3, Article 4348e, Revised
   1-43  Statutes, is amended to read as follows:
   1-44        (h)  The comptroller may adopt procedures and <shall
   1-45  promulgate> rules for the effective operation of the uniform
   1-46  statewide accounting system, including procedures and rules about
   1-47  the method used to calculate the net compensation of a state
   1-48  officer or employee.
   1-49        SECTION 3.  (a)  Subsection (c), Section 5, Chapter 720, Acts
   1-50  of the 66th Legislature, Regular Session, 1979 (Article 4413(33a),
   1-51  Vernon's Texas Civil Statutes), is repealed.
   1-52        (b)  Section 9, Chapter 720, Acts of the 66th Legislature,
   1-53  Regular Session, 1979 (Article 4413(33a), Vernon's Texas Civil
   1-54  Statutes), is repealed.
   1-55        (c)  Section 10, Chapter 720, Acts of the 66th Legislature,
   1-56  Regular Session, 1979 (Article 4413(33a), Vernon's Texas Civil
   1-57  Statutes), is amended to read as follows:
   1-58        Sec. 10.  APPLICATION.  Sections 4 through 8 <9> of this Act
   1-59  do not apply to the distribution of information that is required by
   1-60  law.
   1-61        SECTION 4.  Article 1.12, Title 79, Revised Statutes (Article
   1-62  5069-1.12, Vernon's Texas Civil Statutes), is amended to read as
   1-63  follows:
   1-64        Art. 1.12.  (a)  In a sales transaction for goods or services
   1-65  involving  the use of a credit card for an extension of credit, the
   1-66  seller may not impose a surcharge on the buyer because the buyer
   1-67  uses a credit card instead of cash, a check, or similar means of
   1-68  payment.
    2-1        (b)  Section (a) of this article does not apply to a state
    2-2  agency, county, local government, or other governmental entity that
    2-3  accepts credit cards for the payment of fees, taxes, and other
    2-4  charges.
    2-5        SECTION 5.  Subsection (d), Section 9, Texas Unemployment
    2-6  Compensation Act (Article 5221b-7, Vernon's Texas Civil Statutes),
    2-7  is amended to read as follows:
    2-8        (d)  If a warrant has been issued by the comptroller
    2-9  <Comptroller> in payment of benefits as provided under this Act<,>
   2-10  and <if> the claimant entitled to receive the <such> warrant
   2-11  furnishes proof satisfactory to the comptroller that the claimant
   2-12  has lost <or loses,> or for any reason failed <or fails> to receive
   2-13  the <such> warrant <after such warrant is or has been issued by the
   2-14  Comptroller, and upon satisfactory proof of such>, then the
   2-15  comptroller <Comptroller> may issue to the claimant a replacement
   2-16  <duplicate> warrant as provided <for> in Section 403.054,
   2-17  Government Code.  Notwithstanding Section 403.054, Government Code,
   2-18  the comptroller may not issue a replacement <Article 4365, Revised
   2-19  Civil Statutes of Texas, 1925, but in no event shall a duplicate>
   2-20  warrant <be issued> after one year from the date of the original
   2-21  warrant.
   2-22        The state treasurer may not pay a <If, after any> warrant
   2-23  that has been issued <by the Comptroller payable> to pay <a
   2-24  claimant for> benefits under the provisions of this Act unless the
   2-25  warrant is presented<, and such warrant shall have been lost or
   2-26  misplaced, or if  claimant for any reason fails or refuses to
   2-27  present said warrant> for payment within twelve <12> months after
   2-28  the date of issuance <of such warrant, such warrant shall be
   2-29  cancelled, and thereafter no payment shall be made by the Treasurer
   2-30  on such warrant, and no duplicate warrant in place thereof shall
   2-31  ever be issued>.
   2-32        SECTION 6.  Article 5999, Revised Statutes, is amended to
   2-33  read as follows:
   2-34        Art. 5999.  Depository of bonds.  Except as otherwise
   2-35  provided by this article or other law, the <The> bond of each
   2-36  officer who is required by law to give an official bond payable to
   2-37  the Governor or to the State shall be deposited with the
   2-38  Comptroller by the officer who approves the same.  The bond<,
   2-39  except that> of the Comptroller <which> shall be deposited with the
   2-40  Secretary of State.
   2-41        SECTION 7.  Subsection (b), Section 2, Chapter 22, Acts of
   2-42  the 57th Legislature, 3rd Called Session, 1962 (Article 6228a-5,
   2-43  Vernon's Texas Civil Statutes), is amended to read as follows:
   2-44        (b)  The comptroller or the governing board, as the case may
   2-45  be, may:
   2-46              (1)  reduce the salary of participants when authorized
   2-47  by participants <in writing> and shall apply the amount of the
   2-48  reduction to the purchase of annuity contracts or to contributions
   2-49  to any type of investment authorized in Section 403(b) of the
   2-50  Internal Revenue Code of 1954, as it existed on January 1, 1981,
   2-51  the exclusive control of which will vest in the participants; and
   2-52              (2)  develop a system to allow or require participants
   2-53  to electronically authorize:
   2-54                    (A)  participation under this Act;
   2-55                    (B)  purchases of annuity contracts; and
   2-56                    (C)  contributions to investments.
   2-57        SECTION 8.  Subsection (a), Section 2, Chapter 269, Acts of
   2-58  the 65th Legislature, Regular Session, 1977 (Article 6243e.3,
   2-59  Vernon's Texas Civil Statutes), is amended to read as follows:
   2-60        (a)  The <A> Fire Fighters' Relief and Retirement Fund is
   2-61  created as a trust fund with the state treasurer.
   2-62        SECTION 9.  Section 14, Chapter 269, Acts of the 65th
   2-63  Legislature, Regular Session, 1977 (Article 6243e.3, Vernon's Texas
   2-64  Civil Statutes), is amended by adding Subsection (f) to read as
   2-65  follows:
   2-66        (f)  When investing the surplus of the fund, the commissioner
   2-67  and the trustees are a governing body of a public retirement system
   2-68  for the purpose of Section 802.205, Government Code.
   2-69        SECTION 10.  Sections 1, 2, 3, and 4, Chapter 603, Acts of
   2-70  the 51st Legislature, Regular Session, 1949 (Article 6252-3,
    3-1  Vernon's Texas Civil Statutes), are amended to read as follows:
    3-2        Sec. 1.  Whenever any officer or employee of the State of
    3-3  Texas, or of any county or other political subdivision or municipal
    3-4  corporation therein, shall voluntarily authorize <in writing> his
    3-5  or her department head, in case such person is a state officer or
    3-6  employee, or the disbursing officer of the county or other
    3-7  political subdivision or municipal corporation, in case such person
    3-8  is an officer or employee of the county or other political
    3-9  subdivision or municipal corporation, to withhold a specified
   3-10  portion of his or her salary or compensation for the purpose of
   3-11  purchasing United States Savings Bonds, said department head or
   3-12  disbursing officer, as the case may be, may withhold from such
   3-13  person's salary or compensation for the period and in the amount
   3-14  stated in the authorization, each and every payday during such
   3-15  period, unless such authorization is terminated as hereinafter
   3-16  provided.  Such withholding shall be effected by deducting the
   3-17  amount so authorized on the payroll of such department, county,
   3-18  political subdivision or municipal corporation when presented to
   3-19  the Comptroller of Public Accounts or other disbursing officer, as
   3-20  the case may be, for warrants to be issued or funds transferred in
   3-21  payment thereof.
   3-22        Sec. 2.  The Comptroller of Public Accounts shall prescribe
   3-23  the proper form of payroll for State officers and employees in
   3-24  order to comply with this purpose. The disbursing officer of the
   3-25  county or other political subdivision or municipal corporation
   3-26  referred to herein shall, for the same purpose, prescribe the
   3-27  proper form of payroll for the officers and employees thereof.
