BILL ANALYSIS


                                                        S.B. 1391
                                                        By: Ellis
                                                    State Affairs
                                                          4-19-95
                                       Committee Report (Amended)
BACKGROUND

Currently, notary public applicants must submit applications in an
inefficient two-step process.  A one-step application process,
along with a more logical renewal procedure, would significantly
reduce costs to the state.

PURPOSE

As proposed, S.B. 1391 simplifies the application and renewal
procedure for notaries public.

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 406.004, Government Code, as follows:

     Sec.  406.004.  New heading:  ELIGIBILITY.  Requires each
     person appointed and commissioned as a notary public to be at
     least 18 years of age, a resident of the State of Texas, and
     to not have been convicted of a felony  or crime involving
     moral turpitude.  Deletes requirement criteria to be eligible
     as a notary public.
     
     SECTION 2.     Amends Section 406.005, Government Code, by amending
Subsections (a) and (b) and adding Subsection (c), as follows:

     Sec.  406.005.  New heading:  APPOINTMENT PROCEDURE -
     STATEMENT.  (a)  Requires each person to be appointed a notary
     public to submit an application to the secretary of state
     (secretary) on a form prescribed by the secretary of state. 
     Requires the application to state certain information. 
     Deletes a requirement that the applicant make a certain
     statement.
     
     (b)  Requires the applicant to also execute the statement of
       officer as required by Article XVI, Section 1, Texas
       Constitution.  Deletes a requirement that the secretary of
       state act on an application in a practicable time.
       
       (c)  Requires the statement to be signed and sworn to (or
       affirmed) by the applicant in the presence of a notary
       public or other person authorized to administer oaths in
       this state.
     SECTION 3.     Amends Section 406.006, Government Code, by amending
Subsections (a)-(c) and by adding Subsections (d) and (e), as
follows:

     Sec.  406.006.  New heading:  QUALIFICATION.  Provides that an
     individual qualifies by properly completing the application
     form; executing the statement; providing the bond; paying the
     required filing fees; and meeting the eligibility
     requirements.
     
     SECTION 4.     Amends Section 406.008(a), Government Code, to require
the secretary to send notice of appointment along with a commission
to the notary public immediately after the qualification of a
notary public.

SECTION 5. Amends Section 406.009(d), Government Code, to define
"good cause" to include performing any notarization when the person
for whom the notarization is performed did not personally appear
before the notary at the time the notarization is executed.

SECTION 6. Amends Section 406.009, Government Code, by adding
Subsection (e), to prohibit the dismissal and discharge of
proceedings under either the misdemeanor adult probation and
supervision law or the adult probation, parole, and mandatory
supervision law from being considered a conviction for the purposes
of determining good cause.

SECTION 7. Amends Section 406.010, Government Code, as follows:

     (a)  Requires each person to be appointed a notary public,
     before entering the official duties of office, to execute a
     bond in the amount of $10,000, rather than $2,500, with a
     solvent surety company authorized to do business in this state
     as a surety.  Provides that the secretary has the authority to
     accept an electronic filing of the notary public bond if an
     agreement has been made with the surety company.
     
     (b)  Requires the notary bond to be deposited in the office of
     the secretary and may be sued on in the name of the injured
     party from time to time until the whole amount of the bond is
     recovered.  Deletes the official oath requirement.
     
     (c)  Requires a notary public, before entering upon the duties
     of office, to take the official oath required by Article XVI,
     Section 1, Texas Constitution.
     
     (d)  Requires the oath to be signed and sworn to (or affirmed)
     by the notary public in the presence of a notary public or
     other person authorized to administer oaths in this state. 
     Prohibits a notary public from executing his or her own oath
     of office.  Deletes the State Board of Insurance's
     authorization to approve rates.
     
     (e)  Requires the secretary to provide an oath of office form
     along with the commission and educational materials.
     
     SECTION 8.     Amends Section 406.011, Government Code, as follows:

     Sec.  406.011.  New heading:  REAPPOINTMENT.  (a)  Authorizes
     a notary public to apply for reappointment upon submission of
     a new application to the secretary not earlier than 90 days
     prior to the expiration date of the notary's term.
     
     (b)  Provides that a notary public who is not reappointed on
       or before the expiration date of the term the notary public
       is serving will be appointed for a new term expiring four
       years from the date of qualification.  Makes nonsubstantive
       changes.  Deletes a requirement that the secretary issue a
       commission.
     SECTION 9.     Amends Chapter 406, Government Code, by adding Section
406.025, as follows:

     Sec.  406.025.  SIGNATURE ON COMMISSIONS AFTER CHANGE IN
     OFFICE.  Authorizes existing stocks of commissions bearing the
     person's printed name, signature, or facsimile signature to be
     used until they are exhausted, and the person succeeding to
     the office or the duties of the office shall have the
     commissions issued with certain information.
     
SECTION 10.    Repealer:  Section 406.008(c), Government Code
(Regarding the performance of the duties of office after qualifying
as a notary republic and before receiving the commission).

SECTION 11.    Effective date:  January 1, 1996.

SECTION 12.    Emergency clause.