By Harris                                        S.B. No. 898
      75R4129 RJA-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to nonsubstantive additions to and corrections in enacted
 1-3     codes, including the nonsubstantive codification of various laws
 1-4     omitted from enacted codes, and to conforming codifications enacted
 1-5     by the 74th Legislature to other Acts of that legislature.
 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-7                       ARTICLE 1.  GENERAL PROVISIONS
 1-8           SECTION 1.01.  This Act is enacted as part of the state's
 1-9     continuing statutory revision program under Chapter 323, Government
1-10     Code.  This Act is a revision for purposes of Section 43, Article
1-11     III, Texas Constitution, and has the purposes of:
1-12                 (1)  codifying without substantive change various
1-13     statutes that were omitted from enacted codes;
1-14                 (2)  conforming codifications enacted by the 74th
1-15     Legislature to other Acts of that legislature that amended the laws
1-16     codified or added new law to subject matter codified;
1-17                 (3)  making necessary corrections to enacted
1-18     codifications; and
1-19                 (4)  renumbering titles, chapters, and sections of
1-20     codes that duplicate title, chapter, or section numbers.
1-21           SECTION 1.02.  (a)  The repeal of a statute by this Act does
1-22     not affect an amendment, revision, or reenactment of the statute by
1-23     the 75th Legislature, Regular Session, 1997.  The amendment,
1-24     revision, or reenactment is preserved and given effect as part of
 2-1     the code provision that revised the statute so amended, revised, or
 2-2     reenacted.
 2-3           (b)  If any provision of this Act conflicts with a statute
 2-4     enacted by the 75th Legislature, Regular Session, 1997, the statute
 2-5     controls.
 2-6           SECTION 1.03.  (a)  A transition or saving provision of a law
 2-7     codified by this Act applies to the codified law to the same extent
 2-8     as it applied to the original law.
 2-9           (b)  The repeal of a transition or saving provision by this
2-10     Act does not affect the application of the provision to the
2-11     codified law.
2-12           (c)  In this section, "transition provision" includes any
2-13     temporary provision providing for a special situation in the
2-14     transition period between the existing law and the establishment or
2-15     implementation of the new law.
2-16              ARTICLE 2.  CHANGES RELATING TO AGRICULTURE CODE
2-17           SECTION 2.01.  Chapter 19, Agriculture Code, as added by
2-18     Section 2.01, Chapter 76, Acts of the 74th Legislature, Regular
2-19     Session, 1995, is repealed because of the repeal of the source law
2-20     from which it was derived by Section 10.09(19), Chapter 419, Acts
2-21     of the 74th Legislature, Regular Session, 1995.
2-22          ARTICLE 3.  CHANGES RELATING TO BUSINESS & COMMERCE CODE
2-23           SECTION 3.01.  Section 21(b), Chapter 962, Acts of the 74th
2-24     Legislature, Regular Session, 1995, is amended to read as follows:
2-25           (b)  If a security interest in a security is perfected under
2-26     Chapter 8, Business & Commerce Code, on the date this Act takes
2-27     effect, and the action by which the security interest was perfected
 3-1     would suffice to perfect a security interest under Chapter 9,
 3-2     Business & Commerce Code, as amended [Chapter 8, Business &
 3-3     Commerce Code, as revised] by this Act, no further action is
 3-4     required to continue perfection.  If a security interest in a
 3-5     security is perfected under Chapter 8, Business & Commerce Code, on
 3-6     the date this Act takes effect but the action by which the security
 3-7     interest was perfected would not suffice to perfect a security
 3-8     interest under Chapter 9, Business & Commerce Code, as amended
 3-9     [Chapter 8, Business & Commerce Code, as revised] by this Act, the
3-10     security interest remains perfected until January 1, 1996, and
3-11     continues perfected on and after that date if appropriate action to
3-12     perfect under Chapter 9, Business & Commerce Code, as amended
3-13     [Chapter 8, Business & Commerce Code, as revised] by this Act is
3-14     taken before January 1, 1996.  If a security interest is perfected
3-15     under Chapter 8, Business & Commerce Code, on the date this Act
3-16     takes effect and the security interest can be perfected by filing
3-17     under Chapter 9, Business & Commerce Code, as amended [Chapter 8,
3-18     Business & Commerce Code, as revised] by this Act, a financing
3-19     statement signed by the secured party instead of the debtor may be
3-20     filed before January 1, 1996, to continue perfection or filed on or
3-21     after that date to perfect.
3-22               ARTICLE 4.  CHANGES RELATING TO CIVIL PRACTICE
3-23                              AND REMEDIES CODE
3-24           SECTION 4.01.  Section 41.002(b), Civil Practice and Remedies
3-25     Code, is revised and amended to reflect amendment by Chapter 19,
3-26     Acts of the 74th Legislature, Regular Session, 1995, and amendment
3-27     to conform citations to certain codes by Chapter 260, Acts of the
 4-1     74th Legislature, Regular Session, 1995, to read as follows:
 4-2           (b)  This chapter establishes the maximum exemplary damages
 4-3     that may be awarded in an action subject to this chapter, including
 4-4     an action for which exemplary damages are awarded under another law
 4-5     of this state.  This chapter does not apply to the extent another
 4-6     law establishes a lower maximum amount of exemplary damages for a
 4-7     particular claim.  [This chapter does not apply to:]
 4-8                 [(1)  an action brought under the Deceptive Trade
 4-9     Practices-Consumer Protection Act (Subchapter E, Chapter 17,
4-10     Business & Commerce Code)  except as specifically provided in
4-11     Section 17.50 of that Act;]
4-12                 [(2)  an action brought under Chapter 21, Insurance
4-13     Code;]
4-14                 [(3)  an action brought under the workers' compensation
4-15     laws of this state (Title 5, Labor Code);]
4-16                 [(4)  an action to recover exemplary damages against an
4-17     employer by the employee's beneficiaries in a death action arising
4-18     out of the course and scope of employment where the employer is a
4-19     subscriber under the workers' compensation laws of this state
4-20     (Title 5, Labor Code);]
4-21                 [(5)  an action brought under Chapter 246, Acts of the
4-22     63rd Legislature, Regular Session, 1973, Home Solicitation
4-23     Transactions (Article 5069-13.01 et seq., Vernon's Texas Civil
4-24     Statutes);]
4-25                 [(6)  an action brought under Chapter 547, Acts of the
4-26     63rd Legislature, Regular Session, 1973, Debt Collection Practices
4-27     (Article 5069-11.01 et seq., Vernon's Texas Civil Statutes);]
 5-1                 [(7)  an action brought under Chapter 54, 91, or 92,
 5-2     Property Code;]
 5-3                 [(8)  an action brought under the Texas Manufactured
 5-4     Housing Standards Act (Article 5221f, Vernon's Texas Civil
 5-5     Statutes);]
 5-6                 [(9)  an action brought under the Texas Motor Vehicle
 5-7     Commission Code (Article 4413(36), Vernon's Texas Civil Statutes);]
 5-8                 [(10)  an action brought under Chapter 132, Education
 5-9     Code;]
5-10                 [(11)  an action brought under Section 9.507 or Section
5-11     27.01, Business & Commerce Code;]
5-12                 [(12)  an action brought under Chapter 36, Family Code;]
5-13                 [(13)  an action brought under the Health Spa Act
5-14     (Article 5221l, Vernon's Texas Civil Statutes);]
5-15                 [(14)  an action brought under the Business Opportunity
5-16     Act (Article 5069-16.01 et seq., Vernon's Texas Civil Statutes); or]
5-17                 [(15)  an action brought under Chapter 221, Property
5-18     Code.]
5-19                       ARTICLE 5.  GENERAL ARBITRATION
5-20           SECTION 5.01.  Chapter 171, Civil Practice and Remedies Code,
5-21     is revised to read as follows:
5-22                      CHAPTER 171.  GENERAL ARBITRATION
5-23                      SUBCHAPTER A.  GENERAL PROVISIONS
5-24           Sec. 171.001.  ARBITRATION AGREEMENTS VALID.  (a)  A written
 6-1     agreement to arbitrate is valid and enforceable if the agreement is
 6-2     to arbitrate a controversy that:
 6-3                 (1)  exists at the time of the agreement; or
 6-4                 (2)  arises between the parties after the date of the
 6-5     agreement.
 6-6           (b)  A party may revoke the agreement only on a ground that
 6-7     exists at law or in equity for the revocation of a contract.
 6-8           Sec. 171.002.  SCOPE OF CHAPTER.  (a)  This chapter does not
 6-9     apply to:
6-10                 (1)  a collective bargaining agreement between an
6-11     employer and a labor union;
6-12                 (2)  an agreement for the acquisition by one or more
6-13     individuals of property, services, money, or credit in which the
6-14     total consideration to be furnished by the individual is not more
6-15     than $50,000, except as provided by Subsection (b);
6-16                 (3)  a claim for personal injury, except as provided by
6-17     Subsection (c);
6-18                 (4)  a claim for workers' compensation benefits; or
6-19                 (5)  an agreement made before January 1, 1966.
6-20           (b)  An agreement described by Subsection (a)(2) is subject
6-21     to this chapter if:
6-22                 (1)  the parties to the agreement agree in writing to
6-23     arbitrate; and
6-24                 (2)  the agreement is signed by each party and each
 7-1     party's attorney.
 7-2           (c)  A claim described by Subsection (a)(3) is subject to
 7-3     this chapter if:
 7-4                 (1)  each party to the claim, on the advice of counsel,
 7-5     agrees in writing to arbitrate; and
 7-6                 (2)  the agreement is signed by each party and each
 7-7     party's attorney.
 7-8           Sec. 171.003.  UNIFORM INTERPRETATION.  This chapter shall be
 7-9     construed to effect its purpose and make uniform the construction
7-10     of other states' law applicable to an arbitration.
7-11              (Sections 171.004-171.020 reserved for expansion)
7-12          SUBCHAPTER B.  PROCEEDINGS TO COMPEL OR STAY ARBITRATIONS
7-13           Sec. 171.021.  PROCEEDING TO COMPEL ARBITRATION.  (a)  A
7-14     court shall order the parties to arbitrate on application of a
7-15     party showing:
7-16                 (1)  an agreement to arbitrate; and
7-17                 (2)  the opposing party's refusal to arbitrate.
7-18           (b)  If a party opposing an application made under Subsection
7-19     (a) denies the existence of the agreement, the court shall
7-20     summarily determine that issue.  The court shall order the
7-21     arbitration if it finds for the party that made the application. If
7-22     the court does not find for that party, the court shall deny the
7-23     application.
7-24           (c)  An order compelling arbitration must include a stay of
 8-1     any proceeding subject to Section 171.025.
 8-2           Sec. 171.022.  UNCONSCIONABLE AGREEMENTS UNENFORCEABLE.  A
 8-3     court may not enforce an agreement to arbitrate if the court finds
 8-4     the agreement was unconscionable at the time the agreement was
 8-5     made.
 8-6           Sec. 171.023.  PROCEEDING TO STAY ARBITRATION.  (a)  A court
 8-7     may stay an arbitration commenced or threatened on application and
 8-8     a showing that there is not an agreement to arbitrate.
 8-9           (b)  If there is a substantial bona fide dispute as to
8-10     whether an agreement to arbitrate exists, the court shall try the
8-11     issue promptly and summarily.
8-12           (c)  The court shall stay the arbitration if the court finds
8-13     for the party moving for the stay.  If the court finds for the
8-14     party opposing the stay, the court shall order the parties to
8-15     arbitrate.
8-16           Sec. 171.024.  PLACE FOR MAKING APPLICATION.  (a)  If there
8-17     is a proceeding pending in a court involving an issue referable to
8-18     arbitration under an alleged agreement to arbitrate, a party may
8-19     make an application under this subchapter only in that court.
8-20           (b)  If Subsection (a) does not apply, a party may make an
8-21     application in any court, subject to Section 171.096.
8-22           Sec. 171.025.  STAY OF RELATED PROCEEDING.  (a)  The court
8-23     shall stay a proceeding that involves an issue subject to
8-24     arbitration if an order for arbitration or an application for that
 9-1     order is made under this subchapter.
 9-2           (b)  The stay applies only to the issue subject to
 9-3     arbitration if that issue is severable from the remainder of the
 9-4     proceeding.
 9-5           Sec. 171.026.  VALIDITY OF UNDERLYING CLAIM.  A court may not
 9-6     refuse to order arbitration because:
 9-7                 (1)  the claim lacks merit or bona fides; or
 9-8                 (2)  the fault or ground for the claim is not shown.
 9-9              (Sections 171.027-171.040 reserved for expansion)
9-10                         SUBCHAPTER C.  ARBITRATION
9-11           Sec. 171.041.  APPOINTMENT OF ARBITRATORS.  (a)  The method
9-12     of appointment of arbitrators is as specified in the agreement to
9-13     arbitrate.
9-14           (b)  The court, on application of a party stating the nature
9-15     of the issues to be arbitrated and the qualifications of the
9-16     proposed arbitrators, shall appoint one or more qualified
9-17     arbitrators if:
9-18                 (1)  the agreement to arbitrate does not specify a
9-19     method of appointment;
9-20                 (2)  the agreed method fails or cannot be followed; or
9-21                 (3)  an appointed arbitrator fails or is unable to act
9-22     and a successor has not been appointed.
9-23           (c)  An arbitrator appointed under Subsection (b) has the
9-24     powers of an arbitrator named in the agreement to arbitrate.
 10-1          Sec. 171.042.  MAJORITY ACTION BY ARBITRATORS.  The powers of
 10-2    the arbitrators are exercised by a majority unless otherwise
 10-3    provided by the agreement to arbitrate or this chapter.
 10-4          Sec. 171.043.  HEARING CONDUCTED BY ARBITRATORS.  (a)  Unless
 10-5    otherwise provided by the agreement to arbitrate, all the
 10-6    arbitrators shall conduct the hearing.  A majority of the
 10-7    arbitrators may determine a question and render a final award.
 10-8          (b)  If, during the course of the hearing, an arbitrator
 10-9    ceases to act, one or more remaining arbitrators appointed to act
10-10    as neutral arbitrators may hear and determine the controversy.
10-11          Sec. 171.044.  TIME AND PLACE OF HEARING; NOTICE.  (a)
10-12    Unless otherwise provided by the agreement to arbitrate, the
10-13    arbitrators shall set a time and place for the hearing and notify
10-14    each party.
10-15          (b)  The notice must be served not later than the fifth day
10-16    before the hearing either personally or by registered or certified
10-17    mail with return receipt requested. Appearance at the hearing
10-18    waives the notice.
10-19          (c)  The court on application may direct the arbitrators to
10-20    proceed promptly with the hearing and determination of the
10-21    controversy.
10-22          Sec. 171.045.  ADJOURNMENT OR POSTPONEMENT.  Unless otherwise
10-23    provided by the agreement to arbitrate, the arbitrators may:
10-24                (1)  adjourn the hearing as necessary; and
 11-1                (2)  on request of a party and for good cause, or on
 11-2    their own motion, postpone the hearing to a time not later than:
 11-3                      (A)  the date set by the agreement for making the
 11-4    award; or
 11-5                      (B)  a later date agreed to by the parties.
 11-6          Sec. 171.046.  FAILURE OF PARTY TO APPEAR.  Unless otherwise
 11-7    provided by the agreement to arbitrate, the arbitrators may hear
 11-8    and determine the controversy on the evidence produced without
 11-9    regard to whether a party who has been notified as provided by
11-10    Section 171.044 fails to appear.
11-11          Sec. 171.047.  RIGHTS OF PARTY AT HEARING.  Unless otherwise
11-12    provided by the agreement to arbitrate, a party at the hearing is
11-13    entitled to:
11-14                (1)  be heard;
11-15                (2)  present evidence material to the controversy; and
11-16                (3)  cross-examine any witness.
11-17          Sec. 171.048.  REPRESENTATION BY ATTORNEY; FEES.  (a)  A
11-18    party is entitled to representation by an attorney at a proceeding
11-19    under this chapter.
11-20          (b)  A waiver of the right described by Subsection (a) before
11-21    the proceeding is ineffective.
11-22          (c)  The arbitrators shall award attorney's fees as
11-23    additional sums required to be paid under the award only if the
11-24    fees are provided for:
 12-1                (1)  in the agreement to arbitrate; or
 12-2                (2)  by law for a recovery in a civil action in the
 12-3    district court on a cause of action on which any part of the award
 12-4    is based.
 12-5          Sec. 171.049.  OATH.  The arbitrators, or an arbitrator at
 12-6    the direction of the arbitrators, may administer to each witness
 12-7    testifying before them the oath required of a witness in a civil
 12-8    action pending in a district court.
 12-9          Sec. 171.050.  DEPOSITIONS.  (a)  The arbitrators may
12-10    authorize a deposition:
12-11                (1)  for use as evidence to be taken of a witness who
12-12    cannot be required by subpoena to appear before the arbitrators or
12-13    who is unable to attend the hearing; or
12-14                (2)  for discovery or evidentiary purposes to be taken
12-15    of an adverse witness.
12-16          (b)  A deposition under this section shall be taken in the
12-17    manner provided by law for a deposition in a civil action pending
12-18    in a district court.
12-19          Sec. 171.051.  SUBPOENAS.  (a)  The arbitrators, or an
12-20    arbitrator at the direction of the arbitrators, may issue a
12-21    subpoena for:
12-22                (1)  attendance of a witness; or
12-23                (2)  production of books, records, documents, or other
12-24    evidence.
 13-1          (b)  A witness required to appear by subpoena under this
 13-2    section may appear at the hearing before the arbitrators or at a
 13-3    deposition.
 13-4          (c)  A subpoena issued under this section shall be served in
 13-5    the manner provided by law for the service of a subpoena issued in
 13-6    a civil action pending in a district court.
 13-7          (d)  Each provision of law requiring a witness to appear,
 13-8    produce evidence, and testify under a subpoena issued in a civil
 13-9    action pending in a district court applies to a subpoena issued
13-10    under this section.
13-11          Sec. 171.052.  WITNESS FEE.  The fee for a witness attending
13-12    a hearing or a deposition under this subchapter is the same as the
13-13    fee for a witness in a civil action in a district court.
13-14          Sec. 171.053.  ARBITRATORS' AWARD.  (a)  The arbitrators'
13-15    award must be in writing and signed by each arbitrator joining in
13-16    the award.
13-17          (b)  The arbitrators shall deliver a copy of the award to
13-18    each party personally, by registered or certified mail, or as
13-19    provided in the agreement.
13-20          (c)  The arbitrators shall make the award:
13-21                (1)  within the time established by the agreement to
13-22    arbitrate; or
13-23                (2)  if a time is not established by the agreement,
13-24    within the time ordered by the court on application of a party.
 14-1          (d)  The parties may extend the time for making the award
 14-2    either before or after the time expires.  The extension must be in
 14-3    writing.
 14-4          (e)  A party waives the objection that an award was not made
 14-5    within the time required unless the party notifies the arbitrators
 14-6    of the objection before the delivery of the award to that party.
 14-7          Sec. 171.054.  MODIFICATION OR CORRECTION TO AWARD.  (a)  The
 14-8    arbitrators may modify or correct an award:
 14-9                (1)  on the grounds stated in Section 171.091; or
14-10                (2)  to clarify the award.
14-11          (b)  A modification or correction under Subsection (a) may be
14-12    made only:
14-13                (1)  on application of a party; or
14-14                (2)  on submission to the arbitrators by a court, if an
14-15    application to the court is pending under Sections 171.087,
14-16    171.088, 171.089, and 171.091, subject to any condition ordered by
14-17    the court.
14-18          (c)  A party may make an application under this section not
14-19    later than the 20th day after the date the award is delivered to
14-20    the applicant.
14-21          (d)  An applicant shall give written notice of the
14-22    application promptly to the opposing party.  The notice must state
14-23    that the opposing party must serve any objection to the application
14-24    not later than the 10th day after the date of notice.
 15-1          (e)  An award modified or corrected under this section is
 15-2    subject to Sections 171.087, 171.088, 171.089, 171.090, and
 15-3    171.091.
 15-4          Sec. 171.055.  ARBITRATOR'S FEES AND EXPENSES.  Unless
 15-5    otherwise provided in the agreement to arbitrate, the arbitrators'
 15-6    expenses and fees, with other expenses incurred in conducting the
 15-7    arbitration, shall be paid as provided in the award.
 15-8             (Sections 171.056-171.080 reserved for expansion)
 15-9                     SUBCHAPTER D.  COURT PROCEEDINGS
15-10          Sec. 171.081.  JURISDICTION.  The making of an agreement
15-11    described by Section 171.001 that provides for or authorizes an
15-12    arbitration in this state and to which that section applies confers
15-13    jurisdiction on the court to enforce the agreement and to render
15-14    judgment on an award under this chapter.
15-15          Sec. 171.082.  APPLICATION TO COURT; FEES.  (a)  The filing
15-16    with the clerk of the court of an application for an order under
15-17    this chapter, including a judgment or decree, invokes the
15-18    jurisdiction of the court.
15-19          (b)  On the filing of the initial application and the payment
15-20    to the clerk of the fees of court required to be paid on the filing
15-21    of a civil action in the court, the clerk shall docket the
15-22    proceeding as a civil action pending in that court.
15-23          Sec. 171.083.  TIME FOR FILING.  An applicant for a court
15-24    order under this chapter may file the application:
 16-1                (1)  before arbitration proceedings begin in support of
 16-2    those proceedings;
 16-3                (2)  during the period the arbitration is pending
 16-4    before the arbitrators; or
 16-5                (3)  subject to this chapter, at or after the
 16-6    conclusion of the arbitration.
 16-7          Sec. 171.084.  STAY OF CERTAIN PROCEEDINGS.  (a)  After an
 16-8    initial application is filed, the court may stay:
 16-9                (1)  a proceeding under a later filed application in
16-10    another court to:
16-11                      (A)  invoke the jurisdiction of that court; or
16-12                      (B)  obtain an order under this chapter; or
16-13                (2)  a proceeding instituted after the initial
16-14    application has been filed.
16-15          (b)  A stay under this section affects only an issue subject
16-16    to arbitration under an agreement in accordance with the terms of
16-17    the initial application.
16-18          Sec. 171.085.  CONTENTS OF APPLICATION.  (a)  A court may
16-19    require that an application filed under this chapter:
16-20                (1)  show the jurisdiction of the court;
16-21                (2)  have attached a copy of the agreement to
16-22    arbitrate;
16-23                (3)  define the issue subject to arbitration between
16-24    the parties under the agreement;
 17-1                (4)  specify the status of the arbitration before the
 17-2    arbitrators; and
 17-3                (5)  show the need for the court order sought by the
 17-4    applicant.
 17-5          (b)  A court may not find an application inadequate because
 17-6    of the absence of a requirement listed in Subsection (a) unless the
 17-7    court, in its discretion:
 17-8                (1)  requires that the applicant amend the application
 17-9    to meet the requirements of the court; and
17-10                (2)  grants the applicant a 10-day period to comply.
17-11          Sec. 171.086.  ORDERS THAT MAY BE RENDERED.  (a)  Before
17-12    arbitration proceedings begin, in support of arbitration a party
17-13    may file an application for a court order, including an order to:
17-14                (1)  invoke the jurisdiction of the court over the
17-15    adverse party and to effect that jurisdiction by service of process
17-16    on the party before arbitration proceedings begin;
17-17                (2)  invoke the jurisdiction of the court over an
17-18    ancillary proceeding in rem, including by attachment, garnishment,
17-19    or sequestration, in the manner and subject to the conditions under
17-20    which the proceeding may be instituted and conducted ancillary to a
17-21    civil action in a district court;
17-22                (3)  restrain or enjoin:
17-23                      (A)  the destruction of all or an essential part
17-24    of the subject matter of the controversy; or
 18-1                      (B)  the destruction or alteration of books,
 18-2    records, documents, or other evidence needed for the arbitration;
 18-3                (4)  obtain from the court in its discretion an order
 18-4    for a deposition for discovery, perpetuation of testimony, or
 18-5    evidence needed before the arbitration proceedings begin;
 18-6                (5)  appoint one or more arbitrators so that an
 18-7    arbitration under the agreement to arbitrate may proceed; or
 18-8                (6)  obtain other relief, which the court can grant in
 18-9    its discretion, needed to permit the arbitration to be conducted in
18-10    an orderly manner and to prevent improper interference or delay of
18-11    the arbitration.
18-12          (b)  During the period an arbitration is pending before the
18-13    arbitrators or at or after the conclusion of the arbitration, a
18-14    party may file an application for a court order, including an
18-15    order:
18-16                (1)  that was referred to or that would serve a purpose
18-17    referred to in Subsection (a);
18-18                (2)  to require compliance by an adverse party or any
18-19    witness with an order made under this chapter by the arbitrators
18-20    during the arbitration;
18-21                (3)  to require the issuance and service under court
18-22    order, rather than under the arbitrators' order, of a subpoena,
18-23    notice, or other court process:
18-24                      (A)  in support of the arbitration; or
 19-1                      (B)  in an ancillary proceeding in rem, including
 19-2    by attachment, garnishment, or sequestration, in the manner of and
 19-3    subject to the conditions under which the proceeding may be
 19-4    conducted ancillary to a civil action in a district court;
 19-5                (4)  to require security for the satisfaction of a
 19-6    court judgment that may be later entered under an award;
 19-7                (5)  to support the enforcement of a court order
 19-8    entered under this chapter; or
 19-9                (6)  to obtain relief under Section 171.087, 171.088,
19-10    171.089, or 171.091.
19-11          (c)  A court may not require an applicant for an order under
19-12    Subsection (a)(1) to show that the adverse party is about to, or
19-13    may, leave the state if jurisdiction over that party is not
19-14    effected by service of process before the arbitration proceedings
19-15    begin.
19-16          Sec. 171.087.  CONFIRMATION OF AWARD.  Unless grounds are
19-17    offered for vacating, modifying, or correcting an award under
19-18    Section 171.088 or 171.091, the court, on application of a party,
19-19    shall confirm the award.
19-20          Sec. 171.088.  VACATING AWARD.  (a)  On application of a
19-21    party, the court shall vacate an award if:
19-22                (1)  the award was obtained by corruption, fraud, or
19-23    other undue means;
19-24                (2)  the rights of a party were prejudiced by:
 20-1                      (A)  evident partiality by an arbitrator
 20-2    appointed as a neutral arbitrator;
 20-3                      (B)  corruption in an arbitrator; or
 20-4                      (C)  misconduct or wilful misbehavior of an
 20-5    arbitrator;
 20-6                (3)  the arbitrators:
 20-7                      (A)  exceeded their powers;
 20-8                      (B)  refused to postpone the hearing after a
 20-9    showing of sufficient cause for the postponement;
20-10                      (C)  refused to hear evidence material to the
20-11    controversy; or
20-12                      (D)  conducted the hearing, contrary to Section
20-13    171.043, 171.044, 171.045, 171.046, or 171.047,  in a manner that
20-14    substantially prejudiced the rights of a party; or
20-15                (4)  there was no agreement to arbitrate, the issue was
20-16    not adversely determined in a proceeding under Subchapter B, and
20-17    the party did not participate in the arbitration hearing without
20-18    raising the objection.
20-19          (b)  A party must make an application under this section not
20-20    later than the 90th day after the date of delivery of a copy of the
20-21    award to the applicant. A party must make an application under
20-22    Subsection (a)(1) not later than the 90th day after the date the
20-23    grounds for the application are known or should have been known.
20-24          (c)  If the application to vacate is denied and a motion to
 21-1    modify or correct the award is not pending, the court shall confirm
 21-2    the award.
 21-3          Sec. 171.089.  REHEARING AFTER AWARD VACATED.  (a)  On
 21-4    vacating an award on grounds other than the grounds stated in
 21-5    Section 171.088(a)(4), the court may order a rehearing before new
 21-6    arbitrators chosen:
 21-7                (1)  as provided in the agreement to arbitrate; or
 21-8                (2)  by the court under Section 171.041, if the
 21-9    agreement does not provide the manner for choosing the arbitrators.
21-10          (b)  If the award is vacated under Section 171.088(a)(3), the
21-11    court may order a rehearing before the arbitrators who made the
21-12    award or their successors appointed under Section 171.041.
21-13          (c)  The period within which the agreement to arbitrate
21-14    requires the award to be made applies to a rehearing under this
21-15    section and commences from the date of the order.
21-16          Sec. 171.090.  TYPE OF RELIEF NOT FACTOR.  The fact that the
21-17    relief granted by the arbitrators could not or would not be granted
21-18    by a court of law or equity is not a ground for vacating or
21-19    refusing to confirm the award.
21-20          Sec. 171.091.  MODIFYING OR CORRECTING AWARD.  (a)  On
21-21    application, the court shall modify or correct an award if:
21-22                (1)  the award contains:
21-23                      (A)  an evident miscalculation of numbers; or
21-24                      (B)  an evident mistake in the description of a
 22-1    person, thing, or property referred to in the award;
 22-2                (2)  the arbitrators have made an award with respect to
 22-3    a matter not submitted to them and the award may be corrected
 22-4    without affecting the merits of the decision made with respect to
 22-5    the issues that were submitted; or
 22-6                (3)  the form of the award is imperfect in a manner not
 22-7    affecting the merits of the controversy.
 22-8          (b)  A party must make an application under this section not
 22-9    later than the 90th day after the date of delivery of a copy of the
22-10    award to the applicant.
22-11          (c)  If the application is granted, the court shall modify or
22-12    correct the award to effect its intent and shall confirm the award
22-13    as modified or corrected.  If the application is not granted, the
22-14    court shall confirm the award.
22-15          (d)  An application to modify or correct an award may be
22-16    joined in the alternative with an application to vacate the award.
22-17          Sec. 171.092.  JUDGMENT ON AWARD.  (a)  On granting an order
22-18    that confirms, modifies, or corrects an award, the court shall
22-19    enter a judgment or decree conforming to the order. The judgment or
22-20    decree may be enforced in the same manner as any other judgment or
22-21    decree.
22-22          (b)  The court may award:
22-23                (1)  costs of the application and of the proceedings
22-24    subsequent to the application; and
 23-1                (2)  disbursements.
 23-2          Sec. 171.093.  HEARING; NOTICE.  The court shall hear each
 23-3    initial and subsequent application under this subchapter in the
 23-4    manner and with the notice required by law or court rule for making
 23-5    and hearing a motion filed in a pending civil action in a district
 23-6    court.
 23-7          Sec. 171.094.  SERVICE OF PROCESS FOR INITIAL APPLICATION.
 23-8    (a)  On the filing of an initial application under this subchapter,
 23-9    the clerk of the court shall:
23-10                (1)  issue process for service on each adverse party
23-11    named in the application; and
23-12                (2)  attach a copy of the application to the process.
23-13          (b)  To the extent applicable, the process and service and
23-14    the return of service must be in the form and include the substance
23-15    required for process and service on a defendant in a civil action
23-16    in a district court.
23-17          (c)  An authorized official may effect the service of
23-18    process.
23-19          Sec. 171.095.  SERVICE OF PROCESS FOR SUBSEQUENT
23-20    APPLICATIONS.  (a)  After an initial application has been made,
23-21    notice to an adverse party for each subsequent application shall be
23-22    made in the same manner as is required for a motion filed in a
23-23    pending civil action in a district court.  This subsection applies
23-24    only if:
 24-1                (1)  jurisdiction over the adverse party has been
 24-2    established by service of process on the party or in rem for the
 24-3    initial application; and
 24-4                (2)  the subsequent application relates to:
 24-5                      (A)  the same arbitration or a prospective
 24-6    arbitration under the same agreement to arbitrate; and
 24-7                      (B)  the same controversy or controversies.
 24-8          (b)  If Subsection (a) does not apply, service of process
 24-9    shall be made on the adverse party in the manner provided by
24-10    Section 171.094.
24-11          Sec. 171.096.  PLACE OF FILING.  (a)  Except as otherwise
24-12    provided by this section, a party must file the initial
24-13    application:
24-14                (1)  in the county in which an adverse party resides or
24-15    has a place of business; or
24-16                (2)  if an adverse party does not have a residence or
24-17    place of business in this state, in any county.
24-18          (b)  If the agreement to arbitrate provides that the hearing
24-19    before the arbitrators is to be held in a county in this state, a
24-20    party must file the initial application with the clerk of the court
24-21    of that county.
24-22          (c)  If a hearing before the arbitrators has been held, a
24-23    party must file the initial application with the clerk of the court
24-24    of the county in which the hearing was held.
 25-1          (d)  Consistent with Section 171.024, if a proceeding is
 25-2    pending in a court relating to arbitration of an issue subject to
 25-3    arbitration under an agreement before the filing of the initial
 25-4    application, a party must file the initial application and any
 25-5    subsequent application relating to the arbitration in that court.
 25-6          Sec. 171.097.  TRANSFER.  (a)  On application of a party
 25-7    adverse to the party who filed the initial application, a court
 25-8    that has jurisdiction but that is located in a county other than as
 25-9    described by Section 171.096 shall transfer the  application to a
25-10    court of a county described by that section.
25-11          (b)  The court shall transfer the application by an order
25-12    comparable to an order sustaining a plea of privilege to be sued in
25-13    a civil action in a district court of a county other than the
25-14    county in which an action is filed.
25-15          (c)  The party must file the application under this section:
25-16                (1)  not later than the 20th day after the date of
25-17    service of process on the adverse party; and
25-18                (2)  before any other appearance in the court by that
25-19    adverse party, other than an appearance to challenge the
25-20    jurisdiction of the court.
25-21          Sec. 171.098.  APPEAL.  (a)  A party may appeal a judgment or
25-22    decree entered under this chapter or an order:
25-23                (1)  denying an application to compel arbitration made
25-24    under Section 171.021;
 26-1                (2)  granting an application to stay arbitration made
 26-2    under Section 171.023;
 26-3                (3)  confirming or denying confirmation of an award;
 26-4                (4)  modifying or correcting an award; or
 26-5                (5)  vacating an award without directing a rehearing.
 26-6          (b)  The appeal shall be taken in the manner and to the same
 26-7    extent as an appeal from an order or judgment in a civil action.
 26-8          SECTION 5.02.  Chapter 172, Civil Practice and Remedies Code,
 26-9    is revised to read as follows:
26-10        CHAPTER 172.  ARBITRATION AND CONCILIATION OF INTERNATIONAL
26-11                            COMMERCIAL DISPUTES
26-12                     SUBCHAPTER A.  GENERAL PROVISIONS
26-13          Sec. 172.001.  SCOPE OF CHAPTER.  (a)  This chapter applies
26-14    to international commercial arbitration and conciliation, subject
26-15    to any agreement that is in force between the United States and
26-16    another state or states.
26-17          (b)  This chapter, except Sections 172.174 and 172.175,
26-18    applies only to arbitration or conciliation in this state.
26-19          (c)  Except as provided by Subsection (d), this chapter does
26-20    not affect another state law under which a dispute:
26-21                (1)  may not be submitted to arbitration; or
26-22                (2)  may be submitted to arbitration only in accordance
26-23    with law other than this chapter.
26-24          (d)  Except as provided by this subsection, this chapter
 27-1    supersedes Subchapters B and C, Chapter 171, with respect to
 27-2    international commercial arbitration and conciliation.  This
 27-3    chapter does not supersede Subchapter A or D of that chapter or
 27-4    Section 171.022.
 27-5          Sec. 172.002.  DEFINITIONS.  (a) In this chapter:
 27-6                (1)  "Arbitration" includes any arbitration without
 27-7    regard to whether it is administered by a permanent arbitration
 27-8    institution.
 27-9                (2)  "Arbitration agreement" means an agreement to
27-10    arbitrate a dispute that has arisen or may arise between the
27-11    parties concerning a defined legal relationship, without regard to
27-12    whether the legal relationship is contractual.  The term includes
27-13    an arbitration clause in a contract or a separate agreement.
27-14                (3)  "Arbitration award" means a decision of an
27-15    arbitration tribunal on the substance of a dispute submitted to it
27-16    and includes an interim, interlocutory, or partial award.
27-17                (4)  "Arbitration tribunal" means a sole arbitrator or
27-18    a panel of arbitrators.
27-19                (5)  "Claim" includes a counterclaim.
27-20                (6)  "Conciliation" includes any conciliation without
27-21    regard to whether it is administered by a permanent conciliation
27-22    institution.
27-23                (7)  "Defense" includes a defense to a counterclaim.
27-24                (8)  "Party" means a party to an arbitration or
 28-1    conciliation agreement.
 28-2          (b)  The meanings assigned by this section to "claim" and
 28-3    "defense" do not apply in Sections 172.114(a) and 172.118(b)(1).
 28-4          Sec. 172.003.  INTERNATIONAL AGREEMENT.  (a)  An arbitration
 28-5    or conciliation agreement is international if:
 28-6                (1)  the places of business of the parties to the
 28-7    agreement are located in different states when the agreement is
 28-8    concluded;
 28-9                (2)  any of the following places is located outside any
28-10    state in which a party has a place of business:
28-11                      (A)  the place of arbitration or conciliation
28-12    determined under the arbitration or conciliation agreement;
28-13                      (B)  a place where a substantial part of the
28-14    obligations of the commercial relationship is to be performed; or
28-15                      (C)  the place with which the subject matter of
28-16    the dispute is most closely connected;
28-17                (3)  each party has expressly agreed that the subject
28-18    matter of the arbitration or conciliation agreement relates to
28-19    commercial interests in more than one state; or
28-20                (4)  the arbitration or conciliation agreement arises
28-21    out of a legal relationship that has another reasonable relation
28-22    with more than one state.
28-23          (b)  Subsection (a)(4) applies without regard to whether the
28-24    legal relationship is contractual.
 29-1          (c)  For purposes of this section, the place of business of a
 29-2    party who has more than one place of business is the place that has
 29-3    the closest relationship to the arbitration or conciliation
 29-4    agreement. If a party does not have a place of business, the
 29-5    party's place of business is the party's habitual residence.
 29-6          (d)  For purposes of this section, the states of the United
 29-7    States and the District of Columbia are one state.
 29-8          Sec. 172.004.  COMMERCIAL AGREEMENT.  An arbitration or
 29-9    conciliation agreement is commercial if it arises out of a
29-10    relationship of a commercial nature, including:
29-11                (1)  a transaction for the supply or exchange of goods
29-12    or services;
29-13                (2)  a distribution agreement;
29-14                (3)  a commercial representation or agency;
29-15                (4)  an exploitation agreement or concession;
29-16                (5)  a joint venture or other related form of
29-17    industrial or business cooperation;
29-18                (6)  the carriage of goods or passengers by air, sea,
29-19    rail, or road;
29-20                (7)  a relationship involving:
29-21                      (A)  construction;
29-22                      (B)  insurance;
29-23                      (C)  licensing;
29-24                      (D)  factoring;
 30-1                      (E)  leasing;
 30-2                      (F)  consulting;
 30-3                      (G)  engineering;
 30-4                      (H)  financing;
 30-5                      (I)  banking;
 30-6                      (J)  professional services; or
 30-7                      (K)  intellectual or industrial property,
 30-8    including trademarks, patents, copyrights, and software programs;
 30-9    or
30-10                (8)  the transfer of data or technology.
30-11          Sec. 172.005.  DATE WRITTEN COMMUNICATIONS RECEIVED.  (a)
30-12    Except as agreed by the parties, a written communication is
30-13    received on the day that it is delivered:
30-14                (1)  to the addressee personally; or
30-15                (2)  at the addressee's place of business, habitual
30-16    residence, or mailing address.
30-17          (b)  If a place described by Subsection (a) cannot be found
30-18    after a reasonable inquiry, a written communication is received if
30-19    it is sent to the addressee's last known place of business,
30-20    habitual residence, or mailing address by registered mail or other
30-21    means that provides a record of the attempt to deliver it.
30-22          (c)  This section does not apply to a written communication
30-23    relating to a court proceeding.
30-24          Sec. 172.006.  WAIVER OF RIGHT TO OBJECT.  (a)  A party who
 31-1    proceeds with the arbitration knowing that a provision of this
 31-2    chapter or the arbitration agreement has not been complied with
 31-3    waives the right to object to the noncompliance unless the party
 31-4    states the objection:
 31-5                (1)  without undue delay; or
 31-6                (2)  if a period is provided for stating that
 31-7    objection, within that period.
 31-8          (b)  Subsection (a) applies only to a provision of this
 31-9    chapter as to which the parties may agree to act in a different
31-10    manner.
31-11          Sec. 172.007.  DELEGATION OF CERTAIN DETERMINATIONS.  The
31-12    parties may authorize a third party, including an institution, to
31-13    determine any issue the parties may determine under this chapter,
31-14    other than a determination under Section 172.102.
31-15             (Sections 172.008-172.030 reserved for expansion)
31-16                   SUBCHAPTER B.  ARBITRATION AGREEMENTS
31-17          Sec. 172.031.  ARBITRATION AGREEMENTS VALID.  (a)  A written
31-18    arbitration agreement is valid and enforceable if the agreement is
31-19    to arbitrate a controversy that:
31-20                (1)  exists at the time of the agreement; or
31-21                (2)  arises between the parties after the date of the
31-22    agreement.
31-23          (b)  A party may revoke the agreement only on a ground that
31-24    exists at law or in equity for the revocation of a contract.
 32-1          Sec. 172.032.  REQUIREMENTS FOR ARBITRATION AGREEMENT.  (a)
 32-2    An arbitration agreement must be in writing.  The agreement is in
 32-3    writing if it is contained in:
 32-4                (1)  a document signed by each party;
 32-5                (2)  an exchange of letters, telexes, telegrams, or
 32-6    other means of telecommunication that provide a record of the
 32-7    agreement; or
 32-8                (3)  an exchange of statements of claim and defense in
 32-9    which the existence of an agreement is alleged by one party and not
32-10    denied by another.
32-11          (b)  A contract reference to a document containing an
32-12    arbitration clause is an arbitration agreement if the contract is
32-13    in writing and the reference is sufficient to make that clause part
32-14    of the contract.
32-15          Sec. 172.033.  RULES REFERRED TO IN AGREEMENT.  An agreement
32-16    of the parties under this chapter includes any arbitration or
32-17    conciliation rules referred to by that agreement.
32-18             (Sections 172.034-172.050 reserved for expansion)
32-19                        SUBCHAPTER C.  ARBITRATORS
32-20          Sec. 172.051.  NUMBER OF ARBITRATORS.  An arbitration has one
32-21    arbitrator unless the parties agree to additional arbitrators.
32-22          Sec. 172.052.  NATIONALITY OF ARBITRATOR.  A person of any
32-23    nationality may be an arbitrator.
32-24          Sec. 172.053.  APPOINTMENT OF ARBITRATION TRIBUNAL.  (a)
 33-1    Subject to Sections 172.054(b), (c), and (d) and Section 172.055,
 33-2    the parties may agree on a procedure for appointing the arbitration
 33-3    tribunal.
 33-4          (b)  If an agreement is not made under Subsection (a), in an
 33-5    arbitration with three arbitrators and two parties, each party
 33-6    shall appoint one arbitrator, and the two appointed arbitrators
 33-7    shall appoint the third arbitrator.
 33-8          Sec. 172.054.  APPOINTMENT BY COURT.  (a)  On request of a
 33-9    party, the district court of the county in which the place of
33-10    arbitration is located shall appoint each arbitrator if:
33-11                (1)  an agreement is not made under Section 172.053(a)
33-12    in an arbitration with a sole arbitrator and the parties fail to
33-13    agree on the arbitrator; or
33-14                (2)  the appointment procedure in Section 172.053(b)
33-15    applies and:
33-16                      (A)  a party fails to appoint an arbitrator not
33-17    later than the 30th day after the date of receipt of a request to
33-18    do so from the other party; or
33-19                      (B)  the two appointed arbitrators fail to agree
33-20    on the third arbitrator not later than the 30th day after the date
33-21    of their appointment.
33-22          (b)  On request of a party, the district court of the county
33-23    in which the place of arbitration is located may take necessary
33-24    measures if under an appointment procedure agreed to by each party:
 34-1                (1)  a party fails to act as required under that
 34-2    procedure;
 34-3                (2)  the parties or two appointed arbitrators fail to
 34-4    reach an agreement expected of them under that procedure; or
 34-5                (3)  a third party, including an institution, fails to
 34-6    perform a function assigned to the party under that procedure.
 34-7          (c)  Subsection (b) does not apply if the agreement on the
 34-8    appointment procedure provides other means for securing the
 34-9    appointment.
34-10          (d)  A decision of the district court under this section is
34-11    final and not subject to appeal.
34-12          Sec. 172.055.  FACTORS CONSIDERED.  In appointing an
34-13    arbitrator, the district court shall consider:
34-14                (1)  each qualification required of the arbitrator by
34-15    the arbitration agreement;
34-16                (2)  any consideration making more likely the
34-17    appointment of an independent and impartial arbitrator; and
34-18                (3)  in the case of a sole or third arbitrator, the
34-19    advisability of appointing an arbitrator of a nationality other
34-20    than that of any party.
34-21          Sec. 172.056.  DISCLOSURE OF GROUNDS FOR CHALLENGE.  (a)
34-22    Except as otherwise provided by this chapter, a person who is
34-23    contacted in connection with the person's possible appointment or
34-24    designation as an arbitrator or conciliator or who is appointed or
 35-1    designated shall, not later than the 21st day after the date of the
 35-2    contact, appointment, or designation, disclose to each party any
 35-3    information that might cause the person's impartiality or
 35-4    independence to be questioned, including information that:
 35-5                (1)  the person:
 35-6                      (A)  has a personal bias or prejudice concerning
 35-7    a party;
 35-8                      (B)  has personal knowledge of a disputed
 35-9    evidentiary fact concerning the proceeding;
35-10                      (C)  served as an attorney in the matter in
35-11    controversy;
35-12                      (D)  is or has been associated with another who
35-13    has participated in the matter during the association;
35-14                      (E)  has been a material witness concerning the
35-15    matter;
35-16                      (F)  served as an arbitrator or conciliator in
35-17    another proceeding involving a party to the proceeding; or
35-18                      (G)  has a close personal or professional
35-19    relationship with a person who:
35-20                            (i)  is or has been a party to the
35-21    proceeding or an officer, director, or trustee of a party;
35-22                            (ii)  is acting or has acted as an attorney
35-23    or representative in the proceeding;
35-24                            (iii)  is or expects to be nominated as an
 36-1    arbitrator or conciliator in the proceeding;
 36-2                            (iv)  is known to have an interest that
 36-3    could be substantially affected by the outcome of the proceeding;
 36-4    or
 36-5                            (v)  is likely to be a material witness in
 36-6    the proceeding;
 36-7                (2)  the person, individually or as a fiduciary, or the
 36-8    person's spouse or minor child residing in the person's household
 36-9    has:
36-10                      (A)  a financial interest in:
36-11                            (i)  the subject matter in controversy; or
36-12                            (ii)  a party to the proceeding; or
36-13                      (B)  any other interest that could be
36-14    substantially affected by the outcome of the proceeding; or
36-15                (3)  the person, the person's spouse, a person within
36-16    the third degree of relationship to either of them, or the spouse
36-17    of that person:
36-18                      (A)  is or has been a party to the proceeding or
36-19    an officer, director, or trustee of a party;
36-20                      (B)  is acting or has acted as an attorney in the
36-21    proceeding;
36-22                      (C)  is known to have an interest that could be
36-23    substantially affected by the outcome of the proceeding; or
36-24                      (D)  is likely to be a material witness in the
 37-1    proceeding.
 37-2          (b)  Except as provided by this subsection, the parties may
 37-3    agree to waive the disclosure under Subsection (a).  A party may
 37-4    not waive the disclosure for a person serving as:
 37-5                (1)  the sole arbitrator or conciliator; or
 37-6                (2)  the chief or prevailing arbitrator or conciliator.
 37-7          (c)  After appointment and throughout the arbitration or
 37-8    conciliation, an arbitrator or conciliator shall promptly disclose
 37-9    to each party any circumstance described by Subsection (a) that was
37-10    not previously disclosed.
37-11          Sec. 172.057.  GROUNDS FOR CHALLENGE; LIMITATION.  Except as
37-12    provided by agreement of the parties or the rules governing the
37-13    arbitration, a party may challenge an arbitrator only if
37-14    circumstances exist that give rise to justifiable doubts as to the
37-15    arbitrator's impartiality, independence, or possession of a
37-16    qualification on which the parties have agreed.
37-17          Sec. 172.058.  CHALLENGE AFTER APPOINTMENT.  A party who
37-18    appointed or  participated in the appointment of an arbitrator may
37-19    challenge that arbitrator only for a reason that the party becomes
37-20    aware of after the appointment is made.
37-21          Sec. 172.059.  CHALLENGE PROCEDURE.  (a)  The parties may
37-22    agree on a procedure for challenging an arbitrator.  A decision
37-23    reached under that procedure is final.
37-24          (b)  If there is not an agreement under Subsection (a), a
 38-1    party challenging an arbitrator shall send a written statement of
 38-2    the reason for the challenge to the arbitration tribunal.  The
 38-3    party shall send the statement not later than the 15th day after
 38-4    the later date the party becomes aware of:
 38-5                (1)  the constitution of the tribunal; or
 38-6                (2)  a circumstance referred to in Section 172.057 or
 38-7    172.058.
 38-8          (c)  Unless the arbitrator challenged under Subsection (b)
 38-9    withdraws from office or the other party agrees to the challenge,
38-10    the arbitration tribunal shall decide the challenge.
38-11          Sec. 172.060.  APPEAL OF UNSUCCESSFUL CHALLENGE.  (a)  If a
38-12    challenge under Sections 172.059(b) and (c) is unsuccessful, the
38-13    challenging party, not later than the 30th day after the date the
38-14    party receives notice of the decision rejecting the challenge, may
38-15    request the district court of the county in which the place of
38-16    arbitration is located to decide the challenge.
38-17          (b)  The court shall sustain the challenge if the facts
38-18    support a finding that grounds under Section 172.057 fairly exist.
38-19          (c)  The decision of the court is final and not subject to
38-20    appeal.
38-21          (d)  While a request under Subsection (a) is pending, the
38-22    arbitration tribunal, including the challenged arbitrator, may
38-23    continue the arbitration and make an award.
38-24          Sec. 172.061.  FAILURE OR IMPOSSIBILITY TO ACT.  (a)  The
 39-1    mandate of an arbitrator terminates if the arbitrator:
 39-2                (1)  is unable to perform the arbitrator's functions or
 39-3    for another reason fails to act without undue delay; and
 39-4                (2)  withdraws from office or each party agrees to the
 39-5    termination.
 39-6          (b)  If there is a controversy concerning the termination of
 39-7    the arbitrator's mandate under Subsection (a), a party may request
 39-8    the district court of the county in which the place of arbitration
 39-9    is located to decide the termination.  The decision of the court is
39-10    not subject to appeal.
39-11          Sec. 172.062.  TERMINATION OF MANDATE.  The mandate of an
39-12    arbitrator terminates:
39-13                (1)  on withdrawal from office;
39-14                (2)  when the parties agree; or
39-15                (3)  as provided by Section 172.059, 172.060, or
39-16    172.061.
39-17          Sec. 172.063.  SUBSTITUTION OF ARBITRATOR.  (a)  When the
39-18    mandate of an arbitrator terminates, a substitute arbitrator shall
39-19    be appointed according to the rules that were applicable to the
39-20    appointment of the arbitrator being replaced.
39-21          (b)  Except as agreed by the parties:
39-22                (1)  if the sole or presiding arbitrator is replaced, a
39-23    hearing previously held shall be repeated; and
39-24                (2)  if an arbitrator other than the sole or presiding
 40-1    arbitrator is replaced, a hearing previously held may be repeated
 40-2    at the discretion of the arbitration tribunal.
 40-3          (c)  Except as agreed by the parties, an order or ruling of
 40-4    the arbitration tribunal made before the replacement of an
 40-5    arbitrator under this section is not invalid because there has been
 40-6    a change in the composition of the tribunal.
 40-7          Sec. 172.064.  WITHDRAWAL OF ARBITRATOR.  The withdrawal of
 40-8    an arbitrator from office or the agreement of a party to the
 40-9    termination of the mandate of an arbitrator under Section
40-10    172.059(c) or Section 172.061 does not imply acceptance of the
40-11    validity of a ground referred to in Section 172.057, 172.058, or
40-12    172.061.
40-13             (Sections 172.065-172.080 reserved for expansion)
40-14                    SUBCHAPTER D.  ARBITRATION TRIBUNAL
40-15          Sec. 172.081.  DECISION OF ARBITRATION TRIBUNAL.  (a)  Except
40-16    as agreed by the parties or as provided by Subsection (b), in an
40-17    arbitration with more than one arbitrator, a decision of the
40-18    arbitration tribunal must be made by a majority of its members.
40-19          (b)  If authorized by the parties or all the members of the
40-20    arbitration tribunal, a presiding arbitrator may decide a
40-21    procedural question.
40-22          Sec. 172.082.  DETERMINATION OF JURISDICTION OF ARBITRATION
40-23    TRIBUNAL.  (a)  The arbitration tribunal may rule on its own
40-24    jurisdiction, including an objection with respect to the existence
 41-1    or validity of the arbitration agreement.  For that purpose, an
 41-2    arbitration clause that is part of a contract is an agreement
 41-3    independent of the other terms of the contract.  A decision by the
 41-4    tribunal that the contract is void does not make the arbitration
 41-5    clause invalid.
 41-6          (b)  A party may not plead that the arbitration tribunal does
 41-7    not have jurisdiction after the submission of the statement of
 41-8    defense.  A party is not precluded from pleading because the party
 41-9    has appointed or participated in the appointment of an arbitrator.
41-10          (c)  A party may plead that the arbitration tribunal is
41-11    exceeding the scope of its authority only when the matter alleged
41-12    to be beyond the scope of its authority is raised during the
41-13    arbitration.
41-14          (d)  The arbitration tribunal may allow a plea after the
41-15    period described by Subsection (b) or (c) if the tribunal considers
41-16    the delay justified.
41-17          (e)  The arbitration tribunal may rule on a plea described by
41-18    Subsection (b), (c), or (d) as a preliminary question or in an
41-19    award on the merits.
41-20          (f)  If the arbitration tribunal rules as a preliminary
41-21    question that it has jurisdiction, a party waives objection to the
41-22    ruling unless the party, not later than the 30th day after the date
41-23    the party receives notice of that ruling, requests the district
41-24    court of the county in which the place of arbitration is located to
 42-1    decide the matter.  The decision of the court is not subject to
 42-2    appeal.
 42-3          (g)  While a request under Subsection (f) is pending before
 42-4    the court, the arbitration tribunal may continue the arbitration
 42-5    and make an award.
 42-6          Sec. 172.083.  INTERIM MEASURES ORDERED BY ARBITRATION
 42-7    TRIBUNAL.  (a)  Except as agreed by the parties, the arbitration
 42-8    tribunal, at the request of a party, may order a party to take an
 42-9    interim measure of protection that the tribunal considers necessary
42-10    concerning the subject matter of the dispute.
42-11          (b)  The arbitration tribunal may require a party to provide
42-12    appropriate security in connection with the interim measure
42-13    ordered.
42-14             (Sections 172.084-172.100 reserved for expansion)
42-15                  SUBCHAPTER E.  ARBITRATION PROCEEDINGS
42-16          Sec. 172.101.  EQUAL TREATMENT OF PARTIES.  The arbitration
42-17    tribunal shall:
42-18                (1)  treat each party with equality; and
42-19                (2)  give each party a full opportunity to present the
42-20    party's case.
42-21          Sec. 172.102.  SUBSTANTIVE RULES.  (a)  The arbitration
42-22    tribunal shall decide the dispute according to the rules of law
42-23    designated by the parties as applicable to the substance of the
42-24    dispute.
 43-1          (b)  Unless otherwise expressed, a designation by the parties
 43-2    of the law or legal system of a given state refers to the
 43-3    substantive law of that state and not to conflict-of-laws rules.
 43-4          (c)  If the parties do not make a designation under
 43-5    Subsection (a), the arbitration tribunal shall apply the law
 43-6    determined by the conflict-of-laws rules that the tribunal
 43-7    considers applicable.
 43-8          (d)  The arbitration tribunal shall decide ex aequo et bono
 43-9    or as amiable compositeur if each party has expressly authorized it
43-10    to do so.
43-11          (e)  In each case, the arbitration tribunal shall:
43-12                (1)  decide in accordance with the terms of the
43-13    contract; and
43-14                (2)  take into account the usages of the trade
43-15    applicable to the transaction.
43-16          Sec. 172.103.  RULES OF PROCEDURE.  (a)  The parties may
43-17    agree on the procedure to be followed by the arbitration tribunal
43-18    in conducting the arbitration, subject to this chapter.
43-19          (b)  If the parties do not agree, the arbitration tribunal
43-20    may conduct the arbitration in the manner it considers appropriate,
43-21    subject to this chapter.
43-22          Sec. 172.104.  RULES OF EVIDENCE.  The power of the
43-23    arbitration tribunal under Section 172.103(b) includes the power to
43-24    determine the admissibility, relevance, materiality, and weight of
 44-1    any evidence.
 44-2          Sec. 172.105.  SUBPOENA.  (a)  The arbitration tribunal may
 44-3    issue a subpoena as provided by Section 171.051.
 44-4          (b)  Section 171.052 applies with respect to a subpoena
 44-5    issued under this section.
 44-6          Sec. 172.106.  PLACE OF ARBITRATION.  (a)  The parties may
 44-7    agree on the place of arbitration.
 44-8          (b)  If the parties do not agree, the arbitration tribunal
 44-9    shall determine the place of arbitration considering the
44-10    circumstances of the case, including the convenience of the
44-11    parties.
44-12          (c)  Except as agreed by each party, the arbitration tribunal
44-13    may meet at any place it considers appropriate for:
44-14                (1)  consultation among its members;
44-15                (2)  hearing of witnesses, experts, or the parties; or
44-16                (3)  inspection of documents, goods, or other property.
44-17          Sec. 172.107.  COMMENCEMENT OF ARBITRATION.  Except as agreed
44-18    by the parties, the arbitration begins on the date a request for
44-19    the dispute to be referred to arbitration is received by the
44-20    respondent.
44-21          Sec. 172.108.  LANGUAGE.  (a)  The parties may agree on the
44-22    language or languages to be used in the arbitration.
44-23          (b)  If the parties do not agree, the arbitration tribunal
44-24    shall determine the language or languages to be used in the
 45-1    arbitration.
 45-2          (c)  Except as provided by the agreement or determination,
 45-3    the agreement or determination applies to each:
 45-4                (1)  written statement by a party;
 45-5                (2)  hearing; and
 45-6                (3)  award, decision, or other communication by the
 45-7    arbitration tribunal.
 45-8          (d)  The arbitration tribunal may order that documentary
 45-9    evidence be accompanied by a translation into the selected language
45-10    or languages.
45-11          Sec. 172.109.  STATEMENT OF CLAIM OR DEFENSE.  (a)  Within
45-12    the period agreed on by the parties or determined by the
45-13    arbitration tribunal:
45-14                (1)  the claimant shall state:
45-15                      (A)  the facts supporting the claim;
45-16                      (B)  the points at issue; and
45-17                      (C)  the relief or remedy sought; and
45-18                (2)  the respondent shall state the defense.
45-19          (b)  A party may submit with the party's statement any
45-20    document the party considers relevant or may add a reference to a
45-21    document or other evidence the party will submit.
45-22          (c)  The parties may otherwise agree as to the required
45-23    elements of the statements required by Subsection (a).
45-24          Sec. 172.110.  SUPPLEMENT OR AMENDMENT TO STATEMENT.  A party
 46-1    may amend or supplement a claim or defense during the arbitration
 46-2    unless:
 46-3                (1)  the parties have otherwise agreed; or
 46-4                (2)  the arbitration tribunal considers it
 46-5    inappropriate to allow the amendment or supplement considering the
 46-6    delay in making the amendment or supplement.
 46-7          Sec. 172.111.  HEARINGS.  (a)  Except as agreed by the
 46-8    parties, the arbitration tribunal shall decide whether to:
 46-9                (1)  hold oral hearings for the presentation of
46-10    evidence or for oral argument; or
46-11                (2)  conduct the arbitration on the basis of documents
46-12    and other materials.
46-13          (b)  Unless the parties have agreed that oral hearings are
46-14    not to be held, the arbitration tribunal shall, on request of a
46-15    party, hold an oral hearing at an appropriate stage of the
46-16    arbitration.
46-17          (c)  Each party shall be given sufficient advance notice of a
46-18    hearing or meeting of the arbitration tribunal to permit inspection
46-19    of documents, goods, or other property.
46-20          Sec. 172.112.  HEARING OR MEETING IN CAMERA.  Except as
46-21    agreed by the parties, the arbitration tribunal shall hold in
46-22    camera:
46-23                (1)  an oral hearing; or
46-24                (2)  a meeting in the arbitration.
 47-1          Sec. 172.113.  WRITTEN INFORMATION.  (a) A statement,
 47-2    document, or other information supplied to or an application made
 47-3    to the arbitration tribunal by a party shall be communicated to the
 47-4    other party.
 47-5          (b)  An expert report or evidentiary document on which the
 47-6    arbitration tribunal may rely in making a decision shall be
 47-7    communicated to each party.
 47-8          Sec. 172.114.  DEFAULT OF PARTY.  (a)  Except as agreed by
 47-9    the parties, the arbitration tribunal shall terminate the
47-10    arbitration if the claimant without showing sufficient cause fails
47-11    to communicate the statement of claim required under Section
47-12    172.109.
47-13          (b)  Except as agreed by the parties, if the respondent
47-14    without showing sufficient cause fails to communicate the statement
47-15    of defense as provided by Section 172.109, the arbitration tribunal
47-16    shall continue the arbitration without treating that failure as an
47-17    admission of the claimant's allegations.
47-18          Sec. 172.115.  AWARD AFTER PARTY FAILS TO APPEAR OR PRODUCE
47-19    EVIDENCE.  Except as agreed by the parties, if a party without
47-20    showing sufficient cause fails to appear at an oral hearing or to
47-21    produce documentary evidence, the arbitration tribunal may continue
47-22    the arbitration and make the arbitration award based on the
47-23    evidence before it.
47-24          Sec. 172.116.  APPOINTED EXPERT.  (a)  Except as agreed by
 48-1    the parties, the arbitration tribunal may:
 48-2                (1)  appoint an expert to report to it on a specific
 48-3    issue to be determined by the tribunal; and
 48-4                (2)  require a party to:
 48-5                      (A)  give the expert relevant information; or
 48-6                      (B)  produce or provide access to relevant
 48-7    documents, goods, or other property.
 48-8          (b)  Except as agreed by the parties, if a party requests or
 48-9    if the arbitration tribunal considers it necessary, the expert
48-10    shall, after delivery of a written or oral report, participate in
48-11    an oral hearing at which each party may:
48-12                (1)  question the expert; and
48-13                (2)  present an expert witness on the issue.
48-14          Sec. 172.117.  SETTLEMENT.  (a)  An arbitration tribunal may:
48-15                (1)  encourage settlement of the dispute; and
48-16                (2)  with the agreement of the parties, use mediation,
48-17    conciliation, or another procedure at any time during the
48-18    arbitration to encourage settlement.
48-19          (b)  The arbitration tribunal shall terminate the arbitration
48-20    if the parties settle the dispute.
48-21          (c)  If requested by the parties and not objected to by the
48-22    arbitration tribunal, the tribunal shall record the settlement in
48-23    the form of an award on agreed terms.
48-24          Sec. 172.118.  TERMINATION OF PROCEEDINGS.  (a)  An
 49-1    arbitration is terminated by the final arbitration award or by an
 49-2    order of the arbitration tribunal under Subsection (b).  The award
 49-3    is final on the expiration of the applicable period under Section
 49-4    172.147.
 49-5          (b)  The arbitration tribunal shall issue an order for the
 49-6    termination of the arbitration if:
 49-7                (1)  the claimant withdraws the claim, unless the
 49-8    respondent objects to the order and the arbitration tribunal
 49-9    recognizes a legitimate interest on the respondent's part in
49-10    obtaining a final settlement of the dispute;
49-11                (2)  the parties agree to the termination of the
49-12    arbitration; or
49-13                (3)  the tribunal finds that continuation of the
49-14    arbitration is unnecessary or impossible.
49-15          (c)  Subject to Sections 172.147, 172.148, and 172.149, the
49-16    mandate of the arbitration tribunal ends with the termination of
49-17    the arbitration.
49-18             (Sections 172.119-172.140 reserved for expansion)
49-19                     SUBCHAPTER F.  ARBITRATION AWARD
49-20          Sec. 172.141.  FORM AND CONTENT OF ARBITRATION AWARD.
49-21    (a)  An arbitration award must be in writing and signed by all the
49-22    members of the arbitration tribunal.  In an arbitration with more
49-23    than one arbitrator, the signatures of the majority of the members
49-24    of the tribunal are sufficient if the reason for an omitted
 50-1    signature is stated.
 50-2          (b)  The arbitration award must state the reasons on which it
 50-3    is based, unless the parties have agreed that no reasons are to be
 50-4    given, or the award is an award on agreed terms under Section
 50-5    172.117.
 50-6          (c)  The arbitration award must state its date and the place
 50-7    of arbitration as determined under Section 172.106.  The award is
 50-8    considered to have been made at that place.
 50-9          Sec. 172.142.  DELIVERY OF AWARD.  After the arbitration
50-10    award is made, a signed copy shall be delivered to each party.
50-11          Sec. 172.143.  INTERIM AWARD.  (a)  The arbitration tribunal
50-12    may, at any time during the arbitration, make an interim
50-13    arbitration award on a matter with respect to which it may make a
50-14    final award.
50-15          (b)  An interim arbitration award is enforceable in the same
50-16    manner as a final award.
50-17          Sec. 172.144.  INTEREST.  Except as agreed by the parties,
50-18    the arbitration tribunal may award interest.
50-19          Sec. 172.145.  COSTS.  (a)  Except as agreed by the parties,
50-20    an award of costs of an arbitration is at the discretion of the
50-21    arbitration tribunal.
50-22          (b)  In making an order for costs:
50-23                (1)  the arbitration tribunal may include any expenses
50-24    incurred in connection with the arbitration, including:
 51-1                      (A)  the fees and expenses of the arbitrators and
 51-2    expert witnesses;
 51-3                      (B)  legal fees and expenses; and
 51-4                      (C)  administration fees of the institution
 51-5    supervising the arbitration; and
 51-6                (2)  the tribunal may specify:
 51-7                      (A)  the party entitled to costs;
 51-8                      (B)  the party required to pay costs;
 51-9                      (C)  the amount of costs or method of determining
51-10    that amount; and
51-11                      (D)  the manner in which the costs are to be
51-12    paid.
51-13          Sec. 172.146.  AWARD ON AGREED TERMS.  (a)  The arbitration
51-14    tribunal shall make an award on agreed terms as provided by Section
51-15    172.117.  An award on agreed terms must state that it is an
51-16    arbitration award.
51-17          (b)  An award on agreed terms has the same status and effect
51-18    as any other arbitration award on the substance of the dispute.
51-19          Sec. 172.147.  CORRECTION AND INTERPRETATION OF AWARDS.  (a)
51-20    Not later than the 30th day after the date of receipt of the
51-21    arbitration award, unless another period has been agreed to by the
51-22    parties, a party may request the arbitration tribunal to:
51-23                (1)  correct in the award a computation, clerical, or
51-24    typographical error or a similar error; and
 52-1                (2)  interpret a part of the award, if agreed by the
 52-2    parties.
 52-3          (b)  If the arbitration tribunal considers a request under
 52-4    Subsection (a) to be justified, it shall make the correction or
 52-5    give the interpretation not later than the 30th day after the date
 52-6    of receipt of the request.  The interpretation or correction
 52-7    becomes part of the arbitration award.
 52-8          (c)  The arbitration tribunal may correct an error described
 52-9    by Subsection (a)(1) on its own initiative not later than the 30th
52-10    day after the date of the arbitration award.
52-11          Sec. 172.148.  ADDITIONAL AWARD.  (a)  Except as agreed by
52-12    the parties, a party may request, not later than the 30th day after
52-13    the date of receipt of the arbitration award, that the arbitration
52-14    tribunal make an additional award for a claim presented in the
52-15    arbitration but omitted from the award.
52-16          (b)  If the arbitration tribunal considers the request to be
52-17    justified, the tribunal shall make the additional award not later
52-18    than the 60th day after the date of receipt of the request.
52-19          Sec. 172.149.  EXTENSION OF TIME.  The arbitration tribunal
52-20    may, if necessary, extend the period within which it may make a
52-21    correction, give an interpretation, or make an additional award
52-22    under Section 172.147 or 172.148.
52-23          Sec. 172.150.  APPLICABLE LAW.  Sections 172.141, 172.142,
52-24    172.144, and 172.145 apply to:
 53-1                (1)  a correction or interpretation of an arbitration
 53-2    award under Section 172.147; or
 53-3                (2)  an additional award made under Section 172.148.
 53-4             (Sections 172.151-172.170 reserved for expansion)
 53-5                    SUBCHAPTER G.  JUDICIAL PROCEEDINGS
 53-6          Sec. 172.171.  ROLE OF COURT.  A court may not intervene in a
 53-7    matter governed by this chapter except as provided by this chapter
 53-8    or federal law.
 53-9          Sec. 172.172.  ASSISTANCE IN TAKING EVIDENCE.  The
53-10    arbitration tribunal or a party with the approval of the tribunal
53-11    may request assistance from a district court in taking evidence,
53-12    and the court may provide the assistance according to its rules on
53-13    taking evidence.  The tribunal or a party shall select the district
53-14    court in the manner provided by Section 171.096.
53-15          Sec. 172.173.  CONSOLIDATION.  (a)  If the parties to two or
53-16    more arbitration agreements agree, in the respective arbitration
53-17    agreements or otherwise, to consolidate the arbitrations arising
53-18    out of the agreements, a district court, on application by a party
53-19    with the consent of each other party to the agreements, may:
53-20                (1)  order the arbitrations consolidated on terms the
53-21    court considers just and necessary;
53-22                (2)  if all the parties cannot agree on a tribunal for
53-23    the consolidated arbitration, appoint an arbitration tribunal as
53-24    provided by Section 172.055; and
 54-1                (3)  if all the parties cannot agree on any other
 54-2    matter necessary to conduct the consolidated arbitration, make any
 54-3    other order the court considers necessary.
 54-4          (b)  The arbitration tribunal or the party shall select the
 54-5    district court in the manner provided by Section 171.096.
 54-6          (c)  This section does not prevent the parties to two or more
 54-7    arbitrations from agreeing to consolidate those arbitrations and
 54-8    taking any step necessary to effect that consolidation.
 54-9          Sec. 172.174.  STAY OF COURT PROCEEDINGS.  (a)  On request of
54-10    a party, a court in which a pending judicial proceeding is being
54-11    brought by a party to an arbitration agreement to obtain relief
54-12    with respect to a matter covered by the arbitration agreement
54-13    shall:
54-14                (1)  stay the judicial proceeding; and
54-15                (2)  refer the parties to arbitration.
54-16          (b)  A party may not make a request for a stay after the time
54-17    the requesting party submits the party's first statement on the
54-18    substance of the dispute.
54-19          (c)  The court may not stay the proceeding if it finds that
54-20    the agreement is void, inoperable, or incapable of being performed.
54-21          (d)  An arbitration may begin or continue, and an arbitration
54-22    tribunal may make an award, while an action described in this
54-23    section is pending before the court.
54-24          Sec. 172.175.  INTERIM ORDERS.  (a)  A party to an
 55-1    arbitration agreement may request an interim measure of protection
 55-2    from a district court before or during an arbitration.
 55-3          (b)  A party to an arbitration may request from the court
 55-4    enforcement of an order of an arbitration tribunal granting an
 55-5    interim measure of protection under Section 172.083.  The court
 55-6    shall grant enforcement as provided by the law applicable to the
 55-7    type of interim relief requested.
 55-8          (c)  In connection with a pending arbitration, the court may
 55-9    take appropriate action, including:
55-10                (1)  ordering an attachment issued to assure that the
55-11    award to which the applicant may be entitled is not rendered
55-12    ineffectual by the dissipation of party assets; or
55-13                (2)  granting a preliminary injunction to protect a
55-14    trade secret or to conserve goods that are the subject matter of
55-15    the dispute.
55-16          (d)  In considering a request for interim relief, the court
55-17    shall give preclusive effect to a finding of fact of the
55-18    arbitration tribunal in the arbitration, including a finding of
55-19    fact relating to the probable validity of the claim that is the
55-20    subject of the order for interim relief that the tribunal has
55-21    granted, if the interim order is consistent with public policy.
55-22          (e)  If the arbitration tribunal has not ruled on an
55-23    objection to its jurisdiction, the court may not grant preclusive
55-24    effect to the tribunal's finding until the court makes an
 56-1    independent finding as to the jurisdiction of the tribunal.  If the
 56-2    court rules that the tribunal did not have jurisdiction under
 56-3    applicable law, the court shall deny the application for interim
 56-4    measures of relief.
 56-5             (Sections 172.176-172.200 reserved for expansion)
 56-6          SUBCHAPTER H.  PROVISIONS RELATING ONLY TO CONCILIATION
 56-7          Sec. 172.201.  POLICY.  It is the policy of this state to
 56-8    encourage parties to an international commercial agreement or
 56-9    transaction that qualifies for arbitration or conciliation under
56-10    this chapter to resolve disputes arising from those agreements or
56-11    transactions through conciliation.
56-12          Sec. 172.202.  APPOINTMENT OF CONCILIATOR.  The parties to an
56-13    agreement or transaction may select or permit an arbitration
56-14    tribunal or other third party to select one or more persons to
56-15    serve as the conciliator or conciliators to assist the parties in
56-16    an independent and impartial manner to reach an amicable settlement
56-17    of the dispute.
56-18          Sec. 172.203.  CONDUCT OF CONCILIATION.  (a)  A conciliator:
56-19                (1)  shall be guided by principles of objectivity,
56-20    fairness, and justice; and
56-21                (2)  shall consider, among other things:
56-22                      (A)  the rights and obligations of the parties;
56-23                      (B)  the usages of the trade concerned; and
56-24                      (C)  the circumstances surrounding the dispute,
 57-1    including any previous practices between the parties.
 57-2          (b)  The conciliator may conduct the conciliation in a manner
 57-3    that the conciliator considers appropriate, considering the
 57-4    circumstances of the case, the wishes of the parties, and the
 57-5    desirability of a speedy settlement of the dispute.
 57-6          (c)  Except as provided by this chapter, a law of this state
 57-7    governing procedure, other than this chapter, does not apply to
 57-8    conciliation under this chapter.
 57-9          Sec. 172.204.  REPRESENTATION AND ASSISTANCE.  In a
57-10    conciliation proceeding, each party may appear in person or be
57-11    represented or assisted by a person of the party's choice.
57-12          Sec. 172.205.  DRAFT CONCILIATION SETTLEMENT.  (a)  At any
57-13    time during the conciliation, the conciliator may prepare a draft
57-14    conciliation settlement and send a copy to each party, stating the
57-15    time within which each party must approve the settlement.  The
57-16    draft conciliation settlement may include the assessment and
57-17    apportionment of costs between the parties.
57-18          (b)  A party is not required to accept a proposed
57-19    conciliation settlement.
57-20          Sec. 172.206.  CONFIDENTIALITY.  (a)  Evidence of anything
57-21    said or of an admission made in the course of a conciliation is not
57-22    admissible in evidence, and disclosure of that evidence may not be
57-23    compelled in an arbitration or civil action in which, under law,
57-24    testimony may be compelled to be given.
 58-1          (b)  Except as provided by a document prepared for the
 58-2    purpose of, in the course of, or pursuant to the conciliation, the
 58-3    document or a copy of the document is not admissible in evidence,
 58-4    and disclosure of the document may not be compelled in an
 58-5    arbitration or civil action in which, under law, testimony may be
 58-6    compelled to be given.
 58-7          (c)  Subsection (a) does not limit the admissibility of
 58-8    evidence if each party participating in conciliation consents to
 58-9    the disclosure.
58-10          (d)  If evidence is offered in violation of this section, the
58-11    arbitration tribunal or the court shall make any order it considers
58-12    appropriate to deal with the matter, including an order restricting
58-13    the introduction of evidence or dismissing the case without
58-14    prejudice.
58-15          Sec. 172.207.  STAY OF ARBITRATION AND RESORT TO OTHER
58-16    PROCEEDINGS.  (a)  The agreement of the parties to submit a dispute
58-17    to conciliation is an agreement of the parties to stay a judicial
58-18    proceeding or arbitration from the beginning of conciliation until
58-19    the termination of conciliation.
58-20          (b)  Each applicable limitation period, including a period of
58-21    prescription, is tolled or extended on the beginning of a
58-22    conciliation under this chapter for each party to the conciliation
58-23    until the 10th day following the date of termination of the
58-24    conciliation.
 59-1          (c)  For purposes of this section, conciliation begins when a
 59-2    party requests conciliation of a dispute and each other party
 59-3    agrees to participate in the conciliation.
 59-4          Sec. 172.208.  TERMINATION OF CONCILIATION.  (a)  A
 59-5    conciliation proceeding may be terminated as to each party by:
 59-6                (1)  a written declaration of each conciliator, after
 59-7    consultation with the parties, that further efforts at conciliation
 59-8    are not justified, on the date of the declaration;
 59-9                (2)  a written declaration of each party addressed to
59-10    each conciliator that the conciliation is terminated, on the date
59-11    of the declaration; or
59-12                (3)  the signing of a settlement agreement by each
59-13    party, on the date of the agreement.
59-14          (b)  The conciliation proceedings may be terminated as to
59-15    particular parties by:
59-16                (1)  a written declaration of a party to each other
59-17    party and each conciliator, if appointed, that the conciliation is
59-18    terminated as to that party, on the date of the declaration; or
59-19                (2)  the signing of a settlement agreement by some of
59-20    the parties, on the date of the agreement.
59-21          Sec. 172.209.  CONFLICT OF INTEREST.  Except as provided by
59-22    rules adopted for the conciliation or arbitration, a person who has
59-23    served as conciliator may not be appointed as an arbitrator for or
59-24    take part in an arbitration or judicial proceeding in the same
 60-1    dispute unless each party consents to the participation.
 60-2          Sec. 172.210.  PARTICIPATION NOT WAIVER OF RIGHTS.  (a)  A
 60-3    party by submitting to conciliation does not waive a right or
 60-4    remedy that party would have had if conciliation had not been
 60-5    initiated.
 60-6          (b)  Subsection (a) does not apply to the waiver of a right
 60-7    or remedy stated in a settlement resulting from the conciliation.
 60-8          Sec. 172.211.  ENFORCEABILITY.  A conciliation agreement has
 60-9    the same force and effect as a final arbitration award if the
60-10    agreement:
60-11                (1)  settles the dispute;
60-12                (2)  is in writing; and
60-13                (3)  is signed by each conciliator and each party or a
60-14    representative of each party.
60-15          Sec. 172.212.  COSTS.  (a)  On termination of the
60-16    conciliation proceedings, the conciliator shall set the costs of
60-17    the conciliation and give written notice of the costs to each
60-18    party.
60-19          (b)  The parties shall bear the costs equally unless the
60-20    settlement agreement provides for a different apportionment.  A
60-21    party shall bear any other expense incurred by that party.
60-22          (c)  In this section, "costs" includes only:
60-23                (1)  a reasonable fee to be paid to each conciliator;
60-24                (2)  travel and other reasonable expenses of each
 61-1    conciliator and each witness requested by the conciliator  with the
 61-2    consent of each party;
 61-3                (3)  the cost of expert advice requested by the
 61-4    conciliator with the consent of each party; and
 61-5                (4)  any court cost.
 61-6          Sec. 172.213.  NO CONSENT TO JURISDICTION.  A request for
 61-7    conciliation, a consent to participate or participation in the
 61-8    conciliation, or the entering into a conciliation agreement or
 61-9    settlement is not consent to the jurisdiction of a court in this
61-10    state if conciliation fails.
61-11          Sec. 172.214.  NOT SUBJECT TO SERVICE OF PROCESS.  A
61-12    conciliator, party, or representative of a conciliator or party,
61-13    while present in this state to arrange for or participate in
61-14    conciliation under this chapter, is not subject to service of
61-15    process in a civil matter related to the conciliation.
61-16          Sec. 172.215.  CONCILIATOR IMMUNE.  A conciliator is not
61-17    liable in an action for damages resulting from an act or omission
61-18    in the performance of the person's role as a conciliator in a
61-19    proceeding subject to this chapter.
61-20          SECTION 5.03.  Chapter 173, Civil Practice and Remedies Code,
61-21    is revised to read as follows:
61-22            CHAPTER 173.  ARBITRATION OF CONTROVERSIES BETWEEN
61-23                   MEMBERS OF CERTAIN NONPROFIT ENTITIES
61-24          Sec. 173.001.  PURPOSE.  The purpose of this chapter is to
 62-1    abrogate the common law arbitration rule prohibiting specific
 62-2    enforcement of executory arbitration agreements.
 62-3          Sec. 173.002.  SCOPE OF CHAPTER.  This chapter applies only
 62-4    to the arbitration of a controversy between members of an
 62-5    association or corporation that is:
 62-6                (1)  exempt from the payment of federal income taxes
 62-7    under Section 501(a) of the Internal Revenue Code of 1986 by being
 62-8    listed as an exempt organization under Section 501(c) of the code;
 62-9    or
62-10                (2)  incorporated under the Texas Non-Profit
62-11    Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil
62-12    Statutes).
62-13          Sec. 173.003.  AGREEMENT OR BYLAW PROVISION VALID.  (a)  A
62-14    written agreement to submit a controversy to arbitration at common
62-15    law is valid and enforceable if the agreement is to arbitrate a
62-16    controversy that arises between the parties after the date of the
62-17    agreement.
62-18          (b)  A party may revoke the agreement only on a ground that
62-19    exists at law or in equity for the revocation of a contract.
62-20          (c)  A provision in the bylaws of a nonprofit corporation
62-21    incorporated under the Texas Non-Profit Corporation Act (Article
62-22    1396-1.01 et seq., Vernon's Texas Civil Statutes) that requires a
62-23    member of the corporation to arbitrate at common law a controversy
62-24    that subsequently arises between members is a valid, enforceable,
 63-1    and irrevocable agreement by a member of the corporation to
 63-2    arbitrate the controversy.
 63-3          Sec. 173.004.  COMMON LAW PRESERVED.  This chapter is
 63-4    cumulative of other law relating to common law arbitration.  Except
 63-5    as specifically provided by this chapter, this chapter does not
 63-6    abrogate or repeal that other law.
 63-7              ARTICLE 6.  CHANGES RELATING TO EDUCATION CODE
 63-8          SECTION 6.01.  Sections 7.021, 7.055, and 7.102, Education
 63-9    Code, are amended to provide for a more easily amendable
63-10    arrangement of those sections to read as follows:
63-11          Sec. 7.021.  TEXAS EDUCATION AGENCY POWERS AND DUTIES.
63-12    (a)  The agency shall perform the [following] educational functions
63-13    provided by Subsection (b).[:]
63-14          (b)(1)  The agency shall administer and monitor compliance
63-15    with education programs required by federal or state law, including
63-16    federal funding and state funding for those programs.
63-17                (2)  The agency shall conduct research, analysis, and
63-18    reporting to improve teaching and learning.
63-19                (3)  The agency shall conduct hearings involving state
63-20    school law at the direction and under the supervision of the
63-21    commissioner.
63-22                (4)  The agency shall establish and implement pilot
63-23    programs established by this title.
63-24                (5)  The agency shall carry out the duties relating to
 64-1    the investment capital fund under Section 7.024.
 64-2                (6)  The agency shall develop and implement a teacher
 64-3    recruitment program as provided by Section 21.004.
 64-4                (7)  The agency shall carry out duties under the Texas
 64-5    Advanced Placement Incentive Program under Subchapter C, Chapter
 64-6    28.
 64-7                (8)  The agency shall carry out powers and duties
 64-8    relating to adult and community education as required under
 64-9    Subchapter H, Chapter 29.
64-10                (9)  The agency shall develop a program of instruction
64-11    in driver education and traffic safety as provided by Section
64-12    29.902.
64-13                (10)  The agency shall carry out duties assigned under
64-14    Section 30.002 concerning children with visual impairments.
64-15                (11)  The agency shall carry out powers and duties
64-16    related to regional day school programs for the deaf as provided
64-17    under Subchapter D, Chapter 30.
64-18                (12)  The agency shall establish and maintain an
64-19    electronic information transfer system as required under Section
64-20    32.032, maintain and expand telecommunications capabilities of
64-21    school districts and regional education service centers as required
64-22    under Section 32.033, and establish technology demonstration
64-23    programs as required under Section 32.035.
64-24                (13)  The agency shall review school district budgets,
 65-1    audit reports, and other fiscal reports as required under Sections
 65-2    44.008 and 44.010 and prescribe forms for financial reports made by
 65-3    or for school districts to the commissioner or the agency as
 65-4    required under Section 44.009.
 65-5                (14)  The agency shall cooperate with the Texas Higher
 65-6    Education Coordinating Board in connection with the Texas
 65-7    partnership and scholarship program under Subchapter P, Chapter 61.
 65-8          (c) [(b)]  The agency may enter into an agreement with a
 65-9    federal agency concerning a project related to education, including
65-10    the provision of school lunches and the construction of school
65-11    buildings.  Not later than the 30th day before the date the agency
65-12    enters into an agreement under this subsection concerning a new
65-13    project or reauthorizing a project, the agency must provide written
65-14    notice, including a description of the project, to:
65-15                (1)  the governor;
65-16                (2)  the Legislative Budget Board; and
65-17                (3)  the presiding officers of the standing committees
65-18    of the senate and of the house of representatives with primary
65-19    jurisdiction over the agency.
65-20          Sec. 7.055.  COMMISSIONER OF EDUCATION POWERS AND DUTIES.
65-21    (a)  The commissioner has the [following] powers and duties
65-22    provided by Subsection (b).[:]
65-23          (b)(1)  The commissioner shall serve as the educational
65-24    leader of the state.
 66-1                (2)  The commissioner shall serve as executive officer
 66-2    of the agency and as executive secretary of the board.
 66-3                (3)  The commissioner shall carry out the duties
 66-4    imposed on the commissioner by the board or the legislature.
 66-5                (4)  The commissioner shall prescribe a uniform system
 66-6    of forms, reports, and records necessary to fulfill the reporting
 66-7    and recordkeeping requirements of this title.
 66-8                (5)  The commissioner may delegate ministerial and
 66-9    executive functions to agency staff and may employ division heads
66-10    and any other employees and clerks to perform the duties of the
66-11    agency.
66-12                (6)  The commissioner shall adopt an annual budget for
66-13    operating the Foundation School Program as prescribed by Subsection
66-14    (c) [(b)].
66-15                (7)  The commissioner may issue vouchers for the
66-16    expenditures of the agency and shall examine and must approve any
66-17    account to be paid out of the school funds by the state treasurer
66-18    before the comptroller may issue a warrant.
66-19                (8)  The commissioner shall file annually with the
66-20    governor and the Legislative Budget Board a complete and detailed
66-21    written report accounting for all funds received and disbursed by
66-22    the agency during the preceding fiscal year.
66-23                (9)  The commissioner shall have a manual published at
66-24    least once every two years that contains Title 1 and this title,
 67-1    any other provisions of this code relating specifically to public
 67-2    primary or secondary education, and an appendix of all other state
 67-3    laws relating to public primary or secondary education and shall
 67-4    provide for the distribution of the manual as determined by the
 67-5    board.
 67-6                (10)  The commissioner may visit different areas of
 67-7    this state, address teachers' associations and educational
 67-8    gatherings, instruct teachers, and promote all aspects of education
 67-9    and may be reimbursed for necessary travel expenses incurred under
67-10    this subdivision to the extent authorized by the General
67-11    Appropriations Act.
67-12                (11)  The commissioner may appoint advisory committees,
67-13    in accordance with Chapter 2110, Government Code [Article 6252-33,
67-14    Revised Statutes], as necessary to advise the commissioner in
67-15    carrying out the duties and mission of the agency.
67-16                (12)  The commissioner shall appoint an agency auditor.
67-17                (13)  The commissioner may provide for reductions in
67-18    the number of agency employees.
67-19                (14)  The commissioner shall carry out duties relating
67-20    to the investment capital fund under Section 7.024.
67-21                (15)  The commissioner shall review and act, if
67-22    necessary, on applications for waivers under Section 7.056.
67-23                (16)  The commissioner shall carry out duties relating
67-24    to regional education service centers as specified under Chapter 8.
 68-1                (17)  The commissioner shall distribute funds to
 68-2    open-enrollment charter schools as required under Subchapter D,
 68-3    Chapter 12.
 68-4                (18)  The commissioner shall adopt a recommended
 68-5    appraisal process and criteria on which to appraise the performance
 68-6    of teachers, a recommended appraisal process and criteria on which
 68-7    to appraise the performance of administrators, and a job
 68-8    description and evaluation form for use in evaluating counselors,
 68-9    as provided by Subchapter H, Chapter 21.
68-10                (19)  The commissioner shall coordinate and implement
68-11    teacher recruitment programs under Section 21.004.
68-12                (20)  The commissioner shall perform duties in
68-13    connection with the certification and assignment of hearing
68-14    examiners as provided by Subchapter F, Chapter 21.
68-15                (21)  The commissioner shall carry out duties under the
68-16    Texas Advanced Placement Incentive Program under Subchapter C,
68-17    Chapter 28.
68-18                (22)  The commissioner may adopt rules for optional
68-19    extended year programs under Section 29.082.
68-20                (23)  The commissioner shall monitor and evaluate
68-21    prekindergarten programs and other child-care programs as required
68-22    under Section 29.154.
68-23                (24)  The commissioner, with the approval of the board,
68-24    shall develop and implement a plan for the coordination of services
 69-1    to children with disabilities as required under Section 30.001.
 69-2                (25)  The commissioner shall develop a system to
 69-3    distribute to school districts or regional education service
 69-4    centers a special supplemental allowance for students with visual
 69-5    impairments as required under Section 30.002.
 69-6                (26)  The commissioner, with the assistance of the
 69-7    comptroller, shall determine amounts to be distributed to the Texas
 69-8    School for the Blind and Visually Impaired and the Texas School for
 69-9    the Deaf as provided by Section 30.003 and to the Texas Youth
69-10    Commission as provided by Section 30.102.
69-11                (27)  The commissioner shall establish a procedure for
69-12    resolution of disputes between a school district and the Texas
69-13    School for the Blind and Visually Impaired under Section 30.021.
69-14                (28)  The commissioner shall perform duties relating to
69-15    the funding, adoption, and purchase of textbooks under Chapter 31.
69-16                (29)  The commissioner may enter into contracts
69-17    concerning technology in the public school system as authorized
69-18    under Chapter 32.
69-19                (30)  The commissioner shall adopt a recommended
69-20    contract form for the use, acquisition, or lease with option to
69-21    purchase of school buses under Section 34.009.
69-22                (31)  The commissioner shall ensure that the cost of
69-23    using school buses for a purpose other than the transportation of
69-24    students to or from school is properly identified in the Public
 70-1    Education Information Management System (PEIMS) under Section
 70-2    34.010.
 70-3                (32)  The commissioner shall perform duties in
 70-4    connection with the public school accountability system as
 70-5    prescribed by Chapter 39.
 70-6                (33)  The commissioner shall develop and propose to the
 70-7    legislature an assessment system for students exempted from the
 70-8    generally applicable assessment program under Subchapter B, Chapter
 70-9    39.
70-10                (34)  The commissioner shall perform duties in
70-11    connection with the equalized wealth level under Chapter 41.
70-12                (35)  The commissioner shall perform duties in
70-13    connection with the Foundation School Program as prescribed by
70-14    Chapter 42.
70-15                (36)  The commissioner shall establish advisory
70-16    guidelines relating to the fiscal management of a school district
70-17    and report annually to the board on the status of school district
70-18    fiscal management as required under Section 44.001.
70-19                (37)  The commissioner shall review school district
70-20    audit reports as required under Section 44.008.
70-21                (38)  The commissioner shall perform duties in
70-22    connection with the guaranteed bond program as prescribed by
70-23    Subchapter C, Chapter 45.
70-24                (39)  The commissioner shall cooperate with the Texas
 71-1    Higher Education Coordinating Board in connection with the Texas
 71-2    partnership and scholarship program under Subchapter P, Chapter 61.
 71-3                (40)  The commissioner shall suspend the certificate of
 71-4    an educator or permit of a teacher who violates Chapter 617,
 71-5    Government Code.
 71-6          (c) [(b)]  The budget the commissioner adopts under
 71-7    Subsection (b) [(a)] for operating the Foundation School Program
 71-8    must be in accordance with legislative appropriations and provide
 71-9    funds for the administration and operation of the agency and any
71-10    other necessary expense.  The budget must designate any expense of
71-11    operating the agency or operating a program for which the board has
71-12    responsibility that is paid from the Foundation School Program.
71-13    The budget must designate program expenses that may be paid out of
71-14    the foundation school fund, other state funds, fees, federal funds,
71-15    or funds earned under interagency contract.  Before adopting the
71-16    budget, the commissioner must submit the budget to the board for
71-17    review and, after receiving any comments of the board, present the
71-18    operating budget to the governor and the Legislative Budget Board.
71-19    The commissioner shall provide appropriate information on proposed
71-20    budget expenditures to the comptroller to assure that all payments
71-21    are paid from the appropriate funds in a timely and efficient
71-22    manner.
71-23          Sec. 7.102.  STATE BOARD OF EDUCATION POWERS AND DUTIES.
71-24    (a)  The board may perform only those duties relating to school
 72-1    districts or regional education service centers assigned to the
 72-2    board by the constitution of this state or by this subchapter or
 72-3    another provision of this code.
 72-4          (b)  The board has the [following] powers and duties provided
 72-5    by Subsection (c), which shall be carried out with the advice and
 72-6    assistance of the commissioner.[:]
 72-7          (c)(1)  The board shall develop and update a long-range plan
 72-8    for public education.
 72-9                (2)  The board may enter into contracts relating to or
72-10    accept grants for the improvement of educational programs
72-11    specifically authorized by statute.
72-12                (3)  The board may accept a gift, donation, or other
72-13    contribution on behalf of the public school system or agency and,
72-14    unless otherwise specified by the donor, may use the contribution
72-15    in the manner the board determines.
72-16                (4)  The board shall establish curriculum and
72-17    graduation requirements.
72-18                (5)  The board shall establish a standard of
72-19    performance considered satisfactory on student assessment
72-20    instruments.
72-21                (6)  The board shall adopt rules to provide for
72-22    regional education service center boards of directors as provided
72-23    by Section 8.003 and rules under which a regional education service
72-24    center may receive and spend grants under Section 8.124.
 73-1                (7)  The board may create special-purpose school
 73-2    districts under Chapter 11.
 73-3                (8)  The board shall provide for a training course for
 73-4    school district trustees under Section 11.159.
 73-5                (9)  The board shall adopt a procedure to be used for
 73-6    placing on probation or revoking a home-rule school district
 73-7    charter as required by Subchapter B, Chapter 12,  and may place on
 73-8    probation or revoke a home-rule school district charter as provided
 73-9    by that subchapter.
73-10                (10)  The board may grant an open-enrollment charter or
73-11    approve a charter revision as provided by Subchapter D, Chapter 12.
73-12                (11)  The board shall adopt rules establishing criteria
73-13    for certifying hearing examiners as provided by Section 21.252.
73-14                (12)  The board shall adopt rules to carry out the
73-15    curriculum required or authorized under Section 28.002.
73-16                (13)  The board shall establish guidelines for credit
73-17    by examination under Section 28.023.
73-18                (14)  The board shall adopt transcript forms and
73-19    standards for differentiating high school programs for purposes of
73-20    reporting academic achievement under Section 28.025.
73-21                (15)  The board shall adopt guidelines for determining
73-22    financial need for purposes of the Texas Advanced Placement
73-23    Incentive Program under Subchapter C, Chapter 28,  and may approve
73-24    payments as provided by that subchapter.
 74-1                (16)  The board shall adopt criteria for identifying
 74-2    gifted and talented students and shall develop and update a state
 74-3    plan for the education of gifted and talented students as required
 74-4    under Subchapter D, Chapter 29.
 74-5                (17)  The board shall adopt rules for approving adult
 74-6    education programs as required under Section 29.253 and may
 74-7    establish an adult education advisory committee under Section
 74-8    29.254.
 74-9                (18)  The board shall adopt rules relating to community
74-10    education development projects as required under Section 29.257.
74-11                (19)  The board may approve the plan to be developed
74-12    and implemented by the commissioner for the coordination of
74-13    services to children with disabilities as required under Section
74-14    30.001.
74-15                (20)  The board shall establish a date by which each
74-16    school district and state institution shall provide to the
74-17    commissioner the necessary information to determine the district's
74-18    share of the cost of the education of a student enrolled in the
74-19    Texas School for the Blind and Visually Impaired or the Texas
74-20    School for the Deaf as required under Section 30.003 and may adopt
74-21    other rules concerning funding of the education of students
74-22    enrolled in the Texas School for the Blind and Visually Impaired or
74-23    the Texas School for the Deaf as authorized under Section 30.003.
74-24                (21)  The board shall adopt rules prescribing the form
 75-1    and content of information school districts are required to provide
 75-2    concerning programs offered by state institutions as required under
 75-3    Section 30.004.
 75-4                (22)  The board shall adopt rules concerning admission
 75-5    of students to the Texas School for the Deaf as required under
 75-6    Section 30.057.
 75-7                (23)  The board shall carry out powers and duties
 75-8    related to regional day school programs for the deaf as provided
 75-9    under Subchapter D, Chapter 30.
75-10                (24)  The board shall adopt and purchase or license
75-11    textbooks as provided by Chapter 31 and adopt rules required by
75-12    that chapter.
75-13                (25)  The board shall develop and update a long-range
75-14    plan concerning technology in the public school system as required
75-15    under Section 32.001 and shall adopt rules and policies concerning
75-16    technology in public schools as provided by Chapter 32.
75-17                (26)  The board shall conduct feasibility studies
75-18    related to the telecommunications capabilities of school districts
75-19    and regional education service centers as provided by Section
75-20    32.033.
75-21                (27)  The board shall appoint a board of directors of
75-22    the center for educational technology under Section 32.034.
75-23                (28)  The board shall adopt rules relating to
75-24    extracurricular activities under Section 33.081 and approve,
 76-1    disapprove, or modify University Interscholastic League rules and
 76-2    procedures under Section 33.083.
 76-3                (29)  The board shall approve a program for testing
 76-4    students for dyslexia and related disorders as provided by Section
 76-5    38.003.
 76-6                (30)  The board shall perform duties in connection with
 76-7    the public school accountability system as prescribed by Chapter
 76-8    39.
 76-9                (31)  The board shall perform duties in connection with
76-10    the Foundation School Program as prescribed by Chapter 42.
76-11                (32)  The board may invest the permanent school fund
76-12    within the limits of the authority granted by Section 5, Article
76-13    VII, Texas Constitution, and Chapter 43.
76-14                (33)  The board shall adopt rules concerning school
76-15    district budgets and audits of school district fiscal accounts as
76-16    required under Subchapter A, Chapter 44.
76-17                (34)  The board shall adopt an annual report on the
76-18    status of the guaranteed bond program and may adopt rules as
76-19    necessary for the administration of the program as provided under
76-20    Subchapter C, Chapter 45.
76-21                (35)  The board shall prescribe uniform bid blanks for
76-22    school districts to use in selecting a depository bank as required
76-23    under Section 45.206.
76-24          (d) [(c)]  The board may adopt rules relating to school
 77-1    districts or regional education service centers only as required to
 77-2    carry out the specific duties assigned to the board by the
 77-3    constitution or under Subsection (c) [(b)].
 77-4          (e) [(d)]  An action of the board to adopt a rule under this
 77-5    section is effective only if the board includes in the rule's
 77-6    preamble a statement of the specific authority under Subsection (c)
 77-7    [(b)] to adopt the rule.
 77-8          (f) [(e)]  Except as otherwise provided by this subsection, a
 77-9    rule adopted by the board under this section does not take effect
77-10    until the beginning of the school year that begins at least 90 days
77-11    after the date on which the rule was adopted.  The rule takes
77-12    effect earlier if the rule's preamble specifies an earlier
77-13    effective date and the reason for that earlier date and:
77-14                (1)  the earlier effective date is a requirement of:
77-15                      (A)  a federal law; or
77-16                      (B)  a state law that specifically refers to this
77-17    section and expressly requires the adoption of an earlier effective
77-18    date; or
77-19                (2)  on the affirmative vote of two-thirds of the
77-20    members of the board, the board makes a finding that an earlier
77-21    effective date is necessary.
77-22          SECTION 6.02.  Section 30.052(a), Education Code, is amended
77-23    to conform to Section 29, Chapter 835, Acts of the 74th
77-24    Legislature, Regular Session, 1995, to read as follows:
 78-1          (a)  The Texas School for the Deaf is governed by a
 78-2    nine-member board appointed by the governor in accordance with this
 78-3    section and confirmed by the senate.  A person may not serve
 78-4    simultaneously on the school's governing board and the board of the
 78-5    Texas Commission for the Deaf and Hard of Hearing [Impaired].  Each
 78-6    member of the board must be a person who is experienced in working
 78-7    with persons who are deaf or hard of hearing, a person who is the
 78-8    parent of a person who is deaf, or a person who is deaf.  The
 78-9    board, at least five of whom must be deaf, consists of:
78-10                (1)  at least one person who is an alumnus of the Texas
78-11    School for the Deaf;
78-12                (2)  at least three persons who are parents of a deaf
78-13    person; and
78-14                (3)  at least three persons who are experienced in
78-15    working with deaf persons.
78-16          SECTION 6.03.  Sections 42.259(b), (c), and (d), Education
78-17    Code, are amended to conform to Section 31, Chapter 426, Acts of
78-18    the 74th Legislature, Regular Session, 1995, to read as follows:
78-19          (b)  Payments from the foundation school fund to each
78-20    category 1 school district shall be made as follows:
78-21                (1)  15 [21] percent of the yearly entitlement of the
78-22    district shall be paid in an installment [two equal installments]
78-23    to be made on or before the 25th day of September [and October] of
78-24    a fiscal year;
 79-1                (2)  80 [57] percent of the yearly entitlement of the
 79-2    district shall be paid in eight [six] equal installments to be made
 79-3    on or before the 25th day of October, November, December, January,
 79-4    [February,] March, May, June, and July; and
 79-5                (3)  five [22] percent of the yearly entitlement of the
 79-6    district shall be paid in an installment [two equal installments]
 79-7    to be made on or before the 25th day of February [April and May].
 79-8          (c)  Payments from the foundation school fund to each
 79-9    category 2 school district shall be made as follows:
79-10                (1)  22 [21] percent of the yearly entitlement of the
79-11    district shall be paid in an installment [two equal installments]
79-12    to be made on or before the 25th day of September [and October] of
79-13    a fiscal year;
79-14                (2)  18 [38] percent of the yearly entitlement of the
79-15    district shall be paid in an installment [four equal installments]
79-16    to be made on or before the 25th day of October [November,
79-17    December, March, and July];
79-18                (3)  9.5 [seven] percent of the yearly entitlement of
79-19    the district shall be paid in an installment [two equal
79-20    installments] to be made on or before the 25th day of November
79-21    [January and February];
79-22                (4)  7.5 [22] percent of the yearly entitlement of the
79-23    district shall be paid in an installment [two equal installments]
79-24    to be made on or before the 25th day of April [and May]; [and]
 80-1                (5)  five [12] percent of the yearly entitlement of the
 80-2    district shall be paid in an installment [two equal installments]
 80-3    to be made on or before the 25th day of May;
 80-4                (6)  10 percent of the yearly entitlement of the
 80-5    district shall be paid in an installment to be made on or before
 80-6    the 25th day of June;
 80-7                (7)  13 percent of the yearly entitlement of the
 80-8    district shall be paid in an installment to be made on or before
 80-9    the 25th day of July; and
80-10                (8)  15 percent of the yearly entitlement of the
80-11    district shall be paid in an installment to be made on or before
80-12    the 25th day of August [June and August].
80-13          (d)  Payments from the foundation school fund to each
80-14    category 3 school district shall be made as follows:
80-15                (1)  45 [21] percent of the yearly entitlement of the
80-16    district shall be paid in an installment [two equal installments]
80-17    to be made on or before the 25th day of September [and October] of
80-18    a fiscal year;
80-19                (2)  35 [57] percent of the yearly entitlement of the
80-20    district shall be paid in an installment [six equal installments]
80-21    to be made on or before the 25th day of October [November,
80-22    December, March, June, July, and August]; and
80-23                (3)  20 [22] percent of the yearly entitlement of the
80-24    district shall be paid in an installment [two equal installments]
 81-1    to be made on or before the 25th day of August [April and May].
 81-2          SECTION 6.04.  The changes in law made by Sections 6.04-6.83
 81-3    of this article are made to conform to the changes in law made by
 81-4    S.B. No. 1 (Chapter 260, Acts of the 74th Legislature, Regular
 81-5    Session, 1995).
 81-6          SECTION 6.05.  Article 102.014(c), Code of Criminal
 81-7    Procedure, is amended to read as follows:
 81-8          (c)  A person convicted of an offense under Subtitle C, Title
 81-9    7, Transportation Code [the Uniform Act Regulating Traffic on
81-10    Highways (Article 6701d, Vernon's Texas Civil Statutes)], when the
81-11    offense occurs within a school crossing zone as defined by Section
81-12    541.302 [20L] of that code [Act], shall pay as court costs $20 in
81-13    addition to other taxable court costs.  A person convicted of an
81-14    offense under Section 545.066, Transportation Code [104, Uniform
81-15    Act Regulating Traffic on Highways (Article 6701d, Vernon's Texas
81-16    Civil Statutes)], shall pay as court costs $20 in addition to other
81-17    taxable court costs.  A person convicted of an offense under
81-18    Section 25.093 [4.25], Education Code, shall pay as taxable court
81-19    costs $20 in addition to other taxable court costs.  The additional
81-20    court costs under this subsection shall be collected in the same
81-21    manner that other fines and taxable court costs in the case are
81-22    collected.
81-23          SECTION 6.06.  Section 51.02(15), Family Code, is amended to
81-24    read as follows:
 82-1                (15)  "Status offender" means a child who is accused,
 82-2    adjudicated, or convicted for conduct that would not, under state
 82-3    law, be a crime if committed by an adult, including:
 82-4                      (A)  truancy under Section 51.03(b)(2);
 82-5                      (B)  running away from home under Section
 82-6    51.03(b)(3);
 82-7                      (C)  a fineable only offense under Section
 82-8    51.03(b)(1) transferred to the juvenile court under Section
 82-9    51.08(b), but only if the conduct constituting the offense would
82-10    not have been criminal if engaged in by an adult;
82-11                      (D)  failure to attend school under Section
82-12    25.094 [4.251], Education Code;
82-13                      (E)  a violation of standards of student conduct
82-14    as described by Section 51.03(b)(6);
82-15                      (F)  a violation of a juvenile curfew ordinance
82-16    or order;
82-17                      (G)  a violation of a provision of the Alcoholic
82-18    Beverage Code applicable to minors only; or
82-19                      (H)  a violation of any other fineable only
82-20    offense under Section 8.07(a)(4) or (5), Penal Code, but only if
82-21    the conduct constituting the offense would not have been criminal
82-22    if engaged in by an adult.