   3-28  When such payroll is presented to the Comptroller or other
   3-29  disbursing officer, as the case may be, for payment, a warrant
   3-30  shall issue to each officer or employee, whose name appears
   3-31  thereon, for the full amount of his or her salary less the amount
   3-32  deducted for the purpose of purchasing United States Savings Bonds,
   3-33  and a warrant shall issue to the State Department head or to the
   3-34  disbursing officer referred to herein, as the case may be, for the
   3-35  total amount deducted for all officers or employees for the current
   3-36  payroll period.  The warrant for said total deduction shall be
   3-37  deposited with the State Treasurer, or with the official Treasurer
   3-38  of the county or other political subdivision or municipal
   3-39  corporation, as the case may be, in trust to be held by said
   3-40  officer until disbursed by said department head or disbursing
   3-41  officer, as the case may be, for the purchase of United States
   3-42  Savings Bonds for the individual designated in said authorization
   3-43  filed with said department head or disbursing officer.  Said trust
   3-44  account shall be designated as "War Bond Payroll Savings Account,"
   3-45  and funds deposited therein shall be paid out by said Treasurer on
   3-46  proper warrants drawn by said department head or disbursing
   3-47  officer, as the case may be.  When this section requires a written
   3-48  authorization, the authorization may instead be accomplished
   3-49  through electronic means.  When this section requires a
   3-50  disbursement, deposit, or purchase to be made by warrant, the
   3-51  disbursement, deposit, or purchase may instead be made through
   3-52  electronic means.
   3-53        Sec. 3.  The department head or disbursing officer, as the
   3-54  case may be, shall use such funds so withheld and so deposited in
   3-55  trust for the purpose of purchasing United States Savings Bonds of
   3-56  the denomination designated and authorized in said <written>
   3-57  authorization, whenever such person shall have a sufficient sum of
   3-58  such withheld sums to pay for such bond, and shall immediately
   3-59  deliver the bond to the person entitled thereto or shall mail the
   3-60  same to the address designated by such person in said <written>
   3-61  authorization.  Said department head or disbursing officer, as the
   3-62  case may be, shall keep proper records at all times showing
   3-63  itemization of moneys so withheld and disbursed by him in
   3-64  compliance with this Act.
   3-65        Sec. 4.  The head of any State Department or the disbursing
   3-66  officer of any county or other political subdivision or municipal
   3-67  corporation of the State of Texas shall cease to withhold any of
   3-68  the above-mentioned funds from any of said salaries or
   3-69  compensations under said <written> authorization upon the happening
   3-70  of any of the following: (a)  Termination of employment.
    4-1        (b)  Notice <Written notice> of cancellation of such former
    4-2  authorization.
    4-3        (c)  Termination of the arrangement for withholding of such
    4-4  funds by the State Department heads or disbursing officers, as the
    4-5  case may be.
    4-6        Upon such termination, the money, if any, so withheld, which
    4-7  has not been invested in bonds, shall be immediately remitted by
    4-8  proper warrant or electronic means to the officer or employee from
    4-9  whose salary or compensation such money has been withheld.
   4-10        SECTION 11.  Sections 1.36, 1.42, 1.43, 2.45, 2.50, and 2.51,
   4-11  Article 6252-3g, Revised Statutes, are amended to read as follows:
   4-12        Sec. 1.36.  RULEMAKING.  The Employees Retirement System may
   4-13  adopt rules, regulations, plans, procedures, and orders necessary
   4-14  to carry out the purposes of this subpart including:
   4-15              (1)  the selection and regulation of vendors of
   4-16  investment products;
   4-17              (2)  the regulation of practices of agents or salesmen
   4-18  employed by vendors of investment products;
   4-19              (3)  the disclosure of information concerning
   4-20  investment products;
   4-21              (4)  the regulation of advertising materials to be used
   4-22  by vendors of investment products; <and>
   4-23              (5)  the development of a system to facilitate the
   4-24  electronic authorization, distribution, transfer, and investment of
   4-25  deferrals; and
   4-26              (6)  the submission of financial information by a
   4-27  vendor.
   4-28        Sec. 1.42.  CONTRACT FOR DEFERMENT.  The Employees Retirement
   4-29  System may contract with an employee of a participating state
   4-30  agency for the deferment of any part of the employee's
   4-31  compensation.  As part of the contract, the employee must consent
   4-32  to automatic payroll deductions in an amount equal to the part
   4-33  deferred.  The employee may change the amount deferred from the
   4-34  employee's compensation by notifying the plan administrator in
   4-35  accordance with the plan administrator's requirements <writing>.
   4-36        Sec. 1.43.  INVESTMENT AND TRANSFER.  After the execution of
   4-37  the contract between the Employees Retirement System or the
   4-38  Employees Retirement System's designee and an employee, the plan
   4-39  administrator shall:
   4-40              (1)  invest the employee's deferrals and investment
   4-41  income in the qualified investment products designated <in writing>
   4-42  by the employee; and
   4-43              (2)  promptly transfer the employee's deferrals and
   4-44  investment income from one qualified investment product to another
   4-45  in accordance with the plan administrator's requirements <on the
   4-46  employee's written request>.
   4-47        Sec. 2.45.  RULEMAKING.  The Employees Retirement System may
   4-48  adopt rules, regulations, plans, procedures, and orders necessary
   4-49  to carry out the purposes of this subpart including:
   4-50              (1)  the selection and regulation of vendors of
   4-51  investment products;
   4-52              (2)  the regulation of practices of agents or salesmen
   4-53  employed by vendors of investment products;
   4-54              (3)  the disclosure of information concerning
   4-55  investment products;
   4-56              (4)  the regulation of advertising materials to be used
   4-57  by vendors of investment products; <and>
   4-58              (5)  the development of a system to facilitate the
   4-59  electronic authorization, distribution, transfer, and investment of
   4-60  deferrals; and
   4-61              (6)  the submission of financial information by a
   4-62  vendor.
   4-63        Sec. 2.50.  CONTRACT FOR DEFERMENT.  The Employees Retirement
   4-64  System may contract with an employee of a participating state
   4-65  agency for the deferment of any part of the employee's
   4-66  compensation.  As part of the contract, the employee must consent
   4-67  to automatic payroll deductions in an amount equal to the part
   4-68  deferred.  The employee may change the amount deferred from the
   4-69  employee's compensation by notifying the plan administrator or the
   4-70  plan administrator's designee in accordance with the plan
    5-1  administrator's requirements <writing>.
    5-2        Sec. 2.51.  INVESTMENT AND TRANSFER.  After the execution of
    5-3  the contract between the Employees Retirement System or the
    5-4  Employees Retirement System's designee and an employee, the plan
    5-5  administrator shall:
    5-6              (1)  invest the employee's deferrals and investment
    5-7  income in the qualified investment products designated <in writing>
    5-8  by the employee; and
    5-9              (2)  promptly transfer the employee's  deferrals and
   5-10  investment income from one qualified investment product to another
   5-11  in accordance with the plan administrator's requirements <on the
   5-12  employee's written request>.
   5-13        SECTION 12.  Subsections (c), (d), (l), and (m), Section 14,
   5-14  Administrative Procedure and Texas Register Act (Article 6252-13a,
   5-15  Vernon's Texas Civil Statutes), are amended to read as follows:
   5-16        (c)  On its own motion or on the written request of any party
   5-17  to a contested case pending before it, on a showing of good cause,
   5-18  and on deposit of sums that will reasonably insure payment of the
   5-19  amounts estimated to accrue under Subsections (l) and (m) <(1) and
   5-20  (2)> of this section, an agency shall issue a subpoena addressed to
   5-21  the sheriff or any constable to require the attendance of witnesses
   5-22  and the production of books, records, papers, or other objects as
   5-23  may be necessary and proper for the purposes of the proceedings.
   5-24        (d)  On its own motion or on the written request of any party
   5-25  to a contested case pending before it and on deposit of sums that
   5-26  will reasonably insure payment of the amounts estimated to accrue
   5-27  under Subsections (l) and (m) <(1) and (2)> of this section, an
   5-28  agency shall issue a commission, addressed to the several officers
   5-29  authorized by statute to take depositions, to require that the
   5-30  deposition of a witness be taken, which commission shall authorize
   5-31  the issuance of any subpoenas necessary to require that the witness
   5-32  appear and produce, at the time the deposition is taken, books,
   5-33  records, papers, or other objects as may be necessary and proper
   5-34  for the purposes of the proceeding.  The deposition of a member of
   5-35  an agency board may not be taken after a date has been set for
   5-36  hearing.
