1-1                                   AN ACT

 1-2     relating to the collection of certain warrants or checks issued by

 1-3     a county treasurer.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Subchapter E, Chapter 116, Local Government Code,

 1-6     is amended by adding Section 116.120 to read as follows:

 1-7           Sec. 116.120.  COLLECTION OF CERTAIN OVERDUE COUNTY WARRANTS

 1-8     OR CHECKS.  (a)  This section applies only to a warrant or check

 1-9     issued by a county treasurer in settlement of a claim against a

1-10     county that has not been presented for payment.

1-11           (b)  A person attempting to recover funds from the county for

1-12     a check or warrant issued by the county treasurer may not charge

1-13     the person to whom the check or warrant was issued and on whose

1-14     behalf the attempted recovery is made, or that person's successors

1-15     or assigns, a fee in an amount equal to more than 10 percent of the

1-16     face value of the check or warrant.

1-17           (c)  A county treasurer may collect a reasonable research fee

1-18     to determine if a claim submitted under this section is valid.  The

1-19     treasurer may include the costs of inquiries to depository banks,

1-20     research of accounting records, and other similar actions in

1-21     setting the fee.  A county treasurer may require the fee to be paid

1-22     before a claim may be processed or researched under this section.

1-23           SECTION 2.  This Act takes effect September 1, 1997, and

1-24     applies only to a contract for the collection of an overdue county

 2-1     check or warrant made on or after that date.  A contract for the

 2-2     collection of an overdue county check or warrant made before the

 2-3     effective date of this Act is governed by the law as it existed

 2-4     immediately before the effective date of this Act, and that law is

 2-5     continued in effect for that purpose.

 2-6           SECTION 3.  The importance of this legislation and the

 2-7     crowded condition of the calendars in both houses create an

 2-8     emergency and an imperative public necessity that the

 2-9     constitutional rule requiring bills to be read on three several

2-10     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. 2185 was passed by the House on April

         18, 1997, by a non-record vote; and that the House concurred in

         Senate amendments to H.B. No. 2185 on May 7, 1997, by a non-record

         vote.

                                             _______________________________

                                                 Chief Clerk of the House

               I certify that H.B. No. 2185 was passed by the Senate, with

         amendments, on May 5, 1997, by the following vote:  Yeas 31, Nays

         0.

                                             _______________________________

                                                 Secretary of the Senate

         APPROVED:  _____________________

                            Date

                    _____________________

                          Governor