82-23          SECTION 6.07.  Section 51.03(b), Family Code, is amended to
82-24    read as follows:
 83-1          (b)  Conduct indicating a need for supervision is:
 83-2                (1)  subject to Subsection (f) of this section,
 83-3    conduct, other than a traffic offense, that violates:
 83-4                      (A)  the penal laws of this state of the grade of
 83-5    misdemeanor that are punishable by fine only; or
 83-6                      (B)  the penal ordinances of any political
 83-7    subdivision of this state;
 83-8                (2)  the unexcused voluntary absence of a child on 10
 83-9    or more days or parts of days within a six-month period or three or
83-10    more days or parts of days within a four-week period from school
83-11    without the consent of his parents;
83-12                (3)  the voluntary absence of a child from his home
83-13    without the consent of his parent or guardian for a substantial
83-14    length of time or without intent to return;
83-15                (4)  conduct which violates the laws of this state
83-16    prohibiting driving while intoxicated or under the influence of
83-17    intoxicating liquor (first or second offense) or driving while
83-18    under the influence of any narcotic drug or of any other drug to a
83-19    degree which renders him incapable of safely driving a vehicle
83-20    (first or second offense);
83-21                (5)  conduct prohibited by city ordinance or by state
83-22    law involving the inhalation of the fumes or vapors of paint and
83-23    other protective coatings or glue and other adhesives and the
83-24    volatile chemicals itemized in Section 484.002, Health and Safety
 84-1    Code;
 84-2                (6)  an act that violates a school district's
 84-3    previously communicated written standards of student conduct for
 84-4    which the child has been expelled under Section 37.007 [21.3011],
 84-5    Education Code; or
 84-6                (7)  conduct that violates a reasonable and lawful
 84-7    order of a court entered under Section 264.305.
 84-8          SECTION 6.08.  Section 52.01(a), Family Code, is amended to
 84-9    read as follows:
84-10          (a)  A child may be taken into custody:
84-11                (1)  pursuant to an order of the juvenile court under
84-12    the provisions of this subtitle;
84-13                (2)  pursuant to the laws of arrest;
84-14                (3)  by a law-enforcement officer, including a school
84-15    district peace officer commissioned under Section 37.081 [21.483],
84-16    Education Code, if there is probable cause to believe that the
84-17    child has engaged in:
84-18                      (A)  conduct that violates a penal law of this
84-19    state or a penal ordinance of any political subdivision of this
84-20    state; or
84-21                      (B)  delinquent conduct or conduct indicating a
84-22    need for supervision;
84-23                (4)  by a probation officer if there is probable cause
84-24    to believe that the child has violated a condition of probation
 85-1    imposed by the juvenile court; or
 85-2                (5)  pursuant to a directive to apprehend issued as
 85-3    provided by Section 52.015.
 85-4          SECTION 6.09.  Section 54.041(f), Family Code, is amended to
 85-5    read as follows:
 85-6          (f)  If a child is found to have engaged in conduct
 85-7    indicating a need for supervision described under Section
 85-8    51.03(b)(2) of this code, the court may order the child's parents
 85-9    or guardians to attend a class described by Section 25.093(h)
85-10    [provided under Section 21.035(h)], Education Code, if the school
85-11    district in which the child's parents or guardians reside offers a
85-12    class under that section.
85-13          SECTION 6.10.  Section 264.701(b), Family Code, is amended to
85-14    read as follows:
85-15          (b)  The committee is appointed by the Board of Protective
85-16    and Regulatory Services and is composed of the following 15
85-17    members:
85-18                (1)  an officer or employee of the Texas [Central]
85-19    Education Agency;
85-20                (2)  an officer or employee of the Department of
85-21    Protective and Regulatory Services;
85-22                (3)  an officer or employee of the Texas Juvenile
85-23    Probation Commission;
85-24                (4)  an officer or employee of the Texas Department of
 86-1    Mental Health and Mental Retardation;
 86-2                (5)  an officer or employee of the Children's Trust
 86-3    Fund of Texas Council;
 86-4                (6)  an officer or employee of the Health and Human
 86-5    Services Commission;
 86-6                (7)  three members of the public who have knowledge of
 86-7    and experience in the area of delivery of services relating to
 86-8    child abuse and neglect;
 86-9                (8)  three members of the public who have knowledge of
86-10    and experience in the area of evaluation of programs relating to
86-11    the prevention and treatment of child abuse and neglect; and
86-12                (9)  three members of the public who are or have been
86-13    recipients of services relating to the prevention or treatment of
86-14    child abuse or neglect.
86-15          SECTION 6.11.  Section 317.005(f), Government Code, is
86-16    amended to read as follows:
86-17          (f)  The governor or board may adopt an order under this
86-18    section withholding or transferring any portion of the total amount
86-19    appropriated to finance the foundation school program for a fiscal
86-20    year.  The governor or board may not adopt such an order if it
86-21    would result in an allocation of money between particular programs
86-22    or statutory allotments under the foundation school program
86-23    contrary to the statutory proration formula provided by Section
86-24    42.253(h) [16.254(h)], Education Code.  The governor or board may
 87-1    transfer an amount to the total amount appropriated to finance the
 87-2    foundation school program for a fiscal year and may increase the
 87-3    basic allotment.  The governor or board may adjust allocations of
 87-4    amounts between particular programs or statutory allotments under
 87-5    the foundation school program only for the purpose of conforming
 87-6    the allocations to actual pupil enrollments or attendance.
 87-7          SECTION 6.12.  Section 322.008(b), Government Code, is
 87-8    amended to read as follows:
 87-9          (b)  The [Not later than the 1994-1995 school year, the]
87-10    general appropriations bill shall include for purposes of
87-11    information the funding elements adopted by the foundation school
87-12    fund budget committee under Section 42.256(e) [16.256(e)],
87-13    Education Code, excluding the values for each school district
87-14    calculated under Subdivision (2) of that subsection.  The funding
87-15    elements under Section 42.256(e)(3) [16.256(e)(3)], Education Code,
87-16    shall be reported in dollar amounts per pupil.
87-17          SECTION 6.13.  Section 403.093(d), Government Code, is
87-18    amended to read as follows:
87-19          (d)  The comptroller shall transfer from the general revenue
87-20    fund to the foundation school fund an amount of money necessary to
87-21    fund the foundation school program as provided by Chapter 42 [16],
87-22    Education Code.  The comptroller shall make the transfers in
87-23    installments as necessary to comply with Section 42.259 [16.260],
87-24    Education Code.  An installment must be made not earlier than two
 88-1    days before the date an installment to school districts is required
 88-2    by Section 42.259 [16.260], Education Code, and must not exceed the
 88-3    amount necessary for that payment.
 88-4          SECTION 6.14.  Section 404.121(1), Government Code, is
 88-5    amended to read as follows:
 88-6                (1)  "Cash flow deficit" for any period means the
 88-7    excess, if any, of expenditures paid and transfers made from the
 88-8    general revenue fund in the period, including payments provided by
 88-9    Section 42.259 [16.260], Education Code, over taxes and other
88-10    revenues deposited to the fund in the period, other than revenues
88-11    deposited pursuant to Section 403.092, that are legally available
88-12    for the expenditures and transfers.
88-13          SECTION 6.15.  Section 415.004(f), Government Code, is
88-14    amended to read as follows:
88-15          (f)  The following officers shall serve as ex officio members
88-16    of the commission:
88-17                (1)  the commissioner of higher education of the Texas
88-18    Higher Education Coordinating Board[, Texas College and University
88-19    System];
88-20                (2)  the commissioner of the Texas [Central] Education
88-21    Agency;
88-22                (3)  the director of the Department of Public Safety;
88-23                (4)  the executive director of the criminal justice
88-24    division of the governor's office; and
 89-1                (5)  the attorney general.
 89-2          SECTION 6.16.  Section 441.036(b), Government Code, is
 89-3    amended to read as follows:
 89-4          (b)  This section applies to the state auditor, State Board
 89-5    of Barber Examiners, General Services Commission, Texas Cosmetology
 89-6    Commission, Texas State Board of Medical Examiners, Board of
 89-7    Pardons and Paroles, Board of Regents, Texas State University
 89-8    System, Texas Department of Licensing and Regulation, comptroller
 89-9    of public accounts, Court of Appeals for the Third Court of Appeals
89-10    District, governor, Texas Department of Health, Texas Department of
89-11    Insurance, Legislative Budget Board, Parks and Wildlife Commission,
89-12    Railroad Commission of Texas, Texas Real Estate Commission,
89-13    secretary of state, State Securities Board, Teacher Retirement
89-14    System of Texas, Texas [Central] Education Agency, Texas State
89-15    Library, Texas Natural Resource Conservation Commission, and the
89-16    state treasury department.
89-17          SECTION 6.17.  Section 481.028(b), Government Code, is
89-18    amended to read as follows:
89-19          (b)  The department shall enter into an agreement as required
89-20    by Subsection (a) with the:
89-21                (1)  Department of Agriculture regarding each agency's
89-22    international marketing efforts and business finance programs;
89-23                (2)  Texas Workforce [Employment] Commission, Texas
89-24    Higher Education Coordinating Board, and Texas [Central] Education
 90-1    Agency regarding each agency's work force development efforts and
 90-2    literacy programs;
 90-3                (3)  General Land Office regarding each agency's rural
 90-4    economic development efforts;
 90-5                (4)  Texas Department of Housing and Community Affairs
 90-6    regarding each agency's community development programs;
 90-7                (5)  Texas Department of Transportation and Parks and
 90-8    Wildlife Department regarding each agency's efforts to promote
 90-9    tourism;
90-10                (6)  Texas Natural Resource Conservation Commission
90-11    regarding small business finance and permits, the marketing of
90-12    recyclable products, and business permits;
90-13                (7)  office of the [state] comptroller regarding
90-14    economic development and analyses;
90-15                (8)  Texas Historical Commission regarding community
90-16    preservation, restoration, and revitalization;
90-17                (9)  Texas Department of Human Services regarding work
90-18    force development;
90-19                (10)  General Services Commission regarding providing
90-20    procurement information, certification, and technical assistance to
90-21    small and historically underutilized businesses;
90-22                (11)  Alternative Fuels Council regarding the promotion
90-23    of alternative fuels; and
90-24                (12)  institutions of higher education regarding work
 91-1    force development, literacy, and technology transfer.
 91-2          SECTION 6.18.  Section 481.341(b), Government Code, is
 91-3    amended to read as follows:
 91-4          (b)  The department shall maintain guidelines for the Texas
 91-5    Department of Human Services, the Texas Department of Mental Health
 91-6    and Mental Retardation, the Texas Juvenile Probation Commission,
 91-7    the Texas [Central] Education Agency, and the Texas Youth
 91-8    Commission to facilitate access to funds for dropouts and youth who
 91-9    are at risk of becoming dropouts.  The guidelines shall establish
91-10    the procedures for the state agencies' county or regional
91-11    representatives to follow to submit an application to the
91-12    appropriate service delivery area for funds for youth-related
91-13    projects.
91-14          SECTION 6.19.  Section 654.011(a), Government Code, is
91-15    amended to read as follows:
91-16          (a)  The position classification plan and the salary rates
91-17    and provisions in the General Appropriations Act apply to all
91-18    regular, full-time salaried employments in the state departments,
91-19    agencies, or judicial entities specified in the articles of the
91-20    General Appropriations Act that appropriate money to:
91-21                (1)  executive and administrative departments and
91-22    agencies;
91-23                (2)  health, welfare, and rehabilitation agencies;
91-24                (3)  the judiciary, except for judges, district
 92-1    attorneys, and assistant district attorneys; and
 92-2                (4)  agencies of public education, but only the Texas
 92-3    [Central] Education Agency, the Texas School for the Blind and
 92-4    Visually Impaired, and the Texas School for the Deaf.
 92-5          SECTION 6.20.  Section 661.031(2), Government Code, is
 92-6    amended to read as follows:
 92-7                (2)  "State employee" means an individual who is an
 92-8    appointed officer or employee of a state agency and who normally
 92-9    works 900 hours or more a year.  The term includes:
92-10                      (A)  an hourly employee;
92-11                      (B)  a temporary employee;
92-12                      (C)  a person employed by:
92-13                            (i)  the Teacher Retirement System of
92-14    Texas;
92-15                            (ii)  the Texas [Central] Education Agency;
92-16                            (iii)  the Texas Higher Education
92-17    Coordinating Board;
92-18                            (iv)  the Texas National Research
92-19    Laboratory Commission;
92-20                            (v)  the Texas School for the Blind and
92-21    Visually Impaired;
92-22                            (vi)  the Texas School for the Deaf;
92-23                            (vii)  the Texas Youth Commission;
92-24                            (viii)  the Windham School District [of the
 93-1    Texas Department of Criminal Justice]; or
 93-2                            (ix)  the Texas Rehabilitation Commission;
 93-3    and
 93-4                      (D)  a classified, administrative, faculty, or
 93-5    professional employee of a state institution or agency of higher
 93-6    education who has accumulated vacation leave, sick leave, or both,
 93-7    during the employment.
 93-8          SECTION 6.21.  Section 661.061(2), Government Code, is
 93-9    amended to read as follows:
93-10                (2)  "State employee" means an employee or appointed
93-11    officer of a state agency.  The term includes:
93-12                      (A)  a full-time employee or officer;
93-13                      (B)  a part-time employee or officer;
93-14                      (C)  an hourly employee;
93-15                      (D)  a temporary employee;
93-16                      (E)  a person employed by:
93-17                            (i)  the Teacher Retirement System of
93-18    Texas;
93-19                            (ii)  the Texas [Central] Education Agency;
93-20                            (iii)  the Texas Higher Education
93-21    Coordinating Board;
93-22                            (iv)  the Texas National Research
93-23    Laboratory Commission;
93-24                            (v)  the Texas School for the Blind and
 94-1    Visually Impaired;
 94-2                            (vi)  the Texas School for the Deaf;
 94-3                            (vii)  the Texas Youth Commission;
 94-4                            (viii)  the Windham School District [of the
 94-5    Texas Department of Criminal Justice]; or
 94-6                            (ix)  the Texas Rehabilitation Commission;
 94-7    or
 94-8                      (F)  a classified, administrative, faculty, or
 94-9    professional employee of a state institution or agency of higher
94-10    education who has accumulated vacation leave during the employment.
94-11          SECTION 6.22.  Section 822.002(a), Government Code, is
94-12    amended to read as follows:
94-13          (a)  An employee of the public school system is not permitted
94-14    to be a member of the retirement system if the employee:
94-15                (1)  executed and filed a waiver of membership prior to
94-16    the effective date of this subtitle and has not elected membership
94-17    pursuant to Subsection (b);
94-18                (2)  is eligible and elects to participate in the
94-19    optional retirement program under Chapter 830;
94-20                (3)  is solely employed by a public institution of
94-21    higher education that as a condition of employment requires the
94-22    employee to be enrolled as a student in the institution; or
94-23                (4)  [is solely employed as a noncertified instructor
94-24    in a program described in Subchapter G, Chapter 13, Education Code;
 95-1    or]
 95-2                [(5)]  has retired under the retirement system and has
 95-3    not been reinstated to membership pursuant to Section 823.502,
 95-4    824.005, or 824.307.
 95-5          SECTION 6.23.  Section 825.405(i), Government Code, is
 95-6    amended to read as follows:
 95-7          (i)  Not later than the seventh day after the final date the
 95-8    comptroller certifies to the commissioner of education changes to
 95-9    the property value study conducted under Subchapter M, Chapter 403
95-10    [Section 11.86, Education Code], the comptroller shall certify to
95-11    the Teacher Retirement System of Texas:
95-12                (1)  the effective tax rate for school district
95-13    maintenance and operation revenues for each school district in the
95-14    state for the immediately preceding tax year; and
95-15                (2)  the statewide average effective tax rate for
95-16    school district maintenance and operation revenues for the
95-17    immediately preceding tax year.
95-18          SECTION 6.24.  Section 830.005, Government Code, is amended
95-19    to read as follows:
95-20          Sec. 830.005.  Exemption From Taxes.  If qualified to do
95-21    business in this state, a life insurance or annuity company is
95-22    exempt from the payment of franchise or premium taxes on annuity or
95-23    group insurance policies issued under a benefit program authorized
95-24    and at least partly paid for by the governing board of an
 96-1    institution of higher education or the Texas [Central] Education
 96-2    Agency.
 96-3          SECTION 6.25.  Section 830.103(a), Government Code, is
 96-4    amended to read as follows:
 96-5          (a)  An institution of higher education shall accept the
 96-6    transfer of a participant's optional retirement program from
 96-7    another institution of higher education or from the Texas [Central]
 96-8    Education Agency.  The Texas [Central] Education Agency shall
 96-9    accept the transfer of a participant's optional retirement program
96-10    from an institution of higher education if the participant becomes
96-11    commissioner of education.
96-12          SECTION 6.26.  Sections 830.202(b)-(d), Government Code, are
96-13    amended to read as follows:
96-14          (b)  The comptroller of public accounts shall pay the state's
96-15    contributions to the optional retirement program to the appropriate
96-16    institutions of higher education and, if applicable, to the Texas
96-17    [Central] Education Agency.
96-18          (c)  The disbursing officer of an institution of higher
96-19    education and, if applicable, of the Texas [Central] Education
96-20    Agency shall pay the contributions collected under this section to
96-21    the company providing the optional retirement program for that
96-22    institution.
96-23          (d)  An institution of higher education and, if applicable,
96-24    the Texas [Central] Education Agency shall certify to the
 97-1    comptroller, in the manner provided for estimate of state
 97-2    contributions to the retirement system, estimates of funds required
 97-3    for the payments by the state under this section.
 97-4          SECTION 6.27.  Section 830.204(a), Government Code, is
 97-5    amended to read as follows:
 97-6          (a)  A participant in the optional retirement program and
 97-7    either the employing institution of higher education or, as
 97-8    applicable, the Texas [Central] Education Agency, acting through
 97-9    its governing board, shall execute an agreement under which the
97-10    salary of the participant is reduced by the amount of the
97-11    contribution required under Section 830.201 and under which the
97-12    employer or agency contributes an amount equal to the reduction for
97-13    any type of investment authorized in Section 403(b) of the Internal
97-14    Revenue Code of 1986 (26 U.S.C.  Section 403) or toward the
97-15    purchase of an annuity under the program.
97-16          SECTION 6.28.  Section 2054.059(b), Government Code, is
97-17    amended to read as follows:
97-18          (b)  The department, comptroller, and General Services
97-19    Commission shall develop a statewide telecommunications operating
97-20    plan for all state agencies.  The plan shall implement a statewide
97-21    network and include technical specifications that are binding on
97-22    the managing and operating agency.  A representative of the Texas
97-23    [Central] Education Agency and a representative of the Texas Higher
97-24    Education Coordinating Board shall review and comment on the
 98-1    operating plan as part of the representatives'  duties under
 98-2    Section 2170.055 [10.02(g), State Purchasing and General Services
 98-3    Act (Article 601b, Vernon's Texas Civil Statutes)].
 98-4          SECTION 6.29.  Section 2105.001(1), Government Code, is
 98-5    amended to read as follows:
 98-6                (1)  "Agency" means:
 98-7                      (A)  the Texas Department of Human Services;
 98-8                      (B)  the Texas Department of Health;
 98-9                      (C)  the Texas Department of Housing and
98-10    Community Affairs;
98-11                      (D)  the Texas [Central] Education Agency;
98-12                      (E)  the Texas Department of Mental Health and
98-13    Mental Retardation;
98-14                      (F)  the Texas Department on Aging; or
98-15                      (G)  any other commission, board, department, or
98-16    state agency designated to receive block grant funds.
98-17          SECTION 6.30.  Section 2170.055, Government Code, is amended
98-18    to read as follows:
98-19          Sec. 2170.055.  REVIEW AND COMMENT BY EDUCATION AGENCIES.
98-20    (a)  A representative of the Texas [Central] Education Agency and a
98-21    representative of the Texas Higher Education Coordinating Board
98-22    shall review and comment on telecommunications plans developed
98-23    under Section 2170.054.
98-24          (b)  The participation of the Texas [Central] Education
 99-1    Agency and the Texas Higher Education Coordinating Board is for the
 99-2    limited purpose of coordinating the statewide telecommunications
 99-3    system developed under this chapter with the telecommunications
 99-4    systems of educational entities that are not subject to this
 99-5    chapter.
 99-6          (c)  A representative of the Texas [Central] Education Agency
 99-7    or the Texas Higher Education Coordinating Board under this section
 99-8    acts in an advisory capacity only and is not entitled to vote on
 99-9    decisions made under this chapter.
99-10          SECTION 6.31.  Section 2257.081, Government Code, is amended
99-11    to read as follows:
99-12          Sec. 2257.081.  Definition.  In this subchapter, "exempt
99-13    institution" means:
99-14                (1)  a public retirement system, as defined by Section
99-15    802.001; or
99-16                (2)  the permanent school fund, as described [defined]
99-17    by Section 43.001 [15.01], Education Code.
99-18          SECTION 6.32.  Section 2307.002(a), Government Code, is
99-19    amended to read as follows:
99-20          (a)  The Texas Interagency Council for the Homeless is
99-21    composed of:
99-22                (1)  one representative from each of the following
99-23    agencies, appointed by the administrative head of that agency:
99-24                      (A)  the Texas Department of Health;
 100-1                     (B)  the Texas Department of Human Services;
 100-2                     (C)  the Texas Department of Mental Health and
 100-3   Mental Retardation;
 100-4                     (D)  the Texas Department of Criminal Justice;
 100-5                     (E)  the Texas Department on Aging;
 100-6                     (F)  the Texas Rehabilitation Commission;
 100-7                     (G)  the Texas [Central] Education Agency;
 100-8                     (H)  the Texas Commission on Alcohol and Drug
 100-9   Abuse;
100-10                     (I)  the Department of Protective and Regulatory
100-11   Services;
100-12                     (J)  the Health and Human Services Commission;
100-13                     (K)  the Texas Workforce [Employment] Commission;
100-14                     (L)  the Texas Youth Commission;
100-15                     (M)  the Texas Veterans Commission; and
100-16                     (N)  the workforce development division of the
100-17   Texas Department of Commerce;
100-18               (2)  one representative from the office of the
100-19   comptroller appointed by the comptroller;
100-20               (3)  two representatives from the department, one each
100-21   from the community affairs division and the housing finance
100-22   division, appointed by the director; and
100-23               (4)  three members representing service providers to
100-24   the homeless, one each appointed by the governor, the lieutenant
 101-1   governor, and the speaker of the house of representatives.
 101-2         SECTION 6.33.  Section 12.033(a), Health and Safety Code, is
 101-3   amended to read as follows:
 101-4         (a)  Except as otherwise provided by this section, the board
 101-5   by rule shall charge fees for the distribution and administration
 101-6   of vaccines and sera provided under:
 101-7               (1)  Section 38.001 [2.09], Education Code;
 101-8               (2)  Section 42.043, Human Resources Code;
 101-9               (3)  Chapter 826 (Rabies Control Act of 1981);
101-10               (4)  Chapter 81 (Communicable Disease Prevention and
101-11   Control Act); and
101-12               (5)  Section 161.005[, Health and Safety Code].
101-13         SECTION 6.34.  Section 36.007(a), Health and Safety Code, is
101-14   amended to read as follows:
101-15         (a)  The department may provide remedial services directly or
101-16   through approved providers to eligible individuals who have certain
101-17   special senses and communication disorders and who are not eligible
101-18   for special education services that remediate those disorders and
101-19   that are administered by the Texas [Central] Education Agency
101-20   through the public schools.
101-21         SECTION 6.35.  Section 36.015(b), Health and Safety Code, is
101-22   amended to read as follows:
101-23         (b)  The committee is composed of nine members.  The chief
101-24   administrative officer of each of the following agencies shall
 102-1   appoint one member to the committee:
 102-2               (1)  Texas [Central] Education Agency;
 102-3               (2)  Texas Commission for the Blind;
 102-4               (3)  Texas Commission for the Deaf and Hard of Hearing;
 102-5               (4)  Texas Department of Housing and Community Affairs;
 102-6               (5)  Texas Department of Health;
 102-7               (6)  Texas Department of Human Services;
 102-8               (7)  Texas Department of Mental Health and Mental
 102-9   Retardation;
102-10               (8)  Texas School for the Blind and Visually Impaired;
102-11   and
102-12               (9)  Texas School for the Deaf.
102-13         SECTION 6.36.  Sections 37.001(a) and (b), Health and Safety
102-14   Code, are amended to read as follows:
102-15         (a)  The department, in cooperation with the Texas [Central]
102-16   Education Agency, shall establish a program to detect abnormal
102-17   spinal curvature in children.
102-18         (b)  The board, in cooperation with the Texas [Central]
102-19   Education Agency, shall adopt rules for the mandatory spinal
102-20   screening of children in grades 6 and 9 attending public or private
102-21   schools.  The department shall coordinate the spinal screening
102-22   program with any other screening program conducted by the
102-23   department on those children.
102-24         SECTION 6.37.  Section 37.004(d), Health and Safety Code, is
 103-1   amended to read as follows:
 103-2         (d)  It is the intent of the legislature that the department
 103-3   provide certification training for nonhealth practitioners through
 103-4   Texas [Central] Education Agency regional education service
 103-5   centers.
 103-6         SECTION 6.38.  Section 85.017(b), Health and Safety Code, is
 103-7   amended to read as follows:
 103-8         (b)  The council consists of one representative from each of
 103-9   the following agencies appointed by the executive director or
103-10   commissioner of each agency:
103-11               (1)  the department;
103-12               (2)  the Texas Department of Mental Health and Mental
103-13   Retardation;
103-14               (3)  the Texas Department of Human Services;
103-15               (4)  the Texas Commission on Alcohol and Drug Abuse;
103-16               (5)  the Texas Rehabilitation Commission;
103-17               (6)  the Texas Youth Commission;
103-18               (7)  the Texas Department of Criminal Justice;
103-19               (8)  the Texas Juvenile Probation Commission;
103-20               (9)  the Texas Commission for the Blind;
103-21               (10)  the Texas Commission for the Deaf and Hard of
103-22   Hearing;
103-23               (11)  the Department of Protective and Regulatory
103-24   Services;
 104-1               (12)  the Texas [Central] Education Agency;
 104-2               (13)  the Texas State Board of Medical Examiners;
 104-3               (14)  the Board of Nurse Examiners;
 104-4               (15)  the Board of Vocational Nurse Examiners;
 104-5               (16)  the Texas State Board of Dental Examiners; and
 104-6               (17)  the Health and Human Services Commission.
 104-7         SECTION 6.39.  Section 103.002(a), Health and Safety Code, is
 104-8   amended to read as follows:
 104-9         (a)  The Texas Diabetes Council is composed of 12 citizen
104-10   members appointed from the public and one representative each from
104-11   the department, the Texas [Central] Education Agency, the Texas
104-12   Department of Human Services, the Texas Commission for the Blind,
104-13   and the Texas Rehabilitation Commission.
104-14         SECTION 6.40.  Sections 103.017(a) and (b), Health and Safety
104-15   Code, are amended to read as follows:
104-16         (a)  The department, the Texas Commission for the Blind, the
104-17   Texas Rehabilitation Commission, the Texas Department of Human
104-18   Services, and the Texas [Central] Education Agency shall work with
104-19   the council to jointly develop, produce, and implement a general
104-20   public awareness strategy focusing on diabetes, its complications,
104-21   and techniques for achieving good management.  Each agency shall
104-22   pay for the costs of producing and disseminating information on
104-23   diabetes to clients served by that agency.
104-24         (b)  The department, the Texas Commission for the Blind, the
 105-1   Texas Rehabilitation Commission, the Texas Department of Human
 105-2   Services, and the Texas [Central] Education Agency may jointly
 105-3   develop and implement a statewide plan for conducting regional
 105-4   training sessions for public and private service providers,
 105-5   including institutional health care providers, who have routine
 105-6   contact with persons with diabetes.
 105-7         SECTION 6.41.  Sections 161.005(b) and (d), Health and Safety
 105-8   Code, are amended to read as follows:
 105-9         (b)  The department and the board have the same powers and
105-10   duties under this section as those entities have under Sections
105-11   38.001 and 51.933 [Section 2.09], Education Code.  In addition, the
105-12   provisions of those sections [that section] relating to provisional
105-13   admissions and exceptions apply to this section.
105-14         (d)  This section does not affect the requirements of Section
105-15   38.001 or 51.933 [2.09], Education Code, or Section 42.043, Human
105-16   Resources Code.
105-17         SECTION 6.42.  Section 382.056(a), Health and Safety Code, is
105-18   amended to read as follows:
105-19         (a)  An applicant for a permit under Section 382.0518 or
105-20   382.054 or a permit renewal review under Section 382.055 shall
105-21   publish notice of intent to obtain the permit or permit review.
105-22   The commission by rule may require an applicant for a federal
105-23   operating permit to publish notice of intent to obtain a permit or
105-24   permit review consistent with federal requirements and with the
 106-1   requirements of this section.  The applicant shall publish the
 106-2   notice at least once in a newspaper of general circulation in the
 106-3   municipality in which the facility or federal source is located or
 106-4   is proposed to be located or in the municipality nearest to the
 106-5   location or proposed location of the facility or federal source.
 106-6   If the elementary or middle school nearest to the facility or
 106-7   proposed facility provides a bilingual education program as
 106-8   required by Subchapter B, Chapter 29 [Section 21.109], Education
 106-9   Code, [and Section 19 TAC Subsection 89.2(a),] the applicant shall
106-10   also publish the notice at least once in an additional publication
106-11   of general circulation in the municipality or county in which the
106-12   facility is located or proposed to be located that is published in
106-13   the language taught in the bilingual education program.  This
106-14   requirement is waived if such a publication does not exist or if
106-15   the publisher refuses to publish the notice.  The commission by
106-16   rule shall prescribe when notice must be published and may require
106-17   publication of additional notice.  Notice required to be published
106-18   under this section shall only be required to be published in the
106-19   United States.
106-20         SECTION 6.43.  Section 382.142(b)(5), Health and Safety Code,
106-21   is amended to read as follows:
106-22               (5)  This section shall also apply to all vehicles
106-23   purchased, leased, or otherwise acquired pursuant to:
106-24                     (A)  Subchapter G, Chapter 451, Transportation
 107-1   Code [Section 21.174(c)(1), Education Code;]
 107-2                     [(B)  Section 14(c)(1), Chapter 141, Acts of the
 107-3   63rd Legislature, Regular Session, 1973 (Article 1118x, Vernon's
 107-4   Texas Civil Statutes), as added by Section 8, Chapter 1189, Acts of
 107-5   the 71st Legislature, Regular Session, 1989, and amended by Section
 107-6   13, Chapter 503, Acts of the 72nd Legislature, Regular Session,
 107-7   1991];
 107-8                     (B)  Subchapter F, Chapter 452, Transportation
 107-9   Code [(C)  Section 20(e)(1), Chapter 683, Acts of the 66th
107-10   Legislature, 1979 (Article 1118y, Vernon's Texas Civil Statutes)];
107-11                     (C)  Subchapter F, Chapter 453, Transportation
107-12   Code [(D)  Section 6(k)(1), Article 1118z, Revised Statutes]; and
107-13                     (D)  Section 2158.003, Government Code
107-14   [(E)  Section 3.29(a), State Purchasing and General Services Act
107-15   (Article 601b, Vernon's Texas Civil Statutes)].
107-16         SECTION 6.44.  Section 382.143(h), Health and Safety Code, is
107-17   amended to read as follows:
107-18         (h)  This section also applies to all vehicles purchased,
107-19   leased, or otherwise acquired pursuant to:
107-20                     (A)  Subchapter G, Chapter 451, Transportation
107-21   Code [Section 21.174(c)(1), Education Code;]
107-22                     [(B)  Section 14(c)(1), Chapter 141, Acts of the
107-23   63rd Legislature, Regular Session, 1973 (Article 1118x, Vernon's
107-24   Texas Civil Statutes), as added by Section 8, Chapter 1189, Acts of
 108-1   the 71st Legislature, Regular Session, 1989, and amended by Section
 108-2   13, Chapter 503, Acts of the 72nd Legislature, Regular Session,
 108-3   1991];
 108-4                     (B)  Subchapter F, Chapter 452, Transportation
 108-5   Code [(C)  Section 20(e)(1), Chapter 683, Acts of the 66th
 108-6   Legislature, 1979 (Article 1118y, Vernon's Texas Civil Statutes)];
 108-7                     (C)  Subchapter F, Chapter 453, Transportation
 108-8   Code [(D)  Section 6(k)(1), Article 1118z, Revised Statutes]; and
 108-9                     (D)  Section 2158.003, Government Code
108-10   [(E)  Section 3.29(a), State Purchasing and General Services Act
108-11   (Article 601b, Vernon's Texas Civil Statutes)].
108-12         SECTION 6.45.  Section 481.0621(c), Health and Safety Code,
108-13   is amended to read as follows:
108-14         (c)  The department and the Texas [Central] Education Agency
108-15   shall adopt a memorandum of understanding that establishes the
108-16   responsibilities of the agency, the department, private schools,
108-17   and school districts in implementing and maintaining a program for
108-18   reporting information concerning controlled substances, controlled
108-19   substance analogues, chemical precursors, and chemical laboratory
108-20   apparatus used in educational or research activities of those
108-21   schools and school districts.
108-22         SECTION 6.46.  Section 533.040(c), Health and Safety Code, is
108-23   amended to read as follows:
108-24         (c)  The department shall designate an employee as a youth
 109-1   suicide prevention officer.  The officer shall serve as a liaison
 109-2   to the Texas [Central] Education Agency and public schools on
 109-3   matters relating to the prevention of and response to suicide or
 109-4   attempted suicide by public school students.
 109-5         SECTION 6.47.  Section 533.0415(a), Health and Safety Code,
 109-6   is amended to read as follows:
 109-7         (a)  The department, the Texas Department of Human Services,
 109-8   the Texas Youth Commission, the Texas Juvenile Probation
 109-9   Commission, and the Texas [Central] Education Agency by rule shall
109-10   adopt a joint memorandum of understanding to develop interagency
109-11   training for the staffs of the agencies involved in the functions
109-12   of assessment, case planning, case management, and in-home or
109-13   direct delivery of services to children, youth, and their families.
109-14   The memorandum must:
109-15               (1)  outline the responsibility of each agency in
109-16   coordinating and developing a plan for interagency training on
109-17   individualized assessment and effective intervention and treatment
109-18   services for children and dysfunctional families; and
109-19               (2)  provide for the establishment of an interagency
109-20   task force to:
109-21                     (A)  develop a training program to include
109-22   identified competencies, content, and hours for completion of the
109-23   training with at least 20 hours of training required each year
109-24   until the program is completed;
 110-1                     (B)  design a plan for implementing the program,
 110-2   including regional site selection, frequency of training, and
 110-3   selection of experienced clinical public and private professionals
 110-4   or consultants to lead the training;
 110-5                     (C)  monitor, evaluate, and revise the training
 110-6   program, including the development of additional curricula based on
 110-7   future training needs identified by staff and professionals; and
 110-8                     (D)  submit a report to the governor, lieutenant
 110-9   governor, and speaker of the house of representatives by October 15
110-10   of each even-numbered year.
110-11         SECTION 6.48.  Section 534.034(b), Health and Safety Code, is
110-12   amended to read as follows:
110-13         (b)  The department, the Texas Department of Human Services,
110-14   the Texas Rehabilitation Commission, the Texas Commission on
110-15   Alcohol and Drug Abuse, the Texas Department of Health, the Texas
110-16   [Central] Education Agency, the Texas State Board of Pharmacy, and
110-17   any other agency identified by the department under Subsection (a)
110-18   shall by rule adopt a joint memorandum of understanding to maximize
110-19   the use of each agency's reviews by eliminating duplication of
110-20   program reviews unless duplicative reviews are necessary to comply
110-21   with federal funding requirements.
110-22         SECTION 6.49.  Section 551.043(b), Health and Safety Code, is
110-23   amended to read as follows:
110-24         (b)  The clinic service shall cooperate with the Texas
 111-1   [Central] Education Agency and local boards of education in
 111-2   studying the mental and physical health of children:
 111-3               (1)  with serious retardation in school progress or in
 111-4   mental development; or
 111-5               (2)  who have personality development problems.
 111-6         SECTION 6.50.  Section 614.002(c), Health and Safety Code, is
 111-7   amended to read as follows:
 111-8         (c)  The executive head of each of the following agencies,
 111-9   divisions of agencies, or associations, or that person's designated
111-10   representative, shall serve as a member of the council:
111-11               (1)  the institutional division of the Texas Department
111-12   of Criminal Justice;
111-13               (2)  the Texas Department of Mental Health and Mental
111-14   Retardation;
111-15               (3)  the pardons and paroles division of the Texas
111-16   Department of Criminal Justice;
111-17               (4)  the community justice assistance division of the
111-18   Texas Department of Criminal Justice;
111-19               (5)  the state jail division of the Texas Department of
111-20   Criminal Justice;
111-21               (6)  the Texas Juvenile Probation Commission;
111-22               (7)  the Texas Youth Commission;
111-23               (8)  the Texas Rehabilitation Commission;
111-24               (9)  the Texas [Central] Education Agency;
 112-1               (10)  the Criminal Justice Policy Council;
 112-2               (11)  the Mental Health Association in Texas;
 112-3               (12)  the Texas Commission on Alcohol and Drug Abuse;
 112-4               (13)  the Commission on Law Enforcement Officer
 112-5   Standards and Education;
 112-6               (14)  the Texas Council of Community Mental Health and
 112-7   Mental Retardation Centers;
 112-8               (15)  the Commission on Jail Standards;
 112-9               (16)  the Texas Planning Council for Developmental
112-10   Disabilities;
112-11               (17)  the Texas Association for Retarded Citizens;
112-12               (18)  the Texas Alliance for the Mentally Ill;
112-13               (19)  the Parent Association for the Retarded of Texas,
112-14   Inc.;
112-15               (20)  the Texas Department of Human Services; and
112-16               (21)  the Texas Department on Aging.
112-17         SECTION 6.51.  Section 791.036(k), Health and Safety Code, is
112-18   amended to read as follows:
112-19         (k)  If the Texas [Central] Education Agency approves that
112-20   construction as providing a convenient and safe passage, doorways
112-21   may be used as exits from each floor.  The base of a doorway must
112-22   be at the same level as the corresponding floor of the building and
112-23   the landing of the fire escape to which the doorway leads.  A
112-24   doorway must be at least three feet wide and six feet six inches
 113-1   high and must be fitted with panic hardware approved by the
 113-2   successor organization to the National Board of Fire Underwriters.
 113-3   If there are two or more rooms or hallways adjacent and convenient
 113-4   to the landing of a fire escape, each room or hallway must have a
 113-5   doorway leading to that landing.
 113-6         SECTION 6.52.  Section 22.011(a), Human Resources Code, is
 113-7   amended to read as follows:
 113-8         (a)  The department, the Texas Department of Health, the
 113-9   Texas Department of Mental Health and Mental Retardation, the Texas
113-10   Rehabilitation Commission, the Texas Commission for the Blind, the
113-11   Texas Commission for the Deaf and Hard of Hearing, and the Texas
113-12   [Central] Education Agency shall adopt a joint memorandum of
113-13   understanding to facilitate the coordination of services to
113-14   disabled persons.  The memorandum shall:
113-15               (1)  clarify the financial and service responsibilities
113-16   of each agency in relation to disabled persons; and
113-17               (2)  address how the agency will share data relating to
113-18   services delivered to disabled persons by each agency.
113-19         SECTION 6.53.  Sections 31.0031(d) and (e), Human Resources
113-20   Code, as added by Section 2.02(a), Chapter 655, Acts of the 74th
113-21   Legislature, Regular Session, 1995, are amended to read as follows:
113-22         (d)  The responsibility agreement shall require that:
113-23               (1)  the parent of a dependent child cooperate with the
113-24   department and the Title IV-D agency if necessary to establish the
 114-1   paternity of the dependent child and to establish or enforce child
 114-2   support;
 114-3               (2)  if adequate and accessible providers of the
 114-4   services are available in the geographic area and subject to the
 114-5   availability of funds, each dependent child, as appropriate,
 114-6   complete early and periodic screening, diagnosis, and treatment
 114-7   checkups on schedule and receive the immunization series prescribed
 114-8   by Section 161.004, Health and Safety Code, unless the child is
 114-9   exempt under that section;
114-10               (3)  each adult recipient, or teen parent recipient who
114-11   has completed the requirements regarding school attendance in
114-12   Subdivision (6), not voluntarily terminate paid employment of at
114-13   least 30 hours each week without good cause in accordance with
114-14   rules adopted by the department;
114-15               (4)  each adult recipient for whom a needs assessment
114-16   is conducted participate in an activity to enable that person to
114-17   become self-sufficient by:
114-18                     (A)  continuing the person's education or
114-19   becoming literate;
114-20                     (B)  entering a job placement or employment
114-21   skills training program;
114-22                     (C)  serving as a volunteer in the person's
114-23   community; or
114-24                     (D)  serving in a community work program or other
 115-1   work program approved by the department;
 115-2               (5)  each caretaker relative or parent receiving
 115-3   assistance not use, sell, or possess marihuana or a controlled
 115-4   substance in violation of Chapter 481, Health and Safety Code, or
 115-5   abuse alcohol;
 115-6               (6)  each dependent child younger than 18 years of age
 115-7   or teen parent younger than 19 years of age attend school
 115-8   regularly, unless the child has a high school diploma or high
 115-9   school equivalency certificate or is specifically exempted from
115-10   school attendance under Section 25.086 [21.033], Education Code;
115-11               (7)  each recipient comply with department rules
115-12   regarding proof of school attendance; and
115-13               (8)  each recipient attend parenting skills training
115-14   classes, as determined by the needs assessment.
115-15         (e)  In conjunction with the Texas [Central] Education
115-16   Agency, the department by rule shall ensure compliance with the
115-17   school attendance requirements of Subsection (d)(6) by establishing
115-18   criteria for:
115-19               (1)  determining whether a child is regularly attending
115-20   school;
115-21               (2)  exempting a child from school attendance in
115-22   accordance with Subchapter C [B], Chapter 25 [21], Education Code;
115-23   and
115-24               (3)  determining when an absence is excused.
 116-1         SECTION 6.54.  Section 31.0135(a), Human Resources Code, is
 116-2   amended to read as follows:
 116-3         (a)  The department, in cooperation with the Texas [Central]
 116-4   Education Agency, the Department of Protective and Regulatory
 116-5   Services, the Texas Agricultural Extension Service, or any other
 116-6   public or private entity, shall develop a parenting skills training
 116-7   program to assist a recipient of assistance under this chapter,
 116-8   including a child who receives assistance on behalf of a dependent
 116-9   child.  The program shall include nutrition education, budgeting
116-10   and survival skills, and instruction on the necessity of physical
116-11   and emotional safety for children.
116-12         SECTION 6.55.  Section 33.024(a)(1), Human Resources Code, is
116-13   amended to read as follows:
116-14               (1)  "Agency" means the Texas [Central] Education
116-15   Agency.
116-16         SECTION 6.56.  Section 73.002(a), Human Resources Code, is
116-17   amended to read as follows:
116-18         (a)  The council is composed of three lay members who are the
116-19   parents of developmentally delayed children and one representative
116-20   each from the Texas Department of Health, the Texas Department of
116-21   Mental Health and Mental Retardation, the Texas Department of Human
116-22   Services, the Texas [Central] Education Agency, the Department of
116-23   Protective and Regulatory Services, and the Texas Commission on
116-24   Alcohol and Drug Abuse.  The governor with the advice and consent
 117-1   of the senate shall appoint the lay members, and the commissioner,
 117-2   director, or executive director of each agency shall appoint that
 117-3   agency's representative.  The agency representative should be a
 117-4   person in the agency with administrative responsibility for the
 117-5   supervision of early childhood intervention support staff or
 117-6   related services.
 117-7         SECTION 6.57.  Section 73.010(a), Human Resources Code, is
 117-8   amended to read as follows:
 117-9         (a)  A developmentally delayed child is eligible for services
117-10   under this chapter if the child:
117-11               (1)  is under three years of age;
117-12               (2)  has not reached the age of eligibility for entry
117-13   into the comprehensive special education program for [handicapped]
117-14   children with disabilities under Section 29.001 [21.501], Education
117-15   Code; or
117-16               (3)  is under three years of age and is an eligible
117-17   child authorized under Sections 30.002(a) and 30.081 [Section
117-18   11.052(a) and Section 11.10(o)], Education Code.
117-19         SECTION 6.58.  Section 73.022, Human Resources Code, is
117-20   amended to read as follows:
117-21         Sec. 73.022.  Federally Funded Programs.  (a)  The Texas
117-22   [Central] Education Agency may not impose requirements on an early
117-23   childhood intervention program that receives funds under the
117-24   Elementary and Secondary Education Act of 1965 (20 U.S.C. Section
 118-1   2701 et seq.) that are not requirements under federal law or under
 118-2   this chapter.
 118-3         (b)  The Texas [Central] Education Agency shall coordinate
 118-4   monitoring required by federal law for early childhood intervention
 118-5   programs with the program monitoring required by this chapter to
 118-6   the extent possible.
 118-7         SECTION 6.59.  Section 79.003(b), Human Resources Code, is
 118-8   amended to read as follows:
 118-9         (b)  The clearinghouse shall:
118-10               (1)  establish a system of intrastate communication of
118-11   information relating to missing children and missing persons;
118-12               (2)  provide a centralized file for the exchange of
118-13   information on missing children, missing persons, and unidentified
118-14   dead bodies within the state;
118-15               (3)  communicate with the national crime information
118-16   center for the exchange of information on missing children and
118-17   missing persons suspected of interstate travel;
118-18               (4)  collect, process, maintain, and disseminate
118-19   accurate and complete information on missing children and missing
118-20   persons;
118-21               (5)  provide a statewide toll-free telephone line for
118-22   the reporting of missing children and missing persons and for
118-23   receiving information on missing children and missing persons; and
118-24               (6)  provide and disseminate to legal custodians, law
 119-1   enforcement agencies, and the Texas [Central] Education Agency
 119-2   information that explains how to prevent child abduction and what
 119-3   to do if a child becomes missing.
 119-4         SECTION 6.60.  Sections 79.005(b) and (c), Human Resources
 119-5   Code, are amended to read as follows:
 119-6         (b)  The clearinghouse shall also provide to the Texas
 119-7   [Central] Education Agency information about missing children who
 119-8   may be located in the school systems.
 119-9         (c)  The clearinghouse may also receive information about
119-10   missing children from the Public Education Information Management
119-11   System of the Texas [Central] Education Agency and from school
119-12   districts.
119-13         SECTION 6.61.  Section 79.007(a), Human Resources Code, is
119-14   amended to read as follows:
119-15         (a)  The Texas [Central] Education Agency shall develop and
119-16   administer a program for the location of missing children who may
119-17   be enrolled within the Texas school system, including nonpublic
119-18   schools, and for the reporting of children who may be missing or
119-19   who may be unlawfully removed from schools.
119-20         SECTION 6.62.  Section 81.006(a), Human Resources Code, is
119-21   amended to read as follows:
119-22         (a)  The commission shall:
119-23               (1)  develop and implement a statewide program of
119-24   advocacy and education to ensure continuity of services to persons
 120-1   who are deaf or hard of hearing;
 120-2               (2)  provide direct services to persons who are deaf or
 120-3   hard of hearing, including interpreter services, information and
 120-4   referral services, advocacy services, services to elderly persons
 120-5   who are deaf or hard of hearing, and training in accessing basic
 120-6   life skills;
 120-7               (3)  work to ensure more effective coordination and
 120-8   cooperation among public and nonprofit organizations providing
 120-9   social and educational services to individuals who are deaf or hard
120-10   of hearing;
120-11               (4)  maintain a registry of available interpreters for
120-12   persons who are deaf or hard of hearing by updating the registry at
120-13   least quarterly and making the registry available to interested
120-14   persons at cost;
120-15               (5)  establish a system to approve and provide courses
120-16   and workshops for the instruction and continuing education of
120-17   interpreters for persons who are deaf or hard of hearing;
120-18               (6)  annually review the schedule of fees recommended
120-19   by the commission for the payment of interpreters and, as a result
120-20   of the findings of the review and other relevant information, adopt
120-21   by rule a schedule of maximum allowable hourly fees to be paid to
120-22   interpreters with varied levels of skill by a state agency, court,
120-23   or a political subdivision of the state;
120-24               (7)  assist institutions of higher education in
 121-1   initiating training programs for interpreters and develop
 121-2   guidelines for instruction to promote uniformity of signs taught
 121-3   within those programs; and
 121-4               (8)  with the assistance of the Texas [Central]
 121-5   Education Agency, develop standards for evaluation of the programs
 121-6   described by Subdivision (7).
 121-7         SECTION 6.63.  Section 81.017(a), Human Resources Code, is
 121-8   amended to read as follows:
 121-9         (a)  The commission and each of the following agencies shall
121-10   adopt by rule a memorandum of understanding to coordinate the
121-11   delivery of services to persons who are deaf or hard of hearing and
121-12   to reduce duplication of services:
121-13               (1)  the Texas Department of Human Services;
121-14               (2)  the Texas Department of Mental Health and Mental
121-15   Retardation;
121-16               (3)  the Texas Workforce [Employment] Commission;
121-17               (4)  the Texas Department of Health;
121-18               (5)  the Texas Higher Education Coordinating Board[,
121-19   Texas College and University System];
121-20               (6)  the Texas [Central] Education Agency;
121-21               (7)  the Texas Department on Aging;
121-22               (8)  the Texas School for the Deaf;
121-23               (9)  the Texas Rehabilitation Commission;
121-24               (10)  the institutional division of the Texas
 122-1   Department of Criminal Justice; and
 122-2               (11)  any other state agency involved in providing
 122-3   services to persons who are deaf or hard of hearing.
 122-4         SECTION 6.64.  Section 91.081(a), Human Resources Code, is
 122-5   amended to read as follows:
 122-6         (a)  The purpose of this subchapter is to establish a
 122-7   comprehensive central state depository for braille, large print,
 122-8   slow speed records and machines, tape recordings and tape players,
 122-9   and related forms of media that will enable the Texas State
122-10   Library, the Texas [Central] Education Agency, the Texas Commission
122-11   for the Blind, volunteer organizations involved in the production
122-12   of braille or recorded materials for the blind, the Library of
122-13   Congress, and related types of organizations to work together more
122-14   closely and effectively.
122-15         SECTION 6.65.  Section 114.003(b), Human Resources Code, is
122-16   amended to read as follows:
122-17         (b)  The council is composed of:
122-18               (1)  two public members who are family members of a
122-19   person with autism or some other pervasive developmental disorder,
122-20   appointed by the governor with the advice and consent of the
122-21   senate; and
122-22               (2)  one representative from each of the following
122-23   state agencies, appointed by the commissioner of the respective
122-24   agency:
 123-1                     (A)  Texas Department of Mental Health and Mental
 123-2   Retardation;
 123-3                     (B)  Texas Department of Health;
 123-4                     (C)  Texas Department of Human Services;
 123-5                     (D)  Texas [Central] Education Agency; and
 123-6                     (E)  Texas Rehabilitation Commission.
 123-7         SECTION 6.66.  Section 121.0015(b), Human Resources Code, is
 123-8   amended to read as follows:
 123-9         (b)  The work group is composed of a representative of the:
123-10               (1)  Texas [Central] Education Agency, appointed by the
123-11   commissioner of education;
123-12               (2)  Texas Commission for the Blind, appointed by the
123-13   commissioner of that agency;
123-14               (3)  Texas Department of Mental Health and Mental
123-15   Retardation, appointed by the commissioner of mental health and
123-16   mental retardation;
123-17               (4)  Texas Rehabilitation Commission, appointed by the
123-18   commissioner of that agency; and
123-19               (5)  Texas Commission for the Deaf and Hard of Hearing
123-20   [Impaired], appointed by the executive director of that agency.
123-21         SECTION 6.67.  Section 302.021(a), Labor Code, is amended to
123-22   read as follows:
123-23         (a)  The following job-training, employment, and
123-24   employment-related educational programs and functions are
 124-1   consolidated under the authority of the division:
 124-2               (1)  adult education programs under Subchapter H,
 124-3   Chapter 29 [Section 11.18], Education Code;
 124-4               (2)  proprietary school programs under Chapter 132
 124-5   [32], Education Code;
 124-6               (3)  apprenticeship programs under Chapter 133 [33],
 124-7   Education Code;
 124-8               (4)  postsecondary vocational and technical
 124-9   job-training programs that are not a part of approved courses or
124-10   programs that lead to licensing, certification, or an associate
124-11   degree under Chapters 61, [108,] 130, and 135, Education Code,
124-12   [and] Subchapter E, Chapter 88, Education Code, and Subchapter E,
124-13   Chapter 96, Education Code;
124-14               (5)  employment programs under Chapter 31, Human
124-15   Resources Code;
124-16               (6)  the senior citizens employment program under
124-17   Chapter 101, Human Resources Code;
124-18               (7)  the work and family policies program under Chapter
124-19   81;
124-20               (8)  job-training programs funded under the Job
124-21   Training Partnership Act  (29 U.S.C. Section 1501 et seq.);
124-22               (9)  the job counseling program for displaced
124-23   homemakers under Chapter 304;
124-24               (10)  the Communities in Schools program under Chapter
 125-1   305;
 125-2               (11)  the reintegration of offenders program under
 125-3   Chapter 306;
 125-4               (12)  the inmate employment counseling program under
 125-5   Section 499.051(f), Government Code;
 125-6               (13)  the continuity of care program under Section
 125-7   501.095, Government Code;
 125-8               (14)  a literacy program from funds available to the
 125-9   state under Section 481.026, Government Code;
125-10               (15)  the employment service;
125-11               (16)  the community service program under the National
125-12   and Community Service Act of 1990 (42 U.S.C. Section 12501 et
125-13   seq.);
125-14               (17)  the trade adjustment assistance program under
125-15   Part 2, Subchapter II, Trade Act of 1974 (19 U.S.C. Section 2271 et
125-16   seq.);
125-17               (18)  the Job Opportunities and Basic Skills program
125-18   under Part F, Subchapter IV, Social Security Act (42 U.S.C. Section
125-19   682);
125-20               (19)  the food stamp employment and training program
125-21   authorized under 7 U.S.C. Section 2015(d); and
125-22               (20)  the functions of the State Occupational
125-23   Information Coordinating Committee.
125-24         SECTION 6.68.  Section 302.062(g), Labor Code, is amended to
 126-1   read as follows:
 126-2         (g)  Block grant funding under this section does not apply
 126-3   to:
 126-4               (1)  the work and family policies program under Chapter
 126-5   81;
 126-6               (2)  a program under the skills development fund
 126-7   created under Chapter 303;
 126-8               (3)  the job counseling program for displaced
 126-9   homemakers under Chapter 304;
126-10               (4)  the Communities in Schools program under Chapter
126-11   305;
126-12               (5)  the reintegration of offenders program under
126-13   Chapter 306;
126-14               (6)  apprenticeship programs under Chapter 133 [33],
126-15   Education Code;
126-16               (7)  the inmate employment counseling program under
126-17   Section 499.051(f), Government Code;
126-18               (8)  the continuity of care program under Section
126-19   501.095, Government Code;
126-20               (9)  employment programs under Chapter 31, Human
126-21   Resources Code;
126-22               (10)  the senior citizens employment program under
126-23   Chapter 101, Human Resources Code;
126-24               (11)  the programs described by Section 302.021(b)(3);
 127-1               (12)  the community service program under the National
 127-2   and Community Service Act of 1990 (42 U.S.C. Section 12501 et
 127-3   seq.);
 127-4               (13)  the trade adjustment assistance program under
 127-5   Part 2, Subchapter II, Trade Act of 1974 (19 U.S.C. Section 2271 et
 127-6   seq.);
 127-7               (14)  the programs to enhance the employment
 127-8   opportunities of veterans; and
 127-9               (15)  the functions of the State Occupational
127-10   Information Coordinating Committee.
127-11         SECTION 6.69.  Section 305.001(1), Labor Code, is amended to
127-12   read as follows:
127-13               (1)  "Agency" means the Texas [Central] Education
127-14   Agency.
127-15         SECTION 6.70.  Section 201.008(a), Local Government Code, is
127-16   amended to read as follows:
127-17         (a)  Records [Regardless of the provisions of Section 17.97,
127-18   Education Code, all records] of an office of county superintendent
127-19   of schools or county superintendent of education abolished under
127-20   former Section 17.95, Education Code, before September 1, 1989,
127-21   that are still in the possession of a custodian of county records
127-22   or a county officer shall be transferred to the custody of the
127-23   commission by order of the director and librarian.
127-24         SECTION 6.71.  Section 271.901(e), Local Government Code, is
 128-1   amended to read as follows:
 128-2         (e)  This section applies to all municipalities and districts
 128-3   required by general or special law or by municipal ordinance or
 128-4   charter to accept bids and award contracts on the basis of the
 128-5   lowest and best bid, but does not apply to bidding for contracts to
 128-6   act as a depository for public funds or as a depository for school
 128-7   funds under Subchapter G [E], Chapter 45 [23], Education Code.
 128-8         SECTION 6.72.  Sections 6.02(b) and (g), Tax Code, are
 128-9   amended to read as follows:
128-10         (b)  A taxing unit that has boundaries extending into two or
128-11   more counties may choose to participate in only one of the
128-12   appraisal districts.  In that event, the boundaries of the district
128-13   chosen extend outside the county to the extent of the unit's
128-14   boundaries.  To be effective, the choice must be approved by
128-15   resolution of the board of directors of the district chosen.  The
128-16   choice of a school district to participate in a single appraisal
128-17   district does not apply to property annexed to the school district
128-18   under Subchapter C or G, Chapter 41 [36], Education Code, unless:
128-19               (1)  the school district taxes property other than
128-20   property annexed to the district under Subchapter C or G, Chapter
128-21   41 [36], Education Code, in the same county as the annexed
128-22   property; or
128-23               (2)  the annexed property is contiguous to property in
128-24   the school district other than property annexed to the district
 129-1   under Subchapter C or G, Chapter 41 [36], Education Code.
 129-2         (g)  If property is annexed to a school district under
 129-3   Subchapter C or G, Chapter 41 [36], Education Code, the appraisal
 129-4   district established for the county in which the property is
 129-5   located shall appraise the property for the school district, and
 129-6   the school district participates in that appraisal district for
 129-7   purposes of the appraisal of that property, except as otherwise
 129-8   permitted by Subsection (b).
 129-9         SECTION 6.73.  Section 6.03(m), Tax Code, is amended to read
129-10   as follows:
129-11         (m)  If a school district participates in an appraisal
129-12   district in which the only property of the school district located
129-13   in the appraisal district is property annexed to the school
129-14   district under Subchapter C or G, Chapter 41 [36], Education Code,
129-15   an individual who does not meet the residency requirements of
129-16   Subsection (a) is eligible to be appointed to the board of
129-17   directors of the appraisal district if:
129-18               (1)  the individual is a resident of the school
129-19   district; and
129-20               (2)  the individual is nominated as a candidate for the
129-21   board of directors by the school district or, if the taxing units
129-22   have adopted a change in the method of appointing board members
129-23   that does not require a nomination, the school district appoints or
129-24   participates in the appointment of the individual.
 130-1         SECTION 6.74.  Section 21.01, Tax Code, is amended to read as
 130-2   follows:
 130-3         Sec. 21.01.  Real Property.  Real property is taxable by a
 130-4   taxing unit if located in the unit on January 1, except as provided
 130-5   by Chapter 41 [36], Education Code.
 130-6         SECTION 6.75.  Sections 21.02(b) and (c), Tax Code, are
 130-7   amended to read as follows:
 130-8         (b)  Tangible personal property having taxable situs at the
 130-9   same location as real property detached from a school district and
130-10   annexed by another school district under Chapter 41 [36], Education
130-11   Code, is taxable in the tax year in which the detachment and
130-12   annexation occurs by the same school district by which the real
130-13   property is taxable in that tax year under Chapter 41 [36],
130-14   Education Code.  For purposes of this subsection and Chapter 41
130-15   [36], Education Code, tangible personal property has taxable situs
130-16   at the same location as real property detached and annexed under
130-17   Chapter 41 [36], Education Code, if the detachment and annexation
130-18   of the real property, had it occurred before January 1 of the tax
130-19   year, would have changed the taxable situs of the tangible personal
130-20   property determined as provided by Subsection (a) from the school
130-21   district from which the real property was detached to the school
130-22   district to which the real property was annexed.
130-23         (c)  Tangible personal property has taxable situs in a school
130-24   district that is the result of a consolidation under Chapter 41
 131-1   [36], Education Code, in the year in which the consolidation occurs
 131-2   if the property would have had taxable situs in the consolidated
 131-3   district in that year had the consolidation occurred before January
 131-4   1 of that year.
 131-5         SECTION 6.76.  Section 25.25(k), Tax Code, is amended to read
 131-6   as follows:
 131-7         (k)  The chief appraiser shall change the appraisal records
 131-8   and school district appraisal rolls promptly to reflect the
 131-9   detachment and annexation of property among school districts under
131-10   Subchapter C or G, Chapter 41 [36], Education Code.
131-11         SECTION 6.77.  Sections 26.012(5) and (12), Tax Code, are
131-12   amended to read as follows:
131-13               (5)  "Current junior college levy" means the amount of
131-14   taxes the governing body proposes to dedicate in the current year
131-15   to a junior college district under Section 45.105(e) [20.48(e)],
131-16   Education Code.
131-17               (12)  "Last year's junior college levy" means the
131-18   amount of taxes dedicated by the governing body in the preceding
131-19   year for use of a junior college district under Section 45.105(e)
131-20   [20.48(e)], Education Code.
131-21         SECTION 6.78.  Sections 26.085(a) and (e), Tax Code, are
131-22   amended to read as follows:
131-23         (a)  If the percentage of the total tax levy of a school
131-24   district dedicated by the governing body of the school district to
 132-1   a junior college district under Section 45.105(e), [20.48(e),
 132-2   Texas] Education Code, exceeds the percentage of the total tax levy
 132-3   of the school district for the preceding year dedicated to the
 132-4   junior college district under that section, the qualified voters of
 132-5   the school district by petition may require that an election be
 132-6   held to determine whether to limit the percentage of the total tax
 132-7   levy dedicated to the junior college district to the same
 132-8   percentage as the percentage of the preceding year's total tax levy
 132-9   dedicated to the junior college district.
132-10         (e)  If a majority of the qualified voters voting on the
132-11   question in the election favor the proposition, the percentage of
132-12   the total tax levy of the school district for the year to which the
132-13   election applies dedicated to the junior college district is
132-14   reduced to the same percentage of the total tax levy that was
132-15   dedicated to the junior college district by the school district in
132-16   the preceding year.  If the proposition is approved by a majority
132-17   of the qualified voters voting in an election to limit the
132-18   dedication to the junior college district in a year following a
132-19   year in which there was no dedication of local tax funds to the
132-20   junior college district under Section 45.105(e), [20.48(e), Texas]
132-21   Education Code, the school district may not dedicate any local tax
132-22   funds to the junior college district in the year to which the
132-23   election applies.  If the proposition is not approved by a majority
132-24   of the qualified voters voting in the election, the percentage of
 133-1   the total tax levy dedicated to the junior college district is the
 133-2   percentage adopted by the governing body.
 133-3         SECTION 6.79.  Section 153.104, Tax Code, is amended to read
 133-4   as follows:
 133-5         Sec. 153.104.  Exceptions.  The tax imposed by this
 133-6   subchapter does not apply to gasoline:
 133-7               (1)  brought into this state in the fuel supply tank of
 133-8   a motor vehicle operated by a person not required to be permitted
 133-9   as an interstate trucker;
133-10               (2)  delivered by a permitted distributor to a common
133-11   or contract carrier, oceangoing vessel (including ship, tanker, or
133-12   boat), or a barge for export from this state if the gasoline is
133-13   moved forthwith outside the state;
133-14               (3)  sold by a permitted distributor to another
133-15   permitted distributor;
133-16               (4)  sold to the federal government for its exclusive
133-17   use;
133-18               (5)  delivered by a permitted distributor into a
133-19   storage facility of a permitted aviation fuel dealer from which
133-20   gasoline will be delivered solely into the fuel supply tanks of
133-21   aircraft or aircraft servicing equipment;
133-22               (6)  sold by one aviation fuel dealer to another
133-23   aviation fuel dealer who will deliver the aviation fuel exclusively
133-24   into the fuel supply tanks of aircraft or aircraft servicing
 134-1   equipment;
 134-2               (7)  sold to a public school district in this state for
 134-3   its exclusive use; or
 134-4               (8)  sold to a commercial transportation company that
 134-5   provides public school transportation services to a school district
 134-6   under Section 34.008 [21.181], Education Code, and used by the
 134-7   company exclusively to provide those services.
 134-8         SECTION 6.80.  Section 153.119(a), Tax Code, is amended to
 134-9   read as follows:
134-10         (a)  A person who exports, sells to the federal government,
134-11   to a public school district in this state, or to a commercial
134-12   transportation company for exclusive use in providing public school
134-13   transportation services to a school district under Section 34.008
134-14   [21.181], Education Code, without having added the amount of the
134-15   tax imposed by this chapter to his selling price, loses by fire or
134-16   other accident, or uses gasoline for the purpose of operating or
134-17   propelling a motorboat, tractor used for agricultural purposes, or
134-18   stationary engine, or for another purpose except in a vehicle
134-19   operated or intended to be operated on the public highways of this
134-20   state, and who has paid the tax imposed on gasoline by this chapter
134-21   either directly or indirectly is, when the person has complied with
134-22   the invoice and filing provisions of this section and the rules of
134-23   the comptroller, entitled to reimbursement of the tax paid by him,
134-24   less a filing fee and any amount allowed distributors, wholesalers
 135-1   or jobbers, dealers, or others under Section 153.105(c) of this
 135-2   code.  A public school district that has paid the tax imposed under
 135-3   this chapter on gasoline used by the district or a commercial
 135-4   transportation company that has paid the tax imposed under this
 135-5   chapter on gasoline used by the company exclusively to provide
 135-6   public school transportation services to a school district under
 135-7   Section 34.008 [21.181], Education Code, is entitled to
 135-8   reimbursement of the amount of the tax paid in the same manner and
 135-9   subject to the same procedures as other exempted users.
135-10         SECTION 6.81.  Section 153.203, Tax Code, is amended to read
135-11   as follows:
135-12         Sec. 153.203.  Exceptions.  The tax imposed by this
135-13   subchapter does not apply to:
135-14               (1)  diesel fuel delivered by a permitted supplier to a
135-15   common or contract carrier, oceangoing vessel (including ship,
135-16   tanker, or boat), or barge for export from this state, if the
135-17   diesel fuel is moved forthwith outside this state;
135-18               (2)  diesel fuel sold by a permitted supplier to the
135-19   federal government for its exclusive use;
135-20               (3)  diesel fuel sold or delivered by a permitted
135-21   supplier to another permitted supplier or bonded user, to the bulk
135-22   storage facility of a diesel tax prepaid user, or to a purchaser
135-23   who provides a signed statement as provided by Section 153.205 of
135-24   this code, but not including a delivery of tax-free diesel fuel
 136-1   into the fuel supply tanks of a motor vehicle, except for a motor
 136-2   vehicle owned by the federal government;
 136-3               (4)  diesel fuel sold or delivered by a permitted
 136-4   supplier into the storage facility of a permitted aviation fuel
 136-5   dealer, from which diesel fuel will be sold or delivered solely
 136-6   into the fuel supply tanks of aircraft or aircraft servicing
 136-7   equipment;
 136-8               (5)  diesel fuel sold or delivered by a permitted
 136-9   supplier into fuel supply tanks of railway engines, motorboats, or
136-10   refrigeration units or other stationary equipment powered by a
136-11   separate motor from a separate fuel supply tank;
136-12               (6)  kerosene when delivered by a permitted supplier
136-13   into a storage facility at a retail business from which all
136-14   deliveries are exclusively for heating, cooking, lighting, or
136-15   similar nonhighway use;
136-16               (7)  diesel fuel sold or delivered by one aviation fuel
136-17   dealer to another aviation fuel dealer who will deliver the diesel
136-18   fuel exclusively into the supply tanks of aircraft or aircraft
136-19   servicing equipment;
136-20               (8)  diesel fuel sold by a permitted supplier to a
136-21   public school district in this state for its exclusive use; or
136-22               (9)  diesel fuel sold by a permitted supplier to a
136-23   commercial transportation company that provides public school
136-24   transportation services to a school district under Section 34.008
 137-1   [21.181], Education Code, and used by the company exclusively to
 137-2   provide those services.
 137-3         SECTION 6.82.  Section 153.222(a), Tax Code, is amended to
 137-4   read as follows:
 137-5         (a)  A dealer or diesel fuel jobber who has paid tax on
 137-6   diesel fuel that has been used or sold for use by the dealer or
 137-7   diesel fuel jobber for any purpose other than propelling a motor
 137-8   vehicle on the public highways of this state or that has been sold
 137-9   to the United States or a public school district in this state for
137-10   the exclusive use of the purchaser, or to a commercial
137-11   transportation company for exclusive use in providing public school
137-12   transportation services to a school district under Section 34.008
137-13   [21.181], Education Code, without adding the amount of the tax to
137-14   his selling price, and a user who has paid tax on any diesel fuel
137-15   that has been used by him for a purpose other than propelling a
137-16   motor vehicle on the public highways, is a public school district
137-17   and has paid the tax on diesel fuel purchased for its exclusive
137-18   use, or is a commercial transportation company and has paid the tax
137-19   on diesel fuel used by the company exclusively to provide public
137-20   school transportation services to a school district under Section
137-21   34.008 [21.181], Education Code, may file a claim for a refund of
137-22   taxes paid, less the deduction allowed vendors and a filing fee.
137-23         SECTION 6.83.  Section 153.3021(b), Tax Code, is amended to
137-24   read as follows:
 138-1         (b)  The tax imposed by this subchapter does not apply to the
 138-2   sale of liquefied petroleum gas to a commercial transportation
 138-3   company that uses the gas exclusively to provide public school
 138-4   transportation services to a school district under Section 34.008
 138-5   [21.181], Education Code, or to the use of liquefied petroleum gas
 138-6   by such a company for that purpose.  A motor vehicle that uses
 138-7   liquefied petroleum gas and that is owned by a commercial
 138-8   transportation company and used exclusively to provide public
 138-9   school transportation services to a school district under Section
138-10   34.008 [21.181], Education Code, is not required to have a
138-11   liquefied gas tax decal or a special use liquefied gas tax decal.
138-12         SECTION 6.84.  Section 312.210(c), Tax Code, is amended to
138-13   read as follows:
138-14         (c)  In this section, "wealth per student" and "equalized
138-15   wealth level" have the meanings assigned those terms by Section
138-16   41.001 [36.001], Education Code.
138-17     ARTICLE 7.  CHANGES RELATING TO ADOPTION OF REVISED FAMILY CODE
138-18         SECTION 7.01.  Article 18.021(d), Code of Criminal Procedure,
138-19   is amended to conform to Chapter 20, Acts of the 74th Legislature,
138-20   Regular Session, 1995, to read as follows:
138-21         (d)  After having located and photographed the child, the
138-22   peace officer executing the warrant shall take possession of the
138-23   exposed film and deliver it forthwith to the magistrate.  The child
138-24   may not be removed from the premises on which he or she is located
 139-1   except under Subchapters A and B, Chapter 262 [Section 17.03],
 139-2   Family Code[, as amended].
 139-3         SECTION 7.02.  Article 26.058(g), Code of Criminal Procedure,
 139-4   is amended to conform to Chapter 20, Acts of the 74th Legislature,
 139-5   Regular Session, 1995, to read as follows:
 139-6         (g)  The public defender or an assistant public defender
 139-7   shall represent each indigent person in Aransas County who is:
 139-8               (1)  charged with a criminal offense in the county;
 139-9               (2)  a minor who is a party to a juvenile delinquency
139-10   proceeding in the county; or
139-11               (3)  entitled to representation under:
139-12                     (A)  Chapter 574, Health and Safety Code [3,
139-13   Texas Mental Health Code (Article 5547-1 et seq., Vernon's Texas
139-14   Civil Statutes)];
139-15                     (B)  Chapter 462, Health and Safety Code; or
139-16                     (C)  Subchapter B, Chapter 107, [Section 11.10]
139-17   or Section 262.105 [17.03], Family Code.
139-18         SECTION 7.03.  Article 42.033(c), Code of Criminal Procedure,
139-19   is amended to conform to Chapter 20, Acts of the 74th Legislature,
139-20   Regular Session, 1995, to read as follows:
139-21         (c)  The condition imposed under Subsection (b) of this
139-22   article is not binding on an employer, except that income withheld
139-23   for child support is governed by Chapter 158 [14], Family Code.
139-24         SECTION 7.04.  Article 58.01, Code of Criminal Procedure, is
 140-1   amended to conform to Chapter 262, Acts of the 74th Legislature,
 140-2   Regular Session, 1995, to read as follows:
 140-3         Art. 58.01.  Sealing files and records of children.  A court
 140-4   in which a person under the age of 17 is prosecuted for an offense
 140-5   described by [included under Subdivision (4) or (5) of Subsection
 140-6   (a) or Subdivision (4) or (5) of Subsection (b) of] Section
 140-7   8.07(a)(4) or (5), Penal Code, shall seal the person's files and
 140-8   records in the same manner and under the same conditions that
 140-9   Section 58.003 [51.16], Family Code, requires a juvenile court to
140-10   seal the files and records of a person adjudicated or taken into
140-11   custody under Title 3, Family Code.
140-12         SECTION 7.05.  Article 61.04(a), Code of Criminal Procedure,
140-13   is amended to conform to Chapter 262, Acts of the 74th Legislature,
140-14   Regular Session, 1995, to read as follows:
140-15         (a)  Notwithstanding Section 58.007 or 58.106 [51.14], Family
140-16   Code, criminal information relating to a child associated with a
140-17   combination may be compiled and released under this chapter
140-18   regardless of the age of the child.
140-19         SECTION 7.06.  Section 64.002(c), Civil Practice and Remedies
140-20   Code, is amended to conform to Chapter 20, Acts of the 74th
140-21   Legislature, Regular Session, 1995, to read as follows:
140-22         (c)  This section does not prohibit:
140-23               (1)  appointment of a receiver for a partnership in an
140-24   action arising between partners; or
 141-1               (2)  appointment of a receiver over all or part of the
 141-2   marital estate in a suit filed under Title 1 or 5 [2], Family Code.
 141-3         SECTION 7.07.  Section 81.009(c), Civil Practice and Remedies
 141-4   Code, is amended to conform to Chapter 20, Acts of the 74th
 141-5   Legislature, Regular Session, 1995, to read as follows:
 141-6         (c)  This section does not apply to a patient or former
 141-7   patient who is a "child" or a "minor" as defined by Section 101.003
 141-8   [11.01], Family Code, until that patient or former patient has
 141-9   reached the age of 18.  If the action is brought by a parent,
141-10   guardian, or other person having custody of the child or minor, it
141-11   must be brought within the period set forth in this section.
141-12         SECTION 7.08.  Section 3.64(b), Family Code, is amended to
141-13   conform to Chapter 20, Acts of the 74th Legislature, Regular
141-14   Session, 1995, to read as follows:
141-15         (b)  A person whose name is changed under this section may
141-16   apply for a change of name certificate from the clerk of the court
141-17   as provided by Section 45.106 [32.241].
141-18         SECTION 7.09.  (a)  Sections 32.101(b) and (e), Family Code,
141-19   are amended to conform to Section 1, Chapter 123, Acts of the 74th
141-20   Legislature, Regular Session, 1995, to read as follows:
141-21         (b)  If the persons listed in Subsection (a) are not
141-22   available [cannot be contacted] and the authority to consent is not
141-23   denied under Subsection (c), consent to the immunization of a child
141-24   may be given by:
 142-1               (1)  a grandparent of the child;
 142-2               (2)  an adult brother or sister of the child;
 142-3               (3)  an adult aunt or uncle of the child;
 142-4               (4)  a stepparent of the child;
 142-5               (5)  an educational institution in which the child is
 142-6   enrolled that has written authorization to consent for the child
 142-7   from a parent, managing conservator, guardian, or other person who
 142-8   under the law of another state or a court order may consent for the
 142-9   child;
142-10               (6)  another adult who has actual care, control, and
142-11   possession of the child and has written authorization to consent
142-12   for the child from a parent, managing conservator, guardian, or
142-13   other person who, under the law of another state or a court order,
142-14   may consent for the child;
142-15               (7)  a court having jurisdiction of a suit affecting
142-16   the parent-child relationship of which the minor is the subject;
142-17               (8)  an adult having actual care, control, and
142-18   possession of the child under an order of a juvenile court or by
142-19   commitment by a juvenile court to the care of an agency of the
142-20   state or county; or
142-21               (9)  an adult having actual care, control, and
142-22   possession of the child as the child's primary caregiver[, if the
142-23   adult is granted the right to consent to the child's immunization
142-24   by court order].
 143-1         (e)  A person who consents under this section shall provide
 143-2   the health care provider with sufficient and accurate health
 143-3   history and other information about the minor for whom the consent
 143-4   is given and, if necessary, sufficient and accurate health history
 143-5   and information about the minor's family to enable the person who
 143-6   may consent to the minor's immunization and the health care
 143-7   provider to determine adequately the risks and benefits inherent in
 143-8   the proposed immunization and to determine whether immunization is
 143-9   advisable.  [For the purposes of this section, a person cannot be
143-10   contacted if:]
143-11               [(1)  the location of the person is unknown;]
143-12               [(2)  a reasonable effort to locate and communicate
143-13   with the person authorized to consent made by a person listed in
143-14   Subsection (b) has failed and not more than 90 days have passed
143-15   since the date that the effort was made; or]
143-16               [(3)  the person who may consent has been contacted and
143-17   the person:]
143-18                     [(A)  refuses to consent; and]
143-19                     [(B)  does not expressly deny authority to the
143-20   person listed in Subsection (b) to consent for the child.]
143-21         (b)  Section 32.103(a), Family Code, is amended to conform to
143-22   Section 2, Chapter 123, Acts of the 74th Legislature, Regular
143-23   Session, 1995, to read as follows:
143-24         (a)  A person authorized to consent to the immunization of a
 144-1   child has the responsibility to ensure that the consent, if given,
 144-2   is an informed consent.  The person authorized to consent is not
 144-3   required to be present when the immunization of the child is
 144-4   requested if a consent form that meets the requirements of Section
 144-5   32.002 has been given to the health care provider.
 144-6         (c)  Sections 32.102 and 32.105, Family Code, are repealed to
 144-7   conform to Section 5, Chapter 123, Acts of the 74th Legislature,
 144-8   Regular Session, 1995.
 144-9         (d)  Section 32.103, Family Code, is renumbered as Section
144-10   32.102, Family Code.
144-11         (e)  Section 32.104, Family Code, is renumbered as Section
144-12   32.103, Family Code.
144-13         (f)  Chapter 123, Acts of the 74th Legislature, Regular
144-14   Session, 1995, is repealed.
144-15         SECTION 7.10.  (a)  Subchapter B, Chapter 45, Family Code, is
144-16   amended to conform to Sections 2 and 3, Chapter 631, Acts of the
144-17   74th Legislature, Regular Session, 1995, by adding Sections 45.105
144-18   and 45.106 to read as follows:
144-19         Sec. 45.105.  CHANGE OF NAME IN DIVORCE SUIT.  (a)  On the
144-20   final disposition of a suit for divorce, for annulment, or to
144-21   declare a marriage void, the court shall enter a decree changing
144-22   the name of a party specially praying for the change to a prior
144-23   used name unless the court states in the decree a reason for
144-24   denying the change of name.  The court may not deny a change of
 145-1   name solely to keep last names of family members the same.
 145-2         (b)  A person whose name is changed under this section may
 145-3   apply for a change of name certificate from the clerk of the court
 145-4   as provided by Section 45.106.
 145-5         Sec. 45.106.  CHANGE OF NAME CERTIFICATE.  (a)  A person
 145-6   whose name is changed under Section 3.64 or 45.105 may apply to the
 145-7   clerk of the court ordering the name change for a change of name
 145-8   certificate.
 145-9         (b)  A certificate under this section is a one-page document
145-10   that includes:
145-11               (1)  the name of the person before the change of name
145-12   was ordered;
145-13               (2)  the name to which the person's name was changed by
145-14   the court;
145-15               (3)  the date on which the name change was made;
145-16               (4)  the person's social security number and driver's
145-17   license number, if any;
145-18               (5)  the name of the court in which the name change was
145-19   ordered; and
145-20               (6)  the signature of the clerk of the court that
145-21   issued the certificate.
145-22         (c)  An applicant for a certificate under this section shall
145-23   pay a $10 fee to the clerk of the court for issuance of the
145-24   certificate.
 146-1         (d)  A certificate under this section constitutes proof of
 146-2   the change of name of the person named in the certificate.
 146-3         (b)  Section 32.24, Family Code, as amended by Section 2,
 146-4   Chapter 631, Acts of the 74th Legislature, Regular Session, 1995,
 146-5   is repealed.
 146-6         (c)  Section 32.241, Family Code, as added by Section 3,
 146-7   Chapter 631, Acts of the 74th Legislature, Regular Session, 1995,
 146-8   is repealed.
 146-9         SECTION 7.11.  Section 54.06(b), Family Code, is amended to
146-10   conform to Chapter 20, Acts of the 74th Legislature, Regular
146-11   Session, 1995, to read as follows:
146-12         (b)  At any stage of the proceeding, when a child has been
146-13   placed outside the child's home and the parent of the child is
146-14   obligated to pay support for the child under a court order under
146-15   Title 5 [2 of this code], the juvenile court shall order that the
146-16   person entitled to receive the support assign the person's right to
146-17   support for the child placed outside the child's home to the local
146-18   juvenile probation department to be used for residential care and
146-19   other support for the child unless the child has been committed to
146-20   the Texas Youth Commission, in which event the court shall order
146-21   that the assignment be made to the Texas Youth Commission.
146-22         SECTION 7.12.  Section 71.01(a), Family Code, is amended to
146-23   conform to Chapter 20, Acts of the 74th Legislature, Regular
146-24   Session, 1995, to read as follows:
 147-1         (a)  Except as provided by Subsection (b) of this section,
 147-2   the definitions in Chapter 101 [Section 11.01 of this code] apply
 147-3   to terms used in this chapter.
 147-4         SECTION 7.13.  Section 71.01(b)(2), Family Code, is amended
 147-5   to conform to Chapter 20, Acts of the 74th Legislature, Regular
 147-6   Session, 1995, to read as follows:
 147-7               (2)  "Family violence" means:
 147-8                     (A)  an act by a member of a family or household
 147-9   against another member of the family or household that is intended
147-10   to result in physical harm, bodily injury, or assault, or that is a
147-11   threat that reasonably places the member in fear of imminent
147-12   physical harm, bodily injury, or assault, excluding the reasonable
147-13   discipline of a child by a person having that duty; or
147-14                     (B)  abuse, as that term is defined by Sections
147-15   261.001(1)(C), (E), and (G) [34.012(1)(C), (E), and (G) of this
147-16   code], by a member of a family or household toward a child of the
147-17   family or household.
147-18         SECTION 7.14.  Section 71.05(c), Family Code, is amended to
147-19   conform to Chapter 20, Acts of the 74th Legislature, Regular
147-20   Session, 1995, to read as follows:
147-21         (c)  If an application requests a protective order for a
147-22   child who is subject to the continuing jurisdiction of a court
147-23   under Title 5 [Subtitle A, Title 2, of this code] or alleges that a
147-24   child who is subject to the continuing jurisdiction of a court
 148-1   under Title 5 [Subtitle A, Title 2, of this code] has committed
 148-2   family violence:
 148-3               (1)  a copy of the court orders affecting the
 148-4   conservatorship, possession, and support of or the access to the
 148-5   child must be filed with the application; or
 148-6               (2)  the application must state that the orders
 148-7   affecting the child are unavailable to the applicant and that a
 148-8   copy of the orders will be filed with the court before the hearing
 148-9   on the application.
148-10         SECTION 7.15.  Section 71.11(a), Family Code, is amended to
148-11   conform to Chapter 20, Acts of the 74th Legislature, Regular
148-12   Session, 1995, to read as follows:
148-13         (a)  In a protective order the court may:
148-14               (1)  prohibit a party from:
148-15                     (A)  removing a child member of the family or
148-16   household from the possession of a person named in the court order
148-17   or from the jurisdiction of the court; or
148-18                     (B)  transferring, encumbering, or otherwise
148-19   disposing of property mutually owned or leased by the parties,
148-20   except when in the ordinary course of business;
148-21               (2)  grant exclusive possession of a residence to a
148-22   party and, if appropriate, direct one or more other parties to
148-23   vacate the residence if:
148-24                     (A)  the residence is jointly owned or leased by
 149-1   the party receiving exclusive possession and by some other party
 149-2   denied possession;
 149-3                     (B)  the residence is owned or leased by the
 149-4   party retaining possession; or
 149-5                     (C)  the residence is owned or leased by the
 149-6   party denied possession but only if that party has an obligation to
 149-7   support the party granted possession of the residence or a child of
 149-8   the party granted possession;
 149-9               (3)  provide for possession of and access to a child of
149-10   a party if the person receiving possession of or access to the
149-11   child is a parent, as that term is defined by Section 101.024
149-12   [11.01 of this code], of the child;
149-13               (4)  require the payment of support for a party or for
149-14   a child of a party if the person required to make the payment has
149-15   an obligation to support the other party or the child;
149-16               (5)  require the person found to have committed family
149-17   violence to complete a batterer's treatment program if a program is
149-18   available or if a program is not available to counsel with a social
149-19   worker, family service agency, physician, psychologist, licensed
149-20   therapist, or licensed professional counselor;
149-21               (6)  award to a party use and possession of specified
149-22   property that is community property or jointly owned or leased; or
149-23               (7)  prohibit the person found to have committed family
149-24   violence from doing specified acts or require the person found to
 150-1   have committed family violence to do specified acts necessary or
 150-2   appropriate to prevent or reduce the likelihood of family violence.
 150-3         SECTION 7.16.  Section 71.15(f), Family Code, is amended to
 150-4   conform to Chapter 20, Acts of the 74th Legislature, Regular
 150-5   Session, 1995, to read as follows:
 150-6         (f)  During the period of its validity, a temporary ex parte
 150-7   order prevails over any other court order made under Title 5
 150-8   [Subtitle A, Title 2, of this code], except that on a motion to
 150-9   vacate the temporary ex parte order, the court shall vacate those
150-10   portions of the temporary order shown to be in conflict with any
150-11   other court order made under Title 5 [Subtitle A, Title 2, of this
150-12   code].
150-13         SECTION 7.17.  (a)  Subchapter D, Chapter 162, Family Code,
150-14   is amended to conform to Section 8, Chapter 920, Acts of the 74th
150-15   Legislature, Regular Session, 1995, by adding Section 162.309 to
150-16   read as follows:
150-17         Sec. 162.309.  Advisory Committee on Promoting Adoption of
150-18   Minority Children.  (a)  An advisory committee on promoting the
150-19   adoption of and provision of services to minority children is
150-20   established within the department.
150-21         (b)  The committee is composed of 12 members appointed by the
150-22   board of the Department of Protective and Regulatory Services.  The
150-23   board shall appoint to the committee individuals who in the
150-24   aggregate have knowledge of and experience in community education,
 151-1   cultural relations, family support, counseling, and parenting
 151-2   skills and education.  At least six members must be ordained
 151-3   members of the clergy.
 151-4         (c)  A committee member serves for a two-year term and may be
 151-5   appointed for additional terms.
 151-6         (d)  A member of the committee receives no compensation but
 151-7   is entitled to reimbursement for actual and necessary expenses
 151-8   incurred in performing the member's duties under this section.
 151-9         (e)  The committee shall elect one member to serve as
151-10   presiding officer.  The presiding officer serves for a two-year
151-11   term and may be elected for additional terms.
151-12         (f)  The department shall set the time and place of the first
151-13   committee meeting.  The committee shall meet at least quarterly.
151-14         (g)  The department shall pay the expenses of the committee
151-15   and shall supply necessary personnel and supplies.
151-16         (h)  To promote the adoption of and provision of services to
151-17   minority children, the committee shall:
151-18               (1)  study, develop, and evaluate programs and projects
151-19   relating to community awareness and education, family support,
151-20   counseling, parenting skills and education, and reform of the child
151-21   welfare system;
151-22               (2)  consult with churches and other cultural and civic
151-23   organizations; and
151-24               (3)  report to the department at least annually the
 152-1   committee's recommendations for department programs and projects
 152-2   that will promote the adoption of and provision of services to
 152-3   minority children.
 152-4         (i)  On receiving the committee's recommendations, the
 152-5   department may adopt rules to implement a program or project
 152-6   recommended under this section.  The department may solicit,
 152-7   accept, and use gifts and donations to implement a program or
 152-8   project recommended by the committee.
 152-9         (j)  The department shall report to the legislature not later
152-10   than November 1 of each even-numbered year following the first year
152-11   in which it receives recommendations under this section regarding
152-12   committee recommendations and action taken by the department under
152-13   this section.
152-14         (k)  The recruitment of minority families may not be a reason
152-15   to delay placement of a child with an available family of a race or
152-16   ethnicity different from that of the child.
152-17         (b)  Section 47.006, Human Resources Code, as added by
152-18   Section 8, Chapter 920, Acts of the 74th Legislature, Regular
152-19   Session, 1995, is repealed to conform to the transfer of Chapter
152-20   47, Human Resources Code, to the Family Code by Chapter 20, Acts of
152-21   the 74th Legislature, Regular Session, 1995.
152-22         SECTION 7.18.  Section 203.007, Family Code, as amended by
152-23   Chapters 475 and 803, Acts of the 74th Legislature, Regular
152-24   Session, 1995, is amended to read as follows:
 153-1         Sec. 203.007.  ACCESS TO RECORDS; OFFENSE.  (a)  A domestic
 153-2   relations office may obtain the records described by Subsections
 153-3   (b) and (c) that relate to a person who has:
 153-4               (1)  been ordered to pay child support;
 153-5               (2)  been designated as a possessory conservator or
 153-6   managing conservator of a child;
 153-7               (3)  been designated to be the father of a child; or
 153-8               (4)  executed a statement of paternity.
 153-9         (b)  A domestic relations office is entitled to obtain from
153-10   the Department of Public Safety records that relate to:
153-11               (1)  a person's date of birth;
153-12               (2)  a person's most recent address;
153-13               (3)  a person's current driver's license status;
153-14               (4)  motor vehicle accidents involving a person; and
153-15               (5)  reported traffic-law violations of which a person
153-16   has been convicted.
153-17         (c)  A domestic relations office is entitled to obtain from
153-18   the Texas Employment Commission records that relate to:
153-19               (1)  a person's address;
153-20               (2)  a person's employment status and earnings;
153-21               (3)  the name and address of a person's current or
153-22   former employer; and
153-23               (4)  unemployment compensation benefits received by a
153-24   person.
 154-1         (d)  An agency required to provide records under this section
 154-2   may charge a domestic relations office a fee for providing the
 154-3   records in an amount that does not exceed the amount paid for those
 154-4   records by the agency responsible for Title IV-D cases.
 154-5         (e) [(d)]  The Department of Public Safety, the Texas
 154-6   Employment Commission, or the office of the secretary of state may
 154-7   charge a domestic relations office a fee not to exceed the charge
 154-8   paid by the Title IV-D agency for furnishing records under this
 154-9   section.
154-10         (f) [(e)]  Information obtained by a domestic relations
154-11   office under this section that is confidential under a
154-12   constitution, statute, judicial decision, or rule is privileged and
154-13   may be used only by that office.
154-14         (g) [(f)]  A person commits an offense if the person releases
154-15   or discloses confidential information obtained under this section
154-16   without the consent of the person to whom the information relates.
154-17   An offense under this subsection is a Class C misdemeanor.
154-18         (h) [(g)]  A domestic relations office is entitled to obtain
154-19   from the office of the secretary of state the following information
154-20   about a registered voter to the extent that the information is
154-21   available:
154-22               (1)  complete name;
154-23               (2)  current and former street and mailing address;
154-24               (3)  sex;
 155-1               (4)  date of birth;
 155-2               (5)  social security number; and
 155-3               (6)  telephone number.
 155-4         SECTION 7.19.  Section 231.007(f), Family Code, is amended to
 155-5   conform to Section 9.65, Chapter 76, Acts of the 74th Legislature,
 155-6   Regular Session, 1995, to read as follows:
 155-7         (f)  In this section, the payment of workers' compensation
 155-8   benefits to a person in debt to the state is the same as any other
 155-9   payment made to the person by the state.  Notwithstanding Section
155-10   408.203 [Title 5], Labor Code, an order or writ to withhold income
155-11   from workers' compensation benefits is not required under this
155-12   section.
155-13         SECTION 7.20.  (a)  Subchapter B, Chapter 231, Family Code,
155-14   is amended to conform to Section 5.02, Chapter 655, Acts of the
155-15   74th Legislature, Regular Session, 1995, by adding Section 231.115
155-16   to read as follows:
155-17         Sec. 231.115.  UNEMPLOYED NONCUSTODIAL PARENTS.  (a)  The
155-18   Title IV-D agency shall refer to appropriate state and local
155-19   entities that assist unemployed noncustodial parents in gaining
155-20   employment any unemployed noncustodial parent who is in arrears in
155-21   court-ordered child support payments to a child who:
155-22               (1)  receives financial assistance under Chapter 31,
155-23   Human Resources Code; or
155-24               (2)  is otherwise eligible to receive financial
 156-1   assistance under Chapter 31, Human Resources Code, and for whom the
 156-2   Department of Protective and Regulatory Services is providing
 156-3   substitute care.
 156-4         (b)  A referral under Subsection (a) may include:
 156-5               (1)  skills training and job placement through:
 156-6                     (A)  the Texas Workforce Commission; or
 156-7                     (B)  the agency responsible for the food stamp
 156-8   employment and training program (7 U.S.C. Section 2015(d));
 156-9               (2)  referrals to education and literacy classes; and
156-10               (3)  counseling regarding:
156-11                     (A)  substance abuse;
156-12                     (B)  parenting skills;
156-13                     (C)  life skills; and
156-14                     (D)  mediation techniques.
156-15         (c)  The Title IV-D agency may require an unemployed
156-16   noncustodial parent to complete the training, classes, or
156-17   counseling the parent is referred to under this section.  The
156-18   agency shall suspend under Chapter 232  the license of a parent who
156-19   fails to comply with the requirements of this subsection.
156-20         (b)  Section 76.012, Human Resources Code, as added by
156-21   Section 5.02, Chapter 655, Acts of the 74th Legislature, Regular
156-22   Session, 1995, is repealed to conform to the transfer of Chapter
156-23   76, Human Resources Code, to the Family Code by Chapter 20, Acts of
156-24   the 74th Legislature, Regular Session, 1995.
 157-1         SECTION 7.21.  (a)  Section 231.202, Family Code, is amended
 157-2   to conform to Section 2.02, Chapter 641, Acts of the 74th
 157-3   Legislature, Regular Session, 1995, to read as follows:
 157-4         Sec. 231.202.  AUTHORIZED COSTS AND FEES IN TITLE IV-D CASES.
 157-5   In a Title IV-D case filed under this title, the Title IV-D agency
 157-6   shall pay:
 157-7               (1)  filing fees and fees for issuance and service of
 157-8   process as provided by Chapter 110 of this code and by Sections
 157-9   51.317, 51.318(b)(2), and 51.319(2) [51.319(4)], Government Code;
157-10               (2)  fees for transfer as provided by Chapter 110;
157-11               (3)  fees for the issuance and delivery of orders and
157-12   writs of income withholding in the amounts provided by Chapter 110;
157-13   and
157-14               (4)  a fee of $45 for each item of process to each
157-15   individual on whom service is required, including service by
157-16   certified or registered mail, to be paid to a sheriff, constable,
157-17   or clerk whenever service of process is required.
157-18         (b)  Section 76.009, Human Resources Code, as amended by
157-19   Section 2.02, Chapter 641, Acts of the 74th Legislature, Regular
157-20   Session, 1995, is repealed to conform to the transfer of that
157-21   section to the Family Code by Chapter 20, Acts of the 74th
157-22   Legislature, Regular Session, 1995.
157-23         SECTION 7.22.  Section 232.002, Family Code, is amended to
157-24   conform to Chapter 2, Acts of the 74th Legislature, Regular
 158-1   Session, 1995, to read as follows:
 158-2         Sec. 232.002.  Licensing Authorities Subject to Chapter.  The
 158-3   following state agencies are licensing authorities subject to this
 158-4   chapter [subchapter]:
 158-5               (1)  Department of Agriculture;
 158-6               (2)  Texas Commission on Alcohol and Drug Abuse;
 158-7               (3)  Texas Alcoholic Beverage Commission;
 158-8               (4)  Texas Appraiser Licensing and Certification Board;
 158-9               (5)  Texas Board of Architectural Examiners;
158-10               (6)  State Board of Barber Examiners;
158-11               (7)  Texas Board of Chiropractic Examiners;
158-12               (8)  Comptroller of Public Accounts;
158-13               (9)  Texas Cosmetology Commission;
158-14               (10)  Court Reporters Certification Board;
158-15               (11)  State Board of Dental Examiners[, if the 74th
158-16   Legislature, at its regular session, enacts legislation that
158-17   becomes law authorizing a state agency to regulate the practice of
158-18   dentistry];
158-19               (12)  Texas State Board of Examiners of Dietitians;
158-20               (13)  Texas Funeral Service Commission;
158-21               (14)  Texas Department of Health;
158-22               (15)  Texas Board of Professional Land Surveying;
158-23               (16)  Texas Department of Licensing and Regulation;
158-24               (17)  Texas State Board of Examiners of Marriage and
 159-1   Family Therapists;
 159-2               (18)  Texas State Board of Medical Examiners;
 159-3               (19)  Midwifery Board;
 159-4               (20)  Texas Natural Resource Conservation Commission;
 159-5               (21)  Board of Nurse Examiners;
 159-6               (22)  Texas Board of Nursing Facility Administrators;
 159-7               (23)  Texas Board of Occupational Therapy Examiners;
 159-8               (24)  Texas Optometry Board;
 159-9               (25)  Parks and Wildlife Department;
159-10               (26)  Texas State Board of Examiners of Perfusionists;
159-11               (27)  Texas State Board of Pharmacy;
159-12               (28)  Texas Board of Physical Therapy Examiners;
159-13               (29)  Texas State Board of Plumbing Examiners;
159-14               (30)  Texas State Board of Podiatric Medical [Podiatry]
159-15   Examiners;
159-16               (31)  Polygraph Examiners Board;
159-17               (32)  Texas Board of Private Investigators and Private
159-18   Security Agencies;
159-19               (33)  Texas State Board of Examiners of Professional
159-20   Counselors;
159-21               (34)  State Board of Registration for Professional
159-22   Engineers;
159-23               (35)  Department of Protective and Regulatory Services;
159-24               (36)  Texas State Board of Examiners of Psychologists;
 160-1               (37)  Texas State Board of Public Accountancy;
 160-2               (38)  Department of Public Safety of the State of
 160-3   Texas;
 160-4               (39)  Public Utility Commission of Texas;
 160-5               (40)  Railroad Commission of Texas;
 160-6               (41)  Texas Real Estate Commission;
 160-7               (42)  State Bar of Texas;
 160-8               (43)  Texas State Board of Social Worker Examiners;
 160-9               (44)  State Board of Examiners for Speech-Language
160-10   Pathology and Audiology;
160-11               (45)  Texas Structural Pest Control Board;
160-12               (46)  Board of Tax Professional Examiners;
160-13               (47)  Secretary of State;
160-14               (48)  Supreme Court of Texas;
160-15               (49)  Texas Transportation Commission;
160-16               (50)  State Board of Veterinary Medical Examiners;
160-17               (51)  Board of Vocational Nurse Examiners;
160-18               (52)  Texas Ethics Commission;
160-19               (53)  Advisory Board of Athletic Trainers;
160-20               (54)  State Committee of Examiners in the Fitting and
160-21   Dispensing of Hearing Instruments;
160-22               (55)  Texas Board of Licensure for Professional Medical
160-23   Physicists; and
160-24               (56)  Texas Department of Insurance.
 161-1         SECTION 7.23.  Section 232.015, Family Code, as added by
 161-2   Chapter 655, Acts of the 74th Legislature, Regular Session, 1995,
 161-3   is repealed as duplicative of Section 232.015, Family Code, as
 161-4   added by Chapter 751, Acts of the 74th Legislature, Regular
 161-5   Session, 1995.
 161-6         SECTION 7.24.  Section 21.002(f), Government Code, is amended
 161-7   to conform to Chapter 20, Acts of the 74th Legislature, Regular
 161-8   Session, 1995, to read as follows:
 161-9         (f)  Article 42.033, Code of Criminal Procedure, and Chapter
161-10   157 [14], Family Code, apply when a person is punished by
161-11   confinement for contempt of court for disobedience of a court order
161-12   to make periodic payments for the support of a child.
161-13         SECTION 7.25.  Section 24.403(b), Government Code, is amended
161-14   to conform to Chapter 20, Acts of the 74th Legislature, Regular
161-15   Session, 1995, to read as follows:
161-16         (b)  The 225th District Court shall give preference to civil
161-17   cases and to cases and proceedings under Title 2 or 5, Family Code.
161-18         SECTION 7.26.  Section 24.466(b), Government Code, is amended
161-19   to conform to Chapter 20, Acts of the 74th Legislature, Regular
161-20   Session, 1995, to read as follows:
161-21         (b)  The 289th District Court shall give primary preference
161-22   to cases and proceedings under Title [Titles] 2, [and] 3, or 5,
161-23   Family Code, and secondary preference to criminal cases.
161-24         SECTION 7.27.  Section 25.1722(a), Government Code, is
 162-1   amended to conform to Chapter 20, Acts of the 74th Legislature,
 162-2   Regular Session, 1995, to read as follows:
 162-3         (a)  In addition to the jurisdiction provided by Section
 162-4   25.0003 and other law, a county court at law in Montgomery County
 162-5   has concurrent jurisdiction with the district court in:
 162-6               (1)  family law cases and proceedings;
 162-7               (2)  cases under Chapter 159 [the Uniform Reciprocal
 162-8   Enforcement of Support Act (Section 21.01 et seq.], Family Code[)];
 162-9               (3)  cases and proceedings involving justiciable
162-10   controversies and differences between spouses, or between parents,
162-11   or between parent and child, or between any of these and third
162-12   persons, corporations, trustees, or other legal entities; and
162-13               (4)  matters involving an inter vivos trust.
162-14         SECTION 7.28.  Section 25.2452(d), Government Code, is
162-15   amended to conform to Chapter 20, Acts of the 74th Legislature,
162-16   Regular Session, 1995, to read as follows:
162-17         (d)  A county court at law has concurrent jurisdiction with
162-18   the district court in:
162-19               (1)  family law cases and proceedings;
162-20               (2)  suits brought under the authority of Chapter 60 or
162-21   159 [the Revised Uniform Reciprocal Enforcement of Support Act
162-22   (Section 21.01 et seq., Family Code) or the Uniform Interstate
162-23   Compact on Juveniles (Section 25.01 et seq.], Family Code[)]; and
162-24               (3)  other juvenile and child welfare cases in which
 163-1   the district and county courts have jurisdiction.
 163-2         SECTION 7.29.  Section 43.1745(c), Government Code, is
 163-3   amended to conform to Chapter 20, Acts of the 74th Legislature,
 163-4   Regular Session, 1995, to read as follows:
 163-5         (c)  The district attorney has no power, duty, or privilege
 163-6   relating to family law and juvenile matters, including matters
 163-7   involving children's protective services, protective orders under
 163-8   Chapter 71, Family Code, orders under Chapter 159 [21], Family
 163-9   Code, proceedings under Title 3, Family Code, civil commitment
163-10   matters under Subtitle C, Title 7, Health and Safety Code, or a quo
163-11   warranto or removal case, except, that if the county attorney fails
163-12   or refuses to act in a quo warranto or removal case, the district
163-13   attorney has the power, duty, and privilege to bring a removal of
163-14   quo warranto action.
163-15         SECTION 7.30.  Section 43.181(c), Government Code, is amended
163-16   to conform to Chapter 20, Acts of the 74th Legislature, Regular
163-17   Session, 1995, to read as follows:
163-18         (c)  The district attorney has the powers, duties, and
163-19   privileges in Fort Bend County relating to family law and juvenile
163-20   matters, including children's protective services, protective
163-21   orders under Chapter 71, Family Code, orders under [the Revised
163-22   Uniform Reciprocal Enforcement of Support Act (]Chapter 159 [21],
163-23   Family Code[)], and proceedings under Title 3, Family Code.
163-24         SECTION 7.31.  Section 45.179(d), Government Code, is amended
 164-1   to conform to Chapter 20, Acts of the 74th Legislature, Regular
 164-2   Session, 1995, to read as follows:
 164-3         (d)  The county attorney has no power, duty, or privilege in
 164-4   Fort Bend County relating to family law and juvenile matters,
 164-5   including children's protective services, protective orders under
 164-6   Chapter 71, Family Code, orders under [the Revised Uniform
 164-7   Reciprocal Enforcement of Support Act (]Chapter 159 [21], Family
 164-8   Code[)], and proceedings under Title 3, Family Code.
 164-9         SECTION 7.32.  Section 45.193(b), Government Code, is amended
164-10   to conform to Chapter 20, Acts of the 74th Legislature, Regular
164-11   Session, 1995, to read as follows:
164-12         (b)  The county attorney has the powers, duties, and
164-13   privileges in Grimes County relating to civil commitment matters
164-14   under Subtitle C, Title 7, Health and Safety Code, family law and
164-15   juvenile matters, including children's protective services matters,
164-16   protective orders under Chapter 71, Family Code, orders under
164-17   Chapter 159 [21], Family Code, and proceedings under Title 3,
164-18   Family Code.
164-19         SECTION 7.33.  Section 45.261(b), Government Code, is amended
164-20   to conform to Chapter 20, Acts of the 74th Legislature, Regular
164-21   Session, 1995, to read as follows:
164-22         (b)  The county attorney shall handle children's protective
164-23   services, protective orders under the Family Code, and proceedings
164-24   under Title 2 or 5, Family Code.
 165-1         SECTION 7.34.  Section 54.688, Government Code, is amended to
 165-2   conform to Chapter 20, Acts of the 74th Legislature, Regular
 165-3   Session, 1995, to read as follows:
 165-4         Sec. 54.688.  Cases That May be Referred.  A judge may refer
 165-5   to a master any civil case or portion of a civil case brought:
 165-6               (1)  under Title 1, 2, 3, [or] 4, or 5, Family Code; or
 165-7               (2)  in connection with Rule 308a [308-A], Texas Rules
 165-8   of Civil Procedure[; or]
 165-9               [(3)  in connection with Chapter 46 or 76, Human
165-10   Resources Code].
165-11         SECTION 7.35.  Section 54.808, Government Code, is amended to
165-12   conform to Chapter 20, Acts of the 74th Legislature, Regular
165-13   Session, 1995, to read as follows:
165-14         Sec. 54.808.  Cases That May be Referred.  A judge may refer
165-15   to a master any civil case or portion of a civil case brought:
165-16               (1)  under Title 1, 2, 3, [or] 4, or 5, Family Code; or
165-17               (2)  in connection with Rule 308a, Texas Rules of Civil
165-18   Procedure[; or]
165-19               [(3)  in connection with Chapter 46, Human Resources
165-20   Code].
165-21         SECTION 7.36.  Section 54.927, Government Code, is amended to
165-22   conform to Chapter 20, Acts of the 74th Legislature, Regular
165-23   Session, 1995, to read as follows:
165-24         Sec. 54.927.  Cases That May be Referred.  The judge may
 166-1   refer to a master any civil case or portion of a civil case
 166-2   brought:
 166-3               (1)  under Title 1, 2, 3, [or] 4, or 5, Family Code; or
 166-4               (2)  in connection with Rule 308a, Texas Rules of Civil
 166-5   Procedure[; or]
 166-6               [(3)  in connection with Chapter 46 or 76, Human
 166-7   Resources Code].