   5-37        (l)  A witness or deponent who is not a party and who is
   5-38  subpoenaed or otherwise compelled to attend any hearing or
   5-39  proceeding to give a deposition or to produce books, records,
   5-40  papers, or other objects that may be necessary and proper for the
   5-41  purposes of the proceeding under the authority of this section is
   5-42  entitled to receive:
   5-43              (1)(A)  mileage of 10 cents a mile, or a greater amount
   5-44  as prescribed by agency rule, for going to, and returning from the
   5-45  place of the hearing or the place where the deposition is taken, if
   5-46  the place is more than 25 miles from the person's place of
   5-47  residence and if the person uses the person's personally owned or
   5-48  leased motor vehicle for the travel; or
   5-49                    (B)  reimbursement of the transportation expenses
   5-50  of the witness or deponent while  going to and returning from the
   5-51  place of the hearing or the place where the deposition is taken, if
   5-52  the place is more than 25 miles from the person's place of
   5-53  residence and if the person does not use the person's personally
   5-54  owned or leased motor vehicle for the travel;
   5-55              (2)  reimbursement of the meal and lodging expenses of
   5-56  the witness or deponent while going to and returning from the place
   5-57  of the hearing or the place where the deposition is taken, if the
   5-58  place is more than 25 miles from the person's place of residence;
   5-59  and
   5-60              (3) <(2)>  a fee of $10 a day, or a greater amount as
   5-61  prescribed by agency rule, for each day or part of a day the person
   5-62  is necessarily present as a witness or deponent.
   5-63        (m)(l)  The mileage, transportation, meal, and lodging
   5-64  expenses <Mileage> and the fees that must be reimbursed or paid <to
   5-65  which a witness is entitled> under this section shall be paid or
   5-66  reimbursed by the party or agency at whose request the witness or
   5-67  deponent appears or the deposition is taken.  When an agency is
   5-68  required to make a payment or reimbursement the agency must present
   5-69  <, on presentation of proper> vouchers to the comptroller that have
   5-70  been sworn by the witness or deponent and approved by the agency in
    6-1  accordance with Article 6252-31, Revised Statutes, as added by
    6-2  Section 35, Chapter 641, Acts of the 72nd Legislature, Regular
    6-3  Session, 1991.
    6-4              (2)  An agency may directly pay a commercial
    6-5  transportation company for the transportation expenses and a
    6-6  commercial lodging establishment for the lodging expenses of a
    6-7  witness or deponent if this section otherwise requires the agency
    6-8  to reimburse the witness or deponent for those expenses.
    6-9              (3)  An agency may not pay a commercial transportation
   6-10  company or commercial lodging establishment or reimburse a witness
   6-11  or deponent for transportation, meals, or lodging expenses under
   6-12  this section at rates that exceed the maximum rates provided by law
   6-13  for state employees.  An agency may not adopt rules that provide
   6-14  for payment or reimbursement rates that exceed those maximum rates.
   6-15              (4)  In this subsection:
   6-16                    (A)  "Commercial lodging establishment" means a
   6-17  motel, hotel, inn, apartment, or similar entity that offers lodging
   6-18  to the public in exchange for compensation.
   6-19                    (B)  "Commercial transportation company" means an
   6-20  entity that offers transportation of people or goods to the public
   6-21  in exchange for compensation.
   6-22        SECTION 13.  Section 1, Chapter 220, Acts of the 42nd
   6-23  Legislature, Regular Session, 1931 (Article 6252-21, Vernon's Texas
   6-24  Civil Statutes), is amended to read as follows:
   6-25        Sec. 1.  Whoever uses an automobile or truck owned by this
   6-26  State for any purpose shall make a written report of such use to
   6-27  the Head of the Department, Institution, Board, Commission or other
   6-28  Agency of this State having charge of such automobile or truck,
   6-29  such reports to be made daily when such vehicles are in use, a
   6-30  separate report being made for each day, and such reports shall be
   6-31  made on forms prescribed by the General Services Commission
   6-32  <comptroller>.  Such reports shall show the purpose for which such
   6-33  vehicle was used, the mileage traveled, the amounts of gasoline and
   6-34  oil consumed, the passengers carried, and such other information as
   6-35  may be necessary to provide a proper record of the use of such
   6-36  vehicle.  Said reports shall be official records of the State and
   6-37  shall be subject to inspection by any official of this State who
   6-38  shall be authorized to audit or inspect claims, accounts or records
   6-39  of any State Department, Institution, Board, Commission or Agency
   6-40  of the State.
   6-41        SECTION 14.  Subdivision (5), Section 1, Article 6252-31,
   6-42  Revised Statutes, as added by Section 35, Chapter 641, Acts of the
   6-43  72nd Legislature, Regular Session, 1991, is amended to read as
   6-44  follows:
   6-45              (5)  "State agency" means a department, board,
   6-46  commission, committee, council, agency, office, or other entity
   6-47  that is in the executive, legislative, or judicial branch of state
   6-48  government.  The term includes an institution of higher education
   6-49  as defined by Section 61.003, Education Code.  The term excludes <a
   6-50  public junior college and> an entity the jurisdiction of which is
   6-51  limited to a geographical portion of the state.
   6-52        SECTION 15.  Section 6, Article 6252-31, Revised Statutes, as
   6-53  added by Section 35, Chapter 641, Acts of the 72nd Legislature,
   6-54  Regular Session, 1991, is amended by adding Subsection (d) to read
   6-55  as follows:
   6-56        (d)  A system for the electronic submission and approval of
   6-57  vouchers may provide for the secretary of state to approve the
   6-58  comptroller's account electronically.
   6-59        SECTION 16.  Chapter 16, Acts of the 67th Legislature,
   6-60  Regular Session, 1981 (Article 6813e, Vernon's Texas Civil
   6-61  Statutes), is amended by adding Section 2A to read as follows:
   6-62        Sec. 2A.  COMPTROLLER DETERMINES PRIORITY.  The comptroller
   6-63  may determine by rule the priority of deductions to the extent that
   6-64  the laws, regulations, and rules of this state and the federal
   6-65  government do not otherwise specify the priority.  This section
   6-66  applies only to the compensation paid by a state governmental body.
   6-67        SECTION 17.  Subsection (a), Section 22.001, Civil Practice
   6-68  and Remedies Code, is amended to read as follows:
   6-69        (a)  Except as provided in Section 22.002, a <A> witness is
   6-70  entitled to:
    7-1              (1)  one dollar for each day the  witness attends
    7-2  court; and
    7-3              (2)  six cents for each mile the witness travels in
    7-4  going to and returning from court.
    7-5        SECTION 18.  Subchapter A, Chapter 22, Civil Practice and
    7-6  Remedies Code, is amended by adding Section 22.002 to read as
    7-7  follows:
    7-8        Sec. 22.002.  FEES FOR WITNESSES SUMMONED BY A STATE AGENCY.
    7-9  (a)  In this section:
   7-10              (1)  "Commercial lodging establishment" means a motel,
   7-11  hotel, inn, apartment, or similar entity that offers lodging to the
   7-12  public in exchange for compensation.
   7-13              (2)  "Commercial transportation company" means an
   7-14  entity that offers transportation of people or goods to the public
   7-15  in exchange for compensation.
   7-16        (b)  A witness summoned by a state agency is entitled to
   7-17  receive from the agency:
   7-18              (1)  one dollar for each day the witness attends court;
   7-19              (2)  mileage at the rate provided by law for state
   7-20  employees if the witness uses the witness's personally owned or
   7-21  leased motor vehicle to attend court;
   7-22              (3)  reimbursement of the witness's transportation
   7-23  expenses if the witness does not use the witness's personally owned
   7-24  or leased motor vehicle to attend court; and
   7-25              (4)  reimbursement of the witness's meal and lodging
   7-26  expenses while attending court if the court is at least 25 miles
   7-27  from the witness's place of residence.
