BILL ANALYSIS



H.B. 776
By: Smithee
03-22-95
Committee Report (Unamended)


BACKGROUND

     During the 73rd Legislative interim, then Insurance
Commissioner J. Robert Hunter submitted the Texas Department of
Insurance's legislative proposals to the House Committee on
Insurance Legislative Oversight Subcommittee.  The Commissioner
briefed the Subcommittee on  the process in which the Texas
Department of Insurance obtains federal funds for active Health
Information, Counseling and Advocacy Programs (HICAPS) through the
Texas Department of Aging.  Based on the presented testimony, the
Subcommittee forwarded the proposal to the Texas Legislative
Council for bill drafting.

PURPOSE

     As proposed, House Bill 776 would add a new Article 1.35E to
the Insurance Code  authorizing the Texas Department of Insurance
to accept federal funds allocated for consumer education programs
related to insurance issues.

RULEMAKING AUTHORITY

     It is the committee's opinion that this bill does expressly
grant additional rulemaking authority to the Insurance Commissioner
under SECTION 1 of the bill, by adding Article 1.35E, Insurance
Code.

SECTION BY SECTION ANALYSIS

SECTION 1.

Amends Chapter 1, Insurance Code, by adding Article 1.35E allowing
the Texas Department of Insurance to accept federal funds allocated
for consumer education programs related to insurance issues.

SECTION 2. Emergency Clause and Effective Date

SUMMARY OF COMMITTEE ACTION

     In accordance with House rules, H.B. 776 was heard in a public
hearing on March 22, 1995.  The Chair laid out H.B. 776 and
recognized Audrey Selden with the Texas Department of Insurance to
testify neutrally on H.B. 776.  No one testified in support of or
in opposition to H.B. 776.

     The Chair recognized Representative Averitt who moved the
Committee report H.B. 776 as filed to the full House with the
recommendation that it do pass, be printed, and be sent to the
Committee on Local and Consent Calendars.  Representative Glenn
Lewis seconded the motion and the motion prevailed by the following
vote:  AYES (7); NAYS (0); PNV (0); ABSENT (2).