 166-8         SECTION 7.37.  Section 411.127(a), Government Code, is
 166-9   amended to conform to Chapter 20, Acts of the 74th Legislature,
166-10   Regular Session, 1995, to read as follows:
166-11         (a)  The attorney general is entitled to obtain from the
166-12   Department of Public Safety criminal history record information
166-13   maintained by the department that relates to a person who is an
166-14   applicant for a position of employment with the attorney general
166-15   that involves the performance of duties under Chapter 231, Family
166-16   [76, Human Resources] Code.  The attorney general may not request
166-17   the information unless a supervisory employee of the attorney
166-18   general's office has recommended that the applicant be hired.
166-19         SECTION 7.38.  Section 552.114(b), Government Code, is
166-20   amended to conform to Chapter 20, Acts of the 74th Legislature,
166-21   Regular Session, 1995, to read as follows:
166-22         (b)  A record under Subsection (a) shall be made available on
166-23   the request of:
166-24               (1)  educational institution personnel;
 167-1               (2)  the student involved or the student's parent,
 167-2   legal guardian, or spouse; or
 167-3               (3)  a person conducting a child abuse investigation
 167-4   required by Subchapter D, Chapter 261 [Section 34.05], Family Code.
 167-5         SECTION 7.39.  Section 81.046(d), Health and Safety Code, is
 167-6   amended to conform to Chapter 20, Acts of the 74th Legislature,
 167-7   Regular Session, 1995, to read as follows:
 167-8         (d)  In a case of sexually transmitted disease involving a
 167-9   minor under 13 years of age, information may not be released,
167-10   except that the child's name, age, and address and the name of the
167-11   disease may be released to appropriate agents as required by
167-12   Chapter 261 [34], Family Code.  If that information is required in
167-13   a court proceeding involving child abuse, the information shall be
167-14   disclosed in camera.
167-15         SECTION 7.40.  Section 161.001(b), Health and Safety Code, is
167-16   amended to conform to Chapter 20, Acts of the 74th Legislature,
167-17   Regular Session, 1995, to read as follows:
167-18         (b)  A person who administers or authorizes the
167-19   administration of a vaccine or immunizing agent is not liable or
167-20   responsible for the failure to immunize a child because of the
167-21   failure or refusal of a parent, managing conservator, or guardian
167-22   to consent to the vaccination or immunization required under this
167-23   chapter.  Consent to the vaccination or immunization must be given
167-24   in the manner authorized by Chapter 32 [Sections 35.011 through
 168-1   35.015], Family Code.
 168-2         SECTION 7.41.  Section 161.132(c), Health and Safety Code, is
 168-3   amended to conform to Chapter 20, Acts of the 74th Legislature,
 168-4   Regular Session, 1995, to read as follows:
 168-5         (c)  The requirement prescribed by this section is in
 168-6   addition to the requirements provided by Chapter 261 [34], Family
 168-7   Code, and Chapter 48, Human Resources Code.
 168-8         SECTION 7.42.  Section 192.005(b), Health and Safety Code, is
 168-9   amended to conform to Chapter 20, Acts of the 74th Legislature,
168-10   Regular Session, 1995, to read as follows:
168-11         (b)  The father of a child who has no presumed father may
168-12   acknowledge paternity by signing the certificate of birth or may
168-13   acknowledge paternity in accordance with Section 160.202 [13.22],
168-14   Family Code.
168-15         SECTION 7.43.  Section 192.008(c), Health and Safety Code, is
168-16   amended to conform to Chapter 20, Acts of the 74th Legislature,
168-17   Regular Session, 1995, to read as follows:
168-18         (c)  The board shall adopt rules and procedures to ensure
168-19   that birth records and indexes under the control of the department
168-20   or local registrars and accessible to the public do not contain
168-21   information or cross-references through which the confidentiality
168-22   of adoption placements may be directly or indirectly violated.  The
168-23   rules and procedures may not interfere with the registries
168-24   established under Subchapter E, Chapter 162, Family [Chapter 49,
 169-1   Human Resources] Code, or with a court order under this section.
 169-2         SECTION 7.44.  Section 464.010(a), Health and Safety Code, is
 169-3   amended to conform to Chapter 20, Acts of the 74th Legislature,
 169-4   Regular Session, 1995, to read as follows:
 169-5         (a)  A person, including treatment facility personnel, who
 169-6   believes that a client's physical or mental health or welfare has
 169-7   been, is, or will be adversely affected by abuse or neglect caused
 169-8   by any person shall report the facts underlying that belief to the
 169-9   commission.  This requirement is in addition to the requirements
169-10   prescribed by Chapter 261 [34], Family Code, and Chapter 48, Human
169-11   Resources Code.
169-12         SECTION 7.45.  Section 574.0085(f), Health and Safety Code,
169-13   is amended to conform to Chapter 20, Acts of the 74th Legislature,
169-14   Regular Session, 1995, to read as follows:
169-15         (f)  Except as limited by an order of referral, masters
169-16   appointed under this section have all the powers and duties set
169-17   forth in Section 201.007, Family [54.007, Government] Code.
169-18         SECTION 7.46.  Section 42.041(b), Human Resources Code, as
169-19   amended by Section 54, Chapter 262, and Section 1, Chapter 847,
169-20   Acts of the 74th Legislature, Regular Session, 1995, is amended to
169-21   conform to Chapter 20, Acts of the 74th Legislature, Regular
169-22   Session, 1995, to read as follows:
169-23         (b)  This section does not apply to:
169-24               (1)  a state-operated facility;
 170-1               (2)  an agency home;
 170-2               (3)  a facility that is operated in connection with a
 170-3   shopping center, business, religious organization, or establishment
 170-4   where children are cared for during short periods while parents or
 170-5   persons responsible for the children are attending religious
 170-6   services, shopping, or engaging in other activities on or near the
 170-7   premises, including but not limited to retreats or classes for
 170-8   religious instruction;
 170-9               (4)  a school or class for religious instruction that
170-10   does not last longer than two weeks and is conducted by a religious
170-11   organization during the summer months;
170-12               (5)  a youth camp licensed by the Texas Department of
170-13   Health;
170-14               (6)  a hospital licensed by the Texas Department of
170-15   Mental Health and Mental Retardation or the Texas Department of
170-16   Health;
170-17               (7)  an educational facility accredited by the Texas
170-18   [Central] Education Agency  or the Southern Association of Colleges
170-19   and Schools that operates primarily for educational purposes in
170-20   grades kindergarten and above;
170-21               (8)  an educational facility that operates solely for
170-22   educational purposes in grades kindergarten through at least grade
170-23   two, that does not provide custodial care for more than one hour
170-24   during the hours before or after the customary school day, and that
 171-1   is a member of an organization that promulgates, publishes, and
 171-2   requires compliance with health, safety, fire, and sanitation
 171-3   standards equal to standards required by state, municipal, and
 171-4   county codes;
 171-5               (9)  a kindergarten or preschool educational program
 171-6   that is operated as part of a public school or a private school
 171-7   accredited by the Texas [Central] Education Agency, that offers
 171-8   educational programs through grade six, and that does not provide
 171-9   custodial care during the hours before or after the customary
171-10   school day;
171-11               (10)  a family home, whether registered or not;
171-12               (11)  an educational facility that is integral to and
171-13   inseparable from its sponsoring religious organization or an
171-14   educational facility both of which do not provide custodial care
171-15   for more than two hours maximum per day, and that offers
171-16   educational programs for children age five and above in one or more
171-17   of the following:  kindergarten through at least grade three,
171-18   elementary, or secondary grades;
171-19               (12)  an agency group home;
171-20               (13)  an emergency shelter facility providing shelter
171-21   to minor mothers who are the sole support of their natural children
171-22   under Section 32.201 [35.05], Family Code, unless the facility
171-23   would otherwise require a license as a child-care facility under
171-24   this section; [or]
 172-1               (14)  a juvenile detention facility certified under
 172-2   Section 51.12, Family Code, or Section 141.042(d) or a juvenile
 172-3   facility providing services solely for the Texas Youth
 172-4   Commission;[.]
 172-5               (15) [(14)]  an elementary-age (ages 5-13) recreation
 172-6   program operated by a municipality provided the governing body of
 172-7   the municipality annually adopts standards of care by ordinance
 172-8   after a public hearing for such programs, that such standards are
 172-9   provided to the parents of each program participant, and that the
172-10   ordinances shall include, at a minimum, staffing ratios, minimum
172-11   staff qualifications, minimum facility, health, and safety
172-12   standards, and mechanisms for monitoring and enforcing the adopted
172-13   local standards; and further provided that parents be informed that
172-14   the program is not licensed by the state and the program may not be
172-15   advertised as a child-care facility; or
172-16               (16) [(15)]  an annual youth camp held in a
172-17   municipality with a population of more than 1.5 million that
172-18   operates for not more than three months and that has been operated
172-19   for at least 10 years by a nonprofit organization that provides
172-20   care for the homeless.
172-21         SECTION 7.47.  Section 42.056(a), Human Resources Code, is
172-22   amended to conform to Chapter 20, Acts of the 74th Legislature,
172-23   Regular Session, 1995, to read as follows:
172-24         (a)  Each child care facility shall post in a location that
 173-1   is conspicuous to all employees and customers a sign that includes:
 173-2               (1)  a description of the provisions of Chapter 261
 173-3   [34], Family Code, relating to the duty to report child abuse or
 173-4   neglect; and
 173-5               (2)  a description of the penalties for violating the
 173-6   reporting provisions of Chapter 261 [34], Family Code.
 173-7         SECTION 7.48.  The heading to Subchapter A, Chapter 76, Human
 173-8   Resources Code, as added by Section 5.01, Chapter 655, Acts of the
 173-9   74th Legislature, Regular Session, 1995, is repealed to conform to
173-10   the transfer of that chapter to the Family Code by Chapter 20, Acts
173-11   of the 74th Legislature, Regular Session, 1995.
173-12         SECTION 7.49.  Section 141.0476(e), Human Resources Code, is
173-13   amended to conform to Chapter 20, Acts of the 74th Legislature,
173-14   Regular Session, 1995, to read as follows:
173-15         (e)  In this section, "abuse" and "neglect" have the meanings
173-16   assigned by Section 261.001 [34.012], Family Code.
173-17         SECTION 7.50.  Section 152.1073(b), Human Resources Code, is
173-18   amended to conform to Chapter 20, Acts of the 74th Legislature,
173-19   Regular Session, 1995, to read as follows:
173-20         (b)  The board has the powers and duties of a child welfare
173-21   board created under Section 264.005, Family [41.002, Human
173-22   Resources] Code.
173-23         SECTION 7.51.  Section 152.1074(f), Human Resources Code, is
173-24   amended to conform to Chapter 20, Acts of the 74th Legislature,
 174-1   Regular Session, 1995, to read as follows:
 174-2         (f)  To recover the costs of providing services, the
 174-3   commissioners court may provide by order for the collection by the
 174-4   district clerk of a fee set by the commissioners court at an amount
 174-5   that does not exceed $12.  A person who files a suit for divorce,
 174-6   annulment, or to declare a marriage void in which the parties are
 174-7   parents of a child, as that term is defined by Section 101.003
 174-8   [11.01(1)], Family Code, shall pay the fee at the time the suit is
 174-9   filed.
174-10         SECTION 7.52.  Section 152.2491(c), Human Resources Code, is
174-11   amended to conform to Chapter 20, Acts of the 74th Legislature,
174-12   Regular Session, 1995, to read as follows:
174-13         (c)  The juvenile board may authorize the use of foster homes
174-14   for the temporary care of children subject to Title [2  or] 3 or 5,
174-15   Family Code.  The rate of pay for foster care shall be determined
174-16   by the juvenile board and those payments are necessary operating
174-17   expenses of the Wichita County Family Court Services Department.
174-18         SECTION 7.53.  Section 408.203(b), Labor Code, is amended to
174-19   conform to Chapter 20, Acts of the 74th Legislature, Regular
174-20   Session, 1995, to read as follows:
174-21         (b)  A benefit that is subject to a lien for payment of
174-22   court-ordered child support shall be paid as required by:
174-23               (1)  an order withholding income under Subchapter A,
174-24   Chapter 158 [Section 14.43], Family Code; or
 175-1               (2)  a writ of income withholding under Subchapter D,
 175-2   Chapter 158 [Section 14.45], Family Code.
 175-3         SECTION 7.54.  Section 42(b)(1), Texas Probate Code, is
 175-4   amended to conform to Chapter 20, Acts of the 74th Legislature,
 175-5   Regular Session, 1995, to read as follows:
 175-6               (1)  For the purpose of inheritance, a child is the
 175-7   child of his biological father if the child is born under
 175-8   circumstances described by Section 151.002 [12.02], Family Code, is
 175-9   adjudicated to be the child of the father by court decree as
175-10   provided by Chapter 160 [13], Family Code, was adopted by his
175-11   father, or if the father executed a statement of paternity as
175-12   provided by Section 160.202 [13.22], Family Code, or a like
175-13   statement properly executed in another jurisdiction, so that he and
175-14   his issue shall inherit from his father and from his paternal
175-15   kindred, both descendants, ascendants, and collaterals in all
175-16   degrees, and they may inherit from him and his issue.  A person
175-17   claiming to be a biological child of the decedent, who is not
175-18   otherwise presumed to be a child of the decedent, or claiming
175-19   inheritance through a biological child of the decedent, who is not
175-20   otherwise presumed to be a child of the decedent, may petition the
175-21   probate court for a determination of right of inheritance.  If the
175-22   court finds by clear and convincing evidence that the purported
175-23   father was the biological father of the child, the child is treated
175-24   as any other child of the decedent for the purpose of inheritance
 176-1   and he and his issue may inherit from his paternal kindred, both
 176-2   descendants, ascendants, and collaterals in all degrees, and they
 176-3   may inherit from him and his issue.  This section does not permit
 176-4   inheritance by a purported father of a child, whether recognized or
 176-5   not, if the purported father's parental rights have been
 176-6   terminated.
 176-7         SECTION 7.55.  Section 609(c), Texas Probate Code, is amended
 176-8   to conform to Chapter 20, Acts of the 74th Legislature, Regular
 176-9   Session, 1995, to read as follows:
176-10         (c)  The court to which a transfer is made under this section
176-11   shall apply the procedural and substantive provisions of the Family
176-12   Code, including Sections 155.005 and 155.205 [Section 11.05(h), and
176-13   its subsequent amendments], in regard to enforcing an order
176-14   rendered by the court from which the proceeding was transferred.
176-15         SECTION 7.56.  Section 42.005, Property Code, is amended to
176-16   conform to Chapter 20, Acts of the 74th Legislature, Regular
176-17   Session, 1995, to read as follows:
176-18         Sec. 42.005.  Child Support Liens.  Sections 42.001, 42.002,
176-19   and 42.0021 of this code do not apply to a child support lien
176-20   established under Subchapter G [F], Chapter 157 [14], Family Code.
176-21           ARTICLE 8.  RENUMBERING CHAPTER 30, GOVERNMENT CODE
176-22                      (MUNICIPAL COURTS OF RECORD)
176-23         SECTION 8.01.  The following provisions of Chapter 30,
176-24   Government Code, are relettered or renumbered to provide additional
 177-1   section numbers for expansion, eliminate duplicate citations, and
 177-2   relocate misplaced provisions.
 177-3         SECTION 8.02.  Subchapter P, Chapter 30, Government Code, is
 177-4   relettered as Subchapter A, Chapter 30, Government Code, and
 177-5   Sections 30.481, 30.482, 30.483, 30.484, 30.485, 30.486, 30.487,
 177-6   30.488, 30.489, 30.490, 30.491, 30.492, 30.493, 30.494, 30.495,
 177-7   30.496, 30.497, 30.498, 30.499, 30.500, 30.501, 30.502, 30.503,
 177-8   30.504, 30.505, and 30.506, Government Code, are renumbered as
 177-9   Sections 30.00001, 30.00002, 30.00003, 30.00004, 30.00005,
177-10   30.00006, 30.00007, 30.00008, 30.00009, 30.00010, 30.00011,
177-11   30.00012, 30.00013, 30.00014, 30.00015, 30.00016, 30.00017,
177-12   30.00018, 30.00019, 30.00020, 30.00021, 30.00022, 30.00023,
177-13   30.00024, 30.00025, and 30.00026, Government Code, respectively.
177-14         SECTION 8.03.  Subchapter A, Chapter 30, Government Code, is
177-15   relettered as Subchapter B, Chapter 30, Government Code, and
177-16   Sections 30.001, 30.002, 30.003, 30.004, 30.005, 30.006, 30.007,
177-17   30.008, 30.009, 30.010, 30.011, 30.012, 30.013, 30.014, 30.015,
177-18   30.016, 30.017, 30.018, 30.019, 30.020, 30.021, and 30.022,
177-19   Government Code, are renumbered as Sections 30.00041, 30.00042,
177-20   30.00043, 30.00044, 30.00045, 30.00046, 30.00047, 30.00048,
177-21   30.00049, 30.00050, 30.00051, 30.00052, 30.00053, 30.00054,
177-22   30.00055, 30.00056, 30.00057, 30.00058, 30.00059, 30.00060,
177-23   30.00061, and 30.00062, Government Code, respectively.
177-24         SECTION 8.04.  Section 30.010(d), Government Code, is
 178-1   renumbered as Section 30.00050(d), Government Code, and amended to
 178-2   correct a cross-reference to read as follows:
 178-3         (d)  A juror who serves in the municipal courts of record
 178-4   must meet the qualifications provided by Subchapter B [A], Chapter
 178-5   62, and must also be a registered voter of the city.  A juror in
 178-6   the courts is subject to the laws relating to exemption and excuse
 178-7   from jury service that are applicable to the other courts in the
 178-8   county.
 178-9         SECTION 8.05.  Subchapter A-1, Chapter 30, Government Code,
178-10   is relettered as Subchapter C, Chapter 30, Government Code, and
178-11   Sections 30.0241, 30.0242, 30.0243, 30.0244, 30.0245, 30.0246,
178-12   30.0247, 30.0248, 30.0249, 30.0250, 30.0251, 30.0252, 30.0253,
178-13   30.0254, 30.0255, 30.0256, 30.0257, 30.0258, 30.0259, 30.0260, and
178-14   30.0261, Government Code, are renumbered as Sections 30.00081,
178-15   30.00082, 30.00083, 30.00084, 30.00085, 30.00086, 30.00087,
178-16   30.00088, 30.00089, 30.00090, 30.00091, 30.00092, 30.00093,
178-17   30.00094, 30.00095, 30.00096, 30.00097, 30.00098, 30.00099,
178-18   30.00100, and 30.00101, Government Code, respectively.
178-19         SECTION 8.06.  Subchapter B, Chapter 30, Government Code, is
178-20   relettered as Subchapter D, Chapter 30, Government Code, and
178-21   Sections 30.031, 30.032, 30.033, 30.034, 30.035, 30.036, 30.037,
178-22   30.038, 30.039, 30.040, 30.041, 30.042, 30.043, 30.044, 30.045,
178-23   30.046, 30.047, 30.048, 30.049, 30.050, 30.051, 30.052, 30.053,
178-24   30.054, 30.055, 30.056, 30.057, 30.058, 30.059, 30.060, 30.061,
 179-1   30.062, 30.063, 30.064, 30.065, 30.066, 30.067, 30.068, 30.069,
 179-2   30.070, 30.071, 30.072, 30.073, and 30.074, Government Code, are
 179-3   renumbered as Sections 30.00121, 30.00122, 30.00123, 30.00124,
 179-4   30.00125, 30.00126, 30.00127, 30.00128, 30.00129, 30.00130,
 179-5   30.00131, 30.00132, 30.00133, 30.00134, 30.00135, 30.00136,
 179-6   30.00137, 30.00138, 30.00139, 30.00140, 30.00141, 30.00142,
 179-7   30.00143, 30.00144, 30.00145, 30.00146, 30.00147, 30.00148,
 179-8   30.00149, 30.00150, 30.00151, 30.00152, 30.00153, 30.00154,
 179-9   30.00155, 30.00156, 30.00157, 30.00158, 30.00159, 30.00160,
179-10   30.00161, 30.00162, 30.00163, and 30.00164, Government Code,
179-11   respectively.
179-12         SECTION 8.07.  Subchapter BB, Chapter 30, Government Code, is
179-13   relettered as Subchapter E, Chapter 30, Government Code, and
179-14   Sections 30.0761, 30.0762, 30.0763, 30.0764, 30.0765, 30.0766,
179-15   30.0767, 30.0768, 30.0769, 30.0770, 30.0771, 30.0772, 30.0773,
179-16   30.0774, 30.0775, 30.0776, 30.0777, 30.0778, 30.0779, 30.0780, and
179-17   30.0781, Government Code, are renumbered as Sections 30.00181,
179-18   30.00182, 30.00183, 30.00184, 30.00185, 30.00186, 30.00187,
179-19   30.00188, 30.00189, 30.00190, 30.00191, 30.00192, 30.00193,
179-20   30.00194, 30.00195, 30.00196, 30.00197, 30.00198, 30.00199,
179-21   30.00200, and 30.00201, Government Code, respectively.
179-22         SECTION 8.08.  Subchapter C, Chapter 30, Government Code, is
179-23   relettered as Subchapter F, Chapter 30, Government Code, and
179-24   Sections 30.081, 30.082, 30.083, 30.084, 30.085, 30.086, 30.087,
 180-1   30.088, 30.089, 30.090, 30.091, 30.092, 30.093, 30.094, 30.095,
 180-2   30.096, 30.097, 30.098, 30.099, 30.100, 30.101, and 30.102,
 180-3   Government Code, are renumbered as Sections 30.00221, 30.00222,
 180-4   30.00223, 30.00224, 30.00225, 30.00226, 30.00227, 30.00228,
 180-5   30.00229, 30.00230, 30.00231, 30.00232, 30.00233, 30.00234,
 180-6   30.00235, 30.00236, 30.00237, 30.00238, 30.00239, 30.00240,
 180-7   30.00241, and 30.00242, Government Code, respectively.
 180-8         SECTION 8.09.  Subchapter CC, Chapter 30, Government Code, is
 180-9   relettered as Subchapter G, Chapter 30, Government Code, and
180-10   Sections 30.1041, 30.1042, 30.1043, 30.1044, 30.1045, 30.1046,
180-11   30.1047, 30.1048, 30.1049, 30.1050, 30.1051, 30.1052, 30.1053,
180-12   30.1054, 30.1055, 30.1056, 30.1057, 30.1058, 30.1059, 30.1060,
180-13   30.1061, and 30.1062, Government Code, are renumbered as Sections
180-14   30.00261, 30.00262, 30.00263, 30.00264, 30.00265, 30.00266,
180-15   30.00267, 30.00268, 30.00269, 30.00270, 30.00271, 30.00272,
180-16   30.00273, 30.00274, 30.00275, 30.00276, 30.00277, 30.00278,
180-17   30.00279, 30.00280, 30.00281, and 30.00282, Government Code,
180-18   respectively.
180-19         SECTION 8.10.  Subchapter D, Chapter 30, Government Code, is
180-20   relettered as Subchapter H, Chapter 30, Government Code, and
180-21   Sections 30.111, 30.112, 30.113, 30.114, 30.115, 30.116, 30.117,
180-22   30.118, 30.119, 30.120, 30.121, 30.122, 30.123, 30.124, 30.125,
180-23   30.126, 30.127, 30.128, 30.129, 30.130, 30.131, and 30.132,
180-24   Government Code, are renumbered as Sections 30.00301, 30.00302,
 181-1   30.00303, 30.00304, 30.00305, 30.00306, 30.00307, 30.00308,
 181-2   30.00309, 30.00310, 30.00311, 30.00312, 30.00313, 30.00314,
 181-3   30.00315, 30.00316, 30.00317, 30.00318, 30.00319, 30.00320,
 181-4   30.00321, and 30.00322, Government Code, respectively.
 181-5         SECTION 8.11.  Subchapter DD, Chapter 30, Government Code, is
 181-6   relettered as Subchapter I, Chapter 30, Government Code, and
 181-7   Sections 30.1341, 30.1342, 30.1343, 30.1344, 30.1345, 30.1346,
 181-8   30.1347, 30.1348, 30.1349, 30.1350, 30.1351, 30.1352, 30.1353,
 181-9   30.1354, 30.1355, 30.1356, 30.1357, 30.1358, 30.1359, 30.1360, and
181-10   30.1361, Government Code, are renumbered as Sections 30.00341,
181-11   30.00342, 30.00343, 30.00344, 30.00345, 30.00346, 30.00347,
181-12   30.00348, 30.00349, 30.00350, 30.00351, 30.00352, 30.00353,
181-13   30.00354, 30.00355, 30.00356, 30.00357, 30.00358, 30.00359,
181-14   30.00360, and 30.00361, Government Code, respectively.
181-15         SECTION 8.12.  Subchapter E, Chapter 30, Government Code, is
181-16   relettered as Subchapter J, Chapter 30, Government Code, and
181-17   Sections 30.141, 30.142, 30.143, 30.144, 30.145, 30.146, 30.147,
181-18   30.148, 30.149, 30.150, 30.151, 30.152, 30.153, 30.154, 30.155,
181-19   30.156, 30.157, 30.158, 30.159, 30.160, 30.161, and 30.162,
181-20   Government Code, are renumbered as Sections 30.00381, 30.00382,
181-21   30.00383, 30.00384, 30.00385, 30.00386, 30.00387, 30.00388,
181-22   30.00389, 30.00390, 30.00391, 30.00392, 30.00393, 30.00394,
181-23   30.00395, 30.00396, 30.00397, 30.00398, 30.00399, 30.00400,
181-24   30.00401, and 30.00402, Government Code, respectively.
 182-1         SECTION 8.13.  Subchapter U, Chapter 30, Government Code, is
 182-2   relettered as Subchapter K, Chapter 30, Government Code, and
 182-3   Sections 30.1641, 30.1642, 30.1643, 30.1644, 30.1645, 30.1646,
 182-4   30.1647, 30.1648, 30.1649, 30.1650, 30.1651, 30.1652, 30.1653,
 182-5   30.1654, 30.1655, 30.1656, 30.1657, 30.1658, 30.1659, 30.1660,
 182-6   30.1661, 30.1662, 30.1663, and 30.1664, Government Code, are
 182-7   renumbered as Sections 30.00421, 30.00422, 30.00423, 30.00424,
 182-8   30.00425, 30.00426, 30.00427, 30.00428, 30.00429, 30.00430,
 182-9   30.00431, 30.00432, 30.00433, 30.00434, 30.00435, 30.00436,
182-10   30.00437, 30.00438, 30.00439, 30.00440,  30.00441, 30.00442,
182-11   30.00443, and 30.00444, Government Code, respectively.
182-12         SECTION 8.14.  Subchapter F, Chapter 30, Government Code, is
182-13   relettered as Subchapter L, Chapter 30, Government Code, and
182-14   Sections 30.171, 30.172, 30.173, 30.174, 30.175, 30.176, 30.177,
182-15   30.178, 30.179, 30.180, 30.181, 30.182, 30.183, 30.184, 30.185, and
182-16   30.186, Government Code, are renumbered as Sections 30.00461,
182-17   30.00462, 30.00463, 30.00464, 30.00465, 30.00466, 30.00467,
182-18   30.00468, 30.00469, 30.00470, 30.00471, 30.00472, 30.00473,
182-19   30.00474, 30.00475, and 30.00476, Government Code, respectively.
182-20         SECTION 8.15.  Subchapter FF, Chapter 30, Government Code, is
182-21   relettered as Subchapter M, Chapter 30, Government Code, and
182-22   Sections 30.1881, 30.1882, 30.1883, 30.1884, 30.1885, 30.1886,
182-23   30.1887, 30.1888, 30.1889, 30.1890, 30.1891, 30.1892, 30.1893,
182-24   30.1894, 30.1895, 30.1896, 30.1897, 30.1898, 30.1899, 30.1900, and
 183-1   30.1901, Government Code, are renumbered as Sections 30.00491,
 183-2   30.00492, 30.00493, 30.00494, 30.00495, 30.00496, 30.00497,
 183-3   30.00498, 30.00499, 30.00500, 30.00501, 30.00502, 30.00503,
 183-4   30.00504, 30.00505, 30.00506, 30.00507, 30.00508, 30.00509,
 183-5   30.00510, and 30.00511, Government Code, respectively.
 183-6         SECTION 8.16.  Subchapter G, Chapter 30, Government Code, is
 183-7   relettered as Subchapter N, Chapter 30, Government Code, and
 183-8   Sections 30.201, 30.202, 30.203, 30.204, 30.205, 30.206, 30.207,
 183-9   30.208, 30.209, 30.210, 30.211, 30.212, 30.213, 30.214, 30.215,
183-10   30.216, and 30.217, Government Code, are renumbered as Sections
183-11   30.00531, 30.00532, 30.00533, 30.00534, 30.00535, 30.00536,
183-12   30.00537, 30.00538, 30.00539, 30.00540, 30.00541, 30.00542,
183-13   30.00543, 30.00544, 30.00545, 30.00546, and 30.00547, Government
183-14   Code, respectively.
183-15         SECTION 8.17.  Subchapter GG, Chapter 30, Government Code, is
183-16   relettered as Subchapter O, Chapter 30, Government Code, and
183-17   Sections 30.2191, 30.2192, 30.2193, 30.2194, 30.2195, 30.2196,
183-18   30.2197, 30.2198, 30.2199, 30.2200, 30.2201, 30.2202, 30.2203,
183-19   30.2204, 30.2205, 30.2206, 30.2207, 30.2208, 30.2209, 30.2210, and
183-20   30.2211, Government Code, are renumbered as Sections 30.00561,
183-21   30.00562, 30.00563, 30.00564, 30.00565, 30.00566, 30.00567,
183-22   30.00568, 30.00569, 30.00570, 30.00571, 30.00572, 30.00573,
183-23   30.00574, 30.00575, 30.00576, 30.00577, 30.00578, 30.00579,
183-24   30.00580, and 30.00581, Government Code, respectively.
 184-1         SECTION 8.18.  Subchapter H, Chapter 30, Government Code, is
 184-2   relettered as Subchapter P, Chapter 30, Government Code, and
 184-3   Sections 30.231, 30.232, 30.233, 30.234, 30.235, 30.236, 30.237,
 184-4   30.238, 30.239, 30.240, 30.241, 30.242, 30.243, 30.244, 30.245, and
 184-5   30.246, Government Code, are renumbered as Sections 30.00601,
 184-6   30.00602, 30.00603, 30.00604, 30.00605, 30.00606, 30.00607,
 184-7   30.00608, 30.00609, 30.00610, 30.00611, 30.00612, 30.00613,
 184-8   30.00614, 30.00615, and 30.00616, Government Code, respectively.
 184-9         SECTION 8.19.  Subchapter HH, Chapter 30, Government Code, is
184-10   relettered as Subchapter Q, Chapter 30, Government Code, and
184-11   Sections 30.2481, 30.2482, 30.2483, 30.2484, 30.2485, 30.2486,
184-12   30.2487, 30.2488, 30.2489, 30.2490, 30.2491, 30.2492, 30.2493,
184-13   30.2494, 30.2495, 30.2496, 30.2497, 30.2498, 30.2499, 30.2500,
184-14   30.2501, 30.2502, 30.2503, 30.2504, 30.2505, 30.2506, and 30.2507,
184-15   Government Code, are renumbered as Sections 30.00631, 30.00632,
184-16   30.00633, 30.00634, 30.00635, 30.00636, 30.00637, 30.00638,
184-17   30.00639, 30.00640, 30.00641, 30.00642, 30.00643, 30.00644,
184-18   30.00645, 30.00646, 30.00647, 30.00648, 30.00649, 30.00650,
184-19   30.00651, 30.00652, 30.00653, 30.00654, 30.00655, 30.00656, and
184-20   30.00657, Government Code, respectively.
184-21         SECTION 8.20.  Subchapter I, Chapter 30, Government Code, is
184-22   relettered as Subchapter R, Chapter 30, Government Code, and
184-23   Sections 30.261, 30.262, 30.263, 30.264, 30.265, 30.266, 30.267,
184-24   30.268, 30.269, 30.270, 30.271, 30.272, 30.273, 30.274, 30.275,
 185-1   30.276, 30.277, and 30.278, Government Code, are renumbered as
 185-2   Sections 30.00671, 30.00672, 30.00673, 30.00674, 30.00675,
 185-3   30.00676, 30.00677, 30.00678, 30.00679, 30.00680, 30.00681,
 185-4   30.00682, 30.00683, 30.00684, 30.00685, 30.00686, 30.00687, and
 185-5   30.00688, Government Code, respectively.
 185-6         SECTION 8.21.  Subchapter J, Chapter 30, Government Code, is
 185-7   relettered as Subchapter S, Chapter 30, Government Code, and
 185-8   Sections 30.291, 30.292, 30.293, 30.294, 30.295, 30.296, 30.297,
 185-9   30.298, 30.299, 30.300, 30.301, 30.302, 30.303, 30.304, 30.305,
185-10   30.306, and 30.307, Government Code, are renumbered as Sections
185-11   30.00701, 30.00702, 30.00703, 30.00704, 30.00705, 30.00706,
185-12   30.00707, 30.00708, 30.00709, 30.00710, 30.00711, 30.00712,
185-13   30.00713, 30.00714, 30.00715, 30.00716, and 30.00717, Government
185-14   Code, respectively.
185-15         SECTION 8.22.  Subchapter K, Chapter 30, Government Code, is
185-16   relettered as Subchapter T, Chapter 30, Government Code, and
185-17   Sections 30.321, 30.322, 30.323, 30.324, 30.325, 30.326, 30.327,
185-18   30.328, 30.329, 30.330, 30.331, 30.332, 30.333, 30.334, 30.335,
185-19   30.336, 30.337, 30.338, 30.339, 30.340, 30.341, 30.342, 30.343, and
185-20   30.344, Government Code, are renumbered as Sections 30.00731,
185-21   30.00732, 30.00733, 30.00734, 30.00735, 30.00736, 30.00737,
185-22   30.00738, 30.00739, 30.00740, 30.00741, 30.00742, 30.00743,
185-23   30.00744, 30.00745, 30.00746, 30.00747, 30.00748, 30.00749,
185-24   30.00750, 30.00751, 30.00752, 30.00753, and 30.00754, Government
 186-1   Code, respectively.
 186-2         SECTION 8.23.  Subchapter L, Chapter 30, Government Code, is
 186-3   relettered as Subchapter U, Chapter 30, Government Code, and
 186-4   Sections 30.351, 30.352, 30.353, 30.354, 30.355, 30.356, 30.357,
 186-5   30.358, 30.359, 30.360, 30.361, 30.362, 30.363, 30.364, 30.365,
 186-6   30.366, 30.367, 30.368, 30.369, 30.370, 30.371, 30.372, 30.373, and
 186-7   30.374, Government Code, are renumbered as Sections 30.00771,
 186-8   30.00772, 30.00773, 30.00774, 30.00775, 30.00776, 30.00777,
 186-9   30.00778, 30.00779, 30.00780, 30.00781, 30.00782, 30.00783,
186-10   30.00784, 30.00785, 30.00786, 30.00787, 30.00788, 30.00789,
186-11   30.00790, 30.00791, 30.00792, 30.00793, and 30.00794, Government
186-12   Code, respectively.
186-13         SECTION 8.24.  Subchapter M, Chapter 30, Government Code, is
186-14   relettered as Subchapter V, Chapter 30, Government Code, and
186-15   Sections 30.381, 30.382, 30.383, 30.384, 30.385, 30.386, 30.387,
186-16   30.388, 30.389, 30.390, 30.391, 30.392, 30.393, 30.394, 30.395,
186-17   30.396, 30.397, 30.398, 30.399, 30.400, 30.401, 30.402, 30.403,
186-18   30.404, 30.405, 30.406, 30.407, 30.408, and 30.409, Government
186-19   Code, are renumbered as Sections 30.00811, 30.00812, 30.00813,
186-20   30.00814, 30.00815, 30.00816, 30.00817, 30.00818, 30.00819,
186-21   30.00820, 30.00821, 30.00822, 30.00823, 30.00824, 30.00825,
186-22   30.00826, 30.00827, 30.00828, 30.00829, 30.00830, 30.00831,
186-23   30.00832, 30.00833, 30.00834, 30.00835, 30.00836, 30.00837,
186-24   30.00838, and 30.00839, Government Code, respectively.
 187-1         SECTION 8.25.  Subchapter N, Chapter 30, Government Code, is
 187-2   relettered as Subchapter W, Chapter 30, Government Code, and
 187-3   Sections 30.421, 30.422, 30.423, 30.424, 30.425, 30.426, 30.427,
 187-4   30.428, 30.429, 30.430, 30.431, 30.432, 30.433, 30.434, 30.435,
 187-5   30.436, 30.437, 30.438, 30.439, 30.440, and 30.441, Government
 187-6   Code, are renumbered as Sections 30.00851, 30.00852, 30.00853,
 187-7   30.00854, 30.00855, 30.00856, 30.00857, 30.00858, 30.00859,
 187-8   30.00860, 30.00861, 30.00862, 30.00863, 30.00864, 30.00865,
 187-9   30.00866, 30.00867, 30.00868, 30.00869, 30.00870, and 30.00871,
187-10   Government Code, respectively.
187-11         SECTION 8.26.  Subchapter O, Chapter 30, Government Code, is
187-12   relettered as Subchapter X, Chapter 30, Government Code, and
187-13   Sections 30.451, 30.452, 30.453, 30.454, 30.455, 30.456, 30.457,
187-14   30.458, 30.459, 30.460, 30.461, 30.462, 30.463, 30.464, 30.465,
187-15   30.466, 30.467, 30.468, 30.469, and 30.470, Government Code, are
187-16   renumbered as Sections 30.00891, 30.00892, 30.00893, 30.00894,
187-17   30.00895, 30.00896, 30.00897, 30.00898, 30.00899, 30.00900,
187-18   30.00901, 30.00902, 30.00903, 30.00904, 30.00905, 30.00906,
187-19   30.00907, 30.00908, 30.00909, and 30.00910, Government Code,
187-20   respectively.
187-21         SECTION 8.27.  Subchapter Q, Chapter 30, Government Code, is
187-22   relettered as Subchapter Y, Chapter 30, Government Code, and
187-23   Sections 30.521, 30.522, 30.523, 30.524, 30.525, 30.526, 30.527,
187-24   30.528, 30.529, 30.530, 30.531, 30.532, 30.533, 30.534, 30.535,
 188-1   30.536, 30.537, 30.538, 30.539, 30.540, 30.541, 30.542, 30.543, and
 188-2   30.544, Government Code, are renumbered as Sections 30.00931,
 188-3   30.00932, 30.00933, 30.00934, 30.00935, 30.00936, 30.00937,
 188-4   30.00938, 30.00939, 30.00940, 30.00941, 30.00942, 30.00943,
 188-5   30.00944, 30.00945, 30.00946, 30.00947, 30.00948, 30.00949,
 188-6   30.00950, 30.00951, 30.00952, 30.00953, and 30.00954, Government
 188-7   Code, respectively.
 188-8         SECTION 8.28.  Subchapter R, Chapter 30, Government Code, is
 188-9   relettered as Subchapter Z, Chapter 30, Government Code, and
188-10   Sections 30.651, 30.652, 30.653, 30.654, 30.655, 30.656, 30.657,
188-11   30.658, 30.659, 30.660, 30.661, 30.662, 30.663, 30.664, 30.665,
188-12   30.666, 30.667, 30.668, 30.669, 30.670, 30.671, and 30.672,
188-13   Government Code, are renumbered as Sections 30.00971, 30.00972,
188-14   30.00973, 30.00974, 30.00975, 30.00976, 30.00977, 30.00978,
188-15   30.00979, 30.00980, 30.00981, 30.00982, 30.00983, 30.00984,
188-16   30.00985, 30.00986, 30.00987, 30.00988, 30.00989, 30.00990,
188-17   30.00991, and 30.00992, Government Code, respectively.
188-18         SECTION 8.29.  Subchapter S, Chapter 30, Government Code, is
188-19   relettered as Subchapter AA, Chapter 30, Government Code, and
188-20   Sections 30.691, 30.692, 30.693, 30.694, 30.695, 30.696, 30.697,
188-21   30.698, 30.699, 30.700, 30.701, 30.702, 30.703, 30.704, 30.705,
188-22   30.706, 30.707, 30.708, 30.709, 30.710, 30.711, and 30.712,
188-23   Government Code, are renumbered as Sections 30.01011, 30.01012,
188-24   30.01013, 30.01014, 30.01015, 30.01016, 30.01017, 30.01018,
 189-1   30.01019, 30.01020, 30.01021, 30.01022, 30.01023, 30.01024,
 189-2   30.01025, 30.01026, 30.01027, 30.01028, 30.01029, 30.01030,
 189-3   30.01031, and 30.01032, Government Code, respectively.
 189-4         SECTION 8.30.  Subchapter T, Chapter 30, Government Code, is
 189-5   relettered as Subchapter BB, Chapter 30, Government Code, and
 189-6   Sections 30.721, 30.722, 30.723, 30.724, 30.725, 30.726, 30.727,
 189-7   30.728, 30.729, 30.730, 30.731, 30.732, 30.733, 30.734, 30.735,
 189-8   30.736, 30.737, 30.738, 30.739, 30.740, and 30.741, Government
 189-9   Code, are renumbered as Sections 30.01051, 30.01052, 30.01053,
189-10   30.01054, 30.01055, 30.01056, 30.01057, 30.01058, 30.01059,
189-11   30.01060, 30.01061, 30.01062, 30.01063, 30.01064, 30.01065,
189-12   30.01066, 30.01067, 30.01068, 30.01069, 30.01070, and 30.01071,
189-13   Government Code, respectively.
189-14         SECTION 8.31.  Subchapter V, Chapter 30, Government Code, is
189-15   relettered as Subchapter CC, Chapter 30, Government Code, and
189-16   Sections 30.851, 30.852, 30.853, 30.854, 30.855, 30.856, 30.857,
189-17   30.858, 30.859, 30.860, 30.861, 30.862, 30.863, 30.864, 30.865,
189-18   30.866, 30.867, 30.868, 30.869, 30.870, 30.871, 30.872, and 30.873,
189-19   Government Code, are renumbered as Sections 30.01091, 30.01092,
189-20   30.01093, 30.01094, 30.01095, 30.01096, 30.01097, 30.01098,
189-21   30.01099, 30.01100, 30.01101, 30.01102, 30.01103, 30.01104,
189-22   30.01105, 30.01106, 30.01107, 30.01108, 30.01109, 30.01110,
189-23   30.01111, 30.01112, and 30.01113, Government Code, respectively.
189-24         SECTION 8.32.  Subchapter W, Chapter 30, Government Code, is
 190-1   relettered as Subchapter DD, Chapter 30, Government Code, and
 190-2   Sections 30.881, 30.882, 30.883, 30.884, 30.885, 30.886, 30.887,
 190-3   30.888, 30.889, 30.890, 30.891, 30.892, 30.893, 30.894, 30.895,
 190-4   30.896, 30.897, 30.898, 30.899, 30.900, and 30.901, Government
 190-5   Code, are renumbered as Sections 30.01131, 30.01132, 30.01133,
 190-6   30.01134, 30.01135, 30.01136, 30.01137, 30.01138, 30.01139,
 190-7   30.01140, 30.01141, 30.01142, 30.01143, 30.01144, 30.01145,
 190-8   30.01146, 30.01147, 30.01148, 30.01149, 30.01150, and 30.01151,
 190-9   Government Code, respectively.
190-10         SECTION 8.33.  Subchapter X, Chapter 30, Government Code, is
190-11   relettered as Subchapter EE, Chapter 30, Government Code, and
190-12   Sections 30.916, 30.917, 30.918, 30.919, 30.920, 30.921, 30.922,
190-13   30.923, 30.924, 30.925, 30.926, 30.927, 30.928, 30.929, 30.930,
190-14   30.931, 30.932, 30.933, 30.934, 30.935, and 30.936, Government
190-15   Code, are renumbered as Sections 30.01171, 30.01172, 30.01173,
190-16   30.01174, 30.01175, 30.01176, 30.01177, 30.01178, 30.01179,
190-17   30.01180, 30.01181, 30.01182, 30.01183, 30.01184, 30.01185,
190-18   30.01186, 30.01187, 30.01188, 30.01189, 30.01190, and 30.01191,
190-19   Government Code, respectively.
190-20         SECTION 8.34.  Subchapter Y, Chapter 30, Government Code, is
190-21   relettered as Subchapter FF, Chapter 30, Government Code, and
190-22   Sections 30.981, 30.982, 30.983, 30.984, 30.985, 30.986, 30.987,
190-23   30.988, 30.989, 30.990, 30.991, 30.992, 30.993, 30.994, 30.995,
190-24   30.996, 30.997, 30.998, 30.999, 30.9991, 30.9992, 30.9993, and
 191-1   30.9994, Government Code, are renumbered as Sections 30.01211,
 191-2   30.01212, 30.01213, 30.01214, 30.01215, 30.01216, 30.01217,
 191-3   30.01218, 30.01219, 30.01220, 30.01221, 30.01222, 30.01223,
 191-4   30.01224, 30.01225, 30.01226, 30.01227, 30.01228, 30.01229,
 191-5   30.01230, 30.01231, 30.01232, and 30.01233, Government Code,
 191-6   respectively.
 191-7         SECTION 8.35.  If the number, letter, or designation assigned
 191-8   by this article conflicts with a number, letter, or designation
 191-9   assigned by another Act of the 75th Legislature, the other Act
191-10   controls, and the number, letter, or designation assigned by this
191-11   article has no effect.
191-12             ARTICLE 9.  CHANGES RELATING TO JUDICIAL TITLE,
191-13                             GOVERNMENT CODE
191-14         SECTION 9.01.  Section 62.106, Government Code, is amended to
191-15   correct a reference to read as follows:
191-16         Sec. 62.106.  Exemption From Jury Service.  A person
191-17   qualified to serve as a petit juror may establish an exemption from
191-18   jury service if he:
191-19               (1)  is over 65 years of age;
191-20               (2)  has legal custody of a child or children younger
191-21   than 10 years of age and his service on the jury requires leaving
191-22   the child or children without adequate supervision;
191-23               (3)  is a student of a public or private secondary
191-24   school;
 192-1               (4)  is a person enrolled and in actual attendance at
 192-2   an institution of higher education;
 192-3               (5)  is an officer or an employee of the senate, the
 192-4   house of representatives, or any department, commission, board,
 192-5   office, or other agency in the legislative branch of state
 192-6   government;
 192-7               (6)  is summoned for service in a county with a
 192-8   population of at least 200,000, unless that county uses a jury plan
 192-9   under Section 62.011 and the period authorized under Section
192-10   62.011(b)(5) [62.011(b)(6)] exceeds two years, and he has served as
192-11   a petit juror in the county during the 24-month period preceding
192-12   the date he is to appear for jury service; or
192-13               (7)  is the primary caretaker of a person who is an
192-14   invalid unable to care for himself.
192-15         SECTION 9.02.  (a) Section 76.003(b), Government Code, is
192-16   amended to conform to Section 1, Chapter 266, Acts of the 74th
192-17   Legislature, Regular Session, 1995, to read as follows:
192-18         (b)  A council should consist of the following persons or
192-19   their designees:
192-20               (1)  a sheriff of a county served by the department,
192-21   chosen by the sheriffs of the counties to be served by the
192-22   department;
192-23               (2)  a county commissioner or a county judge from a
192-24   county served by the department, chosen by the county commissioners
 193-1   and county judges of the counties served by the department;
 193-2               (3)  a city council member of the most populous
 193-3   municipality in a county served by the department, chosen by the
 193-4   members of the city councils of cities served by the department;
 193-5               (4)  not more than two state legislators elected from a
 193-6   county served by the department, or in a county with a population
 193-7   of one million or more to be served by the department, not more
 193-8   than one state senator and one state representative elected from
 193-9   the county, chosen by the state legislators elected from the county
193-10   or counties served by the department;
193-11               (5)  the presiding judge from a judicial district
193-12   served by the department, chosen by the district judges from the
193-13   judicial districts served by the department;
193-14               (6)  a judge of a statutory county court exercising
193-15   criminal jurisdiction in a county served by the department, chosen
193-16   by the judges of statutory county courts with criminal jurisdiction
193-17   in the counties served by the department;
193-18               (7)  a county attorney with criminal jurisdiction from
193-19   a county served by the department, chosen by the county attorneys
193-20   with criminal jurisdiction from the counties served by the
193-21   department;
193-22               (8)  a district attorney or criminal district attorney
193-23   from a judicial district served by the department, chosen by the
193-24   district attorneys or criminal district attorneys from the judicial
 194-1   districts served by the department;  and
 194-2               (9)  an elected member of the board of trustees of an
 194-3   independent school district in a county served by the department,
 194-4   chosen by the members of the boards of trustees of independent
 194-5   school districts located in counties served by the department.
 194-6         (b)  Chapter 266, Acts of the 74th Legislature, Regular
 194-7   Session, 1995, is repealed.
 194-8         SECTION 9.03.  (a) Section 76.003(c), Government Code, is
 194-9   amended to conform to Section 1, Chapter 185, Acts of the 74th
194-10   Legislature, Regular Session, 1995, to read as follows:
194-11         (c)  The community justice council shall appoint a community
194-12   justice task force to provide support staff for the development of
194-13   a community justice plan.  The task force may consist of any number
194-14   of members, but should include:
194-15               (1)  the county or regional director of the Texas
194-16   Department of Human Services with responsibility for the area
194-17   served by the department;
194-18               (2)  the chief of police of the most populous
194-19   municipality served by the department;
194-20               (3)  the chief juvenile probation officer of the
194-21   juvenile probation office serving the most populous area served by
194-22   the department;
194-23               (4)  the superintendent of the most populous school
194-24   district served by the department;
 195-1               (5)  the supervisor of the Department of Public Safety
 195-2   region closest to the department, or the supervisor's designee;
 195-3               (6)  the county or regional director of the Texas
 195-4   Department of Mental Health and Mental Retardation with
 195-5   responsibility for the area served by the department;
 195-6               (7)  a substance abuse treatment professional appointed
 195-7   by the Council of Governments serving the area served by the
 195-8   department;
 195-9               (8)  the department director;
195-10               (9)  the local or regional representative of the
195-11   pardons and paroles division of the Texas Department of Criminal
195-12   Justice with responsibility for the area served by the department;
195-13               (10)  the representative of the Texas Workforce
195-14   [Employment] Commission with responsibility for the area served by
195-15   the department;
195-16               (11)  the representative of the Texas Rehabilitation
195-17   Commission with responsibility for the area served by the
195-18   department;
195-19               (12)  a licensed attorney who practices in the area
195-20   served by the department and whose practice consists primarily of
195-21   criminal law;
195-22               (13)  a court administrator, if one serves the area
195-23   served by the department;
195-24               (14)  a representative of a community service
 196-1   organization that provides adult treatment, educational, or
 196-2   vocational services to the area served by the department; [and]
 196-3               (15)  a representative of an organization in the area
 196-4   served by the department that is actively involved in issues
 196-5   relating to defendants' rights, chosen by the county commissioners
 196-6   and county judges of the counties served by the department; and
 196-7               (16)  an advocate for rights of victims of crime and
 196-8   awareness of issues affecting victims.
 196-9         (b)  Chapter 185, Acts of the 74th Legislature, Regular
196-10   Session, 1995, is repealed.
196-11         SECTION 9.04.  (a) Section 76.013, Government Code, is
196-12   amended to conform to Section 3.014, Chapter 321, Acts of the 74th
196-13   Legislature, Regular Session, 1995, to read as follows:
196-14         Sec. 76.013. RESTITUTION.        (a)  If a judge requires a
196-15   defendant to make restitution to a victim of the defendant's
196-16   offense, and a payment is received by a department from the
196-17   defendant for transmittal to a victim of the offense, the
196-18   department that receives the payment for disbursement to the victim
196-19   shall immediately deposit the payment in an interest-bearing
196-20   account in the county treasury as required by Section 140.003(f),
196-21   Local Government Code [department having original jurisdiction].
196-22   The department shall transmit the payment to the victim as soon as
196-23   practicable.
196-24         (b)  If a victim cannot be located for receipt of [,
 197-1   immediately after receiving] a [final] payment in  satisfaction of
 197-2   an order of restitution [for the victim] the department shall
 197-3   attempt to notify the victim of that fact by certified  mail,
 197-4   mailed to the last known address of the victim.  If a victim then
 197-5   makes a claim for payment, the department promptly shall remit the
 197-6   payment to the victim.  A department is obligated to make a good
 197-7   faith effort to locate and notify a victim that an unclaimed
 197-8   payment exists.  The department satisfies the good faith
 197-9   requirement under this subsection by sending to the victim by
197-10   certified mail on any one occasion during the period the defendant
197-11   is required to make payments a notice that the victim is entitled
197-12   to an unclaimed payment.  Not earlier than the fifth anniversary of
197-13   the date on which the department mails notice under this
197-14   subsection, if the victim has not made a claim for payment, the
197-15   department shall transfer the payment from the interest-bearing
197-16   account to the comptroller, after deducting five percent of the
197-17   payment as a collection fee and deducting any interest accrued on
197-18   the payment.  The comptroller shall deposit the payment in the
197-19   state treasury to the credit of the compensation to victims of
197-20   crime auxiliary fund.
197-21         (c)  The collection fee under Subsection (b) and the accrued
197-22   interest under Subsections (a) and (b) shall be deposited in the
197-23   special fund of the county treasury provided by Section 509.011[,
197-24   Government Code,] to be used for the same purposes for which state
 198-1   aid may be used under that section.  The department has a maximum
 198-2   of 121 days after the five-year [four-year] expiration date to
 198-3   transfer the funds to the comptroller's office.  Failure to comply
 198-4   with the 121-day deadline will result in a five percent collection
 198-5   fee penalty calculated from the total deposit and all interest
 198-6   attributable to the unclaimed funds.
 198-7         (d)  If the victim of the offense claims the payment during
 198-8   the five-year [four-year] period in which the payment is held in
 198-9   the interest-bearing account, the department shall pay the victim
198-10   the amount of the original payment, less any interest earned while
198-11   holding the payment.  After the payment has been transferred to the
198-12   comptroller, the department has no liability in regard to the
198-13   payment, and any claim for the payment must be made to the
198-14   comptroller.  If the victim makes a claim to the comptroller, the
198-15   comptroller shall pay the victim the amount of the original
198-16   payment, less the collection fee, from the compensation to victims
198-17   of crime auxiliary fund.
198-18         (b)  Section 3.014, Chapter 321, Acts of the 74th
198-19   Legislature, Regular Session, 1995, is repealed.
198-20         SECTION 9.05.  (a) Sections 76.014(a) and (c), Government
198-21   Code, are amended to conform to Section 5, Chapter 611, Acts of the
198-22   74th Legislature, Regular Session, 1995, to read as follows:
198-23         (a)  A department, with the assistance of the Texas Workforce
198-24   Commission, the Council on Workforce and Economic Competitiveness,
 199-1   local workforce development boards  [public school districts,
 199-2   community and public junior colleges, public and private
 199-3   institutions of higher education], and other appropriate public and
 199-4   private entities, may establish a developmental program for a
 199-5   defendant under the supervision of the department on the basis of
 199-6   information obtained in the presentence investigation report
 199-7   prepared for the defendant.
 199-8         (c)  To decrease expenditures by departments for the
 199-9   educational and vocational skills assessment and enhancement
199-10   program established under this section, the Texas Department of
199-11   Commerce shall provide information to departments, the Texas
199-12   Workforce Commission, the Council on Workforce and Economic
199-13   Competitiveness, local workforce development boards [public school
199-14   districts, community and public junior colleges, public and private
199-15   institutions of higher education], and other appropriate public and
199-16   private entities for obtaining financial assistance through
199-17   programs under Chapter 301, Labor Code, and other applicable
199-18   programs of public or private entities.
199-19         (b)  Section 5, Chapter 611, Acts of the 74th Legislature,
199-20   Regular Session, 1995, is repealed.
199-21         SECTION 9.06.  Section 14, Article 42.131, Code of Criminal
199-22   Procedure, as renumbered by Section 17.01(3), Chapter 76, Acts of
199-23   the 74th Legislature, Regular Session, 1995, is repealed to conform
199-24   to the transfer of Article 42.131, Code of Criminal Procedure, to
 200-1   Chapter 76, Government Code.
 200-2         SECTION 9.07.  (a)  Chapter 76, Government Code, is amended
 200-3   to conform to Section 1, Chapter 217, Acts of the 74th Legislature,
 200-4   Regular Session, 1995, by adding Section 76.015 to read as follows:
 200-5         Sec. 76.015.  ADMINISTRATIVE FEE.  (a) A department may
 200-6   collect money from an individual as ordered by a court served by
 200-7   the department regardless of whether the individual is under the
 200-8   department's supervision.
 200-9         (b)  A department that collects money under this section
200-10   shall promptly transfer the money collected to the appropriate
200-11   county or state officer.
200-12         (c)  A department may assess a reasonable administrative fee
200-13   on an individual who participates in a department program or
200-14   receives department services and who is not paying a monthly fee
200-15   under Section 19, Article 42.12, Code of Criminal Procedure.
200-16         (d)  This section applies only to a county with a population
200-17   of 2.8 million or more.
200-18         (b)  Section 1, Chapter 217, Acts of the 74th Legislature,
200-19   Regular Session, 1995, is repealed.
200-20         SECTION 9.08.  (a) Chapter 76, Government Code, is amended to
200-21   conform to Section 1, Chapter 252, Acts of the 74th Legislature,
200-22   Regular Session, 1995, by adding Section 76.016 to read as follows:
200-23         Sec. 76.016.  VICTIM NOTIFICATION.  (a) A department, using
200-24   the name and address provided by the attorney representing the
 201-1   state under Article 56.08(d), Code of Criminal Procedure, shall
 201-2   make a reasonable effort to notify a victim of the defendant's
 201-3   crime or, if the victim has a guardian or is deceased, to notify
 201-4   the guardian of the victim or close relative of the deceased victim
 201-5   of:
 201-6               (1)  the fact that the defendant has been placed on
 201-7   community supervision;
 201-8               (2)  the conditions of community supervision imposed on
 201-9   the defendant by the court;  and
201-10               (3)  the date, time, and location of any hearing or
201-11   proceeding at which the conditions of the defendant's community
201-12   supervision may be modified or the defendant's placement on
201-13   community supervision may be revoked or terminated.
201-14         (b)  An attempt by the department to give notice to the
201-15   victim, the guardian of the victim, or a close relative of a
201-16   deceased victim at the victim's, the guardian of the victim's, or a
201-17   close relative of a deceased victim's last known telephone number
201-18   or address as shown on the records of the department constitutes a
201-19   reasonable attempt to give notice under this section.
201-20         (c)  In this section, "close relative of a deceased victim,"
201-21   "guardian of a victim," and "victim" have the meanings assigned by
201-22   Article 56.01, Code of Criminal Procedure.
201-23         (b)  Section 1, Chapter 252, Acts of the 74th Legislature,
201-24   Regular Session, 1995, is repealed.
 202-1         SECTION 9.09.  (a)  Chapter 76, Government Code, is amended
 202-2   to conform to Section 3.0151, Chapter 321, Acts of the 74th
 202-3   Legislature, Regular Session, 1995, by adding Section 76.017 to
 202-4   read as follows:
 202-5         Sec. 76.017.  TREATMENT ALTERNATIVE TO INCARCERATION PROGRAM.
 202-6   (a)  A department may establish a treatment alternative to
 202-7   incarceration program in each county served by the department
 202-8   according to standards adopted by the division.  A department may
 202-9   enter into an interlocal cooperation agreement with one or more
202-10   other departments in order to establish this program on a regional
202-11   basis.
202-12         (b)  The program must:
202-13               (1)  include automatic screening and assessment of a
202-14   person arrested for an offense, other than a Class C misdemeanor,
202-15   in which an element of the offense is the use or possession of
202-16   alcohol or the use, possession, or sale of a controlled substance
202-17   or marihuana;
202-18               (2)  include automatic screening and assessment of a
202-19   person arrested for an offense, other than a Class C misdemeanor,
202-20   in which the use of alcohol or drugs is suspected to have
202-21   significantly contributed to the offense for which the individual
202-22   has been arrested;
202-23               (3)  coordinate the screening, assessment, and referral
202-24   to treatment services;  and
 203-1               (4)  make referrals for the appropriate treatment of a
 203-2   person determined to be in need of treatment.
 203-3         (c)  A program administered under this section must use a
 203-4   screening and assessment procedure developed or approved by the
 203-5   division.
 203-6         (d)  After a person is screened and assessed, a
 203-7   representative of the department shall meet with the participating
 203-8   criminal justice and treatment agencies to review the person's case
 203-9   and  to determine if the person should be referred for treatment.
203-10   If a person is considered appropriate for referral, the person may
203-11   be referred to community-based treatment in accordance with
203-12   applicable law or any other treatment program deemed appropriate.
203-13   A magistrate may order a person to participate in a treatment
203-14   program recommended under this section as a condition of bond or
203-15   condition of pretrial release.
203-16         (e)  A department may contract for the provision of treatment
203-17   services.  The department may pay for services only if other
203-18   adequate public or private sources of payment are not available.  A
203-19   person is responsible for the payment of any treatment program
203-20   recommended under this section if it is determined that a person
203-21   referred for treatment is able to pay for the costs of treatment or
203-22   if the person has insurance that will pay for the treatment.  If a
203-23   person is able to pay for treatment or if the person has insurance
203-24   that will pay for the treatment, the payment may be made a
 204-1   condition for receiving treatment.
 204-2         (f)  An employee of a department or treatment provider either
 204-3   administering this program or providing services under this section
 204-4   may exchange or otherwise disclose information regarding the
 204-5   assessment, evaluation, or treatment of a person participating in
 204-6   this program to:
 204-7               (1)  another employee of the department;
 204-8               (2)  an officer in the court that has jurisdiction over
 204-9   the person's case;
204-10               (3)  a county sheriff or jail administrator;
204-11               (4)  an employee of the Texas Department of Criminal
204-12   Justice; or
204-13               (5)  any employee in a facility, institution, or
204-14   halfway house in which a person may be confined in accordance with
204-15   a disposition of the criminal charges in the case.
204-16         (b)  Section 3.0151, Chapter 321, Acts of the 74th
204-17   Legislature, Regular Session, 1995, is repealed.
204-18             ARTICLE 10.  CHANGES RELATING TO PROVISIONS FOR
204-19          THE LICENSING OF PERSONS TO CARRY A CONCEALED HANDGUN
204-20         SECTION 10.01.  (a)  Chapter 411, Government Code, is amended
204-21   to codify Article 4413(29ee), Revised Statutes, by adding
204-22   Subchapter H to read as follows:
204-23           SUBCHAPTER H.  LICENSE TO CARRY A CONCEALED HANDGUN
204-24         Sec. 411.171.  DEFINITIONS.  In this subchapter:
 205-1               (1)  "Action" means single action, revolver, or
 205-2   semi-automatic action.
 205-3               (2)  "Chemically dependent person" means a person who
 205-4   frequently or repeatedly becomes intoxicated by excessive
 205-5   indulgence in alcohol or uses controlled substances or dangerous
 205-6   drugs so as to acquire a fixed habit and an involuntary tendency to
 205-7   become intoxicated or use those substances as often as the
 205-8   opportunity is presented.
 205-9               (3)  "Concealed handgun" means a handgun, the presence
205-10   of which is not openly discernible to the ordinary observation of a
205-11   reasonable person.
205-12               (4)  "Convicted" means an adjudication of guilt or an
205-13   order of deferred adjudication entered against a person by a court
205-14   of competent jurisdiction whether or not:
205-15                     (A)  the imposition of the sentence is
205-16   subsequently probated and the person is discharged from community
205-17   supervision; or
205-18                     (B)  the person is pardoned for the offense,
205-19   unless the pardon is expressly granted for subsequent proof of
205-20   innocence.
205-21               (5)  "Handgun" has the meaning assigned by Section
205-22   46.01, Penal Code.
205-23               (6)  "Intoxicated" has the meaning assigned by Section
205-24   49.01, Penal Code.
 206-1               (7)  "Qualified handgun instructor" means a person who
 206-2   is certified to instruct in the use of handguns by the department.
 206-3               (8)  "Unsound mind" means the mental condition of a
 206-4   person who:
 206-5                     (A)  has been adjudicated mentally incompetent,
 206-6   mentally ill, or not guilty of a criminal offense by reason of
 206-7   insanity;
 206-8                     (B)  has been diagnosed by a licensed physician
 206-9   as being characterized by a mental disorder or infirmity that
206-10   renders the person incapable of managing the person's self or the
206-11   person's affairs, unless the person furnishes a certificate from a
206-12   licensed physician stating that the person is no longer disabled or
206-13   under any medication for the treatment of a mental or psychiatric
206-14   disorder; or
206-15                     (C)  has been diagnosed by a licensed physician
206-16   as suffering from depression, manic depression, or post-traumatic
206-17   stress syndrome, unless the person furnishes a certificate from a
206-18   licensed physician stating that the person is no longer disabled or
206-19   under any medication for the treatment of a mental or psychiatric
206-20   disorder.
206-21         Sec. 411.172.  ELIGIBILITY.  (a)  A person is eligible for a
206-22   license to carry a concealed handgun if the person:
206-23               (1)  is a legal resident of this state for the
206-24   six-month period preceding the date of application under this
 207-1   subchapter;
 207-2               (2)  is at least 21 years of age;
 207-3               (3)  has not been convicted of a felony;
 207-4               (4)  is not charged with the commission of a Class A or
 207-5   Class B misdemeanor or an offense under Section 42.01, Penal Code,
 207-6   or of a felony under an information or indictment;
 207-7               (5)  is not a fugitive from justice for a felony or a
 207-8   Class A or Class B misdemeanor;
 207-9               (6)  is not a chemically dependent person;
207-10               (7)  is not a person of unsound mind;
207-11               (8)  has not, in the five years preceding the date of
207-12   application, been convicted of a Class A or Class B misdemeanor or
207-13   an offense under Section 42.01, Penal Code;
207-14               (9)  is fully qualified under applicable federal and
207-15   state law to purchase a handgun;
207-16               (10)  has not been finally determined to be delinquent
207-17   in making a child support payment administered or collected by the
207-18   attorney general;
207-19               (11)  has not been finally determined to be delinquent
207-20   in the payment of a tax or other money collected by the
207-21   comptroller, the tax collector of a political subdivision of the
207-22   state, or any agency or subdivision of the state;
207-23               (12)  has not been finally determined to be in default
207-24   on a loan made under Chapter 57, Education Code;
 208-1               (13)  is not currently restricted under a court
 208-2   protective order or subject to a restraining order affecting the
 208-3   spousal relationship, other than a restraining order solely
 208-4   affecting property interests;
 208-5               (14)  has not, in the 10 years preceding the date of
 208-6   application, been adjudicated as having engaged in delinquent
 208-7   conduct violating a penal law of the grade of felony; and
 208-8               (15)  has not made any material misrepresentation, or
 208-9   failed to disclose any material fact, in an application submitted
208-10   pursuant to Section 411.174 or in a request for application
208-11   submitted pursuant to Section 411.175.
208-12         (b)  For the purposes of this section, an offense under the
208-13   laws of this state, another state, or the United States is:
208-14               (1)  a felony if the offense is so designated by law or
208-15   if confinement for one year or more in a penitentiary is affixed to
208-16   the offense as a possible punishment; and
208-17               (2)  a Class A misdemeanor if the offense is not a
208-18   felony and confinement in a jail other than a state jail felony
208-19   facility is affixed as a possible punishment.
208-20         (c)  An individual who has been convicted two times within
208-21   the 10-year period preceding the date on which the person applies
208-22   for a license of an offense of the grade of Class B misdemeanor or
208-23   greater that involves the use of alcohol or a controlled substance
208-24   as a statutory element of the offense is a chemically dependent
 209-1   person for purposes of this section and is not qualified to receive
 209-2   a license under this subchapter.  This subsection does not preclude
 209-3   the disqualification of an individual for being a chemically
 209-4   dependent person if other evidence exists to show that the person
 209-5   is a chemically dependent person.
 209-6         Sec. 411.173.  RECIPROCAL LICENSE.  On application by a
 209-7   person who has a valid license to carry a concealed handgun issued
 209-8   by another state, the department may issue to the person a license
 209-9   under this subchapter without requiring that the person meet
209-10   eligibility requirements or pay fees otherwise imposed under this
209-11   subchapter, but only if the department determines that:
209-12               (1)  the eligibility requirements imposed by the other
209-13   state are at least as rigorous as the requirements imposed by this
209-14   subchapter; and
209-15               (2)  the other state provides reciprocal licensing
209-16   privileges to a person who holds a license issued under this
209-17   subchapter and applies for a license in the other state.
209-18         Sec. 411.174.  APPLICATION.  (a)  An applicant for a license
209-19   to carry a concealed handgun must submit to the director's designee
209-20   described by Section 411.176:
209-21               (1)  a completed application on a form provided by the
209-22   department that requires only the information listed in Subsection
209-23   (b);
209-24               (2)  two recent color passport photographs of the
 210-1   applicant;
 210-2               (3)  a certified copy of the applicant's birth
 210-3   certificate or certified proof of age;
 210-4               (4)  proof of residency in this state;
 210-5               (5)  two complete sets of legible and classifiable
 210-6   fingerprints of the applicant taken by a person employed by a law
 210-7   enforcement agency who is appropriately trained in recording
 210-8   fingerprints;
 210-9               (6)  a nonrefundable application and license fee of
210-10   $140 paid to the department;
210-11               (7)  a handgun proficiency certificate described by
210-12   Section 411.189;
210-13               (8)  an affidavit signed by the applicant stating that
210-14   the applicant:
210-15                     (A)  has read and understands each provision of
210-16   this subchapter that creates an offense under the laws of this
210-17   state and each provision of the laws of this state related to use
210-18   of deadly force; and
210-19                     (B)  fulfills all the eligibility requirements
210-20   listed under Section 411.172; and
210-21               (9)  a form executed by the applicant that authorizes
210-22   the director to make an inquiry into any noncriminal history
210-23   records that are necessary to determine the applicant's eligibility
210-24   for a license under Section 411.172(a).
 211-1         (b)  An applicant must provide on the application a statement
 211-2   of the applicant's:
 211-3               (1)  full name and place and date of birth;
 211-4               (2)  race and sex;
 211-5               (3)  residence and business addresses for the preceding
 211-6   five years;
 211-7               (4)  hair and eye color;
 211-8               (5)  height and weight;
 211-9               (6)  driver's license number or identification
211-10   certificate number issued by the department;
211-11               (7)  criminal history record information of the type
211-12   maintained by the department under this chapter, including a list
211-13   of offenses for which the applicant was arrested, charged, or under
211-14   an information or indictment and the disposition of the offenses;
211-15   and
211-16               (8)  history during the preceding five years, if any,
211-17   of treatment received by, commitment to, or residence in:
211-18                     (A)  a drug or alcohol treatment center licensed
211-19   to provide drug or alcohol treatment under the laws of this state
211-20   or another state; or
211-21                     (B)  a psychiatric hospital.
211-22         (c)  The department shall distribute on request a copy of
211-23   this subchapter and application materials.
211-24         Sec. 411.175.  REQUEST FOR APPLICATION MATERIALS.  (a)  A
 212-1   person applying for a license to carry a concealed handgun must
 212-2   apply by obtaining a request for application materials from a
 212-3   handgun dealer, the department, or any other person or entity
 212-4   approved by the department.  The request for application materials
 212-5   must include the applicant's full name, address, race, sex, height,
 212-6   date of birth, and driver's license number and such other
 212-7   identifying information as required by department rule.  The
 212-8   department shall prescribe the form of the request and make the
 212-9   form available to interested parties.  An individual who desires to
212-10   receive application materials must complete the request for
212-11   application materials and forward it to the department at its
212-12   Austin address.  The department shall review all requests for
212-13   application materials and make a preliminary determination as to
212-14   whether or not the individual is qualified to receive a handgun
212-15   license.  If an individual is not disqualified to receive a handgun
212-16   license, the department shall forward to the individual the
212-17   appropriate application materials.  The applicant must complete the
212-18   application materials and forward the completed materials to the
212-19   department at its Austin address.
212-20         (b)  If a preliminary review indicates that an individual
212-21   will not be qualified to receive a handgun license, the department
212-22   shall send written notification to that individual.  The notice
212-23   shall provide the reason that the preliminary review indicates that
212-24   the individual is not entitled to receive a handgun license.  The
 213-1   department shall give the individual an opportunity to correct
 213-2   whatever defect may exist.
 213-3         Sec. 411.176.  REVIEW OF APPLICATION MATERIALS.  (a)  On
 213-4   receipt of the application materials by the department at its
 213-5   Austin headquarters, the department shall conduct the appropriate
 213-6   criminal history record check of the applicant through its
 213-7   computerized criminal history system.  Not later than the 30th day
 213-8   after the date the department receives the application materials,
 213-9   the department shall forward the materials to the director's
213-10   designee in the geographical area of the applicant's residence so
213-11   that the designee may conduct the investigation described by
213-12   Subsection (b).
213-13         (b)  The director's designee as needed shall conduct an
213-14   additional criminal history record check of the applicant and an
213-15   investigation of the applicant's local official records to verify
213-16   the accuracy of the application materials.  The scope of the record
213-17   check and the investigation are at the sole discretion of the
213-18   department.  The department shall send a fingerprint card to the
213-19   Federal Bureau of Investigation for a national criminal history
213-20   check of the applicant.  On completion of the investigation, the
213-21   director's designee shall return all materials and the result of
213-22   the investigation to the appropriate division of the department at
213-23   its Austin headquarters.  The director's designee may submit to the
213-24   appropriate division of the department, at the department's Austin
 214-1   headquarters, along with the application materials a written
 214-2   recommendation for disapproval of the application, accompanied by
 214-3   an affidavit stating personal knowledge or naming persons with
 214-4   personal knowledge of a ground for denial under Section 411.172.
 214-5   The director's designee in the appropriate geographical area may
 214-6   also submit the application and the recommendation that the license
 214-7   be issued.
 214-8         Sec. 411.177.  ISSUANCE OR DENIAL OF LICENSE.  (a)  The
 214-9   department shall issue a license to carry a concealed handgun to an
214-10   applicant if the applicant meets all the eligibility requirements
214-11   and submits all the application materials.  The department may
214-12   issue a license to carry handguns only of the categories indicated
214-13   on the applicant's certificate of proficiency issued under Section
214-14   411.189.   The department shall administer the licensing procedures
214-15   in good faith so that any applicant who meets all the eligibility
214-16   requirements and submits all the application materials shall
214-17   receive a license.  The department may not deny an application on
214-18   the basis of a capricious or arbitrary decision by the department.
214-19         (b)  The department, not later than the 60th day after the
214-20   date of the receipt by the director's designee of the completed
214-21   application materials, shall:
214-22               (1)  issue the license; or
214-23               (2)  notify the applicant in writing that the
214-24   application was denied:
 215-1                     (A)  on the grounds that the applicant failed to
 215-2   qualify under the criteria listed in Section 411.172;
 215-3                     (B)  based on the affidavit of the director's
 215-4   designee submitted to the department under Section 411.176(b); or
 215-5                     (C)  based on the affidavit of the qualified
 215-6   handgun instructor submitted to the department under Section
 215-7   411.189(c).
 215-8         (c)  Failure of the department to issue or deny a license for
 215-9   a period of more than 30 days after the department is required to
215-10   act under Subsection (b) constitutes denial.
215-11         (d)  A license issued under this subchapter is effective from
215-12   the date of issuance.
215-13         Sec. 411.178.  NOTICE TO LOCAL LAW ENFORCEMENT.  If the
215-14   department issues a license, the department shall notify the
215-15   sheriff of the county in which the license holder resides that a
215-16   license has been issued to the license holder.  On request of a
215-17   local law enforcement agency, the department shall notify the
215-18   agency of the licenses that have been issued to license holders who
215-19   reside in the county in which the agency is located.
215-20         Sec. 411.179.  FORM OF LICENSE.  (a)  The department by rule
215-21   shall adopt the form of the license.  A license must include:
215-22               (1)  a number assigned to the license holder by the
215-23   department;
215-24               (2)  a statement of the period for which the license is
 216-1   effective;
 216-2               (3)  a statement of the category or categories of
 216-3   handguns the license holder may carry as provided by Subsection
 216-4   (b);
 216-5               (4)  a color photograph of the license holder; and
 216-6               (5)  the license holder's full name, date of birth,
 216-7   residence address, hair and eye color, height, weight, signature,
 216-8   and the number of a driver's license or an identification
 216-9   certificate issued to the license holder by the department.
216-10         (b)  A category of handguns contains handguns that are not
216-11   prohibited by law and are of certain actions.  The categories of
216-12   handguns are:
216-13               (1)  SA:  any handguns, whether semi-automatic or not;
216-14   and
216-15               (2)  NSA:  handguns that are not semi-automatic.
216-16         Sec. 411.180.  NOTIFICATION OF DENIAL, REVOCATION, OR
216-17   SUSPENSION OF LICENSE; REVIEW.  (a)  The department shall give
216-18   written notice to each applicant for a handgun license of any
216-19   denial, revocation, or suspension of that license.  Not later than
216-20   the 30th day after the notice is received by the applicant,
216-21   according to the records of the department, the applicant or
216-22   license holder may request a hearing on the denial, revocation, or
216-23   suspension.  The applicant must make a written request for a
216-24   hearing addressed to the department at its Austin address.  The
 217-1   request for hearing must reach the department in Austin prior to
 217-2   the 30th day after the date of receipt of the written notice.  On
 217-3   receipt of a request for hearing from a license holder or
 217-4   applicant, the department shall promptly schedule a hearing in the
 217-5   appropriate justice court in the county of residence of the
 217-6   applicant or license holder.  The justice court shall conduct a
 217-7   hearing to review the denial, revocation, or suspension of the
 217-8   license.  In a proceeding under this section, a justice of the
 217-9   peace shall act as an administrative hearing officer.  A hearing
217-10   under this section is not subject to Chapter 2001 (Administrative
217-11   Procedure Act).  A district attorney or county attorney, the
217-12   attorney general, or a designated member of the department may
217-13   represent the department.
217-14         (b)  The department, on receipt of a request for hearing,
217-15   shall file the appropriate petition in the justice court selected
217-16   for the hearing and send a copy of that petition to the applicant
217-17   or license holder at the address contained in departmental records.
217-18   A hearing under this section must be scheduled within 30 days of
217-19   receipt of the request for a hearing.  The hearing shall be held
217-20   expeditiously but in no event more than 60 days after the date that
217-21   the applicant or license holder requested the hearing.  The date of
217-22   the hearing may be reset on the motion of either party, by
217-23   agreement of the parties, or by the court as necessary to
217-24   accommodate the court's docket.
 218-1         (c)  The justice court shall determine if the denial,
 218-2   revocation, or suspension is supported by a preponderance of the
 218-3   evidence.  Both the applicant or license holder and the department
 218-4   may present evidence.  The court shall affirm the denial,
 218-5   revocation, or suspension if the court determines that denial,
 218-6   revocation, or suspension is supported by a preponderance of the
 218-7   evidence.  If the court determines that the denial, revocation, or
 218-8   suspension is not supported by a preponderance of the evidence, the
 218-9   court shall order the department to immediately issue or return the
218-10   license to the applicant or license holder.
218-11         (d)  A proceeding under this section is subject to Chapter
218-12   105, Civil Practice and Remedies Code, relating to fees, expenses,
218-13   and attorney's fees.
218-14         (e)  A party adversely affected by the court's ruling
218-15   following a hearing under this section may appeal the ruling by
218-16   filing within 30 days after the ruling a petition in a county court
218-17   at law in the county in which the applicant or license holder
218-18   resides or, if there is no county court at law in the county, in
218-19   the county court of the county.  A person who appeals under this
218-20   section must send by certified mail a copy of the person's
218-21   petition, certified by the clerk of the court in which the petition
218-22   is filed, to the appropriate division of the department at its
218-23   Austin headquarters.  The trial on appeal shall be a trial de novo
218-24   without a jury.  A district or county attorney or the attorney
 219-1   general may represent the department.
 219-2         (f)  A suspension of a license may not be probated.
 219-3         (g)  If an applicant or a license holder does not petition
 219-4   the justice court, a denial becomes final and a revocation or
 219-5   suspension takes effect on the 30th day after receipt of written
 219-6   notice.
 219-7         (h)  The department may use and introduce into evidence
 219-8   certified copies of governmental records to establish the existence
 219-9   of certain events that could result in the denial, revocation, or
219-10   suspension of a license under this subchapter, including  records
219-11   regarding convictions, judicial findings regarding mental
219-12   competency, judicial findings regarding chemical dependency, or
219-13   other matters that may be established by governmental records that
219-14   have been properly authenticated.
219-15         Sec. 411.181.  NOTICE OF CHANGE OF ADDRESS OR NAME.  (a)  If
219-16   a person who is a current license holder moves from the address
219-17   stated on the license or if the name of the person is changed by
219-18   marriage or otherwise, the person shall, not later than the 30th
219-19   day after the date of the address or name change, notify the
219-20   department and provide the department with the number of the
219-21   person's license and the person's:
219-22               (1)  former and new addresses; or
219-23               (2)  former and new names.
219-24         (b)  If the name of the license holder is changed by marriage
 220-1   or otherwise, the person shall apply for a duplicate license.
 220-2         (c)  If a license holder moves from the address stated on the
 220-3   license, the person shall apply for a duplicate license.
 220-4         (d)  The department shall charge a license holder a fee of
 220-5   $25 for a duplicate license.
 220-6         (e)  The department shall make the forms available on
 220-7   request.
 220-8         (f)  The department shall notify the sheriff of the county in
 220-9   which a license holder resides of a change made under Subsection
220-10   (a) by the license holder.  On request of a local law enforcement
220-11   agency, the department shall notify the agency of changes made
220-12   under Subsection (a) by license holders who reside in the county in
220-13   which the agency is located.
220-14         (g)  If a license is lost, stolen, or destroyed, the license
220-15   holder shall apply for a duplicate license not later than the 30th
220-16   day after the date of the loss, theft, or destruction of the
220-17   license.
220-18         (h)  If a license holder is required under this section to
220-19   apply for a duplicate license and the license expires not later
220-20   than the 60th day after the date of the loss, theft, or destruction
220-21   of the license, the applicant may renew the license with the
220-22   modified information included on the new license.  The applicant
220-23   must pay only the nonrefundable renewal fee.
220-24         Sec. 411.182.  NOTICE.  (a)  For the purpose of a notice
 221-1   required by this subchapter, the department may assume that the
 221-2   address currently reported to the department by the applicant or
 221-3   license holder is the correct address.
 221-4         (b)  A written notice meets the requirements under this
 221-5   subchapter if the notice is sent by certified mail to the current
 221-6   address reported by the applicant or license holder to the
 221-7   department.
 221-8         (c)  If a notice is returned to the department because the
 221-9   notice is not deliverable, the department may give notice by
221-10   publication once in a newspaper of general interest in the county
221-11   of the applicant's or license holder's last reported address.  On
221-12   the 31st day after the date the notice is published, the department
221-13   may take the action proposed in the notice.
221-14         Sec. 411.183.  EXPIRATION.  (a)  A license issued under this
221-15   subchapter expires on the first birthday of the license holder
221-16   occurring after the fourth anniversary of the date of issuance.
221-17         (b)  A renewed license expires on the license holder's
221-18   birthdate, four years after the date of the expiration of the
221-19   previous license.
221-20         (c)  A duplicate license expires on the date the license that
221-21   was duplicated would have expired.
221-22         (d)  A modified license expires on the date the license that
221-23   was modified would have expired.
221-24         (e)  Notwithstanding Subsection (a), the department by rule
 222-1   may adopt a system to implement staggered and evenly distributed
 222-2   license expiration dates over the four-year period beginning
 222-3   January 1, 1996.  The department may not issue a license that is
 222-4   effective for less than two years.  A license that is effective for
 222-5   less than four years and is renewed expires as provided by
 222-6   Subsection (b).  Notwithstanding Section 411.174(a)(6), the
 222-7   department by rule shall prorate the nonrefundable application and
 222-8   license fee for applicants who receive licenses that are effective
 222-9   for less than four years under this subsection.  This subsection
222-10   expires January 1, 2005.
222-11         Sec. 411.184.  MODIFICATION.  (a)  To modify a license to
222-12   allow a license holder to carry a handgun of a different category
222-13   than the license indicates, the license holder must:
222-14               (1)  complete a proficiency examination as provided by
222-15   Section 411.188(e);
222-16               (2)  obtain a handgun proficiency certificate under
222-17   Section 411.189 not more than six months before the date of
222-18   application for a modified license; and
222-19               (3)  submit to the department:
222-20                     (A)  an application for a modified license on a
222-21   form provided by the department;
222-22                     (B)  a copy of the handgun proficiency
222-23   certificate;
222-24                     (C)  payment of a modified license fee of $25;
 223-1   and
 223-2                     (D)  two recent color passport photographs of the
 223-3   license holder.
 223-4         (b)  The director by rule shall adopt a modified license
 223-5   application form requiring an update of the information on the
 223-6   original completed application.
 223-7         (c)  The department may modify the license of a license
 223-8   holder who meets all the eligibility requirements and submits all
 223-9   the modification materials.  Not later than the 45th day after
223-10   receipt of the modification materials, the department shall issue
223-11   the modified license or notify the license holder in writing that
223-12   the modified license application was denied.
223-13         (d)  On receipt of a modified license, the license holder
223-14   shall return the previously issued license to the department.
223-15         Sec. 411.185.  RENEWAL.  (a)  To renew a license, a license
223-16   holder must:
223-17               (1)  complete a continuing education course in handgun
223-18   proficiency under Section 411.188(c) not more than six months
223-19   before the date of application for renewal;
223-20               (2)  obtain a handgun proficiency certificate under
223-21   Section 411.189 not more than six months before the date of
223-22   application for renewal; and
223-23               (3)  submit to the department:
223-24                     (A)  an application for renewal on a form
 224-1   provided by the department;
 224-2                     (B)  a copy of the handgun proficiency
 224-3   certificate;
 224-4                     (C)  payment of a nonrefundable renewal fee as
 224-5   set by the department; and
 224-6                     (D)  two recent color passport photographs of the
 224-7   applicant.
 224-8         (b)  The director by rule shall adopt a renewal application
 224-9   form requiring an update of the information on the original
224-10   completed application.  The director by rule shall set the renewal
224-11   fee in an amount that is sufficient to cover the actual cost to the
224-12   department to renew a license.  Not later than the 60th day before
224-13   the expiration date of the license, the department shall mail to
224-14   each license holder a written notice of the expiration of the
224-15   license and a renewal form.
224-16         (c)  The department shall renew the license of a license
224-17   holder who meets all the eligibility requirements and submits all
224-18   the renewal materials.  Not later than the 45th day after receipt
224-19   of the renewal materials, the department shall issue the renewal or
224-20   notify the license holder in writing that the renewal application
224-21   was denied.
224-22         (d)  The director by rule shall adopt a procedure by which a
224-23   license holder who satisfies the eligibility criteria may renew a
224-24   license by mail.  The materials for renewal by mail must include a
 225-1   form to be signed and returned to the department by the applicant
 225-2   that describes state law regarding:
 225-3               (1)  the use of deadly force; and
 225-4               (2)  the places where it is unlawful for the holder of
 225-5   a license issued under this subchapter to carry a concealed
 225-6   handgun.
 225-7         Sec. 411.186.  REVOCATION.  (a)  A license may be revoked
 225-8   under this section if the license holder:
 225-9               (1)  was not entitled to the license at the time it was
225-10   issued;
225-11               (2)  gave false information on the application;
225-12               (3)  subsequently becomes ineligible for a license
225-13   under Section 411.172; or
225-14               (4)  is convicted of an offense under Section 46.035,
225-15   Penal Code.
225-16         (b)  If a peace officer believes a reason listed in
225-17   Subsection (a) to revoke a license exists, the officer shall
225-18   prepare an affidavit on a form provided by the department stating
225-19   the reason for the revocation of the license and giving the
225-20   department all of the information available to the officer at the
225-21   time of the preparation of the form.  The officer shall attach the
225-22   officer's reports relating to the license holder to the form and
225-23   send the form and attachments to the appropriate division of the
225-24   department at its Austin headquarters not later than the fifth
 226-1   working day after the date the form is prepared.  The officer shall
 226-2   send a copy of the form and the attachments to the license holder.
 226-3   If the license holder has not surrendered the license or the
 226-4   license was not seized as evidence, the license holder shall
 226-5   surrender the license to the appropriate division of the department
 226-6   not later than the 10th day after the date the license holder
 226-7   receives the notice of revocation from the department, unless the
 226-8   license holder requests a hearing from the department.  The license
 226-9   holder may request that the justice court in the justice court
226-10   precinct in which the license holder resides review the revocation
226-11   as provided by Section 411.180.  If a request is made for the
226-12   justice court to review the revocation and hold a hearing, the
226-13   license holder shall surrender the license on the date an order of
226-14   revocation is entered by the justice court.
226-15         (c)  A license holder whose license is revoked for a reason
226-16   listed in this section may reapply as a new applicant for the
226-17   issuance of a license under this subchapter after the second
226-18   anniversary of the date of the revocation if the cause for
226-19   revocation does not exist on the date of the second anniversary.
226-20   If the cause for revocation exists on the date of the second
226-21   anniversary after the date of revocation, the license holder may
226-22   not apply for a new license until the cause for revocation no
226-23   longer exists and has not existed for a period of two years.
226-24         Sec. 411.187.  SUSPENSION OF LICENSE.  (a)  A license may be
 227-1   suspended under this section if the license holder:
 227-2               (1)  is convicted of disorderly conduct punishable as a
 227-3   Class C misdemeanor under Section 42.01, Penal Code;
 227-4               (2)  fails to display a license as required by Section
 227-5   411.205;
 227-6               (3)  fails to notify the department of a change of
 227-7   address or name as required by Section 411.181;
 227-8               (4)  carries a concealed handgun under the authority of
 227-9   this subchapter of a different category than the license holder is
227-10   licensed to carry;
227-11               (5)  has been charged by indictment with the commission
227-12   of an offense that would make the license holder ineligible for a
227-13   license on conviction; or
227-14               (6)  fails to return a previously issued license after
227-15   a license is modified as required by Section 411.184(d).
227-16         (b)  If a peace officer believes a reason listed in
227-17   Subsection (a) to suspend a license exists, the officer shall
227-18   prepare an affidavit on a form provided by the department stating
227-19   the reason for the suspension of the license and giving the
227-20   department all of the information available to the officer at the
227-21   time of the preparation of the form.  The officer shall attach the
227-22   officer's reports relating to the license holder to the form and
227-23   send the form and the attachments to the appropriate division of
227-24   the department at its Austin headquarters not later than the fifth
 228-1   working day after the date the form is prepared.  The officer shall
 228-2   send a copy of the form and the attachments to the license holder.
 228-3   If the license holder has not surrendered the license or the
 228-4   license was not seized as evidence, the license holder shall
 228-5   surrender the license to the appropriate division of the department
 228-6   not later than the 10th day after the date the license holder
 228-7   receives the notice of suspension from the department unless the
 228-8   license holder requests a hearing from the department.  The license
 228-9   holder may request that the justice court in the justice court
228-10   precinct in which the license holder resides review the suspension
228-11   as provided by Section 411.180.  If a request is made for the
228-12   justice court to review the suspension and hold a hearing, the
228-13   license holder shall surrender the license on the date an order of
228-14   suspension is entered by the justice court.
228-15         (c)  A license may be suspended under this section for not
228-16   less than one year and not more than three years.
228-17         Sec. 411.188.  HANDGUN PROFICIENCY REQUIREMENT.  (a)  The
228-18   director by rule shall establish minimum standards for handgun
228-19   proficiency and shall develop a course to teach handgun proficiency
228-20   and examinations to measure handgun proficiency.  The course to
228-21   teach handgun proficiency must contain training sessions divided
228-22   into two parts.  One part of the course must be classroom
228-23   instruction and the other part must be range instruction and an
228-24   actual demonstration by the applicant of the applicant's ability to
 229-1   safely and proficiently use the category of handgun for which the
 229-2   applicant seeks certification.  An applicant may not be certified
 229-3   unless the applicant demonstrates, at a minimum, the degree of
 229-4   proficiency that is required to effectively operate a 9-millimeter
 229-5   or .38-caliber handgun.  The department shall distribute the
 229-6   standards, course requirements, and examinations on request to any
 229-7   qualified handgun instructor.
 229-8         (b)  Only a qualified handgun instructor may administer a
 229-9   handgun proficiency course.  The handgun proficiency course must
229-10   include at least 10 hours and not more than 15 hours of instruction
229-11   on:
229-12               (1)  the laws that relate to weapons and to the use of
229-13   deadly force;
229-14               (2)  handgun use, proficiency, and safety;
229-15               (3)  nonviolent dispute resolution; and
229-16               (4)  proper storage practices for handguns with an
229-17   emphasis on storage practices that eliminate the possibility of
229-18   accidental injury to a child.
229-19         (c)  The department by rule shall develop a continuing
229-20   education course in handgun proficiency for a license holder who
229-21   wishes to renew a license.  Only a qualified handgun instructor may
229-22   administer the continuing education course.   The course must
229-23   include:
229-24               (1)  at least four hours of instruction on one or more
 230-1   of the subjects listed in Subsection (b); and
 230-2               (2)  other information the director determines is
 230-3   appropriate.
 230-4         (d)  Only a qualified handgun instructor may administer the
 230-5   proficiency examination to obtain or to renew a license.  The
 230-6   proficiency examination must include:
 230-7               (1)  a written section on the subjects listed in
 230-8   Subsection (b); and
 230-9               (2)  a physical demonstration of proficiency in the use
230-10   of one or more handguns of specific categories and in handgun
230-11   safety procedures.
230-12         (e)  Only a qualified handgun instructor may administer the
230-13   proficiency examination to modify a license.  The proficiency
230-14   examination must include a physical demonstration of the
230-15   proficiency in the use of one or more handguns of specific
230-16   categories and in handgun safety procedures.
230-17         (f)  The department shall develop and distribute directions
230-18   and materials for course instruction, test administration, and
230-19   recordkeeping.  All test results shall be sent to the department,
230-20   and the department shall maintain a record of the results.
230-21         (g)  A person who wishes to obtain or renew a license to
230-22   carry a concealed handgun must apply in person to a qualified
230-23   handgun instructor to take the appropriate course in handgun
230-24   proficiency, demonstrate handgun proficiency, and obtain a handgun
 231-1   proficiency certificate as described by Section 411.189.
 231-2         (h)  A license holder who wishes to modify a license to allow
 231-3   the license holder to carry a handgun of a different category than
 231-4   the license indicates must apply in person to a qualified handgun
 231-5   instructor to demonstrate the required knowledge and proficiency to
 231-6   obtain a handgun proficiency certificate in that category as
 231-7   described by Section 411.189.
 231-8         (i)  A certified firearms instructor of the department may
 231-9   monitor any class or training presented by a qualified handgun
231-10   instructor.  A qualified handgun instructor shall cooperate with
231-11   the department in the department's efforts to monitor the
231-12   presentation of training by the qualified handgun instructor.  A
231-13   qualified handgun instructor shall make available for inspection to
231-14   the department any and all records maintained by a qualified
231-15   handgun instructor under this subchapter.  The qualified handgun
231-16   instructor shall keep a record of all certificates of handgun
231-17   proficiency issued by the qualified handgun instructor and other
231-18   information required by department rule.
231-19         Sec. 411.189.  HANDGUN PROFICIENCY CERTIFICATE.  (a)  The
231-20   department shall develop a sequentially numbered handgun
231-21   proficiency certificate and distribute the certificate to qualified
231-22   handgun instructors who administer the handgun proficiency
231-23   examination described in Section 411.188.  The department by rule
231-24   may set a fee not to exceed $5 to cover the cost of the
 232-1   certificates.
 232-2         (b)  If a person successfully completes the proficiency
 232-3   requirements as described in Section 411.188, the instructor shall
 232-4   endorse a certificate of handgun proficiency provided by the
 232-5   department.  An applicant must successfully complete both classroom
 232-6   and range instruction to receive a certificate.  The certificate
 232-7   must indicate the category of any handgun for which the applicant
 232-8   demonstrated proficiency during the examination.
 232-9         (c)  A qualified handgun instructor may submit to the
232-10   department a written recommendation for disapproval of the
232-11   application for a license, renewal, or modification of a license,
232-12   accompanied by an affidavit stating personal knowledge or naming
232-13   persons with personal knowledge of facts that lead the instructor
232-14   to believe that an applicant is not qualified for handgun
232-15   proficiency certification.
232-16         Sec. 411.190.  QUALIFIED HANDGUN INSTRUCTORS.  (a)  The
232-17   director may certify as a qualified handgun instructor a person
232-18   who:
232-19               (1)  is certified by the Commission on Law Enforcement
232-20   Officer Standards and Education or the Texas Board of Private
232-21   Investigators and Private Security Agencies to instruct others in
232-22   the use of handguns;
232-23               (2)  regularly instructs others in the use of handguns
232-24   and has graduated from a handgun instructor school that uses a
 233-1   nationally accepted course designed to train persons as handgun
 233-2   instructors; or
 233-3               (3)  is certified by the National Rifle Association of
 233-4   America as a handgun instructor.
 233-5         (b)  In addition to the qualifications described by
 233-6   Subsection (a), a qualified handgun instructor must be qualified to
 233-7   instruct persons in:
 233-8               (1)  the laws that relate to weapons and to the use of
 233-9   deadly force;
233-10               (2)  handgun use, proficiency, and safety;
233-11               (3)  nonviolent dispute resolution; and
233-12               (4)  proper storage practices for handguns, including
233-13   storage practices that eliminate the possibility of accidental
233-14   injury to a child.
233-15         (c)  The department shall provide training to an individual
233-16   who applies for certification as a qualified handgun instructor.
233-17   An applicant shall pay a fee of $100 to the department for the
233-18   training.  An applicant must take and successfully complete the
233-19   training offered by the department and pay the training fee before
233-20   the department may certify the applicant as a qualified handgun
233-21   instructor.  The department shall waive the requirements regarding
233-22   a handgun proficiency certification under Section 411.189 for an
233-23   applicant for a license to carry a concealed handgun who takes and
233-24   successfully completes training under this subsection and pays the
 234-1   training fee.  The department by rule may prorate or waive the
 234-2   training fee for an employee of another governmental entity.
 234-3         (d)  The certification of a qualified handgun instructor
 234-4   expires on the second anniversary after the date of certification.
 234-5   To renew a certification, the qualified handgun instructor must pay
 234-6   a fee of $100 and take and successfully complete the retraining
 234-7   courses required by department rule.
 234-8         (e)  After certification, a qualified handgun instructor may
 234-9   conduct training for applicants for a license under this
234-10   subchapter.
234-11         (f)  If the department determines that a reason exists to
234-12   revoke, suspend, or deny a license to carry a concealed handgun
234-13   with respect to a person who is a qualified handgun instructor or
234-14   an applicant for certification as a qualified handgun instructor,
234-15   the department shall take that action against the person's
234-16   certification as a qualified handgun instructor regardless of
234-17   whether the person has a license issued under this subchapter to
234-18   carry a concealed handgun.
234-19         Sec. 411.191.  REVIEW OF DENIAL, REVOCATION, OR SUSPENSION OF
234-20   CERTIFICATION AS QUALIFIED HANDGUN INSTRUCTOR.  The procedures for
234-21   the review of a denial, revocation, or suspension of a license
234-22   under Section 411.180 apply to the review of a denial, revocation,
234-23   or suspension of certification as a qualified handgun instructor.
234-24   The notice provisions of this subchapter relating to denial,
 235-1   revocation, or suspension of handgun licenses apply to the proposed
 235-2   denial, revocation, or suspension of a certification of a qualified
 235-3   handgun instructor or an applicant for certification as a qualified
 235-4   handgun instructor.
 235-5         Sec. 411.192.  CONFIDENTIALITY OF RECORDS.  The department
 235-6   shall disclose to a criminal justice agency information contained
 235-7   in its files and records regarding whether a named individual or
 235-8   any individual named in a specified list is licensed under this
 235-9   subchapter.  The department shall, on written request and payment
235-10   of a reasonable fee to cover costs of copying, disclose to any
235-11   other individual whether a named individual or any individual whose
235-12   full name is listed on a specified written list is licensed under
235-13   this subchapter.  Information on an individual subject to
235-14   disclosure under this section includes the individual's name, date
235-15   of birth, gender, race, and zip code.  Except as otherwise provided
235-16   by this section and by Section 411.193, all other records
235-17   maintained under this subchapter are confidential and are not
235-18   subject to mandatory disclosure under the open records law, Chapter
235-19   552, except that the applicant or license holder may be furnished a
235-20   copy of disclosable records on request and the payment of a
235-21   reasonable fee.  The department shall notify a license holder of
235-22   any request that is made for information relating to the license
235-23   holder under this section and provide the name of the person or
235-24   agency making the request.  This section does not prohibit the
 236-1   department from making public and distributing to the public at no
 236-2   cost lists of individuals who are certified as qualified handgun
 236-3   instructors by the department.
 236-4         Sec. 411.193.  STATISTICAL REPORT.  The department shall make
 236-5   available, on request and payment of a reasonable fee to cover
 236-6   costs of copying, a statistical report that includes the number of
 236-7   licenses issued, denied, revoked, or suspended by the department
 236-8   during the preceding month, listed by age, gender, race, and zip
 236-9   code of the applicant or license holder.
236-10         Sec. 411.194.  REDUCTION OF FEES DUE TO INDIGENCY.
236-11   (a)  Notwithstanding any other provision of this subchapter, the
236-12   department shall reduce by 50 percent any fee required for the
236-13   issuance of an original, duplicate, modified, or renewed license
236-14   under this subchapter if the department determines that the
236-15   applicant is indigent.
236-16         (b)  The department shall require an applicant requesting a
236-17   reduction of a fee to submit proof of indigency with the
236-18   application materials.
236-19         (c)  For purposes of this section, an applicant is indigent
236-20   if the applicant's income is not more than 100 percent of the
236-21   applicable income level established by the federal poverty
236-22   guidelines.
236-23         Sec. 411.195.  REDUCTION OF FEES FOR SENIOR CITIZENS.
236-24   Notwithstanding any other provision of this subchapter, the
 237-1   department shall reduce by 50 percent any fee required for the
 237-2   issuance of an original, duplicate, or modified license under this
 237-3   subchapter if the applicant for the license is 60 years of age or
 237-4   older.
 237-5         Sec. 411.196.  METHOD OF PAYMENT.  A person may pay a fee
 237-6   required by this subchapter only by cashier's check, money order
 237-7   made payable to the "Texas Department of Public Safety," or any
 237-8   other method approved by the department.  A fee received by the
 237-9   department under this subchapter is nonrefundable.
237-10         Sec. 411.197.  RULES.  The director shall adopt rules to
237-11   administer this subchapter.
237-12         Sec. 411.198.  LAW ENFORCEMENT OFFICER ALIAS HANDGUN LICENSE.
237-13   (a)  On written approval of the director, the department may issue
237-14   to a law enforcement officer an alias license to carry a concealed
237-15   handgun to be used in supervised activities involving criminal
237-16   investigations.
237-17         (b)  It is a defense to prosecution under Section 46.035,
237-18   Penal Code, that the actor, at the time of the commission of the
237-19   offense, was the holder of an alias license issued under this
237-20   section.
237-21         Sec. 411.199.  HONORABLY RETIRED PEACE OFFICERS.  (a)  A
237-22   person who is licensed as a peace officer under Chapter 415 and who
237-23   has been employed full-time as a peace officer by a law enforcement
237-24   agency may apply for a license under this subchapter on retirement.
 238-1   The application must be made not later than the first anniversary
 238-2   after the date of retirement.
 238-3         (b)  The person shall submit two complete sets of legible and
 238-4   classifiable fingerprints and a sworn statement from the head of
 238-5   the law enforcement agency employing the applicant.  The statement
 238-6   must include:
 238-7               (1)  the name and rank of the applicant;
 238-8               (2)  the status of the applicant before retirement;
 238-9               (3)  whether or not the applicant was accused of
238-10   misconduct at the time of the retirement;
238-11               (4)  the physical and mental condition of the
238-12   applicant;
238-13               (5)  the type of weapons the applicant had demonstrated
238-14   proficiency with during the last year of employment;
238-15               (6)  whether the applicant would be eligible for
238-16   reemployment with the agency, and if not, the reasons the applicant
238-17   is not eligible; and
238-18               (7)  a recommendation from the agency head regarding
238-19   the issuance of a license under this subchapter.
238-20         (c)  The department may issue a license under this subchapter
238-21   to an applicant under this section if the applicant is honorably
238-22   retired and physically and emotionally fit to possess a handgun.
238-23   In this subsection, "honorably retired" means the applicant:
238-24               (1)  did not retire in lieu of any disciplinary action;
 239-1               (2)  was employed as a full-time peace officer for not
 239-2   less than 10 years by one agency; and
 239-3               (3)  is entitled to receive a pension or annuity for
 239-4   service as a law enforcement officer.
 239-5         (d)  An applicant under this section must pay a fee of $25
 239-6   for a license issued under this subchapter.
 239-7         (e)  A retired peace officer who obtains a license under this
 239-8   subchapter must maintain, for the category of weapon licensed, the
 239-9   proficiency required for a peace officer under Section 415.035.
239-10   The department or a local law enforcement agency shall allow a
239-11   retired peace officer of the department or agency an opportunity to
239-12   annually demonstrate the required proficiency.  The proficiency
239-13   shall be reported to the department on application and renewal.
239-14         (f)  A license issued under this section expires as provided
239-15   by Section 411.183.
239-16         (g)  A retired criminal investigator of the United States who
239-17   is designated as a "special agent" is eligible for a license under
239-18   this section.  An applicant described by this subsection may submit
239-19   the application at any time after retirement.  The applicant shall
239-20   submit with the application proper proof of retired status by
239-21   presenting the following documents prepared by the agency from
239-22   which the applicant retired:
239-23               (1)  retirement credentials; and
239-24               (2)  a letter from the agency head stating the
 240-1   applicant retired in good standing.
 240-2         Sec. 411.200.  APPLICATION TO LICENSED SECURITY OFFICERS.
 240-3   This subchapter does not exempt a license holder who is also
 240-4   employed as a security officer and licensed under the Private
 240-5   Investigators and Private Security Agencies Act (Article
 240-6   4413(29bb), Vernon's Texas Civil Statutes) from the duty to comply
 240-7   with that Act or Section 46.02, Penal Code.
 240-8         Sec. 411.201.  ACTIVE AND RETIRED JUDICIAL OFFICERS.  (a)  In
 240-9   this section:
240-10               (1)  "Active judicial officer" means a person serving
240-11   as a judge or justice of the supreme court, the court of criminal
240-12   appeals, a court of appeals, a district court, a criminal district
240-13   court, a constitutional county court, a statutory county court, a
240-14   justice court, or a municipal court.
240-15               (2)  "Retired judicial officer" means:
240-16                     (A)  a special judge appointed under Section
240-17   26.023 or 26.024; or
240-18                     (B)  a senior judge designated under Section
240-19   75.001 or a judicial officer as designated or defined by Section
240-20   75.001, 831.001, or 836.001.