   7-28        (c)  A state agency may directly pay a commercial
   7-29  transportation company for the transportation expenses and a
   7-30  commercial lodging establishment for the lodging expenses of a
   7-31  witness if this section otherwise requires the agency to reimburse
   7-32  the witness for those expenses.
   7-33        (d)  A state agency may not pay a commercial transportation
   7-34  company or a commercial lodging establishment or reimburse a
   7-35  witness for transportation, meal, or lodging expenses under this
   7-36  section at rates that exceed the maximum rates provided by law for
   7-37  state employees.
   7-38        (e)  After receiving the witness's affidavit, the court clerk
   7-39  shall issue a certificate stating the fees incurred under this
   7-40  section.
   7-41        (f)  The witness fees must be taxed in the bill of costs as
   7-42  other costs.
   7-43        SECTION 19.  Article 35.27, Code of Criminal Procedure, is
   7-44  amended by amending Sections 1, 2, 3, 4, 7, and 9 and by adding
   7-45  Section 2A to read as follows:
   7-46        Sec. 1.  Expenses for Nonresident Witnesses.  (a)  Every
   7-47  person subpoenaed by either party or otherwise required or
   7-48  requested in writing by the prosecuting attorney or the court to
   7-49  appear for the purpose of giving testimony in a criminal proceeding
   7-50  who resides outside the state <State> or the county in which the
   7-51  prosecution is pending shall be reimbursed <compensated> by the
   7-52  state <State> for the reasonable and necessary transportation,
   7-53  meals, and lodging <travel and daily living> expenses he incurs by
   7-54  reason of his attendance as a witness at such proceeding.
   7-55        (b)  The state may reimburse a witness for transportation
   7-56  only if the transportation is provided by a  commercial
   7-57  transportation company or is via the witness's personally owned or
   7-58  leased motor vehicle.  In this article, "commercial transportation
   7-59  company" means an entity that offers transportation of people or
   7-60  goods to the public in exchange for compensation.
   7-61              (3)  The state may reimburse a witness for lodging only
   7-62  if the lodging is provided by a commercial lodging establishment.
   7-63  In this article, "commercial lodging establishment" means a motel,
   7-64  hotel, inn, apartment, or similar entity that offers lodging to the
   7-65  public in exchange for compensation.
   7-66        Sec. 2.  AMOUNT OF REIMBURSEMENT <COMPENSATION> FOR EXPENSES.
   7-67  Any person seeking reimbursement <compensation> as a witness shall
   7-68  make an affidavit setting out the transportation, meal, and lodging
   7-69  <travel and daily living> expenses necessitated by his travel to
   7-70  and from and attendance at the place he appeared to give testimony,
    8-1  together with the number of days that such travel and attendance
    8-2  made him absent from his place of residence.  A reimbursement
    8-3  <Compensation> paid by the state <State> to a <the> witness for
    8-4  transportation, meal, or lodging <such> expenses may <shall> not be
    8-5  paid at rates that exceed the maximum rates provided by law for
    8-6  state employees <exceed $50 per day for daily living expenses and
    8-7  16 cents per mile for travel by personal automobile>.
    8-8        Sec. 2A.  DIRECT PAYMENT OF TRANSPORTATION OR LODGING
    8-9  EXPENSES.  When this article requires the state to reimburse a
   8-10  witness for transportation or lodging expenses, the state may
   8-11  instead directly pay a commercial transportation company or
   8-12  commercial lodging establishment for those expenses.
   8-13        Sec. 3.  Other Expenses.  In addition to reimbursement or
   8-14  payment <compensation> for transportation, meal, and lodging
   8-15  expenses <travel and living expenses>, the comptroller <Comptroller
   8-16  of Public Accounts>, upon proper application by the attorney for
   8-17  the state <State>, shall reimburse or pay the <such> other expenses
   8-18  <as may be> required by the laws of this state <State> or the state
   8-19  from which the attendance of the witness is sought.
   8-20        Sec. 4.  Application and Approval by Judge.  A reimbursement
   8-21  <Compensation> to a witness <witnesses> as provided <for> in this
   8-22  article <Article> shall be paid by the state <State> to the witness
   8-23  or his assignee.  Claim shall be made by sworn application to the
   8-24  comptroller <Comptroller of Public Accounts>, a copy of which shall
   8-25  be filed with the clerk of the court, setting out the facts showing
   8-26  entitlement as provided in this article <Article> to the
   8-27  reimbursement <compensation>, which application shall be presented
   8-28  for approval by the judge who presided over the court or empaneled
   8-29  the grand jury before whom the criminal proceeding was pending.  No
   8-30  fee shall be required of any witness for the processing of his
   8-31  claim for reimbursement <compensation>.
   8-32        Sec. 7.  Advance by County.  The county in which a criminal
   8-33  proceeding is pending, upon request of the district attorney or
   8-34  other prosecutor charged with the duty of prosecution in the
   8-35  proceeding, may advance funds from its treasury to any witness who
   8-36  will be entitled to reimbursement <compensation> under this
   8-37  article.  The amount advanced may not exceed the amount that is
   8-38  <Article in such amounts as may be> reasonably necessary to enable
   8-39  the witness to attend as required or requested.  However, the
   8-40  amount advanced may include<, including any> sums in excess of the
   8-41  reimbursement <compensation> provided for by this article if the
   8-42  excess is <Article which are> required for compliance with Section
   8-43  4 of Article 24.28 in securing the attendance of a witness from
   8-44  another state under the Uniform Act.  A county that advances funds
   8-45  to a witness under this section is<, and upon any such advance or
   8-46  advances, the county shall be> entitled to reimbursement by the
   8-47  state <State,> as an assignee of the <compensation due a> witness
   8-48  <from the State>.
   8-49        Sec. 9.  Limitations.  A witness, when attached and conveyed
   8-50  by a sheriff or other officer, is <shall> not eligible to receive
   8-51  reimbursement of transportation, meal, or lodging expenses incurred
   8-52  <be entitled to receive compensation> while in the custody of the
   8-53  officer.  A <such officers and the> court, in its discretion, may
   8-54  limit the number of character witnesses allowed reimbursement under
   8-55  <compensation pursuant to> this article <Article> to not fewer
   8-56  <less> than two for each defendant and two per defendant for the
   8-57  state <State>.
   8-58        SECTION 20.  Subsections (a) and (c), Section 51.005,
   8-59  Education Code, are amended to read as follows:
   8-60        (a)  True and full accounts shall be kept by the governing
   8-61  board and by the employees of the institution of all funds
   8-62  collected from all sources and of all sums paid out and the persons
   8-63  to whom and the purposes for which the sums are paid.  The
   8-64  governing board shall annually<, between September 1 and January
   8-65  1,> print a complete report of all the sums collected, all
   8-66  expenditures, and all sums remaining on hand.  The report shall
   8-67  show the true condition of all funds as of the August 31 preceding
   8-68  as well as the collections and expenditures for the preceding year.
   8-69        (c)  The governing board shall furnish one copy of the report
   8-70  each to the governor, comptroller of public accounts, state
    9-1  auditor, Texas Higher Education Coordinating Board, Legislative
    9-2  Budget Board, House Appropriations Committee, Senate Finance
    9-3  Committee, and Legislative Reference Library.  A copy of the report
    9-4  shall be submitted to the comptroller by the deadline established
    9-5  by the comptroller or the General Appropriations Act as necessary
    9-6  to prepare an audited comprehensive financial report.  The
    9-7  governing board shall retain five copies of the report for
    9-8  distribution to legislators or other state officials on request.
    9-9        SECTION 21.  Subsection (f), Section 57.48, Education Code,
   9-10  is amended to read as follows:
   9-11        (f)(1)  This subsection applies when a payment is made to a
   9-12  person other than through the comptroller's issuance of a warrant
   9-13  or the comptroller's use of an electronic funds transfer system.
   9-14              (2)  A state agency may not use funds inside or outside
   9-15  the state treasury to pay a person if <the agency knows that> the
   9-16  person is in default on a loan guaranteed under this chapter.
   9-17              (3)  This subsection does not prohibit a state agency
   9-18  from paying the assignee of a person who is in default on a loan
   9-19  guaranteed under this chapter if the assignment became effective
   9-20  before the person defaulted.
