By Oliveira                                           H.B. No. 1031
       74R1798 PB-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the collection of certain unpaid wages.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Subchapter E, Chapter 61, Labor Code, is amended
    1-5  by adding Section 61.085 to read as follows:
    1-6        Sec. 61.085.  ASSIGNMENT OF LIEN.  The commission may assign
    1-7  the portion of the lien that represents unpaid wages to the person
    1-8  to whom the wages are owed.
    1-9        SECTION 2.  Chapter 61, Labor Code, is amended by adding
   1-10  Subchapter F to read as follows:
   1-11                   SUBCHAPTER F.  DELINQUENCY; LEVY
   1-12        Sec. 61.091.  NOTICE OF DELINQUENCY.  (a)  If, under a final
   1-13  order, a person is determined to be delinquent in the payment of
   1-14  wages, penalties, interest, or other amounts due under this
   1-15  chapter, the commission may notify personally or by mail any person
   1-16  who:
   1-17              (1)  possesses or controls any of the delinquent
   1-18  person's assets, including a credit, bank, or savings account or
   1-19  deposit, or other intangible or personal property; or
   1-20              (2)  owes a debt to the delinquent person.
   1-21        (b)  A notice under this subchapter to a state officer,
   1-22  department, or agency must be provided before the officer,
   1-23  department, or agency presents to the comptroller the claim of the
   1-24  delinquent person.
    2-1        (c)  A notice under this subchapter may be given at any time
    2-2  after the wages, penalties, interest, or other amounts due under
    2-3  this chapter become delinquent.  The notice must state the amount
    2-4  of wages, penalties, interest, or other amounts due and owing and
    2-5  any additional amount that will accrue by operation of law in a
    2-6  period not to exceed 30 days and, in the case of a credit, bank, or
    2-7  savings account or deposit, is effective only up to that amount.
    2-8        Sec. 61.092.  DUTIES OF NOTICE RECIPIENT.  (a)  On receipt of
    2-9  a notice under this subchapter, the person receiving the notice:
   2-10              (1)  shall advise the commission not later than the
   2-11  20th day after the date on which the notice is received of each
   2-12  asset belonging to the delinquent person that is possessed or
   2-13  controlled by the person receiving the notice and of each debt owed
   2-14  by the person receiving the notice to the delinquent person; and
   2-15              (2)  unless the commission consents to an earlier
   2-16  disposition, may not transfer or dispose of the asset or debt
   2-17  possessed, controlled, or owed by the person on the date the person
   2-18  received the notice within the 60-day period after the date of
   2-19  receipt of the notice.
   2-20        (b)  A notice under this subchapter that attempts to prohibit
   2-21  the transfer or disposition of an asset possessed or controlled by
   2-22  a bank is effective if it is delivered or mailed to the principal
   2-23  office or any branch office of the bank, including any office of
   2-24  the bank at which the deposit is carried or the credit or property
   2-25  is held.
   2-26        (c)  A person who receives a notice under this subchapter and
   2-27  who violates Subsection (a)(2) is liable to the commission for the
    3-1  amount of the indebtedness of the delinquent person with respect to
    3-2  whose obligation the notice was given, to the extent of the value
    3-3  of the affected asset or debt.
    3-4        Sec. 61.093.  LEVY.  (a)  At any time during the 60-day
    3-5  period provided by Section 61.092(a)(2), the commission may levy on
    3-6  the asset or debt by delivery of a notice of levy.
    3-7        (b)  On receipt of the levy notice, the person possessing the
    3-8  asset or debt shall transfer the asset to the commission or pay to
    3-9  the commission the amount owed to the delinquent person.
   3-10        Sec. 61.094.  NOTICE EFFECT.  A notice delivered under this
   3-11  subchapter is effective:
   3-12              (1)  at the time of delivery against all property,
   3-13  rights to property, credits, or debts involving the delinquent
   3-14  person that are not on the date of the notice subject to a
   3-15  preexisting lien, attachment, garnishment, or execution issued
   3-16  through a judicial process; and
   3-17              (2)  against all property, rights to property, credits,
   3-18  or debts involving the delinquent person that come into the
   3-19  possession or control of the person served with a notice of levy
   3-20  during the 60-day period provided by Section 61.092(a)(2).
   3-21        Sec. 61.095.  DISCHARGE OF LIABILITY.  A person acting in
   3-22  accordance with the terms of the notice issued by the commission
   3-23  under this subchapter is discharged from any obligation or
   3-24  liability to the delinquent person with respect to the affected
   3-25  property, rights to property, credits, and debts of the person
   3-26  affected by compliance with the notice of freeze or levy.
   3-27        SECTION 3.  This Act takes effect September 1, 1995, and
    4-1  applies only to a wage claim that is filed with the Texas
    4-2  Employment Commission on or after that date.  A wage claim that is
    4-3  filed before that date is governed by the law in effect on the date
    4-4  that the wage claim was filed, and the former law is continued in
    4-5  effect for that purpose.
    4-6        SECTION 4.  The importance of this legislation and the
    4-7  crowded condition of the calendars in both houses create an
    4-8  emergency and an imperative public necessity that the
    4-9  constitutional rule requiring bills to be read on three several
   4-10  days in each house be suspended, and this rule is hereby suspended.
   4-11                       COMMITTEE AMENDMENT NO. 1
   4-12        Amend House Bill No. 1031:
   4-13        Delete the entire Section 1, and replace with the following
   4-14  new Section 1:
   4-15        SECTION 1.  Subchapter E.  Chapter 61 Labor Code, is amended
   4-16  by adding Section 61.085 to read as follows:
   4-17        Sec. 61.085.  ASSIGNMENT OF LIEN.  A lien securing wages due
   4-18  under this chapter may be assigned to the claimant, at the
   4-19  claimant's request.
   4-20                                                             Oliveira