240-21         (b)  Notwithstanding any other provision of this subchapter,
240-22   the department shall issue a license under this subchapter to an
240-23   active or retired judicial officer who meets the requirements of
240-24   this section.
 241-1         (c)  An active judicial officer is eligible for a license to
 241-2   carry a concealed handgun under the authority of this subchapter.
 241-3   A retired judicial officer is eligible for a license to carry a
 241-4   concealed handgun under the authority of this subchapter if the
 241-5   officer:
 241-6               (1)  has not been convicted of a felony;
 241-7               (2)  has not, in the five years preceding the date of
 241-8   application, been convicted of a Class A or Class B misdemeanor;
 241-9               (3)  is not charged with the commission of a Class A or
241-10   Class B misdemeanor or of a felony under an information or
241-11   indictment;
241-12               (4)  is not a chemically dependent person; and
241-13               (5)  is not a person of unsound mind.
241-14         (d)  An applicant for a license who is an active or retired
241-15   judicial officer must submit to the department:
241-16               (1)  a completed application on a form prescribed by
241-17   the department;
241-18               (2)  two recent color passport photographs of the
241-19   applicant;
241-20               (3)  a handgun proficiency certificate issued to the
241-21   applicant as evidence that the applicant successfully completed the
241-22   proficiency requirements of this subchapter;
241-23               (4)  a nonrefundable application and license fee set by
241-24   the department in an amount reasonably designed to cover the
 242-1   administrative costs associated with issuance of a license to carry
 242-2   a concealed handgun under this subchapter; and
 242-3               (5)  if the applicant is a retired judicial officer:
 242-4                     (A)  two complete sets of legible and
 242-5   classifiable fingerprints of the applicant taken by a person
 242-6   employed by a law enforcement agency who is appropriately trained
 242-7   in recording fingerprints; and
 242-8                     (B)  a form executed by the applicant that
 242-9   authorizes the department to make an inquiry into any noncriminal
242-10   history records that are necessary to determine the applicant's
242-11   eligibility for a license under this subchapter.
242-12         (e)  On receipt of all the application materials required by
242-13   this section, the department shall:
242-14               (1)  if the applicant is an active judicial officer,
242-15   issue a license to carry a concealed handgun under the authority of
242-16   this subchapter; or
242-17               (2)  if the applicant is a retired judicial officer,
242-18   conduct an appropriate background investigation to determine the
242-19   applicant's eligibility for the license and, if the applicant is
242-20   eligible, issue a license to carry a concealed handgun under the
242-21   authority of this subchapter.
242-22         (f)  Except as otherwise provided by this subsection, an
242-23   applicant for a license under this section must satisfy the handgun
242-24   proficiency requirements of Section 411.188. The classroom
 243-1   instruction part of the proficiency course for an active judicial
 243-2   officer is not subject to a minimum hour requirement.  The
 243-3   instruction must include instruction only on:
 243-4               (1)  handgun use, proficiency, and safety; and
 243-5               (2)  proper storage practices for handguns with an
 243-6   emphasis on storage practices that eliminate the possibility of
 243-7   accidental injury to a child.
 243-8         (g)  A license issued under this section expires as provided
 243-9   by Section 411.183 and, except as otherwise provided by this
243-10   subsection, may be renewed in accordance with Section 411.185 of
243-11   this subchapter.  An active judicial officer is not required to
243-12   attend the classroom instruction part of the continuing education
243-13   proficiency course to renew a license.
243-14         (h)  The department shall issue a license to carry a
243-15   concealed handgun under the authority of this subchapter to an
243-16   elected attorney representing the state in the prosecution of
243-17   felony cases who meets the requirements of this section for an
243-18   active judicial officer.  The department shall waive any fee
243-19   required for the issuance of an original, duplicate, or renewed
243-20   license under this subchapter for an applicant who is an attorney
243-21   elected or employed to represent the state in the prosecution of
243-22   felony cases.
243-23         Sec. 411.202.  LICENSE A BENEFIT.  The issuance of a license
243-24   under this subchapter is a benefit to the license holder for
 244-1   purposes of those sections of the Penal Code to which the
 244-2   definition of "benefit" under Section 1.07, Penal Code, applies.
 244-3         Sec. 411.203.  RIGHTS OF EMPLOYERS.  This subchapter does not
 244-4   prevent or otherwise limit the right of a public or private
 244-5   employer to prohibit persons who are licensed under this subchapter
 244-6   from carrying a concealed handgun on the premises of the business.
 244-7         Sec. 411.204.  NOTICE REQUIRED ON CERTAIN PREMISES.  (a)  A
 244-8   business that has a permit or license issued under Chapter 25, 28,
 244-9   32, or 69, Alcoholic Beverage Code, and that derives 51 percent or
244-10   more of its income from the sale of alcoholic beverages for
244-11   on-premises consumption shall prominently display at each entrance
244-12   to the business premises a sign that complies with the requirements
244-13   of Subsection (c).
244-14         (b)  A hospital licensed under Chapter 241, Health and Safety
244-15   Code, or a nursing home licensed under Chapter 242, Health and
244-16   Safety Code, shall prominently display at each entrance to the
244-17   hospital or nursing home, as appropriate, a sign that complies with
244-18   the requirements of Subsection (c).
244-19         (c)  The sign required under Subsections (a) and (b) must
244-20   give notice in both English and Spanish that it is unlawful to
244-21   carry a handgun on the premises.  The sign must appear in
244-22   contrasting colors with block letters at least one inch in height
244-23   and be displayed in a conspicuous manner clearly visible to the
244-24   public.
 245-1         Sec. 411.205.  DISPLAYING LICENSE; PENALTY.  (a)  On a demand
 245-2   by a magistrate or a peace officer that a license holder display
 245-3   the license holder's handgun license, the license holder shall
 245-4   display both the license and the license holder's driver's license
 245-5   or identification certificate issued by the department.
 245-6         (b)  If a license holder is carrying a handgun on or about
 245-7   the license holder's person when a magistrate or a peace officer
 245-8   demands that the license holder display identification, the license
 245-9   holder shall display both the license holder's driver's license or
245-10   identification certificate issued by the department and the license
245-11   holder's handgun license.
245-12         (c)  A person commits an offense if the person fails or
245-13   refuses to display the license and identification as required by
245-14   Subsection (a) or (b).  An offense under this subsection is a Class
245-15   B misdemeanor.
245-16         Sec. 411.206.  SEIZURE OF HANDGUN AND LICENSE.  (a)  If a
245-17   peace officer arrests and takes into custody a license holder who
245-18   is carrying a handgun under the authority of this subchapter, the
245-19   officer shall seize the license holder's handgun and license as
245-20   evidence.
245-21         (b)  The provisions of Article 18.19, Code of Criminal
245-22   Procedure, relating to the disposition of weapons seized in
245-23   connection with criminal offenses, apply to a handgun seized under
245-24   this subsection.
 246-1         (c)  Any judgment of conviction entered by any court for an
 246-2   offense under Section 46.035, Penal Code, must contain the handgun
 246-3   license number of the convicted license holder.  A certified copy
 246-4   of the judgment is conclusive and sufficient evidence to justify
 246-5   revocation of a license under Section 411.186(a)(4).
 246-6         Sec. 411.207.  AUTHORITY OF PEACE OFFICER TO DISARM.  A peace
 246-7   officer who is acting in the lawful discharge of the officer's
 246-8   official duties may disarm a license holder at any time the officer
 246-9   reasonably believes it is necessary for the protection of the
246-10   license holder, officer, or another individual.  The peace officer
246-11   shall return the handgun to the license holder before discharging
246-12   the license holder from the scene if the officer determines that
246-13   the license holder is not a threat to the officer, license holder,
246-14   or another individual and if the license holder has not violated
246-15   any provision of this subchapter or committed any other violation
246-16   that results in the arrest of the license holder.
246-17         Sec. 411.208.  LIMITATION OF LIABILITY.  (a)  A court may not
246-18   hold the state, an agency or subdivision of the state, an officer
246-19   or employee of the state, a peace officer, or a qualified handgun
246-20   instructor liable for damages caused by:
246-21               (1)  an action authorized under this subchapter or a
246-22   failure to perform a duty imposed by this subchapter; or
246-23               (2)  the actions of an applicant or license holder that
246-24   occur after the applicant has received a license or been denied a
 247-1   license under this subchapter.
 247-2         (b)  A cause of action in damages may not be brought against
 247-3   the state, an agency or subdivision of the state, an officer or
 247-4   employee of the state, a peace officer, or a qualified handgun
 247-5   instructor for any damage caused by the actions of an applicant or
 247-6   license holder under this subchapter.
 247-7         (c)  The department is not responsible for any injury or
 247-8   damage inflicted on any person by an applicant or license holder
 247-9   arising or alleged to have arisen from an action taken by the
247-10   department under this subchapter.
247-11         (d)  The immunities granted under Subsections (a), (b), and
247-12   (c) do not apply to an act or a failure to act by the state, an
247-13   agency or subdivision of the state, an officer of the state, or a
247-14   peace officer if the act or failure to act was capricious or
247-15   arbitrary.
247-16         (b)  Article 4413(29ee), Revised Statutes, is repealed.
247-17         SECTION 10.02.  Section 46.02(b), Penal Code, as amended by
247-18   Chapters 229, 318, 754, 790, and 998, Acts of the 74th Legislature,
247-19   Regular Session, 1995, is amended to read as follows:
247-20         (b)  It is a defense to prosecution under this section that
247-21   the actor was, at the time of the commission of the offense:
247-22               (1)  in the actual discharge of his official duties as
247-23   a member of the armed forces or state military forces as defined by
247-24   Section 431.001, Government Code, or as a guard employed by a penal
 248-1   institution;
 248-2               (2)  on his own premises or premises under his control
 248-3   unless he is an employee or agent of the owner of the premises and
 248-4   his primary responsibility is to act in the capacity of a security
 248-5   guard to protect persons or property, in which event he must comply
 248-6   with Subdivision (5);
 248-7               (3)  traveling;
 248-8               (4)  engaging in lawful hunting, fishing, or other
 248-9   sporting activity on the immediate premises where the activity is
248-10   conducted, or was directly en route between the premises and the
248-11   actor's residence, if the weapon is a type commonly used in the
248-12   activity;
248-13               (5)  a person who holds a security officer commission
248-14   issued by the Texas Board of Private Investigators and Private
248-15   Security Agencies, if:
248-16                     (A)  he is engaged in the performance of his
248-17   duties as a security officer or traveling to and from his place of
248-18   assignment;
248-19                     (B)  he is wearing a distinctive uniform; and
248-20                     (C)  the weapon is in plain view; [or]
248-21               (6) [(7)]  carrying a concealed handgun and a valid
248-22   license issued under Subchapter H, Chapter 411, Government Code
248-23   [Article 4413(29ee), Revised Statutes], to carry a concealed
248-24   handgun of the same category as the handgun the person is
 249-1   carrying;[.]
 249-2               (7)  a person who holds a security officer commission
 249-3   and a personal protection authorization issued by the Texas Board
 249-4   of Private Investigators and Private Security Agencies and who is
 249-5   providing personal protection under the Private Investigators and
 249-6   Private Security Agencies Act (Article 4413(29bb), Vernon's Texas
 249-7   Civil Statutes); or[.]
 249-8               (8) [(7)]  a holder of an alcoholic beverage permit or
 249-9   license or an employee of a holder of an alcoholic beverage permit
249-10   or license if the actor is supervising the operation of the
249-11   permitted or licensed premises.
249-12         SECTION 10.03.  Section 46.03(f), Penal Code, is amended to
249-13   read as follows:
249-14         (f)  It is not a defense to prosecution under this section
249-15   that the actor possessed a handgun and was licensed to carry a
249-16   concealed handgun under Subchapter H, Chapter 411, Government Code
249-17   [Article 4413(29ee), Revised Statutes].
249-18         SECTION 10.04.  Section 46.035, Penal Code, is amended by
249-19   amending Subsections (a)-(f) to read as follows:
249-20         (a)  A license holder commits an offense if the license
249-21   holder carries a handgun on or about the license holder's person
249-22   under the authority of Subchapter H, Chapter 411, Government Code
249-23   [Article 4413(29ee), Revised Statutes], and intentionally fails to
249-24   conceal the handgun.
 250-1         (b)  A license holder commits an offense if the license
 250-2   holder intentionally, knowingly, or recklessly carries a handgun
 250-3   under the authority of Subchapter H, Chapter 411, Government Code
 250-4   [Article 4413(29ee), Revised Statutes], regardless of whether the
 250-5   handgun is concealed, on or about the license holder's person:
 250-6               (1)  on the premises of a business that has a permit or
 250-7   license issued under Chapter 25, 28, 32, or 69, Alcoholic Beverage
 250-8   Code, if the business derives 51 percent or more of its income from
 250-9   the sale of alcoholic beverages for on-premises consumption;
250-10               (2)  on the premises where a high school, collegiate,
250-11   or professional sporting event or interscholastic event is taking
250-12   place, unless the license holder is a participant in the event and
250-13   a handgun is used in the event;
250-14               (3)  on the premises of a correctional facility;
250-15               (4)  on the premises of a hospital licensed under
250-16   Chapter 241, Health and Safety Code, or on the premises of a
250-17   nursing home licensed under Chapter 242, Health and Safety Code,
250-18   unless the license holder has written authorization of the hospital
250-19   or nursing home administration, as appropriate;
250-20               (5)  in an amusement park; or
250-21               (6)  on the premises of a church, synagogue, or other
250-22   established place of religious worship.
250-23         (c)  A license holder commits an offense if the license
250-24   holder intentionally, knowingly, or recklessly carries a handgun
 251-1   under the authority of Subchapter H, Chapter 411, Government Code
 251-2   [Article 4413(29ee), Revised Statutes], regardless of whether the
 251-3   handgun is concealed, at any meeting of a governmental entity.
 251-4         (d)  A license holder commits an offense if, while
 251-5   intoxicated, the license holder carries a handgun under the
 251-6   authority of Subchapter H, Chapter 411, Government Code [Article
 251-7   4413(29ee), Revised Statutes], regardless of whether the handgun is
 251-8   concealed.
 251-9         (e)  A license holder who is licensed as a security officer
251-10   under the Private Investigators and Private Security Agencies Act
251-11   (Article 4413(29bb), Vernon's Texas Civil Statutes) and employed as
251-12   a security officer commits an offense if, while in the course and
251-13   scope of the security officer's employment, the security officer
251-14   violates a provision of Subchapter H, Chapter 411, Government Code
251-15   [Article 4413(29ee), Revised Statutes].
251-16         (f)  In this section:
251-17               (1)  "Amusement park" means a permanent indoor or
251-18   outdoor facility or park where amusement rides are available for
251-19   use by the public that is located in a county with a population of
251-20   more than one million, encompasses at least 75 acres in surface
251-21   area, is enclosed with access only through controlled entries, is
251-22   open for operation more than 120 days in each calendar year, and
251-23   has security guards on the premises at all times.  The term does
251-24   not include any public or private driveway, street, sidewalk or
 252-1   walkway, parking lot, parking garage, or other parking area.
 252-2               (2)  "License holder" means a person licensed to carry
 252-3   a handgun under Subchapter H, Chapter 411, Government Code [Article
 252-4   4413(29ee), Revised Statutes].
 252-5               (3)  "Premises" means a building or a portion of a
 252-6   building.  The term does not include any public or private
 252-7   driveway, street, sidewalk or walkway, parking lot, parking garage,
 252-8   or other parking area.
 252-9         SECTION 10.05.  (a)  Section 58.003, Family Code, is amended
252-10   by adding Subsection (m) to read as follows:
252-11         (m)  On request of the Department of Public Safety, a
252-12   juvenile court shall reopen and allow the department to inspect the
252-13   files and records of the juvenile court relating to an applicant
252-14   for a license to carry a concealed handgun under Subchapter H,
252-15   Chapter 411, Government Code.
252-16         (b)  Section 51.16(m), Family Code, as added by Chapter 229,
252-17   Acts of the 74th Legislature, Regular Session, 1995, is repealed.
252-18         SECTION 10.06.  Section 411.047(a), Government Code, is
252-19   amended to read as follows:
252-20         (a)  The department shall maintain statistics related to
252-21   responses by law enforcement agencies to incidents in which a
252-22   person licensed to carry a handgun under Subchapter H [Article
252-23   4413(29ee), Revised Statutes,] is arrested for an offense under
252-24   Section 46.035, Penal Code, or discharges a handgun.
 253-1         SECTION 10.07.  Section 215.001(b), Local Government Code, is
 253-2   amended to read as follows:
 253-3         (b)  Subsection (a) does not affect the authority a
 253-4   municipality has under another law to:
 253-5               (1)  require residents or public employees to be armed
 253-6   for personal or national defense, law enforcement, or another
 253-7   lawful purpose;
 253-8               (2)  regulate the discharge of firearms within the
 253-9   limits of the municipality;
253-10               (3)  regulate the use of property, the location of a
253-11   business, or uses at a business under the municipality's fire code,
253-12   zoning ordinance, or land-use regulations as long as the code,
253-13   ordinance, or regulations are not used to circumvent the intent of
253-14   Subsection (a) or Subdivision (5) of this subsection;
253-15               (4)  regulate the use of firearms in the case of an
253-16   insurrection, riot, or natural disaster if the municipality finds
253-17   the regulations necessary to protect public health and safety;
253-18               (5)  regulate the storage or transportation of
253-19   explosives to protect public health and safety, except that 25
253-20   pounds or less of black powder for each private residence and 50
253-21   pounds or less of black powder for each retail dealer are not
253-22   subject to regulation; or
253-23               (6)  regulate the carrying of a firearm by a person
253-24   other than a person licensed to carry a concealed handgun under
 254-1   Subchapter H, Chapter 411, Government Code [Article 4413(29ee),
 254-2   Revised Statutes], at a:
 254-3                     (A)  public park;
 254-4                     (B)  public meeting of a municipality, county, or
 254-5   other governmental body;
 254-6                     (C)  political rally, parade, or official
 254-7   political meeting; or
 254-8                     (D)  nonfirearms-related school, college, or
 254-9   professional athletic event.
254-10            ARTICLE 11. CHANGES RELATING TO EXECUTIVE TITLE,
254-11                             GOVERNMENT CODE
254-12         SECTION 11.01.  (a)  Chapter 441, Government Code, is amended
254-13   to codify Chapter 387, Acts of the 73rd Legislature, Regular
254-14   Session, 1993 (Article 1696c, Vernon's Texas Civil Statutes), by
254-15   adding Subchapter H to read as follows:
254-16                  SUBCHAPTER H.  PRINT ACCESS AIDS FOR
254-17                    PERSONS WITH VISUAL DISABILITIES
254-18         Sec. 441.111.  DEFINITIONS.  In this subchapter:
254-19               (1)  "Print access aid" means an item, piece of
254-20   equipment, or product system that improves or facilitates access to
254-21   standard print by enlarging or magnifying print, or by
254-22   electronically converting print to spoken, recorded, or tactile
254-23   format.
254-24               (2)  "Public library" has the meaning assigned by
 255-1   Section 441.122.
 255-2               (3)  "Standard print" means text that appears on paper,
 255-3   microfilm, microfiche, or other microformat, or in machine-readable
 255-4   form, in a type size smaller than 14 points.
 255-5               (4)  "State library" means the Texas State Library.
 255-6         Sec. 441.112.  PRINT ACCESS AIDS IN PUBLIC LIBRARIES.  (a)
 255-7   To make its services and collections more accessible, a public
 255-8   library may make a print access aid available for use by a person
 255-9   who cannot clearly read printed material because of a visual
255-10   disability.
255-11         (b)  If funds from a gift or grant are available for that
255-12   purpose, the state library may acquire and lend at no cost print
255-13   access aids to a public library.
255-14         (c)  For a public library to be eligible to receive a print
255-15   access aid under Subsection (b), a community need for the aid must
255-16   exist.
255-17         Sec. 441.113.  TRAINING AND INFORMATION.  The state library
255-18   may provide to a library requesting or receiving a print access aid
255-19   under this subchapter technical assistance, including assistance
255-20   in:
255-21               (1)  explaining to library employees the function of a
255-22   print access aid;
255-23               (2)  assessing local needs for use of a print access
255-24   aid;
 256-1               (3)  providing to library employees training and
 256-2   information in the use of a print access aid;
 256-3               (4)  preparing and distributing public information
 256-4   regarding the availability and location of a print access aid; and
 256-5               (5)  providing assistance in developing policies and
 256-6   guidelines for use of an aid.
 256-7         Sec. 441.114.  MAINTENANCE OF EQUIPMENT.  The state library
 256-8   may pay the maintenance or repair cost of a print access aid
 256-9   supplied to a library under this subchapter out of funds available
256-10   to the library from gifts or grants for that purpose.  If the state
256-11   library cannot pay the maintenance or repair cost of an aid, the
256-12   library receiving the aid may pay the maintenance or repair cost or
256-13   return the aid to the state library.
256-14         Sec. 441.115.  RELOCATION.  The state library shall review
256-15   each library that receives a print access aid under this subchapter
256-16   once every two years to determine whether to relocate an aid
256-17   provided to that library.  The state library shall make a
256-18   relocation decision based on population shifts, the use of the
256-19   equipment, and community need.
256-20         Sec. 441.116.  FUNDING.  (a)  The requirements of this
256-21   subchapter for the provision and placement of print access aids by
256-22   the state library are contingent on the receipt of gifts or grants
256-23   for the state library to purchase, maintain, and repair the print
256-24   access aids.  If the state library's funds are not sufficient to
 257-1   place and maintain a print access aid in a library that may need an
 257-2   aid, the state library shall make a placement decision for any
 257-3   available aid based on demonstrated community need and local
 257-4   support provided by a library.
 257-5         (b)  Money from the general revenue fund may not be
 257-6   appropriated to implement this subchapter.
 257-7         (b)  Chapter 387, Acts of the 73rd Legislature, Regular
 257-8   Session, 1993 (Article 1696c, Vernon's Texas Civil Statutes), is
 257-9   repealed.
257-10         ARTICLE 12.  CHANGES RELATING TO TRANSFER OF PAROLE LAW
257-11         SECTION 12.01.  Subtitle G, Title 4, Government Code, is
257-12   amended to codify Article 42.18, Code of Criminal Procedure, except
257-13   for Sections 29(a) and (h) of that article, by adding Chapter 508
257-14   to read as follows:
257-15             CHAPTER 508.  PAROLE AND MANDATORY SUPERVISION
257-16                    SUBCHAPTER A.  GENERAL PROVISIONS
257-17         Sec. 508.001.  DEFINITIONS.  In this chapter:
257-18               (1)  "Board" means the Board of Pardons and Paroles.
257-19               (2)  "Community supervision and corrections department"
257-20   means a department established under Chapter 76.
257-21               (3)  "Director" means the director of the pardons and
257-22   paroles division.
257-23               (4)  "Division" means the pardons and paroles division.
257-24               (5)  "Mandatory supervision" means the release of an
 258-1   eligible inmate sentenced to the institutional division so that the
 258-2   inmate may serve the remainder of the inmate's sentence not on
 258-3   parole but under the supervision of the pardons and paroles
 258-4   division.
 258-5               (6)  "Parole" means the discretionary and conditional
 258-6   release of an eligible inmate sentenced to the institutional
 258-7   division so that the inmate may serve the remainder of the inmate's
 258-8   sentence under the supervision of the pardons and paroles division.
 258-9               (7)  "Parole officer" means a person appointed by the
258-10   director and assigned the duties of assessment of risks and needs,
258-11   investigation, case management, and supervision of releasees to
258-12   ensure that releasees are complying with the conditions of parole
258-13   or mandatory supervision.
258-14               (8)  "Releasee" means a person released on parole or to
258-15   mandatory supervision.
258-16         Sec. 508.002.  CLEMENCY, COMMUTATION DISTINGUISHED.  Neither
258-17   parole nor mandatory supervision is a commutation of sentence or
258-18   any other form of clemency.
258-19         Sec. 508.003.  INAPPLICABLE TO JUVENILES AND CERTAIN INMATES.
258-20   (a)  This chapter does not apply to an emergency absence under
258-21   escort granted to an inmate by the institutional division under
258-22   Section 501.006.
258-23         (b)  Except as provided by Subsection (c), this chapter does
258-24   not apply to release on parole from an institution for juveniles.
 259-1         (c)  The provisions of this chapter not in conflict with
 259-2   Section 508.156 apply to parole of a person from the Texas Youth
 259-3   Commission under that section.
 259-4            (Sections 508.004-508.030 reserved for expansion
 259-5               SUBCHAPTER B.  BOARD OF PARDONS AND PAROLES
 259-6         Sec. 508.031.  COMPOSITION OF BOARD.  (a)  The board consists
 259-7   of 18 members appointed by the governor with the advice and consent
 259-8   of the senate.
 259-9         (b)  Appointments to the board must be made without regard to
259-10   the race, color, handicap, sex, religion, age, or national origin
259-11   of the appointed members.
259-12         Sec. 508.032.  REQUIREMENTS FOR MEMBERSHIP.  (a)  Board
259-13   members must be representative of the general public.
259-14         (b)  A member must have resided in this state for the two
259-15   years before appointment.
259-16         Sec. 508.033.  DISQUALIFICATIONS.  (a)  A person is not
259-17   eligible for appointment as a member of the board if the person or
259-18   the person's spouse:
259-19               (1)  is employed by or participates in the management
259-20   of a business entity or other organization receiving funds from the
259-21   department or the board;
259-22               (2)  owns or controls, directly or indirectly, more
259-23   than a 10-percent interest in a business entity or other
259-24   organization:
 260-1                     (A)  regulated by the department; or
 260-2                     (B)  receiving funds from the department or the
 260-3   board; or
 260-4               (3)  uses or receives a substantial amount of tangible
 260-5   goods, services, or funds from the department or the board, other
 260-6   than compensation or reimbursement authorized by law for board
 260-7   membership, attendance, or expenses.
 260-8         (b)  In determining eligibility under Subsection (a)(3), the
 260-9   compensation or reimbursement that a board member's spouse receives
260-10   as an employee of the board or the department may not be
260-11   considered.  This subsection does not affect any restriction on
260-12   employment or board membership imposed by any other law.
260-13         (c)  An employee or paid officer of or consultant to a trade
260-14   association in the field of criminal justice may not be:
260-15               (1)  a member of the board; or
260-16               (2)  an employee of the division or the board.
260-17         (d)  A person who is the spouse of a manager of or paid
260-18   consultant to a trade association in the field of criminal justice
260-19   may not be:
260-20               (1)  a member of the board; or
260-21               (2)  an employee of the division or the board,
260-22   including an employee who is:
260-23                     (A)  exempt from the state's classification plan;
260-24   and
 261-1                     (B)  compensated at or above the amount
 261-2   prescribed by the General Appropriations Act for step 1, salary
 261-3   group 17, of the position classification salary schedule.
 261-4         (e)  A person who is required to register as a lobbyist under
 261-5   Chapter 305 because of the person's activities for compensation in
 261-6   or on behalf of a profession related to the operation of the board
 261-7   may not:
 261-8               (1)  serve as a member of the board; or
 261-9               (2)  act as the general counsel to the division.
261-10         (f)  In this section, a trade association is a nonprofit,
261-11   cooperative, and voluntarily joined association of business or
261-12   professional competitors that is designed to assist the
261-13   association's members and the association's industry or profession
261-14   in:
261-15               (1)  dealing with mutual business or professional
261-16   problems; and
261-17               (2)  promoting their common interests.
261-18         Sec. 508.034.  GROUNDS FOR REMOVAL.  (a)  It is a ground for
261-19   removal from the board if a member:
261-20               (1)  at the time of appointment is not qualified under
261-21   Section 508.032 or 508.033(a) for appointment to the board;
261-22               (2)  during the member's service on the board becomes
261-23   ineligible under Section 508.033(a) for appointment to the board;
261-24               (3)  violates Section 508.033(c), (d), or (e);
 262-1               (4)  is unable to discharge the member's duties for a
 262-2   substantial part of the term for which the member was appointed
 262-3   because of illness or disability; or
 262-4               (5)  is absent from more than half of the regularly
 262-5   scheduled board or panel meetings that the member is eligible to
 262-6   attend during each calendar year, except when the absence is
 262-7   excused by majority vote of the board.
 262-8         (b)  The validity of an action of the board or panel is not
 262-9   affected by the fact that the action was taken when a ground for
262-10   removal of a board member existed.
262-11         (c)  If the director has knowledge that a potential ground
262-12   for removal exists, the director shall notify the presiding officer
262-13   of the board of the ground.  The presiding officer shall notify the
262-14   governor that a potential ground for removal exists.
262-15         Sec. 508.035.  PRESIDING OFFICER.  (a)  The governor shall
262-16   designate one member to serve as presiding officer of the board.
262-17         (b)  The presiding officer serves in that capacity at the
262-18   pleasure of the governor.
262-19         Sec. 508.036.  EXECUTIVE COMMITTEE.  (a)  To facilitate the
262-20   work of the board, the governor shall appoint the presiding officer
262-21   of the board to serve as presiding officer of the executive
262-22   committee.
262-23         (b)  The presiding officer shall appoint six board members to
262-24   serve on the executive committee.  An executive committee member
 263-1   serves in that capacity at the pleasure of the presiding officer.
 263-2         (c)  The executive committee shall:
 263-3               (1)  coordinate activities of the board;
 263-4               (2)  assure maximum efficiency and fair distribution of
 263-5   the caseload; and
 263-6               (3)  administer other matters as required by the
 263-7   presiding officer.
 263-8         Sec. 508.037.  TERMS; REMOVAL.  (a)  A board member holds
 263-9   office for a term of six years.
263-10         (b)  The terms of one-third of the members expire February 1
263-11   of each odd-numbered year.
263-12         (c)  The governor may remove a board member, other than a
263-13   member appointed by another governor, at any time and for any
263-14   reason.
263-15         Sec. 508.038.  VACANCIES.  If a vacancy occurs, the governor
263-16   shall appoint in the same manner as other appointments are made a
263-17   person to serve the remainder of the unexpired term.
263-18         Sec. 508.039.  COMPENSATION.  A board member is paid the
263-19   salary the legislature determines in the General Appropriations
263-20   Act.
263-21         Sec. 508.040.  PERSONNEL.  (a)  The board shall employ and
263-22   supervise:
263-23               (1)  a general counsel to the board;
263-24               (2)  an administrative assistant;
 264-1               (3)  hearing officers;
 264-2               (4)  personnel to assist in clemency matters; and
 264-3               (5)  secretarial or clerical personnel.
 264-4         (b)  The board may adopt rules as necessary for the
 264-5   employment and supervision of board personnel.
 264-6         (c)  The board shall develop and implement personnel
 264-7   policies.
 264-8         Sec. 508.041.  TRAINING PROGRAM FOR DESIGNATED AGENTS.  (a)
 264-9   The board shall develop and implement a training program for
264-10   designated agents of the board who conduct hearings under Section
264-11   508.281.
264-12         (b)  The training program must assist the designated agents
264-13   in understanding issues relating to the revocation process.
264-14         Sec. 508.042.  TRAINING PROGRAM FOR MEMBERS.  (a)  The board
264-15   shall develop for board members a comprehensive training and
264-16   education program on the criminal justice system, with special
264-17   emphasis on the parole process.
264-18         (b)  A new member may not participate in a vote of the board
264-19   or a panel until the member completes the program.
264-20         Sec. 508.043.  GIFTS AND GRANTS.  The board may apply for and
264-21   accept gifts or grants from any public or private source for use in
264-22   any lawful purpose of the board.
264-23         Sec. 508.044.  POWERS AND DUTIES OF BOARD.  (a)  A board
264-24   member shall give full time to the duties of the member's office.
 265-1         (b)  In addition to performing the duties imposed on the
 265-2   board by the Texas Constitution, board members shall determine:
 265-3               (1)  which inmates are to be released on parole;
 265-4               (2)  conditions of parole or mandatory supervision;
 265-5               (3)  which releasees may be released from supervision
 265-6   and reporting; and
 265-7               (4)  the revocation of parole or mandatory supervision.
 265-8         (c)  The board shall develop and implement a policy that
 265-9   clearly defines circumstances under which a member should
265-10   disqualify himself or herself from voting on:
265-11               (1)  a parole decision; or
265-12               (2)  a decision to revoke parole or mandatory
265-13   supervision.
265-14         (d)  The board may adopt reasonable rules as the board
265-15   considers proper or necessary relating to:
265-16               (1)  the eligibility of an inmate for release on parole
265-17   or release to mandatory supervision;
265-18               (2)  the conduct of a parole or mandatory supervision
265-19   hearing; or
265-20               (3)  conditions to be imposed on a releasee.
265-21         (e)  The board may provide a written plan for the
265-22   administrative review of actions taken by a parole panel by the
265-23   entire membership or by a subset of the entire membership of the
265-24   board.
 266-1         Sec. 508.045.  PAROLE PANELS.  (a)  Except as provided by
 266-2   Section 508.046, board members shall act in panels composed of
 266-3   three persons each in matters of:
 266-4               (1)  release on parole;
 266-5               (2)  release to mandatory supervision; and
 266-6               (3)  revocation of parole or mandatory supervision.
 266-7         (b)  The presiding officer of the board shall designate the
 266-8   composition of each panel.
 266-9         (c)  A parole panel may:
266-10               (1)  grant, deny, or revoke parole;
266-11               (2)  revoke mandatory supervision; and
266-12               (3)  conduct parole revocation hearings and mandatory
266-13   supervision revocation hearings.
266-14         Sec. 508.046.  EXTRAORDINARY VOTE REQUIRED.  To release on
266-15   parole an inmate who was convicted of a capital felony or an
266-16   offense under Section 21.11(a)(1) or 22.021, Penal Code, or who is
266-17   required under Section 508.145(c) to serve 35 calendar years before
266-18   becoming eligible for release on parole, all members of the board
266-19   must vote on the release on parole of the inmate, and at least
266-20   two-thirds of the members must vote in favor of the release on
266-21   parole.  A member of the board may not vote on the release unless
266-22   the member first receives a copy of a written report from the
266-23   department on the probability that the inmate would commit an
266-24   offense after being released on parole.
 267-1         Sec. 508.047.  MEETINGS.  (a)  The members of the board shall
 267-2   meet at least once in each quarter of the calendar year at a site
 267-3   determined by the presiding officer.
 267-4         (b)  The members of the board are not required to meet as a
 267-5   body to perform the members' duties in clemency matters.
 267-6         (c)  A majority of each parole panel constitutes a quorum for
 267-7   the transaction of the panel's business.  A panel's decision must
 267-8   be by majority vote.
 267-9         (d)  The members of a parole panel are not required to meet
267-10   as a body to perform the members' duties, except to conduct a
267-11   hearing under Section 508.281.
267-12         Sec. 508.048.  SUBPOENAS.  (a)  A parole panel may issue a
267-13   subpoena requiring the attendance of a witness or the production of
267-14   any record, book, paper, or document the panel considers necessary
267-15   for investigation of the case of a person before the panel.
267-16         (b)  A member of the board may sign a subpoena and administer
267-17   an oath.
267-18         (c)  A  peace officer, parole officer, or community
267-19   supervision and corrections department officer may serve the
267-20   subpoena in the same manner as similar process in a court of record
267-21   having original jurisdiction of criminal actions is served.
267-22         (d)  A person who testifies falsely, fails to appear when
267-23   subpoenaed, or fails or refuses to produce material under the
267-24   subpoena is subject to the same orders and penalties to which a
 268-1   person taking those actions before a court is subject.
 268-2         (e)  On application of the board, a court of record having
 268-3   original jurisdiction of criminal actions may compel the attendance
 268-4   of a witness, the production of material, or the giving of
 268-5   testimony before the board, by an attachment for contempt or in the
 268-6   same manner as the court may otherwise compel the production of
 268-7   evidence.
 268-8         Sec. 508.049.  MISSION STATEMENT.  (a)  The board, after
 268-9   consultation with the governor and the Texas Board of Criminal
268-10   Justice, shall adopt a mission statement that reflects the
268-11   responsibilities for the operation of the parole process that are
268-12   assigned to the board and the responsibilities that are assigned to
268-13   the division, the department, or the Texas Board of Criminal
268-14   Justice.
268-15         (b)  The board shall include in the mission statement a
268-16   description of specific locations at which the board intends to
268-17   conduct business related to the operation of the parole process.
268-18         Sec. 508.050.  REPORT TO GOVERNOR.  (a)  On request of the
268-19   governor, the board shall investigate a person being considered by
268-20   the governor for:
268-21               (1)  pardon;
268-22               (2)  commutation of sentence;
268-23               (3)  reprieve;
268-24               (4)  remission of fine; or
 269-1               (5)  forfeiture.
 269-2         (b)  The board shall report to the governor on its
 269-3   investigation and make recommendations about the person to the
 269-4   governor.
 269-5         Sec. 508.051.  SUNSET PROVISION.  The Board of Pardons and
 269-6   Paroles is subject to review under Chapter 325 (Texas Sunset Act),
 269-7   but is not abolished under that chapter.
 269-8         Sec. 508.052.  COMPUTERS; OFFICE SPACE; OTHER EQUIPMENT.  (a)
 269-9   The department by interagency contract may provide to the board
269-10   necessary computer equipment and computer access to all
269-11   computerized records and physical access to all printed records in
269-12   the custody of the department that are related to the duties and
269-13   functions of the board.
269-14         (b)  The department by interagency contract may provide to
269-15   the board necessary and appropriate:
269-16               (1)  office space at locations designated by the
269-17   presiding officer of the board; and
269-18               (2)  utilities and communications equipment.
269-19            (Sections 508.053-508.080 reserved for expansion
269-20                SUBCHAPTER C.  REPRESENTATION OF INMATES
269-21         Sec. 508.081.  DEFINITIONS.  In this subchapter:
269-22               (1)  "Compensation" has the meaning assigned by Section
269-23   305.002.
269-24               (2)  "Inmate" includes:
 270-1                     (A)  an administrative releasee;
 270-2                     (B)  an inmate imprisoned in the institutional
 270-3   division; and
 270-4                     (C)  a person confined in a transfer facility or
 270-5   county jail awaiting:
 270-6                           (i)  transfer to the institutional
 270-7   division; or
 270-8                           (ii)  a revocation hearing.
 270-9               (3)  "Represent" means to directly or indirectly
270-10   contact in person or by telephone, facsimile transmission, or
270-11   correspondence a member or employee of the board or an employee of
270-12   the department on behalf of an inmate.
270-13         Sec. 508.082.  RULES.  The board shall adopt rules relating
270-14   to:
270-15               (1)  the submission and presentation of information and
270-16   arguments to the board, a parole panel, and the department for and
270-17   in behalf of an inmate; and
270-18               (2)  the time, place, and manner of contact between a
270-19   person representing an inmate and:
270-20                     (A)  a member of the board;
270-21                     (B)  an employee of the board; or
270-22                     (C)  an employee of the department.
270-23         Sec. 508.083.  ELIGIBILITY TO REPRESENT INMATES.  (a)  A
270-24   person who represents an inmate for compensation must:
 271-1               (1)  be an attorney licensed in this state; and
 271-2               (2)  register with the division.
 271-3         (b)  A person serving as a member or employee of the board or
 271-4   the Texas Board of Criminal Justice may not, before the 10th
 271-5   anniversary of the date the person ceases to be a board member or
 271-6   employee:
 271-7               (1)  represent any person in a matter before the board
 271-8   or a parole panel; or
 271-9               (2)  receive compensation for services rendered on
271-10   behalf of any person regarding a matter pending before the board or
271-11   a parole panel.
271-12         (c)  A person, other than a person subject to Subsection (b),
271-13   who is employed by the department may not, before the 10th
271-14   anniversary of the date the person terminates service with the
271-15   department:
271-16               (1)  represent an inmate in a matter before the board
271-17   or a parole panel; or
271-18               (2)  receive compensation for services rendered on
271-19   behalf of any person regarding a matter pending before the board or
271-20   a parole panel.
271-21         (d)  A former member or employee of the board or the Texas
271-22   Board of Criminal Justice or a former employee of the department
271-23   may not represent any person or receive compensation for services
271-24   rendered on behalf of any person regarding a matter pending before
 272-1   the board or a parole panel with which the former member or
 272-2   employee, during the period of service on or with either board or
 272-3   employment with the department or board, was directly concerned
 272-4   either:
 272-5               (1)  through personal involvement; or
 272-6               (2)  because the matter was within the member's or
 272-7   employee's official responsibility while associated with the board
 272-8   or the department.
 272-9         Sec. 508.084.  FEE AFFIDAVIT.  (a)  A person required to
272-10   register under Section 508.083, before the person first contacts a
272-11   member of the board, an employee of the board, or an employee of
272-12   the department on behalf of an inmate, shall file a fee affidavit
272-13   with the department in a form prescribed by the department for each
272-14   inmate the person represents for compensation.
272-15         (b)  The fee affidavit must be written and verified and
272-16   contain a statement of:
272-17               (1)  the registrant's full name and address;
272-18               (2)  the registrant's normal business, business phone
272-19   number, and business address;
272-20               (3)  the full name of any former member or employee of
272-21   the board or the Texas Board of Criminal Justice or any former
272-22   employee of the department with whom the registrant:
272-23                     (A)  is associated;
272-24                     (B)  has a relationship as an employer or
 273-1   employee; or
 273-2                     (C)  maintains a contractual relationship to
 273-3   provide services;
 273-4               (4)  the full name and institutional identification
 273-5   number of the inmate the registrant represents;
 273-6               (5)  the amount of compensation the registrant has
 273-7   received or expects to receive in exchange for the representation;
 273-8   and
 273-9               (6)  the name of the person providing the compensation.
273-10         (c)  If a registrant receives compensation in excess of the
273-11   amount reported on the fee affidavit, the registrant shall file
273-12   with the department, not later than the fifth day after the date
273-13   the registrant receives compensation in excess of the reported
273-14   amount, a supplemental fee affidavit in a form prescribed by the
273-15   department indicating the total amount of compensation received for
273-16   representing the inmate.
273-17         (d)  For each fee affidavit and supplemental fee affidavit
273-18   received, the department shall:
273-19               (1)  keep a copy of the affidavit in a central
273-20   location; and
273-21               (2)  not later than the third day after the date the
273-22   affidavit is filed, place a copy of the affidavit in the inmate's
273-23   file that is reviewed by a parole panel or the board.
273-24         Sec. 508.085.  REPRESENTATION SUMMARY FORM.  (a)  A person
 274-1   required to register under Section 508.083 shall, for each calendar
 274-2   year in which the person represents an inmate, file a
 274-3   representation summary form with the division on a form prescribed
 274-4   by the division.
 274-5         (b)  The form must be filed not later than January 31 of the
 274-6   year succeeding the year for which the report is filed and must
 274-7   include a statement of:
 274-8               (1)  the registrant's full name and address;
 274-9               (2)  the registrant's normal business, business phone
274-10   number, and business address;
274-11               (3)  the full name of any former member or employee of
274-12   the board or the Texas Board of Criminal Justice or any former
274-13   employee of the department with whom the registrant:
274-14                     (A)  is associated;
274-15                     (B)  has a relationship as an employer or
274-16   employee; or
274-17                     (C)  maintains a contractual relationship to
274-18   provide services;
274-19               (4)  the full name and institutional identification
274-20   number of each inmate the registrant represented in the previous
274-21   calendar year; and
274-22               (5)  the amount of compensation the registrant has
274-23   received for representing each inmate in the previous calendar
274-24   year.
 275-1         (c)  A person who files a form under this section and for
 275-2   whom the information required for the form has changed shall, not
 275-3   later than the 10th day after the date the information changes,
 275-4   file a supplemental statement with the division indicating the
 275-5   change.
 275-6         Sec. 508.086.  CRIMINAL PENALTIES.  (a)  A former member or
 275-7   employee of the board or the Texas Board of Criminal Justice or a
 275-8   former employee of the department commits an offense if the former
 275-9   member or employee violates Section 508.083(b), (c), or (d).
275-10         (b)  A person who represents an inmate for compensation
275-11   commits an offense if the person is not an attorney licensed in
275-12   this state.
275-13         (c)  A person who is required to file an affidavit under
275-14   Section 508.084(a) or (c) or a form or statement under Section
275-15   508.085 commits an offense if the person fails to file the
275-16   affidavit, form, or statement.
275-17         (d)  An offense under Subsection (a) is a Class A
275-18   misdemeanor.  An offense under Subsection (b) or (c) is a Class C
275-19   misdemeanor.
275-20            (Sections 508.087-508.110 reserved for expansion
275-21               SUBCHAPTER D.  PARDONS AND PAROLES DIVISION
275-22         Sec. 508.111.  DIRECTOR.  (a)  The executive director shall
275-23   hire the director of the division.
275-24         (b)  The director is responsible for the administration of
 276-1   the division.
 276-2         Sec. 508.112.  DUTY OF DIVISION.  The division is responsible
 276-3   for the investigation and supervision of all releasees.
 276-4         Sec. 508.113.  PAROLE OFFICERS, SUPERVISORS: QUALIFICATIONS.
 276-5   (a)  This subsection and Subsection (b) apply only to a person
 276-6   employed as a parole officer or supervisor on or before September
 276-7   1, 1990.  A person may not be employed as a parole officer or
 276-8   supervisor, or be responsible for investigating or supervising a
 276-9   releasee, unless the person has:
276-10               (1)  four years of successfully completed education in
276-11   an accredited college or university;
276-12               (2)  two years of full-time paid employment in
276-13   responsible correctional work with adults or juveniles or in a
276-14   related field; and
276-15               (3)  any other qualifications that may be specified by
276-16   the director.
276-17         (b)  Additional experience in a category described by
276-18   Subsection (a)(2) may be substituted year for year for the required
276-19   college education, with a maximum substitution of two years.
276-20         (c)  The director shall establish qualifications for parole
276-21   officers and supervisors that are the same as qualifications for
276-22   community supervision and corrections department officers imposed
276-23   by Section 76.005.  A person may not begin employment as a parole
276-24   officer or supervisor after September 1, 1990, unless the person
 277-1   meets the qualifications established by the director.
 277-2         (d)  A person who is serving as a peace officer or as a
 277-3   prosecuting attorney may not act as a parole officer or be
 277-4   responsible for supervising a releasee.
 277-5         Sec. 508.114.  PAROLE OFFICERS, SUPERVISORS: ADDITIONAL
 277-6   DUTIES.  (a)  The judge of a court having original jurisdiction of
 277-7   criminal actions may, with the approval of the director, designate
 277-8   a parole officer or supervisor as a community supervision and
 277-9   corrections department officer.  The director must give prior
277-10   written approval for the payment of a proportional part of the
277-11   salary paid to the parole officer or supervisor in compensation for
277-12   service as a community supervision and corrections department
277-13   officer.  The director shall periodically report to the governor
277-14   and the legislature the proportional salary payments.
277-15         (b)  A parole officer or supervisor, on request of the
277-16   governor or on order of the director, shall be responsible for
277-17   supervising an inmate placed on conditional pardon or granted an
277-18   emergency absence under escort.
277-19         Sec. 508.115.  NOTIFICATION OF RELEASE OF INMATE.  (a)  Not
277-20   later than the 11th day before the date the board orders the
277-21   release on parole of an inmate or not later than the 11th day after
277-22   the date the board recommends that the governor grant executive
277-23   clemency, the division shall notify the sheriffs, the prosecuting
277-24   attorneys, and the district judges in the county in which the
 278-1   inmate was convicted and the county to which the inmate is released
 278-2   that the board is considering release on parole or the governor is
 278-3   considering clemency.
 278-4         (b)  In a case in which there was a change of venue, the
 278-5   division shall notify the sheriff, the prosecuting attorney, and
 278-6   the district judge in the county in which the prosecution was
 278-7   originated if, not later than the 30th day after the date the
 278-8   inmate was sentenced, those officials request in writing that the
 278-9   division give the officials notice under this section of a release
278-10   of the inmate.
278-11         (c)  Not later than the 10th day after the date a parole
278-12   panel orders the transfer of an inmate to a halfway house under
278-13   this chapter, the division shall give notice in accordance with
278-14   Subsection (d) to:
278-15               (1)  the sheriff of the county in which the inmate was
278-16   convicted;
278-17               (2)  the sheriff of the county in which the halfway
278-18   house is located; and
278-19               (3)  the attorney who represents the state in the
278-20   prosecution of felonies in the county in which the halfway house is
278-21   located.
278-22         (d)  The notice must state:
278-23               (1)  the inmate's name;
278-24               (2)  the county in which the inmate was convicted; and
 279-1               (3)  the offense for which the inmate was convicted.
 279-2         Sec. 508.116.  PAROLE INFORMATION PROGRAM.  (a)  The division
 279-3   shall develop and implement a comprehensive program to inform
 279-4   inmates, the inmates' families, and other interested parties about
 279-5   the parole process.
 279-6         (b)  The division shall update the program annually.
 279-7         Sec. 508.117.  VICTIM NOTIFICATION.  (a)  Before a parole
 279-8   panel considers for release on parole an inmate who is serving a
 279-9   sentence for an offense in which a person was a victim, the
279-10   division, using the name and address provided on the victim impact
279-11   statement, shall make a reasonable effort to notify:
279-12               (1)  the victim;
279-13               (2)  if the victim has a guardian, the guardian; or
279-14               (3)  if the victim is deceased, a close relative of the
279-15   deceased victim.
279-16         (b)  A victim, guardian of a victim, or close relative of a
279-17   deceased victim who would have been entitled to notification of
279-18   parole consideration by the division but failed to provide a victim
279-19   impact statement containing the person's name and address may file
279-20   with the division a written request for notification.  After
279-21   receiving the written request, the division shall grant to the
279-22   person all privileges, including notification under this section,
279-23   to which the person would have been entitled had the person
279-24   submitted a completed victim impact statement.
 280-1         (c)  If the notice is sent to a guardian or close relative of
 280-2   a deceased victim, the notice must contain a request by the
 280-3   division that the guardian or relative inform other persons having
 280-4   an interest in the matter that the inmate is being considered for
 280-5   release on parole.
 280-6         (d)  The failure of the division to comply with notice
 280-7   requirements of this section is not a ground for revocation of
 280-8   parole.
 280-9         (e)  Before an inmate is released from the institutional
280-10   division on parole or to mandatory supervision, the pardons and
280-11   paroles division shall give notice of the release to a person
280-12   entitled to notification of parole consideration for the inmate
280-13   under Subsection (a) or (b).
280-14         (f)  Except as necessary to comply with this section, the
280-15   board or the department may not disclose to any person the name or
280-16   address of a person entitled to notice under this section unless:
280-17               (1)  the person approves the disclosure; or
280-18               (2)  a court determines that there is good cause for
280-19   disclosure and orders the board or the department to disclose the
280-20   information.
280-21         (g)  In this section:
280-22               (1)  "Close relative of a deceased victim" means a
280-23   person who was:
280-24                     (A)  the spouse of the victim at the time of the
 281-1   victim's death;
 281-2                     (B)  a parent of the deceased victim; or
 281-3                     (C)  an adult brother, sister, or child of the
 281-4   deceased victim.
 281-5               (2)  "Guardian of a victim" means a person who is the
 281-6   legal guardian of a victim, whether or not the legal relationship
 281-7   between the guardian and the victim exists because of the age of
 281-8   the victim or the physical or mental incompetency of the victim.
 281-9               (3)  "Victim" means a person who:
281-10                     (A)  is a victim of sexual assault, kidnapping,
281-11   aggravated robbery, or felony stalking; or
281-12                     (B)  has suffered bodily injury or death as the
281-13   result of the criminal conduct of another.
281-14         Sec. 508.118.  HALFWAY HOUSES.  (a)  The division, in
281-15   conjunction with the institutional division, shall use halfway
281-16   houses to divert from housing in regular units of the institutional
281-17   division suitable low-risk inmates and other inmates who would
281-18   benefit from a smoother transition from incarceration to supervised
281-19   release.
281-20         (b)  Before transferring an inmate to a halfway house, the
281-21   division shall send to the director of the halfway house all
281-22   information relating to the inmate that the division determines
281-23   will aid the halfway house in helping the inmate make a transition
281-24   from the institutional division to supervised release.
 282-1         (c)  The division is responsible for supervising an inmate:
 282-2               (1)  for whom a presumptive parole date has been
 282-3   established; and
 282-4               (2)  who is transferred into a preparole residence in a
 282-5   halfway house under Subchapter A, Chapter 499.
 282-6         Sec. 508.119.  COMMUNITY RESIDENTIAL FACILITIES.  (a)  The
 282-7   purpose of a community residential facility is to provide housing,
 282-8   supervision, counseling, personal, social, and work adjustment
 282-9   training, and other programs to:
282-10               (1)  releasees who are required by a parole panel as a
282-11   condition of release on parole or to mandatory supervision to serve
282-12   a period in a community residential facility; and
282-13               (2)  releasees whose parole or mandatory supervision
282-14   has been continued or modified under Section 508.283 and on whom
282-15   sanctions have been imposed under that section.
282-16         (b)  The division may establish and operate, or contract for
282-17   the operation of, community residential facilities.
282-18         (c)  The division may contract with a public or private
282-19   vendor for the financing, construction, operation, or management of
282-20   a community residential facility using a lease-purchase or
282-21   installment sale contract to provide or supplement housing, board,
282-22   or supervision for releasees placed in a community residential
282-23   facility.  A releasee housed or supervised in a facility operated
282-24   by a vendor under a contract is subject to the same laws as if the
 283-1   housing or supervision were provided directly by the division.
 283-2         (d)  Unless the division or a vendor proposing to operate a
 283-3   community residential facility provides notice of a following
 283-4   proposed action and a hearing on the issues in the same manner as
 283-5   required under Section 509.010, the division may not:
 283-6               (1)  establish or contract for a community residential
 283-7   facility;
 283-8               (2)  change the use of a community residential
 283-9   facility;
283-10               (3)  significantly increase the capacity of a community
283-11   residential facility; or
283-12               (4)  increase the capacity of a community residential
283-13   facility to more than 500 residents, regardless of whether the
283-14   increase is significant.
283-15         (e)  Subsection (d) applies to any residential facility that
283-16   the division establishes or contracts for under:
283-17               (1)  this chapter;
283-18               (2)  Subchapter C, Chapter 497; or
283-19               (3)  Subchapter A, Chapter 499.
283-20         (f)  The Texas Board of Criminal Justice shall adopt rules
283-21   necessary for the management of a community residential facility.
283-22         (g)  The division may charge to a releasee housed in a
283-23   community residential facility a reasonable fee for the cost of
283-24   housing, board, and the part of the administrative costs of the
 284-1   facility that is properly allocable to the releasee.  The fee may
 284-2   not exceed the actual costs to the division for services to that
 284-3   releasee.  The division may not deny placement in a community
 284-4   residential facility to a releasee because the releasee is unable
 284-5   to pay the fee.
 284-6         (h)  A parole panel or a designated agent of the division may
 284-7   grant a limited release to a releasee placed in a community
 284-8   residential facility to maintain or seek employment or
 284-9   participation in an education or training course or to seek housing
284-10   after release from the facility.
284-11            (Sections 508.120-508.140 reserved for expansion
284-12   SUBCHAPTER E.  PAROLE AND MANDATORY SUPERVISION; RELEASE PROCEDURES
284-13         Sec. 508.141.  AUTHORITY TO CONSIDER AND ORDER RELEASE ON
284-14   PAROLE.  (a)  A parole panel may consider for release and release
284-15   on parole an inmate who:
284-16               (1)  has been sentenced to a term of imprisonment in
284-17   the institutional division;
284-18               (2)  is confined in a penal or correctional
284-19   institution, including a jail in this state, a federal correctional
284-20   institution, or a jail or a correctional institution in another
284-21   state; and
284-22               (3)  is eligible for release on parole.
284-23         (b)  A parole is issued only on the order of a parole panel.
284-24         (c)  Before releasing an inmate on parole, a parole panel may
 285-1   have the inmate appear before the panel and interview the inmate.
 285-2         (d)  A parole panel may release an inmate on parole during
 285-3   the parole month established for the inmate if the panel determines
 285-4   that the inmate's release will not increase the likelihood of harm
 285-5   to the public.
 285-6         (e)  A parole panel may release an inmate on parole only
 285-7   when:
 285-8               (1)  arrangements have been made for the inmate's
 285-9   employment or for the inmate's maintenance and care; and
285-10               (2)  the parole panel believes that the inmate is able
285-11   and willing to fulfill the obligations of a law-abiding citizen.
285-12         (f)  A parole panel may order a parole only for the best
285-13   interest of society and not as an award of clemency.
285-14         Sec. 508.142.  PERIOD OF PAROLE.  (a)  The institutional
285-15   division shall provide the board with sentence time credit
285-16   information for each inmate who is eligible for release on parole.
285-17         (b)  Good conduct time credit is computed for an inmate as if
285-18   the inmate were confined in the institutional division during the
285-19   entire time the inmate was actually confined.
285-20         (c)  The period of parole is computed by subtracting from the
285-21   term for which the inmate was sentenced the calendar time served on
285-22   the sentence.
285-23         Sec. 508.143.  LEGAL CUSTODY OF RELEASEE.  (a)  A releasee
285-24   while on parole is in the legal custody of the division.
 286-1         (b)  A releasee while on mandatory supervision is in the
 286-2   legal custody of the state.
 286-3         Sec. 508.144.  PAROLE GUIDELINES.  (a)  The board shall:
 286-4               (1)  develop according to an acceptable research method
 286-5   the parole guidelines that are the basic criteria on which a parole
 286-6   decision is made;
 286-7               (2)  base the guidelines on the seriousness of the
 286-8   offense and the likelihood of a favorable parole outcome;
 286-9               (3)  implement the guidelines; and
286-10               (4)  review the guidelines periodically.
286-11         (b)  If a board member deviates from the parole guidelines in
286-12   voting on a parole decision, the member shall:
286-13               (1)  produce a brief written statement describing the
286-14   circumstances regarding the departure from the guidelines; and
286-15               (2)  place a copy of the statement in the file of the
286-16   inmate for whom the parole decision was made.
286-17         (c)  The board shall keep a copy of a statement made under
286-18   Subsection (b) in a central location.
286-19         Sec. 508.145.  ELIGIBILITY FOR RELEASE ON PAROLE; COMPUTATION
286-20   OF PAROLE ELIGIBILITY DATE.  (a)  An inmate under sentence of death
286-21   is not eligible for release on parole.
286-22         (b)  An inmate serving a life sentence for a capital felony
286-23   is not eligible for release on parole until the actual calendar
286-24   time the inmate has served, without consideration of good conduct
 287-1   time, equals 40 calendar years.
 287-2         (c)  An inmate serving a life sentence under Section
 287-3   12.42(d)(2), Penal Code, is not eligible for release on parole
 287-4   until the actual calendar time the inmate has served, without
 287-5   consideration of good conduct time, equals 35 calendar years.
 287-6         (d)  An inmate serving a sentence for an offense described by
 287-7   Section 3g(a)(1)(A), (C), (D), (E), (F), (G), or (H), Article
 287-8   42.12, Code of Criminal Procedure, or for an offense for which the
 287-9   judgment contains an affirmative finding under Section 3g(a)(2) of
287-10   that article, is not eligible for release on parole until the
287-11   inmate's actual calendar time served, without consideration of good
287-12   conduct time, equals one-half of the sentence or 30 calendar years,
287-13   whichever is less, but in no event is the inmate eligible for
287-14   release on parole in less than two calendar years.
287-15         (e)  An inmate serving a sentence for which the punishment is
287-16   increased under Section 481.134, Health and Safety Code, is not
287-17   eligible for release on parole until the inmate's actual calendar
287-18   time served, without consideration of good conduct time, equals
287-19   five years or the term to which the inmate was sentenced, whichever
287-20   is less.
287-21         (f)  Except as provided by Section 508.146, any other inmate
287-22   is eligible for release on parole when the inmate's actual calendar
287-23   time served plus good conduct time equals one-fourth of the
287-24   sentence imposed or 15 years, whichever is less.
 288-1         Sec. 508.146.  SPECIAL NEEDS PAROLE.  (a)  An inmate serving
 288-2   a sentence for which parole eligibility is otherwise determined
 288-3   under Section 508.145(f) may become eligible for release on special
 288-4   needs parole on a date designated by a parole panel that is earlier
 288-5   than the date computed under that section if:
 288-6               (1)  the institutional division identifies the inmate
 288-7   as being elderly, physically handicapped, mentally ill, terminally
 288-8   ill, or mentally retarded;
 288-9               (2)  the parole panel determines that, based on the
288-10   inmate's condition and a medical evaluation, the inmate does not
288-11   constitute a threat to public safety or a threat to commit an
288-12   offense; and
288-13               (3)  the pardons and paroles division has prepared for
288-14   the inmate a special needs parole plan that ensures appropriate
288-15   supervision, service provision, and placement.
288-16         (b)  An inmate diagnosed as mentally ill or mentally retarded
288-17   may be released on special needs parole only if the inmate's
288-18   special needs parole plan under Subsection (a)(3) is approved by
288-19   the Texas Council on Offenders with Mental Impairments.
288-20         Sec. 508.147.  RELEASE TO MANDATORY SUPERVISION.  (a)  Except
288-21   as provided by Section 508.149, a parole panel shall order the
288-22   release of an inmate who is not on parole to mandatory supervision
288-23   when the actual calendar time the inmate has served plus any
288-24   accrued good conduct time equals the term to which the inmate was
 289-1   sentenced.
 289-2         (b)  An inmate released to mandatory supervision is
 289-3   considered to be released on parole.
 289-4         (c)  To the extent practicable, arrangements for the inmate's
 289-5   proper employment, maintenance, and care must be made before the
 289-6   inmate's release to mandatory supervision.
 289-7         Sec. 508.148.  PERIOD OF MANDATORY SUPERVISION.  (a)  The
 289-8   period of mandatory supervision is computed by subtracting from the
 289-9   term for which the inmate was sentenced the calendar time served on
289-10   the sentence.
289-11         (b)  The time served on mandatory supervision is computed as
289-12   calendar time.
289-13         Sec. 508.149.  INMATES INELIGIBLE FOR MANDATORY SUPERVISION.
289-14   (a)  An inmate may not be released to mandatory supervision if the
289-15   inmate is serving a sentence for or has been previously convicted
289-16   of:
289-17               (1)  an offense for which the judgment contains an
289-18   affirmative finding under Section 3g(a)(2), Article 42.12, Code of
289-19   Criminal Procedure;
289-20               (2)  a first degree felony under Section 19.02, Penal
289-21   Code;
289-22               (3)  a capital felony under Section 19.03, Penal Code;
289-23               (4)  a first degree felony or a second degree felony
289-24   under Section 20.04, Penal Code;
 290-1               (5)  a second degree felony under Section 22.011, Penal
 290-2   Code;
 290-3               (6)  a first degree felony or a second degree felony
 290-4   under Section 22.02, Penal Code;
 290-5               (7)  a first degree felony under Section 22.021, Penal
 290-6   Code;
 290-7               (8)  a first degree felony under Section 22.04, Penal
 290-8   Code;
 290-9               (9)  a first degree felony under Section 28.02, Penal
290-10   Code;
290-11               (10)  a second degree felony under Section 29.02, Penal
290-12   Code;
290-13               (11)  a first degree felony under Section 29.03, Penal
290-14   Code;
290-15               (12)  a first degree felony under Section 30.02, Penal
290-16   Code; or
290-17               (13)  a felony for which the punishment is increased
290-18   under Section 481.134, Health and Safety Code.
290-19         (b)  An inmate may not be released to mandatory supervision
290-20   if a parole panel determines that:
290-21               (1)  the inmate's accrued good conduct time is not an
290-22   accurate reflection of the inmate's potential for rehabilitation;
290-23   and
290-24               (2)  the inmate's release would endanger the public.
 291-1         (c)  A parole panel that makes a determination under
 291-2   Subsection (b) shall specify in writing the reasons for the
 291-3   determination.
 291-4         (d)  A determination under Subsection (b) is not subject to
 291-5   administrative or judicial review, except that the parole panel
 291-6   making the determination shall reconsider the inmate for release to
 291-7   mandatory supervision at least twice during the two years after the
 291-8   date of the determination.
 291-9         Sec. 508.150.  CONSECUTIVE FELONY SENTENCES.  (a)  If an
291-10   inmate is sentenced to consecutive felony sentences under Article
291-11   42.08, Code of Criminal Procedure, a parole panel shall designate
291-12   during each sentence the date, if any, the inmate would have been
291-13   eligible for release on parole if the inmate had been sentenced to
291-14   serve a single sentence.
291-15         (b)  For the purposes of Article 42.08, Code of Criminal
291-16   Procedure, the judgment and sentence of an inmate sentenced for a
291-17   felony, other than the last sentence in a series of consecutive
291-18   sentences, cease to operate:
291-19               (1)  when the actual calendar time served by the inmate
291-20   equals the sentence imposed by the court; or
291-21               (2)  on the date a parole panel designates as the date
291-22   the inmate would have been eligible for release on parole if the
291-23   inmate had been sentenced to serve a single sentence.
291-24         (c)  A parole panel may not:
 292-1               (1)  consider consecutive sentences as a single
 292-2   sentence for purposes of parole; or
 292-3               (2)  release on parole an inmate sentenced to serve
 292-4   consecutive felony sentences before the date the inmate becomes
 292-5   eligible for release on parole from the last sentence imposed on
 292-6   the inmate.
 292-7         (d)  A parole panel may not use calendar time served and good
 292-8   conduct time accrued by an inmate that are used by the panel in
 292-9   determining when a judgment and sentence cease to operate:
292-10               (1)  for the same purpose in determining that date in a
292-11   subsequent sentence in the same series of consecutive sentences; or
292-12               (2)  for determining the date an inmate becomes
292-13   eligible for release on parole from the last sentence in a series
292-14   of consecutive sentences.
292-15         Sec. 508.151.  PRESUMPTIVE PAROLE DATE.  (a)  For the purpose
292-16   of diverting inmates to halfway houses under Section 508.118, a
292-17   parole panel, after reviewing all available pertinent information,
292-18   may designate a presumptive parole date for an inmate who:
292-19               (1)  has never been convicted of an offense listed
292-20   under Section 3g(a)(1), Article 42.12, Code of Criminal Procedure;
292-21   and
292-22               (2)  has never had a conviction with a judgment that
292-23   contains an affirmative finding under Section 3g(a)(2), Article
292-24   42.12, Code of Criminal Procedure.
 293-1         (b)  The presumptive parole date may not be a date that is
 293-2   earlier than the inmate's initial parole eligibility date computed
 293-3   under Section 508.145.
 293-4         (c)  A parole panel may rescind or postpone a previously
 293-5   established presumptive parole date on the basis of a report from
 293-6   an agent of the division responsible for supervision or an agent of
 293-7   the institutional division acting in the case.
 293-8         (d)  If an inmate transferred to preparole status has
 293-9   satisfactorily served the inmate's sentence in the halfway house to
293-10   which the inmate is assigned from the date of transfer to the
293-11   presumptive parole date, without rescission or postponement of the
293-12   date, the parole panel shall order the inmate's release on parole
293-13   and issue an appropriate certificate of release.  The releasee is
293-14   subject to the provisions of this chapter governing release on
293-15   parole.
293-16         Sec. 508.152.  PROPOSED PROGRAM OF INSTITUTIONAL PROGRESS.
293-17   (a)  Not later than the 120th day after the date an inmate is
293-18   admitted to the institutional division, the department shall obtain
293-19   all pertinent information relating to the inmate, including:
293-20               (1)  the court judgment;
293-21               (2)  any sentencing report;
293-22               (3)  the circumstances of the inmate's offense;
293-23               (4)  the inmate's previous social history and criminal
293-24   record;
 294-1               (5)  the inmate's physical and mental health record;
 294-2               (6)  a record of the inmate's conduct, employment
 294-3   history, and attitude in the institutional division; and
 294-4               (7)  any written comments or information provided by
 294-5   local trial officials or victims of the offense.
 294-6         (b)  The department shall:
 294-7               (1)  establish for the inmate a proposed program of
 294-8   measurable institutional progress; and
 294-9               (2)  submit the proposed program to the board at the
294-10   time of the board's consideration of the inmate's case for release.
294-11         (c)  The board shall conduct an initial review of an eligible
294-12   inmate not later than the 180th day after the date of the inmate's
294-13   admission to the institutional division.
294-14         (d)  Before the inmate is approved for release on parole, the
294-15   inmate must agree to participate in the programs and activities
294-16   described by the proposed program of measurable institutional
294-17   progress.
294-18         (e)  The institutional division shall:
294-19               (1)  work closely with the board to monitor the
294-20   progress of the inmate in the institutional division; and
294-21               (2)  report the progress to the board before the
294-22   inmate's release.
294-23         Sec. 508.153.  STATEMENTS OF VICTIM.  (a)  A parole panel
294-24   considering for release on parole an inmate who is serving a
 295-1   sentence for an offense in which a person was a victim shall allow:
 295-2               (1)  the victim, a guardian of the victim, a close
 295-3   relative of the deceased victim, or a representative of the victim,
 295-4   the victim's guardian, or the victim's close relative to provide a
 295-5   written statement to the panel; and
 295-6               (2)  the victim, guardian of the victim, or close
 295-7   relative of the deceased victim to appear in person before the
 295-8   board members to present a statement of the person's views about:
 295-9                     (A)  the offense;
295-10                     (B)  the inmate; and
295-11                     (C)  the effect of the offense on the victim.
295-12         (b)  If more than one person is entitled to appear in person
295-13   before the board members, only the person chosen by all persons
295-14   entitled to appear as the persons' sole representative may appear
295-15   before the board members.
295-16         (c)  The panel shall consider the statements and the
295-17   information provided in a victim impact statement in determining
295-18   whether to recommend an inmate for release on parole.
295-19         (d)  This section does not limit the number of persons who
295-20   may provide written statements for or against the release of the
295-21   inmate on parole.
295-22         (e)  In this section, "close relative of a deceased victim,"
295-23   "guardian of a victim," and "victim" have the meanings assigned by
295-24   Section 508.117.
 296-1         Sec. 508.154.  CONTRACT ON RELEASE.  (a)  An inmate to be
 296-2   released on parole shall be furnished a contract stating in clear
 296-3   and intelligible language the conditions and rules of parole.
 296-4         (b)  Acceptance, signing, and execution of the contract by
 296-5   the inmate to be paroled is a precondition to release on parole.
 296-6         (c)  An inmate released to mandatory supervision shall be
 296-7   furnished a written statement stating in clear and intelligible
 296-8   language the conditions and rules of mandatory supervision.
 296-9         (d)  A releasee while on parole or mandatory supervision must
296-10   be amenable to the conditions of supervision ordered by a parole
296-11   panel.
296-12         Sec. 508.155.  COMPLETION OF PAROLE PERIOD.  (a)  To complete
296-13   a parole period, a releasee must serve the entire period of parole.
296-14         (b)  The time on parole is computed as calendar time.
296-15         (c)  The division may allow a releasee to serve the remainder
296-16   of the releasee's sentence without supervision and without being
296-17   required to report if:
296-18               (1)  the releasee has been under supervision for at
296-19   least one-half of the time that remained on the releasee's sentence
296-20   when the releasee was released from imprisonment;
296-21               (2)  during the period of supervision the releasee's
296-22   parole or release to mandatory supervision has not been revoked;
296-23   and
296-24               (3)  the division determines:
 297-1                     (A)  that the releasee has made a good faith
 297-2   effort to comply with any restitution order imposed on the releasee
 297-3   by a court; and
 297-4                     (B)  that allowing the releasee to serve the
 297-5   remainder of the releasee's sentence without supervision and
 297-6   reporting is in the best interest of society.
 297-7         (d)  The division may require a person released from
 297-8   supervision and reporting under Subsection (c) to resubmit to
 297-9   supervision and resume reporting at any time and for any reason.
297-10         Sec. 508.156.  DETERMINATE SENTENCE PAROLE.  (a)  Before the
297-11   release of a person who is transferred under Section 61.081(f) or
297-12   61.084(f) or (g), Human Resources Code, to the division for release
297-13   on parole, a parole panel shall review the person's records and may
297-14   interview the person or any other person the panel considers
297-15   necessary to determine the conditions of parole.  The panel may
297-16   impose any reasonable condition of parole on the person that the
297-17   panel may impose on an adult inmate under this chapter.
297-18         (b)  The panel shall furnish the person with a written
297-19   statement clearly describing the conditions and rules of parole.
297-20   The person must accept and sign the statement as a precondition to
297-21   release on parole.
297-22         (c)  While on parole, the person remains in the legal custody
297-23   of the state and shall comply with the conditions of parole ordered
297-24   by a panel under this section.
 298-1         (d)  The period of parole for a person released on parole
 298-2   under this section is the term for which the person was sentenced
 298-3   less calendar time served at the Texas Youth Commission and in a
 298-4   juvenile detention facility in connection with the conduct for
 298-5   which the person was adjudicated.
 298-6         (e)  If a parole panel revokes the person's parole, the panel
 298-7   may require the person to serve the remaining portion of the
 298-8   person's sentence in the institutional division.  The remaining
 298-9   portion of the person's sentence is computed without credit for the
298-10   time from the date of the person's release to the date of
298-11   revocation.  The panel may not recommit the person to the Texas
298-12   Youth Commission.
298-13         (f)  For purposes of this chapter, a person released from the
298-14   Texas Youth Commission on parole under this section is considered
298-15   to have been convicted of the offense for which the person has been
298-16   adjudicated.
298-17            (Sections 508.157-508.180 reserved for expansion
298-18            SUBCHAPTER F.  MANDATORY CONDITIONS OF PAROLE OR
298-19                          MANDATORY SUPERVISION
298-20         Sec. 508.181.  RESIDENCE DURING RELEASE.  (a)  Except as
298-21   provided by Subsections (b) and (c), a parole panel shall require
298-22   as a condition of parole or mandatory supervision that the releasee
298-23   reside in the county in which:
298-24               (1)  the releasee resided at the time of committing the
 299-1   offense for which the releasee was sentenced to the institutional
 299-2   division; or
 299-3               (2)  the releasee committed the offense for which the
 299-4   releasee was sentenced to the institutional division, if the
 299-5   releasee was not a resident of this state at the time of committing
 299-6   the offense.
 299-7         (b)  A parole panel may require a releasee to reside in a
 299-8   county other than the county required under Subsection (a) to:
 299-9               (1)  protect the life or safety of:
299-10                     (A)  a victim of the releasee's offense;
299-11                     (B)  the releasee;
299-12                     (C)  a witness in the case; or
299-13                     (D)  any other person; or
299-14               (2)  increase the likelihood of the releasee's
299-15   successful completion of parole or mandatory supervision, because
299-16   of:
299-17                     (A)  written expressions of significant public
299-18   concern in the county in which the releasee would otherwise be
299-19   required to reside;
299-20                     (B)  the presence of family members or friends in
299-21   the other county who have expressed a willingness to assist the
299-22   releasee in successfully completing the conditions of the
299-23   releasee's parole or mandatory supervision;
299-24                     (C)  the verified existence of a job offer in the
 300-1   other county; or
 300-2                     (D)  the availability of a treatment program,
 300-3   educational program, or other social service program in the other
 300-4   county that is not available in the county in which the releasee is
 300-5   otherwise required to reside under Subsection (a).
 300-6         (c)  At any time after a releasee is released on parole or to
 300-7   mandatory supervision, a parole panel may modify the conditions of
 300-8   parole or mandatory supervision to require the releasee to reside
 300-9   in a county other than the county required by the original
300-10   conditions.  In making a decision under this subsection, a parole
300-11   panel must consider the factors listed under Subsection (b).
300-12         (d)  If a parole panel initially requires the releasee to
300-13   reside in a county other than the county required under Subsection
300-14   (a), the parole panel shall subsequently require the releasee to
300-15   reside in the county described under Subsection (a) if the
300-16   requirement that the releasee reside in the other county was based
300-17   on:
300-18               (1)  the verified existence of a job offer under
300-19   Subsection (b)(2)(C) and the releasee is no longer employed or
300-20   actively seeking employment; or
300-21               (2)  the availability of a treatment program,
300-22   educational program, or other social service program under
300-23   Subsection (b)(2)(D) and the releasee:
300-24                     (A)  no longer regularly participates in the
 301-1   program as required by a condition of parole or mandatory
 301-2   supervision; or
 301-3                     (B)  has successfully completed the program but
 301-4   has violated another condition of the releasee's parole or
 301-5   mandatory supervision.
 301-6         (e)  If a parole panel requires the releasee to reside in a
 301-7   county other than the county required under Subsection (a), the
 301-8   panel shall:
 301-9               (1)  state in writing the reason for the panel's
301-10   decision; and
301-11               (2)  place the statement in the releasee's permanent
301-12   record.
301-13         (f)  This section does not apply to a decision by a parole
301-14   panel to require a releasee to serve the period of parole or
301-15   mandatory supervision in another state.
301-16         Sec. 508.182.  PAROLE SUPERVISION FEE; ADMINISTRATIVE FEE.
301-17   (a)  A parole panel shall require as a condition of parole or
301-18   mandatory supervision that a releasee pay to the division for each
301-19   month during which the releasee is under parole supervision:
301-20               (1)  a parole supervision fee of $10; and
301-21               (2)  an administrative fee of $8.
301-22         (b)  A fee under this section applies to an inmate released
301-23   in another state who is required as a condition of the inmate's
301-24   release to report to a parole officer or supervisor in this state
 302-1   for parole supervision.
 302-2         (c)  On the request of the releasee, a parole panel may allow
 302-3   the releasee to defer one or more payments under this section.  The
 302-4   releasee remains responsible for payment of the fee and shall pay
 302-5   the amount of the deferred payment not later than the second
 302-6   anniversary of the date the payment becomes due.
 302-7         (d)  The Texas Board of Criminal Justice shall adopt rules
 302-8   relating to the method of payment required of the releasee.
 302-9         (e)  The division shall remit fees collected under this
302-10   section to the comptroller.  The comptroller shall deposit the fees
302-11   collected under:
302-12               (1)  Subsection (a)(1) in the general revenue fund; and
302-13               (2)  Subsection (a)(2) in the compensation to victims
302-14   of crime fund.
302-15         (f)  In a parole or mandatory supervision revocation hearing
302-16   under Section 508.281 at which it is alleged only that the releasee
302-17   failed to make a payment under this section, it is an affirmative
302-18   defense to revocation that the releasee is unable to pay the amount
302-19   as ordered by a parole panel.  The releasee must prove the
302-20   affirmative defense by a preponderance of the evidence.
302-21         Sec. 508.183.  EDUCATIONAL SKILL LEVEL.  (a)  A parole panel
302-22   shall require as a condition of release on parole or release to
302-23   mandatory supervision that an inmate demonstrate to the parole
302-24   panel whether the inmate has an educational skill level that is
 303-1   equal to or greater than the average skill level of students who
 303-2   have completed the sixth grade in a public school in this state.
 303-3         (b)  If the parole panel determines that the inmate has not
 303-4   attained that skill level, the parole panel shall require as a
 303-5   condition of parole or mandatory supervision that the inmate as a
 303-6   releasee attain that level of educational skill, unless the parole
 303-7   panel determines that the inmate lacks the intellectual capacity or
 303-8   the learning ability to ever achieve that level of skill.
 303-9         Sec. 508.184.  CONTROLLED SUBSTANCE TESTING.  (a)  A parole
303-10   panel shall require as a condition of parole or mandatory
303-11   supervision that a releasee submit to testing for controlled
303-12   substances on evidence that:
303-13               (1)  a controlled substance is present in the
303-14   releasee's body;
303-15               (2)  the releasee has used a controlled substance; or
303-16               (3)  the use of a controlled substance is related to
303-17   the offense for which the releasee was convicted.
303-18         (b)  The Texas Board of Criminal Justice by rule shall adopt
303-19   procedures for the administration of a test required under this
303-20   section.
303-21         Sec. 508.185.  SUBSTANCE ABUSE TREATMENT.  (a)  A parole
303-22   panel shall require as a condition of release on parole or release
303-23   to mandatory supervision that an inmate who immediately before
303-24   release is a participant in the program established under Section
 304-1   501.0931 participate as a releasee in a drug or alcohol abuse
 304-2   continuum of care treatment program.
 304-3         (b)  The Texas Commission on Alcohol and Drug Abuse shall
 304-4   develop the continuum of care treatment program.
 304-5         Sec. 508.186.  SEX OFFENDER REGISTRATION.  (a)  A parole
 304-6   panel shall require as a condition of parole or mandatory
 304-7   supervision that a releasee required to register as a sex offender
 304-8   under Article 6252-13c.1, Revised Statutes:
 304-9               (1)  register under that article; and
304-10               (2)  pay to the releasee's supervising officer an
304-11   amount equal to the cost, as evidenced by written receipt, incurred
304-12   by the applicable local law enforcement authority for providing
304-13   notice for publication to a newspaper as required by that article.
304-14         (b)  The division shall remit an amount collected under this
304-15   section to the applicable local law enforcement authority.
304-16         (c)  In a parole or mandatory supervision revocation hearing
304-17   under Section 508.281 at which it is alleged only that the releasee
304-18   failed to make a payment under this section, it is an affirmative
304-19   defense to revocation that the releasee is unable to pay the amount
304-20   as ordered by a parole panel.  The releasee must prove the
304-21   affirmative defense by a preponderance of the evidence.
304-22         Sec. 508.187.  CHILD SAFETY ZONE.  (a)  This section applies
304-23   only to a releasee serving a sentence for an offense under:
304-24               (1)  Section 43.25 or 43.26, Penal Code;
 305-1               (2)  Section 21.11, 22.011, 22.021, or 25.02, Penal
 305-2   Code;
 305-3               (3)  Section 20.04(a)(4), Penal Code, if the releasee
 305-4   committed the offense with the intent to violate or abuse the
 305-5   victim sexually; or
 305-6               (4)  Section 30.02, Penal Code, punishable under
 305-7   Subsection (d) of that section, if the releasee committed the
 305-8   offense with the intent to commit a felony listed in Subdivision
 305-9   (2) or (3).
305-10         (b)  A parole panel shall establish a child safety zone
305-11   applicable to a releasee if the panel determines that a child as
305-12   defined by Section 22.011(c), Penal Code, was the victim of the
305-13   offense, by requiring as a condition of parole or mandatory
305-14   supervision that the releasee:
305-15               (1)  not:
305-16                     (A)  supervise or participate in any program that
305-17   includes as participants or recipients persons who are 17 years of
305-18   age or younger and that regularly provides athletic, civic, or
305-19   cultural activities; or
305-20                     (B)  go in, on, or within a distance specified by
305-21   the panel of premises where children commonly gather, including a
305-22   school, day-care facility, playground, public or private youth
305-23   center, public swimming pool, or video arcade facility; and
305-24               (2)  attend psychological counseling sessions for sex
 306-1   offenders with an individual or organization that provides sex
 306-2   offender treatment or counseling as specified by the parole officer
 306-3   supervising the releasee after release.
 306-4         (c)  A parole officer who under Subsection (b)(2) specifies a
 306-5   sex offender treatment provider to provide counseling to a releasee
 306-6   shall:
 306-7               (1)  contact the provider before the releasee is
 306-8   released;
 306-9               (2)  establish the date, time, and place of the first
306-10   session between the releasee and the provider; and
306-11               (3)  request the provider to immediately notify the
306-12   officer if the releasee fails to attend the first session or any
306-13   subsequent scheduled session.
306-14         (d)  At any time after the imposition of a condition under
306-15   Subsection (b)(1), the releasee may request the parole panel to
306-16   modify the child safety zone applicable to the releasee because the
306-17   zone as created by the panel:
306-18               (1)  interferes with the releasee's ability to attend
306-19   school or hold a job and consequently constitutes an undue hardship
306-20   for the releasee; or
306-21               (2)  is broader than necessary to protect the public,
306-22   given the nature and circumstances of the offense.
306-23         (e)  A parole officer supervising a releasee may permit the
306-24   releasee to enter on an event-by-event basis into the child safety
 307-1   zone that the releasee is otherwise prohibited from entering if:
 307-2               (1)  the releasee has served at least two years of the
 307-3   period of supervision imposed on release;
 307-4               (2)  the releasee enters the zone as part of a program
 307-5   to reunite with the releasee's family;
 307-6               (3)  the releasee presents to the parole officer a
 307-7   written proposal specifying:
 307-8                     (A)  where the releasee intends to go within the
 307-9   zone;
307-10                     (B)  why and with whom the releasee is going; and
307-11                     (C)  how the releasee intends to cope with any
307-12   stressful situations that occur;
307-13               (4)  the sex offender treatment provider treating the
307-14   releasee agrees with the officer that the releasee should be
307-15   allowed to attend the event; and
307-16               (5)  the officer and the treatment provider agree on a
307-17   chaperon to accompany the releasee, and the chaperon agrees to
307-18   perform that duty.
307-19         (f)  In this section, "playground," "premises," "school,"
307-20   "video arcade facility," and "youth center" have the meanings
307-21   assigned by Section 481.134, Health and Safety Code.
307-22         Sec. 508.188.  COMMUNITY SERVICE FOR CERTAIN RELEASEES.  A
307-23   parole panel shall require as a condition of parole or mandatory
307-24   supervision that a releasee for whom the court has made an
 308-1   affirmative finding under Article 42.014, Code of Criminal
 308-2   Procedure, perform not less than 300 hours of community service at
 308-3   a project designated by the parole panel that primarily serves the
 308-4   person or group that was the target of the releasee.
 308-5         Sec. 508.189.  PAROLE FEE FOR CERTAIN RELEASEES.  (a)  A
 308-6   parole panel shall require as a condition of parole or mandatory
 308-7   supervision that a releasee convicted of an offense under Section
 308-8   21.08, 21.11, 22.011, 22.021, 25.02, 43.25, or 43.26, Penal Code,
 308-9   pay to the division a parole supervision fee of $5 each month
308-10   during the period of parole supervision.
308-11         (b)  The division shall send fees collected under this
308-12   section to the comptroller.  The comptroller shall deposit the fees
308-13   in the general revenue fund to the credit of the sexual assault
308-14   program fund established under Section 44.0061, Health and Safety
308-15   Code.
308-16            (Sections 508.190-508.220 reserved for expansion
308-17          SUBCHAPTER G.  DISCRETIONARY CONDITIONS OF PAROLE OR
308-18                          MANDATORY SUPERVISION
308-19         Sec. 508.221.  CONDITIONS PERMITTED GENERALLY.  A parole
308-20   panel may impose as a condition of parole or mandatory supervision
308-21   any condition that a court may impose on a defendant placed on
308-22   community supervision under Article 42.12, Code of Criminal
308-23   Procedure, including the condition that a releasee submit to
308-24   testing for controlled substances or submit to electronic
 309-1   monitoring if the parole panel determines that without testing for
 309-2   controlled substances or participation in an electronic monitoring
 309-3   program the inmate would not be released on parole.
 309-4         Sec. 508.222.  PAYMENT OF CERTAIN DAMAGES.  A parole panel
 309-5   may require as a condition of parole or mandatory supervision that
 309-6   a releasee make payments in satisfaction of damages for which the
 309-7   releasee is liable under Section 500.002.
 309-8         Sec. 508.223.  AVOIDING VICTIM.  (a)  A parole panel may
 309-9   require as a condition of parole or mandatory supervision that a
309-10   releasee serving a sentence for an offense under Section 42.072,
309-11   Penal Code, not:
309-12               (1)  communicate directly or indirectly with the
309-13   victim;
309-14               (2)  go to or near the residence, place of employment,
309-15   or business of the victim; or
309-16               (3)  go to or near a school, day-care facility, or
309-17   similar facility where a dependent child of the victim is in
309-18   attendance.
309-19         (b)  If a parole panel requires the prohibition contained in
309-20   Subsection (a)(2) or (3) as a condition of parole or mandatory
309-21   supervision, the parole panel shall specifically describe the
309-22   prohibited locations and the minimum distances, if any, that the
309-23   releasee must maintain from the locations.
309-24         Sec. 508.224.  SUBSTANCE ABUSE COUNSELING.  A parole panel
 310-1   may require as a condition of parole or mandatory supervision that
 310-2   the releasee attend counseling sessions for substance abusers or
 310-3   participate in substance abuse treatment services in a program or
 310-4   facility approved or licensed by the Texas Commission on Alcohol
 310-5   and Drug Abuse if:
 310-6               (1)  the releasee was sentenced for an offense
 310-7   involving a controlled substance; or
 310-8               (2)  the panel determines that the releasee's substance
 310-9   abuse was related to the commission of the offense.
310-10            (Sections 508.225-508.250 reserved for expansion
310-11                         SUBCHAPTER H.  WARRANTS
310-12         Sec. 508.251.  ISSUANCE OF WARRANT OR SUMMONS.  (a)  In a
310-13   case of parole or mandatory supervision, the director or a
310-14   designated agent of the director or, in another case, the board on
310-15   order by the governor, may issue a warrant as provided by Section
310-16   508.252 for the return of:
310-17               (1)  a releasee;
310-18               (2)  an inmate released although not eligible for
310-19   release;
310-20               (3)  a resident released to a preparole or work
310-21   program;
310-22               (4)  an inmate released on emergency reprieve or on
310-23   emergency absence under escort; or
310-24               (5)  a person released on a conditional pardon.
 311-1         (b)  A warrant issued under Subsection (a) must require the
 311-2   return of the person to the institution from which the person was
 311-3   paroled or released.
 311-4         (c)  Instead of the issuance of a warrant under this section,
 311-5   the division may issue to the person a summons requiring the person
 311-6   to appear for a hearing under Section 508.281.  The summons must
 311-7   state the time, date, place, and purpose of the hearing.
 311-8         (d)  A designated agent of the director acts independently
 311-9   from a parole officer and must receive specialized training as
311-10   determined by the director.
311-11         Sec. 508.252.  GROUNDS FOR ISSUANCE OF WARRANT.  A warrant
311-12   may be issued under Section 508.251 if:
311-13               (1)  there is reason to believe that the person has
311-14   been released although not eligible for release;
311-15               (2)  the person has been arrested for an offense;
311-16               (3)  there is a verified complaint stating that the
311-17   person violated a rule or condition of release; or
311-18               (4)  there is reliable evidence that the person has
311-19   exhibited behavior during the person's release that indicates to a
311-20   reasonable person that the person poses a danger to society that
311-21   warrants the person's immediate return to custody.
311-22         Sec. 508.253.  EFFECT ON SENTENCE AFTER ISSUANCE OF WARRANT.
311-23   If it appears a releasee has violated a condition or provision of
311-24   the releasee's parole or mandatory supervision, the date of the
 312-1   issuance of the warrant to the date of the releasee's arrest is not
 312-2   counted as a part of the time served under the releasee's sentence.
 312-3         Sec. 508.254.  DETENTION UNDER WARRANT.  (a)  A person who is
 312-4   the subject of a warrant may be held in custody pending a
 312-5   determination of all facts surrounding the alleged offense,
 312-6   violation of a rule or condition of release, or dangerous behavior.
 312-7         (b)  A warrant authorizes any officer named by the warrant to
 312-8   take custody of the person and detain the person until a parole
 312-9   panel orders the return of the person to the institution from which
312-10   the person was released.
312-11         (c)  Pending a hearing on a charge of parole violation,
312-12   ineligible release, or violation of a condition of mandatory
312-13   supervision, a person returned to custody shall remain confined.
312-14         Sec. 508.255.  STATUS AS FUGITIVE FROM JUSTICE.  (a)  After
312-15   the issuance of a warrant, a person for whose return a warrant was
312-16   issued is a fugitive from justice.
312-17         (b)  The law relating to the right of the state to extradite
312-18   a person and return a fugitive from justice and Article 42.11, Code
312-19   of Criminal Procedure, relating to the waiver of all legal
312-20   requirements to obtain extradition of a fugitive from justice from
312-21   another state to this state, are not impaired by this chapter and
312-22   remain in full force and effect.
312-23         Sec. 508.256.  WITHDRAWAL OF WARRANT.  At any time before
312-24   setting a revocation hearing date under Section 508.282, the
 313-1   division may withdraw a warrant and continue supervision of a
 313-2   releasee.
 313-3            (Sections 508.257-508.280 reserved for expansion
 313-4                  SUBCHAPTER I.  HEARINGS AND SANCTIONS
 313-5         Sec. 508.281.  HEARING.  (a)  A releasee, a person released
 313-6   although ineligible for release, or a person granted a conditional
 313-7   pardon is entitled to a hearing before a parole panel or a
 313-8   designated agent of the board under the rules adopted by the board
 313-9   if the releasee or person:
313-10               (1)  is accused of a violation of the releasee's parole
313-11   or mandatory supervision or the person's conditional pardon, on
313-12   information and complaint by a peace officer or parole officer; or
313-13               (2)  is arrested after an ineligible release.
313-14         (b)  If a parole panel or designated agent of the board
313-15   determines that a releasee or person granted a conditional pardon
313-16   has been convicted of a felony offense committed while an
313-17   administrative releasee and has been sentenced to a term of
313-18   confinement in a penal institution, the determination is considered
313-19   to be a sufficient hearing to revoke the parole or mandatory
313-20   supervision or recommend to the governor revocation of a
313-21   conditional pardon without further hearing, except that the parole
313-22   panel or designated agent shall conduct a hearing to consider
313-23   mitigating circumstances if requested by the releasee or person
313-24   granted a conditional pardon.
 314-1         Sec. 508.282.  DATE OF HEARING; WITHDRAWAL OF WARRANT.  (a)
 314-2   A hearing under Section 508.281 must be held:
 314-3               (1)  not later than the 70th day after the date of
 314-4   arrest under a warrant issued by the director or a designated agent
 314-5   of the director or by the board on order of the governor; and
 314-6               (2)  at a time and place set by a parole panel or
 314-7   designated agent of the board.
 314-8         (b)  Except as provided by Subsection (c), the panel or
 314-9   designated agent may hold the hearing at a date later than the date
314-10   required under Subsection (a) if the panel or designated agent
314-11   determines a delay is necessary to assure due process for the
314-12   person.
314-13         (c)  The authority issuing the warrant shall immediately
314-14   withdraw the warrant if the hearing is not held before the 121st
314-15   day after the date of arrest unless:
314-16               (1)  the person has been removed from the custody of a
314-17   county sheriff by the department and placed in a community
314-18   residential facility;
314-19               (2)  the person is in custody in another state or in a
314-20   federal correctional facility;
314-21               (3)  the person, the attorney representing the person,
314-22   or the attorney representing the state is granted a continuance to
314-23   a date that is not later than the 181st day after the date of
314-24   arrest; or
 315-1               (4)  the person is subject to pending criminal charges
 315-2   that have not been adjudicated.
 315-3         Sec. 508.283.  SANCTIONS.  (a)  After a parole panel or
 315-4   designated agent of the board has held a hearing under Section
 315-5   508.281, the board may, in any manner warranted by the evidence:
 315-6               (1)  recommend to the governor to continue, revoke, or
 315-7   modify the conditional pardon; or
 315-8               (2)  continue, revoke, or modify the parole or
 315-9   mandatory supervision.
315-10         (b)  The parole panel or designated agent shall make a
315-11   recommendation or decision not later than the 30th day after the
315-12   date the hearing is concluded.
315-13         (c)  If a person's parole, mandatory supervision, or
315-14   conditional pardon is revoked, the person may be required to serve
315-15   the remaining portion of the sentence on which the person was
315-16   released.  The remaining portion is computed without credit for the
315-17   time from the date of the person's release to the date of
315-18   revocation.
315-19         (d)  If a warrant is issued charging a violation of a release
315-20   condition, the sentence time credit may be suspended until a
315-21   determination is made in the case.  The suspended time credit may
315-22   be reinstated if the parole, mandatory supervision, or conditional
315-23   pardon is continued.
315-24            (Sections 508.284-508.310 reserved for expansion
 316-1                      SUBCHAPTER J.  MISCELLANEOUS
 316-2         Sec. 508.311.  DUTY TO PROVIDE INFORMATION.  On request of a
 316-3   member of the board or employee of the board or department, a
 316-4   public official of the state, including a judge, district attorney,
 316-5   county attorney, or police officer, who has information relating to
 316-6   an inmate eligible for parole shall send to the department in
 316-7   writing the information in the official's possession or under the
 316-8   official's control.
 316-9         Sec. 508.312.  INFORMATION ON RECIDIVISM OF RELEASEES.  The
316-10   Texas Board of Criminal Justice shall collect information on
316-11   recidivism of releasees under the supervision of the division and
316-12   shall use the information to evaluate operations.
316-13         Sec. 508.313.  CONFIDENTIAL INFORMATION.  (a)  All
316-14   information obtained and maintained, including a victim protest
316-15   letter or other correspondence, a victim impact statement, a list
316-16   of inmates eligible for release on parole, and an arrest record of
316-17   an inmate, is confidential and privileged if the information
316-18   relates to:
316-19               (1)  an inmate of the institutional division subject to
316-20   release on parole, release to mandatory supervision, or executive
316-21   clemency;
316-22               (2)  a releasee; or
316-23               (3)  a person directly identified in any proposed plan
316-24   of release for an inmate.
 317-1         (b)  Statistical and general information relating to the
 317-2   parole and mandatory supervision system, including the names of
 317-3   releasees and data recorded relating to parole and mandatory
 317-4   supervision services, is not confidential or privileged and must be
 317-5   made available for public inspection at any reasonable time.
 317-6         (c)  The department may provide information that is
 317-7   confidential and privileged under Subsection (a) to:
 317-8               (1)  the governor;
 317-9               (2)  a member of the board;
317-10               (3)  the Criminal Justice Policy Council in performing
317-11   duties of the council under Section 413.021; or
317-12               (4)  an eligible entity requesting information for a
317-13   law enforcement, prosecutorial, correctional, clemency, or
317-14   treatment purpose.
317-15         (d)  In this section, "eligible entity" means:
317-16               (1)  a government agency, including the office of a
317-17   prosecuting attorney;
317-18               (2)  an organization with which the department
317-19   contracts or an organization to which the department provides a
317-20   grant; or
317-21               (3)  an organization to which inmates are referred for
317-22   services by the department.
317-23         (e)  This section does not apply to information relating to a
317-24   sex offender that is authorized for release under Article
 318-1   6252-13c.1, Revised Statutes.
 318-2         Sec. 508.314.  ACCESS TO INMATES.  The department shall:
 318-3               (1)  grant to a member or employee of the board access
 318-4   at all reasonable times to any inmate;
 318-5               (2)  provide for the member or employee or a
 318-6   representative of the member or employee facilities for
 318-7   communicating with or observing an inmate; and
 318-8               (3)  furnish to the member or employee:
 318-9                     (A)  any report the member or employee requires
318-10   relating to the conduct or character of an inmate; or
318-11                     (B)  other facts a parole panel considers
318-12   pertinent in determining whether an inmate will be released on
318-13   parole.
318-14         Sec. 508.315.  ELECTRONIC MONITORING PROGRAMS.  (a)  To
318-15   establish and maintain an electronic monitoring program under this
318-16   chapter, the department may:
318-17               (1)  fund an electronic monitoring program in a parole
318-18   office;
318-19               (2)  develop standards for the operation of an
318-20   electronic monitoring program in a parole office; and
318-21               (3)  fund the purchase, lease, or maintenance of
318-22   electronic monitoring equipment.
318-23         (b)  In determining whether electronic monitoring equipment
318-24   should be leased or purchased, the department shall consider the
 319-1   rate at which technological change makes electronic monitoring
 319-2   equipment obsolete.
 319-3         Sec. 508.316.  SPECIAL PROGRAMS.  (a)  The department may
 319-4   contract for services for releasees if funds are appropriated to
 319-5   the department for the services, including services for releasees
 319-6   who have a history of:
 319-7               (1)  mental impairment or mental retardation;
 319-8               (2)  substance abuse; or
 319-9               (3)  sexual offenses.
319-10         (b)  The department shall seek funding for a contract under
319-11   this section as a priority item.
319-12         Sec. 508.317.  INTENSIVE SUPERVISION PROGRAM.  (a)  The
319-13   department shall establish a program to provide intensive
319-14   supervision to inmates released under Subchapter B, Chapter 499,
319-15   and other inmates determined by a parole panel or the department to
319-16   require intensive supervision.
319-17         (b)  The Texas Board of Criminal Justice shall adopt rules
319-18   that establish standards for determining which inmates require
319-19   intensive supervision.
319-20         (c)  The program must provide the highest level of
319-21   supervision the department provides.
319-22         Sec. 508.318.  CONTINUING EDUCATION PROGRAM.  (a)  The Texas
319-23   Board of Criminal Justice and the Texas Education Agency shall
319-24   adopt a memorandum of understanding that establishes the respective
 320-1   responsibilities of the board and the agency in implementing a
 320-2   continuing education program to increase the literacy of releasees.
 320-3         (b)  The Texas Board of Criminal Justice and the agency shall
 320-4   coordinate the development of the memorandum of understanding and
 320-5   each by rule shall adopt the memorandum.
 320-6         Sec. 508.319.  PROGRAM TO ASSESS AND ENHANCE EDUCATIONAL AND
 320-7   VOCATIONAL SKILLS.  (a)  The department, with the assistance of
 320-8   public school districts, community and public junior colleges,
 320-9   public and private institutions of higher education, and other
320-10   appropriate public and private entities, may establish a
320-11   developmental program based on information obtained under Section
320-12   508.183 for an inmate to be released to the supervision of the
320-13   division.
320-14         (b)  The developmental program may provide the inmate with
320-15   the educational and vocational training necessary to:
320-16               (1)  meet the average skill level required under
320-17   Section 508.183; and
320-18               (2)  acquire employment while in the custody of the
320-19   division to lessen the likelihood that the inmate will return to
320-20   the institutional division.
320-21         (c)  To decrease state expense for a program established
320-22   under this section, the Texas Workforce Commission shall provide to
320-23   the department and the other entities described by Subsection (a)
320-24   information relating to obtaining financial assistance under
 321-1   applicable programs of public or private entities.
 321-2         (d)  The department may establish a developmental program
 321-3   similar to the program described by Subsection (a) for inmates
 321-4   released from the institutional division who will not be supervised
 321-5   by the department.
 321-6         Sec. 508.320.  CONTRACTS FOR LEASE OF FEDERAL FACILITIES.
 321-7   (a)  The department may contract with the federal government for
 321-8   the lease of a military base or other federal facility that is not
 321-9   being used by the federal government.
321-10         (b)  The department may use a facility leased under this
321-11   section to house releasees in the custody of the division.
321-12         (c)  The department may not enter into a contract under this
321-13   section unless funds have been appropriated specifically to make
321-14   payments on a contract under this section.
321-15         (d)  The department shall attempt to enter into contracts
321-16   that will provide the department with facilities located in various
321-17   parts of the state.
321-18         Sec. 508.321.  REPORTING, MANAGEMENT, AND COLLECTION
321-19   SERVICES.  The department, with the approval of the Texas Board of
321-20   Criminal Justice, may contract with a public or private vendor to
321-21   provide telephone reporting, automated caseload management, or
321-22   collection services for:
321-23               (1)  fines, fees, restitution, or other costs ordered
321-24   to be paid by a court; or
 322-1               (2)  fees collected by the division.
 322-2         Sec. 508.322.  RELEASEE RESTITUTION FUND.  (a)  The releasee
 322-3   restitution fund is a fund outside the treasury and consists of
 322-4   restitution payments made by releasees.  Money in the fund may be
 322-5   used only to pay restitution as required by a condition of parole
 322-6   or mandatory supervision to victims of criminal offenses.
 322-7         (b)  The comptroller is the trustee of the releasee
 322-8   restitution fund as provided by Section 404.073.
 322-9         (c)  When the board orders the payment of restitution from a
322-10   releasee as provided by Article 42.037(h), Code of Criminal
322-11   Procedure, the department shall:
322-12               (1)  collect the payment for disbursement to the
322-13   victim;
322-14               (2)  deposit the payment in the releasee restitution
322-15   fund; and
322-16               (3)  transmit the payment to the victim as soon as
322-17   practicable.
322-18         (d)  If a victim who is entitled to restitution cannot be
322-19   located, immediately after receiving a final payment in
322-20   satisfaction of an order of restitution for the victim, the
322-21   department shall attempt to notify the victim of that fact by
322-22   certified mail, mailed to the last known address of the victim.  If
322-23   a victim then makes a claim for payment, the department promptly
322-24   shall remit the payment to the victim.
 323-1         (e)  Money that remains unclaimed shall be transferred to the
 323-2   compensation to victims of crime auxiliary fund on the fifth
 323-3   anniversary of the date the money was deposited to the credit of
 323-4   the releasee restitution fund.
 323-5         Sec. 508.323.  AUDIT.  The financial transactions of the
 323-6   division and the board are subject to audit by the state auditor in
 323-7   accordance with Chapter 321.
 323-8         SECTION 12.02.  Article 15.27(h), Code of Criminal Procedure,
 323-9   is amended to read as follows:
323-10         (h)  This article applies to:
323-11               (1)  an offense listed in Section 508.149, Government
323-12   Code [8(c), Article 42.18, Code of Criminal Procedure]; deadly
323-13   [reckless] conduct, as described by Section 22.05, Penal Code; or a
323-14   terroristic threat, as described by Section 22.07, Penal Code;
323-15               (2)  the unlawful use, sale, or possession of a
323-16   controlled substance, drug paraphernalia, or marihuana, as defined
323-17   by Chapter 481, Health and Safety Code;
323-18               (3)  the unlawful possession of any of the weapons or
323-19   devices listed in Sections 46.01(1)-(14) or (16), Penal Code; or a
323-20   weapon listed as a prohibited weapon under Section 46.05, Penal
323-21   Code; or
323-22               (4)  a criminal offense under Section 71.02, Penal
323-23   Code.
323-24         SECTION 12.03.  Section 3g(a), Article 42.12, Code of
 324-1   Criminal Procedure, as amended by Chapters 260 and 318, Acts of the
 324-2   74th Legislature, Regular Session, 1995, is amended to read as
 324-3   follows:
 324-4         (a)  The provisions of Section 3 of this article do not
 324-5   apply:
 324-6               (1)  to a defendant adjudged guilty of an offense
 324-7   under:
 324-8                     (A)  Section 19.02, Penal Code (Murder);
 324-9                     (B)  Section 19.03, Penal Code (Capital murder);
324-10                     (C)  Section 21.11(a)(1), Penal Code (Indecency
324-11   with a child);
324-12                     (D)  Section 20.04, Penal Code (Aggravated
324-13   kidnapping);
324-14                     (E)  Section 22.021, Penal Code (Aggravated
324-15   sexual assault);
324-16                     (F)  Section 29.03, Penal Code (Aggravated
324-17   robbery); [or]
324-18                     (G)  Chapter 481, Health and Safety Code, for
324-19   which punishment is increased under Section 481.134(c), (d), (e),
324-20   or (f), Health and Safety Code, if it is shown that the defendant
324-21   has been previously convicted of an offense for which punishment
324-22   was increased under any of those subsections; or
324-23                     (H) [(G)]  Section 22.011(a)(2), Penal Code
324-24   (Sexual assault); or
 325-1               (2)  to a defendant when it is shown that a deadly
 325-2   weapon as defined in Section 1.07, Penal Code, was used or
 325-3   exhibited during the commission of a felony offense or during
 325-4   immediate flight therefrom, and that the defendant used or
 325-5   exhibited the deadly weapon or was a party to the offense and knew
 325-6   that a deadly weapon would be used or exhibited.  On an affirmative
 325-7   finding under this subdivision, the trial court shall enter the
 325-8   finding in the judgment of the court.  On an affirmative finding
 325-9   that the deadly weapon was a firearm, the court shall enter that
325-10   finding in its judgment.