   9-21              (4)  This subsection does not prohibit a state agency
   9-22  from paying the compensation of a state officer or employee.
   9-23              (5)  The comptroller may not reimburse a state agency
   9-24  for a payment that is made in violation of this subsection.
   9-25        SECTION 22.  Subsection (b), Section 403.001, Government
   9-26  Code, is amended by adding Subdivision (5) to read as follows:
   9-27              (5)  "Cash Management Improvement Act" means the
   9-28  federal Cash Management Improvement Act of 1990 (31 U.S.C. Section
   9-29  6503).
   9-30        SECTION 23.  Section 403.005, Government Code, is amended to
   9-31  read as follows:
   9-32        Sec. 403.005.  Approval of Accounts.  (a)  The comptroller's
   9-33  account against the state may not be sent to the treasurer until
   9-34  the secretary of state approves it.
   9-35        (b)  The secretary of state may provide electronic approval
   9-36  of the comptroller's account if:
   9-37              (1)  the comptroller establishes a system for the
   9-38  electronic submission and approval of vouchers as authorized by
   9-39  Article 6252-31, Revised Statutes, as added by Section 35, Chapter
   9-40  641, Acts of the 72nd Legislature, Regular Session, 1991; and
   9-41              (2)  the system is designed for the secretary of state
   9-42  to provide electronic approval of the comptroller's account.
   9-43        SECTION 24.  Subsection (c), Section 403.013, Government
   9-44  Code, is amended to read as follows:
   9-45        (c)  On the last day of February of each year, in addition to
   9-46  the reports required by the constitution and this section, the
   9-47  comptroller shall exhibit to the governor an audited comprehensive
   9-48  annual <a report including:>
   9-49              <(1)  a statewide> financial report <covering all state
   9-50  agencies, prepared in accordance with generally accepted accounting
   9-51  principles,> that includes <financial information of> all state
   9-52  agencies determined to be part of the statewide reporting entity
   9-53  and is prepared in accordance with generally accepted accounting
   9-54  principles as prescribed or modified in pronouncements of <defined
   9-55  by> the Governmental Accounting Standards Board<;>
   9-56              <(2)  the outstanding encumbrances of all those state
   9-57  agencies;>
   9-58              <(3)  the spending authority of those state agencies;>
   9-59              <(4)  all major funds, pension funds, and other funds
   9-60  of those state agencies;>
   9-61              <(5)  a summary of financial information for all state
   9-62  funds held outside the treasury;>
   9-63              <(6)  the status of all outstanding major revenue fund
   9-64  appropriation accounts by agency and appropriation account; and>
   9-65              <(7)  any other information required by the governor,
   9-66  comptroller, state treasurer, state auditor, or legislative budget
   9-67  board>.
   9-68        SECTION 25.  Section 403.016, Government Code, is amended to
   9-69  read as follows:
   9-70        Sec. 403.016.  Electronic Funds Transfer.  (a)  The <Except
   10-1  as provided by Subsection (b), the> comptroller shall establish and
   10-2  operate an electronic funds transfer system in accordance with this
   10-3  section.  The comptroller may use the services of financial
   10-4  institutions, automated clearinghouses, and the federal government
   10-5  while establishing and operating the system.
   10-6        (b)  The comptroller shall use the electronic funds transfer
   10-7  system to pay an employee's net state salary and travel expense
   10-8  reimbursements unless:
   10-9              (1)  the employee does not hold a classified position
  10-10  under the state's position classification plan and the employee's
  10-11  gross state salary is less than the gross state salary for a
  10-12  position classified in group 8, step 1 of the state position
  10-13  classification plan; or
  10-14              (2)  the employee holds a classified position under the
  10-15  state's position classification plan that is classified below group
  10-16  8.
  10-17        (c)  The comptroller shall use the electronic funds transfer
  10-18  system to make <and transfer directly into payees' accounts in
  10-19  financial institutions only:>
  10-20              <(1)  employees' gross state salaries, less deductions
  10-21  specifically authorized by state or federal law, or reimbursement
  10-22  for employees' travel and subsistence>;
  10-23              (1) <(2)>  payments of more than $100 to annuitants by
  10-24  the Employees Retirement System of Texas or the Teacher Retirement
  10-25  System of Texas under either system's administrative jurisdiction;
  10-26              (2) <(3)>  recurring payments to municipalities,
  10-27  counties, political subdivisions, special districts, and other
  10-28  governmental entities of this state; and
  10-29              (3) <(4)>  payments to vendors designated by the
  10-30  comptroller.
  10-31        (d)  If the comptroller is not required by this section to
  10-32  use the electronic funds transfer system to pay a person, then the
  10-33  comptroller may use the system to pay the person upon the person's
  10-34  request <(b)  An employee, annuitant, or vendor may be paid by
  10-35  warrant drawn by the comptroller on the state treasury instead of
  10-36  by electronic funds transfer if:>
  10-37              <(1)  the employee holds a classified position under
  10-38  the state's position classification plan, the position is
  10-39  classified below salary group 8 under the classification salary
  10-40  schedule prescribed by the General Appropriations Act, and the
  10-41  employee makes a written request for payment by warrant; or>
  10-42              <(2)  the employee, annuitant, or vendor shows that he
  10-43  or she cannot establish a qualifying account for electronic funds
  10-44  transfer>.
  10-45        (e) <(c)>  The comptroller may use the <also establish and
  10-46  operate an> electronic funds transfer system to transfer directly
  10-47  any portion of employees' gross state salaries into employees'
  10-48  accounts in a money market mutual fund established in the Texas
  10-49  Treasury Safekeeping Trust Company.
  10-50        (f)  Except as provided in Subsection (e), the comptroller
  10-51  may use the electronic funds transfer system to deposit payments
  10-52  only to a payee's account at a financial institution.  <(d)>  A
  10-53  single electronic funds transfer may contain payments to multiple
  10-54  payees.  Individual transfers or warrants are not required for each
  10-55  payee.  <The comptroller shall establish procedures for
  10-56  administering the system and may use the services of financial
  10-57  institutions, automated clearinghouses, and the federal
  10-58  government.>
  10-59        (g) <(e)>  When a law requires the comptroller to make a
  10-60  payment by warrant, the comptroller may instead make the payment
  10-61  through the <an> electronic funds transfer system.  The
  10-62  comptroller's use of the <an> electronic funds transfer system or
  10-63  any other payment means does not create a right that would not have
  10-64  been created if a <state> warrant had been issued <used>.
  10-65        (h)  Notwithstanding any requirement in this section to make
  10-66  a payment through the electronic funds transfer system, the
  10-67  comptroller must issue a warrant to pay a person if:
  10-68              (1)  the person properly notifies the comptroller that:
  10-69                    (A)  receiving the payment by electronic funds
  10-70  transfer would be impractical to the person;
   11-1                    (B)  receiving the payment by electronic funds
   11-2  transfer would be more costly to the person than receiving the
   11-3  payment by warrant; or
   11-4                    (C)  the person is unable to establish a
   11-5  qualifying account at a financial institution to receive electronic
   11-6  funds transfers; or
   11-7              (2)  the state agency on whose behalf the comptroller
   11-8  makes the payment properly notifies the comptroller that:
   11-9                    (A)  making the payment by electronic funds
  11-10  transfer would be impractical to the agency; or
  11-11                    (B)  making the payment by electronic funds
  11-12  transfer would be more costly to the agency than making the payment
  11-13  by warrant.
  11-14        (i) <(f)>  Notwithstanding any requirement in this section to
  11-15  make a payment through the electronic funds transfer system <the
  11-16  provisions of this section>, the comptroller may make a payment by
  11-17  warrant if the comptroller determines that:
  11-18              (1)  using <where> the <use of> electronic funds
  11-19  transfer system would be <is> impractical to the state; or
  11-20              (2)  <where> the cost to the state of using the
  11-21  electronic funds transfer system would exceed the cost of issuing a
  11-22  <use of the> warrant.
  11-23        (j)  The comptroller shall adopt rules to administer this
  11-24  section, including rules about the notifications that may be
  11-25  provided to the comptroller under Subsection (h).
