SRC-MAX S.B. 1526 75(R) BILL ANALYSIS Senate Research Center S.B. 1526 By: Lucio State Affairs 4-16-97 As Filed DIGEST Texas was owed nearly $3.2 billion in receivables at the end of fiscal 1995. In Texas, each agency is responsible for collecting money it is owed. State law requires each agency that collects delinquent obligations to establish procedures for collecting receivables in accordance with guidelines established by the Office of the Attorney General. This bill establishes specific procedures for the collection of delinquent obligations to the state. PURPOSE As proposed, S.B. 1526 establishes procedures for the collection of delinquent obligations to the state. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 2107.003, Government Code, to authorize the comptroller to employ, retain, or contract with a person other than a full-time state employee to collect delinquent obligations that are owed the comptroller in the comptroller's official capacity, are not collected through normal collection procedures, and do not meet the guidelines adopted for collection by the attorney general. Authorizes a contract under this subsection to include a collection fee computed on the amounts collected under the contract. Makes a conforming change. SECTION 2. Amends Section 2107.004, Government Code, to make a conforming change. SECTION 3. (a) Requires the comptroller and the attorney general jointly to conduct a study of the collection of delinquent obligations to the state. Requires the officers to identify state agencies owed a significant amount of delinquent obligations and include representatives of those agencies in the group performing the study. (b) Requires the study group to identify the best procedures for collecting delinquent obligations, examine procedural changes that would reduce the time and cost of collection, and determine the benefits and drawbacks, including savings and costs, of centralizing the collection of delinquent obligations. (c) Requires the study group to submit its findings and recommendations to the 76th Legislature by filing a copy of a report of the study with the lieutenant governor and the speaker of the house not later than January 1, 1999. SECTION 4. Emergency clause. Effective date: upon passage.