BILL ANALYSIS


                                                    C.S.S.B. 1029
                                                      By: Haywood
                                             Economic Development
                                                          3-20-95
                                   Committee Report (Substituted)
BACKGROUND

Article 5069-18.01 et seq., V.T.C.S. (Telephone Solicitation Act)
protects the public against unscrupulous telemarketers by
regulating those who engage in telephone solicitations.  It exempts
from the application of this Act a person regulated by the Public
Utility Commission (PUC), and was designed to exempt local
telephone companies because they are already regulated extensively
by the PUC.

Automatic dialing announcing devices (ADADs), which include
automatic dialing machines and recorded message devices, are
capable of computer-generating thousands of telephone solicitations
each day.  Because they must be registered with the PUC, ADADs can
be said to be "regulated" by the PUC; however, there are few
regulatory or statutory restrictions of ADADs.

PURPOSE

As proposed, C.S.S.B. 1029 makes the provisions of Chapter 50,
relating to telephone solicitations, applicable to persons
regulated by the Public Utility Commission only with respect to
automatic dialing announcing devices.

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 Article 5069-18.02(a), V.T.C.S., to provide that
Chapter 50, relating to telephone solicitations, applies to a
person or affiliate of a person who is regulated by the Public
Utility Commission of Texas only with respect to one or more
automated dial announcing devices.

SECTION 2. Makes application of this Act prospective.

SECTION 3. Effective date: September 1, 1995.

SECTION 4. Emergency clause.