  11-26        SECTION 26.   Subsections (a) and (b), Section 403.0165,
  11-27  Government Code, is amended to read as follows:
  11-28        (a)  An employee of a state agency may authorize <in writing>
  11-29  a transfer each pay period from the employee's salary or wage
  11-30  payment for a membership fee in an eligible state employee
  11-31  organization.  The <written> authorization shall remain in effect
  11-32  until an employee<, in writing,> authorizes a change in the
  11-33  authorization.  Authorizations and changes in authorizations must
  11-34  be provided in accordance with rules adopted by the comptroller.
  11-35        (b)  The comptroller <by rule shall establish an annual
  11-36  transfer authorization period and> shall adopt <promulgate> rules
  11-37  for transfers by employees to a certified eligible state employee
  11-38  organization.  The rules may authorize electronic transfers of
  11-39  amounts deducted from employees' salaries and wages under this
  11-40  section.
  11-41        SECTION 27.  Subchapter B, Chapter 403, Government Code, is
  11-42  amended by adding Section 403.023 to read as follows:
  11-43        Sec. 403.023.  CREDIT CARDS.  (a)  The treasurer in
  11-44  consultation with the comptroller may adopt rules regarding the
  11-45  acceptance of credit cards for the payment of fees, taxes, and
  11-46  other charges assessed by state agencies.  The rules may:
  11-47              (1)  authorize a state agency to accept credit cards if
  11-48  the treasurer determines the best interests of the state would be
  11-49  promoted;
  11-50              (2)  authorize or require a credit card user to pay a
  11-51  processing fee to the state agency that accepts the credit card;
  11-52  and
  11-53              (3)  authorize a particular state agency to accept
  11-54  credit cards without providing the same authorization to other
  11-55  state agencies.
  11-56        (b)  The comptroller may adopt rules regarding the use of
  11-57  credit cards by state agencies to pay for purchases.  The rules
  11-58  may:
  11-59              (1)  authorize a state agency to use credit cards if
  11-60  the comptroller determines the best interests of the state would be
  11-61  promoted;
  11-62              (2)  authorize a state agency to use credit cards to
  11-63  pay for purchases without providing the same authorization to other
  11-64  state agencies;
  11-65              (3)  authorize a state agency to use credit cards to
  11-66  pay for purchases that otherwise may be paid out of the agency's
  11-67  petty cash accounts under Subchapter K; and
  11-68              (4)  authorize the General Services Commission to
  11-69  contract with one or more credit card issuers on behalf of state
  11-70  agencies.
   12-1        (c)  The treasurer and comptroller may not adopt rules about
   12-2  a particular state agency's acceptance or use of credit cards if
   12-3  another law specifically authorizes, requires, prohibits, or
   12-4  otherwise regulates the acceptance or use.
   12-5        (d)  In this section, "state agency" means:
   12-6              (1)  a board, commission, department, or other agency
   12-7  in the executive branch of state government that is created by the
   12-8  constitution or a statute of this state, including an institution
   12-9  of higher education as defined by Section 61.003, Education Code,
  12-10  other than a public junior college;
  12-11              (2)  the legislature or a legislative agency; or
  12-12              (3)  the supreme court, the court of criminal appeals,
  12-13  a court of appeals, or a state judicial agency.
  12-14        SECTION 28.  Subsection (e), Section 403.055, Government
  12-15  Code, is amended to read as follows:
  12-16        (e)(1)  This subsection applies when a payment is made to a
  12-17  person other than through the comptroller's issuance of a warrant
  12-18  or the comptroller's use of an electronic funds transfer system.
  12-19              (2)  A state agency may not use funds inside or outside
  12-20  the state treasury to pay a person if the <agency knows that the>
  12-21  person is indebted or owes delinquent taxes to the state or owes
  12-22  delinquent taxes under a tax that the comptroller administers or
  12-23  collects until the debt or taxes are paid.
  12-24              (3)  This subsection does not prohibit a state agency
  12-25  from paying the assignee of a person who is indebted or owes
  12-26  delinquent taxes to the state if the assignment became effective
  12-27  before the person became indebted to the state or delinquent in the
  12-28  payment of taxes to the state.
  12-29              (4)  This subsection does not prohibit a state agency
  12-30  from paying the compensation of a state officer or employee.
  12-31              (5)  The comptroller may not reimburse a state agency
  12-32  for a payment that is made in violation of this subsection.
  12-33        SECTION 29.  Section 403.054, Government Code, is amended to
  12-34  read as follows:
  12-35        Sec. 403.054.  REPLACEMENT <DUPLICATE> WARRANT.  (a)  Subject
  12-36  to Subsection (b), the comptroller may issue a replacement
  12-37  <duplicate> warrant in place of an original warrant drawn on the
  12-38  state treasury if the state agency on whose behalf the comptroller
  12-39  issued the original warrant notifies the comptroller <is satisfied>
  12-40  that:
  12-41              (1)  the original warrant has been lost, destroyed, or
  12-42  stolen;
  12-43              (2)  the original warrant has not been received; or
  12-44              (3)  the payee's endorsement on the original warrant
  12-45  has been forged.
  12-46        (b)  The comptroller may not issue a replacement warrant if:
  12-47              (1)  the state treasurer has paid the original warrant,
  12-48  unless the treasurer has obtained a refund of the payment;
  12-49              (2)  the period during which the state treasurer may
  12-50  pay the original warrant has expired under Section 404.046 or other
  12-51  applicable law;
  12-52              (3)  the payee of the replacement warrant is not the
  12-53  same as the payee of the original warrant; or
  12-54              (4)  the comptroller is prohibited by Section 403.055
  12-55  or 481.0841 or by Section 57.48, Education Code, from issuing a
  12-56  warrant to the payee of the replacement warrant.
  12-57        (c)  A replacement warrant:
  12-58              (1)  must reflect the same fiscal year as the original
  12-59  warrant; and
  12-60              (2)  may not be paid by the state treasurer unless
  12-61  presented for payment to the treasurer or a financial institution
  12-62  before two years after the close of the fiscal year in which the
  12-63  original warrant was issued.
  12-64        (d)  The state treasurer may not pay an original warrant
  12-65  after the comptroller has notified the treasurer that the
  12-66  comptroller has issued a replacement warrant for the original
  12-67  warrant <duplicate unless the applicant has filed with the
  12-68  comptroller an affidavit stating that the applicant is the true
  12-69  owner of the original and that the original has been lost,
  12-70  destroyed, or stolen, that it has not been received, or that the
   13-1  payee's endorsement on the instrument has been forged.  If the
   13-2  applicant is a government agency, the head of the agency and one
   13-3  other person connected with the handling of warrants for the agency
   13-4  shall make this affidavit for a lost or destroyed warrant belonging
   13-5  to the agency.  An applicant, other than a government agency, shall
   13-6  also file with the comptroller a bond in the amount of the claim,
   13-7  payable to the governor, approved by the comptroller, and
   13-8  conditioned that the applicant will hold the state harmless and
   13-9  return to the comptroller on demand the duplicate or the amount of
  13-10  money specified in the duplicate and all costs of the state in
  13-11  collecting the amount.  For the purposes of this subsection,
  13-12  "government agency" means a state agency, court, school, school
  13-13  district, or a federal agency>.
  13-14        (e) <(c)>  If the comptroller determines that a replacement
  13-15  warrant <duplicate> was improperly issued or that the <applicant or
  13-16  the> person to whom the replacement <duplicate> was issued was not
  13-17  its owner, the comptroller shall immediately demand return of the
  13-18  replacement <duplicate> or, if the replacement <duplicate> has been
  13-19  paid, the amount paid by the state.  If this demand is not
  13-20  satisfied, the comptroller shall refer the matter to the attorney
  13-21  general for appropriate action <file suit on the bond in Travis
  13-22  County>.
  13-23        (f)  A person <(d)  An entity> other than a law enforcement
  13-24  official that has possession of a lost or stolen warrant or a
  13-25  warrant on which the payee's endorsement has been forged shall, on
  13-26  request, immediately deliver the warrant to the <issuing agency or
  13-27  the> comptroller or the state agency on whose behalf the
  13-28  comptroller issued the warrant <on request>.  The agency or
  13-29  comptroller shall issue a receipt for the warrant.
