BILL ANALYSIS S.B. 368 By: Armbrister (Black) 04-25-95 Committee Report (Unamended) BACKGROUND In 1991, the Legislature passed a major revision of the Texas Racing Act. This bill dedicated a small portion of wages made at horse racetracks to fund the Equine Research Account and created a committee to advise how the money should best be spent. The Equine Research Account Advisory Committee (ERAAC) reviews research proposals, recommends grant awards, and helps plan an annual conference on equine research. The Director of the Texas Agricultural Experiment Station (TAES) at Texas A&M University manages the Equine Research Account and provides administrative support to the Advisory Committee. The Director of TAES is responsible for final decisions on grant awards, the administration of the program and also appoints the Advisory Committee members. In fiscal year 1994, ERAAC recommended, and the Committee's Director approved, the first five research grants totaling $92,198. ERAAC also spent $6,500 for the First Annual Race Horse Conference, held in January 1994. The Equine Research Advisory Account Committee is subject to the Sunset Act and will be abolished September 1, 1995, unless continued by the Legislature. This bill continues the Committee and makes several statutory modifications recommended by the Sunset Commission. PURPOSE The purpose of the bill is to continue the Equine Research Advisory Account Committee for 6 years, remove potential conflicts of interest from the ERAAC process, and to make other statutory changes recommended by the Sunset Commission. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 88.522, Education Code, by adding Subsections (f), (g), and (h). (f) Limits the use of the account for administrative costs to ten percent of the account annually. (g) Establishes that funds received by the account or advisory committee are subject to Subchapter F, Chapter 404, Government Code, which requires funds received by the account to be placed in the treasury. (h) Sets forth that Sections 403.094 and 403.095, Government Code, provisions related to fund consolidation, do not apply to the account. SECTION 2. Amends Section 88.523, Education Code, by adding Subsections (e) and (f). (e) Requires that appointments be made without regard to race, color, disability, religion, age, or national origin. (f) Requires the director to attempt to reflect the state's minority population when making appointments to the advisory committee. SECTION 3. Amends Subchapter F, Chapter 88, Education Code, by adding Sections 88.5231 and 88.5232 as follows: Section 88.5231 STANDARDS OF CONDUCT; PROHIBITED CONDUCT. (a) Requires the director or designee to inform members of the advisory committee of the qualifications for office and each person's responsibilities under the law. (b) Prohibits members of the advisory committee from participating in the evaluation or review of any grant proposal if the member has submitted a grant request. (c) Prohibits registered lobbyists from serving as a member of the advisory committee or from being employed as the general counsel to the advisory committee. Section 88.5232 REMOVAL FROM COMMITTEE. Defines the grounds for removing a member of advisory committee and requires the director to notify the advisory committee's presiding officer if a potential ground for removal exists. If the potential ground for removal involves the presiding officer, then the director shall notify the next highest officer of the advisory committee. Affirms that an action of the advisory committee is valid even if it is taken when a ground for removal exists for one of the members. SECTION 4. Amends Section 88.524, Education Code. Sets forth that the advisory committee is subject to the open meeting and administrative procedure laws. Updates the ERAAC sunset review date to 2001, which provides for a six year review. SECTION 5. Amends Subchapter F, Chapter 88, Education Code, by adding Section 88.5245, as follows: Section 88.5245. PUBLIC ACCESS. Requires the advisory committee to provide adequate opportunity for the public to address and appear before the advisory committee regarding issues under its jurisdiction. SECTION 6. Amends Section 88.526, Education Code, by adding Subsection (c). Requires the director of ERAAC to consult annually with the Texas Racing Commission on the use of the account and the impact of its research. SECTION 7. Effective Date: September 1, 1995. SECTION 8. Emergency Clause. SUMMARY OF COMMITTEE ACTION S.B. 368 was considered by the committee in a public hearing on Tuesday, April 25, 1995. The following person testified neutrally on the bill: Ms. Charla Ann Baker representing the Sunset Advisory Commission. The bill was reported favorably without amendment, with the recommendation that it do pass and be printed by a record vote of 9 ayes, 0 nays, 0 pnv, 0 absent.nn