BILL ANALYSIS H.B. 1298 By: Carona (Montford) Economic Development 05-12-95 Senate Committee Report (Unamended) BACKGROUND Criminal history records from the Texas Department of Public Safety may be obtained only if a specific authorization is contained in a statute such as Section 411.092 of the Government Code. Currently, the banking commissioner is permitted to obtain such information for license applicants under Article 350, V.T.C.S. (Currency Exchange Act). The activities performed under the charters and licenses granted by the banking commissioner require oversight and enforcement to protect the public interest. Criminal history records of applicants prior to granting a charter or license are critical to informed decisionmaking. The Federal Deposit Insurance Corporation obtains a report from the Federal Bureau of Investigation before processing and approving deposit insurance for a state bank; however, this may occur after the charter has been approved by the banking commissioner. The banking commissioner must be able to check the criminal history of bank charter applicants during preliminary examination of applications but prior to approving a charter application. PURPOSE As proposed, H.B. 1298 entitles the banking commissioner to obtain from the Texas Department of Public Safety criminal history record information that relates to certain persons. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 411.092(a), Government Code, as follows: (a) Entitles the banking commissioner to obtain from the Texas Department of Public Safety (DPS) criminal history record information maintained by DPS that relates to a person who is: (1) an applicant for a license, charter, or other authority granted or issued by the banking commissioner under: (A) The Texas Banking Code (Article 342-101 et seq., V.T.C.S.) or any successor to that law; (B) Article 350, V.T.C.S.; (C) The Sale of Checks Act (Article 489d, V.T.C.S.); or (D) Chapter 512, Acts of the 54th Legislature, Regular Session, 1955 (Article 548b, V.T.C.S.); or (2) a principal of an applicant under Subdivision (1). SECTION 2. Emergency clause. Effective date: upon passage.