325-11         SECTION 12.04.  Article 56.08(a), Code of Criminal Procedure,
325-12   is amended to read as follows:
325-13         (a)  Not later than the 10th day after the date that an
325-14   indictment or information is returned against a defendant for an
325-15   offense, the attorney representing the state shall give to each
325-16   victim of the offense a written notice containing:
325-17               (1)  a brief general statement of each procedural stage
325-18   in the processing of a criminal case, including bail, plea
325-19   bargaining, parole restitution, and appeal;
325-20               (2)  notification of the rights and procedures under
325-21   this chapter;
325-22               (3)  suggested steps the victim may take if the victim
325-23   is subjected to threats or intimidation;
325-24               (4)  notification of the right to receive information
 326-1   regarding compensation to victims of crime as provided by
 326-2   Subchapter B of this chapter, including information about:
 326-3                     (A)  the costs that may be compensated under
 326-4   Subchapter B of this chapter, eligibility for compensation, and
 326-5   procedures for application for compensation under Subchapter B of
 326-6   this chapter;
 326-7                     (B)  the payment for a medical examination for a
 326-8   victim of a sexual assault under Article 56.06 of this code; and
 326-9                     (C)  referral to available social service
326-10   agencies that may offer additional assistance;
326-11               (5)  the name, address, and phone number of the local
326-12   victim assistance coordinator;
326-13               (6)  the case number and assigned court for the case;
326-14               (7)  the right to file a victim impact statement with
326-15   the office of the attorney representing the state and the pardons
326-16   and paroles division of the Texas Department of Criminal Justice;
326-17   and
326-18               (8)  notification of the right of a victim, guardian of
326-19   a victim, or close relative of a deceased victim, as defined by
326-20   Section 508.117, Government Code [8(f), Article 42.18 of this
326-21   code], to appear in person before a member of the Board of Pardons
326-22   and Paroles as provided by Section 508.153, Government Code
326-23   [8(f)(2), Article 42.18 of this code].
326-24         SECTION 12.05.  Section 37.015(a), Education Code, is amended
 327-1   to read as follows:
 327-2         (a)  The principal of a public or private primary or
 327-3   secondary school, or a person designated by the principal under
 327-4   Subsection (d), shall notify any school district police department
 327-5   and the police department of the municipality in which the school
 327-6   is located or, if the school is not in a municipality, the sheriff
 327-7   of the county in which the school is located if the principal has
 327-8   reasonable grounds to believe that any of the following activities
 327-9   occur in school, on school property, or at a school-sponsored or
327-10   school-related activity on or off school property, whether or not
327-11   the activity is investigated by school security officers:
327-12               (1)  conduct that may constitute an offense listed
327-13   under Section 508.149, Government Code [8(c), Article 42.18, Code
327-14   of Criminal Procedure];
327-15               (2)  deadly conduct under Section 22.05, Penal Code;
327-16               (3)  a terroristic threat under Section 22.07, Penal
327-17   Code;
327-18               (4)  the use, sale, or possession of a controlled
327-19   substance, drug paraphernalia, or marihuana under Chapter 481,
327-20   Health and Safety Code;
327-21               (5)  the possession of any of the weapons or devices
327-22   listed under Sections 46.01(1)-(14) or Section 46.01(16), Penal
327-23   Code; or
327-24               (6)  conduct that may constitute a criminal offense
 328-1   under Section 71.02, Penal Code.
 328-2         SECTION 12.06.  Section 491.001(a)(1), Government Code, is
 328-3   amended to read as follows:
 328-4               (1)  "Board" means the Texas Board of Criminal Justice,
 328-5   except as provided by Section 508.001.
 328-6         SECTION 12.07.  Section 491.001(b)(1), Government Code, is
 328-7   amended to read as follows:
 328-8               (1)  "Board of Pardons and Paroles" means:
 328-9                     (A)  the Board of Pardons and Paroles in any
328-10   statute relating to a subject under the board's jurisdiction as
328-11   provided by Chapter 508 [Article 42.18, Code of Criminal
328-12   Procedure]; or
328-13                     (B)  the pardons and paroles division in any
328-14   statute relating to a subject under the division's jurisdiction as
328-15   provided by Chapter 508 [Article 42.18, Code of Criminal
328-16   Procedure].
328-17         SECTION 12.08.  Section 493.009(g), Government Code, is
328-18   amended to read as follows:
328-19         (g)  The department shall provide at least 5,200 beds for the
328-20   purpose of operating the program for persons required to
328-21   participate in the program under Section 14, Article 42.12, Code of
328-22   Criminal Procedure, as amended by Chapter 900, Acts of the 73rd
328-23   Legislature, Regular Session, 1993, except that the beds may also
328-24   be used to house the following categories of persons:
 329-1               (1)  persons transferred under Subchapter A, Chapter
 329-2   499, [Government Code,] and Section 508.118 [8(i), Article 42.18,
 329-3   Code of Criminal Procedure];
 329-4               (2)  persons whose community supervision or parole has
 329-5   been modified;
 329-6               (3)  defendants confined in county jails awaiting
 329-7   transfer to the institutional division; and
 329-8               (4)  inmates participating in the program described by
 329-9   Section 501.0931.
329-10         SECTION 12.09.  Section 493.017(b), Government Code, as added
329-11   by Chapter 256, Acts of the 74th Legislature, Regular Session,
329-12   1995, is amended to read as follows:
329-13         (b)  A sex offender correction program that provides
329-14   counseling sessions for a sex offender under Section 508.187 [8(u),
329-15   Article 42.18, Code of Criminal Procedure,] shall report to the
329-16   parole officer supervising the offender, not later than the 15th
329-17   day of each month, the following information about the offender:
329-18               (1)  the total number of counseling sessions attended
329-19   by the sex offender during the preceding month; and
329-20               (2)  if during the preceding month the sex offender
329-21   terminates participation in the program before completing
329-22   counseling, the reason for the sex offender's termination of
329-23   counseling.
329-24         SECTION 12.10.  Section 498.001(2), Government Code, is
 330-1   amended to read as follows:
 330-2               (2)  "Term" means:
 330-3                     (A)  the [maximum] term of confinement in the
 330-4   institutional division stated in the sentence of the convicting
 330-5   court, if the inmate is serving a sentence for a single offense;
 330-6                     (B)  the [maximum] term of confinement
 330-7   established by Section 508.150 [8(d), Article 42.18, Code of
 330-8   Criminal Procedure], if the inmate is serving two or more sentences
 330-9   consecutively; or
330-10                     (C)  the longest [maximum] term of confinement in
330-11   the institutional division stated in the sentence of the convicting
330-12   court, if the inmate is serving two or more concurrent sentences.
330-13         SECTION 12.11.  Section 498.003(a), Government Code, is
330-14   amended to read as follows:
330-15         (a)  Good conduct time applies only to eligibility for parole
330-16   or mandatory supervision as provided by Section 508.145 or 508.147
330-17   [8, Article 42.18, Code of Criminal Procedure,] and does not
330-18   otherwise affect an inmate's term.  Good conduct time is a
330-19   privilege and not a right.  Regardless of the classification of an
330-20   inmate, the department may grant good conduct time to the inmate
330-21   only if the department finds that the inmate is actively engaged in
330-22   an agricultural, vocational, or educational endeavor or in an
330-23   industrial program or other work program, unless the department
330-24   finds that the inmate is not capable of participating in such an
 331-1   endeavor.
 331-2         SECTION 12.12.  Sections 499.001(1) and (4), Government Code,
 331-3   are amended to read as follows:
 331-4               (1)  "Community residential facility" means a facility
 331-5   under contract with the department under Section 508.119 [8(i),
 331-6   Article 42.18, Code of Criminal Procedure,] or another facility or
 331-7   residence approved by the department.
 331-8               (4)  "Presumptive parole date" means a date specified
 331-9   by a parole panel under Section 508.151 [8(i), Article 42.18, Code
331-10   of Criminal Procedure,] on which an inmate's parole release is to
331-11   become effective.
331-12         SECTION 12.13.  Section 499.005, Government Code, is amended
331-13   to read as follows:
331-14         Sec. 499.005.  Transfer to Parole Status.  (a)  If a
331-15   pre-parolee transferred under this subchapter satisfactorily serves
331-16   a term in a community residential facility until the pre-parolee's
331-17   presumptive parole date, the Board of Pardons and Paroles may
331-18   transfer the pre-parolee from pre-parole status to parole status
331-19   and the Board of Pardons and Paroles may issue the pre-parolee an
331-20   appropriate certificate of release to conditional freedom under
331-21   Chapter 508 [Article 42.18, Code of Criminal Procedure].
331-22         (b)  A pre-parolee transferred from pre-parole status to
331-23   parole status is subject to provisions concerning inmates released
331-24   on parole provided under Chapter 508 [Article 42.18, Code of
 332-1   Criminal Procedure].
 332-2         SECTION 12.14.  Section 499.021(2), Government Code, is
 332-3   amended to read as follows:
 332-4               (2)  "Intensive supervision parole" means a parole
 332-5   supervision program established by the department [pardons and
 332-6   paroles division] under Section 508.317 [24, Article 42.18, Code of
 332-7   Criminal Procedure].
 332-8         SECTION 12.15.  Section 499.026(c), Government Code, is
 332-9   amended to read as follows:
332-10         (c)  An inmate released to parole under this subchapter is
332-11   subject to terms and conditions imposed on parolees released under
332-12   Chapter 508 [Article 42.18, Code of Criminal Procedure].
332-13         SECTION 12.16.  Section 551.124, Government Code, is amended
332-14   to read as follows:
332-15         Sec. 551.124.  Board of Pardons and Paroles.  At the call of
332-16   the presiding officer of the Board of Pardons and Paroles, the
332-17   board may hold a hearing on clemency matters by telephone
332-18   conference call.  [The portion of a meeting that is public is
332-19   subject to the provisions of Section 7(f), Article 42.18, Code of
332-20   Criminal Procedure.]
332-21         SECTION 12.17.  (a)  Section 615.003, Government Code, is
332-22   amended to conform to Sections 1.12 and 1.13, Chapter 988, Acts of
332-23   the 73rd Legislature, Regular Session, 1993, to read as follows:
332-24         Sec. 615.003.  Applicability.  This chapter applies only to
 333-1   eligible survivors of the following individuals:
 333-2               (1)  an individual elected, appointed, or employed as a
 333-3   peace officer by the state or a political subdivision of the state
 333-4   under Article 2.12, Code of Criminal Procedure, or other law;
 333-5               (2)  a paid probation officer appointed by the director
 333-6   of a community supervision and corrections department who has the
 333-7   duties set out in Section 76.002 [2] and the qualifications set out
 333-8   in Section 76.005 [5, Article 42.131, Code of Criminal Procedure],
 333-9   or who was appointed in accordance with prior law;
333-10               (3)  a parole officer employed by the pardons and
333-11   paroles division of the Texas Department of Criminal Justice who
333-12   has the duties set out in Section 508.001 [2] and the
333-13   qualifications set out in Section 508.113 [19, Article 42.18, Code
333-14   of Criminal Procedure,] or in prior law;
333-15               (4)  a paid jailer;
333-16               (5)  a member of an organized police reserve or
333-17   auxiliary unit who regularly assists peace officers in enforcing
333-18   criminal laws;
333-19               (6)  a member of the class of employees of the
333-20   institutional division or the state jail division of the Texas
333-21   Department of Criminal Justice formally designated as custodial
333-22   personnel under Section 615.006 by the Texas Board of Criminal
333-23   Justice or its predecessor in function;
333-24               (7)  a jailer or guard of a county jail who is
 334-1   appointed by the sheriff and who:
 334-2                     (A)  performs a security, custodial, or
 334-3   supervisory function over the admittance, confinement, or discharge
 334-4   of prisoners; and
 334-5                     (B)  is certified by the Texas Commission on Law
 334-6   Enforcement Officer Standards and Education;
 334-7               (8)  a juvenile correctional employee of the Texas
 334-8   Youth Commission;
 334-9               (9)  an employee of the Texas Department of Mental
334-10   Health and Mental Retardation who:
334-11                     (A)  works at the department's maximum security
334-12   unit; or
334-13                     (B)  performs on-site services for the Texas
334-14   Department of Criminal Justice;
334-15               (10)  an individual who is employed by the state or a
334-16   political or legal subdivision and is subject to certification by
334-17   the Texas Commission on Fire Protection;
334-18               (11)  an individual employed by the state or a
334-19   political or legal subdivision whose principal duties are aircraft
334-20   crash and rescue fire fighting; or
334-21               (12)  a member of an organized volunteer fire-fighting
334-22   unit that:
334-23                     (A)  renders fire-fighting services without
334-24   remuneration;
 335-1                     (B)  consists of not fewer than 20 active
 335-2   members, a majority of which are present at each meeting; and
 335-3                     (C)  conducts a minimum of two drills each month,
 335-4   each two hours long.
 335-5         (b)  Sections 1.12 and 1.13, Chapter 988, Acts of the 73rd
 335-6   Legislature, Regular Session, 1993, are repealed.
 335-7         SECTION 12.18.  Section 44.0061(b), Health and Safety Code,
 335-8   is amended to read as follows:
 335-9         (b)  The fund consists of fees collected under Section 19(e)
335-10   [22(e)], Article 42.12, Code of Criminal Procedure, and Section
335-11   508.189, Government Code [8(p), Article 42.18, Code of Criminal
335-12   Procedure].
335-13         SECTION 12.19.  Sections 61.084(f) and (g), Human Resources
335-14   Code, are amended to read as follows:
335-15         (f)  The commission shall transfer a person who has been
335-16   sentenced under a determinate sentence to commitment under Section
335-17   54.04(d)(3), 54.04(m), or 54.05(f), Family Code, or who has been
335-18   returned to the commission under Section 54.11(i)(1), Family Code,
335-19   to the custody of the pardons and paroles division of the Texas
335-20   Department of Criminal Justice to serve the remainder of the
335-21   person's sentence on parole as provided by Section 508.156,
335-22   Government Code [29, Article 42.18, Code of Criminal Procedure],
335-23   when the person is released under supervision after becoming 19
335-24   years of age.
 336-1         (g)  The commission shall transfer a person who has been
 336-2   sentenced under a determinate sentence to commitment under Section
 336-3   54.04(d)(3), 54.04(m), or 54.05(f), Family Code, or who has been
 336-4   returned to the commission under Section 54.11(i)(1), Family Code,
 336-5   to the custody of the pardons and paroles division of the Texas
 336-6   Department of Criminal Justice on the person's 21st birthday, if
 336-7   the person has not already been discharged or transferred, to serve
 336-8   the remainder of the person's sentence on parole as provided by
 336-9   Section 508.156, Government Code [29, Article 42.18, Code of
336-10   Criminal Procedure].
336-11         SECTION 12.20.  Subchapter F, Chapter 61, Human Resources
336-12   Code, is amended to codify Sections 29(a) and (h), Article 42.18,
336-13   Code of Criminal Procedure, by adding Section 61.0841 to read as
336-14   follows:
336-15         Sec. 61.0841.  DETERMINATE SENTENCE PAROLE.  (a)  Not later
336-16   than the 90th day before the date the commission transfers a person
336-17   to the custody of the pardons and paroles division of the Texas
336-18   Department of Criminal Justice for release on parole under Section
336-19   61.081(f) or 61.084(f) or (g), the commission shall submit to the
336-20   department all pertinent information relating to the person,
336-21   including:
336-22               (1)  the juvenile court judgment;
336-23               (2)  the circumstances of the person's offense;
336-24               (3)  the person's previous social history and juvenile
 337-1   court records;
 337-2               (4)  the person's physical and mental health record;
 337-3               (5)  a record of the person's conduct, employment
 337-4   history, and attitude while committed to the commission;
 337-5               (6)  a record of the sentence time served by the person
 337-6   at the commission and in a juvenile detention facility in
 337-7   connection with the conduct for which the person was adjudicated;
 337-8   and
 337-9               (7)  any written comments or information provided by
337-10   the commission, local officials, or victims of the offense.
337-11         (b)  The commission shall provide instruction for parole
337-12   officers of the pardons and paroles division relating to juvenile
337-13   programs at the commission.  The commission and the pardons and
337-14   paroles division shall enter into a memorandum of understanding
337-15   relating to the administration of this subsection.
337-16         SECTION 12.21.  Section 3.307(a), Public Utility Regulatory
337-17   Act of 1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is
337-18   amended to read as follows:
337-19         (a)  A telecommunications utility that transports or provides
337-20   a "1-900" service under a contract authorized by Chapter 76 or 508,
337-21   Government Code [Article 42.131 or 42.18, Code of Criminal
337-22   Procedure], and its subsequent amendments, that is used by a
337-23   defendant under the supervision of a community supervision and
337-24   corrections department or the pardons and paroles division of the
 338-1   Texas Department of Criminal Justice to pay a fee or cost or to
 338-2   comply with telephone reporting requirements may adjust or
 338-3   authorize the adjustment of an end-user's bill for those fees or
 338-4   costs or charges for reporting only with the consent of the
 338-5   contracting community supervision and corrections department or the
 338-6   contracting pardons and paroles division of the Texas Department of
 338-7   Criminal Justice.
 338-8         SECTION 12.22.  Article 42.18, Code of Criminal Procedure, is
 338-9   repealed.
338-10         SECTION 12.23.  (a)  Section 509.001(1), Government Code, is
338-11   amended to conform to Section 3.009, Chapter 321, Acts of the 74th
338-12   Legislature, Regular Session, 1995, to read as follows:
338-13               (1)  "Community corrections facility" means a physical
338-14   structure, established by a judicial district after authorization
338-15   of the establishment of the structure has been included in the
338-16   local community justice plan, that is operated by a department or
338-17   operated for a department by an entity under contract with the
338-18   department, for the purpose of confining persons placed on
338-19   community supervision and providing services and programs to modify
338-20   criminal behavior, deter criminal activity, protect the public, and
338-21   restore victims of crime.  The term includes:
338-22                     (A)  a restitution center;
338-23                     (B)  a court residential treatment facility;
338-24                     (C)  a substance abuse treatment facility;
 339-1                     (D)  a custody facility or boot camp;
 339-2                     (E)  a facility for an offender with a mental
 339-3   impairment, as defined by Section 614.001, Health and Safety Code;
 339-4   and
 339-5                     (F)  an intermediate sanction facility [; and]
 339-6                     [(G)  a state jail felony facility].
 339-7         (b)  Section 3.009, Chapter 321, Acts of the 74th
 339-8   Legislature, Regular Session, 1995, is repealed.
 339-9         SECTION 12.24.  (a)  Section 509.003, Government Code, is
339-10   amended by amending Subsections (a) and (c) and by adding
339-11   Subsection (d) to conform to Section 3.0091, Chapter 321, Acts of
339-12   the 74th Legislature, Regular Session, 1995, to read as follows:
339-13         (a)  The division shall propose and the board shall adopt
339-14   reasonable rules establishing:
339-15               (1)  minimum standards for programs, community
339-16   corrections facilities and other facilities, equipment, and other
339-17   aspects of the operation of departments;
339-18               (2)  a list and description of core services that
339-19   should be provided by each department;
339-20               (3)  methods for measuring the success of community
339-21   supervision and corrections programs, including methods for
339-22   measuring rates of diversion, program completion, and recidivism;
339-23   [and]
339-24               (4)  a format for community justice plans; and
 340-1               (5)  minimum standards for the operation of substance
 340-2   abuse facilities and programs funded through the division.
 340-3         (c)  [After consultation with the Texas Commission on Alcohol
 340-4   and Drug Abuse, the division by rule shall establish standards for
 340-5   the operation of substance abuse facilities and programs by the
 340-6   division and by departments.]  A substance abuse facility or
 340-7   program operating under the standards is not required to be
 340-8   licensed or otherwise approved by any other state or local agency.
 340-9         (d)  The division shall develop a screening and assessment
340-10   procedure for use in accordance with Section 76.017.  The division
340-11   shall determine if a single screening and assessment procedure may
340-12   be used in each program.  If the division determines that a single
340-13   procedure is not feasible, the division shall identify and approve
340-14   procedures that may be used.
340-15         (b)  Section 3.0091, Chapter 321, Acts of the 74th
340-16   Legislature, Regular Session, 1995, is repealed.
340-17         SECTION 12.25.  (a)  Section 509.004(a), Government Code, is
340-18   amended to conform to Section 62, Chapter 318, Acts of the 74th
340-19   Legislature, Regular Session, 1995, to read as follows:
340-20         (a)  The division shall require each department to:
340-21               (1)  keep financial and statistical records determined
340-22   necessary by the division;
340-23               (2)  submit a community justice plan and all supporting
340-24   information requested by the division;
 341-1               (3)  present data requested by the division as
 341-2   necessary to determine the amount of state aid for which the
 341-3   department is eligible; [and]
 341-4               (4)  submit periodic financial audits and statistical
 341-5   reports to the division;
 341-6               (5)  submit periodic data to the division on the
 341-7   required use of deep-lung breath analysis mechanisms to make
 341-8   impractical the operation of a motor vehicle if ethyl alcohol is
 341-9   detected in the breath of the operator, including the number of
341-10   devices in use, the number of violations detected, malfunctions by
341-11   the devices, and attempts to circumvent the devices; and
341-12               (6)  submit to the Department of Public Safety the full
341-13   name, address, date of birth, social security number, and driver's
341-14   license number of each person restricted to the operation of a
341-15   motor vehicle equipped with a device that uses a deep-lung breath
341-16   analysis mechanism to make impractical the operation of the motor
341-17   vehicle if ethyl alcohol is detected in the breath of the
341-18   restricted operator.
341-19         (b)  Section 62, Chapter 318, Acts of the 74th Legislature,
341-20   Regular Session, 1995, is repealed.
341-21         SECTION 12.26.  (a)  Section 509.005, Government Code, is
341-22   amended to conform to Section 3.010, Chapter 321, Acts of the 74th
341-23   Legislature, Regular Session, 1995, to read as follows:
341-24         Sec. 509.005.  INSPECTIONS; AUDITS; EVALUATIONS.  [(a)]  The
 342-1   division may inspect and evaluate a department or conduct an audit
 342-2   of case management records, financial records, and officer
 342-3   certification and training records of a department at any
 342-4   reasonable time to  determine compliance with the division's rules
 342-5   and standards.
 342-6         [(b)  The division shall authorize payments under Section
 342-7   509.011(a)(1) only if the division determines that the department
 342-8   has made a reasonable effort to maintain workloads established by
 342-9   the division for supervising officers that do not exceed the
342-10   following ratios:]
342-11               [(1)  one officer or full-time equivalent per 25 cases,
342-12   with a workload unit value of 4 per case;]
342-13               [(2)  one officer or full-time equivalent per 40 cases,
342-14   with a workload unit value of 2.5 per case;]
342-15               [(3)  one officer or full-time equivalent per 75 cases,
342-16   with a workload unit value of 1.33 per case; and]
342-17               [(4)  one officer or full-time equivalent per 100
342-18   cases, with a workload unit value of 1 per case.]
342-19         (b)  Section 3.010, Chapter 321, Acts of the 74th
342-20   Legislature,  Regular Session, 1995, is repealed.
342-21         SECTION 12.27.  (a)  Section 509.008(g), Government Code, is
342-22   amended to conform to Section 3.011, Chapter 321, Acts of the 74th
342-23   Legislature, Regular Session, 1995, to read as follows:
342-24         (g)  The division may deny, revoke, or suspend a
 343-1   certification or may reprimand an officer for a violation of a
 343-2   standard adopted under this chapter [or a rule of the board].
 343-3         (b)  Section 3.011, Chapter 321, Acts of the 74th
 343-4   Legislature, Regular Session, 1995, is repealed.
 343-5         SECTION 12.28.  (a) Section 509.011, Government Code, is
 343-6   amended to conform to Section 3.012, Chapter 321, Acts of the 74th
 343-7   Legislature, Regular Session, 1995, by amending Subsections (a) and
 343-8   (b) and by adding Subsection (f) to read as follows:
 343-9         (a)  If the division determines that a department complies
343-10   with division standards and if the department or judges managing
343-11   the department have submitted a community justice plan under
343-12   Section 76.003 and the supporting information required by the
343-13   division and the division determines the plan and supporting
343-14   information are acceptable, the division shall prepare and submit
343-15   to the comptroller vouchers for payment to the department as
343-16   follows:
343-17               (1)  for per capita funding, a per diem amount for each
343-18   felony defendant directly supervised by the department pursuant to
343-19   lawful authority;
343-20               (2)  for per capita funding, a per diem amount for a
343-21   period not to exceed 182 days for each defendant supervised by the
343-22   department pursuant to lawful authority, other than a felony
343-23   defendant;  and
343-24               (3)  for formula funding, an annual amount as computed
 344-1   by multiplying a percentage determined by the allocation formula
 344-2   established under Subsection (f) [Section 499.071(b)] times the
 344-3   total amount provided in the General Appropriations Act for
 344-4   payments under this subdivision.
 344-5         (b)  The division may use discretionary grant funds to
 344-6   further the purposes of this chapter by contracting for services
 344-7   with state agencies or nonprofit organizations.  The division may
 344-8   also make discretionary grants to departments, municipalities, or
 344-9   counties for the following purposes:
344-10               (1)  development and operation of pretrial and
344-11   presentencing services;
344-12               (2)  electronic monitoring services, surveillance
344-13   supervision programs, and controlled substances testing services;
344-14               (3)  research projects to evaluate the effectiveness of
344-15   community corrections programs, if the research is conducted in
344-16   cooperation with the Criminal Justice Policy Council;
344-17               (4)  contract services for felony defendants;
344-18               (5)  residential services for misdemeanor defendants
344-19   who exhibit levels of risk or needs indicating a need for
344-20   confinement and treatment, as described by Section 509.005(b);
344-21               (6)  establishment or operation of county correctional
344-22   centers under Subchapter H, Chapter 351, Local Government Code,
344-23   (FN1) or community corrections facilities for which the division
344-24   has established standards under Section 509.006; [and]
 345-1               (7)  development and operation of treatment alternative
 345-2   to incarceration programs  under Section 76.017; and
 345-3               (8)  other purposes determined appropriate by the
 345-4   division and approved by the board.
 345-5         (f)  The division annually shall compute for each department
 345-6   for community corrections program formula funding a percentage
 345-7   determined by assigning equal weights to the percentage of the
 345-8   state's population residing in the counties served by the
 345-9   department and the department's percentage of all felony defendants
345-10   in the state under direct community supervision.  The division
345-11   shall use the most recent information available in making
345-12   computations under this subsection.  The board by rule may adopt a
345-13   policy limiting for all departments the percentage of benefit or
345-14   loss that may be realized as a result of the operation of the
345-15   formula.
345-16         (b)  Section 3.012, Chapter 321, Acts of the 74th
345-17   Legislature, Regular Session, 1995, is repealed.
345-18         SECTION 12.29.  (a) Section 509.012(b), Government Code, is
345-19   amended to conform to Section 3.013, Chapter 321, Acts of the  74th
345-20   Legislature, Regular Session, 1995, to read as follows:
345-21         (b)  The board shall provide for notice and a hearing in
345-22   cases in which the division proposes to take an action authorized
345-23   by this section, other than a refusal by the division to provide
345-24   discretionary grant funding or a reduction by the division of
 346-1   discretionary grant funding during a funding cycle.  The division
 346-2   shall define with specificity the conduct that constitutes
 346-3   substantial noncompliance with division standards and shall
 346-4   establish the procedures to be used in imposing or waiving a
 346-5   sanction authorized by this section, subject to approval of the
 346-6   definition and the procedures by adoption by the board.
 346-7         (b)  Section 3.013, Chapter 321, Acts of the 74th
 346-8   Legislature, Regular Session, 1995, is repealed.
 346-9         SECTION 12.30.  Section 511.009(a), Government Code, is
346-10   amended to conform to Section 1, Chapter 171, Acts of the 74th
346-11   Legislature, Regular Session, 1995; Section 89, Chapter 262, Acts
346-12   of the 74th Legislature, Regular Session, 1995; and Section 2,
346-13   Chapter 722, Acts of the 74th Legislature, Regular Session, 1995,
346-14   to read as follows:
346-15         (a)  The commission shall:
346-16               (1)  adopt reasonable rules and procedures establishing
346-17   minimum standards for the construction, equipment, maintenance, and
346-18   operation of county jails;
346-19               (2)  adopt reasonable rules and procedures establishing
346-20   minimum standards for the custody, care, and treatment of
346-21   prisoners;
346-22               (3)  adopt reasonable rules establishing minimum
346-23   standards for the number of jail supervisory personnel and for
346-24   programs and services to meet the needs of prisoners;
 347-1               (4)  adopt reasonable rules and procedures establishing
 347-2   minimum requirements for programs of rehabilitation, education, and
 347-3   recreation in county jails;
 347-4               (5)  revise, amend, or change rules and procedures if
 347-5   necessary;
 347-6               (6)  provide to local government officials consultation
 347-7   on and technical assistance for county jails;
 347-8               (7)  review and comment on plans for the construction
 347-9   and major modification or renovation of county jails;
347-10               (8)  require that the sheriff and commissioners of each
347-11   county submit to the commission, on a form prescribed by the
347-12   commission, an annual report on the conditions in each county jail
347-13   within their jurisdiction, including all information necessary to
347-14   determine compliance with state law, commission orders, and the
347-15   rules adopted under this chapter;
347-16               (9)  review the reports submitted under Subdivision (8)
347-17   and require commission employees to inspect county jails regularly
347-18   to ensure compliance with state law, commission orders, and rules
347-19   and procedures adopted under this chapter;
347-20               (10)  adopt a classification system to assist sheriffs
347-21   and judges in determining which defendants are low-risk and
347-22   consequently suitable participants in a county jail work release
347-23   program under Article 42.034, Code of Criminal Procedure; [and]
347-24               (11)  adopt rules relating to requirements for
 348-1   segregation of classes of inmates and to capacities for county
 348-2   jails;[.]
 348-3               (12) [(11)]  require that the chief jailer of each
 348-4   municipal lockup submit to the commission, on a form prescribed by
 348-5   the commission, an annual report of persons under 17 years of age
 348-6   securely detained in the lockup, including all information
 348-7   necessary to determine compliance with state law concerning secure
 348-8   confinement of children in municipal lockups; [and]
 348-9               (13) [(11)]  at least annually determine whether each
348-10   county jail is in compliance with the rules and procedures adopted
348-11   under this chapter; and[.]
348-12               (14) [(12)]  require that the sheriff and commissioners
348-13   court of each county submit to the commission, on a form prescribed
348-14   by the commission, an annual report of persons under 17 years of
348-15   age securely detained in the county jail, including all information
348-16   necessary to determine compliance with state law concerning secure
348-17   confinement of children in county jails.
348-18            ARTICLE 13.  CHANGES RELATING TO OPEN GOVERNMENT;
348-19                      ETHICS TITLE, GOVERNMENT CODE
348-20         SECTION 13.01.  Sections 552.324 and 552.325, Government
348-21   Code, as added by Chapter 578, Acts of the 74th Legislature,
348-22   Regular Session, 1995, are repealed because those sections
348-23   duplicate the same Government Code sections as added by Chapter
348-24   1035, Acts of the 74th Legislature, Regular Session, 1995.
 349-1         ARTICLE 14.  CHANGES RELATING TO STATE MEDICAID PROGRAM
 349-2         SECTION 14.01.  Section 531.001, Government Code, is amended
 349-3   to allow for expansion of Subtitle I, Title 4, Government Code, and
 349-4   to eliminate unnecessary repetition in that subtitle of those
 349-5   definitions, to read as follows:
 349-6         Sec. 531.001.  DEFINITIONS.  In this subtitle [chapter]:
 349-7               (1)  "Commission" means the Health and Human Services
 349-8   Commission.
 349-9               (2)  "Commissioner" means the commissioner of health
349-10   and human services.
349-11               (3)  "Health and human services agencies" includes the:
349-12                     (A)  Interagency Council on Early Childhood
349-13   Intervention Services;
349-14                     (B)  Texas Department on Aging;
349-15                     (C)  Texas Commission on Alcohol and Drug Abuse;
349-16                     (D)  Texas Commission for the Blind;
349-17                     (E)  Texas Commission for the Deaf and Hard of
349-18   Hearing [Impaired];
349-19                     (F)  Texas Department of Health;
349-20                     (G)  Texas Department of Human Services;
349-21                     (H)  Texas Juvenile Probation Commission;
349-22                     (I)  Texas Department of Mental Health and Mental
349-23   Retardation;
349-24                     (J)  Texas Rehabilitation Commission; and
 350-1                     (K)  Department of Protective and Regulatory
 350-2   Services.
 350-3         SECTION 14.02.  (a)  Section 531.011, Government Code, is
 350-4   amended to conform to Section 9.02, Chapter 655, Acts of the 74th
 350-5   Legislature, Regular Session, 1995, and Section 2, Chapter 885,
 350-6   Acts of the 74th Legislature, Regular Session, 1995, to read as
 350-7   follows:
 350-8         Sec. 531.011.  PUBLIC INPUT [INTEREST] INFORMATION AND
 350-9   COMPLAINTS.  (a)  The commission shall develop and implement
350-10   policies that provide the public a reasonable opportunity to appear
350-11   before the commission and to speak on any issue under the
350-12   commission's jurisdiction.
350-13         (b)  The commission shall develop and implement routine and
350-14   ongoing mechanisms, in accessible formats, to:
350-15               (1)  receive consumer input;
350-16               (2)  involve consumers in planning, delivery, and
350-17   evaluation of programs and services under the jurisdiction of the
350-18   commission; and
350-19               (3)  communicate to the public regarding the input
350-20   received by the commission under this section and actions taken in
350-21   response to that input.
350-22         (c)  The commission shall prepare information of public
350-23   interest describing the functions of the commission and the
350-24   commission's procedures  by which complaints are filed with and
 351-1   resolved by the commission.  The commission shall make the
 351-2   information available to the public and appropriate state agencies.
 351-3         (d) [(c)]  The commissioner by rule shall establish methods
 351-4   by which the public, consumers, and service recipients can be
 351-5   notified of the mailing addresses and telephone numbers of
 351-6   appropriate agency personnel for the purpose of directing
 351-7   complaints to the commission.  The commission may provide for that
 351-8   notification:
 351-9               (1)  on each registration form, application, or written
351-10   contract for services of a person regulated by the commission;
351-11               (2)  on a sign prominently displayed in the place of
351-12   business of each person regulated by the commission; or
351-13               (3)  in a bill for service provided by a person
351-14   regulated by the commission.
351-15         (e) [(d)]  The commission shall keep an information file
351-16   about each complaint filed with the commission relating to:
351-17               (1)  a license holder or entity regulated by the
351-18   commission; or
351-19               (2)  a service delivered by the commission.
351-20         (f) [(e)]  If a written complaint is filed with the
351-21   commission relating to a license holder or entity regulated by the
351-22   commission  or a service delivered by the commission, the
351-23   commission, at least quarterly and until final disposition of the
351-24   complaint, shall notify the parties to the complaint of the status
 352-1   of the complaint unless notice would jeopardize an undercover
 352-2   investigation.
 352-3         (b)  Section 9.02, Chapter 655, Acts of the 74th Legislature,
 352-4   Regular Session, 1995, and Section 2, Chapter 885, Acts of the 74th
 352-5   Legislature, Regular Session, 1995, are repealed.
 352-6         SECTION 14.03.  (a)  Subchapter B, Chapter 531, Government
 352-7   Code, is amended to conform to Section 1, Chapter 972, Acts of the
 352-8   74th Legislature, Regular Session, 1995, and Section 1, Chapter
 352-9   575, Acts of the 74th Legislature, Regular Session, 1995, by adding
352-10   Sections 531.0211-531.0214 to read as follows:
352-11         Sec. 531.0211.  MANAGED CARE MEDICAID PROGRAM: RULES;
352-12   EDUCATION PROGRAMS.  (a)  In adopting rules to implement a managed
352-13   care Medicaid program, the commission shall establish guidelines
352-14   for, and require managed care organizations to provide, education
352-15   programs for providers and clients using a variety of techniques
352-16   and mediums.
352-17         (b)  A provider education program must include information
352-18   on:
352-19               (1)  Medicaid policies, procedures, eligibility
352-20   standards, and benefits;
352-21               (2)  the specific problems and needs of Medicaid
352-22   clients; and
352-23               (3)  the rights and responsibilities of Medicaid
352-24   clients under the bill of rights and the bill of responsibilities
 353-1   prescribed by Section 531.0212.
 353-2         (c)  A client education program must present information in a
 353-3   manner that is easy to understand.  A program must include
 353-4   information on:
 353-5               (1)  a client's rights and responsibilities under the
 353-6   bill of rights and the bill of responsibilities prescribed by
 353-7   Section 531.0212;
 353-8               (2)  how to access health care services;
 353-9               (3)  how to access complaint procedures and the
353-10   client's right to bypass the managed care organization's internal
353-11   complaint system and use the notice and appeal procedures otherwise
353-12   required by the Medicaid program;
353-13               (4)  Medicaid policies, procedures, eligibility
353-14   standards, and benefits;
353-15               (5)  the policies and procedures of the managed care
353-16   organization; and
353-17               (6)  the importance of prevention, early intervention,
353-18   and appropriate use of services.
353-19         Sec. 531.0212.  MEDICAID BILL OF RIGHTS AND BILL OF
353-20   RESPONSIBILITIES.  (a)  The commission by rule shall adopt a bill
353-21   of rights and a  bill of responsibilities for each person enrolled
353-22   in the Medicaid program.
353-23         (b)  The bill of rights must address a client's right to:
353-24               (1)  respect, dignity, privacy, confidentiality, and
 354-1   nondiscrimination;
 354-2               (2)  a reasonable opportunity to choose a health care
 354-3   plan and primary care provider and to change to another plan or
 354-4   provider in a  reasonable manner;
 354-5               (3)  consent to or refuse treatment and actively
 354-6   participate in treatment decisions;
 354-7               (4)  ask questions and receive complete information
 354-8   relating to the client's medical condition and treatment options,
 354-9   including specialty care;
354-10               (5)  access each available complaint process, receive a
354-11   timely response to a complaint, and receive a fair hearing; and
354-12               (6)  timely access to care that does not have any
354-13   communication or physical access barriers.
354-14         (c)  The bill of responsibilities must address a client's
354-15   responsibility to:
354-16               (1)  learn and understand each right the client has
354-17   under the Medicaid program;
354-18               (2)  abide by the health plan and Medicaid policies and
354-19   procedures;
354-20               (3)  share information relating to the client's health
354-21   status with the primary care provider and become fully informed
354-22   about service and treatment options; and
354-23               (4)  actively participate in decisions relating to
354-24   service and treatment options, make personal choices, and take
 355-1   action to maintain the client's health.
 355-2         Sec. 531.0213.  SUPPORT SERVICES FOR MEDICAID RECIPIENTS.
 355-3   (a)  The commission shall provide support and information services
 355-4   to a person enrolled in or applying for Medicaid coverage who
 355-5   experiences barriers to receiving health care services.
 355-6         (b)  The commission shall give emphasis to assisting a person
 355-7   with an urgent or immediate medical or support need.
 355-8         (c)  The commission may provide support and information
 355-9   services by contracting with a nonprofit organization that is not
355-10   involved in providing health care, health insurance, or health
355-11   benefits.
355-12         (d)  As a part of the support and information services
355-13   required by this section, the commission or nonprofit organization
355-14   shall:
355-15               (1)  operate a statewide toll-free assistance telephone
355-16   number that includes TDD lines and assistance for persons who speak
355-17   Spanish;
355-18               (2)  intervene promptly with the state Medicaid office,
355-19   managed care organizations and providers, the Texas Department of
355-20   Health, and any other appropriate entity on behalf of a person who
355-21   has an urgent need for medical services;
355-22               (3)  assist a person who is experiencing barriers in
355-23   the Medicaid application and enrollment process and refer the
355-24   person for further assistance if appropriate;
 356-1               (4)  educate persons so that they:
 356-2                     (A)  understand the concept of managed care;
 356-3                     (B)  understand their rights under the Medicaid
 356-4   program, including grievance and appeal procedures; and
 356-5                     (C)  are able to advocate for themselves;
 356-6               (5)  collect and maintain statistical information on a
 356-7   regional basis regarding calls received by the assistance lines and
 356-8   publish quarterly reports that:
 356-9                     (A)  list the number of calls received by region;
356-10                     (B)  identify trends in delivery and access
356-11   problems;
356-12                     (C)  identify recurring barriers in the Medicaid
356-13   system; and
356-14                     (D)  indicate other problems identified with
356-15   Medicaid managed care; and
356-16               (6)  assist the state Medicaid office, managed care
356-17   organizations and providers, and the Texas Department of Health in
356-18   identifying and correcting problems, including site visits to
356-19   affected regions if necessary.
356-20         Sec. 531.0214.  MEDICAID DATA COLLECTION SYSTEM.  (a)  The
356-21   commission and each health and human services agency that
356-22   administers a part of the state Medicaid program shall jointly
356-23   develop a system to coordinate and integrate state Medicaid
356-24   databases to:
 357-1               (1)  facilitate the comprehensive analysis of Medicaid
 357-2   data; and
 357-3               (2)  detect fraud perpetrated by a program provider or
 357-4   client.
 357-5         (b)  To minimize cost and duplication of activities, the
 357-6   commission shall assist and coordinate:
 357-7               (1)  the efforts of the agencies that are participating
 357-8   in the development of the system required by Subsection (a); and
 357-9               (2)  the efforts of those agencies with the efforts of
357-10   other agencies involved in a statewide health care data collection
357-11   system provided for by Section 108.006, Health and Safety Code,
357-12   including avoiding duplication of expenditure of state funds for
357-13   computer hardware, staff, or services.
357-14         (c)  On the request of the commissioner, a state agency that
357-15   administers any part of the state Medicaid program shall assist the
357-16   commission in developing the system required by this section.
357-17         (d)  The commission shall develop the database system in a
357-18   manner that will enable a complete analysis of the use of
357-19   prescription medications, including information relating to:
357-20               (1)  Medicaid clients for whom more than three
357-21   medications have been prescribed; and
357-22               (2)  the medical effect denial of Medicaid coverage for
357-23   more than three medications has had on Medicaid clients.
357-24         (b)  Section 1, Chapter 972, Acts of the 74th Legislature,
 358-1   Regular Session, 1995, and Section 1, Chapter 575, Acts of the 74th
 358-2   Legislature, Regular Session, 1995, are repealed.
 358-3         SECTION 14.04.  (a)  Section 531.022, Government Code, is
 358-4   amended to conform to Section 1, Chapter 798, Acts of the 74th
 358-5   Legislature, Regular Session, 1995, by amending Subsection (d) and
 358-6   adding Subsection (e) to read as follows:
 358-7         (d)  In developing a plan and plan updates under this
 358-8   section, the commissioner shall consider:
 358-9               (1)  existing strategic plans of health and human
358-10   services agencies;
358-11               (2)  health and human services priorities and plans
358-12   submitted by governmental entities under Subsection (e);
358-13               (3)  facilitation of pending reorganizations or
358-14   consolidations of health and human services agencies and programs;
358-15               (4) [(3)]  public comment, including comment documented
358-16   through public hearings conducted under Section 531.036; and
358-17               (5) [(4)]  budgetary issues, including projected agency
358-18   needs and projected availability of funds.
358-19         (e)  The commissioner shall identify the governmental
358-20   entities that coordinate the delivery of health and human services
358-21   in regions, counties, and municipalities and request that each
358-22   entity:
358-23               (1)  identify the health and human services priorities
358-24   in the entity's jurisdiction and the most effective ways to deliver
 359-1   and coordinate services in that jurisdiction;
 359-2               (2)  develop a coordinated plan for the delivery of
 359-3   health and human services in the jurisdiction, including transition
 359-4   services that prepare special education students for adulthood; and
 359-5               (3)  make the information requested under Subdivisions
 359-6   (1) and (2) available to the commission.
 359-7         (b)  Section 1, Chapter 798, Acts of the 74th Legislature,
 359-8   Regular Session, 1995, is repealed.
 359-9         SECTION 14.05.  (a)  Section 531.023, Government Code, is
359-10   amended to conform to Section 9.01, Chapter 655, Acts of the 74th
359-11   Legislature, Regular Session, 1995, and Section 1, Chapter 885,
359-12   Acts of the 74th Legislature, Regular Session, 1995, to read as
359-13   follows:
359-14         Sec. 531.023.  SUBMISSION OF PLANS AND UPDATES BY AGENCIES.
359-15   (a)  All health and human services agencies shall submit to the
359-16   commission strategic plans and biennial updates on a date to be
359-17   determined by commission rule.  The commission shall review and
359-18   comment on the strategic plans and biennial  updates.
359-19         (b)  Not later than January 1 of each even-numbered year, the
359-20   commission shall begin formal discussions with each health and
359-21   human services agency regarding that agency's strategic plan or
359-22   biennial update.
359-23         (b)  Section 9.01, Chapter 655, Acts of the 74th Legislature,
359-24   Regular Session, 1995, and Section 1, Chapter 885, Acts of the 74th
 360-1   Legislature, Regular Session, 1995, are repealed.
 360-2         SECTION 14.06.  Section 531.024, Government Code, is amended
 360-3   to conform to Section 2, Chapter 798, Acts of the 74th Legislature,
 360-4   Regular Session, 1995, to read as follows:
 360-5         Sec. 531.024.  PLANNING AND DELIVERY OF HEALTH AND HUMAN
 360-6   SERVICES.  The commissioner shall:
 360-7               (1)  facilitate and enforce coordinated planning and
 360-8   delivery of health and human services, including:
 360-9                     (A)  compliance with the coordinated strategic
360-10   plan;
360-11                     (B)  co-location of services;
360-12                     (C)  integrated intake; and
360-13                     (D)  coordinated referral and case management;
360-14               (2)  develop with the Department of Information
360-15   Resources automation standards for computer systems to enable
360-16   health and human services agencies, including agencies operating at
360-17   a local level, to share pertinent data;
360-18               (3)  establish and enforce uniform regional boundaries
360-19   for all health and human services agencies;
360-20               (4)  carry out statewide health and human services
360-21   needs surveys and forecasting; [and]
360-22               (5)  perform independent special-outcome evaluations of
360-23   health and human services programs and activities; and
360-24               (6)  at the request of a governmental entity identified
 361-1   under Section 531.022(e), assist that entity in implementing a
 361-2   coordinated plan that may include co-location of services,
 361-3   integrated intake, and coordinated referral and case management and
 361-4   is tailored to the needs and priorities of that entity.
 361-5         SECTION 14.07.  (a)  Subchapter B, Chapter 531, Government
 361-6   Code, is amended to conform to Sections 9.06, 9.07, and 9.08,
 361-7   Chapter 655, Acts of the 74th Legislature, Regular Session, 1995;
 361-8   Section 3, Chapter 798, Acts of the 74th Legislature, Regular
 361-9   Session, 1995; and Sections 6, 7, and 8, Chapter 885, Acts of the
361-10   74th Legislature, Regular Session, 1995, by adding Sections
361-11   531.0241, 531.0242, and 531.0243 to read as follows:
361-12         Sec. 531.0241.  STREAMLINING DELIVERY OF SERVICES.  To
361-13   integrate and streamline service delivery and facilitate access to
361-14   services, the commissioner may request a health and human services
361-15   agency to take a specific action and may recommend the manner in
361-16   which the streamlining is to be accomplished, including requesting
361-17   each health and human services agency to:
361-18               (1)  simplify agency procedures;
361-19               (2)  automate agency procedures;
361-20               (3)  coordinate service planning and management tasks
361-21   between and among health and human services agencies;
361-22               (4)  reallocate staff resources;
361-23               (5)  adopt rules;
361-24               (6)  amend, waive, or repeal existing rules; or
 362-1               (7)  take other necessary actions.
 362-2         Sec. 531.0242.  USE OF AGENCY STAFF.  To the extent requested
 362-3   by the commission, a health and human services agency shall assign
 362-4   existing staff to perform a function imposed under this chapter.
 362-5         Sec. 531.0243.  REPORTS ON DELIVERY OF SERVICES.  (a)  The
 362-6   executive head of each health and human services agency shall
 362-7   report quarterly to the governing body of that agency on that
 362-8   agency's efforts to streamline and simplify the delivery of
 362-9   services.  The agency shall submit a copy of the report to the
362-10   commission.
362-11         (b)  The commission shall prepare and deliver a semiannual
362-12   report to the governor, the lieutenant governor, the speaker of the
362-13   house of representatives, the comptroller, the Legislative Budget
362-14   Board, and appropriate legislative committees on the efforts of the
362-15   health and human services agencies to streamline the delivery of
362-16   services provided by those agencies.
362-17         (c)  The commissioner shall adopt rules relating to the
362-18   reports required by Subsection (a), including rules specifying when
362-19   and in what manner an agency must report and the information to be
362-20   included in the report.  Each agency shall follow the rules adopted
362-21   by the commissioner under this section.
362-22         (b)  Sections 9.06, 9.07, and 9.08, Chapter 655, Acts of the
362-23   74th Legislature, Regular Session, 1995; Section 3, Chapter 798,
362-24   Acts of the 74th Legislature, Regular Session, 1995; and Sections
 363-1   6, 7, and 8, Chapter 885, Acts of the 74th Legislature, Regular
 363-2   Session, 1995, are repealed.
 363-3         SECTION 14.08.  (a)  Section 531.027, Government Code, is
 363-4   amended to conform to Section 9.03, Chapter 655, Acts of the 74th
 363-5   Legislature, Regular Session, 1995, and Section 3, Chapter 885,
 363-6   Acts of the 74th Legislature, Regular Session, 1995, to read as
 363-7   follows:
 363-8         Sec. 531.027.  APPROPRIATIONS REQUEST BY AGENCIES.  (a)  Each
 363-9   health and human services agency shall submit to the commission a
363-10   biennial agency legislative appropriations request on a date to be
363-11   determined by commission rule.
363-12         (b)  A health and human services agency may not submit to the
363-13   legislature or the governor its legislative appropriations request
363-14   until the commission reviews and comments on the legislative
363-15   appropriations request.
363-16         (b)  Section 9.03, Chapter 655, Acts of the 74th Legislature,
363-17   Regular Session, 1995, and Section 3, Chapter 885, Acts of the 74th
363-18   Legislature, Regular Session, 1995, are repealed.
363-19         SECTION 14.09.  (a)  Subchapter B, Chapter 531, Government
363-20   Code, is amended to conform to Section 9.04, Chapter 655, Acts of
363-21   the 74th Legislature, Regular Session, 1995, and Section 4, Chapter
363-22   885, Acts of the 74th Legislature, Regular Session, 1995, by adding
363-23   Sections 531.0271, 531.0272, 531.0273, and 531.0274 to read as
363-24   follows:
 364-1         Sec. 531.0271.  HEALTH AND HUMAN SERVICES AGENCIES OPERATING
 364-2   BUDGETS.  (a)  In addition to the provisions of the General
 364-3   Appropriations Act, the commission shall review and comment on:
 364-4               (1)  the annual operating budget of each health and
 364-5   human services agency; and
 364-6               (2)  the transfer of funds between budget strategies
 364-7   made by each health and human services agency before that transfer.
 364-8         (b)  The commission shall issue a quarterly report regarding
 364-9   the projected expenditures by budget strategy of each health and
364-10   human services agency compared to each agency's operating budget.
364-11         Sec. 531.0272.  FEDERAL FUNDS.  Notwithstanding any other
364-12   state law and to the extent permitted by federal law, the
364-13   commission may review and comment on an operational or funding plan
364-14   or a modification to that plan prepared by a health and human
364-15   services agency designated as the single state agency to administer
364-16   federal funds.
364-17         Sec. 531.0273.  AUTOMATED SYSTEMS.  A health and human
364-18   services agency may not submit its plans to the Department of
364-19   Information Resources under Subchapter E, Chapter 2054, until those
364-20   plans are approved by the commission.
364-21         Sec. 531.0274.  COORDINATION AND APPROVAL OF CASELOAD
364-22   ESTIMATES; REPORT.  (a)  The commission shall coordinate and
364-23   approve caseload estimates made for programs administered by health
364-24   and human services agencies.
 365-1         (b)  To implement this section, the commission shall:
 365-2               (1)  adopt uniform guidelines to be used by health and
 365-3   human services agencies in estimating their caseloads, with
 365-4   allowances given for those agencies for which exceptions from the
 365-5   guidelines may be necessary;
 365-6               (2)  assemble a single set of economic and demographic
 365-7   data and provide that data to each health and human services agency
 365-8   to be used in estimating its caseloads; and
 365-9               (3)  seek advice from health and human services
365-10   agencies, the Legislative Budget Board, the governor's budget
365-11   office, the comptroller, and other relevant agencies as needed to
365-12   coordinate the caseload estimating process.
365-13         (c)  The commission shall assemble caseload estimates made by
365-14   health and human services agencies into a coherent, uniform report
365-15   and shall update that report quarterly with assistance from those
365-16   agencies.  The commission shall publish the report and make it
365-17   readily available to state and local agencies and interested
365-18   private organizations.
365-19         (d)  In the report prepared under Subsection (c), the
365-20   commission shall explain the caseload estimates using monthly
365-21   averages, annual unduplicated recipients, annual service usage, and
365-22   other commonly used measures.
365-23         (e)  The commission shall attach a copy of the report
365-24   prepared under Subsection (c) to the consolidated health and human
 366-1   services budget recommendation submitted to the Legislative Budget
 366-2   Board under Section 531.026 and shall also submit the report to the
 366-3   legislature when it convenes in regular session.
 366-4         (b)  Section 9.04, Chapter 655, Acts of the 74th Legislature,
 366-5   Regular Session, 1995, and Section 4, Chapter 885, Acts of the 74th
 366-6   Legislature, Regular Session, 1995, are repealed.
 366-7         SECTION 14.10.  (a)  Section 531.028, Government Code, is
 366-8   amended to conform to Section 9.05, Chapter 655, Acts of the 74th
 366-9   Legislature, Regular Session, 1995, and Section 5, Chapter 885,
366-10   Acts of the 74th Legislature, Regular Session, 1995, to read as
366-11   follows:
366-12         Sec. 531.028.  MANAGEMENT AND DISTRIBUTION OF FUNDS.  The
366-13   commissioner shall:
366-14               (1)  request budget execution for the transfer of funds
366-15   from one agency to another;
366-16               (2)  establish a federal health and human services
366-17   funds management system and maximize the availability of those
366-18   funds; and
366-19               (3)  review and comment on health and human services
366-20   agency formulas [develop a formula] for the distribution of funds
366-21   to ensure that the formulas, to the extent permitted by federal
366-22   law, consider [considers] such need factors as client base,
366-23   population, and economic and geographic factors within the regions
366-24   of the state.
 367-1         (b)  Subchapter B, Chapter 531, Government Code, is amended
 367-2   to conform to Section 9.05, Chapter 655, Acts of the 74th
 367-3   Legislature, Regular Session, 1995, and Section 5, Chapter 885,
 367-4   Acts of the 74th Legislature, Regular Session, 1995, by adding
 367-5   Section 531.0311 to read as follows:
 367-6         Sec. 531.0311.  ANNUAL WORK PLAN.  Not later than the end of
 367-7   the first month of each fiscal year, the commissioner shall submit
 367-8   to the governor, the lieutenant governor, the speaker of the house
 367-9   of representatives, the comptroller, and the Legislative Budget
367-10   Board a work plan outlining the activities of the commission for
367-11   that fiscal year.  The work plan must establish priorities for the
367-12   commission's activities based on available resources.
367-13         (c)  Section 531.035, Government Code, is amended to conform
367-14   to Section 9.05, Chapter 655, Acts of the 74th Legislature, Regular
367-15   Session, 1995; Section 2, Chapter 798, Acts of the 74th
367-16   Legislature, Regular Session, 1995; and Section 5, Chapter 885,
367-17   Acts of the 74th Legislature, Regular Session, 1995, to read as
367-18   follows:
367-19         Sec. 531.035.  DISPUTE ARBITRATION.  The commissioner shall
367-20   arbitrate and render the [a] final decision on interagency
367-21   disputes.
367-22         (d)  Section 9.05, Chapter 655, Acts of the 74th Legislature,
367-23   Regular Session, 1995; Section 2, Chapter 798, Acts of the 74th
367-24   Legislature, Regular Session, 1995; and Section 5, Chapter 885,
 368-1   Acts of the 74th Legislature, Regular Session, 1995, are repealed.
 368-2         SECTION 14.11.  (a)  Subchapter B, Chapter 531, Government
 368-3   Code, is amended to conform to Section 1, Chapter 627, Acts of the
 368-4   74th Legislature, Regular Session, 1995, by adding Section 531.042
 368-5   to read as follows:
 368-6         Sec. 531.042.  COMMUNITY-BASED SERVICES INFORMATION; REPORTS.
 368-7   (a)  The commissioner by rule shall require each health and human
 368-8   services agency to provide to each patient or client of the agency
 368-9   information regarding community-based services appropriate to the
368-10   needs of the patient or client before the agency allows the patient
368-11   or client to be placed in a care setting to receive care or
368-12   services provided by the agency or by a person under an agreement
368-13   with the agency.
368-14         (b)  The rules must require each health and human services
368-15   agency to provide information about all community-based long-term
368-16   care options and long-term support options available to the patient
368-17   or client, including options available through another agency or a
368-18   private provider.  The information must be provided in a manner
368-19   designed to maximize the patient's or client's understanding of all
368-20   available options.  If the patient or client has a guardian, the
368-21   information must also be provided to the guardian.
368-22         (c)  A health and human services agency that provides a
368-23   patient, client, or guardian with information as provided by
368-24   commission rules shall obtain a statement signed by the patient or
 369-1   client, and, if the patient or client has a guardian, by the
 369-2   patient's or client's guardian, that the patient or client has been
 369-3   informed about community-based care and support options as required
 369-4   by commission rules.  The agency shall retain a copy of each signed
 369-5   statement in the patient's or client's case records.
 369-6         (d)  Each health and human services agency annually and as
 369-7   provided by commission rule shall report to the commission the
 369-8   number of community-based service placements and residential-care
 369-9   placements the agency makes.
369-10         (b)  Section 1, Chapter 627, Acts of the 74th Legislature,
369-11   Regular Session, 1995, is repealed.
369-12         SECTION 14.12.  (a)  Subchapter B, Chapter 531, Government
369-13   Code, is amended to conform to Section 1, Chapter 949, Acts of the
369-14   74th  Legislature, Regular Session, 1995, by adding Section 531.043
369-15   to read as follows:
369-16         Sec. 531.043.  LONG-TERM CARE VISION.  (a)  In conjunction
369-17   with the appropriate state agencies, the commissioner shall develop
369-18   a plan for access to individualized long-term care services for
369-19   persons with functional limitations or medical needs and their
369-20   families that assists those persons in achieving and maintaining
369-21   the greatest possible independence, autonomy, and quality of life.
369-22         (b)  The guiding principles and goals of the plan focusing on
369-23   the individual and the individual's family must:
369-24               (1)  recognize that it is the policy of this state that
 370-1   children should grow up in families and that persons with
 370-2   disabilities and elderly persons should live in the setting of
 370-3   their choice; and
 370-4               (2)  ensure that persons needing assistance and their
 370-5   families will have:
 370-6                     (A)  the maximum possible control over their
 370-7   services;
 370-8                     (B)  a choice of a broad, comprehensive array of
 370-9   services designed to meet individual needs; and
370-10                     (C)  the easiest possible access to appropriate
370-11   care and support, regardless of the area of the state in which they
370-12   live.
370-13         (c)  The guiding principles and goals of the long-term care
370-14   plan focusing on services and delivery of those services by the
370-15   state must:
370-16               (1)  emphasize the development of home-based and
370-17   community-based services and housing alternatives to complement the
370-18   long-term care services already in existence;
370-19               (2)  ensure that services will be of the highest
370-20   possible quality, with a minimum amount of regulation, structure,
370-21   and complexity at the service level;
370-22               (3)  recognize that maximum independence and autonomy
370-23   represent major goals, and with those comes a certain degree of
370-24   risk;
 371-1               (4)  maximize resources to the greatest extent
 371-2   possible, with the consumer receiving only the services that the
 371-3   consumer prefers and that are indicated by a functional assessment
 371-4   of need; and
 371-5               (5)  structure the service delivery system to support
 371-6   these goals, ensuring that any necessary complexity of the system
 371-7   is at the administrative level rather than at the client level.
 371-8         (d)  The commission shall coordinate state services to ensure
 371-9   that:
371-10               (1)  the roles and responsibilities of the agencies
371-11   providing long-term care are clarified; and
371-12               (2)  duplication of services and resources is
371-13   minimized.
371-14         (e)  In this section, "long-term care" means the provision of
371-15   health care, personal care, and assistance related to health and
371-16   social services  over a sustained period to people of all ages and
371-17   their families, regardless of the setting in which the care is
371-18   given.
371-19         (b)  Section 1, Chapter 949, Acts of the 74th  Legislature,
371-20   Regular Session, 1995, is repealed.
371-21         SECTION 14.13.  (a)  Subchapter B, Chapter 531, Government
371-22   Code, is amended to conform to Section 6.01(a), Chapter 655, Acts
371-23   of the 74th Legislature, Regular Session, 1995, by adding Section
371-24   531.044 to read as follows:
 372-1         Sec. 531.044.  AFDC RECIPIENTS ELIGIBLE FOR FEDERAL PROGRAMS.
 372-2   (a)  The commission shall assist recipients of financial assistance
 372-3   under Chapter 31, Human Resources Code, who are eligible for
 372-4   assistance under federal programs to apply for benefits under those
 372-5   federal programs.  The commission may delegate this responsibility
 372-6   to a health and human service agency, contract with a unit of local
 372-7   government, or use any other cost-effective method to assist
 372-8   financial assistance recipients who are eligible for federal
 372-9   programs.
372-10         (b)  The commission shall organize a planning group involving
372-11   the Texas Department of Human Services, the Texas Education Agency,
372-12   and the Texas Rehabilitation Commission to:
372-13               (1)  improve workload coordination between those
372-14   agencies as necessary to administer this section; and
372-15               (2)  provide information and help train employees to
372-16   correctly screen applicants under this section as requested by the
372-17   commission.
372-18         (b)  Section 6.01(a), Chapter 655, Acts of the 74th
372-19   Legislature, Regular Session, 1995, is repealed.
372-20         SECTION 14.14.  (a)  Subchapter B, Chapter 531, Government
372-21   Code, is amended to conform to Section 8.10, Chapter 655, Acts of
372-22   the 74th  Legislature, Regular Session, 1995, by adding Section
372-23   531.045 to read as follows:
372-24         Sec. 531.045.  INTERAGENCY TASK FORCE ON ELECTRONIC BENEFITS
 373-1   TRANSFERS.  (a)  The interagency task force on electronic benefits
 373-2   transfers shall advise and assist the commission in adding new
 373-3   benefit programs to the statewide electronic benefits transfer
 373-4   system.
 373-5         (b)  The task force is composed of:
 373-6               (1)  a representative of:
 373-7                     (A)  the attorney general's office, appointed by
 373-8   the attorney general;
 373-9                     (B)  the comptroller's office, appointed by the
373-10   comptroller;
373-11                     (C)  the commission, appointed by the
373-12   commissioner;
373-13                     (D)  the Texas Department of Health, appointed by
373-14   the commissioner of public health;
373-15                     (E)  the Texas Department of Human Services,
373-16   appointed by the commissioner of human services;
373-17                     (F)  the Texas Workforce Commission, appointed by
373-18   the presiding officer of that agency; and
373-19                     (G)  the Texas Rehabilitation Commission,
373-20   appointed by the commissioner of that agency; and
373-21               (2)  two representatives of each of the following
373-22   groups, appointed by the comptroller:
373-23                     (A)  retailers who maintain electronic benefits
373-24   transfer point-of-sale equipment;
 374-1                     (B)  banks or owners of automatic teller
 374-2   machines; and
 374-3                     (C)  consumer or client advocacy organizations.
 374-4         (c)  A member of the task force serves at the will of the
 374-5   appointing agency.
 374-6         (d)  The representative of the comptroller's office serves as
 374-7   presiding officer.  The task force may elect any other necessary
 374-8   officers.
 374-9         (e)  The task force shall meet at the call of the presiding
374-10   officer.
374-11         (f)  The appointing agency is responsible for the expenses of
374-12   a member's service on the task force.  A member of the task force
374-13   is not entitled to additional compensation for serving on the task
374-14   force.
374-15         (g)  The task force shall:
374-16               (1)  serve as this state's counterpoint to the federal
374-17   electronic benefits transfer task force;
374-18               (2)  identify benefit programs that merit addition to
374-19   this state's electronic benefits transfer system;
374-20               (3)  identify and address problems that may occur if a
374-21   program is added;
374-22               (4)  pursue state-federal partnerships to facilitate
374-23   the development and expansion of this state's electronic benefits
374-24   transfer system;
 375-1               (5)  track and distribute federal legislation and
 375-2   information from other states that relate to electronic benefits
 375-3   transfer systems;
 375-4               (6)  ensure efficiency and planning coordination in
 375-5   relation to this state's electronic benefits transfer system;
 375-6               (7)  develop a plan using the experience and expertise
 375-7   of the Department of Public Safety of the State of Texas for the
 375-8   use of a photograph or other imaging technology on all electronic
 375-9   benefits transfer cards and, if proven to be effective in reducing
375-10   fraud and misuse, begin using the new cards starting with
375-11   replacement cards for cards that were used in the program on June
375-12   13, 1995; and
375-13               (8)  review current and potential fraud problems with
375-14   electronic benefits transfer and propose methods to prevent or
375-15   deter fraud.
375-16         (h)  In determining which benefit programs can be added to
375-17   this state's electronic benefits transfer system, the task force
375-18   shall consider, at a minimum:
375-19               (1)  the savings to this state;
375-20               (2)  the ease of addition to existing infrastructure;
375-21   and
375-22               (3)  the number of clients served.
375-23         (b)  Section 8.10, Chapter 655, Acts of the 74th
375-24   Legislature, Regular Session, 1995, is repealed.
 376-1         SECTION 14.15.  (a)  Subchapter B, Chapter 531, Government
 376-2   Code, is amended to conform to Section 6.08(a), Chapter 655, Acts
 376-3   of the 74th Legislature, Regular Session, 1995, by adding Section
 376-4   531.046 to read as follows:
 376-5         Sec. 531.046.  FEDERAL FUNDING FOR CHEMICAL DEPENDENCY
 376-6   SERVICES.  The commission shall coordinate with the Texas
 376-7   Commission on Alcohol and Drug Abuse and the Texas Department of
 376-8   Human Services to amend the eligibility requirements of this
 376-9   state's emergency assistance plan under Title IV-A, Social Security
376-10   Act (42 U.S.C. Section 601 et seq.), to include either a child or a
376-11   significant adult in a child's family who needs chemical dependency
376-12   treatment.
376-13         (b)  Section 6.08(a), Chapter 655, Acts of the 74th
376-14   Legislature, Regular Session, 1995, is repealed.
376-15         SECTION 14.16.  Chapter 531, Government Code, is amended to
376-16   conform to Section 1, Chapter 444, Acts of the 74th Legislature,
376-17   Regular Session, 1995, by adding Subchapter C to read as follows:
376-18          SUBCHAPTER C.  MEDICAID FRAUD, MISUSE, OR OVERCHARGES
376-19         Sec. 531.101.  AWARD FOR REPORTING MEDICAID FRAUD, MISUSE, OR
376-20   OVERCHARGES.  (a)  The commission may grant an award to an
376-21   individual who reports activity that constitutes fraud or misuse of
376-22   funds in the state Medicaid program or reports overcharges in the
376-23   program if the commission determines that the disclosure results in
376-24   the recovery of an overcharge or in the termination of the
 377-1   fraudulent activity or misuse of funds.
 377-2         (b)  The commission shall determine the amount of an award.
 377-3   The award must be equal to not less than 10 percent of the  savings
 377-4   to this state that result from the individual's disclosure.  In
 377-5   determining the amount of the award, the commission shall consider
 377-6   how important the disclosure is in ensuring the fiscal integrity of
 377-7   the program.
 377-8         (c)  An award under this section is subject to appropriation.
 377-9   The award must be paid from money appropriated to or otherwise
377-10   available to the commission, and additional money may not be
377-11   appropriated to the commission for the purpose of paying the award.
377-12         (d)  Payment of an award under this section from federal
377-13   funds is subject to the permissible use under federal law of funds
377-14   for this purpose.
377-15         SECTION 14.17.  (a)  Subtitle I, Title 4, Government Code, is
377-16   amended to conform to Sections 1 and 2, Chapter 444, Acts of the
377-17   74th  Legislature, Regular Session, 1995, by adding Chapter 532 to
377-18   read as follows:
377-19           CHAPTER 532.  MEDICAID MANAGED CARE DELIVERY SYSTEM
377-20                    SUBCHAPTER A.  GENERAL PROVISIONS
377-21         Sec. 532.001.  DEFINITIONS.  In this chapter:
377-22               (1)  "Managed care organization" means a person who is
377-23   authorized or otherwise permitted by law to arrange for or provide
377-24   a managed care plan.
 378-1               (2)  "Managed care plan" means a plan under which a
 378-2   person undertakes to provide, arrange for, pay for, or reimburse
 378-3   any part of the cost of any health care services.  A part of the
 378-4   plan must consist of arranging for or providing health care
 378-5   services as distinguished from indemnification against the cost of
 378-6   those services on a prepaid basis through insurance or otherwise.
 378-7   The term does not include a plan that indemnifies a person for the
 378-8   cost of health care services through insurance.
 378-9               (3)  "Resources" means:
378-10                     (A)  for an entity listed in Section
378-11   532.104(a)(1), (2), (3), (7), (8), or (9) or Section 532.104(b),
378-12   tax or other public revenues spent on indigent health care; and
378-13                     (B)  for an entity listed in Section
378-14   532.104(a)(4), (5), or (6), the value of unsponsored charity care,
378-15   as described by the General Appropriations Act, provided by or on
378-16   behalf of that entity to indigent persons and general revenue or
378-17   other funds used for matching under the Medicaid disproportionate
378-18   share program.
378-19               (4)  "Resources or other funds available for matching"
378-20   or "resources and other funds available for matching" means
378-21   resources and other funds made available by an entity listed in
378-22   Section 532.104 that the federal government has determined are
378-23   acceptable for matching under a waiver submitted to develop and
378-24   implement the health care delivery system developed under this
 379-1   chapter.
 379-2         Sec. 532.002.  IMPLEMENTATION OF HEALTH CARE DELIVERY SYSTEM;
 379-3   ENFORCEMENT.  (a)  In accordance with this subtitle and other
 379-4   applicable state and federal statutes, the commission shall:
 379-5               (1)  implement a health care delivery system developed
 379-6   under this chapter; and
 379-7               (2)  monitor compliance with, and take action as
 379-8   necessary or appropriate, including the use of administrative
 379-9   penalties, to enforce this chapter and related rules, federal
379-10   waivers, and orders and decisions of the commission.
379-11         (b)  Except as prohibited by federal law, the commission and
379-12   the Texas Department of Insurance shall share confidential
379-13   information, including financial data, that relates to or affects a
379-14   person that may contract with the commission or an
379-15   intergovernmental initiative to carry out the purposes of this
379-16   chapter.
379-17         Sec. 532.003.  RULES FOR HEALTH CARE DELIVERY SYSTEM.  (a)
379-18   The commission shall adopt rules as necessary or appropriate to
379-19   carry out its functions under this chapter.
379-20         (b)  The commissioner of insurance shall adopt rules as
379-21   necessary or appropriate to carry out functions of the Texas
379-22   Department of Insurance under Section 532.002 and Subchapter C.
379-23         (c)  The commission may require a health and human services
379-24   agency that operates a part of the state Medicaid program to adopt,
 380-1   with the approval of the commission, rules under Subsection (a) as
 380-2   necessary or appropriate to implement this chapter.
 380-3         Sec. 532.004.  DELEGATION OF AUTHORITY.  The commission may
 380-4   delegate to a health and human services agency that operates a part
 380-5   of the state Medicaid program the authority to exercise all or part
 380-6   of the commission's functions, powers, and duties under Section
 380-7   532.002 and Subchapters B and C.
 380-8            (Sections 532.005-532.100 reserved for expansion
 380-9                 SUBCHAPTER B.  MEDICAID DELIVERY SYSTEM
380-10         Sec. 532.101.  MEDICAID HEALTH CARE DELIVERY SYSTEM.  (a)
380-11   The commission shall develop a health care delivery system that
380-12   restructures the delivery of health care services provided under
380-13   the state Medicaid program.
380-14         (b)  The commission shall develop the health care delivery
380-15   system only if the commission obtains a waiver or other
380-16   authorization from all necessary federal agencies to implement the
380-17   system.
380-18         Sec. 532.102.  DESIGN AND DEVELOPMENT OF HEALTH CARE DELIVERY
380-19   SYSTEM.  (a)  In developing the health care delivery system under
380-20   this chapter, the commission shall:
380-21               (1)  to the extent possible, design the system in a
380-22   manner that:
380-23                     (A)  improves the health of the people of this
380-24   state by:
 381-1                           (i)  emphasizing prevention;
 381-2                           (ii)  promoting continuity of care; and
 381-3                           (iii)  providing a medical home for
 381-4   Medicaid recipients; and
 381-5                     (B)  ensures that each recipient can receive high
 381-6   quality, comprehensive health care services in the recipient's
 381-7   local community;
 381-8               (2)  design the system in a manner that enables this
 381-9   state and the local governmental entities that make resources and
381-10   other funds available for matching to the commission under this
381-11   subchapter to control the costs associated with the state Medicaid
381-12   program and, to the extent possible, results in cost savings to
381-13   this state and those local governmental entities through health
381-14   care service delivery based on managed care;
381-15               (3)  to the extent it is cost-effective to this state
381-16   and local governments:
381-17                     (A)  maximize the financing of the state Medicaid
381-18   program by obtaining federal matching funds for all resources and
381-19   other funds available for matching; and
381-20                     (B)  expand Medicaid eligibility to include
381-21   persons who were eligible to receive indigent health care services
381-22   through the use of those resources or other funds available for
381-23   matching before expansion of eligibility, with priority to
381-24   expanding eligibility to children and their families;
 382-1               (4)  to the extent possible, develop a plan to expand
 382-2   Medicaid eligibility to include children and other persons, other
 382-3   than those persons described by Subdivision (3), that is funded by
 382-4   using:
 382-5                     (A)  appropriations that have previously been
 382-6   made to other agencies or other programs to provide related health
 382-7   care services to those children and other persons;
 382-8                     (B)  earned federal funds;
 382-9                     (C)  contributions by those children or other
382-10   persons or their families; or
382-11                     (D)  resources or other funds available for
382-12   matching;
382-13               (5)  design the system to ensure that if the system
382-14   includes a method to finance the state Medicaid program by
382-15   obtaining federal matching funds for resources and other funds
382-16   available for matching, each entity listed in Section
382-17   532.104(a)(1), (2), (3), (7), (8), or (9) or Section 532.104(b)
382-18   that makes those resources and other funds available receives funds
382-19   to provide health care services to persons who are eligible for
382-20   Medicaid under the expanded eligibility criteria developed under
382-21   Subdivision (3) or (4) in an amount that is at least equal to the
382-22   amount of resources or other funds available for matching provided
382-23   by that entity under this chapter;
382-24               (6)  to the extent possible, provide for each entity
 383-1   that makes resources and other funds available for matching under
 383-2   this subchapter an option to operate the health care delivery
 383-3   system in its region, including appropriate portions of the
 383-4   eligibility determination process, subject to the standards of and
 383-5   oversight by the commission;
 383-6               (7)  design the system to:
 383-7                     (A)  include methods for ensuring accountability
 383-8   to this state for the provision of health care services under the
 383-9   state Medicaid  program, including methods for financial reporting,
383-10   quality assurance, and utilization review;
383-11                     (B)  provide a single point of accountability for
383-12   collection of uniform data to assess, compile, and analyze outcome
383-13   quality and  cost efficiency;
383-14                     (C)  conduct comparative analyses of compiled
383-15   data to assess the relative value of alternative health care
383-16   delivery systems and report to the governor, lieutenant governor,
383-17   and speaker of the house of representatives;
383-18                     (D)  oversee the procedures for setting
383-19   capitation and provider payment rates to ensure the cost-effective
383-20   provision of quality health care;
383-21                     (E)  ensure that both private and public health
383-22   care providers and managed care organizations, including a hospital
383-23   that has been designated as a disproportionate share hospital under
383-24   the state Medicaid program, have an opportunity to participate in
 384-1   the system;
 384-2                     (F)  ensure, in adopting rules implementing the
 384-3   system, that in developing the provider network for the system, the
 384-4   commission, each intergovernmental initiative, and each managed
 384-5   care organization, as applicable, give extra consideration to a
 384-6   health care provider who has traditionally provided care to
 384-7   Medicaid and charity care patients;
 384-8                     (G)  give extra consideration to providers who
 384-9   agree to ensure continuity of care for Medicaid clients for 12
384-10   months beyond the period of eligibility; and
384-11                     (H)  require that the commission, each
384-12   intergovernmental initiative, and each managed care organization,
384-13   as applicable, include in its provider network, for not less than
384-14   three years, each health care provider who:
384-15                           (i)  previously provided care to Medicaid
384-16   and charity care patients at a significant level as prescribed by
384-17   the commission;
384-18                           (ii)  agrees to accept the standard
384-19   provider reimbursement rate of the commission, the
384-20   intergovernmental initiative, or the managed care organization, as
384-21   applicable;
384-22                           (iii)  meets the credentialing requirements
384-23   under the system of the commission, the intergovernmental
384-24   initiative, or the managed care organization, as applicable,
 385-1   provided that lack of board certification or accreditation by the
 385-2   Joint Commission on Accreditation of Healthcare Organizations may
 385-3   not be the sole grounds for exclusion from the provider network;
 385-4   and
 385-5                           (iv)  agrees to comply and does comply with
 385-6   all of the terms of the standard provider agreement of the
 385-7   commission, intergovernmental initiative, or managed care
 385-8   organization, as applicable;
 385-9               (8)  design the system in a manner that, to the extent
385-10   possible, enables the state to manage care to lower the cost of
385-11   providing Medicaid services through the use of health care delivery
385-12   systems such as a primary care case management system, partially
385-13   capitated system, or fully capitated system or a combination of one
385-14   or more of those systems and use, if possible, multiple, competing
385-15   managed care organizations in those systems;
385-16               (9)  design the system in a manner that enables the
385-17   state to:
385-18                     (A)  use different types of health care delivery
385-19   systems to meet the needs of different populations, including the
385-20   establishment  of pilot programs to deliver health care services to
385-21   children with special health care needs;
385-22                     (B)  recognize the unique role of rural
385-23   hospitals, physicians, home and community support services
385-24   agencies, and other rural health care providers in providing access
 386-1   to health care services for persons who live in rural areas of this
 386-2   state; and
 386-3                     (C)  review data from existing or new pilot
 386-4   programs that cover all prescription drugs that are medically
 386-5   indicated for a person by a licensed health care provider in
 386-6   primary and preventive care and implement any changes in the state
 386-7   Medicaid program that as a result of the review are determined to
 386-8   be cost-effective and cost-neutral;
 386-9               (10)  establish geographic health care service regions
386-10   after consulting with local governmental entities that provide
386-11   resources or other funds available for matching under this section
386-12   and emphasize regional coordination in the provision of indigent
386-13   health care;
386-14               (11)  simplify eligibility criteria and streamline
386-15   eligibility determination processes;
386-16               (12)  to the extent possible, provide a one-stop
386-17   approach for client information and referral for managed care
386-18   services;
386-19               (13)  to the extent possible, design the system in a
386-20   manner that encourages the training of and access to primary care
386-21   physicians;
386-22               (14)  develop and prepare, after consulting with the
386-23   following entities, the waiver or other documents necessary to
386-24   obtain federal authorization for the system:
 387-1                     (A)  governmental entities that provide health
 387-2   care services and assistance to indigent persons in this state;
 387-3                     (B)  consumer representatives;
 387-4                     (C)  managed care organizations; and
 387-5                     (D)  health care providers;
 387-6               (15)  design the system to ensure that if the system
 387-7   includes a method to finance the state Medicaid program by
 387-8   obtaining federal matching funds for resources and other funds
 387-9   available for matching, an amount not to exceed $20 million a year
387-10   must be dedicated under the system as prescribed in the waiver for
387-11   special payments to rural hospitals that:
387-12                     (A)  are sole community providers and provide a
387-13   significant amount of care to Medicaid and charity care patients as
387-14   prescribed by the commission; and
387-15                     (B)  are located in a county in which the county,
387-16   or another entity located in the county and described by Section
387-17   532.104:
387-18                           (i)  has executed a matching funds
387-19   agreement with the commission under this subchapter; and
387-20                           (ii)  participates in an intergovernmental
387-21   initiative under Subchapter C with a county that is contiguous to
387-22   the county in which the rural hospital is located or with another
387-23   entity described by Section 532.104 that is located in the
387-24   contiguous county if the contiguous county or the entity located in
 388-1   the contiguous county is one of the entities that forms an
 388-2   intergovernmental  initiative under Subchapter C;
 388-3               (16)  if necessary to ensure that all resources or
 388-4   other funds available for matching are maximized in accordance with
 388-5   Subdivision (3), design the system to ensure that an amount
 388-6   determined by the commission is dedicated under the system as
 388-7   prescribed in the waiver for special payments to hospitals that
 388-8   provide at least 14,000 low-income patient days as determined by
 388-9   the commission under the procedures used for determining
388-10   eligibility for the Medicaid disproportionate share program;
388-11               (17)  design a cost-neutral system to provide for a
388-12   sliding scale copayment system for individuals who are above 100
388-13   percent of the federal poverty level;
388-14               (18)  to the extent possible and subject to the
388-15   availability of funds, design a cost-neutral system to allow the
388-16   development of a buy-in program with sliding scale premiums for
388-17   Medicaid recipients who are leaving the program and have incomes
388-18   between 150 percent and 250 percent of the federal poverty level;
388-19               (19)  design the system in a manner that, to the extent
388-20   possible, maintains administrative costs at a level not to exceed
388-21   five percent of the cost of the state Medicaid program; and
388-22               (20)  develop and implement, in consultation with a
388-23   professional association representing 51 percent or more of the
388-24   licensed dentists in this state, a pilot program for child and
 389-1   adult dental care that:
 389-2                     (A)  is prevention-based;
 389-3                     (B)  allows the choice of dentists to be at the
 389-4   discretion of the eligible recipient, who chooses from a list of
 389-5   qualified and participating providers or dental managed care
 389-6   organizations; and
 389-7                     (C)  explores the use of local funds spent on
 389-8   dental health care in the period before June 13, 1995, as a method
 389-9   for financing the state share of the pilot program.
389-10         (b)  In determining what constitutes a significant level of
389-11   care provided to Medicaid and charity care patients for purposes of
389-12   Subsection (a)(7)(H)(i), the commission shall include in its
389-13   consideration:
389-14               (1)  minimized disruption to existing physician-patient
389-15   relationships;
389-16               (2)  access by a patient to quality health care
389-17   services in the patient's local community;
389-18               (3)  the dollar amount of Medicaid care delivered by a
389-19   particular nonhospital provider in proportion to the dollar amount
389-20   of Medicaid care delivered by other similar nonhospital providers
389-21   in the same field of practice; and
389-22               (4)  the level of Medicaid and charity care delivered
389-23   by a particular hospital, as measured under the Medicaid
389-24   disproportionate share program, in proportion to that delivered by
 390-1   other hospitals.
 390-2         Sec. 532.103.  RESTRICTION ON USE OF GENERAL REVENUE FUNDS.
 390-3   (a)  If this state is authorized by the federal government to
 390-4   expand the eligibility requirements for participation in the state
 390-5   Medicaid program under the health care delivery system developed
 390-6   under this chapter, the commission shall adopt procedures to ensure
 390-7   that appropriations from the general revenue fund, including
 390-8   accounts consolidated in the general revenue fund, may not be used
 390-9   to provide health care services under the system to persons
390-10   described by Section 532.102(a)(3) or (4).
390-11         (b)  Procedures adopted under Subsection (a) do not apply to:
390-12               (1)  federal funds appropriated from the general
390-13   revenue fund;
390-14               (2)  amounts local governmental entities make available
390-15   for matching under this section;
390-16               (3)  appropriations from the general revenue fund to an
390-17   entity described by Section 532.104(a)(4), (5), or (6) to provide
390-18   indigent health care services;
390-19               (4)  appropriations from the general revenue fund used
390-20   for matching under the Medicaid disproportionate share program; or
390-21               (5)  appropriations from the general revenue fund to
390-22   provide health care services to children.
390-23         Sec. 532.104.  MATCHING FUNDS: ENTITIES AFFECTED.  (a)  If
390-24   the health care delivery system developed under this chapter
 391-1   includes a method to finance the state Medicaid program by
 391-2   obtaining federal matching funds for resources and other funds
 391-3   available for matching and if the commission has obtained federal
 391-4   authorization to implement the system, the following entities, in
 391-5   accordance  with final, binding matching funds agreements executed
 391-6   by those entities under Section 532.109, shall make resources
 391-7   available for matching to the commission for use in implementing
 391-8   the system:
 391-9               (1)  a hospital district created and established under
391-10   the authority of Sections 4 through 11, Article IX, Texas
391-11   Constitution;
391-12               (2)  a hospital authority created and established under
391-13   Chapter 262 or 264, Health and Safety Code, that to some extent
391-14   uses resources for the provision of health care services to
391-15   indigent persons;
391-16               (3)  a hospital owned and operated by a municipality,
391-17   county, or hospital authority and created under Chapter 262 or 264,
391-18   Health and Safety Code;
391-19               (4)  a medical school operated by this state;
391-20               (5)  a medical school that receives state funds under
391-21   Section 61.093, Education Code, or a chiropractic school that
391-22   receives state funds under the General Appropriations Act;
391-23               (6)  a teaching hospital operated by The University of
391-24   Texas System;
 392-1               (7)  a county that provides health care services and
 392-2   assistance to indigent residents of the county under Subchapter B,
 392-3   Chapter 61,  Health and Safety Code, if the commissioners court of
 392-4   the county adopts a resolution requesting that the county
 392-5   participate in the health care delivery system by executing a
 392-6   matching funds agreement under Section 532.109;
 392-7               (8)  a governmental entity that provides funds to a
 392-8   public hospital for the provision of health care services to
 392-9   indigent persons under Section 61.062, Health and Safety Code;
392-10               (9)  a county with a population of more than 400,000
392-11   that provides funds to a public hospital and that is not included
392-12   in the boundaries of a hospital district; and
392-13               (10)  a hospital owned by a municipality and leased to
392-14   and operated by a nonprofit hospital for a public purpose, subject
392-15   to federal approval of matching funds from such an entity.
392-16         (b)  In addition to the entities listed in Subsection (a),
392-17   the following entities may make resources available for matching to
392-18   the commission for use in implementing the health care delivery
392-19   system if the commission designs the system in a manner that
392-20   expands Medicaid eligibility to include some or all of the clients
392-21   of the entity who did not meet the eligibility requirements in
392-22   effect immediately before the Medicaid eligibility requirements
392-23   were expanded and to cover some or all of the health care services
392-24   provided by the entity to those clients:
 393-1               (1)  a local mental health authority or a local mental
 393-2   retardation authority as defined by Section 531.002, Health and
 393-3   Safety Code;
 393-4               (2)  a municipal or county health department; or
 393-5               (3)  any other governmental entity that provides health
 393-6   care services to indigent persons.
 393-7         Sec. 532.105.  COMPUTATION OF AVAILABLE RESOURCES.  The
 393-8   amount of resources an entity makes available to the commission in
 393-9   a fiscal year under Section 532.104 is computed by:
393-10               (1)  adding the total amount of resources the entity
393-11   spent on or provided for indigent health care during the entity's
393-12   fiscal year ending in 1994; and
393-13               (2)  subtracting from the amount computed under
393-14   Subdivision (1) the following adjustments:
393-15                     (A)  the amount of resources the entity spent on
393-16   or provided for health care services during the entity's fiscal
393-17   year ending in 1994 that were provided by the entity or on the
393-18   entity's behalf to indigent persons who would not have been
393-19   eligible to receive services under the eligibility criteria
393-20   developed under Section 532.102(a)(3);
393-21                     (B)  to the extent and while the commission
393-22   determines whether to continue the current Medicaid
393-23   disproportionate share program that was in operation on June 13,
393-24   1995, and before all the disproportionate share funds become part
 394-1   of the health care delivery system developed under the waiver, the
 394-2   estimate of the amount of resources, if any, the entity will
 394-3   transfer in each fiscal year to the Texas Department of Health
 394-4   under the Medicaid disproportionate share program; and
 394-5                     (C)  any other necessary or equitable adjustment
 394-6   as determined by the commission.
 394-7         Sec. 532.106.  ADDITIONAL RESOURCES AND OTHER FUNDS.  (a)
 394-8   The commission and the governing body of an entity that makes
 394-9   resources available for matching to the commission under this
394-10   subchapter may agree that the entity may make available for
394-11   matching resources or other funds in addition to those amounts
394-12   computed under Section 532.105.
394-13         (b)  Additional resources or funds may include an amount that
394-14   reflects the costs associated with the growth in the state Medicaid
394-15   program as estimated in a federal waiver application or other
394-16   federal authorization that is required to be submitted to implement
394-17   the health care delivery system.
394-18         (c)  Additional amounts of resources or other funds made
394-19   available for matching by an entity under this section must be
394-20   contained in the final binding matching funds agreement executed by
394-21   the entity under Section 532.109.
394-22         Sec. 532.107.  RULES FOR MATCHING RESOURCES.  (a)  The
394-23   commission by rule shall determine the manner in which an entity
394-24   described by Section 532.104 shall make resources available for
 395-1   matching to the commission under this subchapter.
 395-2         (b)  If an intergovernmental initiative is formed under
 395-3   Subchapter C, each entity listed under Section 532.104 that
 395-4   participates in the intergovernmental initiative shall make its
 395-5   resources available for matching to the commission by making its
 395-6   resources available to the intergovernmental initiative, subject to
 395-7   federal approval.
 395-8         Sec. 532.108.  MEMORANDUM OF UNDERSTANDING: MATCHING
 395-9   RESOURCES AND OTHER FUNDS.  (a)  The commission shall prepare for
395-10   an entity that makes resources or other funds available for
395-11   matching to the commission under this subchapter a proposed
395-12   memorandum of understanding that states the amount of resources and
395-13   other funds available for matching the entity will make available
395-14   to the commission each year under Sections 532.105 and 532.106.
395-15         (b)  A memorandum of understanding serves as the basis for
395-16   the negotiation of a final binding agreement called a "matching
395-17   funds agreement" between the governing body of the entity, the
395-18   commissioners court, if applicable, and the commission.
395-19         (c)  If an entity under Subsection (a) is a hospital district
395-20   the tax rate for which is set by the commissioners court of a
395-21   county in which the hospital district is located, the commissioners
395-22   court must also agree to the amount of resources or other funds
395-23   available for matching made available by the hospital district
395-24   under Sections 532.105 and 532.106.
 396-1         Sec. 532.109.  MATCHING FUNDS AGREEMENT.  (a)  A matching
 396-2   funds agreement for an entity that makes resources or other funds
 396-3   available for matching to the commission under this subchapter must
 396-4   include for each year the agreement is in effect:
 396-5               (1)  a statement of the amount of resources or other
 396-6   funds available for matching the entity agrees to make available to
 396-7   the commission under Sections 532.105 and 532.106 to provide health
 396-8   care services to eligible individuals described by the commission
 396-9   in the waiver application that a federal agency may require to
396-10   implement the health care delivery system;
396-11               (2)  an estimate of the cost of providing services to
396-12   eligible individuals described by Subdivision (1) by category and
396-13   by income level;
396-14               (3)  an estimate of the number of eligible individuals
396-15   described by Subdivision (1) who are being served, by category and
396-16   by income level;
396-17               (4)  a description of the scope of services to be
396-18   provided to eligible individuals described by Subdivision (1);
396-19               (5)  a provision stating the requirement prescribed by
396-20   Section 532.102(a)(5);
396-21               (6)  a provision stating that if the federal Health
396-22   Care Financing Administration and the commission modify the waiver
396-23   application submitted by the commission to implement the health
396-24   care delivery system with respect to financing, eligibility
 397-1   criteria, or scope of services, the commission or an entity that
 397-2   executes a matching funds agreement may request renegotiation or
 397-3   modification of the terms of the agreement and the other party
 397-4   shall make a good faith effort to renegotiate or modify the terms
 397-5   of the agreement;
 397-6               (7)  a provision stating that if substantial changes in
 397-7   the financing, eligibility criteria, or scope of services provided
 397-8   to eligible individuals described by Subdivision (1) are mandated
 397-9   by federal or state law, the commission and an entity that executes
397-10   a matching funds agreement may mutually agree to modify the
397-11   agreement; and
397-12               (8)  other information the commission may require.
397-13         (b)  The expiration date of the matching funds agreement must
397-14   be the same date as the expiration date of a waiver authorizing the
397-15   implementation of the health care delivery system developed under
397-16   this chapter.
397-17         (c)  If a party to the matching funds agreement is an entity
397-18   located in a metropolitan statistical area as defined by the United
397-19   States Office of Management and Budget on June 13, 1995, the
397-20   matching funds agreement must be executed by the entity and
397-21   commission before the commission submits a waiver application that
397-22   a federal agency may require to implement the health care delivery
397-23   system unless the commission determines to extend the agreement due
397-24   date for an entity because of extraordinary circumstances.
 398-1         (d)  A matching funds agreement entered into by the
 398-2   commission and an entity located outside a metropolitan statistical
 398-3   area may be executed after the waiver application is approved.  The
 398-4   commission by rule shall determine the time by which the matching
 398-5   funds agreement of such an entity must be executed by that entity
 398-6   and the commission.
 398-7         Sec. 532.110.  COUNTY'S LIABILITY FOR INDIGENT HEALTH CARE.
 398-8   The liability of a county described by Section 532.104(a)(7) for
 398-9   health care services and assistance under Subchapter B, Chapter 61,
398-10   Health and Safety Code, is not affected by this subchapter.
398-11         Sec. 532.111.  RULES FOR SPECIAL PAYMENTS TO RURAL HOSPITALS.
398-12   The commission by rule shall develop a procedure for the
398-13   distribution of special payments that may be made to a rural
398-14   hospital under Section 532.102(a)(15).
398-15            (Sections 532.112-532.200 reserved for expansion
398-16              SUBCHAPTER C.  INTERGOVERNMENTAL INITIATIVES
398-17         Sec. 532.201.  FORMATION OF INTERGOVERNMENTAL INITIATIVES.
398-18   (a)  If a health care delivery system developed under this chapter
398-19   includes a method to finance the state Medicaid program by
398-20   obtaining federal matching funds for local and state resources
398-21   spent on or provided for indigent health care, one or more of the
398-22   entities listed in Section 532.104 that make resources or other
398-23   funds available for matching under a matching funds agreement may
398-24   form an intergovernmental initiative to operate the health care
 399-1   delivery system in a geographical area in accordance with this
 399-2   subchapter.
 399-3         (b)  An intergovernmental initiative formed under this
 399-4   section may serve more than one county.  A county may not be served
 399-5   by more than one intergovernmental initiative.
 399-6         (c)  The commission, with the consent of each entity that
 399-7   forms the intergovernmental initiative, may modify the geographical
 399-8   area the intergovernmental initiative serves to:
 399-9               (1)  promote client access to health care services and
399-10   continuity of care; and
399-11               (2)  move toward full regionalization of the health
399-12   care delivery system.
399-13         (d)  An intergovernmental initiative must be formed as:
399-14               (1)  a nonprofit corporation under the Texas Non-Profit
399-15   Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil
399-16   Statutes); or
399-17               (2)  any other nonstock, nonprofit entity that is
399-18   approved by the commission.
399-19         (e)  An intergovernmental initiative formed under this
399-20   section is a governmental unit for purposes of Chapter 101, Civil
399-21   Practice and Remedies Code.
399-22         Sec. 532.202.  DUTIES OF INTERGOVERNMENTAL INITIATIVE.  An
399-23   intergovernmental initiative formed under this subchapter shall:
399-24               (1)  operate the health care delivery system developed
 400-1   under this chapter in the geographical area described by the health
 400-2   care delivery plan agreement of the intergovernmental initiative
 400-3   subject to the standards of and oversight by the commission and the
 400-4   standards and oversight requirements contained in:
 400-5                     (A)  applicable state and federal statutes and
 400-6   rules;
 400-7                     (B)  federal waivers or other federal
 400-8   authorizations required to implement the health care delivery
 400-9   system; and
400-10                     (C)  the health care delivery plan agreement
400-11   executed under this subchapter by the entities forming the
400-12   intergovernmental initiative;
400-13               (2)  perform the functions in operating the health care
400-14   delivery system that are prescribed by the health care delivery
400-15   plan agreement executed by the entities forming the
400-16   intergovernmental initiative and the commission;
400-17               (3)  if applicable, make supplemental payments as
400-18   necessary to entities that make resources and other funds available
400-19   for matching to the intergovernmental initiative under Subchapter B
400-20   to satisfy the purpose of Section 532.102(a)(5) and Section
400-21   532.210(9);
400-22               (4)  to the extent possible, manage care to lower the
400-23   cost of providing Medicaid services through the use of health care
400-24   delivery systems such as a primary care case management system,
 401-1   partially capitated system, or fully capitated system or a
 401-2   combination of one or more of those systems and use, if possible,
 401-3   multiple, competing managed care organizations within those
 401-4   systems;
 401-5               (5)  comply with Chapter 551; and
 401-6               (6)  use any savings that accrue to the
 401-7   intergovernmental initiative or the entities that form the
 401-8   intergovernmental initiative through operation of the health care
 401-9   delivery plan agreement solely to deliver and provide health care
401-10   to indigent persons.
401-11         Sec. 532.203.  GOVERNANCE.  An intergovernmental initiative
401-12   formed under this subchapter shall be governed as provided by
401-13   Sections 532.204-532.206.
401-14         Sec. 532.204.  EXECUTIVE COMMITTEE; MEMBERS AND DUTIES.  (a)
401-15   Each intergovernmental initiative has an executive committee
401-16   composed of representatives of each of the entities that formed the
401-17   intergovernmental initiative.
401-18         (b)  If more than one entity forms an intergovernmental
401-19   initiative, the entities shall share governance of the executive
401-20   committee in proportion to the amount of resources and other funds
401-21   they make available for matching under the matching funds
401-22   agreement.
401-23         (c)  The executive committee has exclusive authority to
401-24   manage the public funds of the intergovernmental initiative,
 402-1   including the authority to determine how those funds will be used
 402-2   in accordance with this subchapter and other applicable law.
 402-3         Sec. 532.205.  GOVERNING BOARD.  (a)  The governing board of
 402-4   an intergovernmental initiative is composed of the executive
 402-5   committee and other persons appointed by the executive committee as
 402-6   prescribed by Subsection (b).
 402-7         (b)  The executive committee shall appoint to the governing
 402-8   board of the intergovernmental initiative at least one person that
 402-9   represents each of the following groups located in the geographical
402-10   area the intergovernmental initiative serves:
402-11               (1)  clients of the intergovernmental initiative;
402-12               (2)  a children's hospital or, if there is not a
402-13   children's hospital located in the geographical area served by the
402-14   intergovernmental initiative, the program director of an approved
402-15   family practice residency training program as defined by Section
402-16   61.501, Education Code;
402-17               (3)  physicians or other individual health care
402-18   providers;
402-19               (4)  a nonprofit hospital;
402-20               (5)  a for-profit hospital;
402-21               (6)  a managed care organization that is licensed by
402-22   the Texas Department of Insurance;
402-23               (7)  each hospital, whether public or private, that
402-24   provided during the state fiscal year ending August 31, 1995, at
 403-1   least 14,000 low-income days of care as determined by the Texas
 403-2   Department of Health for purposes of determining eligibility for
 403-3   the Medicaid disproportionate share program or at least 14,000
 403-4   low-income days of care during the state fiscal year preceding the
 403-5   date of appointment as determined by the commission, as applicable;
 403-6   and
 403-7               (8)  a rural hospital that received payments under the
 403-8   Medicaid disproportionate share program during the hospital's
 403-9   fiscal year preceding the date of appointment.
403-10         (c)  A person appointed to the governing board by the
403-11   executive committee under Subsection (b) may be appointed as a
403-12   representative of more than one group listed in that subsection.
403-13   If a group listed in that subsection is not located in the
403-14   geographical area served by the intergovernmental initiative, the
403-15   executive committee is not required to appoint a representative of
403-16   that group to the governing board.
403-17         (d)  It is a ground for removal from the governing board if
403-18   the group a member represents does not maintain during service on
403-19   the governing board the qualifications required for inclusion on
403-20   the board under this section.
403-21         (e)  Representation on the governing board and the manner in
403-22   which votes are apportioned among members of the governing board
403-23   who are not members of the executive committee shall be based
403-24   primarily on the relative level of Medicaid and charity care
 404-1   services, as defined by Section 311.031, Health and Safety Code,
 404-2   that are provided by those nonexecutive committee members of the
 404-3   governing board during the two years preceding the date of the
 404-4   appointment to the governing board.
 404-5         (f)  Notwithstanding Subsection (e), the executive committee
 404-6   must have at least 51 percent of the voting rights on the governing
 404-7   board.  The votes of the executive committee must be apportioned in
 404-8   the manner described by Section 532.204(b).
 404-9         (g)  The governing board of an intergovernmental initiative
404-10   shall address health care delivery system issues for the
404-11   intergovernmental initiative, including the preparation and
404-12   negotiation of the proposed health care delivery plan for the
404-13   intergovernmental initiative under Section 532.208.
404-14         Sec. 532.206.  COMMISSIONERS COURT APPROVAL.  (a)  If an
404-15   intergovernmental initiative formed under this subchapter includes
404-16   a hospital district the tax rate for which is set by the
404-17   commissioners court of a county in the hospital district, the
404-18   commissioners court of that county must also agree to the structure
404-19   of governance of the intergovernmental initiative within the
404-20   requirements of this subchapter.
404-21         (b)  The commissioners court shall take action required under
404-22   this section not later than the date on which the health care
404-23   delivery plan agreement for the intergovernmental initiative is
404-24   considered approved or is rejected by the commissioners court under
 405-1   Section 532.212.
 405-2         Sec. 532.207.  LETTER OF INTENT.  (a)  Not later than the
 405-3   60th day after the date the commission submits to the federal
 405-4   government an application for a waiver or other authorization
 405-5   required to implement the health care delivery system developed
 405-6   under this chapter, the entities listed in Section 532.104 that
 405-7   have executed a matching funds agreement under Section 532.109(c)
 405-8   or (d) and that intend to form an intergovernmental initiative
 405-9   shall submit to the commission a letter of intent to form the
405-10   intergovernmental initiative.
405-11         (b)  Notwithstanding Subsection (a), if all of the entities
405-12   that intend to form an intergovernmental initiative are located
405-13   outside a metropolitan statistical area, the commission by rule
405-14   shall determine the time by which those entities must submit to the
405-15   commission a letter of intent to form the intergovernmental
405-16   initiative.
405-17         (c)  A letter of intent must include any information required
405-18   by the commission, including at a minimum the names and addresses
405-19   of the entities that intend to form the intergovernmental
405-20   initiative and the geographical area to be served by the
405-21   intergovernmental initiative.
405-22         (d)  A letter of intent is not binding on the entities or the
405-23   commission and only serves to inform the commission of the areas of
405-24   this state that intend to be part of an intergovernmental
 406-1   initiative.
 406-2         Sec. 532.208.  PROPOSED HEALTH CARE DELIVERY PLAN.  (a)
 406-3   Within the time specified by the commission after the date the
 406-4   federal government approves a waiver or gives federal authorization
 406-5   required to implement the health care delivery system developed
 406-6   under this chapter, the entities that have submitted a letter of
 406-7   intent to form an intergovernmental initiative under this
 406-8   subchapter shall jointly submit to the commission a proposed health
 406-9   care delivery plan that contains the information required by the
406-10   commission.
406-11         (b)  A proposed health care delivery plan serves as the basis
406-12   for negotiation of a final binding agreement called a "health care
406-13   delivery plan agreement" between the entities and the commission
406-14   and is not binding on the entities or the commission.
406-15         (c)  The commission by rule shall set a reasonable date by
406-16   which the entities must submit and negotiate the proposed health
406-17   care delivery plan.  The date must be based on the schedule in the
406-18   waiver developed by the commission for phasing in the health care
406-19   delivery system statewide.
406-20         (d)  A negotiated health care delivery plan agreement takes
406-21   effect as provided by the terms of the agreement unless rejected by
406-22   a commissioners court as provided by Section 532.212.
406-23         Sec. 532.209.  RULES REGARDING PLAN AGREEMENT.  (a)  The
406-24   commission shall adopt rules regarding the health care delivery
 407-1   plan agreement and requiring an intergovernmental initiative to
 407-2   seek public input in the development and provisions of the health
 407-3   care delivery plan agreement of the intergovernmental initiative.
 407-4         (b)  The commission shall develop a model plan agreement that
 407-5   includes the minimum requirements established by rule for a health
 407-6   care delivery plan agreement.