  13-30        (g) <(e)>  Failure to reimburse the state on demand as
  13-31  required by Subsection (e) constitutes a debt to the state and
  13-32  further payment to the person <applicant> shall be held as provided
  13-33  by Section 403.055.
  13-34        (h) <(f)>  The comptroller shall adopt rules and forms
  13-35  regarding the issuance of replacement <duplicate> warrants.
  13-36        SECTION 30.  Subsection (f), Section 403.071, Government
  13-37  Code, is amended to read as follows:
  13-38        (f)  A person commits an offense if the person knowingly
  13-39  makes a false certificate on a claim against the state for the
  13-40  purpose of authenticating a claim against the state.  An offense
  13-41  under this section is punishable by imprisonment in the
  13-42  institutional division of the Texas Department of Criminal Justice
  13-43  <Corrections> for not less than two or more than five years.
  13-44        SECTION 31.  Subchapter E, Chapter 403, Government Code, is
  13-45  amended by adding Section 403.0721 to read as follows:
  13-46        Sec. 403.0721.  CALCULATION OF NET COMPENSATION.  The
  13-47  comptroller may adopt procedures and rules about the method used to
  13-48  calculate the net compensation of a state officer or employee.
  13-49        SECTION 32.  Section 403.092, Government Code, is amended to
  13-50  read as follows:
  13-51        Sec. 403.092.  TEMPORARY TRANSFER OF SURPLUS AND OTHER CASH.
  13-52  (a)  To allow efficient management of the cash flow of the general
  13-53  revenue fund and to avoid temporary cash deficiency in that fund,
  13-54  the comptroller, with the consent of the state treasurer, may
  13-55  transfer surplus cash, except constitutionally dedicated revenues,
  13-56  between funds in the state treasury.  As soon as practicable the
  13-57  comptroller shall return the surplus cash to the fund from which it
  13-58  was transferred.  The comptroller shall preserve the fund equity
  13-59  and the state treasurer shall allocate the depository interest as
  13-60  if the transfer had not been made.
  13-61        (b)  If the comptroller submits a statement under Article
  13-62  III, Section 49a, of the Texas Constitution when surplus cash
  13-63  transferred under Subsection (a) <this section> is in the general
  13-64  revenue fund, the comptroller shall indicate in that statement that
  13-65  the transferred surplus cash is in the general revenue fund, is a
  13-66  liability of that fund, and is not available for appropriation by
  13-67  the legislature.
  13-68        (c)(1)  The comptroller may temporarily transfer cash from
  13-69  the general revenue fund to a special fund in the state treasury or
  13-70  to an account within the general revenue fund if:
   14-1                    (A)  the transfer contributes toward minimizing
   14-2  the state's interest liability under the federal Cash Management
   14-3  Improvement Act of 1990 (31 U.S.C. Section 6503) by delaying the
   14-4  receipt of federal money;
   14-5                    (B)  the amount transferred does not exceed the
   14-6  amount necessary for the comptroller to process a payroll claim
   14-7  that a state agency submits before the end of the payroll period
   14-8  under Section 403.072;
   14-9                    (C)  the comptroller determines before the
  14-10  transfer occurs that other money is not available to process the
  14-11  payroll claim;
  14-12                    (D)  before the transfer occurs, the comptroller
  14-13  is notified by the state agency whose payroll claim will be
  14-14  processed that the federal government is legally required to
  14-15  provide by payday sufficient money to pay the claim;
  14-16                    (E)  the transfer does not occur earlier than the
  14-17  10th day before payday; and
  14-18                    (F)  the amount transferred is returned to the
  14-19  general revenue fund as soon as possible after the federal money is
  14-20  received but by no later than payday.
  14-21              (2)  The amount transferred under Subdivision (1) is a
  14-22  receivable of the general revenue fund for the purpose of
  14-23  statements that the comptroller submits under Article III, Section
  14-24  49a, of the Texas Constitution.  The transferred amount is
  14-25  available for appropriation by the legislature.
  14-26              (3)  The comptroller may adopt procedures and rules to
  14-27  administer this subsection.
  14-28        SECTION 33.  Section 403.111, Government Code, is amended by
  14-29  amending Subsection (a) and adding Subsection (f) to read as
  14-30  follows:
  14-31        (a)  Except as provided by Subsection (f), the <The>
  14-32  comptroller shall obtain suitable books for use as bond registers
  14-33  by the comptroller's office.  The volumes of the books shall be
  14-34  separately designated.
  14-35        (f)  The comptroller may use electronic means, including the
  14-36  central electronic computing and data processing center established
  14-37  under Section 403.015, instead of books to register bonds.
  14-38        SECTION 34.  Section 404.071, Government Code, is amended by
  14-39  adding Subsection (e) to read as follows:
  14-40        (e)(1)  The treasurer shall notify the comptroller of the
  14-41  amount of interest paid from the general revenue fund as a result
  14-42  of the federal Cash Management Improvement Act of 1990 (31 U.S.C.
  14-43  Section 6503).  The treasurer shall provide the notifications in
  14-44  accordance with the comptroller's requirements for frequency,
  14-45  method, and format.
  14-46              (2)  For each special fund or account that contains
  14-47  depository interest, the comptroller shall transfer from the fund
  14-48  or account to the general revenue fund an amount equal to the
  14-49  interest paid from the general revenue fund on behalf of the fund
  14-50  or account.
  14-51              (3)  In this subsection:
  14-52                    (A)  "Account" means a subdivision of a special
  14-53  fund or the general revenue fund.
  14-54                    (B)  "Fund" and "special fund" have the meanings
  14-55  assigned by Section 403.001.
  14-56              (4)  The comptroller may adopt procedures and rules to
  14-57  administer this subsection.
  14-58              (5)  This subsection applies notwithstanding any other
  14-59  law.
  14-60        SECTION 35.  Subsection (b), Section 402.273, Health and
  14-61  Safety Code, is amended to read as follows:
  14-62        (b)  This subsection applies only if <If> the authority does
  14-63  not issue bonds under Subchapter K.  The<, the> waste disposal fees
  14-64  must also include an amount sufficient to allow the authority to
  14-65  recover expenses incurred before beginning operation of the
  14-66  disposal site amortized over a period of not more than 20 years
  14-67  beginning on the first day of operation of the disposal site.  The
  14-68  fees must be sufficient to recover the depository interest that the
  14-69  general revenue fund would have earned had the fund not been used
  14-70  to pay expenses incurred before the disposal site begins operation.
   15-1  Depository interest recovered under this subsection shall be
   15-2  deposited in the general revenue fund.  Principal recovered under
   15-3  this subsection shall be deposited in the general revenue fund
   15-4  until the amount deposited has fully reimbursed the fund for
   15-5  expenses paid from the fund before the disposal site begins
   15-6  operation.  The remainder of the principal shall be deposited as
   15-7  provided in Section 402.272(a).
   15-8        SECTION 36.  Section 31.039, Human Resources Code, is amended
   15-9  to read as follows:
  15-10        Sec. 31.039.  ISSUANCE OF REPLACEMENT <DUPLICATE> ASSISTANCE
  15-11  WARRANTS.  The comptroller may issue a replacement <duplicate>
  15-12  financial assistance warrant to a recipient who has failed to
  15-13  receive or has lost the original warrant in accordance with Section
  15-14  403.054, Government Code <Article 4365, Revised Civil Statutes of
  15-15  Texas, 1925, as amended>.
  15-16        SECTION 37.  The Texas Employees Uniform Group Insurance
  15-17  Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code), is
  15-18  amended by adding Section 4C to read as follows:
  15-19        Sec. 4C.  ELECTRONIC AUTHORIZATIONS.  (a)  The trustee may
  15-20  develop a system for an employee, school district employee, or
  15-21  annuitant to electronically authorize:
  15-22              (1)  enrollment in a coverage or benefit program;
  15-23              (2)  contributions to a coverage or benefit program;
  15-24  and
  15-25              (3)  deductions or reductions to the compensation or
  15-26  annuity of the employee, school district employee, or annuitant for
  15-27  participation in a coverage or benefit program.
