By Junell                                             H.B. No. 3370

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to a gift, political contribution or activity of an

 1-3     officer or employee of the Texas Lottery Commission or a former

 1-4     officer or employee of the Texas Lottery Commission.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  Section 467.001, Government Code, is amended to

 1-7     read as follows:

 1-8           Sec. 467.001.  DEFINITIONS.      In this chapter:

 1-9                 (1)  "Commission" means the Texas Lottery Commission.

1-10                 (2)  "Executive director" means the executive director

1-11     of the Texas Lottery Commission.

1-12                 (3)  "Communicate directly with" has the meaning

1-13     assigned by Section 305.002, Government Code.

1-14                 (4)  "Gift" includes a gratuity, trip, meal, or other

1-15     thing of value for which the recipient does not compensate the

1-16     person making the gift and it is not conferred on account of

1-17     kinship or a personal, professional, or business relationship

1-18     independent of the official status of the recipient.

1-19                 (5)  "Legislation" has the meaning assigned by Section

1-20     305.002.

1-21                 (6)  "Member of the legislative branch" has the meaning

1-22     assigned by Section 305.002.

1-23                 (7)  "Participated" means to have taken action as an

1-24     officer or employee through decision, approval, disapproval,

 2-1     recommendation, giving advice, or similar action.

 2-2                 (8)  "Particular matter" includes an investigation, an

 2-3     application, a request for a ruling or determination, a license

 2-4     proceeding, rulemaking, a contract, a controversy, a claim, a

 2-5     charge, an accusation, an arrest, or a judicial or other

 2-6     proceeding.

 2-7                 (9)  "Person that has a significant financial interest

 2-8     in the lottery" means:

 2-9                       (A)  a board member, officer, trustee or

2-10     fiduciary of a person that manufactures, distributes, sells or

2-11     produces lottery equipment, supplies, services, or advertising;

2-12                       (B)  an employee of a person that manufactures,

2-13     distributes, sells or produces lottery equipment, supplies,

2-14     services, or advertising and that employee is directly involved in

2-15     the manufacturing, distribution, selling or production of lottery

2-16     equipment, supplies, services, or advertising;

2-17                       (C)  a board member, officer, trustee or

2-18     fiduciary of a person that has made a bid to operate the lottery in

2-19     the preceding two years or that intends to make a bid to operate

2-20     the lottery or employee of the person if the employee is directly

2-21     involved in making the bid; or

2-22                       (D)  a sales agent.

2-23                 (10)  "Political committee" has the meaning assigned by

2-24     Section 251.001, Election Code.

2-25                 (11)  "Political contribution" has the meaning assigned

2-26     by Section 251.001, Election Code.

2-27           SECTION 2.  Subchapter C, Chapter 467, Government Code, is

 3-1     amended by adding Section 467.106 to read as follows:

 3-2           Sec. 467.106.  GIFT OR POLITICAL CONTRIBUTION TO OFFICER OR

 3-3     EMPLOYEE.  (a)  A commission member, the executive director, or an

 3-4     employee of the commission may not intentionally or knowingly

 3-5     accept a gift or political contribution from:

 3-6                 (1)  a person that has a significant financial interest

 3-7     in the lottery;

 3-8                 (2)  a person related in the first degree of

 3-9     consanguinity or affinity to a person that has a significant

3-10     financial interest in the lottery;

3-11                 (3)  a person that owns more than a 10 percent interest

3-12     in an entity that has a significant financial interest in the

3-13     lottery;

3-14                 (4)  a political committee that is directly

3-15     established, administered, or controlled, in whole or in part, by a

3-16     person that has a significant financial interest in the lottery; or

3-17                 (5)  a person who, within the two years preceding the

3-18     date of the gift or contribution, won a lottery prize exceeding

3-19     $600 in amount or value.

3-20           (b)  A person may not make a gift or political contribution

3-21     to a person known by the actor to be a commission member, the

3-22     executive director, or an employee of the commission, if the actor:

3-23                 (1)  has a significant financial interest in the

3-24     lottery;

3-25                 (2)  is related in the first degree of consanguinity or

3-26     affinity to a person that has a significant financial interest in

3-27     the lottery;

 4-1                 (3)  owns more than a 10 percent interest in an entity

 4-2     that has a significant financial interest in the lottery;

 4-3                 (4)  is a political committee that is directly

 4-4     established, administered, or controlled, in whole or in part, by a

 4-5     person that has a significant financial interest in the lottery; or

 4-6                 (5)  within the two years preceding the date of the

 4-7     gift or contribution, won a lottery prize exceeding $600 in amount

 4-8     or value.