 407-7         Sec. 532.210.  MINIMUM REQUIREMENTS OF PLAN AGREEMENT.  The
 407-8   minimum requirements of a health care delivery plan agreement must
 407-9   include:
407-10               (1)  compliance with uniform criteria that are set in
407-11   the waiver described by Section 532.208 for establishing
407-12   eligibility for persons receiving services under the plan;
407-13               (2)  compliance with a uniform description and
407-14   provision of services that is set in the waiver for persons covered
407-15   by the health care delivery plan;
407-16               (3)  the assurance that, to the extent possible,
407-17   payments made to the intergovernmental initiative on a capitated
407-18   basis consider the geographic, risk-adjusted cost of providing care
407-19   to persons eligible for Medicaid;
407-20               (4)  the development of a sufficient provider network
407-21   to ensure adequate access to quality health care services
407-22   consistent with the waiver and any standards prescribed by the
407-23   federal Health Care Financing Administration or the commission,
407-24   including standards relating to travel time and distance that are
 408-1   designed to ensure access by patients to health care providers in
 408-2   the patient's local community;
 408-3               (5)  the development and operation by each
 408-4   intergovernmental initiative, managed care organization, and
 408-5   provider that participates in the health care delivery system of
 408-6   policies regarding financial management, quality assurance,
 408-7   utilization review, and patient access in accordance with standards
 408-8   consistent with the waiver and any standards prescribed by the
 408-9   federal Health Care Financing Administration or the commission;
408-10               (6)  the opportunity for participation of public and
408-11   private managed care organizations and providers in the health care
408-12   delivery system in accordance with standards established by the
408-13   commission, including provisions relating to:
408-14                     (A)  a procedure in the geographic service area
408-15   of an intergovernmental initiative for selection of participating
408-16   managed care organizations and providers, that must provide added
408-17   weight for additional services of value to the state such as a
408-18   continuum of care for Medicaid and charity care patients, trauma,
408-19   Level I emergency services, neonatal intensive care, medical
408-20   education, or other specialty services;
408-21                     (B)  a procedure in the geographic service area
408-22   of an intergovernmental initiative for establishing capitation
408-23   rates and provider payment rates, which rates may be supplemented
408-24   in exchange for the provision of specified additional services; and
 409-1                     (C)  a procedure in the geographic service area
 409-2   of an intergovernmental initiative to ensure recipients have the
 409-3   choice of multiple managed care organizations if possible and
 409-4   multiple providers;
 409-5               (7)  maintenance of adequate stop-loss coverage of the
 409-6   intergovernmental initiative or any managed care organization under
 409-7   contract with the intergovernmental initiative, including
 409-8   provisions to ensure that adequate stop-loss coverage is available;
 409-9               (8)  phasing in operation of the health care delivery
409-10   system, as appropriate to the area served by the intergovernmental
409-11   initiative, in accordance with any waiver application approval or
409-12   other federal authorization to implement the health care delivery
409-13   system, which may include provisions that include methods, such as
409-14   reserve funds, for phasing disproportionate share funds into
409-15   financing the system under the waiver;
409-16               (9)  ensuring that the amount of funds each
409-17   participating entity listed in Section 532.104(a)(1), (2), (3),
409-18   (7), (8), or (9) or Section 532.104(b) receives to provide Medicaid
409-19   health care services to persons who are eligible for Medicaid as a
409-20   result of the expanded eligibility criteria developed under Section
409-21   532.102(a)(3) or (4) is at least equal to the amount of resources
409-22   and other funds made available for matching to the commission by
409-23   the entity;
409-24               (10)  notice to health care providers of the procedures
 410-1   used by the intergovernmental initiative or any managed care
 410-2   organization under contract with the intergovernmental initiative
 410-3   to solicit bids for the delivery of services by health care
 410-4   providers;
 410-5               (11)  grievance and appeal procedures for persons who
 410-6   are denied services or have a complaint regarding the quality of
 410-7   services  under the health care delivery plan;
 410-8               (12)  grievance and appeal procedures for health care
 410-9   providers who are denied participation in the health care delivery
410-10   plan or who want to appeal the:
410-11                     (A)  computation of payment rates under the plan;
410-12                     (B)  denial or reduction of supplemental payment
410-13   amounts; or
410-14                     (C)  denial or reduction of payment for services
410-15   provided or to be provided under the plan; and
410-16               (13)  procedures for transactions made or contracts
410-17   entered into under the health care delivery plan agreement that
410-18   involve conflicts of interest, including procedures that:
410-19                     (A)  require members of an intergovernmental
410-20   initiative's governing board to disclose any financial or other
410-21   interest in entities with which the intergovernmental initiative
410-22   contracts;
410-23                     (B)  ensure compliance with the requirements
410-24   prescribed by Article 2.30, Texas Non-Profit Corporation Act
 411-1   (Article 1396-2.30, Vernon's Texas Civil Statutes), and any other
 411-2   applicable law; and
 411-3                     (C)  at a minimum apply to a contract or
 411-4   transaction between:
 411-5                           (i)  an intergovernmental initiative and
 411-6   one or more of the members of the intergovernmental initiative's
 411-7   governing board;
 411-8                           (ii)  an intergovernmental initiative and a
 411-9   business entity in which one or more members of the
411-10   intergovernmental initiative's governing board are directors or
411-11   officers or have a financial interest; or
411-12                           (iii)  an intergovernmental initiative and
411-13   a business entity listed in Section 532.205(b) that is represented
411-14   on the intergovernmental initiative's governing board.
411-15         Sec. 532.211.  COMMISSION APPROVAL OF PLAN AGREEMENT.  (a)
411-16   Before an intergovernmental initiative may operate the health care
411-17   delivery system developed under this chapter in accordance with the
411-18   health care delivery plan agreement, the commission must approve,
411-19   after notice and a public hearing held in the geographic service
411-20   area, the plan agreement, the structure of governance within the
411-21   requirements of Sections 532.204-532.206, and the geographic
411-22   service area of the intergovernmental initiative.
411-23         (b)  The criteria on which the commission bases its decision
411-24   to approve a health care delivery plan agreement must include:
 412-1               (1)  the cost-effectiveness of the health care delivery
 412-2   plan;
 412-3               (2)  the opportunity for public and private managed
 412-4   care organizations and providers to participate in the health care
 412-5   delivery plan;
 412-6               (3)  access to quality health care services;
 412-7               (4)  any savings to this state; and
 412-8               (5)  whether the plan agreement contains the minimum
 412-9   requirements prescribed by Section 532.210.
412-10         Sec. 532.212.  COMMISSIONERS COURT APPROVAL OF PLAN
412-11   AGREEMENT.  (a)  If an intergovernmental initiative formed under
412-12   this subchapter includes a hospital district the tax rate for which
412-13   is set by the commissioners court of a county in which the hospital
412-14   district is located, the intergovernmental initiative shall file
412-15   the negotiated health care delivery plan agreement with the
412-16   commissioners court.
412-17         (b)  A negotiated agreement is considered approved by the
412-18   commissioners court on the 30th day after the date on which the
412-19   intergovernmental initiative files the negotiated agreement unless
412-20   before the end of that 30-day period the commissioners court adopts
412-21   a resolution rejecting the negotiated agreement.
412-22         (c)  The commissioners court may adopt a resolution to
412-23   delegate the authority to reject the negotiated health care
412-24   delivery plan agreement to the board of directors of the hospital
 413-1   district.
 413-2         Sec. 532.213.  WAIVERS.  (a)  The health care delivery plan
 413-3   agreement for an intergovernmental initiative must be completed
 413-4   before the commission implements an approved waiver in the area
 413-5   covered by the intergovernmental initiative.
 413-6         (b)  If an approved waiver is terminated, the
 413-7   intergovernmental initiative or commission is entitled to terminate
 413-8   the health care delivery plan agreement.  If the waiver is modified
 413-9   in a manner that affects the provision of services in the area
413-10   covered by the health care delivery plan agreement, the
413-11   intergovernmental initiative or the commission may request
413-12   renegotiation and modification of the plan agreement, and the other
413-13   party shall make a good faith effort to renegotiate and modify the
413-14   agreement.
413-15         Sec. 532.214.  CONTRACTUAL POWER.  (a)  An intergovernmental
413-16   initiative formed under this subchapter may contract with any
413-17   public or private person to perform any of the intergovernmental
413-18   initiative's powers or duties.
413-19         (b)  The entities that form the intergovernmental initiative
413-20   may contract, collaborate, or enter into a joint venture with other
413-21   persons as necessary or appropriate to form or carry out the
413-22   functions of or provide services to the intergovernmental
413-23   initiative.
413-24         (c)  A contract, collaborative arrangement, or joint venture
 414-1   entered into under this section by an entity that forms an
 414-2   intergovernmental initiative is subject to the standards of and
 414-3   oversight by the commission as authorized under this chapter.
 414-4         Sec. 532.215.  CONTRACT WITH MANAGED CARE ORGANIZATION.  (a)
 414-5   The intergovernmental initiative shall determine the managed care
 414-6   organizations with which the intergovernmental initiative may
 414-7   contract under the plan agreement.
 414-8         (b)  A contract entered into between an intergovernmental
 414-9   initiative and a managed care organization under this chapter must
414-10   comply with federal requirements and the standards adopted under
414-11   this subchapter.
414-12         Sec. 532.216.  CONTRACTING MANAGED CARE ORGANIZATION:
414-13   REQUIREMENTS.  (a)  A managed care organization that contracts with
414-14   the commission or with an intergovernmental initiative to provide
414-15   or arrange to provide health care benefits or services to Medicaid
414-16   eligible individuals must:
414-17               (1)  be a health maintenance organization that holds a
414-18   certificate of authority to operate under the Texas Health
414-19   Maintenance Organization Act (Article 20A.01 et seq., Vernon's
414-20   Texas Insurance Code); or
414-21               (2)  be regulated by the Texas Department of Insurance
414-22   in a manner determined by the department to be substantially
414-23   similar in all material aspects to the manner in which the
414-24   department regulates health maintenance organizations.
 415-1         (b)  If a managed care organization that contracts with the
 415-2   commission or with an intergovernmental initiative to provide or
 415-3   arrange to provide health care benefits or services to Medicaid
 415-4   eligible individuals is not certified or regulated under Subsection
 415-5   (a), the organization must:
 415-6               (1)  demonstrate to the satisfaction of the Texas
 415-7   Department of Insurance that the managed care organization has
 415-8   obtained insurance or other protection through an insurance company
 415-9   licensed under the Insurance Code to guaranty the cost of health
415-10   care benefits or services to be provided by the managed care
415-11   organization and to provide coverage in the event of failure of the
415-12   managed care organization to meet its obligation under the
415-13   contract; and
415-14               (2)  satisfy federal law and regulations relating to
415-15   minimum solvency requirements applicable to entities or persons
415-16   contracting under the state Medicaid program.
415-17         (c)  Subsections (a) and (b) do not affect the requirement
415-18   that any person subject to Section 26(f)(2), Texas Health
415-19   Maintenance Organization Act (Article 20A.26, Vernon's Texas
415-20   Insurance Code), obtain a certificate of authority from the
415-21   commissioner of insurance.  A state agency or intergovernmental
415-22   initiative may not contract with a person subject to Section
415-23   26(f)(2), Texas Health Maintenance Organization Act (Article
415-24   20A.26, Vernon's Texas Insurance Code), unless that person holds a
 416-1   certificate of authority from the commissioner of insurance.
 416-2         Sec. 532.217.  COMMISSION REVIEW OF CONTRACT.  (a)  Not later
 416-3   than the 30th day after the date on which a contract described by
 416-4   Section 532.215 is executed, the intergovernmental initiative shall
 416-5   submit the contract to the commission for review to ensure that the
 416-6   contract complies with federal requirements and the standards
 416-7   adopted under this subchapter.
 416-8         (b)  The commission on review may require the
 416-9   intergovernmental initiative to modify the contract to comply with
416-10   federal requirements and state standards.
416-11         Sec. 532.218.  EXEMPTION FROM OTHER LAWS.  An
416-12   intergovernmental initiative that operates a health care delivery
416-13   system in accordance with an  approved health care delivery plan
416-14   agreement is exempt from the Texas Health Maintenance Organization
416-15   Act (Article 20A.01 et seq., Vernon's Texas Insurance Code) and
416-16   Articles 21.07-6 and 21.58A, Insurance Code, to the extent that the
416-17   intergovernmental initiative:
416-18               (1)  contracts to purchase services to operate the
416-19   health care delivery system through a managed care organization
416-20   that:
416-21                     (A)  is a health maintenance organization that
416-22   holds a certificate of authority to operate under the Texas Health
416-23   Maintenance Organization Act (Article 20A.01 et seq., Vernon's
416-24   Texas Insurance Code);
 417-1                     (B)  is regulated by the Texas Department of
 417-2   Insurance in a manner determined by the department to be
 417-3   substantially similar in all material aspects to the manner in
 417-4   which the department regulates health maintenance organizations; or
 417-5                     (C)  is qualified under the following by:
 417-6                           (i)  demonstrating to the satisfaction of
 417-7   the Texas Department of Insurance that the managed care
 417-8   organization has obtained insurance or other protection through an
 417-9   insurance company licensed under the Insurance Code to guaranty the
417-10   cost of health care benefits or services to be provided by that
417-11   managed care organization and to provide coverage if the managed
417-12   care organization fails to meet its obligation under the contract;
417-13   and
417-14                           (ii)  satisfying federal law and
417-15   regulations relating to minimum solvency requirements applicable to
417-16   entities or persons contracting under the state Medicaid program;
417-17   or
417-18               (2)  receives capitated payments from the commission
417-19   under this chapter.
417-20         Sec. 532.219.  MEDICAID PAYMENT RATES.  The commission may
417-21   allow rates for services for Medicaid eligible individuals to be
417-22   established for categories of Medicaid eligible individuals based
417-23   on health status and other risk factors, including age and sex.
417-24         Sec. 532.220.  COMMISSION IMPLEMENTED PLAN.  (a)  The
 418-1   commission shall implement the health care delivery system
 418-2   developed under this chapter in a geographical area for which the
 418-3   commission did not receive a letter of intent to form an
 418-4   intergovernmental initiative or that is not covered by a health
 418-5   care delivery plan agreement that has become final and binding by
 418-6   the date specified by the commission under Section 532.208.
 418-7         (b)  In performing its functions under this section, the
 418-8   commission is exempt from the Texas Health Maintenance Organization
 418-9   Act (Article 20A.01 et seq., Vernon's Texas Insurance Code) and
418-10   Articles 21.07-6 and 21.58A, Insurance Code.
418-11            (Sections 532.221-532.300 reserved for expansion
418-12                 SUBCHAPTER D.  MISCELLANEOUS PROVISIONS
418-13         Sec. 532.301.  CONFLICT WITH OTHER LAW.  To the extent
418-14   Subchapters A-C conflict with any other state law, Subchapters A-C
418-15   control.
418-16         Sec. 532.302.  EXPIRATION.  This chapter expires September 1,
418-17   2001.
418-18         (b)  Sections 1 and 2, Chapter 444, Acts of the 74th
418-19   Legislature, Regular Session, 1995, are repealed.
418-20         SECTION 14.18.  Section 531.009(f), Government Code, is
418-21   repealed to conform to Section 23(2), Chapter 693, Acts of the 74th
418-22   Legislature, Regular Session, 1995.
 419-1          ARTICLE 15.  CHANGES RELATING TO PUBLIC OFFICERS AND
 419-2                    EMPLOYEES TITLE, GOVERNMENT CODE
 419-3         SECTION 15.01.  Section 659.151(a), Government Code, is
 419-4   amended to more accurately reflect the source law from which it was
 419-5   derived, which was codified and repealed by Section 5.17, Chapter
 419-6   76, Acts of the 74th Legislature, Regular Session, 1995, to read as
 419-7   follows:
 419-8         (a)  The state policy committee may request the comptroller
 419-9   or state auditor to audit a participating charitable organization,
419-10   a campaign manager, or a local employee committee that the state
419-11   policy committee reasonably believes has misapplied contributions
419-12   under this subchapter.
419-13          ARTICLE 16.  CHANGES RELATING TO SUBTITLE C, GENERAL
419-14                    GOVERNMENT TITLE, GOVERNMENT CODE
419-15         SECTION 16.01.  (a) Subtitle C, Title 10, Government Code, is
419-16   amended to codify Article 6252-33, Revised Statutes, by adding
419-17   Chapter 2110 to read as follows:
419-18             CHAPTER 2110.  STATE AGENCY ADVISORY COMMITTEES
419-19         Sec. 2110.001.  DEFINITION.  In this chapter, "advisory
419-20   committee" means a committee, council, commission, task force, or
419-21   other entity in the executive branch of state government that:
419-22               (1)  is not a state agency;
419-23               (2)  is created by or under state law; and
419-24               (3)  has as its primary function advising a state
 420-1   agency.
 420-2         Sec. 2110.002.  COMPOSITION OF ADVISORY COMMITTEES.  (a)
 420-3   Notwithstanding other law, an advisory committee must be composed
 420-4   of a reasonable number of members not to exceed 24.  The
 420-5   composition of the committee must also provide a balanced
 420-6   representation between:
 420-7               (1)  industries or occupations regulated or directly
 420-8   affected by the advised state agency; and
 420-9               (2)  consumers of services provided either by the
420-10   advised state agency or by industries or occupations regulated by
420-11   the agency.
420-12         (b)  This section does not apply to an advisory committee if
420-13   the committee must be composed in a manner that is inconsistent
420-14   with this section under federal law or for federal funding
420-15   purposes.
420-16         Sec. 2110.003.  PRESIDING OFFICER.  (a)  An advisory
420-17   committee shall select from among its members a presiding officer,
420-18   unless a different procedure for selecting the presiding officer is
420-19   prescribed by other law.
420-20         (b)  The presiding officer shall preside over the advisory
420-21   committee and report to the advised state agency.
420-22         Sec. 2110.004.  REIMBURSEMENT OF MEMBERS' EXPENSES;
420-23   APPROPRIATIONS PROCESS.  (a)  Notwithstanding other law, the manner
420-24   and amount of reimbursement for expenses, including travel
 421-1   expenses, of members of an advisory committee may be prescribed
 421-2   only:
 421-3               (1)  by the General Appropriations Act; or
 421-4               (2)  through the budget execution process under Chapter
 421-5   317 if the advisory committee is created after it is practicable to
 421-6   address the existence of the committee in the General
 421-7   Appropriations Act.
 421-8         (b)  A state agency that is advised by an advisory committee
 421-9   must request authority to reimburse the expenses of members of the
421-10   committee through the appropriations or budget execution process,
421-11   as appropriate, if the agency determines that the expenses of
421-12   committee members should be reimbursed.  The request must:
421-13               (1)  identify the costs related to the advisory
421-14   committee's existence, including the cost of agency staff time
421-15   spent in support of the committee's activities;
421-16               (2)  state the reasons the advisory committee should
421-17   continue in existence; and
421-18               (3)  identify any other advisory committees created to
421-19   advise the agency that should be consolidated or abolished.
421-20         (c)  As part of the appropriations and budget execution
421-21   process, the governor and the Legislative Budget Board shall
421-22   jointly identify advisory committees that should be abolished.  The
421-23   comptroller may recommend to the governor and the Legislative
421-24   Budget Board that an advisory committee should be abolished.
 422-1         (d)  The General Appropriations Act may provide for
 422-2   reimbursing the expenses of members of certain advisory committees
 422-3   without providing for reimbursing the expenses of members of other
 422-4   advisory committees.
 422-5         (e)  This section does not apply to an advisory committee the
 422-6   services of which are determined by the governing board of a
 422-7   retirement system trust fund to be necessary for the performance of
 422-8   the governing board's fiduciary duties under the state
 422-9   constitution.
422-10         Sec. 2110.005.  AGENCY-DEVELOPED STATEMENT OF PURPOSE;
422-11   REPORTING REQUIREMENTS.  A state agency that is advised by an
422-12   advisory committee shall adopt rules that:
422-13               (1)  state the purpose of the committee; and
422-14               (2)  describe the task of the committee and the manner
422-15   in which the committee will report to the agency.
422-16         Sec. 2110.006.  AGENCY EVALUATION OF COMMITTEE COSTS AND
422-17   EFFECTIVENESS.  A state agency that is advised by an advisory
422-18   committee shall evaluate annually:
422-19               (1)  the committee's work;
422-20               (2)  the committee's usefulness; and
422-21               (3)  the costs related to the committee's existence,
422-22   including the cost of agency staff time spent in support of the
422-23   committee's activities.
422-24         Sec. 2110.007.  REPORT TO THE LEGISLATIVE BUDGET BOARD.  A
 423-1   state agency that is advised by an advisory committee shall report
 423-2   to the Legislative Budget Board the information developed in the
 423-3   evaluation required by Section 2110.006.   The agency shall file
 423-4   the report biennially in connection with the agency's request for
 423-5   appropriations.
 423-6         Sec. 2110.008.  DURATION OF ADVISORY COMMITTEES.  (a)  A
 423-7   state agency that is advised by an advisory committee shall
 423-8   establish by rule a date on which the committee will automatically
 423-9   be abolished.  The advisory committee may continue in existence
423-10   after that date only if the governing body of the agency
423-11   affirmatively votes to continue the committee in existence.
423-12         (b)  An advisory committee is automatically abolished on the
423-13   fourth anniversary of the date of its creation unless the governing
423-14   body of the agency establishes a different date under Subsection
423-15   (a).
423-16         (c)  This section does not apply to an advisory committee
423-17   that has a specific duration prescribed by statute.
423-18         (b)  Article 6252-33, Revised Statutes, is repealed.
423-19         SECTION 16.02.  (a) Subtitle C, Title 10, Government Code, is
423-20   amended to codify Chapter 307, Acts of the 73rd Legislature,
423-21   Regular Session, 1993 (Article 6252-34, Vernon's Texas Civil
423-22   Statutes), by adding Chapter 2111 to read as follows:
423-23   CHAPTER 2111.  STATE AGENCY REPORTING OF TECHNOLOGICAL INNOVATIONS
423-24         Sec. 2111.001.  DEFINITION.  In this chapter, "state agency":
 424-1               (1)  means an office, institution, or other agency
 424-2   that:
 424-3                     (A)  is in the executive branch of state
 424-4   government;
 424-5                     (B)  has authority that is not limited to a
 424-6   geographic portion of the state; and
 424-7                     (C)  was created by the constitution or a statute
 424-8   of this state; and
 424-9               (2)  does not include an institution of higher
424-10   education as defined by Section 61.003, Education Code.
424-11         Sec. 2111.002.  REPORTING.  (a)  Not later than January 31 of
424-12   each year, each state agency shall report to the attorney general
424-13   each technological innovation developed by the agency that:
424-14               (1)  has potential commercial application, is
424-15   proprietary, or could be protected under intellectual property
424-16   laws; and
424-17               (2)  was developed:
424-18                     (A)  during the preceding calendar year; or
424-19                     (B)  before the preceding calendar year but was
424-20   not previously reported to the attorney general.
424-21         (b)  The attorney general may prescribe a form for the
424-22   report.
424-23         (b)  Chapter 307, Acts of the 73rd Legislature, Regular
424-24   Session, 1993 (Article 6252-34, Vernon's Texas Civil Statutes), is
 425-1   repealed.
 425-2         SECTION 16.03.  (a)  Subtitle C, Title 10, Government Code,
 425-3   is amended to codify Article 6252-5g, Revised Statutes, by adding
 425-4   Chapter 2112 to read as follows:
 425-5       CHAPTER 2112.  UTILITY BILLING AUDITS BY STATE AGENCIES AND
 425-6                    INSTITUTIONS OF HIGHER EDUCATION
 425-7         Sec. 2112.001.  AUDIT REQUIREMENT.  (a)  Except as provided
 425-8   by Section 2112.003, every four years each state agency and
 425-9   institution of higher education shall perform an audit of its
425-10   electric, telephone, gas, and water utility billing during the
425-11   preceding four years or the maximum recovery period.
425-12         (b)  The agency or institution may contract with a private
425-13   consultant in the performance of the audit.
425-14         Sec. 2112.002.  FACTS DETERMINED BY AUDIT.  The audit must
425-15   provide information to allow the agency or institution to ensure
425-16   that it is properly classified and subscribed and that the amounts
425-17   paid for service are proper.
425-18         Sec. 2112.003.  DECIDING WHETHER AUDIT WILL BE
425-19   COST-EFFECTIVE.  (a)  Before the agency or institution conducts an
425-20   audit, it shall analyze the potential benefit of the audit.
425-21         (b)  The agency or institution is not required to perform the
425-22   audit if it determines that the savings and refunds provided by the
425-23   audit will not exceed its cost.
425-24         Sec. 2112.004.  RECOVERING REFUNDS; PAYING FOR AUDIT OUT OF
 426-1   REFUNDS.  (a)  The audit must be funded from refunds received as a
 426-2   result of the audit.
 426-3         (b)  The agency or institution shall take appropriate action
 426-4   to recover any refund due.
 426-5         (c)  The attorney general may assist in recovering a refund.
 426-6         (d)  The amount of any refunds received shall be deposited in
 426-7   the state treasury to the credit of the general revenue fund.  The
 426-8   costs of the audit shall be paid from amounts appropriated from
 426-9   those funds for that purpose.
426-10         Sec. 2112.005.  REPORTS.  (a) During January and June of each
426-11   year during which an audit is being conducted, the agency or
426-12   institution shall submit to the Legislative Budget Board and
426-13   comptroller a report on the status of the audit. The report must
426-14   include a summary of the costs of the audit, current audit
426-15   activity, a schedule of future activity, audit recommendations and
426-16   results, pending refunds, and recovered refunds.
426-17         (b)  Not later than the 30th day after the date an audit is
426-18   completed, the agency or institution shall submit to the
426-19   Legislative Budget Board and comptroller a report on:
426-20               (1)  the savings resulting from the audit, including
426-21   their source; and
426-22               (2)  the costs of the audit.
426-23         (b)  Article 6252-5g, Revised Statutes, is repealed.
 427-1          ARTICLE 17.  CHANGES RELATING TO SUBTITLE D, GENERAL
 427-2                    GOVERNMENT TITLE, GOVERNMENT CODE
 427-3         SECTION 17.01.  (a)  Subchapter C, Chapter 2155, Government
 427-4   Code, is amended to conform to Section 1, Chapter 420, Acts of the
 427-5   74th Legislature, Regular Session, 1995, by adding Section 2155.144
 427-6   to read as follows:
 427-7         Sec. 2155.144.  HEALTH CARE PURCHASING.  (a)  A state agency
 427-8   shall acquire goods and services used in support of the agency's
 427-9   health care programs by the method that provides the greatest
427-10   volume discount for the goods or services, including group
427-11   purchasing programs, state agency purchasing consortiums, or
427-12   competitive sealed proposals.
427-13         (b)  A state agency may contract with a medical and dental
427-14   unit to have the unit perform all or part of the purchasing
427-15   functions of the agency under this section or to participate in a
427-16   state agency purchasing consortium or group purchasing program with
427-17   the medical and dental unit.
427-18         (c)  If a state agency determines that it should consider
427-19   factors in addition to volume discounts in acquiring a particular
427-20   good or service, the agency may acquire the good or service by the
427-21   most cost-effective method of acquisition available, including
427-22   group purchasing programs, state agency purchasing consortiums, or
427-23   competitive sealed proposals.
427-24         (d)  A state agency shall provide appropriate information to
 428-1   the commission concerning acquisitions made by the agency under
 428-2   this section, but the commission's authority under this chapter and
 428-3   Chapters 2156, 2157, and 2158 does not extend to the acquisition of
 428-4   goods and services made under this section.
 428-5         (e)  The central administration of The University of Texas
 428-6   System shall develop methods for sharing information concerning
 428-7   acquisitions made under this section, including methods for sharing
 428-8   the information electronically.  Electronic sharing may include
 428-9   posting information on acquisitions on the comptroller's state
428-10   government electronic bulletin board.
428-11         (f)  A state agency shall collect and maintain information as
428-12   specified by the central administration of The University of Texas
428-13   System relating to the agency's acquisitions under this section.
428-14   The central administration of The University of Texas System is
428-15   entitled to access to all information collected and maintained
428-16   under this section.
428-17         (g)  In this section:
428-18               (1)  "Goods" means material, supplies, equipment, or
428-19   other tangible items.
428-20               (2)  "Group purchasing program" means a program
428-21   administered by a business entity that offers discount prices on
428-22   goods and services to participants in the program.
428-23               (3)  "Health care program" means a program or activity
428-24   administered or funded by a state agency to provide health care
 429-1   services, research, education, or goods.
 429-2               (4)  "Medical and dental unit" has the meaning assigned
 429-3   by Section 61.003, Education Code.
 429-4               (5)  "State agency purchasing consortium" means a group
 429-5   of three or more state agencies acting under a written agreement to
 429-6   receive discount prices from vendors based on volume purchases of
 429-7   goods and services.
 429-8         (h)  This section does not apply to the state Medicaid
 429-9   program.
429-10         (b)  Section 1, Chapter 420, Acts of the 74th Legislature,
429-11   Regular Session, 1995, is repealed.
429-12         SECTION 17.02.  (a)  Subchapter A, Chapter 2158, Government
429-13   Code, is amended to conform to Section 15, Chapter 11, Acts of the
429-14   74th Legislature, Regular Session, 1995, to read as follows:
429-15              SUBCHAPTER A.  PURCHASE OF PASSENGER VEHICLES
429-16         Sec. 2158.001.  DEFINITION.  In this subchapter,
429-17   "conventional gasoline" has the meaning assigned by Section
429-18   382.131, Health and Safety Code.
429-19         Sec. 2158.002.  APPLICABILITY.  This subchapter does not
429-20   apply to a vehicle acquired by the Texas Transportation Institute
429-21   for the purpose of performing crash tests and related research.
429-22         Sec. 2158.003 [2158.001].  WHEELBASE AND HORSEPOWER
429-23   RESTRICTIONS.  (a)  A state agency may not purchase or lease a
429-24   vehicle designed or used primarily for the transportation of
 430-1   individuals, including a station wagon, that has a wheelbase longer
 430-2   than 113 inches or that has more than 160 SAE net horsepower.  The
 430-3   vehicle may have a wheelbase of up to 116 inches or SAE net
 430-4   horsepower of up to 280 if the vehicle will be converted so that it
 430-5   is capable of using compressed natural gas, liquefied natural gas,
 430-6   liquefied petroleum gas, methanol or methanol/gasoline blends of 85
 430-7   percent or greater, ethanol or ethanol/gasoline blends of 85
 430-8   percent or greater, or electricity [or another alternative fuel
 430-9   that results in comparably lower emissions of oxides of nitrogen,
430-10   volatile organic compounds, carbon monoxide, or particulates].
430-11   This exception to the wheelbase and horsepower limitations applies
430-12   to a state agency regardless of the size of the agency's vehicle
430-13   fleet.
430-14         (b)  The wheelbase and horsepower limitations prescribed by
430-15   Subsection (a) do not apply to the purchase or lease of:
430-16               (1)  a vehicle to be used primarily for criminal law
430-17   enforcement;
430-18               (2)  a bus, motorcycle, pickup, van, truck, three-wheel
430-19   vehicle, or tractor; or
430-20               (3)  an ambulance.
430-21         Sec. 2158.004 [2158.002].  VEHICLES USING ALTERNATIVE FUELS.
430-22   (a)  A state agency operating a fleet of more than 15 vehicles,
430-23   excluding law enforcement and emergency vehicles, may not purchase
430-24   or lease a motor vehicle unless that vehicle is capable of using
 431-1   compressed natural gas, liquefied natural gas, liquefied petroleum
 431-2   gas, methanol or methanol/gasoline blends of 85 percent or greater,
 431-3   ethanol or ethanol/gasoline blends of 85 percent or greater, or
 431-4   electricity [or other alternative fuels that result in comparably
 431-5   lower emissions of oxides of nitrogen, volatile organic compounds,
 431-6   carbon monoxide, particulates, or a combination of those
 431-7   substances].
 431-8         (b)  A state agency may obtain equipment or refueling
 431-9   facilities necessary to operate vehicles using compressed natural
431-10   gas, liquefied natural gas, liquefied petroleum gas, methanol or
431-11   methanol/gasoline blends of 85 percent or greater, ethanol or
431-12   ethanol/gasoline blends of 85 percent or greater, or electricity
431-13   [or other alternative fuels]:
431-14               (1)  by purchase or lease as authorized by law;
431-15               (2)  by gift or loan of the equipment or facilities; or
431-16               (3)  by gift or loan of the equipment or facilities or
431-17   by another arrangement under a service contract for the supply of
431-18   compressed natural gas, liquefied natural gas, liquefied petroleum
431-19   gas, methanol or methanol/gasoline blends of 85 percent or greater,
431-20   ethanol or ethanol/gasoline blends of 85 percent or greater, or
431-21   electricity [or other alternative fuels].
431-22         (c)  If the equipment or facilities are donated, loaned, or
431-23   provided through another arrangement with the supplier of
431-24   compressed natural gas, liquefied natural gas, liquefied petroleum
 432-1   gas, methanol or methanol/gasoline blends of 85 percent or greater,
 432-2   ethanol or ethanol/gasoline blends of 85 percent or greater, or
 432-3   electricity [or other alternative fuels], the supplier is entitled
 432-4   to recoup its actual cost of donating, loaning, or providing the
 432-5   equipment or facilities through its fuel charges under the supply
 432-6   contract.
 432-7         (d)  The commission may waive the requirements of this
 432-8   section for a state agency on receipt of certification supported by
 432-9   evidence acceptable to the commission that:
432-10               (1)  the agency's vehicles will be operating primarily
432-11   in an area in which neither the agency nor a supplier has or can
432-12   reasonably be expected to establish adequate [a central] refueling
432-13   [station] for compressed natural gas, liquefied natural gas,
432-14   liquefied petroleum gas, methanol or methanol/gasoline blends of 85
432-15   percent or greater, ethanol or ethanol/gasoline blends of 85
432-16   percent or greater, or electricity [or other alternative fuels]; or
432-17               (2)  the agency is unable to obtain equipment or
432-18   refueling facilities necessary to operate vehicles using compressed
432-19   natural gas, liquefied natural gas, liquefied petroleum gas,
432-20   methanol or methanol/gasoline blends of 85 percent or greater,
432-21   ethanol or ethanol/gasoline blends of 85 percent or greater, or
432-22   electricity [or other alternative fuels] at a projected cost that
432-23   is reasonably expected to be no greater than the net costs of
432-24   continued use of conventional [traditional] gasoline or diesel
 433-1   fuels, measured over the expected useful life of the equipment or
 433-2   facilities supplied.
 433-3         Sec. 2158.005 [2158.003].  PERCENTAGE REQUIREMENTS FOR
 433-4   VEHICLES CAPABLE OF USING ALTERNATIVE FUELS; PROGRAM REVIEW.
 433-5   (a)  Not later than September 1, 1996, a state agency that operates
 433-6   a fleet of more than 15 motor vehicles, excluding law enforcement
 433-7   and emergency vehicles, shall have a fleet consisting of vehicles
 433-8   of which at least 50 percent are capable of using compressed
 433-9   natural gas, liquefied natural gas, liquefied petroleum gas,
433-10   methanol or methanol/gasoline blends of 85 percent or greater,
433-11   ethanol or ethanol/gasoline blends of 85 percent or greater, or
433-12   electricity [or other alternative fuels].
433-13         (b)  The Texas Natural Resource Conservation Commission shall
433-14   review the [alternative fuel use] program established by this
433-15   subchapter by December 31, 1996.  If the Texas Natural Resource
433-16   Conservation Commission determines that the program has been
433-17   effective in reducing total annual emissions from motor vehicles in
433-18   the area, then after August 31, 1998, a state agency operating a
433-19   fleet of more than 15 motor vehicles shall have a fleet consisting
433-20   of vehicles of which at least 90 percent are capable of using
433-21   compressed natural gas, liquefied natural gas, liquefied petroleum
433-22   gas, methanol or methanol/gasoline blends of 85 percent or greater,
433-23   ethanol or ethanol/gasoline blends of 85 percent or greater, or
433-24   electricity [or other alternative fuels].
 434-1         (c)  The commission shall support the Texas Natural Resource
 434-2   Conservation Commission in collecting reasonable information needed
 434-3   to determine the air quality benefits from use of compressed
 434-4   natural gas, liquefied natural gas, liquefied petroleum gas,
 434-5   methanol or methanol/gasoline blends of 85 percent or greater,
 434-6   ethanol or ethanol/gasoline blends of 85 percent or greater, or
 434-7   electricity [alternative fuels] at affected agencies.
 434-8         (d)  A state agency in its annual financial report to the
 434-9   legislature shall report its progress in achieving the percentage
434-10   requirements of this section by itemizing:
434-11               (1)  purchases, leases, and conversions of motor
434-12   vehicles; and
434-13               (2)  usage of compressed natural gas, liquefied natural
434-14   gas, liquefied petroleum gas, methanol or methanol/gasoline blends
434-15   of 85 percent or greater, ethanol or ethanol/gasoline blends of 85
434-16   percent or greater, or electricity [or other alternative fuels].
434-17         (e)  A state agency may meet the percentage requirements of
434-18   this section through purchase of new vehicles or the conversion of
434-19   existing vehicles, in accordance with federal and state
434-20   requirements and applicable safety laws[, to use the alternative
434-21   fuels].
434-22         (f)  The commission may reduce a percentage specified by this
434-23   section or waive the requirements of this section for a state
434-24   agency on receipt of certification supported by evidence acceptable
 435-1   to the commission that:
 435-2               (1)  the agency's vehicles will be operating primarily
 435-3   in an area in which neither the agency nor a supplier has or can
 435-4   reasonably be expected to establish adequate [a central] refueling
 435-5   [station] for compressed natural gas, liquefied natural gas,
 435-6   liquefied petroleum gas, methanol or methanol/gasoline blends of 85
 435-7   percent or greater, ethanol or ethanol/gasoline blends of 85
 435-8   percent or greater, or electricity [or other alternative fuels]; or
 435-9               (2)  the agency is unable to obtain equipment or
435-10   refueling facilities necessary to operate vehicles using compressed
435-11   natural gas, liquefied natural gas, liquefied petroleum gas,
435-12   methanol or methanol/gasoline blends of 85 percent or greater,
435-13   ethanol or ethanol/gasoline blends of 85 percent or greater, or
435-14   electricity [or other alternative fuels] at a projected cost that
435-15   is reasonably expected to be no greater than the net costs of
435-16   continued use of conventional [traditional] gasoline or diesel
435-17   fuels, measured over the expected useful life of the equipment or
435-18   facilities supplied.
435-19         Sec. 2158.006 [2158.004].  DETERMINATION OF ALTERNATIVE FUELS
435-20   PROGRAM PARAMETERS.  In developing the use of compressed natural
435-21   gas, liquefied natural gas, liquefied petroleum gas, methanol or
435-22   methanol/gasoline blends of 85 percent or greater, ethanol or
435-23   ethanol/gasoline blends of 85 percent or greater, or electricity
435-24   [or other alternative fuels use program], the commission should
 436-1   work with state agency fleet operators, vehicle manufacturers and
 436-2   converters, fuel distributors, and others to determine the vehicles
 436-3   to be covered, taking into consideration:
 436-4               (1)  range;
 436-5               (2)  specialty uses;
 436-6               (3)  fuel availability;
 436-7               (4)  vehicle manufacturing and conversion capability;
 436-8               (5)  safety;
 436-9               (6)  resale values; and
436-10               (7)  other relevant factors.
436-11         Sec. 2158.007 [2158.005].  COMPLIANCE WITH APPLICABLE SAFETY
436-12   STANDARDS.  In purchasing, leasing, maintaining, or converting
436-13   vehicles for use with compressed natural gas, liquefied natural
436-14   gas, liquefied petroleum gas, methanol or methanol/gasoline blends
436-15   of 85 percent or greater, ethanol or ethanol/gasoline blends of 85
436-16   percent or greater, or electricity [or other alternative fuels],
436-17   the commission shall comply with all applicable safety standards
436-18   adopted by the United States Department of Transportation and the
436-19   Railroad Commission of Texas.
436-20         Sec. 2158.008 [2158.006].  WHEN VEHICLE CONSIDERED CAPABLE OF
436-21   USING ALTERNATIVE FUELS.  In this subchapter, a vehicle is
436-22   considered to be capable of using compressed natural gas, liquefied
436-23   natural gas, liquefied petroleum gas, methanol or methanol/gasoline
436-24   blends of 85 percent or greater, ethanol or ethanol/gasoline blends
 437-1   of 85 percent or greater, or electricity [or other alternative
 437-2   fuels] if the vehicle is capable of using those fuels either in its
 437-3   original equipment engine or in an engine that has been converted
 437-4   to use those fuels.
 437-5         (b)  Section 15, Chapter 11, Acts of the 74th Legislature,
 437-6   Regular Session, 1995, is repealed.
 437-7         SECTION 17.03.  (a)  Section 2161.061, Government Code, is
 437-8   amended to conform to Section 11, Chapter 746, Acts of the 74th
 437-9   Legislature, Regular Session, 1995, to read as follows:
437-10         Sec. 2161.061.  COMMISSION CERTIFICATION OF HISTORICALLY
437-11   UNDERUTILIZED BUSINESSES; MUNICIPAL CERTIFICATION.  (a)  The
437-12   commission shall certify historically underutilized businesses.
437-13         (b)  As part [one] of its certification procedures, the
437-14   commission may[:]
437-15               [(1)] approve another certification [a municipal]
437-16   program that certifies historically underutilized businesses under
437-17   substantially the same definition used by Section 2161.001[; and]
437-18               [(2)  certify a business certified under the municipal
437-19   program as a historically underutilized business under this
437-20   chapter].
437-21         (c) A municipality, in certifying historically underutilized
437-22   businesses, may adopt the certification program of the commission,
437-23   of the federal Small Business Administration, or of another
437-24   political subdivision or other governmental entity.
 438-1         (b)  Section 11, Chapter 746, Acts of the 74th Legislature,
 438-2   Regular Session, 1995, is repealed.
 438-3         SECTION 17.04.  (a)  Section 2165.251, Government Code, is
 438-4   amended to conform to Section 1, Chapter 168, Acts of the 74th
 438-5   Legislature, Regular Session, 1995, to read as follows:
 438-6         Sec. 2165.251.  BUILDINGS ALLOCATED TO LEGISLATIVE USE [OLD
 438-7   STATE BOARD OF INSURANCE BUILDING].  (a)  The space in the old
 438-8   State Board of Insurance State Office Building, located on San
 438-9   Jacinto Street between 11th and 12th streets in Austin, the Sam
438-10   Houston Building, and the John H.  Reagan Building are [is]
438-11   allocated to the legislature and legislative agencies for their
438-12   use.
438-13         (b)  On written notice signed by both presiding officers of
438-14   the legislature and delivered to the commission, the following
438-15   buildings are allocated to the legislature and legislative agencies
438-16   to the extent described in the notice: Lorenzo de Zavala State
438-17   Library and Archives Building, Stephen F. Austin Building, Lyndon
438-18   B. Johnson Building, and William B. Travis Building.  On receipt of
438-19   notice under this subsection, the commission shall begin
438-20   immediately to undertake the relocation of agencies occupying space
438-21   in buildings allocated to legislative use.  The space must be made
438-22   available for legislative use on a date determined by the presiding
438-23   officers of the legislature.
438-24         (c)  The presiding officers of each house of the legislature
 439-1   shall jointly allocate space within each [the] building.
 439-2         (b)  Section 1, Chapter 168, Acts of the 74th Legislature,
 439-3   Regular Session, 1995, is repealed.
 439-4         SECTION 17.05.  (a)  Section 2165.256, Government Code, is
 439-5   amended to conform to Section 1, Chapter 264, Acts of the 74th
 439-6   Legislature, Regular Session, 1995, to read as follows:
 439-7         Sec. 2165.256.  STATE CEMETERY AND OTHER BURIAL GROUNDS.  (a)
 439-8   The commission shall:
 439-9               (1)  control, manage, and beautify the grounds of the
439-10   State Cemetery;
439-11               (2)  preserve the grounds of the cemetery and related
439-12   property; and
439-13               (3)  protect the property from depreciation and injury.
439-14         (b)  In addition to the property described as Lot No. 5,
439-15   Division B, City of Austin, Travis County, Texas, the following
439-16   property is dedicated for cemetery purposes as part of the State
439-17   Cemetery:
439-18   BEING APPROXIMATELY 50.00 ACRES OF LAND OUT OF AND A PORTION OF THE
439-19   FOLLOWING DESCRIBED TRACT OF LAND.  75.688 RECORD ACRES OF LAND OUT
439-20   OF THE GEORGE W. SPEAR SURVEY IN THE CITY OF AUSTIN, TRAVIS COUNTY,
439-21   TEXAS, DESCRIBED BY DEED TO THE STATE OF TEXAS AS RECORDED IN
439-22   VOLUME 76, PAGE 225, OF THE DEED RECORDS OF TRAVIS COUNTY, TEXAS,
439-23   SAID 75.688 ACRE TRACT OF LAND BEING MORE PARTICULARLY DESCRIBED AS
439-24   FOLLOWS:
 440-1               (1)  Bounded on the west by Bull Creek Road.
 440-2               (2)  Bounded on the north by the following subdivisions
 440-3   in the City of Austin, Texas,
 440-4                     (A)  Shoal Village Section 2, as recorded in Plat
 440-5   Book 5, Page 150 of the Plat Records of Travis County, Texas,
 440-6                     (B)  Shoal Village Section 3, as recorded in Plat
 440-7   Book 6, Page 71, of the Plat Records of Travis County, Texas,
 440-8                     (C)  Shoal Village Section 5, as recorded in Plat
 440-9   Book 6, Page 72, of the Plat Records of Travis County, Texas,
440-10                     (D)  Shoal Village Section 6, as recorded in Plat
440-11   Book 7, Page 7, of the Plat Records of Travis County, Texas,
440-12                     (E)  Shoal Village Section 7, as recorded in Plat
440-13   Book 14, Page 80 of the Plat Records of Travis County, Texas,
440-14                     (F)  Oak Haven Section 3, as recorded in Plat
440-15   Book 11, Page 40, of the Plat Records of Travis County, Texas.
440-16               (3)  Bounded on the east by the centerline of Shoal
440-17   Creek,
440-18               (4)  Bounded along the south by Ridgelea, a subdivision
440-19   of record in the City of Austin, Texas, as recorded in Plat Book 4,
440-20   Page 258 of the Plat Records of Travis County, Texas.
440-21         (c) [(b)]  The commission shall procure and erect at the head
440-22   of each grave that does not have a permanent monument a marble
440-23   obelisk on which shall be engraved the name of the dead buried in
440-24   the grave.
 441-1         (d) [(c)]  Persons eligible for burial in the State Cemetery
 441-2   are:
 441-3               (1)  a former member of the legislature or a member who
 441-4   dies in office;
 441-5               (2)  a former elective state official or an elective
 441-6   state official who dies in office;
 441-7               (3)  a former state official or a state official who
 441-8   dies in office who has been appointed by the governor and confirmed
 441-9   by the senate and who served at least 12 years in the office to
441-10   which appointed;
441-11               (4)  a person specified by a governor's proclamation,
441-12   subject to review and approval by the Texas Historical Commission
441-13   under Subsection (e); [and]
441-14               (5)  a person specified by a concurrent resolution
441-15   adopted by the legislature, subject to review and approval by the
441-16   Texas Historical Commission under Subsection (e); and
441-17               (6)  a person specified by order of the Texas
441-18   Historical Commission under Subsection (e).
441-19         (e)  The Texas Historical Commission shall review
441-20   proclamations under Subsection (d)(4) and resolutions under
441-21   Subsection (d)(5).  A person specified in a proclamation or
441-22   resolution is eligible for burial in the State Cemetery only if the
441-23   historical commission, following its review, finds that the person
441-24   specified made a significant contribution to Texas history and only
 442-1   if based on that finding the historical commission approves the
 442-2   person's burial in the cemetery.  The historical commission may by
 442-3   order authorize a burial under Subsection (d)(6) only during a
 442-4   period in which the legislature is not convened in regular or
 442-5   special session and only if the historical commission finds that
 442-6   the person made a significant contribution to Texas history.
 442-7         (f) [(d)]  Grave spaces are allotted for:
 442-8               (1)  a person eligible for burial under Subsection (d)
 442-9   [(c)];
442-10               (2)  the person's spouse; and
442-11               (3)  the person's unmarried child, if the child, on
442-12   September 1, 1979, or at the time of the child's death, is a
442-13   resident in a state eleemosynary institution.
442-14         (g) [(e)]  A child eligible for burial under Subsection (f)
442-15   [(d)](3) must be buried alongside the child's parent or parents.
442-16         (h) [(f)]  A grave plot may not be longer than eight feet nor
442-17   wider than three [five] feet times the number of persons of one
442-18   family authorized to be buried alongside one another.
442-19         (i) [(g)]  A monument or statue may not be erected that is
442-20   taller than a monument or statue that existed in the State Cemetery
442-21   on September 1, 1979.
442-22         (j) [(h)]  A tree, shrub, or flower may not be planted in the
442-23   State Cemetery without the commission's written permission.
442-24         (k) [(i)]  A person may be buried on state property only in
 443-1   the State Cemetery or in a cemetery maintained by a state
 443-2   eleemosynary institution.  Other state property, including the
 443-3   State Capitol grounds, may not be used as a burial site.
 443-4         (l) [(j)]  The commission shall allot and locate the
 443-5   necessary number of grave plots authorized on application made by:
 443-6               (1)  the person primarily eligible for burial under
 443-7   Subsection (d) [(c)];
 443-8               (2)  the person's spouse; or
 443-9               (3)  the executor or administrator of the person's
443-10   estate.
443-11         (b)  Section 1, Chapter 264, Acts of the 74th Legislature,
443-12   Regular Session, 1995, is repealed.
443-13         SECTION 17.06.  (a)  Section 2166.151(a), Government Code, is
443-14   amended to conform to Section 14, Chapter 108, Acts of the 74th
443-15   Legislature, Regular Session, 1995, to read as follows:
443-16         (a)  A using agency requesting a project shall prepare and
443-17   send to the commission a general description of the project. The
443-18   description must specify whether the using agency requests that a
443-19   portion of the cost of the project be used for fine arts projects
443-20   at or near the site of the project as provided by Section 2166.552.
443-21         (b)  Section 2166.552, Government Code, is amended to conform
443-22   to Section 15, Chapter 108, Acts of the 74th Legislature, Regular
443-23   Session, 1995, to read as follows:
443-24         Sec. 2166.552.  FINE ARTS PROJECTS.  (a)  A using agency that
 444-1   requests a project analysis by the commission for a building
 444-2   construction project that is estimated to cost more than $250,000
 444-3   may specify in the general description of the project that up to
 444-4   one percent of the amount of the original project cost estimate be
 444-5   spent for fine arts projects at or near the site of the project.
 444-6   The using agency may consult the Texas Commission on the Arts in
 444-7   preparing the general description of the project.
 444-8         (b)  The using agency, the commission, and the Texas
 444-9   Commission on the Arts may conduct a public hearing to take
444-10   testimony from interested persons regarding the costs and benefits
444-11   of using a portion of the cost of the project for fine arts
444-12   projects.
444-13         (c)  The commission shall initiate negotiations for and enter
444-14   into a memorandum of understanding with the Texas Commission on the
444-15   Arts to establish guidelines for implementing this section.  The
444-16   memorandum of understanding must be adopted by the governing bodies
444-17   of the commission and the Texas Commission on the Arts.  After a
444-18   memorandum of understanding is adopted, the Texas Commission on the
444-19   Arts shall publish the memorandum of understanding in the Texas
444-20   Register.
444-21         (d)  If the legislature authorizes and appropriates money for
444-22   a fine arts project, the commission shall cooperate with the Texas
444-23   Commission on the Arts and consult it for advice in determining how
444-24   to use the money appropriated for the fine arts project.
 445-1         (e) [(c)]  In selecting a fine arts project, emphasis should
 445-2   be placed, whenever feasible, on works by living Texas artists.
 445-3   Consideration shall be given to artists of all ethnic origins.
 445-4         (f) [(d)]  This section does not limit, restrict, or prohibit
 445-5   the commission from including expenditures for fine arts in its
 445-6   original project cost estimate.
 445-7         (g) [(e)]  In this section, "fine arts project" includes
 445-8   murals, fountains, mosaics, and other aesthetic improvements.
 445-9         (c)  Sections 14 and 15, Chapter 108, Acts of the 74th
445-10   Legislature, Regular Session, 1995, are repealed.
445-11         SECTION 17.07.  Section 2166.204, Government Code, is amended
445-12   to correct a reference to read as follows:
445-13         Sec. 2166.204.  USING AGENCY RECOMMENDATIONS.  The commission
445-14   shall request that the using agency make recommendations regarding
445-15   private design professionals [project designers].  The commission
445-16   shall consider the recommendations in selecting a private design
445-17   professional to be retained for a particular project.
445-18         SECTION 17.08.  (a)  Section 2166.451, Government Code, is
445-19   amended to conform to Section 23, Chapter 109, Acts of the 74th
445-20   Legislature, Regular Session, 1995, to read as follows:
445-21         Sec. 2166.451.  ACQUISITION OF HISTORIC STRUCTURES.  (a)  In
445-22   acquiring real property, each using agency shall first consider a
445-23   building that is designated as a historic structure under Section
445-24   442.001 or a building that has been designated a landmark by the
 446-1   local governing authority if:
 446-2               (1)  the building meets requirements and
 446-3   specifications; and
 446-4               (2)  the cost is not substantially higher than that of
 446-5   other available structures that meet requirements and
 446-6   specifications.
 446-7         (b)  [When considering the construction of a new state
 446-8   building, a using agency shall notify the Texas Historical
 446-9   Commission and request from it a list of historic structures in the
446-10   proposed construction area that are suitable and available for
446-11   state acquisition.]
446-12         [(c)  If the using agency decides to proceed with new
446-13   construction, the agency shall forward to the commission for
446-14   inclusion in the project analysis for the new construction:]
446-15               [(1)  the date it notified the Texas Historical
446-16   Commission of the proposed construction;]
446-17               [(2)  the date of the Texas Historical Commission's
446-18   response;]
446-19               [(3)  a copy of the list of historic structures
446-20   furnished by the Texas Historical Commission; and]
446-21               [(4)  a statement of the reasons for the rejection of
446-22   each of the historic structures on the list.]
446-23         [(d)]  If the using agency rejects acquisition of a historic
446-24   structure because of the structure's cost, the agency shall forward
 447-1   to the commission for inclusion in the project analysis for the new
 447-2   construction or acquisition a comparison of the cost of the new
 447-3   construction or acquisition with the cost of the purchase and
 447-4   rehabilitation of the historic structure.
 447-5         (c) [(e)]  In determining the feasibility of acquiring a
 447-6   historic structure, the using agency shall evaluate the possibility
 447-7   of providing the space needed by the agency by combining new
 447-8   construction with acquisition of the historic structure.
 447-9         (d) [(f)]  On request of the using agency, the commission
447-10   shall assist the agency in evaluating the feasibility of acquiring
447-11   a historic structure and in preparing the information required by
447-12   Subsection (b) [Subsections (c) and (d)].
447-13         (e) [(g)]  The commission shall comply with Subsections
447-14   (a)-(c)[(e)] for a:
447-15               (1)  project for which it is the using agency; or
447-16               (2)  multiagency state office building for which it
447-17   serves as the coordinating authority.
447-18         (b)  Section 2167.003(a), Government Code, is amended to
447-19   conform to Section 24, Chapter 109, Acts of the 74th Legislature,
447-20   Regular Session, 1995, to read as follows:
447-21         (a)  In leasing space for the use of a state agency, the
447-22   commission shall give first consideration to a building that is
447-23   designated as a historic structure under Section 442.001 or to a
447-24   building that has been designated a landmark by a local governing
 448-1   authority, if:
 448-2               (1)  the building meets requirements and
 448-3   specifications; and
 448-4               (2)  the cost is not substantially higher than the cost
 448-5   for other available buildings that meet requirements and
 448-6   specifications.
 448-7         (c)  Sections 23 and 24, Chapter 109, Acts of the 74th
 448-8   Legislature, Regular Session, 1995, are repealed.
 448-9         SECTION 17.09.  (a)  Section 2167.004(a), Government Code, is
448-10   amended to conform to Section 9.10 of Chapter 655 and to Section 10
448-11   of Chapter 885, Acts of the 74th Legislature, Regular Session,
448-12   1995, to read as follows:
448-13         (a)  Notwithstanding any other provision of this chapter or
448-14   of Subchapter C, Chapter 2165, the [The] commission may not lease
448-15   office space to serve the needs of any [a single] health and human
448-16   services agency unless the Health and Human Services Commission has
448-17   approved the office space for the agency [provides the commission
448-18   with a reason for not sharing the office space with one or more
448-19   other health and human services agencies].
448-20         (b)  Section 9.10 of Chapter 655 and Section 10 of Chapter
448-21   885, Acts of the 74th Legislature, Regular Session, 1995, are
448-22   repealed.
448-23         SECTION 17.10.  (a)  Section 2167.005, Government Code, is
448-24   amended to conform to Section 2, Chapter 823, Acts of the 74th
 449-1   Legislature, Regular Session, 1995, to read as follows:
 449-2         Sec. 2167.005.  DELEGATION OF AUTHORITY TO INSTITUTIONS OF
 449-3   HIGHER EDUCATION.  (a)  The commission may delegate to an
 449-4   institution of higher education the authority to enter into lease
 449-5   contracts for space for which payments are not made from money
 449-6   appropriated from the general revenue fund.
 449-7         (b)  Any reports on the lease contracts made by an
 449-8   institution of higher education under this delegated authority
 449-9   shall be required annually.
449-10         (b)  Section 2171.101(a), Government Code, is amended to
449-11   conform to Section 3, Chapter 823, Acts of the 74th Legislature,
449-12   Regular Session, 1995, to read as follows:
449-13         (a)  The office of vehicle fleet management shall establish a
449-14   vehicle reporting system to assist each state agency in the
449-15   management of its vehicle fleet. A state agency shall be required
449-16   to submit the reports not more often than semiannually.
449-17         (c)  Sections 2 and 3, Chapter 823, Acts of the 74th
449-18   Legislature, Regular Session, 1995, are repealed.
449-19         SECTION 17.11.  (a)  Section 2171.052, Government Code, is
449-20   amended to conform to Section 1, Chapter 976, Acts of the 74th
449-21   Legislature, Regular Session, 1995, to read as follows:
449-22         Sec. 2171.052.  CONTRACTS WITH PROVIDERS OF TRAVEL SERVICES.
449-23   (a)  The central travel office shall [may] negotiate contracts with
449-24   private travel agents, with travel and transportation providers,
 450-1   and with credit card companies that provide travel services and
 450-2   other benefits to the state.
 450-3         (b)  The commission shall make contracts with travel agents
 450-4   that meet certain reasonable requirements prescribed by the central
 450-5   travel office, allowing contracts to provide travel services by as
 450-6   many private travel agents as possible with preference given to
 450-7   resident entities of this state [more than one provider of travel
 450-8   agency services].
 450-9         (c)  To the greatest extent possible, the commission shall
450-10   use electronic means to solicit and receive bids under this
450-11   section.
450-12         (b)  Section 2171.055(a), Government Code, is amended to
450-13   conform to Section 1, Chapter 976, Acts of the 74th Legislature,
450-14   Regular Session, 1995, to read as follows:
450-15         (a)  State agencies in the executive branch of state
450-16   government shall participate under commission rules in the
450-17   commission's contracts for travel services, provided that all
450-18   travel agents approved by the commission are permitted to contract
450-19   with the state and provide travel services to all state agencies.
450-20         (c)  Section 1, Chapter 976, Acts of the 74th Legislature,
450-21   Regular Session, 1995, is repealed.
450-22         SECTION 17.12.  (a)  Section 2171.103(b), Government Code, is
450-23   amended to conform to Section 48, Chapter 260, Acts of the 74th
450-24   Legislature, Regular Session, 1995, to read as follows:
 451-1         (b)  The office may:
 451-2               (1)  establish centralized refueling stations
 451-3   throughout the state;
 451-4               (2)  operate regional conversion and repair facilities;
 451-5   and
 451-6               (3)  provide all services and support necessary to
 451-7   expedite the use of compressed natural gas or other alternative
 451-8   fuels by state agencies as required by Subchapter A, Chapter 2158[,
 451-9   and by school districts as required by Section 2155.201].
451-10         (b)  Section 2155.201, Government Code, is repealed to
451-11   conform to Section 58(d), Chapter 260, Acts of the 74th
451-12   Legislature, Regular Session, 1995.
451-13         (c)  Sections 48 and 58(d), Chapter 260, Acts of the 74th
451-14   Legislature, Regular Session, 1995, are repealed.
451-15         SECTION 17.13.  Section 533.002, Health and Safety Code, is
451-16   amended to conform to Section 68(a)(3), Chapter 684, Acts of the
451-17   73rd Legislature, Regular Session, 1993, to read as follows:
451-18         Sec. 533.002.  COMPETITIVE REVIEW REQUIREMENT.  [(a)]  The
451-19   department shall establish procedures to:
451-20               (1)  promote more efficient use of public funds;
451-21               (2)  ensure periodic review of department management
451-22   and support activities in order to:
451-23                     (A)  improve department operations;
451-24                     (B)  improve the determination of costs;
 452-1                     (C)  increase department productivity; and
 452-2                     (D)  remain competitive with the private sector;
 452-3   and
 452-4               (3)  ensure that the state not provide a service that
 452-5   is available through the private sector unless the state can
 452-6   provide the service at a lower cost.
 452-7         [(b)  In developing the procedures, the department shall
 452-8   comply with Article 13, State Purchasing and General Services Act
 452-9   (Article 601b, Vernon's Texas Civil Statutes).]
452-10         SECTION 17.14.  Section 61.033, Education Code, is repealed
452-11   to conform to Section 68(a)(3), Chapter 684, Acts of the 73rd
452-12   Legislature, Regular Session, 1993.
452-13         SECTION 17.15.  Section 12.052(b), Health and Safety Code, is
452-14   amended to correct a reference to read as follows:
452-15         (b)  The expenditure of funds received by other state
452-16   agencies from the department is governed by Subtitle D, Title 10,
452-17   Government Code, [the State Purchasing and General Services Act
452-18   (Article 601b, Vernon's Texas Civil Statutes)] and the rules
452-19   adopted under that subtitle [Act].
452-20         SECTION 17.16.  Section 481.027(e), Government Code, is
452-21   amended to correct a reference and to conform to Section 6.01(d),
452-22   Chapter 8, Acts of the 72nd Legislature, 2nd Called Session, 1991,
452-23   to read as follows:
452-24         (e)  Chapter 2175 applies [Articles 8 and 9, State Purchasing
 453-1   and General Services Act (Article 601b, Vernon's Texas Civil
 453-2   Statutes), apply] to the operation and maintenance of the offices.
 453-3   No other provisions of Subtitle D, Title 10, [that Act] apply to
 453-4   the operation and maintenance of the offices, or to transactions of
 453-5   the department that are authorized by this section.
 453-6         SECTION 17.17.  Section 481.078(f), Government Code, is
 453-7   amended to correct a reference to read as follows:
 453-8         (f)  The corporation shall make a good faith effort to assist
 453-9   historically underutilized [disadvantaged] businesses to receive at
453-10   least 10 percent of the total value of each construction contract
453-11   award for construction and the purchase of supplies, materials,
453-12   services, and equipment that the corporation expects to make in
453-13   connection with the issuance of bonds and any lease, sale, and loan
453-14   agreement made under this section by the corporation.  The
453-15   corporation shall annually report to the legislature and the
453-16   governor on the level of historically underutilized [disadvantaged]
453-17   business participation as it pertains to the corporation's
453-18   contracts.  This report shall include recommendations for the
453-19   improvement of historically underutilized [disadvantaged] business
453-20   opportunities with the corporation.  "Historically underutilized
453-21   [Disadvantaged] business" means a historically underutilized
453-22   [disadvantaged] business as defined by Section 2161.001 [1.02,
453-23   State Purchasing and General Services Act (Article 601b, Vernon's
453-24   Texas Civil Statutes)].
 454-1         SECTION 17.18.  Section 252.0215, Local Government Code, is
 454-2   amended to correct references to read as follows:
 454-3         Sec. 252.0215.  COMPETITIVE BIDDING IN RELATION TO
 454-4   HISTORICALLY UNDERUTILIZED BUSINESS.  A municipality, in making an
 454-5   expenditure of more than $3,000 but less than $15,000, shall
 454-6   contact at least two historically underutilized [disadvantaged]
 454-7   businesses on a rotating basis, based on information provided by
 454-8   the General Services Commission [Office of Small Business
 454-9   Assistance of the Texas Department of Commerce] pursuant to Chapter
454-10   2161, Government Code [Section 1.03, State Purchasing and General
454-11   Services Act (Article 601b, Vernon's Texas Civil Statutes)].  If
454-12   the list fails to identify a historically underutilized
454-13   [disadvantaged] business in the county in which the municipality
454-14   [city] is situated, the municipality [city] is exempt from this
454-15   section.
454-16         SECTION 17.19.  In the following table of cross-reference
454-17   amendments, a reference described in Column A is amended to read as
454-18   provided by the corresponding reference described in Column B, at
454-19   each place at which the reference appears in a code provision cited
454-20   in Column C:
454-21         Column A                Column B              Column C
454-22       Reference to           New Reference        Law in Which the
454-23        Be Amended                                 Reference Appears
454-24   (1)  "Article 3,        (1)  "Chapters         (1)  Sections
454-25   State Purchasing and    2155-2158"             81.0151,
454-26   General Services Act                           403.019(b), and
454-27   (Article 601b,                                 2254.024(b),
 455-1         Column A                Column B              Column C
 455-2       Reference to           New Reference        Law in Which the
 455-3        Be Amended                                 Reference Appears
 455-4   Vernon's Texas Civil                           Government Code
 455-5   Statutes)"
 455-6   (2)  "Article 3,        (2)  "Chapters         (2)  Section
 455-7   State Purchasing and    2155-2158"             496.0515(a),
 455-8   General Services Act                           Government Code
 455-9   (Article 601b,
455-10   Vernon's Texas Civil
455-11   Statutes),"
455-12   (3)  "Article 3,        (3)  "Chapters         (3)  Section
455-13   State Purchasing and    2155-2158 do"          401.005(d),
455-14   General Services Act                           Government Code
455-15   (Article 601b,
455-16   Vernon's Texas Civil
455-17   Statutes), does"
455-18   (4)  "the State         (4)  "Subtitle D,      (4)  Section
455-19   Purchasing and          Title 10, Government   73.115(f),
455-20   General Services Act    Code"                  Education Code;
455-21   (Article 601b,                                 Section 22.016,
455-22   Vernon's Texas Civil                           Human Resources
455-23   Statutes)"                                     Code; and Sections
455-24                                                  35.012(b),
455-25                                                  361.426(a),
455-26                                                  361.477(b),
455-27                                                  402.032, and
455-28                                                  756.022(d), Health
455-29                                                  and Safety Code
455-30   (5)  "the State         (5)  "Subtitle D,      (5)  Sections
455-31   Purchasing and          Title 10"              466.104,
455-32   General Services Act                           466.105(a),
455-33   (Article 601b,                                 481.027(f),
455-34   Vernon's Texas Civil                           496.051(a),
455-35   Statutes)"                                     609.510,
455-36                                                  663.105(b), and
455-37                                                  2101.039(a),
455-38                                                  Government Code
455-39   (6)  "Sec. 3.12,        (6)  "Subchapter B,    (6)  Section
455-40   Article 601b,           Chapter 2156,          51.927(g),
455-41   Revised Statutes"       Government Code"       Education Code
 456-1         Column A                Column B              Column C
 456-2       Reference to           New Reference        Law in Which the
 456-3        Be Amended                                 Reference Appears
 456-4   (7)  "Article 7,        (7)  "Article 9102,    (7)  Section
 456-5   State Purchasing and    Revised Statutes"      61.0572(b),
 456-6   General Services Act                           Education Code
 456-7   (Article 601b,
 456-8   Vernon's Texas Civil
 456-9   Statutes)"
456-10   (8)  "Section 9.16,     (8)  "Subchapter G,    (8)  Section
456-11   State Purchasing and    Chapter 2175"          403.271(a)(2),
456-12   General Services Act                           Government Code
456-13   (Article 601b,
456-14   Vernon's Texas Civil
456-15   Statutes)"
456-16   (9)  "Article 9,        (9)  "Chapter 2175"    (9)  Section
456-17   State Purchasing and                           443.006(b),
456-18   General Services Act                           Government Code
456-19   (Article 601b,
456-20   Vernon's Texas Civil
456-21   Statutes)"
456-22   (10)  "Article 9,       (10)  "Chapter 2175,   (10)  Sections
456-23   State Purchasing and    Government Code"       12.054(a) and (c),
456-24   General Services Act                           Health and Safety
456-25   (Article 601b,                                 Code
456-26   Vernon's Texas Civil
456-27   Statutes)"
456-28   (11)  "Section 1.02,    (11)  "Section         (11)  Sections
456-29   State Purchasing and    2151.002"              552.2611(f) and
456-30   General Services Act                           2254.021(4),
456-31   (Article 601b,                                 Government Code
456-32   Vernon's Texas Civil
456-33   Statutes)"
456-34   (12)  "The State        (12)  "Subtitle D,     (12)  Section
456-35   Purchasing and          Title 10,"             496.051(b),
456-36   General Services Act                           Government Code
456-37   (Article 601b,
456-38   Vernon's Texas Civil
456-39   Statutes)"
 457-1         Column A                Column B              Column C
 457-2       Reference to           New Reference        Law in Which the
 457-3        Be Amended                                 Reference Appears
 457-4   (13)  "The State        (13)  "Subtitle D,     (13)  Section
 457-5   Purchasing and          Title 10, Government   242.099, Health and
 457-6   General Services Act    Code,"                 Safety Code
 457-7   (Article 601b,
 457-8   Vernon's Texas Civil
 457-9   Statutes)"
457-10   (14)  "Section          (14)  "Section         (14)  Section
457-11   3.08(a), State          2155.132(a)"           497.027(a),
457-12   Purchasing and                                 Government Code
457-13   General Services Act
457-14   (Article 601b,
457-15   Vernon's Texas Civil
457-16   Statutes),"
457-17   (15)  "Section          (15)  "Section         (15)  Section
457-18   5.01(b), State          2166.551"              663.002, Government
457-19   Purchasing and                                 Code
457-20   General Services Act
457-21   (Article 601b,
457-22   Vernon's Texas Civil
457-23   Statutes)"
457-24   (16)  "Section 4.15,    (16)  "Subchapter E,   (16)  Section
457-25   State Purchasing and    Chapter 2165,          94.002(b), Human
457-26   General Services Act    Government Code"       Resources Code
457-27   (Article 601b,
457-28   Vernon's Texas Civil
457-29   Statutes)"
457-30   (17)  "Section          (17)  "Section         (17)  Section
457-31   5.321, State            2166.404, Government   373.001(c)(2),
457-32   Purchasing and          Code"                  Health and Safety
457-33   General Services Act                           Code
457-34   (Article 601b,
457-35   Vernon's Texas Civil
457-36   Statutes)"
457-37   (18)  "Subdivisions     (18)  "Sections        (18)  Section
457-38   (1) through (9) of      2156.007(d)(1)-(9),    31.159(d)(2),
457-39   Subsection (e) of       Government Code"       Natural Resources
457-40   Section 3.11, State                            Code
457-41   Purchasing and
457-42   General Services Act
 458-1         Column A                Column B              Column C
 458-2       Reference to           New Reference        Law in Which the
 458-3        Be Amended                                 Reference Appears
 458-4   (Article 601(b),
 458-5   Vernon's Texas Civil
 458-6   Statutes)"
 458-7   (19)  "Sections         (19)  "Sections        (19)  Section
 458-8   1.02(2)(A) and (C),     2151.002(2)(A) and     552.270(b),
 458-9   State Purchasing and    (C), Government        Government Code, as
458-10   General Services Act    Code"                  added by Section
458-11   (Article 601b,                                 17, Chapter 693,
458-12   Vernon's Texas Civil                           Acts of the 74th
458-13   Statutes)"                                     Legislature,
458-14                                                  Regular Session,
458-15                                                  1995
458-16   (20)  "Section          (20)  "Section         (20)  Section
458-17   6.021, State            2165.104"              821.007, Government
458-18   Purchasing and                                 Code
458-19   General Services Act
458-20   (Article 601b,
458-21   Vernon's Texas Civil
458-22   Statutes)"
458-23   (21)  "Sections 1.03    (21)  "Chapter 2161"   (21)  Section
458-24   and 3.10, of the                               825.514, Government
458-25   State Purchasing and                           Code
458-26   General Services Act
458-27   (Article 601b,
458-28   Vernon's Texas Civil
458-29   Statutes)"
458-30   (22)  "Section          (22)  "Section         (22)  Section
458-31   15.06(5), State         2162.102(c)(2),        223.042(c),
458-32   Purchasing and          Government Code"       Transportation Code
458-33   General Services Act
458-34   (Article 601b,
458-35   Vernon's Texas Civil
458-36   Statutes)"
458-37   (23)  "Section          (23)  "Section         (23)  Sections
458-38   5.321, State            2166.404, Government   392.002(b) and (c),
458-39   Purchasing and          Code"                  Transportation Code
458-40   General Services Act
458-41   (Article 601b,
458-42   Vernon's Texas Civil
 459-1         Column A                Column B              Column C
 459-2       Reference to           New Reference        Law in Which the
 459-3        Be Amended                                 Reference Appears
 459-4   Statutes)"
 459-5          ARTICLE 18.  CHANGES RELATING TO SUBTITLE F, GENERAL
 459-6                    GOVERNMENT TITLE, GOVERNMENT CODE
 459-7         SECTION 18.01.  Section 2258.021, Government Code, is amended
 459-8   to more closely conform to the law from which Chapter 2258,
 459-9   Government Code, was derived to read as follows:
459-10         Sec. 2258.021.  RIGHT TO BE PAID  [DUTY OF GOVERNMENTAL
459-11   ENTITY TO PAY] PREVAILING WAGE RATES.  (a)  A  [The state or any
459-12   political subdivision of the state shall pay  a] worker employed on
459-13   a public work by [it] or on behalf of the state or a political
459-14   subdivision of the state shall be paid [it]:
459-15               (1)  not less than the general prevailing rate of per
459-16   diem wages for work of a similar character in the locality in which
459-17   the work is performed; and
459-18               (2)  not less than the general prevailing rate of per
459-19   diem wages for legal holiday and overtime work.
459-20         (b)  Subsection (a) does not apply to maintenance work.
459-21         (c)  A worker is employed on a public work for the purposes
459-22   of this section if the worker is employed by a contractor or
459-23   subcontractor in the execution of a contract for the public work
459-24   with the state, a political subdivision of the state, or any
459-25   officer or public body of the state or a political subdivision of
 460-1   the state.
 460-2         SECTION 18.02.  Section 2258.022, Government Code, is amended
 460-3   to more closely conform to the law from which Chapter 2258,
 460-4   Government Code, was derived by adding Subsection (d) to read as
 460-5   follows:
 460-6         (d)  The public body's determination of the general
 460-7   prevailing rate of per diem wages is final.
 460-8     ARTICLE 19.  CHANGES RELATING TO SUBTITLE G, GENERAL GOVERNMENT
 460-9                         TITLE, GOVERNMENT CODE
460-10         SECTION 19.01.  (a)  Section 2308.002, Government Code, is
460-11   amended to conform to Section 11.11, Chapter 655, Acts of the 74th
460-12   Legislature, Regular Session, 1995, to read as follows:
460-13         Sec. 2308.002.  DEFINITIONS.  In this chapter:
460-14               (1)  ["Administering state agency" means the agency
460-15   designated by the governor to administer the federal Job Training
460-16   Partnership Act (29 U.S.C.  Section 1501 et seq.) in this state.]
460-17               [(2)]  "Council" means the Council on Workforce and
460-18   Economic Competitiveness.
460-19               (2)  "Division" means the division of workforce
460-20   development of the Texas Workforce Commission.
460-21               (3)  "Local labor market" means an economically
460-22   integrated geographical area within which individuals may reside
460-23   and find employment within a reasonable distance.
460-24               (4) [(3)]  "Workforce development" includes workforce
 461-1   education and workforce training and services.
 461-2               (5) [(4)]  "Workforce education" means articulated
 461-3   career-path programs and the constituent courses of those programs
 461-4   that lead to initial or continuing licensing or certification or
 461-5   associate degree-level accreditation and that:
 461-6                     (A)  are subject to:
 461-7                           (i) [(A)]  initial and ongoing state
 461-8   approval or regional or specialized accreditation;
 461-9                           (ii) [(B)]  a formal state evaluation that
461-10   provides the basis for program continuation or termination;
461-11                           (iii) [(C)]  state accountability and
461-12   performance standards; and
461-13                           (iv) [(D)]  a regional or statewide
461-14   documentation of the market demand for labor according to
461-15   employers' needs; or
461-16                     (B)  are subject to approval by the Texas Higher
461-17   Education Coordinating Board as adult vocational or continuing
461-18   education courses.
461-19               (6) [(5)]  "Workforce training and services" means
461-20   training and services programs that are not workforce education.
461-21         (b)  Section 11.11, Chapter 655, Acts of the 74th
461-22   Legislature, Regular Session, 1995, is repealed.
461-23         SECTION 19.02.  (a)  Section 2308.005, Government Code, is
461-24   amended to conform to Section 11.10, Chapter 655, Acts of the 74th
 462-1   Legislature, Regular Session, 1995, to read as follows:
 462-2         Sec. 2308.005.  APPLICATION OF SUNSET ACT.  The Council on
 462-3   Workforce and Economic Competitiveness is subject to Chapter 325
 462-4   (Texas Sunset Act).  Unless continued in existence as provided by
 462-5   that chapter, the council is abolished September 1, 1999 [2001].
 462-6         (b)  Section 11.10, Chapter 655, Acts of the 74th
 462-7   Legislature, Regular Session, 1995, is repealed.
 462-8         SECTION 19.03.  (a)  Section 2308.051, Government Code, is
 462-9   amended to conform to Section 11.12, Chapter 655, Acts of the 74th
462-10   Legislature, Regular Session, 1995, to read as follows:
462-11         Sec. 2308.051.  COUNCIL.  (a)  The Council on Workforce and
462-12   Economic Competitiveness [is a state agency that] acts as a state
462-13   human resource [resources] investment council under the Job
462-14   Training Reform Amendments of 1992 (29 U.S.C. Section 1792 [1501]
462-15   et seq.).
462-16         (b)  The council is attached for administrative purposes to
462-17   the office of the governor.
462-18         (b)  Section 11.12, Chapter 655, Acts of the 74th
462-19   Legislature, Regular Session, 1995, is repealed.
462-20         SECTION 19.04.  (a)  Section 2308.052(b), Government Code, is
462-21   amended to conform to Section 11.13, Chapter 655, Acts of the 74th
462-22   Legislature, Regular Session, 1995, to read as follows:
462-23         (b)  The council is composed of:
462-24               (1)  three [the following ex officio voting members:]
 463-1                     [(A)  the commissioner of education;]
 463-2                     [(B)  the commissioner of higher education;]
 463-3                     [(C)  the commissioner of health and human
 463-4   services;]
 463-5                     [(D)  the executive director of the Texas
 463-6   Department of Commerce; and]
 463-7                     [(E)  the administrator of the Texas Employment
 463-8   Commission;]
 463-9               [(2)  six] voting members who represent education, [at
463-10   least] one of whom represents local public education, one of whom
463-11   represents public postsecondary education, [one of whom represents
463-12   secondary vocational education,] and one of whom represents
463-13   [postsecondary] vocational education;
463-14               (2)  five [(3)  seven] voting members who represent
463-15   organized labor appointed from recommendations made by recognized
463-16   labor organizations;
463-17               (3)  five [(4)  seven] voting members who represent
463-18   business and industry, including business members serving on local
463-19   workforce development boards or private industry councils;
463-20               (4)  two [(5)  one] voting members [member] who
463-21   represent [represents a] community-based organizations
463-22   [organization]; and
463-23               (5) [(6)  one voting member who represents a
463-24   joint-sponsored apprenticeship program as defined by the United
 464-1   States Department of Labor's Bureau of Apprenticeship and Training
 464-2   appointed from a list of three nominees submitted to the governor
 464-3   by the Apprenticeship and Training Association of Texas;]
 464-4               [(7)  one voting member who represents a
 464-5   community-based adult literacy organization;]
 464-6               [(8)  one voting member who represents adult basic and
 464-7   continuing education programs;]
 464-8               [(9)  six voting members, each of whom represents not
 464-9   more than one of the following categories:]
464-10                     [(A)  literacy groups;]
464-11                     [(B)  local welfare or public housing agencies;]
464-12                     [(C)  units of local government;]
464-13                     [(D)  adult education organizations;]
464-14                     [(E)  teachers or counselors;]
464-15                     [(F)  local service delivery organizations;]
464-16                     [(G)  special needs populations;]
464-17                     [(H)  rural and agricultural organizations;]
464-18                     [(I)  proprietary schools;]
464-19                     [(J)  members of the state legislature; and]
464-20                     [(K)  other groups and organizations; and]
464-21               [(10)]  the following ex officio voting [nonvoting]
464-22   members:
464-23                     (A)  the chair of the State Board of Education;
464-24                     (B)  the chair of the Texas Higher Education
 465-1   Coordinating Board;
 465-2                     (C)  the presiding officer of the Texas Board of
 465-3   Human Services;
 465-4                     (D)  the presiding officer of the policy advisory
 465-5   [governing] board of the Texas Department of Commerce; and
 465-6                     (E)  the chair [chairman] of the Texas Workforce
 465-7   [Employment] Commission[;]
 465-8                     [(F)  the commissioner of the Texas
 465-9   Rehabilitation Commission; and]
465-10                     [(G)  the executive director of the Texas
465-11   Commission for the Blind].
465-12         (b)  Section 2308.052, Government Code, is amended to conform
465-13   to Section 11.13, Chapter 655, Acts of the 74th Legislature,
465-14   Regular Session, 1995, by adding Subsection (d) to read as follows:
465-15         (d)  A member of the council who represents a community-based
465-16   organization may not be a provider of services.
465-17         (c)  Section 11.13, Chapter 655, Acts of the 74th
465-18   Legislature, Regular Session, 1995, is repealed.
465-19         SECTION 19.05.  (a)  Section 2308.059, Government Code, is
465-20   amended to conform to Section 11.18, Chapter 655, Acts of the 74th
465-21   Legislature, Regular Session, 1995, to read as follows:
465-22         Sec. 2308.059.  FISCAL AGENT.  The office of the governor
465-23   shall [council may designate another state agency to] serve as the
465-24   council's fiscal agent [if the designated agent agrees to the
 466-1   designation].
 466-2         (b)  Section 11.18, Chapter 655, Acts of the 74th
 466-3   Legislature, Regular Session, 1995, is repealed.
 466-4         SECTION 19.06.  (a)  Section 2308.060(c), Government Code, is
 466-5   amended to conform to Section 11.19, Chapter 655, Acts of the 74th
 466-6   Legislature, Regular Session, 1995, to read as follows:
 466-7         (c)  The executive director shall [may] adopt the
 466-8   administrative and personnel procedures of the council's fiscal
 466-9   agent [rather than adopt new procedures for the council].
466-10         (b)  Section 11.19, Chapter 655, Acts of the 74th
466-11   Legislature, Regular Session, 1995, is repealed.
466-12         SECTION 19.07.  (a)  Section 2308.101, Government Code, is
466-13   amended to conform to Section 11.14, Chapter 655, Acts of the 74th
466-14   Legislature, Regular Session, 1995, to read as follows:
466-15         Sec. 2308.101.  GENERAL DUTIES.  The council shall:
466-16               (1)  promote the development of a well-educated, highly
466-17   skilled workforce in this state [through literacy, adult basic
466-18   education, community education, apprenticeship, and
466-19   state-of-the-art occupational skills education and training
466-20   programs];
466-21               (2)  [serve as an] advocate [for] the development of an
466-22   integrated workforce development system to provide quality services
466-23   addressing the needs of business and workers in this state;
466-24               (3)  [promote and assist in the development of an
 467-1   industry-based skills standards and certification system for
 467-2   occupations requiring less than a baccalaureate-level education and
 467-3   training;]
 467-4               [(4)  promote the development of workplaces of high
 467-5   productivity in this state;]
 467-6               [(5)  recommend to the governor the components of a
 467-7   school and training-to-work transition process;]
 467-8               [(6)]  recommend to the governor the designation or
 467-9   redesignation of workforce development areas for the local planning
467-10   and delivery of workforce development;
467-11               (4) [(7)]  identify and recommend to the governor
467-12   incentives to encourage the consolidation, on a regional labor
467-13   market basis, of:
467-14                     (A)  local boards, councils, and committees; and
467-15                     (B)  service delivery areas authorized under the
467-16   Job Training Partnership Act (29 U.S.C. Section 1501 et seq.);
467-17               (5) [(8)  design and implement a combined state and
467-18   local planning process for the state's workforce training and
467-19   services;]
467-20               [(9)]  review plans for local workforce training and
467-21   services and make recommendations to the governor for approval;
467-22               (6)  evaluate [(10)  implement a statewide system for
467-23   evaluating] the effectiveness of all workforce development using
467-24   the administrative records of the state's unemployment compensation
 468-1   program and other sources as appropriate;
 468-2               (7) [(11)]  support research and demonstration projects
 468-3   designed to develop new programs and approaches to service
 468-4   delivery;
 468-5               (8)  recommend measures to [(12)  provide for training
 468-6   and professional development for council members, local chief
 468-7   elected officials, local workforce development boards and staff,
 468-8   and private industry councils and staff;]
 468-9               [(13)  serve as an advocate at the state and federal
468-10   levels for the local workforce development boards;]
468-11               [(14)  establish and operate a comprehensive labor
468-12   market information system that serves employers, students, workers,
468-13   and state and local planning organizations;]
468-14               [(15)]  ensure that occupational skills training is:
468-15                     (A)  provided in occupations that are locally in
468-16   demand; and
468-17                     (B)  directed toward high-skill and high-wage
468-18   jobs;
468-19               (9)  monitor [(16)  oversee] the operation of the
468-20   state's workforce development programs to assess the degree to
468-21   which these programs are effective in achieving state and local
468-22   goals and objectives;
468-23               (10) [(17)]  develop and recommend to the governor
468-24   criteria for the establishment of local workforce development
 469-1   boards; and
 469-2               (11) [(18)  develop objective criteria for granting
 469-3   waivers allowed under this chapter;]
 469-4               [(19)  develop and recommend to the governor a plan to
 469-5   ensure the accessibility of workforce development to clients that
 469-6   includes a uniform statewide client application system to determine
 469-7   an applicant's eligibility for workforce development for which
 469-8   state or federal financial assistance is available; and]
 469-9               [(20)]  carry out the federal and state duties and
469-10   responsibilities of advisory councils under applicable federal and
469-11   state workforce development.
469-12         (b)  Section 2308.104(a), Government Code, is amended to
469-13   conform to Section 11.14, Chapter 655, Acts of the 74th
469-14   Legislature, Regular Session, 1995, to read as follows:
469-15         (a)  The council shall develop and recommend to the governor
469-16   a single strategic plan that establishes the framework for the
469-17   budgeting and operation of all workforce development programs,
469-18   including school to work transition programs, administered by
469-19   agencies represented on the council.
469-20         (c)  Section 11.14, Chapter 655, Acts of the 74th
469-21   Legislature, Regular Session, 1995, is repealed.
469-22         SECTION 19.08.  (a)  Section 2308.102(c), Government Code, is
469-23   amended to conform to Section 11.17, Chapter 655, Acts of the 74th
469-24   Legislature, Regular Session, 1995, to read as follows:
 470-1         (c)  The council shall assume the responsibilities formerly
 470-2   exercised by the following state advisory councils and committees:
 470-3               (1)  the State Job Training Coordinating Council;
 470-4               (2)  the Texas Council on Vocational Education;
 470-5               (3)  [the technical advisory committee to the State
 470-6   Occupational Information Coordinating Council;]
 470-7               [(4)]  the Texas Literacy Council; and
 470-8               (4) [(5)]  the Apprenticeship and Training Advisory
 470-9   Committee.
470-10         (b)  Section 11.17, Chapter 655, Acts of the 74th
470-11   Legislature, Regular Session, 1995, is repealed.
470-12         SECTION 19.09.  (a)  Section 2308.106, Government Code, is
470-13   amended to conform to Section 11.23, Chapter 655, Acts of the 74th
470-14   Legislature, Regular Session, 1995, to read as follows:
470-15         Sec. 2308.106.  DIVISION [COUNCIL] ASSISTANCE.  The division
470-16   [council] shall assist a local workforce development board in
470-17   designing effective measures to accomplish the board's
470-18   responsibilities under Section 2308.302.
470-19         (b)  Section 2308.253, Government Code, is amended to conform
470-20   to Section 11.23, Chapter 655, Acts of the 74th Legislature,
470-21   Regular Session, 1995, by adding Subsection (g) to read as follows:
470-22         (g)  The chief elected officials designated under Subsection
470-23   (c) shall enter into a partnership agreement with the board to:
470-24               (1)  select the grant recipient and the administrative
 471-1   entity for the local workforce development area; and
 471-2               (2)  determine procedures for the development of the
 471-3   local workforce development plan.
 471-4         (c)  Section 2308.302, Government Code, is amended to conform
 471-5   to Section 11.23, Chapter 655, Acts of the 74th Legislature,
 471-6   Regular Session, 1995, to read as follows:
 471-7         Sec. 2308.302.  RESPONSIBILITY OF BOARD.  (a)  A board is
 471-8   directly responsible and accountable to the division [council] for
 471-9   the planning and oversight of all workforce training and services
471-10   and the evaluation of all workforce development programs in the
471-11   workforce development area.  A board shall ensure effective
471-12   outcomes consistent with statewide goals, objectives, and
471-13   performance standards approved by the governor.
471-14         (b)  A board is directly responsible to the division for the
471-15   operational planning and administration of all workforce training
471-16   and services funded through the Texas Workforce Commission to the
471-17   local area [administering state agency].
471-18         (d)  Section 2308.303, Government Code, is amended to conform
471-19   to Section 11.23, Chapter 655, Acts of the 74th Legislature,
471-20   Regular Session, 1995, to read as follows:
471-21         Sec. 2308.303.  BOARD DUTIES.  (a)  A board shall:
471-22               (1)  serve as a single point of contact for local
471-23   businesses to communicate their skill needs and to influence the
471-24   direction of all workforce development programs in the workforce
 472-1   development area;
 472-2               (2)  serve as a private industry council under the Job
 472-3   Training Partnership Act (29 U.S.C. Section 1501 et seq.);
 472-4               (3)  develop a local plan to address the workforce
 472-5   development needs of the workforce development area that:
 472-6                     (A)  is responsive to the goals, objectives, and
 472-7   performance standards established by the governor;
 472-8                     (B)  targets services to meet local needs,
 472-9   including the identification of industries and employers likely to
472-10   employ workers who complete job training programs; and
472-11                     (C)  ensures that the workforce development
472-12   system, including the educational system, has the flexibility to
472-13   meet the needs of local businesses;
472-14               (4) [(3)]  designate the board or another entity as the
472-15   board's fiscal agent to be responsible and accountable for the
472-16   management of all workforce development funds available to the
472-17   board;
472-18               (5) [(4)]  create local career [workforce] development
472-19   centers under Section 2308.312;
472-20               (6) [(5)]  review plans for workforce education to
472-21   ensure that the plans address the needs of local businesses and
472-22   recommend appropriate changes in the delivery of education
472-23   services;
472-24               (7) [(6)]  assume the functions and responsibilities of
 473-1   local workforce development advisory boards, councils, and
 473-2   committees authorized by federal or state law, including private
 473-3   industry councils, quality workforce planning committees, job
 473-4   service employer committees, and local general vocational program
 473-5   advisory committees;
 473-6               (8) [(7)]  monitor and evaluate the effectiveness of
 473-7   the career [workforce] development centers, state agencies and
 473-8   other contractors providing workforce training and services, and
 473-9   vocational and technical education programs operated by local
473-10   education agencies and institutions of higher education to ensure
473-11   that performance is consistent with state and local goals and
473-12   objectives; and
473-13               (9) [(8)]  promote cooperation and coordination among
473-14   public organizations, community organizations, and private
473-15   businesses providing workforce development[; and]
473-16               [(9)  review applications for consistency with rules
473-17   developed by the Texas Department of Commerce for funds under the
473-18   smart jobs fund program under Subchapter J, Chapter 481].
473-19         (b)  The board shall ensure that employment services are
473-20   provided for persons seeking employment in the local workforce
473-21   development area.  The board shall contract with an appropriate
473-22   entity for the provision of services, or, if all necessary waivers
473-23   are granted, the board may provide the services directly.
473-24         (c)  In performing its duties under this section [Subsection
 474-1   (a)(9)], a board may provide to the division [department] relevant
 474-2   labor market information and information regarding the availability
 474-3   of existing workforce development.
 474-4         (d) [(c)]  A provider must respond to a change recommended by
 474-5   a board under Subsection (a)(6) [(5)] not later than the 30th day
 474-6   after the date the provider receives the recommendation.
 474-7         (e)  Section 11.23, Chapter 655, Acts of the 74th
 474-8   Legislature, Regular Session, 1995, is repealed.
 474-9         SECTION 19.10.  (a)  Section 2308.154, Government Code, is
474-10   amended to conform to Section 11.15, Chapter 655, Acts of the 74th
474-11   Legislature, Regular Session, 1995, to read as follows:
474-12         Sec. 2308.154.  ANALYSIS.  At least annually, the council
474-13   shall issue an analysis, by occupation and by the provider of the
474-14   job placement performance, of each workforce education program for
474-15   the previous one-year, three-year, and five-year periods to:
474-16               (1)  each provider of workforce education or workforce
474-17   training and services;
474-18               (2)  the Texas Higher Education Coordinating Board for
474-19   each provider of workforce education approved and administered by
474-20   the board; [and]
474-21               (3)  each local workforce development board for each
474-22   provider of workforce training and services within the workforce
474-23   development area; and
474-24               (4)  the division.
 475-1         (b)  Section 11.15, Chapter 655, Acts of the 74th
 475-2   Legislature, Regular Session, 1995, is repealed.
 475-3         SECTION 19.11.  (a)  Section 2308.203(a), Government Code, is
 475-4   amended to conform to Section 11.20, Chapter 655, Acts of the 74th
 475-5   Legislature, Regular Session, 1995, to read as follows:
 475-6         (a)  A state agency that is responsible for the
 475-7   administration of human resources and workforce development in this
 475-8   state shall implement a recommendation under this subchapter if the
 475-9   recommendation does not violate a federal or state law[,
475-10   regulation, or rule].   
475-11         (b)  Section 11.20, Chapter 655, Acts of the 74th
475-12   Legislature, Regular Session, 1995, is repealed.
475-13         SECTION 19.12.  (a)  Section 2308.253, Government Code, is
475-14   amended to conform to Section 11.22, Chapter 655, Acts of the 74th
475-15   Legislature, Regular Session, 1995, to read as follows:
475-16         Sec. 2308.253.  CREATION OF LOCAL WORKFORCE DEVELOPMENT
475-17   BOARDS.  (a)  The chief elected officials in a workforce
475-18   development area may form, in accordance with rules established by
475-19   the Texas Workforce Commission [council], a local workforce
475-20   development board to:
475-21               (1)  plan and oversee the delivery of workforce
475-22   training and services; and
475-23               (2)  evaluate workforce development in the workforce
475-24   development area.
 476-1         (b)  The authority granted under Subsection (a) does not give
 476-2   a local workforce development board any direct authority or control
 476-3   over workforce funds and programs in its workforce development
 476-4   area, other than programs funded through that board.
 476-5         (c)  Before a local workforce development board may be
 476-6   created, at least three-fourths of the chief elected officials in
 476-7   the workforce development area who represent units of general local
 476-8   government must agree to the creation of the board, including all
 476-9   of the chief elected officials who represent units of general local
476-10   government that have populations of at least 200,000.  The elected
476-11   officials who agree to the creation of the board must represent at
476-12   least 75 percent of the population of the workforce development
476-13   area.
476-14         (d)  The chief elected officials shall consider the views of
476-15   all affected local organizations, including private industry
476-16   councils and quality workforce planning committees, before making a
476-17   final decision on the formation of a board.
476-18         (e) [(c)]  An agreement on the formation of a board must be
476-19   in writing and must include:
476-20               (1)  the purpose for the agreement;
476-21               (2)  the process to be used to select the chief elected
476-22   official who will act on behalf of the other chief elected
476-23   officials;
476-24               (3)  the process to be used to keep the chief elected
 477-1   officials informed regarding local workforce development
 477-2   activities;
 477-3               (4)  the initial size of the board;
 477-4               (5)  how resources allocated to the local workforce
 477-5   development area are to be shared among the parties to the
 477-6   agreement;
 477-7               (6) [(4)]  the process, consistent with applicable
 477-8   federal and state law, for the appointment of the board members;
 477-9   and
477-10               (7) [(5)]  the terms of office of the board members.
477-11         (f)  In a state planning area in which there is more than one
477-12   local workforce development area, the quality workforce planning
477-13   committee of that state planning area shall continue in existence
477-14   to provide labor market information for the entire state planning
477-15   area until local workforce development boards are certified in each
477-16   workforce development area in that state planning area.
477-17         (b)  Section 2308.254(a), Government Code, is amended to
477-18   conform to Section 11.22, Chapter 655, Acts of the 74th
477-19   Legislature, Regular Session, 1995, to read as follows:
477-20         (a)  A power or duty granted a board under this chapter may
477-21   not be exercised in a workforce development area until:
477-22               (1)  the chief elected officials in that area agree on
477-23   the establishment of a board as provided by Section 2308.253(c);
477-24   and
 478-1               (2)  the board is certified by the governor.
 478-2         (c)  The heading to Section 2308.255, Government Code, is
 478-3   amended to conform to Section 11.22, Chapter 655, Acts of the 74th
 478-4   Legislature, Regular Session, 1995, to read as follows:
 478-5         Sec. 2308.255.  APPOINTMENT OF BOARD; LIABILITY OF BOARD
 478-6   MEMBERS.
 478-7         (d)  Section 2308.255, Government Code, is amended to conform
 478-8   to Section 11.22, Chapter 655, Acts of the 74th Legislature,
 478-9   Regular Session, 1995, by adding Subsection (e) to read as follows:
478-10         (e)  A member or former member of a board may not be held
478-11   personally liable for a claim, damage, loss, or repayment
478-12   obligation of federal or state funds that arises under this chapter
478-13   unless the act or omission that causes the claim, damage, loss, or
478-14   repayment obligation constitutes, on the part of the board member
478-15   or former board member:
478-16               (1)  official misconduct;
478-17               (2)  wilful disregard of the requirements of this
478-18   chapter; or
478-19               (3)  gross negligence.
478-20         (e)  Section 11.22, Chapter 655, Acts of the 74th
478-21   Legislature, Regular Session, 1995, is repealed.
478-22         SECTION 19.13.  (a)  Section 2308.262, Government Code, is
478-23   amended to conform to Section 11.26, Chapter 655, Acts of the 74th
478-24   Legislature, Regular Session, 1995, to read as follows:
 479-1         Sec. 2308.262.  BUDGET.  A board shall adopt a budget for the
 479-2   board that must be included in the local workforce development plan
 479-3   submitted to the division [council].
 479-4         (b)  Section 2308.267(a), Government Code, is amended to
 479-5   conform to Section 11.26, Chapter 655, Acts of the 74th
 479-6   Legislature, Regular Session, 1995, to read as follows:
 479-7         (a)  A board may employ professional, technical, and support
 479-8   staff to carry out its [strategic] planning, oversight, and
 479-9   evaluation functions.
479-10         (c)  Section 11.26, Chapter 655, Acts of the 74th
479-11   Legislature, Regular Session, 1995, is repealed.
479-12         SECTION 19.14.  Section 2308.263, Government Code, is amended
479-13   to conform to Section 301.063, Labor Code, as amended by Section
479-14   11.02, Chapter 655, Acts of the 74th Legislature, Regular Session,
479-15   1995, to read as follows:
479-16         Sec. 2308.263.  APPROVAL OF FISCAL AGENT.  (a)  The Texas
479-17   Workforce Commission [administering state agency] must approve the
479-18   fiscal agent selected by a board before any federal or state
479-19   workforce development funds may be disbursed to the board.
479-20         (b)  The commission [agency] shall base its approval on an
479-21   audit of the financial capability of the fiscal agent to ensure
479-22   that fiscal controls and fund accounting procedures necessary to
479-23   guarantee the proper disbursal of and accounting for federal and
479-24   state funds are in place.
 480-1         SECTION 19.15.  Section 2308.269, Government Code, is amended
 480-2   to conform to Section 301.063, Labor Code, as amended by Section
 480-3   11.02, Chapter 655, Acts of the 74th Legislature, Regular Session,
 480-4   1995, to read as follows:
 480-5         Sec. 2308.269.  SANCTIONS FOR LACK OF FISCAL ACCOUNTABILITY.
 480-6   If, as a result of financial and compliance audits or for another
 480-7   reason, the Texas Workforce Commission [administering state agency]
 480-8   finds a substantial violation of a specific provision of this
 480-9   chapter or another federal or state law or regulation and
480-10   corrective action has not been taken, the council shall:
480-11               (1)  issue a notice of intent to revoke all or part of
480-12   the affected local plan;
480-13               (2)  issue a notice of intent to cease immediately
480-14   reimbursement of local program costs; or
480-15               (3)  impose a reorganization plan under Section
480-16   2308.268 for the local workforce development area.
480-17         SECTION 19.16.  (a)  Section 2308.304, Government Code, is
480-18   amended to conform to Section 11.24, Chapter 655, Acts of the 74th
480-19   Legislature, Regular Session, 1995, to read as follows:
480-20         Sec. 2308.304.  LOCAL PLAN.  (a)  A board shall adopt a
480-21   single plan that includes the components specified in this section.
480-22         (b)  The plan must include a strategic component that:
480-23               (1)  assesses the labor market needs of the local
480-24   workforce development area;
 481-1               (2)  identifies existing workforce development
 481-2   programs;
 481-3               (3)  evaluates the effectiveness of existing programs
 481-4   and services; and
 481-5               (4)  sets broad goals and objectives for all workforce
 481-6   development programs in the local area consistent with statewide
 481-7   goals, objectives, and performance standards.
 481-8         (c)  The plan must include an operational component that
 481-9   specifies how all of the resources available to the local workforce
481-10   development area from the Texas Workforce Commission will be used
481-11   to achieve the goals and objectives of the plan for the area.  At a
481-12   minimum, this component must establish:
481-13               (1)  the goals, objectives, and performance measures to
481-14   be used in overseeing and evaluating the operation of all workforce
481-15   training and services;
481-16               (2)  the segments of the population targeted for
481-17   various services;
481-18               (3)  the mix of services to be provided and how those
481-19   services are to be provided; and
481-20               (4)  the structure of the local service delivery
481-21   system.
481-22         (d)  Program resources included in the operational component
481-23   are [for the delivery of all workforce training and services in the
481-24   board's service area under the following]:
 482-1               (1)  job training programs funded under the Job
 482-2   Training Partnership Act (29 U.S.C. Section 1501 et seq.) [Chapter
 482-3   301, Labor Code];
 482-4               (2)  postsecondary vocational and technical job
 482-5   training programs that are not part of approved courses or programs
 482-6   that lead to licensing, certification, or an associate degree under
 482-7   Chapters 61, [108,] 130, and 135, or Subchapter E, Chapter 88,
 482-8   Education Code;
 482-9               (3)  adult education programs under Subchapter H,
482-10   Chapter 29 [Section 11.18], Education Code;
482-11               (4)  employment services programs [apprenticeship
482-12   programs under Chapter 33, Education Code];
482-13               (5)  [the trade adjustment assistance program under
482-14   Part 2, Subchapter II, Trade Act of 1974 (19 U.S.C. Section 2271 et
482-15   seq.);]
482-16               [(6)  the senior citizens employment program under
482-17   Chapter 101, Human Resources Code;]
482-18               [(7)  Subtitle A, Title 4, Labor Code;]
482-19               [(8)]  literacy funds available to the state under the
482-20   National Literacy Act of 1991 (20 U.S.C. Section 1201 et seq.);
482-21               (6) [(9)  the National and Community Service Act of
482-22   1990 (42 U.S.C. Section 12501 et seq.);]
482-23               [(10)]  the job opportunities and basic skills program
482-24   under Part F, Subchapter IV, Social Security Act (42 U.S.C.
 483-1   Section 682); and
 483-2               (7) [(11)]  the food stamp employment and training
 483-3   program authorized under 7 U.S.C. Section 2015(d).
 483-4         [(b)  A local plan must identify:]
 483-5               [(1)  goals, objectives, and performance measures;]
 483-6               [(2)  the people and groups to be served;]
 483-7               [(3)  the types of services to be provided;]
 483-8               [(4)  the service providers; and]
 483-9               [(5)  the structure of the delivery system.]
483-10         (b)  Section 11.24, Chapter 655, Acts of the 74th
483-11   Legislature, Regular Session, 1995, is repealed.
483-12         SECTION 19.17.  (a)  Section 2308.305, Government Code, is
483-13   amended to conform to Section 11.25, Chapter 655, Acts of the 74th
483-14   Legislature, Regular Session, 1995, to read as follows:
483-15         Sec. 2308.305.  USE OF LABOR MARKET INFORMATION SYSTEM.   A
483-16   board[, in conjunction with the council,] shall review, verify,
483-17   modify, and use local labor market information developed through
483-18   the state's [establish and operate an automated, interactive] labor
483-19   market information system to identify, by occupation, the labor
483-20   demand by employers in each workforce development area.
483-21         (b)  Section 2308.308, Government Code, is amended to conform
483-22   to Section 11.25, Chapter 655, Acts of the 74th Legislature,
483-23   Regular Session, 1995, to read as follows:
483-24         Sec. 2308.308.  PUBLIC COMMUNITY COLLEGE.  A public community
 484-1   college shall promptly provide workforce training and services that
 484-2   are requested:
 484-3               (1)  by a board if the need for the training and
 484-4   services is based on the [board's] labor market information system
 484-5   available for the [board's] area;
 484-6               (2)  by employers located in the college's taxing
 484-7   district when the request is presented directly to the college by
 484-8   the employers or through the board; or
 484-9               (3)  as part of economic development incentives
484-10   designed to attract or retain an employer, including incentives
484-11   offered under the smart jobs fund program under Subchapter J,
484-12   Chapter 481.
484-13         (c)  Section 11.25, Chapter 655, Acts of the 74th
484-14   Legislature, Regular Session, 1995, is repealed.
484-15         SECTION 19.18.  (a)  Subchapter G, Chapter 2308, Government
484-16   Code, is amended to conform to Section 11.27, Chapter 655, Acts of
484-17   the 74th Legislature, Regular Session, 1995, by adding Section
484-18   2308.3035 to read as follows:
484-19         Sec. 2308.3035.  COMPONENTS OF LOCAL WORKFORCE DEVELOPMENT
484-20   SYSTEM.  The local workforce development system is composed of two
484-21   major components as follows:
484-22               (1)  an employer services component that provides labor
484-23   market information and services and other services as appropriate
484-24   to local employers; and
 485-1               (2)  an integrated service delivery system composed of
 485-2   a network of career development centers that serve the people of
 485-3   this state based on a "one-stop for service" approach and supported
 485-4   by electronic access to comprehensive labor market information.
 485-5         (b)  Section 2308.312, Government Code, is amended to conform
 485-6   to Section 11.27, Chapter 655, Acts of the 74th Legislature,
 485-7   Regular Session, 1995, to read as follows:
 485-8         Sec. 2308.312.  CAREER [WORKFORCE] DEVELOPMENT CENTERS.
 485-9   (a)  A board shall establish career [workforce] development centers
485-10   accessible to students and[,] workers[, and employers] throughout
485-11   the workforce development area.  The board shall establish the
485-12   centers not later than the 180th day after the date the board is
485-13   certified.
485-14         (b)  Each center shall provide access to information and
485-15   services available in the workforce development area, including
485-16   employment services, and shall address the individual needs of
485-17   students and[,] workers[, and employers].
485-18         (c)  The services [available at a center] must include:
485-19               (1)  labor market information, including:
485-20                     (A)  [skills] available [in the workforce area;]
485-21                     [(B)]  job openings; and
485-22                     (B) [(C)]  education and[,] training[, and
485-23   employment] opportunities in the local area, in the state, and, as
485-24   feasible, in the nation;
 486-1               (2)  uniform eligibility requirements and application
 486-2   procedures for all workforce training [development];
 486-3               (3)  independent assessment of individual needs and the
 486-4   development of an individual service strategy;
 486-5               (4)  centralized and continuous case management and
 486-6   counseling;
 486-7               (5)  individual referral for services, including basic
 486-8   education, classroom skills training, on-the-job training, and
 486-9   customized training; and
486-10               (6)  support services, including child care assistance,
486-11   student loans, and other forms of financial assistance required to
486-12   participate in and complete training.
486-13         (c)  Subchapter G, Chapter 2308, Government Code, is amended
486-14   to conform to Section 11.27, Chapter 655, Acts of the 74th
486-15   Legislature, Regular Session, 1995, by adding Sections 2308.3121
486-16   and 2308.3122 to read as follows:
486-17         Sec. 2308.3121.  SERVICE PROVIDER LIMITATION; WAIVER.  (a)
486-18   Except as provided by Subsection (b), a person who provides
486-19   one-stop services may not also provide developmental services such
486-20   as basic education and skills training.
486-21         (b)  The division may develop a waiver process for a person
486-22   subject to Subsection (a).  A request for a waiver must include a
486-23   detailed justification based on the lack of an existing qualified
486-24   alternative for delivery of developmental services in the
 487-1   applicable workforce development area.
 487-2         Sec. 2308.3122.  UNEMPLOYMENT INSURANCE CLAIMS.  In
 487-3   cooperation with the boards, the Texas Workforce Commission shall
 487-4   provide for the filing of unemployment insurance claims through
 487-5   career development centers in each local workforce development
 487-6   area.
 487-7         (d)  Section 2308.313, Government Code, is amended to conform
 487-8   to Section 11.27, Chapter 655, Acts of the 74th Legislature,
 487-9   Regular Session, 1995, to read as follows:
487-10         Sec. 2308.313.  RIGHT TO KNOW.  A career [workforce]
487-11   development center shall provide to each person, before the person
487-12   participates in a vocational or technical training program, a
487-13   document that informs the person of:
487-14               (1)  current employment prospects; [and]
487-15               (2)  the current wage level for a person who completes
487-16   the vocational or technical training program in which the person is
487-17   considering participating; and
487-18               (3)  the most recent information available on the
487-19   performance of institutions that provide that training in the local
487-20   workforce development area.
487-21         (e)  Section 11.27, Chapter 655, Acts of the 74th
487-22   Legislature, Regular Session, 1995, is repealed.
487-23         SECTION 19.19.  (a)  Chapter 2308, Government Code, is
487-24   amended to conform to Section 11.28, Chapter 655, Acts of the 74th
 488-1   Legislature, Regular Session, 1995, by adding Subchapter H to read
 488-2   as follows:
 488-3                  SUBCHAPTER H.  SKILL STANDARDS BOARD
 488-4         Sec. 2308.401.  TEXAS SKILL STANDARDS BOARD.  (a)  The Texas
 488-5   Skill Standards Board is an advisory board to the governor and the
 488-6   legislature on the development of a statewide system of
 488-7   industry-defined and industry-recognized skill standards and
 488-8   credentials for all major skilled occupations that:
 488-9               (1)  provide strong employment and earnings
488-10   opportunities in this state; and
488-11               (2)  require less than a baccalaureate degree.
488-12         (b)  The skill standards board is composed of 11 members
488-13   appointed by and serving at the pleasure of the governor.  The
488-14   skill standards board consists of the following members:
488-15               (1)  seven members who represent business, two of whom
488-16   must be from business entities that employ fewer than 50 employees;
488-17               (2)  two members who represent labor;
488-18               (3)  one member who represents secondary education; and
488-19               (4)  one member who represents postsecondary education.
488-20         (c)  The governor shall appoint the presiding officer of the
488-21   skill standards board from the members who represent business.  The
488-22   skill standards board shall meet at the call of the presiding
488-23   officer as often as necessary to accomplish its duties.
488-24         (d)  A member of the skill standards board is not entitled to
 489-1   compensation for service on the board but is entitled to
 489-2   reimbursement for reasonable expenses incurred in performing duties
 489-3   as a member of the board, subject to any applicable limitation in
 489-4   the General Appropriations Act.
 489-5         (e)  Chapter 2110 does not apply to the skill standards
 489-6   board.
 489-7         Sec. 2308.402.  DUTIES OF SKILL STANDARDS BOARD.  (a)  The
 489-8   skill standards board shall:
 489-9               (1)  validate nationally established skill standards to
489-10   guide curriculum development, training, assessment, and
489-11   certification of workforce skills;
489-12               (2)  convene industry groups to develop skill standards
489-13   and certification procedures for industries and occupations in
489-14   which standards have not been established or adopted;
489-15               (3)  review the standards developed by other states and
489-16   foreign countries and enter into agreements for mutual recognition
489-17   of credentials to enhance portability of skills; and
489-18               (4)  promote the use of standards and credentials among
489-19   employers.
489-20         (b)  The board shall:
489-21               (1)  report periodically to the governor; and
489-22               (2)  provide annual reports to the governor, the
489-23   division, and the legislature.
489-24         Sec. 2308.403.  STAFF SUPPORT.  The council shall provide
 490-1   staff support for the Texas Skill Standards Board as necessary.
 490-2         (b)  Section 11.28, Chapter 655, Acts of the 74th
 490-3   Legislature, Regular Session, 1995, is repealed.
 490-4         SECTION 19.20.  (a)  Section 2308.064, Government Code, is
 490-5   repealed to conform to Section 11.21, Chapter 655, Acts of the 74th
 490-6   Legislature, Regular Session, 1995.
 490-7         (b)  The following laws are repealed to conform to Section
 490-8   11.29, Chapter 655, Acts of the 74th Legislature, Regular Session,
 490-9   1995:
490-10               (1)  Section 2308.062, Government Code;
490-11               (2)  Section 2308.063, Government Code;
490-12               (3)  Section 2308.157, Government Code;
490-13               (4)  Section 2308.159, Government Code; and
490-14               (5)  Section 2308.204, Government Code.
490-15         (c)  Sections 11.21 and 11.29, Chapter 655, Acts of the 74th
490-16   Legislature, Regular Session, 1995, are repealed.
490-17         ARTICLE 20.  CHANGES RELATING TO HEALTH AND SAFETY CODE
490-18         SECTION 20.01.  Subchapter H, Chapter 285, Health and Safety
490-19   Code, as added by Chapters 46 and 444, Acts of the 74th
490-20   Legislature, Regular Session, 1995, is amended and reenacted to
490-21   read as follows:
490-22      SUBCHAPTER H.  CONTRACTS, COLLABORATIONS, AND JOINT VENTURES
490-23         Sec. 285.091.  HOSPITAL DISTRICT CONTRACTS, COLLABORATIONS,
490-24   AND JOINT VENTURES.  (a)  A hospital district created under general
 491-1   or special law may contract, collaborate, or enter into a joint
 491-2   venture with any public or private entity as necessary to form or
 491-3   carry out the functions of or provide services to an
 491-4   intergovernmental initiative under Section 16B, Article 4413(502),
 491-5   Revised Statutes.
 491-6         (b)  A hospital district created under general or special law
 491-7   may contract with the Texas Department of Health for the provision
 491-8   of health care services and assistance, including preventive health
 491-9   care services, to eligible residents of the district.
491-10         SECTION 20.02.  Section 361.344(a), Health and Safety Code,
491-11   is amended to omit a reference to a repealed law to read as
491-12   follows:
491-13         (a)  A person subject to a court injunction or an
491-14   administrative order issued under this chapter[, or a third person
491-15   identified by Section 361.192(c)] who acts to eliminate a release
491-16   or threatened release, in addition to having the right to file an
491-17   action for contribution or indemnity, or both, in an appeal
491-18   proceeding or in an action brought by the attorney general, may
491-19   bring suit in a district court to recover costs incurred to
491-20   eliminate the release or threatened release and other costs as the
491-21   court, in its discretion, considers reasonable.
491-22          ARTICLE 21.  CHANGES RELATING TO HUMAN RESOURCES CODE
491-23         SECTION 21.01.  (a)  Subchapter A, Chapter 40, Human
491-24   Resources Code, is amended to conform to Section 20, Chapter 693,
 492-1   Acts of the 74th Legislature, Regular Session, 1995, by adding
 492-2   Section 40.007 to read as follows:
 492-3         Sec. 40.007.  REPORTING REQUIREMENT; PROFESSIONAL FEES.  (a)
 492-4   The department shall include in any report required by law
 492-5   concerning the department's expenditures information relating to
 492-6   fees for professional or consultative services provided for the
 492-7   general administration of the department.
 492-8         (b)  The report required under Subsection (a) may not
 492-9   include:
492-10               (1)  professional fees paid for  routine or special
492-11   examinations to determine an individual's eligibility for a program
492-12   administered by the department;
492-13               (2)  professional fees for treatment, services, or care
492-14   for individual recipients; or
492-15               (3)  fees for providing for the special needs of
492-16   individual recipients, including the provision of appliances.
492-17         (b)  Section 20, Chapter 693, Acts of the 74th Legislature,
492-18   Regular Session, 1995, is repealed.
492-19         SECTION 21.02.  (a)  Subchapter C, Chapter 40, Human
492-20   Resources Code, is amended to conform to Section 1, Chapter 559,
492-21   Acts of the 74th Legislature, Regular Session, 1995, by adding
492-22   Section 40.0521 to read as follows:
492-23         Sec. 40.0521.  RULES REGARDING DOMESTIC VIOLENCE.  (a)  The
492-24   department shall adopt and implement rules that require an
 493-1   investigating employee to document indications of domestic
 493-2   violence, including elder, spousal, and child abuse. The department
 493-3   may develop forms to facilitate the documentation process.
 493-4         (b)  The department by rule shall require that written
 493-5   information, printed in English and Spanish, concerning community
 493-6   services that are available to victims of domestic violence be
 493-7   distributed to those victims.  The department may coordinate its
 493-8   efforts under this subsection with local law enforcement agencies
 493-9   already providing that information.
493-10         (c)  The department shall include in its annual report
493-11   statistical compilations of  information regarding domestic abuse
493-12   documented under Subsection (a).
493-13         (b)  Section 1, Chapter 559, Acts of the 74th Legislature,
493-14   Regular Session, 1995, is repealed.
493-15         SECTION 21.03.  (a)  Subchapter C, Chapter 40, Human
493-16   Resources Code, is amended to conform to Section 98, Chapter 262,
493-17   Acts of the 74th Legislature, Regular Session, 1995, by adding
493-18   Section 40.0561 to read as follows:
493-19         Sec. 40.0561.  COMMUNITY YOUTH DEVELOPMENT GRANTS.
493-20   (a)  Subject to available funding, the department shall award
493-21   community youth development grants to communities identified by
493-22   incidence of crime.  The department shall give priority in awarding
493-23   grants under this section to areas of the state in which there is a
493-24   high incidence of juvenile crime.
 494-1         (b)  The purpose of a grant under this section is to assist a
 494-2   community in alleviating conditions in the family and community
 494-3   that lead to juvenile crime.
 494-4         (b)  Section 98, Chapter 262, Acts of the 74th Legislature,
 494-5   Regular Session, 1995, is repealed.
 494-6         SECTION 21.04.  (a)  Subchapter C, Chapter 40, Human
 494-7   Resources Code, is amended to conform to Section 6.09(a), Chapter
 494-8   655, Acts of the 74th Legislature, Regular Session, 1995, by adding
 494-9   Section 40.0562 to read as follows:
494-10         Sec. 40.0562.  FEDERAL FUNDING FOR CERTAIN CHILDREN.
494-11   (a)  For purposes of Medicaid eligibility only, the department
494-12   shall classify as a "child in substitute care" each child who is in
494-13   the conservatorship of the state and placed in the home of a
494-14   relative.  A child classified as a "child in substitute care" under
494-15   this subsection is not automatically eligible to receive foster
494-16   care payments because of that classification.
494-17         (b)  The department shall ensure that each time study used to
494-18   allocate costs identifies all costs incurred on behalf of a child
494-19   if the child's case plan clearly indicates that substitute care is
494-20   the planned arrangement for that child.
494-21         (c)  The department shall claim federal financial
494-22   participation under Title IV-E, Social Security Act (42 U.S.C.
494-23   Section 670 et seq.), for all nonrecurring adoption expenses at the
494-24   highest rate authorized by federal law.  The department shall
 495-1   include all charges from state attorneys and state courts and any
 495-2   applicable overhead.  The department may claim the expenses as
 495-3   either administrative or training expenses depending on which
 495-4   classification results in a higher federal match.
 495-5         (b)  Section 6.09(a), Chapter 655, Acts of the 74th
 495-6   Legislature, Regular Session, 1995, is repealed.
 495-7         SECTION 21.05.  Section 8.004(a), Chapter 76, Acts of the
 495-8   74th Legislature, Regular Session, 1995, and Section 1.03, Chapter
 495-9   970, Acts of the 74th Legislature, Regular Session, 1995, are
495-10   repealed as duplicative of Section 1, Chapter 920,  Acts of the
495-11   74th Legislature, Regular Session, 1995.
495-12         SECTION 21.06.  The heading of Section 132.003, Human
495-13   Resources Code, is amended to conform to Section 9.09, Chapter 655,
495-14   Acts of the 74th Legislature, Regular Session, 1995, and Section 9,
495-15   Chapter 885, Acts of the 74th Legislature, Regular Session, 1995,
495-16   to read as follows:
495-17         Sec. 132.003.  LOCATION  [CO-LOCATION] OF OFFICES AND
495-18   FACILITIES.
495-19         SECTION 21.07.  (a)  Section 132.003(a), Human Resources
495-20   Code, is amended to conform to Section 9.09, Chapter 655, Acts of
495-21   the 74th Legislature, Regular Session, 1995, and Section 9,
495-22   Chapter 885, Acts of the 74th Legislature, Regular Session, 1995,
495-23   to read as follows:
495-24         (a)  As leases on office space expire, the Health and Human
 496-1   Services Commission shall determine the needs for space and the
 496-2   location of offices of the health and human services agencies to
 496-3   enable the commission to achieve a cost-effective, one-stop or
 496-4   service center method of service delivery.  [On receiving approval
 496-5   from the Health and Human Services Commission the administrative
 496-6   heads of two or more health and human services agencies with
 496-7   offices or facilities located in the same geographic region shall
 496-8   co-locate the offices or facilities if the results of the
 496-9   co-location study conducted by the agencies show that:]
496-10               [(1)  client access would be enhanced;]
496-11               [(2)  the cost of co-location is not greater than the
496-12   combined operating costs of the separate offices or facilities of
496-13   those agencies; and]
496-14               [(3)  the co-location would improve the efficiency of
496-15   the delivery of services.]
496-16         (b)  Section 9.09, Chapter 655, Acts of the 74th Legislature,
496-17   Regular Session, 1995, and Section 9,  Chapter 885, Acts of the
496-18   74th Legislature, Regular Session, 1995, are repealed.
496-19               ARTICLE 22.  CHANGES RELATING TO LABOR CODE
496-20         SECTION 22.01.  Section 217.007, Labor Code, as added by
496-21   Section 2, Chapter 611, Acts of the 74th Legislature, Regular
496-22   Session, 1995, is redesignated as Section 306.007, Labor Code, to
496-23   conform to Section 11.06, Chapter 655, Acts of the 74th
496-24   Legislature, Regular Session, 1995, and amended to correct a
 497-1   citation to read as follows:
 497-2         Sec. 306.007 [217.007].  Provision of Information on State
 497-3   Services for Ex-Offenders and Employers.  (a)  To assist in the
 497-4   reintegration into the labor force of persons formerly sentenced to
 497-5   the institutional division or the state jail division, the
 497-6   commission through Project Rio shall provide:
 497-7               (1)  to those persons:
 497-8                     (A)  information from local workforce development
 497-9   boards on job training and employment referral services;
497-10                     (B)  information from the Texas Commission on
497-11   Alcohol and Drug Abuse on substance abuse treatment services;
497-12                     (C)  information from the Texas Department of
497-13   Housing and Community Affairs on housing services;
497-14                     (D)  information from the Texas Veterans
497-15   Commission on services for veterans; and
497-16                     (E)  information from the Texas Department of
497-17   Human Services on tax refund voucher programs under Subchapter D,
497-18   Chapter 31, Human Resources Code; and
497-19               (2)  to the employers and potential employers of those
497-20   persons:
497-21                     (A)  information from the Texas Department of
497-22   Commerce on the enterprise zone program and smart jobs fund
497-23   program; and
497-24                     (B)  information from local workforce development
 498-1   boards on services listed in Section 2308.304, Government Code
 498-2   [4.05(a), Workforce and Economic Competitiveness Act (Article
 498-3   5190.7a, Vernon's Texas Civil Statutes)].
 498-4         (b)  The commission shall adopt a memorandum of understanding
 498-5   with each of the following agencies that establishes the respective
 498-6   responsibilities of the commission and the agencies in providing
 498-7   information described by Subsection (a) to persons formerly
 498-8   sentenced to the institutional division or the state jail division
 498-9   of the Texas Department of Criminal Justice, to employers or
498-10   potential employers of those persons, and to local workforce
498-11   development boards:
498-12               (1)  the Texas Commission on Alcohol and Drug Abuse;
498-13               (2)  the Texas Department of Housing and Community
498-14   Affairs;
498-15               (3)  the Texas Veterans Commission;
498-16               (4)  the Texas Department of Human Services;
498-17               (5)  the Texas Department of Commerce; and
498-18               (6)  the Council on Workforce and Economic
498-19   Competitiveness.
498-20         (c)  The commission shall coordinate the development of the
498-21   memoranda of understanding and shall prepare an annual report
498-22   describing the number of ex-offenders in the preceding year
498-23   receiving services under each memorandum.  The commission shall
498-24   file a copy of the annual report with the governor's office.
 499-1         SECTION 22.02.  Section 302.042, Labor Code, is amended to
 499-2   correct a citation to read as follows:
 499-3         Sec. 302.042.  Review of Local Plans; Recommendations.  The
 499-4   commission shall review the local [workforce training and services]
 499-5   plans developed under Section 2308.304, Government Code [4.05,
 499-6   Workforce and Economic Competitiveness Act (Article 5190.7a,
 499-7   Vernon's Texas Civil Statutes)], and shall make recommendations to
 499-8   the council regarding the implementation of those plans.
 499-9         SECTION 22.03.  Section 306.005, Labor Code, is amended to
499-10   conform to Section 92, Chapter 262, Acts of the 74th Legislature,
499-11   Regular Session, 1995, and Section 3.018, Chapter 321, Acts of the
499-12   74th Legislature, Regular Session, 1995, to read as follows:
499-13         Sec. 306.005.  Memorandum of Understanding--Contents.  (a)
499-14   The memorandum of understanding between the department and the
499-15   commission must establish the role of:
499-16               (1)  the institutional division and the state jail
499-17   division in ascertaining and encouraging an inmate's chances for
499-18   employment by:
499-19                     (A)  providing vocational and educational
499-20   assessment for the person while incarcerated;
499-21                     (B)  developing a skills enhancement program for
499-22   the person while incarcerated, in cooperation with other
499-23   governmental, educational, and private entities, using available
499-24   public or private financial resources authorized by statute; and
 500-1                     (C)  referring the person on release to the
 500-2   project through the person's parole officer or supervision officer;
 500-3               (2)  the community justice assistance division and the
 500-4   pardons and paroles division of the department in:
 500-5                     (A)  encouraging and referring persons to the
 500-6   project; and
 500-7                     (B)  ensuring that those persons participate in
 500-8   the project and avail themselves of its services; and
 500-9               (3)  the commission in developing and maintaining a
500-10   statewide network for finding positions of employment that require
500-11   the skills possessed by project participants and in helping those
500-12   participants to secure employment.
500-13         (b) [(c)]  The memorandum of understanding between the Texas
500-14   Youth Commission and the commission must establish the roles of the
500-15   institutional and community services division in the Texas Youth
500-16   Commission and the role of the commission in the same manner the
500-17   roles of the department and commission are established under
500-18   Subsection [Subsections] (a) [and (b)].
500-19         SECTION 22.04.  Article 8308, Revised Statutes, is repealed
500-20   because of the liquidation of the Texas Employers' Insurance
500-21   Association.
500-22         ARTICLE 23.  CHANGES RELATING TO LOCAL GOVERNMENT CODE
500-23         SECTION 23.01.  Section 43.0565(b), Local Government Code, is
500-24   amended to correct a reference to read as follows:
 501-1         (b)  A municipality with a population of more than 1.5
 501-2   million that includes within its boundaries annexed areas without
 501-3   water service, sewer service, or both:
 501-4               (1)  shall develop a service plan that:
 501-5                     (A)  must identify developed tracts in annexed
 501-6   areas of the municipality that do not have water service, sewer
 501-7   service, or both and must provide a procedure for providing water
 501-8   service, sewer service, or both to those developed tracts;
 501-9                     (B)  must establish a timetable for providing
501-10   service based on a priority system that considers potential health
501-11   hazards, population density, the number of existing buildings, the
501-12   reasonable cost of providing service, and the desires of the
501-13   residents;
501-14                     (C)  must include a capital improvements plan
501-15   committing the necessary financing;
501-16                     (D)  may relieve the municipality from an
501-17   obligation to provide water service, sewer service, or both in an
501-18   area described in the service plan if a majority of the households
501-19   in the area sign a petition stating they do not want to receive the
501-20   services; and
501-21                     (E)  may require property owners to connect to
501-22   service lines constructed to serve their area;
501-23               (2)  shall provide water service, sewer service, or
501-24   both to at least 75 percent of the residential buildings in annexed
 502-1   areas of the municipality that did not have water service, sewer
 502-2   service, or both on September 1, 1991;
 502-3               (3)  shall provide water service to each area annexed
 502-4   before January 1, 1993, if the area or subdivision as described in
 502-5   the service plan contains at least 25 residences without water
 502-6   service, unless a majority of the households in the area state in a
 502-7   petition that they do not want municipal water service; and
 502-8               (4)  is subject to the penalty prescribed by Section
 502-9   5.235(n)(6) [5.235(n)(7)(C)], Water Code, for the failure to
502-10   provide services.
502-11         SECTION 23.02.  (a)  Chapter 212, Local Government Code, is
502-12   amended to codify Article 1010a, Revised Statutes, by adding
502-13   Subchapter D to read as follows:
502-14            SUBCHAPTER D.  REGULATION OF PROPERTY DEVELOPMENT
502-15                   PROHIBITED IN CERTAIN CIRCUMSTANCES
502-16         Sec. 212.101.  APPLICATION OF SUBCHAPTER TO CERTAIN HOME-RULE
502-17   MUNICIPALITY.  This subchapter applies only to a home-rule
502-18   municipality that:
502-19               (1)  has a charter provision allowing for
502-20   limited-purpose annexation; and
502-21               (2)  has annexed territory for a limited purpose.
502-22         Sec. 212.102.  DEFINITIONS.  In this subchapter:
502-23               (1)  "Affected area" means an area that is:
502-24                     (A)  in a municipality or a municipality's
 503-1   extraterritorial jurisdiction;
 503-2                     (B)  in a county other than the county in which a
 503-3   majority of the territory of the municipality is located;
 503-4                     (C)  within the boundaries of one or more school
 503-5   districts other than the school district in which a majority of the
 503-6   territory of the municipality is located; and
 503-7                     (D)  within the area of or within 1,500 feet of
 503-8   the boundary of an assessment road district in which there are two
 503-9   state highways.
503-10               (2)  "Assessment road district" means a road district
503-11   that has issued refunding bonds and that has imposed assessments on
503-12   each parcel of land under Section 2.018, Article 726, Revised
503-13   Statutes.
503-14               (3)  "State highway" means a highway that is part of
503-15   the state highway system under Section 221.001, Transportation
503-16   Code.
503-17         Sec. 212.103.  TRAFFIC OR TRAFFIC OPERATIONS.  (a)  A
503-18   municipality may not deny, limit, delay, or condition the use or
503-19   development of land, any part of which is within an affected area,
503-20   because of:
503-21               (1)  traffic or traffic operations that would result
503-22   from the proposed use or development of the land; or
503-23               (2)  the effect that the proposed use or development of
503-24   the land would have on traffic or traffic operations.
 504-1         (b)  In this section, an action to deny, limit, delay, or
 504-2   condition the use or development of land includes a decision or
 504-3   other action by the governing body of the municipality or by a
 504-4   commission, board, department, agency, office, or employee of the
 504-5   municipality related to zoning, subdivision, site planning, the
 504-6   construction or building permit process, or any other municipal
 504-7   process, approval, or permit.
 504-8         (c)  This subchapter does not prevent a municipality from
 504-9   exercising its authority to require the dedication of right-of-way.
504-10         Sec. 212.104.  PROVISION NOT ENFORCEABLE.  A provision in a
504-11   covenant or agreement relating to land in an affected area that
504-12   would have the effect of denying, limiting, delaying, or
504-13   conditioning the use or development of the land because of its
504-14   effect on traffic or traffic operations may not be enforced by a
504-15   municipality.
504-16         Sec. 212.105.  SUBCHAPTER CONTROLS.  This subchapter controls
504-17   over any other law relating to municipal regulation of land use or
504-18   development based on traffic.
504-19         (b)  Article 1010a, Revised Statutes, is repealed.
504-20         SECTION 23.03.  (a)  Subtitle C, Title 11, Local Government
504-21   Code, is amended to codify the Crime Control and Prevention
504-22   District Act (Article 2370c-4, Vernon's Texas Civil Statutes) by
504-23   adding Chapter 363 to read as follows:
504-24          CHAPTER 363.  CRIME CONTROL AND PREVENTION DISTRICTS
 505-1                    SUBCHAPTER A.  GENERAL PROVISIONS
 505-2         Sec. 363.001.  SHORT TITLE.  This chapter may be cited as the
 505-3   Crime Control and Prevention District Act.
 505-4         Sec. 363.002.  DEFINITIONS.  In this chapter:
 505-5               (1)  "Board" means the board of directors of a
 505-6   district.
 505-7               (2)  "Director" means a member of a board.
 505-8               (3)  "District" means a crime control and prevention
 505-9   district created under this chapter.
505-10         Sec. 363.003.  LIABILITY OF STATE.  The state is not
505-11   obligated for the support, maintenance, or dissolution of a crime
505-12   control district created under this chapter.
505-13            (Sections 363.004-363.050 reserved for expansion
505-14         SUBCHAPTER B.  CREATION OF DISTRICT AND TEMPORARY BOARD
505-15         Sec. 363.051.  POLITICAL SUBDIVISIONS AUTHORIZED TO CREATE
505-16   DISTRICT.  (a)  The creation of a crime control and prevention
505-17   district may be proposed under this chapter by a majority vote of
505-18   the governing body of a:
505-19               (1)  county with a population of more than 130,000; or
505-20               (2)  municipality that is partially or wholly located
505-21   in a county with a population of more than one million.
505-22         (b)  The governing body may create a district composed of all
505-23   or part of the political subdivision governed by that body.  A
505-24   district created by a county may not contain area in more than one
 506-1   county.
 506-2         Sec. 363.052.  TEMPORARY BOARD.  (a)  Not later than the 60th
 506-3   day after the date a district is proposed to be created by a
 506-4   governing body, the governing body shall appoint seven persons that
 506-5   reside in the proposed district to serve as temporary directors of
 506-6   the district.
 506-7         (b)  Not later than the 75th day after the date the district
 506-8   is proposed, the temporary board shall organize.  The directors of
 506-9   the temporary board shall elect one of the directors as presiding
506-10   officer of the board not later than the 15th day after the date of
506-11   the appointments under Subsection (a).
506-12         (c)  A temporary director who is not serving as presiding
506-13   officer may designate another person to serve in the director's
506-14   place.
506-15         (d)  The governing body shall fill a vacancy in the office of
506-16   a temporary director in the same manner that it originally filled
506-17   the vacant position.
506-18         Sec. 363.053.  ELECTION REQUIRED.  A district proposed by the
506-19   governing body may be created and a tax may be authorized only if
506-20   the creation and the tax are approved by a majority of the
506-21   qualified voters of the proposed district voting at an election
506-22   called and held for that purpose.
506-23         Sec. 363.054.  ELECTION ORDER.  (a)  After a majority of the
506-24   temporary directors of a proposed district have approved a budget
 507-1   plan and a crime control plan in accordance with Section 363.061, a
 507-2   majority of the temporary directors may order that a creation
 507-3   election be held.
 507-4         (b)  An order calling an election under Subsection (a) must
 507-5   state:
 507-6               (1)  the nature of the election, including the
 507-7   proposition that is to appear on the ballot;
 507-8               (2)  the date of the election;
 507-9               (3)  the hours during which the polls will be open;
507-10               (4)  the location of the polling places;
507-11               (5)  in summary form, the approved budget plan and
507-12   crime control plan of the proposed district; and
507-13               (6)  the proposed rate of the sales and use tax for the
507-14   district.
507-15         Sec. 363.055.  SALES TAX:  RATE; LIMITATION; MUNICIPAL
507-16   AUTHORITY.  (a)  The proposed rate for the district sales and use
507-17   tax imposed under Subchapter B, Chapter 323, Tax Code, may be only:
507-18               (1)  one-fourth of one percent; or
507-19               (2)  one-half of one percent.
507-20         (b)  A sales and use tax approved under this chapter may be
507-21   charged in addition to any other sales and use tax authorized by
507-22   law and is included in computing a combined sales and use tax rate
507-23   for purposes of any limitation provided by law on the maximum
507-24   combined sales and use tax rate of political subdivisions.
 508-1         (c)  A municipality that creates a district shall adopt a
 508-2   sales and use tax under Section 323.105, Tax Code, for financing
 508-3   the operation of the district in the same manner as a county under
 508-4   that section.
 508-5         Sec. 363.056.  NOTICE OF ELECTION.  In addition to the notice
 508-6   required by Section 4.003(c), Election Code, the temporary
 508-7   directors of a proposed district shall give notice of an election
 508-8   to create a district by publishing a substantial copy of the
 508-9   election order in a newspaper with general circulation in the
508-10   proposed district once a week for two consecutive weeks.  The first
508-11   publication must appear before the 35th day before the date set for
508-12   the election.
508-13         Sec. 363.057.  ELECTION DATE.  (a)  The election shall be
508-14   held after the 34th day and before the 61st day after the date on
508-15   which the election is ordered.
508-16         (b)  The requirement that an election be held on a uniform
508-17   election date as prescribed by Section 41.001(a), Election Code,
508-18   does not apply to an election creating a district under this
508-19   chapter.
508-20         Sec. 363.058.  BALLOT PROPOSITION.  The ballot for an
508-21   election to create a district shall be printed to permit voting for
508-22   or against the proposition:  "The creation of the ________ (name of
508-23   the political subdivision proposing to create the district) Crime
508-24   Control and Prevention District dedicated to crime reduction
 509-1   programs and the adoption of a proposed local sales and use tax at
 509-2   a rate of ______ (rate specified in the election order)."
 509-3         Sec. 363.059.  CANVASSING RETURNS.  (a)  Not earlier than the
 509-4   second day or later than the 13th day after the date of the
 509-5   election, the temporary board of a proposed district shall meet and
 509-6   canvass the returns of the election.
 509-7         (b)  If a majority of the votes cast favor the creation of
 509-8   the district, the temporary board shall issue an order declaring
 509-9   the district created.
509-10         (c)  If less than a majority of the votes cast favor the
509-11   creation of the district, the temporary board may order another
509-12   election on the matter not earlier than the first anniversary of
509-13   the date of the preceding election.
509-14         Sec. 363.060.  DISSOLUTION OF TEMPORARY BOARD.  If a district
509-15   has not been created under this chapter before the fifth
509-16   anniversary of the date a district is proposed by the governing
509-17   body, the temporary board is dissolved on that date and a district
509-18   may not be created under this chapter.
509-19         Sec. 363.061.  CRIME CONTROL PLAN AND BUDGET PLAN.  (a)  The
509-20   temporary board of a proposed district shall formulate and approve
509-21   a two-year crime control plan and a two-year budget plan.  The
509-22   crime control plan must include:
509-23               (1)  a detailed list of the crime control and crime
509-24   prevention strategies to be supported by the district; and
 510-1               (2)  the method of annually evaluating the
 510-2   effectiveness and efficiency of individual crime control and crime
 510-3   prevention strategies.
 510-4         (b)  The budget plan must include:
 510-5               (1)  the amount of money budgeted by the district for
 510-6   each crime control and crime prevention strategy;
 510-7               (2)  the amount of money budgeted by the district and
 510-8   the percentage of the total budget of the district for
 510-9   administration, with individual amounts showing the cost of the
510-10   administration that would be conducted by the district and the cost
510-11   of administration that would be conducted by private or public
510-12   entities;
510-13               (3)  the estimated amount of money available to the
510-14   district from all sources during the ensuing year;
510-15               (4)  the amount of balances expected at the end of the
510-16   years for which the budget is prepared; and
510-17               (5)  the estimated tax rate that will be required.
510-18         (c)  The crime control plan and budget plan must be adopted
510-19   in the same manner as provided for adoption of a proposed annual
510-20   budget under Section 363.204.
510-21         (d)  The temporary board shall coordinate its efforts with
510-22   local law enforcement officials, the local community supervision
510-23   and corrections department, and the local juvenile probation
510-24   department in developing its crime control plan and budget plan.
 511-1         Sec. 363.062.  FINANCING CREATION OF DISTRICT.  (a)  Except
 511-2   as provided by Subsections (b) and (c), the costs of creating a
 511-3   district by a county to be composed of the whole county shall be
 511-4   allocated as follows:
 511-5               (1)  the county shall pay 40 percent;
 511-6               (2)  the municipality having the largest population in
 511-7   the county shall pay 40 percent; and
 511-8               (3)  the municipality having the second largest
 511-9   population in the county shall pay 20 percent.
511-10         (b)  The county and the two municipalities may contract for a
511-11   division of the costs of creating a district that is different from
511-12   the division of costs described by Subsection (a).
511-13         (c)  If a district is proposed for only a part of the county,
511-14   the county shall pay the entire cost of creating the district.
511-15         (d)  A municipality creating a district shall pay the entire
511-16   cost of creating the district.
511-17         (e)  If a district is created, the district shall reimburse
511-18   each political subdivision that paid creation costs for the actual
511-19   expenses the subdivision incurred in the creation of the district.
511-20         Sec. 363.063.  DONATIONS, GIFTS, AND ENDOWMENTS.  On behalf
511-21   of a district, the temporary board may accept donations, gifts, and
511-22   endowments to be held in trust for any purpose and under any
511-23   direction, limitation, or provision prescribed in writing by the
511-24   donor that is consistent with this chapter and the proper
 512-1   management of the district.
 512-2            (Sections 363.064-363.100 reserved for expansion
 512-3                 SUBCHAPTER C.  DISTRICT ADMINISTRATION
 512-4         Sec. 363.101.  BOARD OF DIRECTORS.  (a)  A district is
 512-5   governed by a board of seven directors appointed in the same manner
 512-6   as provided for the selection of temporary directors under Section
 512-7   363.052(a).
 512-8         (b)  Board members serve staggered two-year terms that expire
 512-9   September 1, except that the initial appointees under this section
512-10   shall draw lots to determine:
512-11               (1)  the three directors to serve terms that expire on
512-12   September 1 of the first year following creation of the district;
512-13   and
512-14               (2)  the four directors to serve terms that expire on
512-15   September 1 of the second year following creation of the district.
512-16         (c)  A director, other than the president or vice president,
512-17   may designate a person to serve in the director's absence.
512-18         (d)  A vacancy in the office of director shall be filled for
512-19   the unexpired term in the same manner that the vacant position was
512-20   originally filled.
512-21         (e)  A member of the board is not liable for civil damages or
512-22   criminal prosecution for any act performed in good faith in the
512-23   execution of duties as a board member or for an action taken by the
512-24   board.
 513-1         Sec. 363.102.  FILING OF OFFICER'S BOND.  (a)  Before
 513-2   assuming the duties of the office, each director or officer,
 513-3   including a person designated under Section 363.101(c), must
 513-4   execute a bond for $5,000 payable to the district, conditioned on
 513-5   the faithful performance of the person's duties as director or
 513-6   officer.
 513-7         (b)  The bond shall be kept in the permanent records of the
 513-8   district.
 513-9         (c)  The board may pay for the bonds of the directors or
513-10   officers with district funds.
513-11         (d)  The board and the district may issue or sell bonds
513-12   conditioned on the faithful performance of a person's duties as a
513-13   director as provided by this section.
513-14         Sec. 363.103.  OFFICERS.  (a)  The board shall elect from
513-15   among its members a president and vice president.  The board shall
513-16   appoint a secretary.  The secretary need not be a director.  The
513-17   person who performs the duties of auditor for the political
513-18   subdivision shall serve as treasurer for the district.
513-19         (b)  Each officer of the board serves for a term of one year.
513-20         (c)  A vacancy in a board office shall be filled for the
513-21   unexpired term by the board.
513-22         Sec. 363.104.  COMPENSATION.  A director or officer serves
513-23   without compensation, but a director or officer may be reimbursed
513-24   for actual expenses incurred in the performance of official duties.
 514-1   Those expenses must be reported in the district's minute book or
 514-2   other district record and must be approved by the board.
 514-3         Sec. 363.105.  VOTING REQUIREMENT.  A concurrence of a
 514-4   majority of the members of the board is necessary in matters
 514-5   relating to the business of a district.  A two-thirds majority vote
 514-6   of the board is required to reject any application for funding
 514-7   available under this chapter.
 514-8         Sec. 363.106.  CONTRACT FOR ADMINISTRATIVE ASSISTANCE.  The
 514-9   board may contract with a public agency or private vendor to assist
514-10   in the administration or management of the district or to assist in
514-11   the review of applications for funding available under this
514-12   chapter.
514-13            (Sections 363.107-363.150 reserved for expansion
514-14                    SUBCHAPTER D.  POWERS AND DUTIES
514-15         Sec. 363.151.  DISTRICT RESPONSIBILITIES; LIMITATIONS ON
514-16   EXPENDITURES.  (a)  The district may finance all the costs of a
514-17   crime control and crime prevention program, including the costs for
514-18   personnel, administration, expansion, enhancement, and capital
514-19   expenditures.
514-20         (b)  The program may include police and law enforcement
514-21   related programs, including:
514-22               (1)  a multijurisdiction crime analysis center;
514-23               (2)  mobilized crime analysis units;
514-24               (3)  countywide crime stoppers telephone lines;
 515-1               (4)  united property-marking programs;
 515-2               (5)  home security inspection programs;
 515-3               (6)  an automated fingerprint analysis center;
 515-4               (7)  an enhanced radio dispatch center;
 515-5               (8)  a computerized criminal history system;
 515-6               (9)  enhanced information systems programs;
 515-7               (10)  a drug and chemical disposal center;
 515-8               (11)  a county crime lab or medical examiner's lab; and
 515-9               (12)  a regional law enforcement training center.
515-10         (c)  The program may include community-related crime
515-11   prevention strategies, including:
515-12               (1)  block watch programs;
515-13               (2)  a community crime resistance program;
515-14               (3)  school-police programs;
515-15               (4)  senior citizen community safety programs;
515-16               (5)  senior citizen anticrime networks;
515-17               (6)  citizen crime-reporting projects;
515-18               (7)  home alert programs;
515-19               (8)  a police-community cooperation program;
515-20               (9)  a radio alert program; and
515-21               (10)  ride along programs.
515-22         (d)  The program may include specific treatment and
515-23   prevention programs, including:
515-24               (1)  positive peer group interaction programs;
 516-1               (2)  drug and alcohol awareness programs;
 516-2               (3)  countywide family violence centers;
 516-3               (4)  work incentive programs;
 516-4               (5)  social learning centers;
 516-5               (6)  transitional aid centers and preparole centers;
 516-6               (7)  guided group interaction programs;
 516-7               (8)  social development centers;
 516-8               (9)  street gang intervention centers;
 516-9               (10)  predelinquency intervention centers;
516-10               (11)  school relations bureaus;
516-11               (12)  integrated community education systems;
516-12               (13)  steered straight programs;
516-13               (14)  probation subsidy programs;
516-14               (15)  Juvenile Offenders Learn Truth (JOLT) programs;
516-15               (16)  reformatory visitation programs;
516-16               (17)  juvenile awareness programs;
516-17               (18)  shock incarceration;
516-18               (19)  shock probation;
516-19               (20)  community restitution programs;
516-20               (21)  team probation;
516-21               (22)  electronic monitoring programs;
516-22               (23)  community improvement programs;
516-23               (24)  at-home arrest;
516-24               (25)  victim restitution programs;
 517-1               (26)  additional probation officers; and
 517-2               (27)  additional parole officers.
 517-3         (e)  The program may include court and prosecution services,
 517-4   including:
 517-5               (1)  court watch programs;
 517-6               (2)  community arbitration and mediation centers;
 517-7               (3)  night prosecutors programs;
 517-8               (4)  automated legal research systems;
 517-9               (5)  an automated court management system;
517-10               (6)  a criminal court administrator;
517-11               (7)  an automated court reporting system;
517-12               (8)  additional district courts that are required by
517-13   law to give preference to criminal cases, judges, and staff; and
517-14               (9)  additional prosecutors and staff.
517-15         (f)  The program may include additional jails, jailers,
517-16   guards, and other necessary staff.
517-17         Sec. 363.152.  COORDINATION; EVALUATION; GRANTS.  (a)  The
517-18   district shall coordinate its efforts with the local community
517-19   justice council in developing its crime control and crime
517-20   prevention program.
517-21         (b)  The district shall fund an annual evaluation program to
517-22   study the impact, efficiency, and effectiveness of new or expanded
517-23   crime control and crime prevention programs.
517-24         (c)  The board may seek the assistance of the Office of
 518-1   State-Federal Relations in identifying and applying for federal
 518-2   grants for criminal justice programs.  The board shall notify the
 518-3   appropriate council of government of any intent to submit
 518-4   applications for federal funds and for inclusion in the regional
 518-5   criminal justice planning process.
 518-6         (d)  The district may apply for and receive grants for
 518-7   criminal and juvenile justice programs from the criminal justice
 518-8   division in the governor's office.
 518-9         Sec. 363.153.  GENERAL BOARD POWER OVER FUNDS.  The board
518-10   shall manage, control, and administer the district funds except as
518-11   provided by Section 363.205.
518-12         Sec. 363.154.  USE OF REVENUE.  (a)  In a district created by
518-13   a county, the board, from the sales and use tax revenue distributed
518-14   to the district under Section 323.105, Tax Code, must budget, to
518-15   the extent practicable:
518-16               (1)  not less than 49.75 percent of the revenue to
518-17   finance programs for which applications are submitted under Section
518-18   363.209(a);
518-19               (2)  not less than 24.87 percent of the revenue to
518-20   finance programs for which applications are submitted under Section
518-21   363.209(b); and
518-22               (3)  not less than 24.87 percent of the revenue to be
518-23   distributed under Subsection (b) or (d).
518-24         (b)  In a district containing more than one municipality, the
 519-1   funds under Subsection (a)(3) shall be apportioned to the
 519-2   municipalities of the district based on a formula that averages the
 519-3   proportionate percentage of:
 519-4               (1)  the population of a municipality to the total
 519-5   population of the district;
 519-6               (2)  the index crime reported in each municipality in
 519-7   the district to the total index crime reported in the district; and
 519-8               (3)  the sales tax generated by each municipality to
 519-9   the total sales tax generated in the district based on the amount
519-10   collected during the preceding year.
519-11         (c)  The regional council of governments of a county shall
519-12   compute the formula described by Subsection (b).  The regional
519-13   council of governments shall provide the population estimates and
519-14   the index crime statistics that are required to compute the
519-15   formula.  The regional council of governments shall provide the
519-16   district with a statement of the amounts that the district must
519-17   make available to each municipality in a district before the board
519-18   adopts the budget and at that time also shall provide the district
519-19   with a detailed summary of the computation.
519-20         (d)  In a district containing only one municipality, the
519-21   funds under Subsection (a)(3) shall be apportioned to the
519-22   municipality.
519-23         (e)  In a district created by a municipality, the board may
519-24   spend the revenue derived from the sales and use tax distributed
 520-1   under Section 323.105, Tax Code, only for a purpose authorized by
 520-2   Section 363.151.
 520-3         (f)  The budget distribution described by Subsection (a) or
 520-4   (e) shall be computed after a county or municipality has been
 520-5   properly reimbursed for expenses described by Section 363.062.
 520-6         Sec. 363.155.  RULES AND PROCEDURES.  (a)  A board may adopt
 520-7   rules governing district-funded programs and the functions of
 520-8   district staff.
 520-9         (b)  The board may prescribe accounting and control
520-10   procedures for the district.
520-11         (c)  The board is subject to the administrative procedure
520-12   law, Chapter 2001, Government Code.
520-13         Sec. 363.156.  PURCHASING.  (a)  Except as provided by
520-14   Subsection (b), the board may prescribe the method of making
520-15   purchases and expenditures by and for the district.
520-16         (b)  To the extent competitive bidding procedures in Title 8
520-17   apply, the board may not enter purchasing contracts that involve
520-18   spending more than $15,000 unless the board complies with:
520-19               (1)  Subchapter C, Chapter 262, if the district was
520-20   created by a county; or
520-21               (2)  Chapter 252, if the district was created by a
520-22   municipality.
520-23         (c)  If the political subdivision that created the district
520-24   has a purchasing agent authorized by law, that agent shall serve as
 521-1   purchasing agent for the district.
 521-2         Sec. 363.157.  PROPERTY TO BE USED IN ADMINISTRATION.  The
 521-3   board may lease or acquire in another manner facilities, equipment,
 521-4   or other property for the sole purpose of administering the
 521-5   district.
 521-6         Sec. 363.158.  REIMBURSEMENT FOR SERVICES.  (a)  A county or
 521-7   municipality located entirely outside the boundaries of the
 521-8   district shall, on request, reimburse a district for the district's
 521-9   cost of including in a district program a resident of that county
521-10   or municipality.
521-11         (b)  The board may require reimbursement from the state for
521-12   the district's cost of including in a district program or facility
521-13   a person who is a resident of the state but is not a resident of
521-14   the district.
521-15         (c)  On behalf of the district, the board may contract with a
521-16   municipal or county government or with the state or federal
521-17   government for the municipal, county, state, or federal government
521-18   to reimburse the district for including a person in a district
521-19   program.
521-20         Sec. 363.159.  SERVICE CONTRACTS.  When acting on behalf of
521-21   the district, the board may contract with the following entities to
521-22   furnish the staff, facilities, equipment, programs, and services
521-23   the board considers necessary for the effective operation of the
521-24   district:
 522-1               (1)  a municipality, county, special district, or other
 522-2   political subdivision of the state;
 522-3               (2)  a state or federal agency;
 522-4               (3)  an individual; or
 522-5               (4)  an entity in the private sector.
 522-6         Sec. 363.160.  DONATIONS, GIFTS, AND ENDOWMENTS.  On behalf
 522-7   of the district, the board may accept donations, gifts, and
 522-8   endowments to be held in trust for any purpose and under any
 522-9   direction, limitation, or other provision prescribed in writing by
522-10   the donor that is consistent with this chapter and the proper
522-11   management of the district.
522-12         Sec. 363.161.  AUTHORITY TO SUE AND BE SUED.  The board may
522-13   sue and be sued in the name of the district.
522-14            (Sections 363.162-363.200 reserved for expansion
522-15                    SUBCHAPTER E.  DISTRICT FINANCES
522-16         Sec. 363.201.  FISCAL YEAR.  (a)  The board shall establish
522-17   the fiscal year for the district, and the district shall operate on
522-18   the basis of that year.
522-19         (b)  The fiscal year may not be changed more than once in a
522-20   24-month period.
522-21         Sec. 363.202.  AUDITS AND DISTRICT RECORDS.  (a)  The board
522-22   shall have an annual audit made of the financial condition of the
522-23   district by an independent auditor.
522-24         (b)  The annual audit and other district records shall be
 523-1   open to inspection during regular business hours at the principal
 523-2   office of the district.
 523-3         Sec. 363.203.  ANNUAL BUDGET PROPOSAL.  (a)  The board shall
 523-4   propose an annual budget based on the apportionment described by
 523-5   Section 363.154.  The board shall consider the applications for
 523-6   program funding in preparing the proposed budget.
 523-7         (b)  The proposed budget must contain a complete financial
 523-8   statement, including a statement of:
 523-9               (1)  the outstanding obligations of the district;
523-10               (2)  the amount of cash on hand to the credit of each
523-11   fund of the district;
523-12               (3)  the amount of money received by the district from
523-13   all sources during the previous year;
523-14               (4)  the estimated amount of money available to the
523-15   district from all sources during the current fiscal year;
523-16               (5)  the amount of money needed to fund programs
523-17   approved for funding by the board;
523-18               (6)  the amount of money requested for programs that
523-19   were not approved for funding by the board;
523-20               (7)  the tax rate for the next fiscal year;
523-21               (8)  the amount of the balances expected at the end of
523-22   the year in which the budget is being prepared; and
523-23               (9)  the estimated amount of revenues and balances
523-24   available to cover the proposed budget.
 524-1         Sec. 363.204.  ADOPTION OF BUDGET BY BOARD.  (a)  Not later
 524-2   than the 100th day before the date each fiscal year begins, the
 524-3   board shall hold a public hearing on the proposed annual budget.
 524-4         (b)  The board shall publish notice of the hearing in a
 524-5   newspaper with general circulation in the district not later than
 524-6   the 10th day before the date of the hearing.
 524-7         (c)  Any resident of the district is entitled to be present
 524-8   and participate at the hearing.
 524-9         (d)  Not later than the 80th day before the date each fiscal
524-10   year begins, the board shall adopt a budget.  The board may make
524-11   any changes in the proposed budget that in its judgment the
524-12   interests of the taxpayers demand.
524-13         (e)  Not later than the 10th day after the date the budget is
524-14   adopted, the board shall submit the budget to the governing body of
524-15   the political subdivision that created the district.
524-16         (f)  The board by rule may adopt procedures for adopting a
524-17   budget different from the procedures outlined in this subchapter,
524-18   but the board must hold public hearings relating to the budget.
524-19         Sec. 363.205.  APPROVAL OF BUDGET BY GOVERNING BODY OF
524-20   CREATING POLITICAL SUBDIVISION.  (a)  Not later than the 45th day
524-21   before the date each fiscal year begins, the governing body of the
524-22   political subdivision that created the district shall hold a public
524-23   hearing on the budget adopted by the board and submitted to the
524-24   governing body.
 525-1         (b)  The governing body must publish notice of the hearing in
 525-2   a newspaper with general circulation in the district not later than
 525-3   the 10th day before the date of the hearing.
 525-4         (c)  Any resident of the district is entitled to be present
 525-5   and to participate at the hearing.
 525-6         (d)  Not later than the 30th day before the date the fiscal
 525-7   year begins, the governing body shall approve or reject the budget
 525-8   submitted by the board.  The governing body may not amend the
 525-9   budget.
525-10         (e)  If the governing body rejects the budget submitted by
525-11   the board, the governing body and the board shall meet and together
525-12   amend and approve the budget before the beginning of the fiscal
525-13   year.
525-14         (f)  The budget may be amended after the beginning of the
525-15   fiscal year on approval by the board and the governing body.
525-16         Sec. 363.206.  LIMITATIONS ON EXPENDITURES AND INVESTMENTS.
525-17   (a)  Money may be spent only for an expense included in the annual
525-18   budget or an amendment to it.
525-19         (b)  A district may not incur a debt payable from revenues of
525-20   the district other than the revenues on hand or to be on hand in
525-21   the current or immediately following fiscal year of the district.
525-22         (c)  The board may not invest district funds in funds or
525-23   securities other than those specified by Article 836 or 837,
525-24   Revised Statutes, or by Chapter 2256, Government Code.
 526-1         Sec. 363.207.  ACCOUNT OF DISBURSEMENTS OF DISTRICT.  Not
 526-2   later than the 60th day after the last day of each fiscal year, an
 526-3   administrator shall prepare for the board a sworn statement of the
 526-4   amount of money that belongs to the district and an account of the
 526-5   disbursements of that money.
 526-6         Sec. 363.208.  DEPOSIT OF FUNDS.  (a)  The board shall
 526-7   deposit district funds in a special account in the treasury of the
 526-8   political subdivision that created the district.
 526-9         (b)  District funds, other than those invested as provided by
526-10   Section 363.206(c), shall be deposited as received in the treasury
526-11   of the political subdivision and must remain on deposit.
526-12         (c)  The board shall reimburse the political subdivision for
526-13   any costs, other than personnel costs, the political subdivision
526-14   incurs for performing the duties under this section.
526-15         Sec. 363.209.  APPLICATIONS FOR PROGRAM FUNDING.  (a)  An
526-16   officer of the political subdivision that created the district or
526-17   the head of a department of that political subdivision may, with
526-18   the consent of the political subdivision, apply to the board for
526-19   funding of a program as described by Section 363.151.
526-20         (b)  If the district was created by a county, the chief
526-21   administrative officer of a municipality that is completely or
526-22   partly located within the district may, with the consent of the
526-23   governing body of the municipality, apply to the board for funding
526-24   of a program as described by Section 363.151.
 527-1         (c)  An application under this section must be submitted not
 527-2   later than the 140th day before the date the fiscal year begins,
 527-3   unless an exception has been adopted by rule.
 527-4         (d)  The board by rule may adopt application procedures.
 527-5         Sec. 363.210.  BONDS PROHIBITED.  The board may not issue or
 527-6   sell general obligation bonds, revenue bonds, or refunding bonds.
 527-7            (Sections 363.211-363.250 reserved for expansion
 527-8        SUBCHAPTER F.  REFERENDUM ON CONTINUATION OR DISSOLUTION
 527-9                               OF DISTRICT
527-10         Sec. 363.251.  REFERENDUM AUTHORIZED.  (a)  The board may
527-11   hold a referendum on the question of whether to:
527-12               (1)  continue the district; or
527-13               (2)  dissolve the district.
527-14         (b)  A board may order a referendum authorized by this
527-15   subchapter on its own motion by a majority vote of its members.
527-16         (c)  The board shall order a referendum authorized by this
527-17   subchapter:
527-18               (1)  on presentation of a petition that requests
527-19   continuation or dissolution of the district and complies with the
527-20   requirements of Sections 363.252-363.256; or
527-21               (2)  if a majority of the governing body of the
527-22   political subdivision that created the district by resolution
527-23   requests a referendum on continuation or dissolution after notice
527-24   and a public hearing on the matter.
 528-1         (d)  The board may not hold a referendum under this
 528-2   subchapter earlier than the fifth anniversary of the date the
 528-3   district was created or earlier than the third anniversary of the
 528-4   date of the last continuation or dissolution referendum.
 528-5         (e)  For a continuation referendum, the ballot shall be
 528-6   printed to permit voting for or against the proposition: "Whether
 528-7   the ____________ (name of the political subdivision that created
 528-8   the district) Crime Control and Prevention District should be
 528-9   continued and the crime control and prevention district sales and
528-10   use tax should be continued."
528-11         (f)  For a dissolution referendum, the ballot shall be
528-12   printed to permit voting for or against the proposition: "Whether
528-13   the ____________ (name of the political subdivision that created
528-14   the district) Crime Control and Prevention District should be
528-15   dissolved and the crime control and prevention district sales and
528-16   use tax should be abolished."
528-17         Sec. 363.252.  APPLICATION FOR PETITION.  (a)  On written
528-18   application of 10 or more registered voters of the district, the
528-19   clerk of the political subdivision that created the district shall
528-20   issue to the applicants a petition to be circulated among
528-21   registered voters for their signatures.
528-22         (b)  To be valid, an application for a petition to continue
528-23   the district must contain:
528-24               (1)  the following heading:  "Application for a
 529-1   Petition for a Local Option Referendum to Continue the Crime
 529-2   Control and Prevention District and to Continue the Crime Control
 529-3   and Prevention District Sales and Use Tax";
 529-4               (2)  the following statement of the issue to be voted
 529-5   on:  "Whether the ____________ (name of the political subdivision
 529-6   that created the district) Crime Control and Prevention District
 529-7   should be continued and the crime control and prevention district
 529-8   sales and use tax should be continued";
 529-9               (3)  the following statement immediately above the
529-10   signatures of the applicants:  "It is the purpose and intent of the
529-11   applicants whose signatures appear below that the crime control and
529-12   prevention district be continued and the crime control and
529-13   prevention district sales and use tax in ____________ (name of the
529-14   political subdivision that created the district) be continued"; and
529-15               (4)  the printed name, signature, residence address,
529-16   and voter registration certificate number of each applicant.
529-17         (c)  To be valid, an application for a petition to dissolve
529-18   the district must contain:
529-19               (1)  the following heading: "Application for a Petition
529-20   for a Local Option Referendum to Dissolve the Crime Control and
529-21   Prevention District and to Abolish the Crime Control and Prevention
529-22   District Sales and Use Tax";
529-23               (2)  the following statement of the issue to be voted
529-24   on: "Whether the ____________ (name of the political subdivision
 530-1   that created the district) Crime Control and Prevention District
 530-2   should be dissolved and the crime control and prevention district
 530-3   sales and use tax should be abolished";
 530-4               (3)  the following statement immediately above the
 530-5   signatures of the applicants: "It is the purpose and intent of the
 530-6   applicants whose signatures appear below that the crime control and
 530-7   prevention district be dissolved and the crime control and
 530-8   prevention district sales and use tax in ____________ (name of the
 530-9   political subdivision that created the district) be abolished"; and
530-10               (4)  the printed name, signature, residence address,
530-11   and voter registration certificate number of each applicant.
530-12         Sec. 363.253.  PETITION.  (a)  To be valid, a petition for a
530-13   referendum to continue a district must contain:
530-14               (1)  the following heading: "Petition for a Local
530-15   Option Referendum to Continue the ____________ (name of the
530-16   political subdivision that created the district) Crime Control and
530-17   Prevention District and to Continue the Crime Control and
530-18   Prevention District Sales and Use Tax";
530-19               (2)  a statement of the issue to be voted on in the
530-20   same words used in the application;
530-21               (3)  the following statement immediately above the
530-22   signatures of the petitioners:  "It is the purpose and intent of
530-23   the petitioners whose signatures appear below that the crime
530-24   control and prevention district be continued and the crime control
 531-1   and prevention district sales and use tax in ____________ (name of
 531-2   the political subdivision that created the district) be continued";
 531-3               (4)  lines and spaces for the names, signatures,
 531-4   residence addresses, and voter registration certificate numbers of
 531-5   the petitioners; and
 531-6               (5)  the date of issuance, the serial number, and the
 531-7   seal of the clerk of the political subdivision on each page.
 531-8         (b)  To be valid, a petition for a referendum to dissolve a
 531-9   district must contain:
531-10               (1)  the following heading:  "Petition for a Local
531-11   Option Referendum to Dissolve the ____________ (name of the
531-12   political subdivision that created the district) Crime Control and
531-13   Prevention District and to Abolish the Crime Control and Prevention
531-14   District Sales and Use Tax";
531-15               (2)  a statement of the issue to be voted on in the
531-16   same words used in the application;
531-17               (3)  the following statement immediately above the
531-18   signatures of the petitioners:  "It is the purpose and intent of
531-19   the petitioners whose signatures appear below that the crime
531-20   control and prevention district be dissolved and the crime control
531-21   and prevention district sales and use tax in ____________ (name of
531-22   the political subdivision that created the district) be abolished";
531-23               (4)  lines and spaces for the names, signatures,
531-24   residence addresses, and voter registration certificate numbers of
 532-1   the petitioners; and
 532-2               (5)  the date of issuance, the serial number, and the
 532-3   seal of the clerk of the political subdivision on each page.
 532-4         Sec. 363.254.  COPIES OF APPLICATION AND PETITION.  The clerk
 532-5   of the political subdivision shall keep an application and a copy
 532-6   of the petition in the files of the clerk's office.  The clerk
 532-7   shall issue to the applicants as many copies as they request.
 532-8         Sec. 363.255.  FILING OF PETITION.  To form the basis for the
 532-9   ordering of a referendum, the petition must:
532-10               (1)  be filed with the clerk of the political
532-11   subdivision not later than the 60th day after the date of its
532-12   issuance; and
532-13               (2)  contain at least a number of signatures of
532-14   registered voters of the political subdivision equal to five
532-15   percent of the number of votes cast in the political subdivision
532-16   for all candidates for governor in the most recent gubernatorial
532-17   general election.
532-18         Sec. 363.256.  REVIEW BY CLERK.  (a)  The clerk of the
532-19   political subdivision shall, on the request of any person, check
532-20   each name on a petition to determine whether the signer is a
532-21   registered voter of the district.  A person requesting verification
532-22   by the clerk shall pay the clerk a sum equal to 20 cents for each
532-23   name before the verification begins.
532-24         (b)  The clerk may not count a signature if the clerk has a
 533-1   reason to believe that:
 533-2               (1)  it is not the actual signature of the purported
 533-3   signer;
 533-4               (2)  the voter registration certificate number is not
 533-5   correct;
 533-6               (3)  it is a duplication either of a name or of
 533-7   handwriting used in any other signature on the petition;
 533-8               (4)  the residence address of the signer is not
 533-9   correct; or
533-10               (5)  the name of the voter is not signed exactly as it
533-11   appears on the official copy of the current list of registered
533-12   voters for the voting year in which the petition is issued.
533-13         Sec. 363.257.  CERTIFICATION.  Not later than the 40th day
533-14   after the date a petition is filed, excluding Saturdays, Sundays,
533-15   and legal holidays, the clerk of the political subdivision shall
533-16   certify to the board the number of registered voters signing the
533-17   petition.
533-18         Sec. 363.258.  ELECTION ORDER.  (a)  The board shall record
533-19   on its minutes the date the petition is filed and the date it is
533-20   certified by the clerk.
533-21         (b)  If the petition contains the required number of
533-22   signatures and is in proper order, the board shall, at its next
533-23   regular session after the certification by the clerk, order a
533-24   referendum to be held at the regular polling place in each election
 534-1   precinct in the political subdivision on the next uniform election
 534-2   date authorized by Section 41.001(a), Election Code, that occurs at
 534-3   least 20 days after the date of the order.
 534-4         (c)  The board shall state in the order the proposition to be
 534-5   voted on in the referendum.  The order is prima facie evidence of
 534-6   compliance with all provisions necessary to give it validity.
 534-7         Sec. 363.259.  APPLICABILITY OF ELECTION CODE.  A referendum
 534-8   authorized by this subchapter shall be held and the returns shall
 534-9   be prepared and canvassed in conformity with the Election Code.
534-10         Sec. 363.260.  RESULTS OF REFERENDUM.  (a)  If less than a
534-11   majority of the votes cast in a continuation referendum are for the
534-12   continuation of a district or if a majority of the votes cast in a
534-13   dissolution referendum are for dissolution of the district:
534-14               (1)  the board shall certify that fact to the secretary
534-15   of state not later than the 10th day after the date of the canvass
534-16   of the returns; and
534-17               (2)  the district is dissolved and ceases to operate.
534-18         (b)  If a majority of the votes cast in a continuation
534-19   referendum are for the continuation of the district or if less than
534-20   a majority of the votes cast in a dissolution referendum are for
534-21   dissolution of the district, another referendum may not be held
534-22   except as authorized by Section 363.251.
534-23         Sec. 363.261.  ELECTION CONTEST.  Not later than the 30th day
534-24   after the date the result of a referendum is declared, any
 535-1   qualified voter of the district may contest the election by filing
 535-2   a petition in a district court located in the district.
 535-3            (Sections 363.262-363.300 reserved for expansion
 535-4                   SUBCHAPTER G.  DISTRICT DISSOLUTION
 535-5         Sec. 363.301.  TIME FOR DISSOLUTION OF DISTRICT.  (a)  The
 535-6   district is dissolved on the fifth anniversary of the date the
 535-7   district was created if the district has not held a continuation or
 535-8   dissolution referendum.
 535-9         (b)  The district is dissolved on the fifth anniversary of
535-10   the date of the most recent continuation or dissolution referendum.
535-11         Sec. 363.302.  DISSOLUTION OF DISTRICT.  (a)  On the date
535-12   that the district is dissolved, the district shall convey or
535-13   transfer, as provided by Subsection (h):
535-14               (1)  title to land, buildings, real and tangible
535-15   improvements, and equipment owned by the district;
535-16               (2)  operating funds and reserves for operating
535-17   expenses and funds that have been budgeted by the district for the
535-18   remainder of the fiscal year in which the district is dissolved to
535-19   support crime control activities and programs for residents of the
535-20   political subdivision that created the district;
535-21               (3)  taxes levied by the district during the current
535-22   year for crime control purposes;
535-23               (4)  funds established for payment of indebtedness
535-24   assumed by the district; and
 536-1               (5)  any accumulated employee retirement funds.
 536-2         (b)  After the date the district is dissolved, the district
 536-3   may not impose taxes for district purposes or for providing crime
 536-4   control activities and programs for the residents of the district.
 536-5         (c)  If on the date that the district is dissolved the
 536-6   district has outstanding short-term or long-term liabilities, the
 536-7   board shall, not later than the 30th day after the date of the
 536-8   dissolution, adopt a resolution certifying each outstanding
 536-9   short-term and long-term liability.  The political subdivision that
536-10   created the district shall assume the outstanding short-term and
536-11   long-term liabilities.  The political subdivision shall collect the
536-12   sales and use tax under Section 323.105, Tax Code, for the
536-13   remainder of the calendar year and may by resolution of its
536-14   governing body continue to collect the tax for an additional
536-15   calendar year if the revenue from the tax is needed to retire
536-16   liabilities of the district that were assumed by the political
536-17   subdivision.  The governing body shall notify the comptroller of
536-18   this continuation not later than the 60th day before the date the
536-19   tax would otherwise expire.  Any tax collected after the
536-20   liabilities have been retired shall be transferred or conveyed as
536-21   provided by Subsection (a).
536-22         (d)  The district and the board may continue to operate for a
536-23   period not to exceed two months after carrying out the
536-24   responsibilities required by Subsections (a) and (c).  The board
 537-1   and the district are continued in effect for the purpose of
 537-2   satisfying these responsibilities.
 537-3         (e)  If the board and the district are continued in effect
 537-4   under Subsection (d), the board and district are dissolved entirely
 537-5   on the first day of the month following the month in which the
 537-6   board issues an order certifying to the secretary of state that no
 537-7   responsibilities of Subsections (a) and (c) are left unsatisfied.
 537-8         (f)  A district or board that continues to operate under
 537-9   Subsection (d) may not incur any new liabilities without the
537-10   approval of the governing body of the political subdivision that
537-11   created the district.  Not later than the 60th day after the date
537-12   of the dissolution referendum, the governing body shall review the
537-13   outstanding liabilities of the district and set a specific date by
537-14   which the political subdivision must retire the district's
537-15   outstanding liabilities.
537-16         (g)  On the date that the district is dissolved,
537-17   district-funded programs, including additional courts, shall
537-18   immediately terminate and district-funded personnel, except
537-19   personnel required to retire the responsibilities of the district,
537-20   are terminated.
537-21         (h)  In a district created by a county, the board shall
537-22   convey or transfer the value of the items described by Subsection
537-23   (a) following the apportionment formula described by Section
537-24   363.154(a).  In a district created by a municipality, the board
 538-1   shall convey or transfer the value of the items described by
 538-2   Subsection (a) to the municipality.
 538-3         (b)  The Crime Control and Prevention District Act (Article
 538-4   2370c-4, Vernon's Texas Civil Statutes) is repealed.
 538-5         SECTION 23.04.  (a)  The chapter heading of Chapter 375,
 538-6   Local Government Code, is amended to conform to Chapters 436, 491,
 538-7   and 496, Acts of the 74th Legislature, Regular Session, 1995, and
 538-8   Chapter 817, Acts of the 72nd Legislature, Regular Session, 1991,
 538-9   to read as follows:
538-10         CHAPTER 375.  MUNICIPAL MANAGEMENT DISTRICTS IN GENERAL
538-11         (b)  Subtitle A, Title 12, Local Government Code, is amended
538-12   to codify Chapters 436, 491, and 496, Acts of the 74th Legislature,
538-13   Regular Session, 1995, and Chapter 817, Acts of the 72nd
538-14   Legislature, Regular Session, 1991, by adding Chapter 376 to read
538-15   as follows:
538-16          CHAPTER 376.  SPECIFIC MUNICIPAL MANAGEMENT DISTRICTS
538-17           SUBCHAPTER A.  HOUSTON DOWNTOWN MANAGEMENT DISTRICT
538-18         Sec. 376.001.  CREATION OF DISTRICT.  (a)  A special district
538-19   to be known as the "Houston Downtown Management District" exists as
538-20   a governmental agency, body politic and corporate, and political
538-21   subdivision of the state.
538-22         (b)  The name of the district may be changed by resolution of
538-23   the board.
538-24         (c)  The creation of the district is essential to accomplish
 539-1   the purposes of Section 52, Article III, Section 59, Article XVI,
 539-2   and Section 52-a, Article III, Texas Constitution, and other public
 539-3   purposes stated in this subchapter.
 539-4         Sec. 376.002.  DECLARATION OF INTENT.  (a)  The creation of
 539-5   the district is necessary to promote, develop, encourage, and
 539-6   maintain employment, commerce, transportation, housing, tourism,
 539-7   recreation, arts, entertainment, economic development, safety, and
 539-8   the public welfare in the downtown area of the municipality.
 539-9         (b)  The creation of the district and this legislation is not
539-10   to be interpreted to relieve the county or the municipality from
539-11   providing the level of services, as of August 28, 1995, to the area
539-12   in the district or to release the county or the municipality from
539-13   the obligations each entity has to provide services to that area.
539-14   The district is created to supplement and not supplant the
539-15   municipal or county services provided in the area in the district.
539-16         (c)  By creating the district and in authorizing the
539-17   municipality, county, and other political subdivisions to contract
539-18   with the district, the legislature has established a program to
539-19   accomplish the public purposes set out in Section 52-a, Article
539-20   III, Texas Constitution.
539-21         Sec. 376.003.  DEFINITIONS.  In this subchapter:
539-22               (1)  "Board" means the board of directors of the
539-23   district.
539-24               (2)  "County" means Harris County, Texas.
 540-1               (3)  "District" means the Houston Downtown Management
 540-2   District.
 540-3               (4)  "Municipality" means the City of Houston, Texas.
 540-4         Sec. 376.004.  BOUNDARIES.  The district includes all the
 540-5   territory contained in the following described area:
 540-6         705 acres, more or less, in the J. Austin Survey, Abstract 1,
 540-7   the J.S.  Holman Survey, Abstract 323, the O. Smith Survey,
 540-8   Abstract 696, and the J. Wells Survey, Abstract 832, Harris County,
 540-9   Texas, more particularly described as follows:
540-10         BEGINNING at the intersection of the center line of the
540-11   right-of-way of Commerce Avenue with the center line of the
540-12   right-of-way of Austin Street;
540-13         Thence in a southwesterly direction with the center line of
540-14   the right-of-way of Austin street to the intersection with the
540-15   center line of the right-of-way of Capitol Avenue;
540-16         Thence in a southeasterly direction with the center line of
540-17   the right-of-way of Capitol Avenue to the intersection with the
540-18   center line of the right-of-way of Chartres Street;
540-19         Thence in a southwesterly direction with the center line of
540-20   the right-of-way of Chartres Street to the intersection with the
540-21   center line of the right-of-way of Clay Avenue;
540-22         Thence in a northwesterly direction with the center line of
540-23   the right-of-way of Clay Avenue to the intersection with the center
540-24   line of the right-of-way of Caroline Street;
 541-1         Thence in a southwesterly direction with the center line of
 541-2   the right-of-way of Caroline Street to the intersection with the
 541-3   center line of the right-of-way of Pierce Avenue;
 541-4         Thence in a northwesterly direction with the center line of
 541-5   the right-of-way of Pierce Avenue to the intersection with the
 541-6   center line of the right-of-way of Bagby Street;
 541-7         Thence in a northeasterly direction with the center line of
 541-8   the right-of-way of Bagby Street to the intersection with a
 541-9   southerly projection of the west line of the right-of-way of Heiner
541-10   Street;
541-11         Thence in a northerly direction with the west line of the
541-12   right-of-way of Heiner Street and southerly and northerly
541-13   projections thereof to the intersection with the center line of the
541-14   right-of-way of W. Dallas Street;
541-15         Thence in a westerly direction with the center line of the
541-16   right-of-way of W. Dallas Street to the intersection with a
541-17   southerly projection of the west line of the right-of-way of Heiner
541-18   Street;
541-19         Thence in a northerly direction with the west line of the
541-20   right-of-way of Heiner Street and southerly and northerly
541-21   projections thereof to the intersection with the center line of the
541-22   right-of-way of Allen Parkway;
541-23         Thence in an easterly direction with the center line of the
541-24   right-of-way of Allen Parkway to the intersection with a southerly
 542-1   projection of the center line of the right-of-way of Sabine Street;
 542-2         Thence in a northerly direction with a southerly projection
 542-3   of the center line of the right-of-way of Sabine Street and then
 542-4   with the center line of the right-of-way of Sabine Street to the
 542-5   intersection with the north right-of-way line of Memorial Drive;
 542-6         Thence in an easterly direction with the north right-of-way
 542-7   line of Memorial Drive to the intersection with the west
 542-8   right-of-way line of Interstate Highway 45;
 542-9         Thence in a northeasterly direction with the west
542-10   right-of-way line of Interstate Highway 45 to the intersection with
542-11   the center line of the right-of-way of Franklin Avenue;
542-12         Thence in an easterly direction with the center line of the
542-13   right-of-way of Franklin Avenue to the intersection with a
542-14   southerly projection of the center line of the northbound ramp to
542-15   Interstate Highway 10, a continuation of Louisiana Street;
542-16         Thence in a northerly direction with the center line of the
542-17   right-of-way of the northbound ramp to Interstate Highway 10 and
542-18   the southerly projection thereof, to the intersection with the
542-19   center line of the Southern Pacific Rail Road's "Main Passenger
542-20   Line" right-of-way;
542-21         Thence in an easterly direction with the center line of the
542-22   Southern Pacific Rail Road's "Main Passenger Line" right-of-way to
542-23   the intersection with the center line of the right-of-way of North
542-24   San Jacinto Street;
 543-1         Thence in a southerly direction with the center line of the
 543-2   right-of-way of North San Jacinto Street to the intersection with
 543-3   the center line of the right-of-way of Commerce Avenue;
 543-4         Thence in a southeasterly direction with the center line of
 543-5   the right-of-way of Commerce Avenue to The Point of Beginning,
 543-6   containing 705 acres, more or less, including, without limitation,
 543-7   all air space above and all subsurface below said property.
 543-8         Sec. 376.005.  FINDINGS RELATING TO BOUNDARIES.  The
 543-9   boundaries and field notes of the district form a closure.  If a
543-10   mistake is made in the field notes or in copying the field notes in
543-11   the legislative process, the mistake does not in any way affect
543-12   the:
543-13               (1)  organization, existence, and validity of the
543-14   district;
543-15               (2)  right of the district to issue any type of bonds
543-16   or refunding bonds for the purposes for which the district is
543-17   created or to pay the principal of and interest on the bonds;
543-18               (3)  right of the district to impose and collect
543-19   assessments or taxes; or
543-20               (4)  legality or operation of the district or its
543-21   governing body.
543-22         Sec. 376.006.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.  (a)
543-23   All the land and other property included in the district will be
543-24   benefited by the improvements and services to be provided by the
 544-1   district under powers conferred by Section 52, Article III, Section
 544-2   59, Article XVI, and Section 52-a, Article III, Texas Constitution,
 544-3   and other powers granted under this subchapter, and the district is
 544-4   created to serve a public use and benefit.
 544-5         (b)  The creation of the district is in the public interest
 544-6   and is essential to:
 544-7               (1)  further the public purposes of the development and
 544-8   diversification of the economy of the state; and
 544-9               (2)  eliminate unemployment and underemployment and
544-10   develop or expand transportation and commerce.
544-11         (c)  The district will:
544-12               (1)  promote the health, safety, and general welfare of
544-13   residents, employers, employees, visitors, consumers in the
544-14   district, and the general public;
544-15               (2)  provide needed funding for the municipal downtown
544-16   area to preserve, maintain, and enhance the economic health and
544-17   vitality of the area as a community and business center; and
544-18               (3)  further promote the health, safety, welfare, and
544-19   enjoyment of the public by providing pedestrian ways and by
544-20   landscaping and developing certain areas in the district, which are
544-21   necessary for the restoration, preservation, and enhancement of
544-22   scenic and aesthetic beauty.
544-23         (d)  Pedestrian ways along or across a street, whether at
544-24   grade or above or below the surface, and street lighting, street
 545-1   landscaping, and street art objects are parts of and necessary
 545-2   components of a street and are considered to be a street or road
 545-3   improvement.
 545-4         (e)  The district will not act as the agent or
 545-5   instrumentality of any private interest even though many private
 545-6   interests will be benefited by the district, as will the general
 545-7   public.
 545-8         Sec. 376.007.  APPLICATION OF OTHER LAW.  Except as otherwise
 545-9   provided by this subchapter, Chapter 375 applies to the district.
545-10         Sec. 376.008.  CONSTRUCTION OF SUBCHAPTER.  This subchapter
545-11   shall be liberally construed in conformity with the findings and
545-12   purposes stated in this subchapter.
545-13         Sec. 376.009.  BOARD OF DIRECTORS IN GENERAL.  (a)  The
545-14   district is governed by a board of 30 directors who serve staggered
545-15   terms of four years with seven or eight members' terms expiring
545-16   June 1 of each year.
545-17         (b)  Subchapter D, Chapter 375, applies to the board to the
545-18   extent that subchapter does not conflict with this subchapter.
545-19         Sec. 376.010.  APPOINTMENT OF DIRECTORS; VACANCY.  (a)  The
545-20   mayor and members of the governing body of the municipality shall
545-21   appoint directors from persons recommended by the board.  A vacancy
545-22   in the office of director because of the death, resignation, or
545-23   removal of a director shall be filled by the remaining members of
545-24   the board by appointing a qualified person for the unexpired term.
 546-1         (b)  A person may not be appointed to the board if the
 546-2   appointment of that person would result in less than two-thirds of
 546-3   the board members being residents of the municipality.
 546-4         Sec. 376.011.  EX OFFICIO MEMBERS OF BOARD OF DIRECTORS.  (a)
 546-5   The directors of the parks and recreation, planning and
 546-6   development, public works, and civic center departments of the
 546-7   municipality, the chief of police of the municipality, and the
 546-8   general manager of the metropolitan transit authority of the county
 546-9   each shall serve as a nonvoting ex officio member of the board.
546-10         (b)  If any of the departments described by Subsection (a)
546-11   are consolidated, renamed, changed, or abolished, the board may
546-12   appoint the directors of the consolidated, renamed, or changed
546-13   departments as nonvoting ex officio members of the board or the
546-14   board may appoint a representative of another department of the
546-15   municipality that performs duties comparable to those performed by
546-16   the abolished department.
546-17         (c)  The board may appoint the presiding officers of other
546-18   nonprofit corporations actively involved in downtown activities in
546-19   the municipality to serve as nonvoting ex officio members of the
546-20   board.
546-21         Sec. 376.012.  POWERS OF DISTRICT.  (a)  The district has:
546-22               (1)  all powers necessary or required to accomplish the
546-23   purposes for which the district was created;
546-24               (2)  the rights, powers, privileges, authority, and
 547-1   functions of a district created under Chapter 375;
 547-2               (3)  the powers given to a corporation under Section
 547-3   4B, the Development Corporation Act of 1979 (Article 5190.6,
 547-4   Vernon's Texas Civil Statutes) and the power to own, operate,
 547-5   acquire, construct, lease, improve, and maintain projects, other
 547-6   than a domed football stadium, described by that section;
 547-7               (4)  the power of a housing finance corporation created
 547-8   under Chapter 394 to provide housing or residential development
 547-9   projects in the district;
547-10               (5)  the power to impose ad valorem taxes, assessments,
547-11   or impact fees in accordance with Chapter 375 to provide
547-12   improvements and services for a project or activity the district is
547-13   authorized to acquire, construct, improve, or provide under this
547-14   subchapter; and
547-15               (6)  the power to correct, add to, or delete
547-16   assessments from its assessment rolls after notice and hearing as
547-17   provided by Subchapter F, Chapter 375.
547-18         (b)  The district may not impose a sales and use tax and may
547-19   not acquire property through eminent domain.
547-20         Sec. 376.013.  EXPENSES AND LIABILITY FOR CERTAIN ACTIONS
547-21   AFFECTING PROPERTY.  (a)  If the district, in exercising a power
547-22   conferred by this subchapter, requires a relocation, adjustment,
547-23   raising, lowering, rerouting, or changing of the grade or the
547-24   construction of any of the following items, the district must take
 548-1   that required action at the sole expense of the district:
 548-2               (1)  a street, alley, highway, overpass, underpass,
 548-3   road, railroad track, bridge, facility, or other property;
 548-4               (2)  an electric line, conduit, facility, or other
 548-5   property;
 548-6               (3)  a telephone or telegraph line, conduit, facility,
 548-7   or other property;
 548-8               (4)  a gas transmission or distribution pipe, pipeline,
 548-9   main, facility, or other property;
548-10               (5)  a water, sanitary sewer, or storm sewer pipe,
548-11   pipeline, main, facility, or other property;
548-12               (6)  a cable television line, cable, conduit, facility,
548-13   or other property; or
548-14               (7)  another pipeline, facility, or other property
548-15   relating to the pipeline.
548-16         (b)  The district shall bear damages that are suffered by
548-17   owners of the facility or other property.
548-18         Sec. 376.014.  RELATION TO OTHER LAW.  If any provision of a
548-19   law referenced in Section 376.012 is in conflict with or is
548-20   inconsistent with this subchapter, this subchapter prevails.  Any
548-21   law referenced in this subchapter that is not in conflict or
548-22   inconsistent with this subchapter is adopted and incorporated by
548-23   reference.
548-24         Sec. 376.015.  REQUIREMENTS FOR FINANCING SERVICES AND
 549-1   IMPROVEMENTS.  The board may not finance services and improvement
 549-2   projects under this subchapter unless a written petition requesting
 549-3   those improvements or services has been filed with the board.  The
 549-4   petition must be signed by:
 549-5               (1)  the owners of a majority of the assessed value of
 549-6   real property in the district as determined by the most recent
 549-7   certified county property tax rolls; or
 549-8               (2)  at least 50 persons who own land in the district,
 549-9   if there are more than 50 persons who own property in the district
549-10   as determined by the most recent certified county property tax
549-11   rolls.
549-12         Sec. 376.016.  PROHIBITED EXEMPTIONS.  A single family
549-13   residential property or a residential duplex, triplex, quadruplex,
549-14   or condominium may not be exempt from the imposition of a tax, an
549-15   impact fee, or an assessment if the tax, impact fee, or assessment
549-16   is imposed in accordance with this subchapter.
549-17         Sec. 376.017.  NONPROFIT CORPORATION.  (a)  The board by
549-18   resolution may authorize the creation of a nonprofit corporation to
549-19   assist and act on behalf of the district in implementing a project
549-20   or providing a service authorized by this subchapter.
549-21         (b)  The board shall appoint the board of directors of a
549-22   nonprofit corporation created under this section.  The board of
549-23   directors of  the nonprofit corporation shall serve in the same
549-24   manner as, for the same term as, and on the conditions of the board
 550-1   of directors of a local government corporation created under
 550-2   Chapter 431, Transportation Code.
 550-3         (c)  A nonprofit corporation created under this section has
 550-4   the powers of and is considered for purposes of this subchapter to
 550-5   be a local government corporation created under Chapter 431,
 550-6   Transportation Code.
 550-7         (d)  A nonprofit corporation created under this section may
 550-8   implement any project and provide any services authorized by this
 550-9   subchapter.
550-10         Sec. 376.018.  DISBURSEMENTS OR TRANSFERS OF FUNDS.  The
550-11   board by resolution shall establish the number of directors'
550-12   signatures and the procedure required for a disbursement or
550-13   transfer of the district's money.
550-14         Sec. 376.019.  BONDS.  (a)  The district may issue bonds or
550-15   other obligations payable in whole or in part from ad valorem
550-16   taxes, assessments, impact fees, revenues, grants, or other money
550-17   of the district, or any combination of those sources of money, to
550-18   pay for any authorized purpose of the district, other than to
550-19   finance a domed football stadium.
550-20         (b)  Bonds or other obligations of the district may be issued
550-21   in the form of bonds, notes, certificates of participation,
550-22   including other instruments evidencing a proportionate interest in
550-23   payments to be made by the district, or other obligations that are
550-24   issued in the exercise of the district's borrowing power and may be
 551-1   issued in bearer or registered form or not represented by an
 551-2   instrument but the transfer of which is registered on books
 551-3   maintained by or on behalf of the district.
 551-4         (c)  Except as provided by Subsection (d), the district must
 551-5   obtain the municipality's approval of:
 551-6               (1)  the issuance of bonds for an improvement project;
 551-7   and
 551-8               (2)  the plans and specifications of the improvement
 551-9   project to be financed by the bonds.
551-10         (d)  If the district obtains the municipality's approval of a
551-11   capital improvements budget for a specified period not to exceed
551-12   five years, the district may finance the capital improvements and
551-13   issue bonds specified in the budget without further municipal
551-14   approval.
551-15         (e)  Before the district issues bonds, the district shall
551-16   submit the bonds and the record of proceedings of the district
551-17   relating to authorization of the bonds to the attorney general for
551-18   approval as provided by Chapter 53, Acts of the 70th Legislature,
551-19   2nd Called Session, 1987 (Article 717k-8, Vernon's Texas Civil
551-20   Statutes).
551-21         Sec. 376.020.  ASSESSMENTS.  (a)  The board may impose and
551-22   collect an assessment for any purpose authorized by this
551-23   subchapter.
551-24         (b)  Assessments, reassessments, or  assessments resulting
 552-1   from an addition to or correction of the assessment roll by the
 552-2   district, penalties and interest on an assessment or reassessment,
 552-3   expenses of collection, and reasonable attorney's fees incurred by
 552-4   the district:
 552-5               (1)  are a first and prior lien against the property
 552-6   assessed;
 552-7               (2)  are superior to any other lien or claim other than
 552-8   a lien or claim for county, school district, or municipal ad
 552-9   valorem taxes; and
552-10               (3)  are the personal liability of and charge against
552-11   the owners of the property even if the owners are not named in the
552-12   assessment proceedings.
552-13         (c)  The lien is effective from the date of the resolution of
552-14   the board levying the assessment until the assessment is paid.  The
552-15   board may enforce the lien in the same manner that the board may
552-16   enforce an ad valorem tax lien against real property.
552-17         Sec. 376.021.  APPROVAL OF CERTAIN IMPROVEMENT PROJECTS.  The
552-18   district must obtain the municipality's approval of the plans and
552-19   specifications of any district improvement project related to the
552-20   use of land owned by the municipality, an easement granted by the
552-21   municipality, or a right-of-way of a street, road, or highway.
552-22         Sec. 376.022.  ELECTIONS.  (a)  In addition to the elections
552-23   the district must hold under Subchapter L, Chapter 375, the
552-24   district shall hold an election in the manner provided by that
 553-1   subchapter to obtain voter approval before the district imposes a
 553-2   maintenance tax or issues bonds payable from ad valorem taxes or
 553-3   assessments.
 553-4         (b)  The board may submit multiple purposes in a single
 553-5   proposition at an election.
 553-6         (c)  The board may not call an election under this subchapter
 553-7   unless a written petition requesting an election has been filed
 553-8   with the board.  The petition must be signed by:
 553-9               (1)  the owners of a majority of the assessed value of
553-10   real property in the district as determined by the most recent
553-11   certified county property tax rolls; or
553-12               (2)  at least 50 persons who own land in the district,
553-13   if there are more than 50 persons who own property in the district
553-14   as determined by the most recent certified county property tax
553-15   rolls.
553-16         Sec. 376.023.  IMPACT FEES.  The district may impose an
553-17   impact fee for an authorized purpose as provided by Subchapter G,
553-18   Chapter 375.
553-19         Sec. 376.024.  MAINTENANCE TAX.  (a)  If authorized at an
553-20   election held in accordance with Section 376.022, the district may
553-21   impose and collect an annual ad valorem tax on taxable property in
553-22   the district for the maintenance and operation of the district and
553-23   the improvements constructed or acquired by the district or for the
553-24   provision of services to industrial or commercial businesses,
 554-1   residents, or property owners.
 554-2         (b)  The board shall determine the tax rate.
 554-3         Sec. 376.025.  DISSOLUTION OF DISTRICT.  (a)  The district
 554-4   may be dissolved as provided by Subchapter M, Chapter 375.
 554-5         (b)  Regardless of Section 375.264, a district that has debt
 554-6   may be dissolved as provided by Subchapter M, Chapter 375.  If the
 554-7   district has debt and is dissolved, the district shall remain in
 554-8   existence solely for the limited purpose of discharging its bonds
 554-9   or other obligations according to their terms.
554-10         Sec. 376.026.  CONTRACTS.  (a)  To protect the public
554-11   interest, the district may contract with the municipality or county
554-12   for the provision of law enforcement services by the county or
554-13   municipality in the district on a fee basis.
554-14         (b)  The municipality, county, or another political
554-15   subdivision of the state, without further authorization, may
554-16   contract with the district to implement a project of the district
554-17   or assist the district in providing the services authorized under
554-18   this subchapter.  A contract under this subsection may:
554-19               (1)  be for a period on which the parties agree;
554-20               (2)  include terms on which the parties agree;
554-21               (3)  be payable from taxes or any other sources of
554-22   revenue that may be available for such purpose; or
554-23               (4)  provide that taxes or other revenue collected at a
554-24   district project or from a person using or purchasing a commodity
 555-1   or service at a district project may be paid or rebated to the
 555-2   district under the terms of the contract.
 555-3         (c)  The district may enter into a contract, lease, or other
 555-4   agreement with or make or accept grants and loans to or from:
 555-5               (1)  the United States;
 555-6               (2)  the state or a state agency;
 555-7               (3)  any county, any municipality, or another political
 555-8   subdivision of the state;
 555-9               (4)  a public or private corporation, including a
555-10   nonprofit corporation created by the board under this subchapter;
555-11   or
555-12               (5)  any other person.
555-13         (d)  The district may perform all acts necessary for the full
555-14   exercise of the powers vested in the district on terms and for the
555-15   period the board determines advisable.
555-16         Sec. 376.027.  COMPETITIVE BIDDING.  The district may enter a
555-17   contract for more than $10,000 for services, improvements, or the
555-18   purchase of property, including materials, machinery, equipment, or
555-19   supplies, only as provided by Subchapter K, Chapter 375.
555-20         Sec. 376.028.  REINVESTMENT ZONES.  All or any part of the
555-21   area of the district is eligible to be included in a tax
555-22   incremental reinvestment zone created by the municipality under
555-23   Chapter 311, Tax Code, or included in a tax abatement reinvestment
555-24   zone created by the municipality under Chapter 312, Tax Code.
 556-1         Sec. 376.029.  INITIAL DIRECTORS.  (a)  The initial board
 556-2   consists of the following persons:
 556-3    Pos. No.      Name of Director
 556-4       1          Charles Baughn          
 556-5       2          Patrick Ezzell          
 556-6       3          Cindy Garcia            
 556-7       4          Nick Gonzales           
 556-8       5          Dennis L. Greer         
 556-9       6          Valerie D. Marshall     
556-10       7          William E. Penland, Jr. 
556-11       8          Peggy Menchaca          
556-12       9          Sharon Michael          
556-13      10          Melanie Ringo           
556-14      11          Mark M. Sacco           
556-15      12          Paula T. Saizan         
556-16      13          James B. Seigler        
556-17      14          Richard Veith           
556-18      15          Ben I. Wilson           
556-19      16          Azalea Aleman           
556-20      17          Sherea A. McKenzie       
556-21      18          Tom Mene                 
556-22      19          Elsa Pagan               
556-23      20          James J. Smith           
556-24      21          C. Richard Vermillion    
 557-1      22          Gary Warwick             
 557-2      23          J. Mark Russell          
 557-3      24          Robert Bradford          
 557-4      25          Anthony Choy             
 557-5      26          Patricia C. Hewlett      
 557-6      27          Gary L. Marks            
 557-7      28          Joel B. Otte             
 557-8      29          Gary D. Schuman          
 557-9      30          Jane Bass Page           
557-10         (b)  Of the initial directors, the directors appointed for
557-11   positions 1 through 7 serve until June 1, 1996, the directors
557-12   appointed for positions 8 through 15 serve until June 1, 1997, the
557-13   directors appointed for positions 16 through 23 serve until June 1,
557-14   1998, and the directors appointed for positions 24 through 30 serve
557-15   until June 1, 1999.
557-16         (c)  This section expires September 1, 1999.
557-17            (Sections 376.030-376.040 reserved for expansion
557-18            SUBCHAPTER B.  WESTCHASE AREA MANAGEMENT DISTRICT
557-19         Sec. 376.041.  CREATION OF DISTRICT.  (a)  A special district
557-20   in Harris County to be known as the "Westchase Area Management
557-21   District" exists as a governmental agency, body politic and
557-22   corporate, and political subdivision of the state.
557-23         (b)  The name of the district may be changed by resolution of
557-24   the board.
 558-1         (c)  The creation of the district is essential to accomplish
 558-2   the purposes of Section 52, Article III, Section 59, Article XVI,
 558-3   and Section 52-a, Article III, Texas Constitution, and other public
 558-4   purposes stated in this subchapter.
 558-5         Sec. 376.042.  DECLARATION OF INTENT.  (a)  The creation of
 558-6   the district is necessary to promote, develop, encourage, and
 558-7   maintain employment, commerce, transportation, housing, tourism,
 558-8   recreation, arts, entertainment, economic development, safety, and
 558-9   the public welfare in the  Westchase area of the county.
558-10         (b)  The creation of the district and this legislation is not
558-11   to be interpreted to relieve the county or the municipality from
558-12   providing the level of services, as of August 28, 1995, to the area
558-13   in the district or to release the county or the municipality from
558-14   the obligations each entity has to provide services to that area.
558-15   The district is created to supplement and not supplant the
558-16   municipal or county services provided in the area in the district.
558-17         (c)  By creating the district and in authorizing the
558-18   municipality, county, and other political subdivisions to contract
558-19   with the district, the legislature has established a program to
558-20   accomplish the public purposes set out in Section 52-a, Article
558-21   III, Texas Constitution.
558-22         Sec. 376.043.  DEFINITIONS.  In this subchapter:
558-23               (1)  "Board" means the board of directors of the
558-24   district.
 559-1               (2)  "County" means Harris County, Texas.
 559-2               (3)  "District" means the Westchase Area Management
 559-3   District.
 559-4               (4)  "Municipality" means the City of Houston, Texas.
 559-5         Sec. 376.044.  BOUNDARIES.  The district includes all the
 559-6   territory contained in the following described area:
 559-7         Being 2,460 acres, more or less, out of the G.L. Bellows
 559-8   Survey, Abstract No.  3, the C. Ennis Survey, Abstract No. 253, the
 559-9   J.D. Taylor Survey, Abstract No. 72, the I.E. Wade Survey, Abstract
559-10   No. 854, the  I.E. Wade Survey, Abstract No. 855, the E. Williams
559-11   Survey, Abstract No. 834, and the H. Woodruff Survey, Abstract No.
559-12   844, all located in Harris County, Texas, being more particularly
559-13   described by metes and bounds as follows:
559-14         BEGINNING AT A POINT being the most westerly southwest corner
559-15   of the Woodlake, Section 4 Subdivision described by plat recorded
559-16   in Vol. 174, Pg. 115 of the Map Records of the Harris County, being
559-17   also a point in the East line of South Gessner Road, originally
559-18   described in the instrument recorded in Vol. 6369, Pg.  234 of the
559-19   Deed Records of Harris County,
559-20         Thence in a northerly direction with the western boundary of
559-21   the Woodlake, Section 4 Subdivision and the East line of South
559-22   Gessner Road to the point of intersection with the easterly
559-23   projection of the South line of the Woodlake Townhouse Apartments
559-24   Parcel as described in the conveyance recorded in Vol. 8577, Pg. 38
 560-1   of the Deed Records of Harris County,
 560-2         Thence in a westerly direction along the easterly projection
 560-3   of the South line of the Woodlake Townhouse Apartments Parcel and
 560-4   then continuing with the South Line of the Woodlake Townhouse
 560-5   Apartments Parcel to the southwest corner of that parcel, being
 560-6   also a point in the West line of the Woodlake Section 5
 560-7   Subdivision, being also a point in the West line of the J. D.
 560-8   Taylor Survey, Abstract 72,
 560-9         Thence in a southerly direction with the West line of the
560-10   J.D. Taylor Survey, Abstract 72 to the point of intersection with
560-11   the North right of way of Westheimer Road, also known as Texas Farm
560-12   to Market Road No. 1093,
560-13         Thence in a westerly direction with the North right of way
560-14   line of Westheimer Road, also known as Texas Farm to Market Road
560-15   No. 1093 to the point of intersection the East right of way of
560-16   Seagler Road,
560-17         Thence in a northerly direction with the East right of way
560-18   line of Seagler Road to the point of intersection with the easterly
560-19   projection of the North right of way line of Ella Lee Lane,
560-20         Thence in westerly direction with the easterly projection of
560-21   the North right of way line of Ella Lee Lane and then continuing
560-22   with the North right of way line of Ella Lee Lane to the point of
560-23   intersection with the East right of way line Beltway 8, also known
560-24   as the Sam Houston Tollway,
 561-1         Thence in a northerly direction with the East right of way
 561-2   line Beltway 8 to the point of intersection with the easterly
 561-3   projection of the centerline of the right of way line of Deerwood
 561-4   Drive as dedicated by plat for the Greentree Place Subdivision as
 561-5   recorded in Vol. 228, Pg. 125 of the Map Records of Harris County,
 561-6         Thence in a westerly direction with the easterly projection
 561-7   of the centerline of the right of way of Deerwood Drive and then
 561-8   continuing with the centerline of the right of way of Deerwood
 561-9   Drive through a curve to the South to the point of intersection
561-10   with the easterly projection of the centerline of the right of way
561-11   of River View Drive as described by the plat of the Walnut Bend
561-12   Subdivision, Section 8, as recorded in Vol. 129, Pg. 59 of the Map
561-13   Records of Harris County,
561-14         Thence continuing in a westerly direction with the easterly
561-15   projection of the centerline of the right of way of River View
561-16   Drive to the West line of the Greentree Place Subdivision, being
561-17   also the West Line of the G.L. Bellows Survey, Abstract No. 3,
561-18         Thence in a southerly direction with the West line of the
561-19   G.L. Bellows Survey, Abstract No. 3, to the point of intersection
561-20   with the most easterly southeast corner of the Walnut Bend, Section
561-21   5 Subdivision as described by plat recorded in Vol. 89, Pg. 54 of
561-22   the Map Records of Harris County,
561-23         Thence in a westerly direction with the South line of the
561-24   Walnut Bend, Section 5 to a point in the East right of way line of
 562-1   Blue Willow Drive, being also the southwest corner of lot 18, block
 562-2   5 of Walnut Bend, Section 5 Subdivision,
 562-3         Thence continuing in a westerly direction to a point in the
 562-4   West right of way line of Blue Willow Drive, being also the
 562-5   southeast corner of lot 17, block 17 of the Walnut Bend, Section 5
 562-6   Subdivision,
 562-7         Thence continuing in a westerly direction with the South line
 562-8   of the Walnut Bend, Section 5 Subdivision to a point in the East
 562-9   right of way line of Walnut Bend Lane, being also the southwest
562-10   corner of lot 1, block 17 of the Walnut Bend, Section 5
562-11   Subdivision,
562-12         Thence continuing in a westerly direction to a point in the
562-13   West right of way line of Walnut Bend Lane, being also the
562-14   southeast corner of lot 10, block 1 of the Walnut Bend, Section 5
562-15   Subdivision,
562-16         Thence in a westerly direction to the southwest corner of
562-17   said lot 10 block 1, being also the most westerly southwest corner
562-18   of the Walnut Bend, Section 5 Subdivision, being also a point in
562-19   the East line of lot 6, block 1 of the Lakeside Estates, Section 1
562-20   Subdivision as described by plat recorded in Vol. 152, Pg. 97 of
562-21   the Map Records of Harris County,
562-22         Thence in a southerly direction with the East line of the
562-23   Lakeside Estates, Section 1 Subdivision to the most easterly
562-24   southeast corner of said Lakeside Estates Section 1 Subdivision,
 563-1         Thence in a westerly direction with the South line of the
 563-2   Lakeside Estates, Section 1 Subdivision to a point in the East
 563-3   right of way line of Lakeside Country Club, being also the
 563-4   southwest corner of lot 1, block 1 of the Lakeside Estates, Section
 563-5   1 Subdivision,
 563-6         Thence continuing in a westerly direction to a point in the
 563-7   west right of way line of Lakeside Country Club Drive, being also
 563-8   the southeast corner of lot 10, block 2 of the Lakeside Estates,
 563-9   Section 1 Subdivision,
563-10         Thence continuing in a westerly direction with the South line
563-11   of the Lakeside Estates, Section 1 Subdivision to a point in the
563-12   East right of way line of Wilcrest Drive, being also the southwest
563-13   corner of lot 1, block 2 of the Lakeside Estates, Section 1
563-14   Subdivision,
563-15         Thence in a northwesterly direction to a point in the West
563-16   right of way line of Wilcrest Drive, being also the northeast
563-17   corner of reserve lot A5 of the Lakeside Estates, Section 1
563-18   Subdivision,
563-19         Thence in a westerly direction with the North line of reserve
563-20   lot A5 of the Lakeside Estates, Section 1 Subdivision to the
563-21   northwest corner of that lot,
563-22         Thence in a southwesterly direction across a 150 foot wide
563-23   power line corridor owned by Houston Lighting and Power Company, as
563-24   described in instrument recorded in Vol. 1220, Pg. 519 of the Deed
 564-1   Records of Harris County, to the Southeast corner of a 9.54 acre,
 564-2   more or less, tract of land described in the instrument recorded
 564-3   under Clerk's File No. M462865 of the Official Public Records of
 564-4   Real Property of Harris County,
 564-5         Thence in a westerly direction with the South line of that
 564-6   9.54 acre parcel 782 feet, more or less, to the southwest corner of
 564-7   9.54 acre parcel, being also a point in the East right of way line
 564-8   of Hayes Road,
 564-9         Thence continuing in a westerly direction to a point in the
564-10   West right of way line of Hayes Road, being also the southeast
564-11   corner of the Village West, Section 2 Subdivision, as described by
564-12   plat recorded in Vol. 250, Pg. 1 of the Map Records of Harris
564-13   County,
564-14         Thence continuing in a westerly direction with the South line
564-15   of Village West, Section 2 Subdivision to the southwest corner of
564-16   that subdivision South line of Village West, Section 2 Subdivision,
564-17         Thence continuing in a westerly direction with a westerly
564-18   projection of the South line of Village West, Section 2 Subdivision
564-19   to the point of intersection with the West right of way line of
564-20   Woodland Park Drive,
564-21         Thence in a southerly direction with the West right of way
564-22   line of Woodland Park Drive to the point of intersection with the
564-23   North right of way line of Westheimer Road, also known as Texas
564-24   Farm to Market Road No. 1093,
 565-1         Thence in westerly direction with the North right of way line
 565-2   of Westheimer Road to the point of intersection with the northerly
 565-3   projection of the West line of the Westchase Section 18 subdivision
 565-4   as described in Vol. 291, Pg. 49 of the Map Records of Harris
 565-5   County,
 565-6         Thence in a southerly direction with the northerly projection
 565-7   of the West line of the Westchase Section 18 subdivision, and then
 565-8   continuing in a southerly direction with the West line of the
 565-9   Westchase Section 18 subdivision to the southwest corner of that
565-10   subdivision, being also a point in the North right of way line of
565-11   Richmond Avenue,
565-12         Thence continuing in a southerly direction to a point in the
565-13   South right of way line of Richmond Avenue, being also the
565-14   northwest corner of the Westchase Section 17 subdivision as
565-15   described in Vol. 294, Pg. 3 of the Map Records of Harris County,
565-16         Thence continuing in a southerly direction with the West line
565-17   of the Westchase Section 17 to the southwest corner of that
565-18   subdivision,
565-19         Thence in an easterly direction with the South line of the
565-20   Westchase Section 17 subdivision to the southeast corner reserve
565-21   lot "B" of the Westchase Section 17 subdivision,
565-22         Thence continuing in a easterly direction 150 feet, more or
565-23   less, crossing the power line corridor owned by Houston Lighting
565-24   and Power Company, to the southwest corner of reserve lot "C" of
 566-1   Westchase Section 17,
 566-2         Thence continuing in an easterly direction with the South
 566-3   line of reserve lot "C" of Westchase Section 17 to the southeast
 566-4   corner of that parcel, being also a point in the West right of way
 566-5   line of Wilcrest Drive,
 566-6         Thence in a southerly direction with the West right of way
 566-7   line of Wilcrest Drive to the point of intersection with the South
 566-8   line of the Southern Pacific Railroad right of way, formerly known
 566-9   as the Texas & New Orleans Railroad right of way, said point being
566-10   also the northeast corner of Unrestricted Reserve "A" of the
566-11   Briarleaf Section 2 Subdivision, as described by plat recorded in
566-12   Volume 287, Pg. 12 of the Map Records of Harris County,
566-13         Thence in an easterly direction with the South line of the
566-14   Southern Pacific Railroad right of way to the point of intersection
566-15   with the East right of way line of South Gessner Road,
566-16         Thence in a northerly direction with the East right of way
566-17   line of South Gessner Road to the point of intersection with the
566-18   North line of the Tanglewilde, Section 1 Subdivision as described
566-19   by plat recorded in Vol. 49, Pg. 25 of the Map Records of Harris
566-20   County,
566-21         Thence in an easterly direction with the North line of the
566-22   Tanglewilde, Section 1 Subdivision to the northeast corner of lot
566-23   16, block 1 of the Tanglewilde, Section 1 Subdivision,
566-24         Thence continuing in an easterly direction to the most
 567-1   westerly southwest corner of that certain 7.0276 acre, more or
 567-2   less, parcel of land more particularly described by metes and
 567-3   bounds in the instrument recorded under County Clerk's File No.
 567-4   R247328 of the Official Public Records of Real Property of Harris
 567-5   County,
 567-6         Thence continuing in an easterly direction with the South
 567-7   line of the said 7.0276 acre parcel 328 feet, more or less, to an
 567-8   interior corner of that parcel,
 567-9         Thence in a southerly direction with a westerly line of the
567-10   said 7.0276 acre parcel, 106.41 feet, more or less, to a southwest
567-11   corner of that parcel, being also a point in the North line of the
567-12   Tanglewilde, Section 1 Subdivision,
567-13         Thence in an easterly direction with the North line of the
567-14   Tanglewilde, Section 1 Subdivision, 441.71 feet, more or less, to
567-15   an interior corner of that subdivision, being also a point in the
567-16   West right of way line of Rockyridge Drive,
567-17         Thence in a northerly direction with the West right of way
567-18   line of Rockyridge Drive to the point of intersection with the
567-19   westerly projection of the North line of lot 1, block four of the
567-20   Tanglewilde Section 1 Subdivision,
567-21         Thence in an easterly direction with the westerly projection
567-22   of the North line of lot 1, block four of the Tanglewilde Section 1
567-23   Subdivision to the northwest corner of that lot 1, block four,
567-24         Thence continuing in an easterly direction with the North
 568-1   line of lot 1, block four of the Tanglewilde Section 1 Subdivision
 568-2   to the northeast corner of that lot, being also a point in the West
 568-3   line of the replatted Westmont Subdivision as described by plat
 568-4   recorded in Vol. 75, Pg. 50 of the Map Records of Harris County,
 568-5         Thence in a northerly direction with the West line of the
 568-6   replatted Westmont Subdivision to the northwest corner of said
 568-7   replatted Westmont Subdivision,
 568-8         Thence in an easterly direction with the North line of the
 568-9   replatted Westmont Subdivision to the point of intersection with
568-10   the centerline of Westerland Drive,
568-11         Thence in a northerly direction with the centerline of
568-12   Westerland Drive to the point of intersection with the easterly
568-13   projection of the North right of way line of Ella Lee Lane,
568-14         Thence in a westerly direction with the easterly projection
568-15   of the North right of way line of Ella Lee Lane and continuing with
568-16   the North right of way line of Ella Lee Lane to the POINT OF
568-17   BEGINNING.