  15-28        (b)  The trustee may permit or require an authorization
  15-29  covered by Subsection (a) of this section to be made
  15-30  electronically, notwithstanding any law to the contrary.
  15-31        SECTION 38.  Subsections (c) and (d), Section 14, Texas
  15-32  Employees Group Insurance Benefits Act (Article 3.50-2, Vernon's
  15-33  Texas Insurance Code), as amended by Section 54, Chapter 391, Acts
  15-34  of the 72nd Legislature, Regular Session, 1991, are amended to read
  15-35  as follows:
  15-36        (c)  If an employee or annuitant refuses <in writing> the
  15-37  coverages, benefits, or services provided by this Act by a
  15-38  statement in a form and manner <writing> satisfactory to the
  15-39  trustee, then in no event shall the State of Texas, the employee's
  15-40  department, or the participating school district make any
  15-41  contribution to the cost of any other coverages, services, or
  15-42  benefits on such employee or annuitant.
  15-43        (d)  Except as provided by Subsection (e) of this section, if
  15-44  any employee or annuitant applies for coverages for which the cost
  15-45  exceeds the state's, the employing department's, or the
  15-46  participating school district's contribution under this Act, he
  15-47  shall authorize <in writing and> in a form and manner satisfactory
  15-48  to the trustee a deduction from his monthly compensation or annuity
  15-49  the difference between the cost of coverages under the said group
  15-50  programs and the amount contributed therefor by the State of Texas
  15-51  or the employing department.
  15-52        SECTION 39.  Subsections (e), (f), (g), and (h), Section 14,
  15-53  Texas Employees Uniform Group Insurance Benefits Act (Article
  15-54  3.50-2, Vernon's Texas Insurance Code), as amended by Section 41,
  15-55  Chapter 850, Acts of the 72nd Legislature, Regular Session, 1991,
  15-56  are amended to read as follows:
  15-57        (e)  The trustee shall apply the amount of any employer
  15-58  contribution allocated to fund optional coverages to the excess of
  15-59  the cost of the basic and optional coverages for which the employee
  15-60  or annuitant has applied over the basic coverage contribution.
  15-61  Except as provided by Subsection (h) of this section, if an
  15-62  employee or annuitant applies for basic and optional coverages for
  15-63  which the cost exceeds the contributions for those coverages under
  15-64  this Act, the employee or annuitant shall authorize <in writing> in
  15-65  a form and manner satisfactory to the trustee a deduction from the
  15-66  employee's or annuitant's monthly compensation or annuity equal to
  15-67  the difference between the cost of basic and optional coverages for
  15-68  which the employee or annuitant has applied and the employer
  15-69  contributions for basic and optional coverage.
  15-70        (f)  Except as provided by Subsection (h) of this section, if
   16-1  an employee or annuitant applies for voluntary coverages, the
   16-2  employee shall authorize <in writing> in a form and manner
   16-3  satisfactory to the trustee a deduction from the employee's monthly
   16-4  compensation or annuity equal to the cost of the voluntary
   16-5  coverages.
   16-6        (g)  If an employee or annuitant refuses the coverages or
   16-7  benefits provided under this Act in <writing in> a form and manner
   16-8  satisfactory to the trustee, the state and the employee's
   16-9  department may not make any contribution to the cost of any
  16-10  coverages or benefits for the employee or annuitant.
  16-11        (h)  If an employee elects to participate in the cafeteria
  16-12  plan, the employee must execute a salary reduction agreement under
  16-13  which the employee's monthly compensation will be reduced in an
  16-14  amount that is equal to the difference between the employer
  16-15  contributions for basic and optional coverages and the cost of the
  16-16  cafeteria plan coverages identified by the trustee as comparable to
  16-17  the basic and optional coverages for which the employee is
  16-18  eligible.  The salary reduction agreement must also provide for an
  16-19  additional reduction in the employee's compensation equal to the
  16-20  cost of voluntary coverages for which the employee has applied.  An
  16-21  employee who executes a salary reduction agreement for insurance
  16-22  coverage included in the cafeteria plan has elected to participate
  16-23  in the cafeteria plan and agreed to a salary reduction for the
  16-24  insurance coverages for subsequent plan years unless the
  16-25  participant, during an annual enrollment period specified by the
  16-26  trustee, elects in a form and manner satisfactory to the trustee
  16-27  <writing> not to participate for the next plan year in the
  16-28  insurance coverages.  An employee who has elected not to
  16-29  participate in the cafeteria plan insurance coverages may re-enroll
  16-30  by executing a new salary reduction agreement during a subsequent
  16-31  annual enrollment period.  A salary reduction agreement for
  16-32  cafeteria plan benefits other than insurance coverages must be
  16-33  executed annually, during the annual enrollment period.  The
  16-34  employee shall pay any remaining portion of the cost of benefits
  16-35  that is not covered by the contributions for basic and optional
  16-36  coverages and the salary reduction under the cafeteria plan by
  16-37  executing a payroll deduction agreement.
  16-38        SECTION 40.  Subchapter B, Chapter 111, Tax Code, is amended
  16-39  by adding Section 111.062 to read as follows:
  16-40        Sec. 111.062.  ACCEPTANCE OF CREDIT CARDS FOR PAYMENT OF
  16-41  CERTAIN TAXES AND FEES.  (a)  The comptroller may accept a credit
  16-42  card in payment of:
  16-43              (1)  delinquent taxes and related penalties and
  16-44  interest imposed by this code;
  16-45              (2)  fees charged for:
  16-46                    (A)  account status certificates;
  16-47                    (B)  no tax due certificates;
  16-48                    (C)  postage;
  16-49                    (D)  certified copies;
  16-50                    (E)  copies of documents;
  16-51                    (F)  microfilm copies;
  16-52                    (G)  written evidence of the comptroller's
  16-53  records;
  16-54                    (H)  research;
  16-55                    (I)  labor;
  16-56                    (J)  minerals tax histories; and
  16-57                    (K)  minerals tax extracts; and
  16-58              (3)  any other service fees charged by the comptroller.
  16-59        (b)  When the comptroller accepts a payment by credit card,
  16-60  the comptroller may require the payment of a processing fee by the
  16-61  credit card user.
  16-62        SECTION 41.  This Act takes effect September 1, 1993.
  16-63        SECTION 42.  The importance of this legislation and the
  16-64  crowded condition of the calendars in both houses create an
  16-65  emergency and an imperative public necessity that the
  16-66  constitutional rule requiring bills to be read on three several
  16-67  days in each house be suspended, and this rule is hereby suspended.
  16-68                               * * * * *
  16-69                                                         Austin,
  16-70  Texas
   17-1                                                         April 15, 1993
   17-2  Hon. Bob Bullock
   17-3  President of the Senate
   17-4  Sir:
   17-5  We, your Committee on Finance to which was referred S.B. No. 752,
   17-6  have had the same under consideration, and I am instructed to
   17-7  report it back to the Senate with the recommendation that it do not
   17-8  pass, but that the Committee Substitute adopted in lieu thereof do
   17-9  pass and be printed.
  17-10                                                         Montford,
  17-11  Chairman
  17-12                               * * * * *
  17-13                               WITNESSES
  17-14                                                  FOR   AGAINST  ON
  17-15  ___________________________________________________________________
  17-16  Name:  Kenny McLeskey                                          x
  17-17  Representing:  Comptroller of Public Accounts
  17-18  City:  Austin
  17-19  -------------------------------------------------------------------
  17-20  Name:  Wallace Lankford                                        x
  17-21  Representing:  Comptroller's Office
  17-22  City:  Austin
  17-23  -------------------------------------------------------------------
  17-24  Name:  Tom Mathey                                              x
  17-25  Representing:  Comptroller's Office
  17-26  City:  Austin
  17-27  -------------------------------------------------------------------
  17-28  Name:  Donna Clay                                              x
  17-29  Representing:  Comptroller's Office
  17-30  City:  Austin
  17-31  -------------------------------------------------------------------