1-1 AN ACT
1-2 relating to the creation, powers, and duties of the Community
1-3 Reinvestment work group.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Title 16, Revised Statutes, is amended by adding
1-6 Article 352 to read as follows:
1-7 Art. 352. COMMUNITY REINVESTMENT WORK GROUP
1-8 Sec. 1. COMMUNITY REINVESTMENT WORK GROUP. (a) The
1-9 Community Reinvestment work group is created to work in conjunction
1-10 with the banking community in the state to:
1-11 (1) develop statewide community reinvestment
1-12 strategies using existing investment pools and other investment
1-13 vehicles to leverage private capital from banks, insurance
1-14 companies, and other entities for community development in the
1-15 state;
1-16 (2) consult and coordinate with representatives from
1-17 appropriate federal regulatory agencies, including the Office of
1-18 the Comptroller of the Currency, the Federal Reserve Board of
1-19 Governors, the Federal Deposit Insurance Corporation, and the
1-20 Office of Thrift Supervision; and
1-21 (3) monitor and evaluate the strategies developed
1-22 under this section.
1-23 (b) The work group is composed of:
1-24 (1) a representative of the comptroller's office,
2-1 appointed by the comptroller;
2-2 (2) a representative of the Texas Department of
2-3 Housing and Community Affairs, appointed by the executive director
2-4 of that department;
2-5 (3) a representative of the Texas Department of
2-6 Commerce, appointed by the executive director of that department;
2-7 (4) a representative of the Texas Department of
2-8 Banking, appointed by the banking commissioner of Texas; and
2-9 (5) a representative of the Texas Department of
2-10 Insurance, appointed by the commissioner of insurance.
2-11 (c) The representative of the comptroller's office serves as
2-12 presiding officer of the work group. The members of the work group
2-13 may elect any other necessary officers.
2-14 (d) The work group shall meet quarterly and may meet more
2-15 often at the call of the presiding officer.
2-16 (e) A member of the work group serves a two-year term and
2-17 may be removed for any reason by the appointing authority.
2-18 (f) The appointing authority is responsible for the expenses
2-19 of a member's service on the work group. A member of the work
2-20 group receives no additional compensation for serving on the work
2-21 group.
2-22 (g) In developing the strategies required by this section,
2-23 the work group shall:
2-24 (1) explore innovative qualified investment
2-25 strategies;
2-26 (2) ensure to the extent possible that the strategies
2-27 encourage financial institutions in this state to lend money to
3-1 low-income and moderate-income families and individuals in the
3-2 state;
3-3 (3) coordinate its efforts to attract private capital
3-4 through investments that meet the requirements of the Community
3-5 Reinvestment Act of 1977 (12 U.S.C. Section 2901 et seq.); and
3-6 (4) ensure to the extent possible that the strategies
3-7 augment existing Community Reinvestment Act of 1977 programs in the
3-8 state, including the operation of local community development
3-9 corporations.
3-10 Sec. 2. REPORT TO LEGISLATURE. The Community Reinvestment
3-11 work group shall submit each biennium to the legislature a written
3-12 report on the effectiveness of the strategies the work group is
3-13 required to develop under Section 1 of this article.
3-14 SECTION 2. The Community Reinvestment work group shall
3-15 submit the first report required by Section 2, Article 352, Revised
3-16 Statutes, as added by this Act, not later than February 1, 1999.
3-17 SECTION 3. This Act takes effect September 1, 1997.
3-18 SECTION 4. The importance of this legislation and the
3-19 crowded condition of the calendars in both houses create an
3-20 emergency and an imperative public necessity that the
3-21 constitutional rule requiring bills to be read on three several
3-22 days in each house be suspended, and this rule is hereby suspended.
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1414 was passed by the House on April
9, 1997, by a non-record vote.
_______________________________
Chief Clerk of the House
I certify that H.B. No. 1414 was passed by the Senate on
April 30, 1997, by a viva-voce vote.
_______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor