BILL ANALYSIS


                                                        S.B. 1511
                                                        By: Nixon
                                                    State Affairs
                                                          4-11-95
                                     Committee Report (Unamended)
BACKGROUND

A number of state agencies are authorized to accept gifts and
donations of money and other property from private or public
entities.  At present, the statutes authorizing the acceptance of
such gifts only require the accepting agency to use the gift or
donation for a public purpose.  While some agencies may have
adopted procedures for and restrictions on the acceptance of gifts,
the authorizing statutes do not restrict the circumstances under
which gifts may be accepted, nor do they prescribed a procedure for
the acceptance of such gifts.  Thus, the current law allows the
acceptance of substantial gifts from donors involved in a contested
case hearing before the agency.  This omission may give the
impression of impropriety.

PURPOSE

As proposed, S.B. 1511 authorizes a state agency that has a
governing board to accept a gift under certain circumstances and
requires the agency to record certain information regarding the
gift.

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 Title 5B, Government Code, by adding Chapter
575, as follows:

         CHAPTER 575.  ACCEPTANCE OF GIFT BY STATE AGENCY

     Sec. 575.001.  DEFINITIONS.  Defines "gift" and "state
     agency."
     
     Sec. 575.002.  ACCEPTANCE OF GIFT BY STATE AGENCY GOVERNING
     BOARD.  Authorizes a state agency that has a governing board
     to accept a gift only if the agency has the authority to
     accept the gift and a majority of the board approves accepting
     the gift.
     
     Sec. 575.003.  RECORD OF GIFT.  Requires a state agency that
     accepts a gift to record the name of the donor, a description
     of the gift, and the purpose of the gift in board minutes of
     the governing board or agency records.  
     
     Sec. 575.004.  ACCEPTANCE OF GIFT FROM PARTY TO CONTESTED CASE
     PROHIBITED.  Prohibits a state agency from accepting a gift
     from a person who is a party to a contested case before the
     agency until 30 days after the decision in the case becomes
     final.  Defines "contested case."
     
     SECTION 2.     Emergency clause.
           Effective date: upon passage.