 4-9           (c)  A person commits an offense if the person violates this

4-10     section.  An offense under this section is a Class A misdemeanor.

4-11           SECTION 3.  Subchapter C, Chapter 467, Government Code, is

4-12     amended by adding Section 467.107 to read as follows:

4-13           Sec. 467.107.  GIFT OR POLITICAL CONTRIBUTION TO FORMER

4-14     OFFICER OR EMPLOYEE.  (a)  A former commission member, former

4-15     executive director, or former employee of the commission may not,

4-16     before the second anniversary of the date that the person's service

4-17     in office or employment with the commission ceases, intentionally

4-18     or knowingly accept a gift or political contribution from:

4-19                 (1)  a person that has a significant financial interest

4-20     in the lottery;

4-21                 (2)  a person related in the first degree of

4-22     consanguinity or affinity to a person that has a significant

4-23     financial interest in the lottery;

4-24                 (3)  a person that owns more than a 10 percent interest

4-25     in an entity that has a significant financial interest in the

4-26     lottery;

4-27                 (4)  a political committee that is directly

 5-1     established, administered, or controlled, in whole or in part, by a

 5-2     person that has a significant financial interest in the lottery; or

 5-3                 (5)  a person who, within the two years preceding the

 5-4     date of the gift or contribution, won a lottery prize exceeding

 5-5     $600 in amount or value.

 5-6           (b)  A person may not make a gift or political contribution

 5-7     to a person known by the actor to be a former commission member,

 5-8     former executive director, or former employee of the commission, if

 5-9     the actor:

5-10                 (1)  has a significant financial interest in the

5-11     lottery;

5-12                 (2)  is related in the first degree of consanguinity or

5-13     affinity to a person that has a significant financial interest in

5-14     the lottery;

5-15                 (3)  owns more than a 10 percent interest in an entity

5-16     that has a significant financial interest in the lottery;

5-17                 (4)  is a political committee that is directly

5-18     established, administered, or controlled, in whole or in part, by a

5-19     person that has a significant financial interest in the lottery; or

5-20                 (5)  within the two years preceding the date of the

5-21     gift or contribution, won a lottery prize exceeding $600 in amount

5-22     or value.

5-23           (c)  A person commits an offense if the person violates this

5-24     section.  An offense under this section is a Class A misdemeanor.

5-25           SECTION 4.  Subchapter C, Chapter 467, Government Code, is

5-26     amended by adding Section 467.108 to read as follows:

5-27           Sec. 467.108.  REPRESENTATION BY FORMER OFFICER OR EMPLOYEE.

 6-1     (a)  A former commission member, former executive director, or

 6-2     former director may not:

 6-3                 (1)  for compensation, represent a person that has made

 6-4     or intends to make a bid to operate the lottery before the

 6-5     commission before the second anniversary of the date that the

 6-6     person's service in office or employment with the commission

 6-7     ceases;

 6-8                 (2)  represent any person or receive compensation for

 6-9     services rendered on behalf of any person regarding a particular

6-10     matter in which the former officer or employee participated during

6-11     the period of service or employment with the commission, either

6-12     through personal involvement or because the matter was within the

6-13     scope of the officer's or employee's official responsibility; or

6-14                 (3)  for compensation communicate directly with a

6-15     member of the legislative branch to influence legislation on behalf

6-16     of a person that has a significant financial interest in the

6-17     lottery, before the second anniversary of the date that the

6-18     person's service in office or employment with the commission

6-19     ceases.

6-20           (b)  A person commits an offense if the person violates this

6-21     section.  An offense under this section is a Class A misdemeanor.

6-22           SECTION 5.  Sections 466.301, 466.314, 466.315, and 466.316,

6-23     Government Code, are repealed.

6-24           SECTION 6.  This Act takes effect September 1, 1997.

6-25           SECTION 7.  The importance of this legislation and the

6-26     crowded condition of the calendars in both houses create an

6-27     emergency and an imperative public necessity that the

 7-1     constitutional rule requiring bills to be read on three several

 7-2     days in each house be suspended, and this rule is hereby suspended.