568-18         SAVE AND EXCEPT THE FOLLOWING PARCELS OF LAND:
568-19         That certain parcel of land containing approximately 6.7912
568-20   acres, in the Henry Woodruff Survey, Abstract No. 844, described in
568-21   deed dated June 29, 1979, from Southern Pacific Transportation
568-22   Company, as grantor to Crystal Chemical Company, as grantee,
568-23   recorded under County Clerk's File Number G154538 of the Official
568-24   Public Records of Real Property of Harris, County, Texas,
 569-1         That certain parcel of land containing approximately 99.542
 569-2   acres, in the George Bellows Survey, Abstract No. 3, described in
 569-3   deed dated April 30, 1987, from Dresser Industries, Inc., as
 569-4   grantor to Western Atlas International, Inc., as grantee, recorded
 569-5   under County Clerk's File Number L169978 of the Official Public
 569-6   Records of Real Property of Harris, County, Texas,
 569-7         The Condominium project known as Westchase Gardens originally
 569-8   described by declaration filed in Volume 109, PAGE 48 of the
 569-9   Condominium Records of Harris County, Texas,
569-10         The Condominium project known as Terra Courtyard Condominiums
569-11   described by declaration filed in Volume 110, PAGE 124 of the
569-12   Condominium Records of Harris County, Texas,
569-13         The Condominium projects known as River Stone I, II and III
569-14   originally described by declaration filed in Volume 100, PAGE 137
569-15   of the Condominium Records of Harris County, Texas, and amended by
569-16   declaration filed in Volume 101, PAGE 79 of the Condominium Records
569-17   of Harris County, Texas,
569-18         The Condominium project known as Townhomes at Westchase
569-19   Condominiums described by declaration originally filed in Volume
569-20   77, PAGE 1 and subsequently amended by declarations file in Volume
569-21   85, Page 40 and Volume 164, Page 21 of the Condominium Records of
569-22   Harris County, Texas,
569-23         The Condominium project known as The Elm Grove Condominium
569-24   described by declaration filed in Volume 85, PAGE 41 of the
 570-1   Condominium Records of Harris County, Texas,
 570-2         The Condominium project known as Doma Chase Condominium
 570-3   described by declaration filed in Volume 88, PAGE 82 of the
 570-4   Condominium Records of Harris County, Texas,
 570-5         The Condominium project known as Westchase Forest Townhomes
 570-6   described by declaration filed in Volume 144, PAGE 88 of the
 570-7   Condominium Records of Harris County, Texas,
 570-8         The Condominium project known as Westchase Forest Townhomes
 570-9   described by declaration filed in Volume 145, PAGE 98 of the
570-10   Condominium Records of Harris County, Texas,
570-11         The Condominium project known as Westchase Forest Townhomes
570-12   described by declaration filed in Volume 152, PAGE 39 of the
570-13   Condominium Records of Harris County, Texas,
570-14         The Condominium project known as Parkwest Place Condominiums
570-15   described by declaration filed in Volume 160, PAGE 28 of the
570-16   Condominium Records of Harris County, Texas,
570-17         The Condominium project known as Woodchase Village
570-18   Condominiums described by declaration filed in Volume 92, PAGE 128
570-19   of the Condominium Records of Harris County, Texas,
570-20         The Condominium project known as Meadowridge described by
570-21   declaration filed in Volume 123, PAGE 51 of the Condominium Records
570-22   of Harris County, Texas,
570-23         The Condominium project known as SunStream Villas, A
570-24   Condominium Community described by declaration filed in Volume 90,
 571-1   PAGE 1 of the Condominium Records of Harris County, Texas,
 571-2         The Residential Subdivision known as Sunridge Villas
 571-3   described by declaration filed in Volume 290, PAGE 70 of the Map
 571-4   Records of Harris County, Texas,
 571-5         The Condominium project known as Sunridge Villas II
 571-6   Condominiums described by declaration filed in Volume 134, PAGE 81
 571-7   of the Condominium Records of Harris County, Texas,
 571-8         The Condominium project known as Idlewood described by
 571-9   declaration filed in Volume 59, PAGE 23 of the Condominium Records
571-10   of Harris County, Texas,
571-11         The Residential Subdivision known as Wind River Park Townhome
571-12   Apartments described by declaration filed in Volume 265, PAGE 42 of
571-13   the Map Records of Harris County, Texas.
571-14         Sec. 376.045.  FINDINGS RELATING TO BOUNDARIES.  The
571-15   boundaries and field notes of the district form a closure.  If a
571-16   mistake is made in the field notes or in copying the field notes in
571-17   the legislative process, the mistake does not in any way affect
571-18   the:
571-19               (1)  organization, existence, and validity of the
571-20   district;
571-21               (2)  right of the district to issue any type of bonds
571-22   or refunding bonds for the purposes for which the district is
571-23   created or to pay the principal of and interest on the bonds;
571-24               (3)  right of the district to impose and collect
 572-1   assessments or taxes; or
 572-2               (4)  legality or operation of the district or its
 572-3   governing body.
 572-4         Sec. 376.046.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
 572-5   (a)  All the land and other property included in the district will
 572-6   be benefited by the improvements and services to be provided by the
 572-7   district under powers conferred by Section 52, Article III, Section
 572-8   59, Article XVI, and Section 52-a, Article III, Texas Constitution,
 572-9   and other powers granted under this subchapter, and the district is
572-10   created to serve a public use and benefit.
572-11         (b)  The creation of the district is in the public interest
572-12   and is essential to:
572-13               (1)  further the public purposes of the development and
572-14   diversification of the economy of the state; and
572-15               (2)  eliminate unemployment and underemployment and
572-16   develop or expand transportation and commerce.
572-17         (c)  The district will:
572-18               (1)  promote the health, safety, and general welfare of
572-19   residents, employers, employees, visitors, consumers in the
572-20   district, and the general public;
572-21               (2)  provide needed funding for the Westchase area to
572-22   preserve, maintain, and enhance the economic health and vitality of
572-23   the area as a community and business center; and
572-24               (3)  further promote the health, safety, welfare, and
 573-1   enjoyment of the public by providing pedestrian ways and by
 573-2   landscaping and developing certain areas in the district, which are
 573-3   necessary for the restoration, preservation, and enhancement of
 573-4   scenic and aesthetic beauty.
 573-5         (d)  Pedestrian ways along or across a street, whether at
 573-6   grade or above or below the surface, and street lighting, street
 573-7   landscaping, and street art objects are parts of and necessary
 573-8   components of a street and are considered to be a street or road
 573-9   improvement.
573-10         (e)  The district will not act as the agent or
573-11   instrumentality of any private interest even though many private
573-12   interests will be benefited by the district, as will the general
573-13   public.
573-14         Sec. 376.047.  APPLICATION OF OTHER LAW.  Except as otherwise
573-15   provided by this subchapter, Chapter 375 applies to the district.
573-16         Sec. 376.048.  CONSTRUCTION OF SUBCHAPTER.  This subchapter
573-17   shall be liberally construed in conformity with the findings and
573-18   purposes stated in this subchapter.
573-19         Sec. 376.049.  BOARD OF DIRECTORS IN GENERAL.  (a)  The
573-20   district is governed by a board of 17 directors who serve staggered
573-21   terms of four years with eight or nine members' terms expiring June
573-22   1 of each odd-numbered year.
573-23         (b)  Subchapter D, Chapter 375, applies to the board to the
573-24   extent that subchapter does not conflict with this subchapter.
 574-1         Sec. 376.050.  APPOINTMENT OF DIRECTORS; VACANCY.  The mayor
 574-2   and members of the governing body of the municipality shall appoint
 574-3   directors from persons recommended by the board.  A vacancy in the
 574-4   office of director because of the death, resignation, or removal of
 574-5   a director shall be filled by the remaining members of the board by
 574-6   appointing a qualified person for the unexpired term.  The mayor
 574-7   and members of the governing body of the municipality shall appoint
 574-8   as directors for the positions indicated persons representing the
 574-9   following interests:
574-10               (1)  positions 1, 11, and 12 must represent owners of
574-11   multifamily rental housing with a minimum of 200 rental units;
574-12               (2)  position 2 must be a lessee of office space of at
574-13   least 30,000 square feet of rentable area;
574-14               (3)  positions 9 and 10 must represent owners of office
574-15   facilities with a minimum of 500 employees or taxable value in
574-16   excess of $10 million;
574-17               (4)  positions 8, 13, and 14 must represent owners of
574-18   multitenant office buildings;
574-19               (5)  position 15 must represent owners of multitenant
574-20   retail property or major retail tenants of 20,000 square feet or
574-21   more;
574-22               (6)  position 16 must represent owners of temporary
574-23   lodging facilities with on-site food service;
574-24               (7)  position 17 must represent owners of undeveloped
 575-1   property with a contiguous area of 5 acres or more; and
 575-2               (8)  positions 3, 4, 5, 6, and 7 must represent the
 575-3   district at large and any person qualified to serve on the board as
 575-4   provided by Section 375.063 may be appointed for those positions.
 575-5         Sec. 376.051.  EX OFFICIO MEMBERS OF BOARD OF DIRECTORS.  The
 575-6   board may appoint nonvoting ex officio members to serve on the
 575-7   board.
 575-8         Sec. 376.052.  POWERS OF DISTRICT.  (a)  The district has:
 575-9               (1)  all powers necessary or required to accomplish the
575-10   purposes for which the district was created;
575-11               (2)  the rights, powers, privileges, authority, and
575-12   functions of a district created under Chapter 375;
575-13               (3)  the powers given to a corporation under Section
575-14   4B, the Development Corporation Act of 1979 (Article 5190.6,
575-15   Vernon's Texas Civil Statutes), and the power to own, operate,
575-16   acquire, construct, lease, improve, and maintain projects described
575-17   by that section;
575-18               (4)  the power to impose ad valorem taxes, assessments,
575-19   or impact fees in accordance with Chapter 375 to provide
575-20   improvements and services for a project or activity the district is
575-21   authorized to acquire, construct, improve, or provide under this
575-22   subchapter; and
575-23               (5)  the power to correct, add to, or delete
575-24   assessments from its assessment rolls after notice and hearing as
 576-1   provided by Subchapter F, Chapter 375.
 576-2         (b)  The district may not impose a sales and use tax and may
 576-3   not acquire property through eminent domain.
 576-4         Sec. 376.053.  EXPENSES AND LIABILITY FOR CERTAIN ACTIONS
 576-5   AFFECTING PROPERTY.  (a)  If the district, in exercising a power
 576-6   conferred by this subchapter, requires a relocation, adjustment,
 576-7   raising, lowering, rerouting, or changing of the grade or the
 576-8   construction of any of the following items, the district must take
 576-9   that required action at the sole expense of the district:
576-10               (1)  a street, alley, highway, overpass, underpass,
576-11   road, railroad track, bridge, facility, or other property;
576-12               (2)  an electric line, conduit, facility, or other
576-13   property;
576-14               (3)  a telephone or telegraph line, conduit, facility,
576-15   or other property;
576-16               (4)  a gas transmission or distribution pipe, pipeline,
576-17   main, facility, or other property;
576-18               (5)  a water, sanitary sewer, or storm sewer pipe,
576-19   pipeline, main, facility, or other property;
576-20               (6)  a cable television line, cable, conduit, facility,
576-21   or other property; or
576-22               (7)  another pipeline, facility, or other property
576-23   relating to the pipeline.
576-24         (b)  The district shall bear damages that are suffered by
 577-1   owners of the facility or other property.
 577-2         Sec. 376.054.  RELATION TO OTHER LAW.  If any provision of a
 577-3   law referred to in Section 376.052 is in conflict with or is
 577-4   inconsistent with this subchapter, this subchapter prevails.  Any
 577-5   law referred to in this subchapter that is not in conflict or
 577-6   inconsistent with this subchapter is adopted and incorporated by
 577-7   reference.
 577-8         Sec. 376.055.  REQUIREMENTS FOR FINANCING SERVICES AND
 577-9   IMPROVEMENTS.  The board may not finance services and improvement
577-10   projects under this subchapter unless a written petition requesting
577-11   those improvements or services has been filed with the board.  The
577-12   petition must be signed by:
577-13               (1)  the owners of a majority of the assessed value of
577-14   real property in the district as determined by the most recent
577-15   certified county property tax rolls; or
577-16               (2)  at least 50 persons who own property in the
577-17   district, if there are more than 50 persons who own property in the
577-18   district as determined by the most recent certified county property
577-19   tax rolls.
577-20         Sec. 376.056.  DISBURSEMENTS OR TRANSFERS OF FUNDS.  The
577-21   board by resolution shall establish the number of directors'
577-22   signatures and the procedure required for a disbursement or
577-23   transfer of the district's money.
577-24         Sec. 376.057.  BONDS.  (a)  The district may issue bonds or
 578-1   other obligations payable in whole or in part from ad valorem
 578-2   taxes, assessments, impact fees, revenues, grants, or other money
 578-3   of the district, or any combination of those sources of money, to
 578-4   pay for any authorized purpose of the district.
 578-5         (b)  Bonds or other obligations of the district may be issued
 578-6   in the form of bonds, notes, certificates of participation,
 578-7   including other instruments evidencing a proportionate interest in
 578-8   payments to be made by the district, or other obligations that are
 578-9   issued in the exercise of the district's borrowing power and may be
578-10   issued in bearer or registered form or may be issued in a form not
578-11   represented by an instrument but with their transfer registered on
578-12   books maintained by or on behalf of the district.
578-13         (c)  Except as provided by Subsection (d), the district must
578-14   obtain the municipality's approval of:
578-15               (1)  the issuance of bonds for an improvement project;
578-16   and
578-17               (2)  the plans and specifications of the improvement
578-18   project to be financed by the bonds.
578-19         (d)  If the district obtains the municipality's approval of a
578-20   capital improvements budget for a specified period not to exceed
578-21   five years, the district may finance the capital improvements and
578-22   issue bonds specified in the budget without further municipal
578-23   approval.
578-24         (e)  Before the district issues bonds, the district shall
 579-1   submit the bonds and the record of proceedings of the district
 579-2   relating to authorization of the bonds to the attorney general for
 579-3   approval as provided by Chapter 53, Acts of the 70th Legislature,
 579-4   2nd Called Session, 1987 (Article 717k-8, Vernon's Texas Civil
 579-5   Statutes).
 579-6         Sec. 376.058.  ASSESSMENTS.  (a)  The board may impose and
 579-7   collect an assessment for any purpose authorized by this
 579-8   subchapter.
 579-9         (b)  Assessments, reassessments, or assessments resulting
579-10   from an addition to or correction of the assessment roll by the
579-11   district, penalties and interest on an assessment or reassessment,
579-12   expenses of collection, and reasonable attorney's fees incurred by
579-13   the district:
579-14               (1)  are a first and prior lien against the property
579-15   assessed;
579-16               (2)  are superior to any other lien or claim other than
579-17   a lien or claim for county, school district, or municipal ad
579-18   valorem taxes; and
579-19               (3)  are the personal liability of and charge against
579-20   the owners of the property even if the owners are not named in the
579-21   assessment proceedings.
579-22         (c)  The lien is effective from the date of the resolution of
579-23   the board levying the assessment until the assessment is paid.  The
579-24   board may enforce the lien in the same manner that the board may
 580-1   enforce an ad valorem tax lien against real property.
 580-2         (d)  The district may not impose an assessment on the
 580-3   property, equipment, or facilities of a public utility, as defined
 580-4   by Section 2.0011 or 3.002, Public Utility Regulatory Act of 1995
 580-5   (Article 1446c-0, Vernon's Texas Civil Statutes).
 580-6         Sec. 376.059.  APPROVAL OF CERTAIN IMPROVEMENT PROJECTS.  The
 580-7   district must obtain the municipality's approval of the plans and
 580-8   specifications of any district improvement project related to the
 580-9   use of land owned by the municipality, an easement granted by the
580-10   municipality, or a right-of-way of a street, road, or highway.
580-11         Sec. 376.060.  ELECTIONS.  (a)  In addition to the elections
580-12   the district must hold under Subchapter L, Chapter 375, the
580-13   district shall hold an election in the manner provided by that
580-14   subchapter to obtain voter approval before the district imposes a
580-15   maintenance tax or issues bonds payable from ad valorem taxes or
580-16   assessments.
580-17         (b)  The board may submit multiple purposes in a single
580-18   proposition at an election.
580-19         (c)  The board may not call an election under this subchapter
580-20   unless a written petition requesting an election has been filed
580-21   with the board.  The petition must be signed by:
580-22               (1)  the owners of a majority of the assessed value of
580-23   real property in the district as determined by the most recent
580-24   certified county property tax rolls; or
 581-1               (2)  at least 50 persons who own property in the
 581-2   district, if there are more than 50 persons who own property in the
 581-3   district as determined by the most recent certified county property
 581-4   tax rolls.
 581-5         Sec. 376.061.  IMPACT FEES.  (a)  The district may impose an
 581-6   impact fee for an authorized purpose as provided by Subchapter G,
 581-7   Chapter 375.
 581-8         (b)  The district may not impose an impact fee on the
 581-9   property, equipment, or facilities of a public utility, as defined
581-10   by Section 2.0011 or 3.002, Public Utility Regulatory Act of 1995
581-11   (Article 1446c-0, Vernon's Texas Civil Statutes).
581-12         Sec. 376.062.  MAINTENANCE TAX.  (a)  If authorized at an
581-13   election held in accordance with Section 376.060, the district may
581-14   impose and collect an annual ad valorem tax on taxable property in
581-15   the district for the maintenance and operation of the district and
581-16   the improvements constructed or acquired by the district or for the
581-17   provision of services to industrial or commercial businesses,
581-18   residents, or property owners.
581-19         (b)  The board shall determine the tax rate.
581-20         Sec. 376.063.  DISSOLUTION OF DISTRICT.  (a)  The district
581-21   may be dissolved as provided by Subchapter M, Chapter 375.
581-22         (b)  Notwithstanding Section 375.264, a district that has
581-23   debt may be dissolved as provided by Subchapter M, Chapter 375.  If
581-24   the district has debt and is dissolved, the district shall remain
 582-1   in existence solely for the limited purpose of discharging its
 582-2   bonds or other obligations according to their terms.
 582-3         Sec. 376.064.  CONTRACTS.  (a)  To protect the public
 582-4   interest, the district may contract with the municipality or county
 582-5   for the provision of law enforcement services by the county or
 582-6   municipality in the district on a fee basis.
 582-7         (b)  The municipality, county, or another political
 582-8   subdivision of the state, without further authorization, may
 582-9   contract with the district to implement a project of the district
582-10   or assist the district in providing the services authorized under
582-11   this subchapter.  A contract under this subsection may:
582-12               (1)  be for a period on which the parties agree;
582-13               (2)  include terms on which the parties agree;
582-14               (3)  be payable from taxes or any other sources of
582-15   revenue that may be available for such purpose; or
582-16               (4)  provide that taxes or other revenue collected at a
582-17   district project or from a person using or purchasing a commodity
582-18   or service at a district project may be paid or rebated to the
582-19   district under the terms of the contract.
582-20         (c)  The district may enter into a contract, lease, or other
582-21   agreement with or make or accept grants and loans to or from:
582-22               (1)  the United States;
582-23               (2)  the state or a state agency;
582-24               (3)  any county, any municipality, or another political
 583-1   subdivision of the state;
 583-2               (4)  a public or private corporation, including a
 583-3   nonprofit corporation created by the board under other law; or
 583-4               (5)  any other person.
 583-5         (d)  The district may perform all acts necessary for the full
 583-6   exercise of the powers vested in the district on terms and for the
 583-7   period the board determines advisable.
 583-8         Sec. 376.065.  COMPETITIVE BIDDING.  The district may enter a
 583-9   contract for more than $10,000 for services, improvements, or the
583-10   purchase of property, including materials, machinery, equipment, or
583-11   supplies, only as provided by Subchapter K, Chapter 375.
583-12         Sec. 376.066.  INITIAL DIRECTORS.  (a)  The initial board
583-13   consists of the following persons:
583-14         Position Number                      Director
583-15                1                         Paul S. McDonald
583-16                2                         Don R. Mathis
583-17                3                         Donna J. Flowers
583-18                4                         Steve Hilton
583-19                5                         Bruce Wilkerson
583-20                6                         James R. Murphy
583-21                9                         Jack W. Michael
583-22               10                         Mark Taylor
583-23               11                         Michael W. Biggs
583-24               12                         Ted M. Kerr
 584-1               13                         David J. Lee
 584-2               14                         Douglas L. Elliott
 584-3               15                         Candy A. Tillack
 584-4               16                         Fred S. Kummer III
 584-5               17                         Andrew R. Lear
 584-6         (b)  The board shall appoint the initial directors for
 584-7   positions 7 and 8.
 584-8         (c)  The terms of the initial directors for positions 1
 584-9   through 8 expire June 1, 1997, and the terms of the initial
584-10   directors for positions 9 through 17 expire June 1, 1999.
584-11         (d)  This section expires September 1, 1999.
584-12            (Sections 376.067-376.080 reserved for expansion
584-13         SUBCHAPTER C.  GREATER GREENSPOINT MANAGEMENT DISTRICT
584-14         Sec. 376.081.  CREATION OF DISTRICT.  (a)  A special district
584-15   to be known as the "Greater Greenspoint Management District of
584-16   Harris County" exists as a governmental agency, a body politic and
584-17   corporate, and a political subdivision of the state.
584-18         (b)  The name of the district may be changed by resolution of
584-19   the board.
584-20         (c)  The creation of the district is essential to accomplish
584-21   the purposes of Section 52, Article III, Section 59, Article XVI,
584-22   and Section 52-a, Article III, Texas Constitution, and to other
584-23   public purposes stated in this subchapter.
584-24         Sec. 376.082.  DECLARATION OF INTENT.  (a)  The creation of
 585-1   the district is necessary to promote, develop, encourage, and
 585-2   maintain employment, commerce, economic development, the public
 585-3   welfare, transportation, housing, tourism, convention and
 585-4   convocation activities, recreation, arts, entertainment, and safety
 585-5   in the greater Greenspoint area of the county.
 585-6         (b)  The creation of the district and this legislation is not
 585-7   to be interpreted to relieve the county or the municipality from
 585-8   providing the level of services, as of August 26, 1991, to the area
 585-9   in the district or to release the county or the municipality from
585-10   the obligations each entity has to provide services to that area.
585-11   The district is created to supplement and not supplant the
585-12   municipal or county services in the area in the district.
585-13         (c)  By creating the district and in authorizing the
585-14   municipality, county, and other political subdivisions to contract
585-15   with the district, the legislature has established a program to
585-16   accomplish the public purposes set out in Section 52-a, Article
585-17   III, Texas Constitution.
585-18         Sec. 376.083.  DEFINITIONS.  In this subchapter:
585-19               (1)  "Board" means the board of directors of the
585-20   district.
585-21               (2)  "County" means Harris County, Texas.
585-22               (3)  "District" means the Greater Greenspoint
585-23   Management District of Harris County.
585-24               (4)  "Municipality" means the City of Houston, Texas.
 586-1         Sec. 376.084.  BOUNDARIES.  The district includes all the
 586-2   territory contained in the following described area:
 586-3         BEING 7,370 acres, more or less, out of the B.B.B. & C.R.R.
 586-4   Abstract 174, B.B.B. & C.R.R. Abstract 175, Peter Craft Abstract
 586-5   201, Simon Contreras Abstract 220, Francis Dirks Abstract 235,
 586-6   E. Farias Abstract 278, S. L. Noble Abstract 608, Daniel O'Neal
 586-7   Abstract 617, M. Sevey Abstract 699, Jesse B. Sanders Abstract 732,
 586-8   John Schnell Abstract 741, P. Sullivan Abstract 749, P. Sullivan
 586-9   Abstract 750, S. W. Upshaw Abstract 821, C. Walter Abstract 849,
586-10   W.C.R.R.CO. Abstract 889, W.C.R.R.CO. Abstract 895, W.C.R.R.CO.
586-11   Abstract 925, W.C.R.R.CO. Abstract 937, John Durkee Abstract 1069,
586-12   D. U. Weld Abstract 1133, J. & R. Schmidt Abstract 1286,
586-13   S. S. Reynolds Abstract 1356, J. Schmidt Abstract 1453,
586-14   J. H. Stewart Abstract 1493, J. H. Stewart Abstract 1494,
586-15   D. U. Weld Abstract 1496, Robert Windt Abstract 1500, located in
586-16   Harris County, Texas and described by metes and bounds as follows:
586-17         BEGINNING at the southeast corner of the John E. Durkee
586-18   League, Abstract 1069;
586-19         Thence in a northerly direction with the east line of
586-20   Abstract 1069 to the point of intersection with the southern right
586-21   of way line of West Road;
586-22         Thence in an easterly direction with the southern right of
586-23   way line of West Road to the point of intersection with a southerly
586-24   projection of the west boundary line of the Green Ridge North
 587-1   subdivision, Section 1 as described by plat recorded in Volume 139,
 587-2   Page 40, of the Harris County Map Records (H.C.M.R.);
 587-3         Thence in a northerly direction with the west line of Green
 587-4   Ridge North Section 1, and the southerly projection thereof, at 370
 587-5   feet, more or less, pass the southern right of way line of Woodson
 587-6   Road, continuing to the most northern northwest corner of Green
 587-7   Ridge North Section 1;
 587-8         Thence in a northerly direction with a projection of the west
 587-9   line Green Ridge North Section 1 to the point of intersection with
587-10   the center right of way line of Hardwicke Road;
587-11         Thence in an easterly direction with the center right of way
587-12   line of Hardwicke Road to the point of intersection with the center
587-13   right of way line of Chipman Lane;
587-14         Thence in a northerly direction with the center right of way
587-15   line of Chipman Lane and a northerly projection thereof to the
587-16   point of intersection with the center right of way line of Goodson
587-17   Drive;
587-18         Thence in an easterly direction with the center right of way
587-19   line of Goodson Drive to the point of intersection with the center
587-20   right of way line of Imperial Valley Drive;
587-21         Thence in a northerly direction with the center right of way
587-22   line of Imperial Valley Drive to the point of intersection with an
587-23   easterly projection of the southern boundary line of Imperial
587-24   Valley subdivision, Section 2 as described together with Section 1
 588-1   by Plat Recorded in Volume 130, Page 27, H.C.M.R.;
 588-2         Thence in a westerly direction with the southern boundary
 588-3   line of Imperial Valley Section 2, and the easterly projection, to
 588-4   the southwest corner of that subdivision;
 588-5         Thence in a northerly direction with the western boundary of
 588-6   the Imperial Valley Sections 1 & 2, being also the western right of
 588-7   way line of Wagon Road, to the northwest corner of Imperial Valley
 588-8   Section 1, being a point in the south line of Aldine-Bender Road
 588-9   (F.M. 525);
588-10         Thence in an easterly direction with the south line of
588-11   Aldine-Bender Road (F.M. 525) to the point of intersection with the
588-12   eastern right of way line of the Hardy Toll Road;
588-13         Thence in a northerly direction with the eastern right of way
588-14   line of the Hardy Toll Road to the point of intersection with the
588-15   northern right of way line of Rankin Road;
588-16         Thence in a westerly direction with the northern right of way
588-17   line of Rankin Road to the point of intersection with the eastern
588-18   boundary line of the S. L. Noble League, Abstract 608;
588-19         Thence in a northerly direction with the eastern boundary
588-20   line of Abstract 608, 1,244 feet, more or less, to a point marking
588-21   the southeast corner of the parcel of land conveyed by deed from
588-22   Bird Pyle to O. P. Hairgrove, recorded in Volume 247, Page 434, of
588-23   the Harris County Deed Records, (The Pyle Parcel);
588-24         Thence in a westerly direction, along the south line of the
 589-1   Pyle Parcel, one mile, more or less, to the southwest corner of
 589-2   that parcel, being a point in the western boundary line of the
 589-3   S. L. Noble League, Abstract 608, being also in the eastern line of
 589-4   the P. Sullivan League, Abstract 750;
 589-5         Thence in a northerly direction with the east line of
 589-6   Abstract 750 to the northeast corner of that league;
 589-7         Thence in a westerly direction with the north line of
 589-8   Abstract 750 to the northwest corner of that league;
 589-9         Thence in a southerly direction with the west line of
589-10   Abstract 750 to the southwest corner of that league, being also a
589-11   point in the north line of the Daniel O'Neal League, Abstract 617;
589-12         Thence in a westerly direction with the north line of
589-13   Abstract 617 to a point, being both the northwest corner of that
589-14   league and the northeast corner of the John Schnell League,
589-15   Abstract 741;
589-16         Thence continuing in an westerly direction with the north
589-17   line of Abstract 741 to the northwest corner of that league;
589-18         Thence in a southerly direction with the west line of
589-19   Abstract 741 to the southwest corner of that league;
589-20         Thence in an easterly direction with the south line of
589-21   Abstract 741 to the southeast corner of that league, being also a
589-22   point in the western line of the B.B.B. & C.R.R. League, Abstract
589-23   174;
589-24         Thence in a southerly direction with the west line Abstract
 590-1   174, to the point of intersection with the center line of Greens
 590-2   Bayou;
 590-3         Thence in a southwesterly direction with the center line of
 590-4   Greens Bayou to the point of intersection with the north right of
 590-5   way line of Gears Road;
 590-6         Thence in a westerly direction with the north right of way
 590-7   line of Gears Road to the point of intersection with a northerly
 590-8   projection of the western boundary of Greens Crossing, Section One,
 590-9   a commercial subdivision described by plat recorded in Volume 303,
590-10   Page 103, H.C.M.R.;
590-11         Thence in a southerly direction with the western boundary of
590-12   Greens Crossing, Section One, and the northerly projection thereof,
590-13   to the southwest corner of that subdivision;
590-14         Thence in an easterly direction with the most southern
590-15   boundary of Greens Crossing, Section One, and an easterly
590-16   projection thereof, to the point of intersection with the center
590-17   line of Greens Bayou;
590-18         Thence in a southwesterly direction with the center line of
590-19   Greens Bayou to the point of intersection with the northern right
590-20   of way line the Sam Houston Toll Road (Beltway 8);
590-21         Thence in a westerly direction with the north right of way
590-22   line of Beltway 8 to the point of intersection with the east right
590-23   of way line of Veterans Memorial Parkway, formerly known as
590-24   Steubner-Airline Road;
 591-1         Thence in a southerly direction with the east right of way
 591-2   line of Veterans Memorial Parkway to the point of intersection with
 591-3   the south right of way line of Aldine-Western Road;
 591-4         Thence in an easterly direction with the south right of way
 591-5   line of Aldine-Western Road and an easterly projection thereof, to
 591-6   the point of intersection with the western boundary line of the
 591-7   D.U. Weld League, Abstract 1496;
 591-8         Thence in a southerly direction with the west line of the
 591-9   D.U. Weld League, Abstract 1496 to the southwest corner of that
591-10   league, being also the northwest corner of the J. H. Stewart
591-11   League, Abstract 1493;
591-12         Thence in a southerly direction with west line of Abstract
591-13   1493 to the southeast corner of the S.S. Reynolds League, Abstract
591-14   1356;
591-15         Thence in a westerly direction with the south line of
591-16   Abstract 1356 to a northeastern corner of the Fallbrook
591-17   subdivision, Section 3, as described by plat recorded in Volume
591-18   232, Page 11, H.C.M.R.;
591-19         Thence in a southerly direction with the east line Fallbrook
591-20   Section 3 to the southeast corner of that subdivision, being also
591-21   the northeast corner of the Fallbrook subdivision, Section 2, as
591-22   described by plat recorded in Volume 214, Page 10, H.C.M.R.;
591-23         Thence in a southerly direction with an eastern boundary of
591-24   Fallbrook Section 2 to an interior corner of that subdivision;
 592-1         Thence in an easterly direction with a north line of
 592-2   Fallbrook Section 2, to the most easterly northeast corner of that
 592-3   section, being also the most northerly northwest corner of the
 592-4   Fallbrook subdivision, Section 1 as described by plat recorded in
 592-5   Volume 167, Page 91, H.C.M.R.;
 592-6         Thence in an easterly direction with the northern most
 592-7   Boundary of Fallbrook Section 1 to the point of intersection with
 592-8   the west line of the John E. Durkee League, Abstract 1069;
 592-9         Thence in a southerly direction with the west line of
592-10   Abstract 1069 to the southwest corner of that league;
592-11         Thence in an easterly direction with the south line of
592-12   Abstract 1069 to the southeast corner of that league, and the POINT
592-13   OF BEGINNING.
592-14         There is excluded from the district the following tract of
592-15   land which is described by metes and bounds as follows:
592-16         BEGINNING at a 1/2 inch iron rod in the Northeast
592-17   right-of-way line of Stuebner Airline Road at its intersection with
592-18   the North line of said Francis Dirks Survey;
592-19         THENCE South 89 50' 32" East, 44.25 feet to a 1/2 inch iron
592-20   rod for corner at the Northeast corner of said Francis Dirks
592-21   Survey;
592-22         THENCE South 00 14' 44" East, along the East line of said
592-23   Francis Dirks Survey, 23.61 feet to a 3/4 inch iron pipe for corner
592-24   at the Northwest corner of said Jesse B. Sanders Survey;
 593-1         THENCE North 89 55' 25" East, along the North line of said
 593-2   Jesse B. Sanders Survey, 2,646.75 feet to a 5/8 inch iron rod for
 593-3   corner at the Northeast corner of said Sanders Survey;
 593-4         THENCE South 00 15' 13" West, along the East line of said
 593-5   Sanders Survey, 1,047.80 feet to a 1-1/4 inch iron pipe for corner
 593-6   on the North right-of-way line of Aldine Western Road (based on a
 593-7   width of 60.00 feet);
 593-8         THENCE South 89 46' 28" West, along the North right-of-way
 593-9   line of said Aldine Western Road, 1,987.35 feet to a 5/8 inch iron
593-10   rod for corner in the Northeasterly right-of-way line of Stuebner
593-11   Airline Road (based on a width of 80.00 feet);
593-12         THENCE North 33 01' 05" West, along the Northeasterly
593-13   right-of-way line of Stuebner Airline Road, 334.62 feet to a point
593-14   for corner on the South line of a 130.00 foot wide Harris County
593-15   Flood Control District easement and the beginning point of a curve
593-16   to the left;
593-17         THENCE Northeasterly, along the arc of said curve to the left
593-18   having a chord of North 61 54' 19" East, 479.94 feet, a radius of
593-19   966.84 feet, a central angle of 28 44' 32", a distance of 485.01
593-20   feet to a point for corner;
593-21         THENCE North 39 40' 00" West, along the Northeasterly line
593-22   of said drainage easement, 130.16 feet to a point for corner;
593-23         THENCE South 47 32' 03" West, along the Northerly line of
593-24   said drainage easement, 6.36 feet to a point for corner and the
 594-1   beginning point of a curve to the right;
 594-2         THENCE Westerly, continuing along the Northerly line of said
 594-3   drainage easement, along the arc of said curve to the right having
 594-4   a chord of South 63 28' 44.5" West, 459.78 feet, a radius of
 594-5   836.84 feet, a central angel of 31 53' 23", a distance of 465.77
 594-6   feet to a point for corner on the Northwesterly right-of-way line
 594-7   of Stuebner Airline Road;
 594-8         THENCE North 33 01' 05" West, along the Northeasterly
 594-9   right-of-way line of said Stuebner Airline Road, 826.04 feet to the
594-10   PLACE OF BEGINNING, containing 54.832 acres of land, more or less.
594-11   SAVE AND EXCEPT ALL AREA TAKEN BY CONDEMNATION BY THE STATE OF
594-12   TEXAS FOR SAM HOUSTON TOLLWAY (BELTWAY 8).
594-13         Sec. 376.085.  FINDINGS RELATING TO BOUNDARIES.  The
594-14   boundaries and field notes of the district form a closure.  If a
594-15   mistake is made in the field notes or in copying the field notes in
594-16   the legislative process, the mistake does not in any way affect
594-17   the:
594-18               (1)  organization, existence, and validity of the
594-19   district;
594-20               (2)  right of the district to issue any type of bonds
594-21   or refunding bonds for the purposes for which the district is
594-22   created or to pay the principal of and interest on the bonds;
594-23               (3)  right of the district to impose and collect
594-24   assessments or taxes; or
 595-1               (4)  legality or operation of the district or its
 595-2   governing body.
 595-3         Sec. 376.086.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.  (a)
 595-4   All the land and other property included within the boundaries of
 595-5   the district will be benefited by the improvements and services to
 595-6   be provided by the district under powers conferred by Section 52,
 595-7   Article III, Section 59, Article XVI, and Section 52-a, Article
 595-8   III, Texas Constitution, and other powers granted under this
 595-9   subchapter, and the district is created to serve a public use and
595-10   benefit.
595-11         (b)  The creation of the district is in the public interest
595-12   and is essential to:
595-13               (1)  further the public purposes of the development and
595-14   diversification of the economy of the state; and
595-15               (2)  eliminate unemployment and underemployment and
595-16   develop or expand transportation and commerce.
595-17         (c)  The district will:
595-18               (1)  promote the health, safety, and general welfare of
595-19   residents, employers, employees, and consumers in the district, and
595-20   the general public;
595-21               (2)  provide needed funding for the greater Greenspoint
595-22   area to preserve, maintain, and enhance the economic health and
595-23   vitality of the area as a community and business center; and
595-24               (3)  further promote the health, safety, welfare, and
 596-1   enjoyment of the public by providing pedestrian ways and by
 596-2   landscaping and developing certain areas in the district, which are
 596-3   necessary for the restoration, preservation, and enhancement of
 596-4   scenic and aesthetic beauty.
 596-5         (d)  Pedestrian ways along or across a street, whether at
 596-6   grade or above or below the surface, and street lighting, street
 596-7   landscaping, and street art objects are parts of and necessary
 596-8   components of a street and are considered to be a street or road
 596-9   improvement.
596-10         (e)  The district will not act as the agent or
596-11   instrumentality of any private interest even though many private
596-12   interests will be benefited by the district, as will the general
596-13   public.
596-14         Sec. 376.087.  CONSTRUCTION OF SUBCHAPTER.  This subchapter
596-15   shall be liberally construed in conformity with the legislative
596-16   findings and purposes stated in this subchapter.
596-17         Sec. 376.088.  BOARD OF DIRECTORS IN GENERAL.  The district
596-18   is governed by a board of 22 directors who serve staggered terms of
596-19   four years with 11 members' terms expiring June 1 of each
596-20   odd-numbered year.
596-21         Sec. 376.089.  APPOINTMENT OF DIRECTORS; VACANCY.  (a) A
596-22   vacancy in the office of director because of the death,
596-23   resignation, or removal of a director shall be filled by the
596-24   remaining members of the board by appointing a qualified person for
 597-1   the unexpired term.
 597-2         (b)  Directors shall be appointed and qualify as provided by
 597-3   Subchapter D, Chapter 375.
 597-4         Sec. 376.090.  POWERS OF DISTRICT.  (a)  The district has:
 597-5               (1)  all powers necessary or required to accomplish the
 597-6   purposes for which the district was created;
 597-7               (2)  the rights, powers, privileges, and authority of a
 597-8   district created under Chapter 375;
 597-9               (3)  the powers given to a corporation created under
597-10   the Development Corporation Act of 1979 (Article 5190.6, Vernon's
597-11   Texas Civil Statutes), the power to own, operate, acquire,
597-12   construct, lease, improve, and maintain the projects described in
597-13   that act and in this subchapter and any other authorized project,
597-14   and the power to acquire land and other property in accordance with
597-15   Section 4B, Development Corporation Act of 1979 (Article 5190.6,
597-16   Vernon's Texas Civil Statutes);
597-17               (4)  except as provided by Section 376.098, the power
597-18   to impose ad valorem taxes, assessments, or impact fees in
597-19   accordance with Chapter 375 to provide improvements and services
597-20   for a project or activity the district is authorized to acquire,
597-21   construct, improve, or provide under this subchapter;
597-22               (5)  the power to correct, add to, or delete
597-23   assessments from its assessment rolls and to collect assessments
597-24   due under the corrections, additions, and deletions after notice
 598-1   and hearing in the manner required by Section 375.115; and
 598-2               (6)  the power to create, tax, assess, and hold
 598-3   elections in a defined area under Chapter 54, Water Code, to
 598-4   provide improvements or services in the defined area for any
 598-5   project or activity the district is authorized to acquire,
 598-6   construct, improve, or provide.
 598-7         (b)  The district may not impose a sales and use tax.
 598-8         Sec. 376.091.  RELATION TO OTHER LAW.  If any provision of a
 598-9   law referenced in this subchapter is in conflict with or
598-10   inconsistent with this subchapter, this subchapter prevails.  Any
598-11   law referenced in this subchapter that is not in conflict with or
598-12   inconsistent with this subchapter is adopted and incorporated by
598-13   reference and may be used by the district independently of each
598-14   other.
598-15         Sec. 376.092.  REQUIREMENTS FOR FINANCING SERVICES AND
598-16   IMPROVEMENTS.  The board may not finance services and improvement
598-17   projects under this subchapter unless a written petition requesting
598-18   those improvements or services has been filed with the board.  The
598-19   petition must be signed by:
598-20               (1)  the owners of a majority of the assessed value of
598-21   real property in the district as determined by the most recent
598-22   certified county property tax rolls; or
598-23               (2)  at least 50 persons who own land in the district,
598-24   if there are more than 50 persons who own land in the district as
 599-1   determined by the most recent certified county property tax rolls.
 599-2         Sec. 376.093.  NONPROFIT CORPORATION.  (a)  The board by
 599-3   resolution may authorize the creation of a nonprofit corporation to
 599-4   assist and act on behalf of the district in implementing a project,
 599-5   providing residential housing, or providing a service authorized by
 599-6   this subchapter.
 599-7         (b)  The board shall appoint the board of directors of a
 599-8   nonprofit corporation created under this section.  The board of
 599-9   directors of the nonprofit corporation shall serve in the same
599-10   manner as, for the same term as, and on the conditions of the board
599-11   of directors of a local government corporation created under
599-12   Chapter 431, Transportation Code.
599-13         (c)  A nonprofit corporation created under this section has
599-14   the powers of and is considered for all purposes to be a local
599-15   government corporation created under Chapter 431, Transportation
599-16   Code.
599-17         (d)  A nonprofit corporation created under this section may
599-18   implement any project and provide any services authorized by this
599-19   subchapter.
599-20         (e)  A nonprofit corporation created under this section may
599-21   be dissolved as provided by Chapter 431, Transportation Code, for a
599-22   corporation created under that chapter.
599-23         Sec. 376.094.  BONDS.  (a)  The district may issue bonds or
599-24   other obligations payable in whole or in part from ad valorem
 600-1   taxes, assessments, impact fees, revenues, grants, or other money
 600-2   of the district, or any combination of those sources of money, to
 600-3   pay for any authorized purpose of the district.
 600-4         (b)  Bonds or other obligations of the district may be issued
 600-5   in the form of bonds, notes, certificates of participation,
 600-6   including other instruments evidencing a proportionate interest in
 600-7   payments to be made by the district, or other obligations that are
 600-8   issued in the exercise of the district's borrowing power.
 600-9         Sec. 376.095.  ASSESSMENTS.  (a)  Assessments, reassessments,
600-10   or assessments resulting from an addition to or correction of the
600-11   assessment roll by the district, penalties and interest on an
600-12   assessment or reassessment, expenses of collection, and reasonable
600-13   attorney's fees incurred by the district:
600-14               (1)  are a first and prior lien against the property
600-15   assessed;
600-16               (2)  are superior to any other lien or claim other than
600-17   a lien or claim for county, school district, or municipal ad
600-18   valorem taxes; and
600-19               (3)  are the personal liability of and charge against
600-20   the owners of the property even if the owners are not named in the
600-21   assessment proceedings.
600-22         (b)  The lien is effective from the date of the resolution of
600-23   the board levying the assessment until the assessment is paid.  The
600-24   board may enforce the lien in the same manner that the board may
 601-1   enforce an ad valorem tax lien against real property.
 601-2         Sec. 376.096.  ELECTIONS.  (a)  The district shall hold an
 601-3   election in the manner provided by Subchapter L, Chapter 375, to
 601-4   obtain voter approval before the district imposes a maintenance tax
 601-5   or issues bonds payable from ad valorem taxes or assessments.
 601-6         (b)  The board may submit multiple purposes in a single
 601-7   proposition at an election.
 601-8         (c)  The board may not call an election under this subchapter
 601-9   unless a written petition requesting an election has been filed
601-10   with the board.  The petition must be signed by 50 owners of
601-11   property in the district, if there are more than 50 persons who own
601-12   property in the district as determined by the most recent certified
601-13   county property tax rolls.
601-14         (d)  When issuing bonds payable from a defined area under
601-15   Chapter 54, Water Code, a required election must be held only in
601-16   the defined area and not in the entire district.
601-17         Sec. 376.097.  MAINTENANCE TAX.  (a)  If authorized at an
601-18   election held in accordance with Section 376.096, the district may
601-19   impose and collect an annual ad valorem tax on taxable property in
601-20   the district for maintenance and operation of the district and the
601-21   improvements constructed or acquired by the district and for the
601-22   provision of services to industrial or commercial businesses,
601-23   residents, or property owners.
601-24         (b)  The board shall determine the tax rate.
 602-1         Sec. 376.098.  EXEMPTION FROM ASSESSMENT AND IMPACT FEES.
 602-2   Because the district is created in an area that is devoted
 602-3   primarily to commercial and business activity, the district may not
 602-4   impose an impact fee or assessment on a single family residential
 602-5   property or a residential duplex, triplex, quadruplex, or
 602-6   condominium.
 602-7         Sec. 376.099.  TAX AND ASSESSMENT ABATEMENTS.  Without
 602-8   further authorization or other procedural requirement, the district
 602-9   may grant, consistent with Chapter 312, Tax Code, an abatement for
602-10   a tax or assessment owed to the district.
602-11         Sec. 376.100.  CONTRACTS.  (a)  To protect the public
602-12   interest, the district may contract with any municipality or any
602-13   county in which all or part of the district is located for the
602-14   provision of law enforcement services by the county or municipality
602-15   in the district on a fee basis.
602-16         (b)  The municipality, the county, or another political
602-17   subdivision, without further authorization, may contract with the
602-18   district to implement a project of the district or to assist the
602-19   district in providing authorized services.  A contract under this
602-20   subsection may:
602-21               (1)  be for a period on which the parties agree;
602-22               (2)  include terms on which the parties agree;
602-23               (3)  be payable from taxes or any other sources of
602-24   revenue that may be available for such purpose; and
 603-1               (4)  provide that taxes or other revenues collected at
 603-2   a district project, at a project in a tax increment reinvestment
 603-3   zone, or from a person using or purchasing a commodity or service
 603-4   at a district project may be paid or rebated to the district under
 603-5   the terms specified in the contract.
 603-6         (c)  The district may enter into a contract, lease, or other
 603-7   agreement with or make or accept grants and loans to or from:
 603-8               (1)  the United States;
 603-9               (2)  the state or a state agency;
603-10               (3)  any county, any municipality, or another political
603-11   subdivision of the state;
603-12               (4)  a public or private corporation, including a
603-13   nonprofit corporation created by the board under this subchapter;
603-14   or
603-15               (5)  any other person.
603-16         (d)  The district may perform all acts necessary for the full
603-17   exercise of the powers vested in the district on terms and for the
603-18   period the board determines advisable.
603-19         Sec. 376.101.  MEMBERSHIP IN CHARITABLE ORGANIZATIONS.  The
603-20   district may join and pay dues to an organization that enjoys
603-21   tax-exempt status under Sections 501(c)(3), 501(c)(4), and
603-22   501(c)(6), Internal Revenue Code of 1986 (26 U.S.C. Section
603-23   501(c)), and perform services or provide activities consistent with
603-24   the furtherance of the purposes of the district.  An expenditure of
 604-1   public money for membership in the organization is considered to
 604-2   further the purposes of the district and to be for a public
 604-3   purpose.
 604-4         Sec. 376.102.  ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
 604-5   All or any part of the area of the district is eligible,
 604-6   notwithstanding other statutory criteria, to be included in a tax
 604-7   increment reinvestment zone created by the municipality under
 604-8   Chapter 311, Tax Code, or included in a tax abatement reinvestment
 604-9   zone created by the municipality under Chapter 312, Tax Code.  All
604-10   or any part of the area of the district is also eligible to be
604-11   included in an enterprise zone by the municipality under Chapter
604-12   2303, Government Code.
604-13         Sec. 376.103.  OWNERSHIP OF PROPERTY BY THE DISTRICT.  After
604-14   title to real property is acquired by the district, an independent
604-15   school district, community college district, county, municipality,
604-16   hospital district, or other political subdivision or taxing
604-17   authority may not foreclose its tax lien or otherwise pursue unpaid
604-18   taxes on the property that accrued before the district's ownership
604-19   of the property, against the district or any successor in title to
604-20   the district that is a political subdivision of this state,
604-21   regardless of the manner in which or the price for which the
604-22   district obtained title to the property.
604-23         (c)  The following laws are repealed:
604-24               (1)  Chapters 436, 491, and 496, Acts of the 74th
 605-1   Legislature, Regular Session, 1995; and
 605-2               (2)  Chapter 817, Acts of the 72nd Legislature, Regular
 605-3   Session, 1991.
 605-4         SECTION 23.05.  Subchapter D, Chapter 312, Tax Code, is
 605-5   transferred to the Local Government Code, designated as Chapter
 605-6   383, Local Government Code, and amended to read as follows:
 605-7                CHAPTER 383. COUNTY DEVELOPMENT DISTRICTS
 605-8                    SUBCHAPTER A.  GENERAL PROVISIONS
 605-9         Sec. 383.001.  SHORT TITLE.  This chapter may be cited as the
605-10   County Development District Act.
605-11         Sec. 383.002.  LEGISLATIVE INTENT.  This chapter furthers the
605-12   public purpose of developing and diversifying the economy of this
605-13   state by providing incentives for the location and development of
605-14   projects in certain counties to attract visitors and tourists.
605-15         Sec. 383.003.  FINDINGS.  (a)  Small and medium-sized
605-16   counties in this state need incentives for the development of
605-17   public improvements to attract visitors and tourists to those
605-18   counties, and those counties are at a disadvantage in competing
605-19   with counties in other states for the location and development of
605-20   projects that attract visitors by virtue of the availability and
605-21   prevalent use of financial incentives in other states.
605-22         (b)  The means and measures authorized by this chapter are in
605-23   the public interest and serve a public purpose of this state in
605-24   promoting the economic welfare of the residents of this state by
 606-1   providing incentives for the location and development in certain
 606-2   counties of this state of projects that attract visitors and
 606-3   tourists and that result in employment and economic activity.
 606-4         (c)  The creation of development districts is essential to
 606-5   the accomplishment of Section 52-a, Article III, Texas
 606-6   Constitution, and to the accomplishment of the other public
 606-7   purposes stated in this chapter and further serves the purpose of
 606-8   Section 59, Article XVI, and Section 52, Article III, Texas
 606-9   Constitution.
606-10         Sec. 383.004.  DEFINITIONS.  In this chapter:
606-11               (1)  "Board" means the board of directors of the
606-12   district.
606-13               (2)  "Bonds" includes notes and other obligations.
606-14               (3)  "Commissioners court" means the governing body of
606-15   the county.
606-16               (4)  "Cost" has the meaning assigned by Section 2(4),
606-17   Development Corporation Act of 1979 (Article 5190.6, Vernon's Texas
606-18   Civil Statutes).
606-19               (5)  "County" means the county in which the district is
606-20   located.
606-21               (6)  "Director" means a member of the board.
606-22               (7)  "District" means a county development district
606-23   created under this chapter.
606-24               (8)  "Project" has the meaning assigned by Section
 607-1   4B(a)(2), Development Corporation Act of 1979 (Article 5190.6,
 607-2   Vernon's Texas Civil Statutes).
 607-3         Sec. 383.005.  GOVERNMENTAL AGENCY; TORT CLAIMS.  A district
 607-4   is a governmental agency, a body politic and corporate, and a
 607-5   political subdivision of the state.  Section 375.004 applies to a
 607-6   district.
 607-7            (Sections 383.006-383.020 reserved for expansion
 607-8          SUBCHAPTER B.  CREATION OF DISTRICT; TEMPORARY BOARD
 607-9         Sec. 383.021.  COUNTIES AUTHORIZED TO CREATE DISTRICTS.  (a)
607-10   The commissioners court of a county with a population of 400,000 or
607-11   less, on petition of the owners of land in a proposed district, may
607-12   commence the creation of a county development district.
607-13         (b)  The creation of the district is subject to a
607-14   confirmation election held as provided by this chapter.
607-15         Sec. 383.022.  PETITION OF LANDOWNERS.  To create a district,
607-16   a petition requesting creation must be filed with the commissioners
607-17   court of the county in which all of the land in the proposed
607-18   district is located.  The petition must be accompanied by a sworn
607-19   statement indicating consent to creation signed by the holders of
607-20   fee simple title of all of the land in the proposed district.
607-21         Sec. 383.023.  CONTENTS OF PETITION.  The petition must:
607-22               (1)  describe the boundaries of the proposed district
607-23   by metes and bounds or by lot and block number, if there is a
607-24   recorded map or plat and survey of the area;
 608-1               (2)  include a name for the proposed district, which
 608-2   must include the name of the county followed by the words
 608-3   "Development District No.______";
 608-4               (3)  include the names of five persons who are willing
 608-5   and qualified to serve as temporary directors of the proposed
 608-6   district;
 608-7               (4)  state the general nature of the work proposed to
 608-8   be done and the cost of the project as then estimated by the
 608-9   petitioners; and
608-10               (5)  state the necessity and feasibility of the
608-11   proposed district and whether the district will serve the public
608-12   purpose of attracting visitors and tourists to the county.
608-13         Sec. 383.024.  COMMISSION HEARING; CONTENTS OF NOTICE.
608-14   Before the 61st day after the date a petition is received, the
608-15   commissioners court shall set a date, time, and place at which the
608-16   petition shall be heard and shall issue notice of the date, time,
608-17   place, and subject matter of the hearing.  The notice shall inform
608-18   all persons of their right to appear and present evidence and
608-19   testify for or against the creation of the district.
608-20         Sec. 383.025.  NOTICE OF HEARING.  Before the 30th day before
608-21   the date set for the hearing, notice of the hearing shall be mailed
608-22   to the developer who signed the petition and the landowners of all
608-23   the land in the district and shall be published in a newspaper with
608-24   general circulation in the county in which the proposed district is
 609-1   located.
 609-2         Sec. 383.026.  HEARING.  At the hearing, the commissioners
 609-3   court shall examine the petition to ascertain its sufficiency, and
 609-4   any interested person may appear before the commissioners court to
 609-5   offer testimony on the sufficiency of the petition and whether the
 609-6   district should be created.
 609-7         Sec. 383.027.  GRANTING OR REFUSING PETITION.  (a)  After the
 609-8   hearing, if the commissioners court finds that the petition
 609-9   conforms to the requirements of Section 383.022 and that the
609-10   creation of the district and the proposed project is feasible and
609-11   necessary and would serve the public purpose of attracting visitors
609-12   and tourists to the county, the commissioners court shall make that
609-13   finding and enter an order creating the district.
609-14         (b)  If the commissioners court finds that the petition does
609-15   not conform to the requirements of Section 383.022 or that the
609-16   creation of the district and the proposed project is not feasible
609-17   and necessary and would not serve the purpose of attracting
609-18   visitors and tourists to the county, the commissioners court shall
609-19   make that finding in an order and deny the petition.
609-20         Sec. 383.028.  TEMPORARY DIRECTORS; VACANCY IN OFFICE.  (a)
609-21   If the commissioners court grants the petition, it shall appoint to
609-22   serve as temporary directors of the district five persons who are
609-23   qualified under this chapter to serve as directors.
609-24         (b)  A vacancy in the office of temporary director shall be
 610-1   filled by appointment by the commissioners court.
 610-2         Sec. 383.029.  QUALIFICATION OF TEMPORARY DIRECTORS;
 610-3   ORGANIZATION.  (a)  Each temporary director shall execute a bond in
 610-4   accordance with Section 383.046 and shall take an oath of office.
 610-5         (b)  The board shall meet and organize.
 610-6         Sec. 383.030.  CONFIRMATION AND SALES AND USE TAX ELECTION.
 610-7   The temporary board of directors shall conduct an election in the
 610-8   district to confirm the creation of the district and authorize a
 610-9   sales and use tax in conformity with this chapter.
610-10         Sec. 383.031.  ELECTION ORDER.  An order calling an election
610-11   under Section 383.030 must state:
610-12               (1)  the nature of the election, including the
610-13   proposition that is to appear on the ballot;
610-14               (2)  the date of the election;
610-15               (3)  the hours during which the polls will be open;
610-16               (4)  the location of the polling places; and
610-17               (5)  the proposed rate of the sales and use tax for the
610-18   district.
610-19         Sec. 383.032.  NOTICE.  The temporary directors shall give
610-20   notice of the election by publishing a substantial copy of the
610-21   election order once a week for two consecutive weeks in a newspaper
610-22   with general circulation in the county in which the proposed
610-23   district is located.  The first publication must appear before the
610-24   14th day before the date set for the election.
 611-1         Sec. 383.033.  CONDUCT OF ELECTION.  (a)  The election shall
 611-2   be held in accordance with the provisions of the Election Code, to
 611-3   the extent not inconsistent with this chapter.
 611-4         (b)  The ballot shall be printed to permit voting for or
 611-5   against the proposition:  "The creation of ____________ County
 611-6   Development District No. _____ and the adoption of a proposed local
 611-7   sales and use tax rate of _____ (the rate specified in the election
 611-8   order) to be used for the promotion and development of tourism."
 611-9         Sec. 383.034.  RESULTS OF ELECTION.  (a)  After the election,
611-10   the presiding judge shall make returns of the result to the
611-11   temporary board of directors.  The temporary board of directors
611-12   shall canvass the returns and declare the results.
611-13         (b)  If a majority of the votes cast in the election favor
611-14   the creation of the district and the adoption of the sales and use
611-15   tax, the temporary board shall declare that the district is created
611-16   and shall declare the amount of the local sales and use tax adopted
611-17   and enter the result in its minutes.  If a majority of the votes
611-18   cast in the election are against the creation of the district and
611-19   the adoption of the sales and use tax, the temporary board shall
611-20   declare that the proposition to create the district was defeated
611-21   and enter the result in its minutes.
611-22         (c)  A certified copy of the minute order declaring that the
611-23   district is created and the local sales and use tax adopted and
611-24   including the rate of the sales and use tax, or declaring that the
 612-1   proposition to create the district was defeated, shall be sent to
 612-2   the commissioners court, the comptroller, and any taxing entity by
 612-3   certified or registered mail.  The order shall also show the date
 612-4   of the election, the proposition on which the vote was held, the
 612-5   total number of votes cast for or against the proposition, and the
 612-6   number of votes by which the proposition was approved.
 612-7            (Sections 383.035-383.040 reserved for expansion
 612-8       SUBCHAPTER C. ADMINISTRATIVE PROVISIONS; BOARD OF DIRECTORS
 612-9         Sec. 383.041.  BOARD OF DIRECTORS; TERMS.  (a)  A district is
612-10   governed by a board of five directors appointed by the
612-11   commissioners court of the county in which the district is located.
612-12   The temporary directors appointed under Section 383.028 shall
612-13   become permanent directors of the district, if the creation of the
612-14   district is confirmed at the confirmation election.
612-15         (b)  Directors serve staggered terms of four years with two
612-16   or three members' terms expiring September 1 of every other year.
612-17   Following confirmation of the district at the election, the
612-18   temporary directors shall draw lots to determine:
612-19               (1)  the two directors to serve terms that expire on
612-20   September 1 of the second year following creation of the district;
612-21   and
612-22               (2)  the three directors to serve terms that expire on
612-23   September 1 of the fourth year following creation of the district.
612-24         Sec. 383.042.  QUALIFICATIONS OF DIRECTOR.  To be qualified
 613-1   to serve as a director, a person must be at least 21 years of age,
 613-2   a resident citizen of this state, and a qualified voter of the
 613-3   county in which the district is located.
 613-4         Sec. 383.043.  PERSONS DISQUALIFIED TO SERVE.  Section
 613-5   50.026, Water Code, applies to a director of a district.
 613-6         Sec. 383.044.  REMOVAL OF DIRECTOR.  The commissioners court,
 613-7   after notice and hearing, may remove a director for misconduct or
 613-8   failure to carry out the director's duties if petitioned by a
 613-9   majority of the remaining directors.
613-10         Sec. 383.045.  BOARD VACANCY.  A vacancy in the office of
613-11   director shall be filled by appointment of the commissioners court.
613-12         Sec. 383.046.  DIRECTOR'S COMPENSATION; BOND AND OATH OF
613-13   OFFICE.  A director is not entitled to receive compensation for
613-14   service on the board.  Sections 375.067, 375.069, and 375.070 apply
613-15   to a director.
613-16         Sec. 383.047.  OFFICERS.  After each appointment of directors
613-17   by the commissioners court, and after the directors have qualified
613-18   by taking the proper oath, the directors shall organize by electing
613-19   a president, a vice president, a secretary, and any other officer
613-20   the board considers necessary.
613-21         Sec. 383.048.  QUORUM; OFFICERS' DUTIES.  (a)  Three
613-22   directors constitute a quorum and a concurrence of three is
613-23   sufficient in any matter relating to the business of the district.
613-24         (b)  The president presides at all board meetings and is the
 614-1   chief executive officer of the district.  The vice president acts
 614-2   as president if the president is absent or disabled.
 614-3         (c)  The secretary acts as president if both the president
 614-4   and vice president are absent or disabled.  The secretary acts as
 614-5   secretary of the board and is responsible for seeing that all
 614-6   records and books of the district are properly kept.
 614-7         (d)  The board may appoint another director, the general
 614-8   manager, or an employee as assistant or deputy secretary to assist
 614-9   the secretary.  The assistant or deputy secretary may certify the
614-10   authenticity of any record of the district, including a proceeding
614-11   relating to a bond, contract, or indebtedness of the district.
614-12         Sec. 383.049.  BYLAWS.  The board may adopt bylaws to govern:
614-13               (1)  the time, place, and manner of conducting board
614-14   meetings;
614-15               (2)  the powers, duties, and other responsibilities of
614-16   the board's officers and employees;
614-17               (3)  the disbursement of money by a check, draft, or
614-18   warrant;
614-19               (4)  the appointment and authority of director
614-20   committees;
614-21               (5)  the keeping of accounts and other records; and
614-22               (6)  any other matter the board considers appropriate.
614-23         Sec. 383.050.  MANAGEMENT OF DISTRICT.  (a)  The board has
614-24   control over and shall manage the affairs of the district and shall
 615-1   employ any person, firm, partnership, or corporation the board
 615-2   considers necessary for conducting the affairs of the district,
 615-3   including engineers, attorneys, financial advisors, a general
 615-4   manager, a utility operator, bookkeepers, auditors, and
 615-5   secretaries.
 615-6         (b)  The board shall determine the term of office and the
 615-7   compensation of any employee and consultant by contract or by
 615-8   resolution of the board.
 615-9         (c)  The board may remove any employee.
615-10         (d)  The board may require an officer or employer to execute
615-11   a bond payable to the district and conditioned on the faithful
615-12   performance of the person's duties.
615-13         Sec. 383.051.  DIRECTOR INTERESTED IN CONTRACT.  (a)  A
615-14   director who is financially interested in a contract with the
615-15   district or a director who is an employee of a person who or firm
615-16   that is financially interested in a contract with the district
615-17   shall disclose that fact to the other directors.  The disclosure
615-18   shall be entered into the minutes of the meeting.
615-19         (b)  An interested director may not vote on the acceptance of
615-20   the contract or participate in the discussion on the contract.
615-21         (c)  The failure of a director to disclose the director's
615-22   financial interest in a contract and to have the disclosure entered
615-23   in the minutes invalidates the contract.
615-24         Sec. 383.052.  DISTRICT OFFICE.  The board shall designate
 616-1   and establish a district office in the county.
 616-2         Sec. 383.053.  MEETINGS AND NOTICE.  (a)  The board may
 616-3   establish regular meetings to conduct district business and may
 616-4   hold special meetings at other times as the business of the
 616-5   district requires.
 616-6         (b)  Notice of the time, place, and purpose of a meeting of
 616-7   the board shall be given by posting the notice at a place
 616-8   convenient to the public in the district.  A copy of the notice
 616-9   shall be furnished to a clerk of the county, who shall post it on a
616-10   bulletin board in the county courthouse used for that purpose.
616-11         (c)  Except as otherwise provided by this chapter, Chapter
616-12   551, Government Code, applies to the meetings of the board.  Any
616-13   interested person may attend any meeting of the board.
616-14            (Sections 383.054-383.060 reserved for expansion
616-15                     SUBCHAPTER D. POWERS AND DUTIES
616-16         Sec. 383.061.  GENERAL POWERS OF DISTRICT.  (a)  A district
616-17   may acquire and dispose of projects and has all of the other
616-18   powers, authority, rights, and duties that will permit
616-19   accomplishment of the purposes for which the district was created.
616-20         (b)  The district has the powers of a municipal management
616-21   district created under Chapter 375 to the extent not inconsistent
616-22   with this chapter.
616-23         (c)  The district has the power to provide for general
616-24   promotion and tourist advertising of the district and its vicinity
 617-1   and to conduct a marketing program to attract visitors, any of
 617-2   which may be conducted by the district pursuant to contracts for
 617-3   professional services with persons or organizations selected by the
 617-4   district.
 617-5         Sec. 383.062.  SUITS.  A district, after it is created and
 617-6   confirmed, through its directors may sue and be sued in any court
 617-7   of this state in the name of the district.  Service of process in
 617-8   any suit may be made by serving any two directors.
 617-9         Sec. 383.063.  EMINENT DOMAIN.  (a)  A district that is not
617-10   located within a municipality may exercise the power of eminent
617-11   domain to acquire land or interests in land in the district
617-12   considered necessary by the board for the purpose of providing
617-13   water and sewer services to an authorized project.
617-14         (b)  The power of eminent domain shall be exercised in the
617-15   manner provided by Chapter 21, Property Code.
617-16         Sec. 383.064.  EXPENDITURES.  A district's money may be
617-17   disbursed only by check, draft, order, or another instrument that
617-18   must be signed by at least three directors.  The general manager,
617-19   treasurer, or other employee of the district, if authorized by
617-20   resolution of the board, may sign checks, drafts, orders, or other
617-21   instruments on any district operation account and these need not be
617-22   signed by any other person.
617-23         Sec. 383.065.  PURPOSES FOR BORROWING MONEY.  The district
617-24   may borrow money for any corporate purpose or combination of
 618-1   corporate purposes.
 618-2         Sec. 383.066.  REPAYMENT OF ORGANIZATIONAL EXPENSES.  (a)
 618-3   The directors may pay:
 618-4               (1)  all costs and expenses necessarily incurred in the
 618-5   creation and organization of the district;
 618-6               (2)  the cost of investigation and making plans;
 618-7               (3)  the cost of the engineer's report;
 618-8               (4)  project designer fees;
 618-9               (5)  legal fees; and
618-10               (6)  other incidental expenses.
618-11         (b)  A director may reimburse any person for money advanced
618-12   for the costs, fees, and expenses described by Subsection (a).
618-13         (c)  Payments under this section may be made from money
618-14   obtained from the issuance of notes or the sale of bonds first
618-15   issued by the district or from other district revenues.
618-16            (Sections 383.067-383.080 reserved for expansion
618-17                           SUBCHAPTER E. BONDS
618-18         Sec. 383.081.  ISSUANCE OF BONDS.  The district may issue
618-19   bonds for the purpose of defraying all or part of the cost of any
618-20   project as provided in this chapter.  Sections 375.201 through
618-21   375.208 apply to a district to the extent not inconsistent with
618-22   this chapter.
618-23         Sec. 383.082.  MANNER OF REPAYMENT OF BONDS.  The board may
618-24   provide for the payment of principal of and interest and redemption
 619-1   price on bonds:
 619-2               (1)  from taxes;
 619-3               (2)  by pledging all or any part of the designated
 619-4   revenues, license fees, or other compensation from a project or any
 619-5   part of a project, including revenues and receipts derived by the
 619-6   district from the lease or sale of the project;
 619-7               (3)  by pledging all or any part of any grant,
 619-8   donation, revenue, or income received or to be received from any
 619-9   public or private source; or
619-10               (4)  from a combination of such sources.
619-11         Sec. 383.083.  USE OF BOND PROCEEDS.  The district may use
619-12   bond proceeds to:
619-13               (1)  pay interest on the bonds during and after the
619-14   period of the acquisition or construction of a project;
619-15               (2)  pay administrative and operating expenses;
619-16               (3)  create a reserve fund for the payment of principal
619-17   and interest on the bonds; and
619-18               (4)  pay all expenses incurred or that will be incurred
619-19   in the issuance, sale, and delivery of the bonds.
619-20         Sec. 383.084.  ADDING AND EXCLUDING LAND FROM THE DISTRICT.
619-21   (a)  Before the board issues bonds, the board, on its own motion or
619-22   on request of a landowner in the district, may petition the
619-23   commissioners court for the addition of land to or exclusion of
619-24   land from the district.
 620-1         (b)  If the commissioners court unanimously determines from
 620-2   the evidence that the best interests of the persons and property in
 620-3   the district will be served by adding or excluding land, the
 620-4   commissioners court shall enter in its records the appropriate
 620-5   findings and order adding or excluding land.
 620-6            (Sections 383.085-383.100 reserved for expansion
 620-7                     SUBCHAPTER F. SALES AND USE TAX
 620-8         Sec. 383.101.  SALES AND USE TAX.  (a) A district may impose
 620-9   a sales and use tax for the benefit of the district if authorized
620-10   by a majority of the qualified voters of the district voting at an
620-11   election called for that purpose.  The sales and use tax, if
620-12   adopted, does not count toward the limitation imposed by Chapter
620-13   323, Tax Code, on any sales and use tax that has been levied by the
620-14   county.
620-15         (b)  If a district adopts the tax, there is imposed a tax on
620-16   the receipts from the sale at retail of taxable items in the
620-17   district at a rate of up to one-half of one percent.  There is also
620-18   imposed an excise tax on the use, storage, or other consumption in
620-19   the district of taxable items purchased, leased, or rented from a
620-20   retailer during the period that the tax is effective in the
620-21   district.  The rate of the excise tax is the same as the rate of
620-22   the sales tax portion of the tax applied to the sales price of the
620-23   taxable items and is included in the sales tax.
620-24         (c)  For purposes of this section, "taxable items" includes
 621-1   all items subject to any sales and use tax that is imposed by the
 621-2   county if the county has imposed a sales and use tax.
 621-3         Sec. 383.102.  IMPOSITION, COMPUTATION, ADMINISTRATION, AND
 621-4   GOVERNANCE OF TAX.  (a)  Chapter 323, Tax Code, to the extent not
 621-5   inconsistent with this chapter, governs the imposition,
 621-6   computation, administration, and governance of the tax under this
 621-7   subchapter, except that Sections 323.101(b) and (e), Tax Code, and
 621-8   Sections 323.209, 323.401 through 323.406, and 323.505, Tax Code,
 621-9   do not apply.
621-10         (b)  Chapter 323, Tax Code, does not apply to the use and
621-11   allocation of revenues under this chapter.
621-12         (c)  In applying the procedures under Chapter 323, Tax Code,
621-13   the district's name shall be substituted for "the county" and
621-14   "board of directors" is substituted for "commissioners court."
621-15         Sec. 383.103.  TAX RATES.  The permissible rates for a local
621-16   sales and use tax levied under this chapter  are one-fourth of one
621-17   percent, three-eighths of one percent, and one-half of one percent.
621-18         Sec. 383.104.  ABOLITION OF OR CHANGE IN TAX RATE.  (a)  The
621-19   board by order may decrease or abolish the local sales and use tax
621-20   rate or may call an election to increase, decrease, or abolish the
621-21   local sales and use tax rate.
621-22         (b)  At the election, the ballots shall be printed to permit
621-23   voting for or against the proposition:  "The increase (decrease) in
621-24   the local sales and use tax rate of (name of district) to
 622-1   (percentage) to be used for the promotion and development of
 622-2   tourism" or "The abolition of the district sales and use tax used
 622-3   for the promotion and development of tourism."  The increase or
 622-4   decrease in the tax rate is effective if it is approved by a
 622-5   majority of the votes cast.  In calling and holding the election,
 622-6   the board shall use the procedure for the confirmation and tax
 622-7   election set forth in this chapter.
 622-8         Sec. 383.105.  USE OF TAX.  Taxes collected under this
 622-9   subchapter may be used only for the purposes for which the district
622-10   was created, and the district may pledge the revenue derived from
622-11   the taxes imposed under this subchapter to the payment of bonds
622-12   issued by the district.
622-13         Sec. 383.106.  LIMITATION ON ADOPTION OF TAX.  (a)  A
622-14   district may adopt a tax under this subchapter only if as a result
622-15   of adoption of the tax the combined rate of all local sales and use
622-16   taxes imposed by political subdivisions having territory in the
622-17   district will not exceed two percent.
622-18         (b)  If, as a result of the imposition or increase in a sales
622-19   and use tax by a municipality in which there is located a district
622-20   with an existing sales and use tax or as a result of the annexation
622-21   by a municipality of the territory in a district with an existing
622-22   sales and use tax, the overlapping local sales and use taxes in the
622-23   area in the district will exceed two percent, the district's sales
622-24   and use tax rate is automatically reduced to a rate that when added
 623-1   to the combined rate of local sales and use taxes will equal two
 623-2   percent.
 623-3         (c)  If a district's tax rate is reduced in accordance with
 623-4   Subsection (b), the municipality shall make payments to the
 623-5   district equal to the amounts that would have been collected by the
 623-6   district had the municipality not imposed or increased its sales
 623-7   and use tax or annexed the area in the district, less amounts that
 623-8   the district collects following the municipality's levy of or
 623-9   increase in its sales and use tax or annexation of the area in the
623-10   district.  The payment shall be made by the municipality to the
623-11   district within 10 days after the date of receipt of the money from
623-12   the comptroller's office and shall continue only for so long as any
623-13   bonds of the district are outstanding.
623-14            (Sections 383.107-383.110 reserved for expansion
623-15                    SUBCHAPTER G. COMPETITIVE BIDDING
623-16         Sec. 383.111.  COMPETITIVE BIDDING.  Sections 375.221 and
623-17   375.223 apply to a district created under this chapter.
623-18         Sec. 383.112.  EXEMPTION.  Notwithstanding any other
623-19   provision of this chapter to the contrary, any contract between the
623-20   district and a governmental entity or nonprofit corporation created
623-21   under the Development Corporation Act of 1979 (Article 5190.6,
623-22   Vernon's Texas Civil Statutes) is not subject to the competitive
623-23   bidding requirements of this chapter.
623-24            (Sections 383.113-383.120 reserved for expansion
 624-1                        SUBCHAPTER H. DISSOLUTION
 624-2         Sec. 383.121.  DISSOLUTION OF DISTRICT.  A district may be
 624-3   dissolved only as provided by this subchapter.
 624-4         Sec. 383.122.  DISSOLUTION BY ORDER OF COMMISSIONERS COURT.
 624-5   (a)  The board may petition the commissioners court to dissolve the
 624-6   district if a majority of the board finds at any time:
 624-7               (1)  before the authorization of bonds or the final
 624-8   lending of its credit, that the proposed undertaking is
 624-9   impracticable or cannot be successfully and beneficially
624-10   accomplished; or
624-11               (2)  that all bonds of the district or other debts of
624-12   the district have been paid and the purposes of the district have
624-13   been accomplished.
624-14         (b)  On receipt of a petition from the board for the
624-15   dissolution of the district, the commissioners court shall hold a
624-16   hearing as provided by Section 383.024.
624-17         (c)  If the commissioners court unanimously determines from
624-18   the evidence that the best interests of the county and the owners
624-19   of property and interests in property in the district will be
624-20   served by dissolving the district, the commissioners court shall
624-21   enter in its records the appropriate findings and order dissolution
624-22   of the district.  Otherwise the commissioners court shall enter its
624-23   order providing that the district has not been dissolved.  On
624-24   dissolution of the district, funds and property of the district, if
 625-1   any, shall be transferred to the commissioners court.
 625-2         Sec. 383.123.  DISSOLUTION OF DISTRICT ON AGREEMENT WITH
 625-3   MUNICIPALITY.  A district may be dissolved by agreement between the
 625-4   governing body of a municipality and the board if all of the
 625-5   territory in the district is located in or is annexed by the
 625-6   municipality.  The agreement shall require the municipality to
 625-7   acquire all of the money, property, and other assets of the
 625-8   district and assume all contracts, debts, bonds, and other
 625-9   obligations of the district, and the municipality shall be bound in
625-10   the same manner and to the same extent that the district was bound
625-11   with respect to those contracts, debts, bonds, and other
625-12   obligations.  On dissolution of the district, the taxes levied by
625-13   the district are abolished.
625-14         SECTION 23.06.  Section 402.903(d), Local Government Code, is
625-15   amended to correct references to read as follows:
625-16         (d)  Notwithstanding any express or implied limitation on
625-17   municipal power or purposes under any general or special law,
625-18   charter provision, or ordinance, this section [chapter] is
625-19   authority for the performance of an agreement or contract entered
625-20   into under this section [chapter].
625-21   ARTICLE 24.  CHANGES RELATING TO NATURAL RESOURCES CODE (WETLANDS)
625-22         SECTION 24.01.  (a)  The  Natural Resources Code is amended
625-23   to codify Article 6, Chapter 3, Acts of the 72nd Legislature, 1st
625-24   Called Session, 1991 (Article 5421u, Vernon's Texas Civil
 626-1   Statutes), by adding Title 12 to read as follows:
 626-2                           TITLE 12.  WETLANDS
 626-3                    CHAPTER 221.  WETLAND MITIGATION
 626-4                    SUBCHAPTER A.  GENERAL PROVISIONS
 626-5         Sec. 221.001.  DEFINITIONS.  In this chapter:
 626-6               (1)  "Buffer zone" means a strip of land adjoining a
 626-7   wetland mitigation bank to protect the wetland habitat and wildlife
 626-8   within the bank from the impact of an activity outside the zone.
 626-9   The term includes a strip of land composed primarily of water or a
626-10   strip of land that includes a fence, wall, or screen of vegetation.
626-11               (2)  "Eligible political subdivision" means:
626-12                     (A)  a county with a population of 2,100,000 or
626-13   more or a county adjacent to such a county; or
626-14                     (B)  a conservation and reclamation district:
626-15                           (i)  that is established under Section 59,
626-16   Article XVI, Texas Constitution;
626-17                           (ii)  the boundaries of which are within a
626-18   county that has a population of 2,100,000 or more; and
626-19                           (iii)  that is authorized under other law
626-20   to participate in a program under this chapter.
626-21               (3)  "Federal requirement" means a requirement of the
626-22   federal government contained in a statute, regulation, or guideline
626-23   for an eligible mitigation bank program or a wetland regulation
626-24   program.
 627-1               (4)  "Mitigation bank" means a parcel of land that has
 627-2   undergone or is proposed to undergo a physical change necessary to
 627-3   create or optimize the acreage or quality of wetland habitat on the
 627-4   parcel expressly to provide a mitigation credit to offset an
 627-5   adverse impact to wetland caused by an approved project located
 627-6   elsewhere.
 627-7               (5)  "Mitigation credit" means a unit of measured area
 627-8   that supports wetland habitat or wetland habitat value that did not
 627-9   exist at the mitigation bank site before the mitigation bank was
627-10   developed.
627-11               (6)  "Wetland" means land that:
627-12                     (A)  has a predominance of hydric soil;
627-13                     (B)  is inundated or saturated by surface or
627-14   groundwater at a frequency and duration sufficient to support a
627-15   prevalence of hydrophytic vegetation typically adapted for life in
627-16   saturated soil conditions; and
627-17                     (C)  under normal circumstances does support a
627-18   prevalence of that vegetation.
627-19               (7)  "Wetland regulation program" means a program of
627-20   the state, a state agency, or an eligible political subdivision
627-21   under which the state, agency, or subdivision administers its own
627-22   individual or general permit program regulating the use of wetland.
627-23         Sec. 221.002.  USE OF MONEY.  A state agency or an eligible
627-24   political subdivision may use any money to accomplish a purpose of
 628-1   this chapter.
 628-2         Sec. 221.003.  COST OF MOVING OR CHANGING FACILITY.  If a
 628-3   state agency, eligible political subdivision, or nonprofit
 628-4   corporation, in exercising a power under this chapter, makes it
 628-5   necessary to move, raise, lower, reroute, or change the grade of or
 628-6   alter the construction of a pipeline, highway, railroad, electric
 628-7   transmission or distribution line, or telephone or telegraph
 628-8   property or facility, the agency, subdivision, or corporation must
 628-9   bear the sole expense of the action.
628-10            (Sections 221.004-221.020 reserved for expansion
628-11         SUBCHAPTER B.  WETLAND MITIGATION BANKING AND CONTRACTS
628-12         Sec. 221.021.  ACTIONS TO ESTABLISH OR MAINTAIN MITIGATION
628-13   BANK.  (a)  With the approval of the General Land Office, a state
628-14   agency or eligible political subdivision may take any necessary and
628-15   reasonable action to comply with a federal requirement to establish
628-16   or maintain a mitigation bank.  An action under this section may
628-17   include:
628-18               (1)  authorizing or making a continuing study of
628-19   wetland areas and wetland mitigation programs;
628-20               (2)  consistent with federal requirements, engaging in
628-21   a wetland mitigation program and adopting and enforcing permanent
628-22   land use and control measures on land the agency or subdivision
628-23   owns in a mitigation bank;
628-24               (3)  consulting with, providing information to, and
 629-1   entering into an agreement with a federal agency to identify and
 629-2   publish information about wetland areas;
 629-3               (4)  cooperating with a federal or state agency in
 629-4   connection with a study or investigation regarding the adequacy of
 629-5   a local measure with respect to a federal or state wetland program;
 629-6               (5)  improving the long-range management or use of
 629-7   wetland or a wetland mitigation bank;
 629-8               (6)  purchasing, leasing, condemning, or otherwise
 629-9   acquiring property inside or outside the eligible political
629-10   subdivision that is necessary for a wetland mitigation bank or
629-11   buffer zone and, as necessary, improving the land or other property
629-12   as a wetland mitigation bank, including any adjacent buffer zone,
629-13   to comply with a federal requirement;
629-14               (7)  requesting or receiving aid from a federal or
629-15   state agency or an eligible political subdivision;
629-16               (8)  purchasing, selling, or contracting to purchase or
629-17   sell a mitigation credit in a mitigation bank;
629-18               (9)  incurring a liability or borrowing money on terms
629-19   approved by the governing body of the subdivision;
629-20               (10)  acquiring, holding, using, selling, leasing, or
629-21   disposing of real or personal property, including a license,
629-22   patent, right, or interest, that is necessary, convenient, or
629-23   useful for the full exercise of a power under this chapter;
629-24               (11)  contracting with any operator to use or operate
 630-1   any part of a mitigation bank; and
 630-2               (12)  procuring any type of insurance and paying an
 630-3   insurance premium in an amount the governing body of the eligible
 630-4   political subdivision considers necessary or advisable.
 630-5         (b)  The power of eminent domain granted by this section does
 630-6   not enable a state agency or eligible political subdivision to
 630-7   acquire by condemnation an interest in land that is owned or used
 630-8   by a public utility.  In this subsection, "public utility" has the
 630-9   meaning assigned by the Public Utility Regulatory Act of 1995
630-10   (Article 1446c-0, Vernon's Texas Civil Statutes).
630-11         Sec. 221.022.  OPTIONAL MITIGATION BANK PROVISIONS.  A
630-12   mitigation bank project may include a provision for:
630-13               (1)  a park;
630-14               (2)  recreation;
630-15               (3)  a scenic area; or
630-16               (4)  flood control.
630-17         Sec. 221.023.  MITIGATION BANK CONTRACTS; CONTRACT PAYMENTS.
630-18   (a)  A state agency or eligible political subdivision may contract
630-19   with another state agency or eligible political subdivision to pay
630-20   jointly any part of the cost to acquire, design, construct,
630-21   improve, or maintain a wetland mitigation bank or a buffer zone.
630-22         (b)  Payment of the cost of a project or a payment required
630-23   to be made under a contract may be made out of bond proceeds,
630-24   taxes, or any other money available for the payment.
 631-1         (c)  If a contract provides for payment over a term of years,
 631-2   an eligible political subdivision may impose a tax in an amount
 631-3   necessary to:
 631-4               (1)  create a sinking fund for the contract payments;
 631-5   and
 631-6               (2)  make the payments when due.
 631-7            (Sections 221.024-221.040 reserved for expansion
 631-8          SUBCHAPTER C.  PROVISIONS FOR POLITICAL SUBDIVISIONS
 631-9         Sec. 221.041.  APPLICATION TO FEDERAL AGENCY.  On behalf of
631-10   an eligible political subdivision that proposes to administer its
631-11   own individual or general wetland regulation program, the governor
631-12   may apply to the appropriate federal agency for program approval.
631-13         Sec. 221.042.  COMPLIANCE WITH FEDERAL PROGRAM.  An eligible
631-14   political subdivision authorized to implement a wetland mitigation
631-15   program may comply with a program established by the federal
631-16   government with respect to the implementation of a wetland
631-17   regulation program or for the acquisition, ownership, or operation
631-18   of a wetland mitigation bank.
631-19         Sec. 221.043.  COUNTY APPROVAL OF POLITICAL SUBDIVISION
631-20   PROGRAM.  An eligible political subdivision may not institute a
631-21   wetland regulation program unless the commissioners court of each
631-22   county in which the eligible political subdivision lies approves
631-23   the program after conducting a public hearing.
631-24         Sec. 221.044.  RULES FOR WETLAND DELINEATION.  (a)  An
 632-1   eligible political subdivision authorized to implement a wetland
 632-2   mitigation program may adopt and compile reasonably necessary
 632-3   rules.
 632-4         (b)  An eligible political subdivision by rule may set
 632-5   standards for delineating land as wetland for purposes of:
 632-6               (1)  this chapter; or
 632-7               (2)  a federal requirement.
 632-8         (c)  A rule under Subsection (b) may be adopted after
 632-9   consultation with federal agencies, including the United States
632-10   Fish and Wildlife Service, the United States Environmental
632-11   Protection Agency, the United States Army Corps of Engineers, and
632-12   the Soil Conservation Service of the United States Department of
632-13   Agriculture.
632-14         (d)  A standard for delineating wetland must comply with
632-15   federal requirements for delineating wetland.
632-16         Sec. 221.045.  PERMIT.  (a)  An eligible political
632-17   subdivision authorized to implement a wetland mitigation program
632-18   may issue a permit that incorporates, and assures compliance with,
632-19   an applicable:
632-20               (1)  requirement of this chapter; or
632-21               (2)  federal requirement.
632-22         (b)  A permit may be terminated or modified for cause,
632-23   including:
632-24               (1)  violation of a permit condition;
 633-1               (2)  obtaining a permit by misrepresentation or not
 633-2   fully disclosing all relevant facts; or
 633-3               (3)  a change in a condition that requires temporarily
 633-4   or permanently reducing or eliminating the permitted activity.
 633-5         Sec. 221.046.  MITIGATION BANK FINANCING.  (a)  A mitigation
 633-6   project participant may issue a bond, note, or other obligation to
 633-7   acquire land for, to pay any part of the cost of, or to acquire,
 633-8   construct, improve, operate, or maintain a wetland mitigation bank.
 633-9         (b)  The subdivision may issue a bond, note, or obligation:
633-10               (1)  in one or more series; and
633-11               (2)  payable from and secured by:
633-12                     (A)  a tax;
633-13                     (B)  an assessment;
633-14                     (C)  an impact fee;
633-15                     (D)  revenue;
633-16                     (E)  a grant or gift;
633-17                     (F)  a lease or contract; or
633-18                     (G)  a combination of resources listed in
633-19   Paragraphs (A)-(F).
633-20         (c)  In this section, "mitigation project participant" means
633-21   an eligible political subdivision that seeks to:
633-22               (1)  implement a project the unavoidable result of
633-23   which would adversely affect wetland; and
633-24               (2)  compensate for the loss of wetland acreage or
 634-1   wetland habitat value through participation in a mitigation bank.
 634-2         Sec. 221.047.  BOND REQUIREMENTS.  (a)  A bond issued under
 634-3   Section 221.046 is a negotiable instrument within the meaning and
 634-4   for purposes of the Business & Commerce Code.
 634-5         (b)  The bond may be:
 634-6               (1)  issued registrable as to principal or as to both
 634-7   principal and interest; or
 634-8               (2)  made redeemable before maturity.
 634-9         (c)  The bond may be:
634-10               (1)  issued in the form, denominations, and manner and
634-11   under the terms provided by the order or resolution authorizing the
634-12   issuance of the bond; and
634-13               (2)  sold in the manner, at the price, and under the
634-14   terms provided by the order or resolution authorizing the issuance
634-15   of the bond.
634-16         (d)  The bond shall:
634-17               (1)  be executed in accordance with the order or
634-18   resolution authorizing the issuance of the bond; and
634-19               (2)  bear interest at the rate provided by the order or
634-20   resolution authorizing the issuance of the bond.
634-21         (e)  The bond may bear interest and may be issued in
634-22   accordance with:
634-23               (1)  Chapter 503, Acts of the 54th Legislature, 1955
634-24   (Article 717k, Vernon's Texas Civil Statutes);
 635-1               (2)  Chapter 3, Acts of the 61st Legislature, Regular
 635-2   Session, 1969 (Article 717k-2, Vernon's Texas Civil Statutes);
 635-3               (3)  the Bond Procedures Act of 1981 (Article 717k-6,
 635-4   Vernon's Texas Civil Statutes); or
 635-5               (4)  Chapter 656, Acts of the 68th Legislature, Regular
 635-6   Session, 1983 (Article 717q, Vernon's Texas Civil Statutes).
 635-7         (f)  The bond may be additionally secured by a:
 635-8               (1)  mortgage or deed of trust on real property that is
 635-9   related to the mitigation bank; or
635-10               (2)  chattel mortgage, lien, or security interest on
635-11   personal property appurtenant to that real property.
635-12         (g)  The eligible political subdivision may authorize the
635-13   execution of a trust indenture, mortgage, deed of trust, or other
635-14   encumbrance to evidence the indebtedness.
635-15         (h)  The eligible political subdivision may pledge to the
635-16   payment of the bond any part of a grant, a donation, revenue, or
635-17   income received or to be received from the United States or any
635-18   other source.
635-19         Sec. 221.048.  BOND PROCEEDS.  If the use authorized by the
635-20   order or resolution authorizing the issuance of a bond under
635-21   Section 221.046, the bond proceeds may be used to:
635-22               (1)  pay interest on the bond during or after the
635-23   acquisition or construction of an improvement project financed by
635-24   the bond issue;
 636-1               (2)  pay administrative and operation expenses;
 636-2               (3)  create a reserve fund for payment of the principal
 636-3   of and interest on the bonds; or
 636-4               (4)  create any other fund.
 636-5         (b)  Article 6, Chapter 3, Acts of the 72nd Legislature, 1st
 636-6   Called Session, 1991 (Article 5421u, Vernon's Texas Civil
 636-7   Statutes), is repealed.
 636-8     ARTICLE 25.  CHANGES RELATING TO NATURAL RESOURCES CODE (TEXAS
 636-9                SURFACE COAL MINING AND RECLAMATION ACT)
636-10         SECTION 25.01.  (a)  Section 134.004, Natural Resources Code,
636-11   is amended to more closely conform to the law from which it was
636-12   derived to read as follows:
636-13         Sec. 134.004.  DEFINITIONS.  In this chapter:
636-14               (1)  "Affected person" means a person having an
636-15   interest that is or may be affected.
636-16               (2)  "Alluvial valley floors" means the unconsolidated
636-17   stream-laid deposits holding streams where water availability is
636-18   sufficient for subirrigation or flood irrigation agricultural
636-19   activities.  The term does not include upland areas that are
636-20   generally overlaid by a thin veneer of colluvial deposits composed
636-21   chiefly of debris from sheet erosion, deposits by unconcentrated
636-22   runoff or slope wash, together with talus, other mass movement
636-23   accumulation, or windblown deposits.
636-24               (3)  "Applicant" means a person or other legal entity
 637-1   seeking a permit from the commission to conduct surface coal mining
 637-2   activities or underground mining activities under this chapter.
 637-3               (4)  "Approximate original contour" means the surface
 637-4   configuration achieved by backfilling and grading the mined area so
 637-5   that the reclaimed area, including any terracing or access roads,
 637-6   closely resembles the general surface configuration of the land
 637-7   before mining and blends into and complements the drainage pattern
 637-8   of the surrounding terrain, with all highwalls and spoil piles
 637-9   eliminated.
637-10               (5) [(4)]  "Coal" means all forms of coal and includes
637-11   lignite.
637-12               (6) [(5)]  "Coal exploration operations" means the
637-13   substantial disturbance of the surface or subsurface for or related
637-14   to the purpose of determining the location, quantity, or quality of
637-15   a coal deposit.
637-16               (7) [(6)]  "Commission" means the Railroad Commission
637-17   of Texas.
637-18               (8) [(7)]  "Federal Act" means the Surface Mining
637-19   Control and Reclamation Act of 1977 (30 U.S.C. Section 1201 et
637-20   seq.).
637-21               (9) [(8)]  "Imminent danger to the health or safety of
637-22   the public" means the existence of a condition or practice or a
637-23   violation of a permit or other requirement of this chapter in a
637-24   surface coal mining and reclamation operation that could reasonably
 638-1   be expected to cause substantial physical harm to persons outside
 638-2   the permit area before the condition, practice, or violation can be
 638-3   abated.  A reasonable expectation of death or serious injury before
 638-4   abatement exists if a rational person, subjected to the same
 638-5   conditions or practices giving rise to the peril, would not expose
 638-6   himself to the danger during the time necessary for abatement.
 638-7               (10) [(9)]  "Operator" means a person engaged in coal
 638-8   mining who removes or intends to remove more than 250 tons of coal
 638-9   from the earth by coal mining within 12 consecutive months in one
638-10   location.
638-11               (11) [(10)]  "Other minerals" means clay, stone, sand,
638-12   gravel, metalliferous and nonmetalliferous ores, and other solid
638-13   materials or substances of commercial value excavated in solid form
638-14   from natural deposits on or in the earth, exclusive of coal and
638-15   those minerals that occur naturally in liquid or gaseous form.
638-16               (12) [(11)]  "Permit" means a permit to conduct surface
638-17   coal mining and reclamation operations or underground mining
638-18   operations issued by the commission.
638-19               (13) [(12)]  "Permit area" means the area of land
638-20   indicated on the approved map submitted by the operator with the
638-21   operator's application, which area of land must be covered by an
638-22   operator's bond as required by Subchapter F and readily
638-23   identifiable by appropriate markers on the site.
638-24               (14) [(13)]  "Permit holder" means a person holding a
 639-1   permit to conduct surface coal mining and reclamation operations or
 639-2   underground mining activities under this chapter.
 639-3               (15) [(14)]  "Person" means an individual, partnership,
 639-4   society, joint-stock company, firm, company, corporation, business
 639-5   organization, governmental agency, or any organization or
 639-6   association of citizens.
 639-7               (16) [(15)]  "Prime farmland" means land that the
 639-8   commission determines meets the criteria prescribed by the
 639-9   secretary of agriculture and published in the Federal Register,
639-10   including moisture availability, temperature regime, chemical
639-11   balance, permeability without regard to annual mean soil
639-12   temperatures, surface layer composition, susceptibility to
639-13   flooding, and erosion characteristics, and that historically has
639-14   been used for intensive agricultural purposes.  Land has not
639-15   historically been used for the production of cultivated crops if:
639-16                     (A)  the land has been used as woodland or
639-17   rangeland; or
639-18                     (B)  the only cultivation has been disking to:
639-19                           (i)  establish or help maintain bermuda
639-20   grass used as forage; or
639-21                           (ii)  plant oats or rye for quick cover, to
639-22   be used as forage and not as a grain crop.
639-23               (17) [(16)]  "Secretary of agriculture" means the
639-24   secretary of the United States Department of Agriculture.
 640-1               (18) [(17)]  "Secretary of the interior" means the
 640-2   secretary of the United States Department of the Interior.
 640-3               (19) [(18)]  "Surface coal mining and reclamation
 640-4   operations" means surface coal mining operations and the activities
 640-5   necessary and incidental to the reclamation of those operations.
 640-6               (20) [(19)]  "Surface coal mining operations" means:
 640-7                     (A)  activities conducted on the surface of land
 640-8   in connection with a surface coal mine or subject to the
 640-9   requirements of Section 134.015 incidental to an underground coal
640-10   mine, including excavation for the purpose of obtaining coal,
640-11   including such common methods as contour, strip, auger, mountaintop
640-12   removal, box cut, open pit, and area mining, the use of explosives
640-13   and blasting, and in situ distillation or retorting, leaching or
640-14   other chemical or physical processing, and the cleaning,
640-15   concentrating, or other processing or preparation, loading of coal
640-16   at or near the mine site;  excluding the extraction of coal
640-17   incidental to the extraction of other minerals where the coal does
640-18   not exceed 16 2/3 percent of the total tonnage of coal and other
640-19   minerals removed annually for purposes of commercial use or sale or
640-20   coal explorations subject to this chapter;  and
640-21                     (B)  the areas on which those activities occur or
640-22   where those activities disturb the natural land surface, areas
640-23   adjacent to land the use of which is incidental to any of those
640-24   activities, all land affected by the construction of new roads or
 641-1   the improvement or use of existing roads to gain access to the site
 641-2   of those activities and for haulage, and excavations, workings,
 641-3   impoundments, dams, ventilation shafts, entryways, refuse banks,
 641-4   dumps, stockpiles, overburden piles, spoil banks, culm banks,
 641-5   tailings, holes or depressions, repair areas, storage areas,
 641-6   processing areas, shipping areas, and other areas on which are
 641-7   sited structures, facilities, or other property or materials on the
 641-8   surface, resulting from or incident to those activities.
 641-9               (21) [(20)]  "Unwarranted failure to comply" means the
641-10   failure of a permit holder to prevent the occurrence of any
641-11   violation of the permit holder's permit or any requirement of this
641-12   chapter due to indifference, lack of diligence, or lack of
641-13   reasonable care, or the failure to abate any violation of the
641-14   permit holder's permit or this chapter due to indifference, lack of
641-15   diligence, or lack of reasonable care.
641-16         (b)  Section 134.005(a), Natural Resources Code, is amended
641-17   to more closely conform to Section 528, Surface Mining Control and
641-18   Reclamation Act of 1977 (30 U.S.C. Section 1278), to read as
641-19   follows:
641-20         (a)  This chapter does not apply to the extraction of coal:
641-21               (1)  by a landowner for the landowner's own
641-22   noncommercial use from land owned or leased by the landowner; or
641-23               (2)  [for commercial purposes if the surface mining
641-24   operation affects two acres or less; and]
 642-1               [(3)]  incidental to federal, state, or local
 642-2   government-financed highway or other construction under commission
 642-3   rules.
 642-4         (c)  Subchapter A, Chapter 134, Natural Resources Code, is
 642-5   amended to more closely conform to the law from which it was
 642-6   derived by adding Section 134.008 to read as follows:
 642-7         Sec. 134.008.  APPLICABILITY TO GOVERNMENTAL UNITS.  An
 642-8   agency, unit, or instrumentality of federal, state, or local
 642-9   government, including a publicly owned utility or publicly owned
642-10   corporation of federal, state, or local government, that proposes
642-11   to engage in surface coal mining operations that are subject to
642-12   this chapter shall comply with this chapter.
642-13         (d)  Section 134.014, Natural Resources Code, is amended to
642-14   more closely conform to the law from which it was derived to read
642-15   as follows:
642-16         Sec. 134.014.  COAL EXPLORATION OPERATIONS.  (a)  A person
642-17   who conducts coal exploration operations that substantially disturb
642-18   the natural land surface shall comply with commission rules adopted
642-19   to govern those operations.  The rules shall require that before
642-20   conducting the exploration, a person file with the commission
642-21   notice of intent to explore and include with the notice:
642-22               (1)  a description of the exploration area and the
642-23   period of proposed exploration; and
642-24               (2)  provisions for reclaiming, in accordance with the
 643-1   performance standards in Sections 134.091 through 134.109, the land
 643-2   disturbed in exploration, including provisions for reclamation of
 643-3   excavations, roads, and drill holes and for removal of necessary
 643-4   facilities and equipment.
 643-5         (b)  A person who conducts coal exploration operations that
 643-6   substantially disturb the natural land surface in violation of this
 643-7   section or a rule adopted under this section is subject to Sections
 643-8   134.174 through 134.181.
 643-9         (c)  An operator may not remove more than 250 tons of coal
643-10   under an exploration permit without the specific written approval
643-11   of the commission.
643-12         (e)  Section 134.022(c), Natural Resources Code, is amended
643-13   to more closely conform to the law from which it was derived to
643-14   read as follows:
643-15         (c)  This section is subject to rights existing on August 3,
643-16   1977 [May 9, 1979], and does not affect surface coal mining
643-17   operations that  existed on August 3, 1977.
643-18         (f)  Sections 134.068 and 134.069, Natural Resources Code,
643-19   are amended to conform to Section 2, Chapter 272, Acts of the 74th
643-20   Legislature, Regular Session, 1995, to read as follows:
643-21         Sec. 134.068.  SCHEDULE OF NOTICES OF VIOLATIONS.  (a)  The
643-22   applicant shall file with the application a schedule listing any
643-23   notices of violations of this chapter, the federal Act, a federal
643-24   regulation or federal or state program adopted under the federal
 644-1   Act, or another [of a] law, rule, or regulation of the United
 644-2   States, [or] this state, or a department or agency in the United
 644-3   States pertaining to air or water environmental protection incurred
 644-4   by the applicant in connection with a surface coal mining operation
 644-5   [in this state] during the three years before the application date.
 644-6         (b)  The schedule must indicate [applicant shall include in
 644-7   the schedule] the final resolution of any notice of violation.
 644-8         Sec. 134.069.  EFFECT OF PAST OR PRESENT VIOLATION.  (a)  If
 644-9   the schedule under Section 134.068 or other information available
644-10   to the commission indicates that a surface coal mining operation
644-11   owned or controlled by the applicant is currently in violation of
644-12   this chapter or another law referred to in Section 134.068 [that
644-13   section], the commission may not issue a permit until the applicant
644-14   submits proof that[:]
644-15               [(1)]  the violation has been corrected or is being
644-16   corrected to the satisfaction of the commission, department, or
644-17   agency with jurisdiction over the violation[; or]
644-18               [(2)  the applicant is contesting the notice of
644-19   violation].
644-20         (b)  The commission may not issue a permit to an applicant if
644-21   it finds, after opportunity for hearing, that the applicant or
644-22   operator specified in the application controls or has controlled
644-23   mining operations with a demonstrated pattern of wilful violations
644-24   of this chapter or another law referred to in Section 134.068 that,
 645-1   by their nature and duration and the resulting irreparable damage
 645-2   to the environment, indicate an intent not to comply with this
 645-3   chapter or another law referred to in that section.
 645-4         (g)  Subchapter D, Chapter 134, Natural Resources Code, is
 645-5   amended by adding Section 134.084 to conform to Sections 1 and 3,
 645-6   Chapter 272, Acts of the 74th Legislature, Regular Session, 1995,
 645-7   to read as follows:
 645-8         Sec. 134.084.  SUSPENSION OR RESCISSION OF IMPROVIDENTLY
 645-9   ISSUED PERMIT.  (a)  The commission may suspend or rescind an
645-10   improvidently issued permit under rules adopted by the commission.
645-11         (b)  A rule adopted by the commission under this section must
645-12   be consistent with and not less effective than a regulation adopted
645-13   under the federal Act.
645-14         (c)  Except as provided by Subsection (d), Chapter 2001,
645-15   Government Code, does not apply to an action by the commission
645-16   under this section to suspend or rescind an improvidently issued
645-17   permit.
645-18         (d)  A permit holder who is given notice of suspension or
645-19   rescission of an improvidently issued permit under this section may
645-20   file an appeal for administrative review of the notice as provided
645-21   by commission rules.  The review is governed by Chapter 2001,
645-22   Government Code.
645-23         (h)  Section 134.092(a), Natural Resources Code, is amended
645-24   to more closely conform to the law from which it was derived to
 646-1   read as follows:
 646-2         (a)  Performance standards for surface coal mining and
 646-3   reclamation operations shall require an operator:
 646-4               (1)  to conduct surface coal mining operations to
 646-5   maximize the use and conservation of the solid fuel resource being
 646-6   recovered so that reaffecting the land in the future through
 646-7   surface coal mining can be minimized;
 646-8               (2)  to restore the land affected to a condition
 646-9   capable of supporting the uses that it could support before mining
646-10   or reasonably likely higher or better uses if:
646-11                     (A)  the uses do not present an actual or
646-12   probable hazard to public health or safety or pose an actual or
646-13   probable threat of water diminution or pollution;  and
646-14                     (B)  the permit applicant's declared proposed
646-15   land use following reclamation:
646-16                           (i)  is not considered impractical or
646-17   unreasonable;
646-18                           (ii)  is not inconsistent with applicable
646-19   land use policies and plans;
646-20                           (iii)  does not involve unreasonable delay
646-21   in implementation;  and
646-22                           (iv)  does not violate federal, state, or
646-23   local law;
646-24               (3)  except as provided by Sections 134.093(b),
 647-1   134.094(b), and 134.107, to backfill, compact where advisable to
 647-2   ensure stability or to prevent leaching of toxic materials, and
 647-3   grade to restore the approximate original contour of the land with
 647-4   all highwalls, spoil piles, and depressions eliminated, unless
 647-5   small  depressions are needed to retain moisture to assist
 647-6   revegetation or as otherwise authorized under this chapter;
 647-7               (4)  to stabilize and protect the surface areas,
 647-8   including spoil piles affected by the surface coal mining and
 647-9   reclamation operation, for effective control of erosion and
647-10   attendant air and water pollution;
647-11               (5)  to remove the topsoil from the land in a separate
647-12   layer and replace it on the backfill area or, if the topsoil is not
647-13   used immediately, to segregate it in a separate pile from other
647-14   spoil;
647-15               (6)  to restore the topsoil or the best available
647-16   subsoil that is best able to support vegetation;
647-17               (7)  for prime farmland to be mined and reclaimed, at a
647-18   minimum:
647-19                     (A)  to segregate the A horizon of the natural
647-20   soil, unless it can be shown that other available soil materials
647-21   will create a final soil having a greater productive capacity, and,
647-22   if this material is not used immediately, to stockpile it
647-23   separately from other spoil and provide needed protection from wind
647-24   and water erosion or contamination by other acid or toxic
 648-1   materials;
 648-2                     (B)  to segregate the B horizon of the natural
 648-3   soil, underlying C horizons or other strata, or a combination of
 648-4   those horizons or other strata that are shown to be texturally and
 648-5   chemically suitable for plant growth and that can be shown to be
 648-6   equally or more favorable for plant growth than the B horizon, in
 648-7   sufficient quantities to create in the regraded final soil a root
 648-8   zone of a depth and quality comparable to that which existed in the
 648-9   natural soil and, if this material is not used immediately, to
648-10   stockpile it separately from other spoil and provide needed
648-11   protection from wind and water erosion or contamination by other
648-12   acid or toxic material;
648-13                     (C)  to replace and regrade the root zone
648-14   material described by Subdivision (7)(B) with proper compaction and
648-15   uniform depth over the regraded spoil material; and
648-16                     (D)  to redistribute and grade uniformly the
648-17   surface soil horizon described by Subdivision (7)(A);
648-18               (8)  to create a permanent impoundment of water on a
648-19   mining site as part of a reclamation activity if:
648-20                     (A)  the approved mining and reclamation plan and
648-21   permit authorize impoundment;  and
648-22                     (B)  it is adequately demonstrated that:
648-23                           (i)  the size of the impoundment is
648-24   adequate for its intended purposes;
 649-1                           (ii)  the impoundment dam construction will
 649-2   be designed to achieve necessary stability with an adequate margin
 649-3   of safety compatible with that of structures constructed under the
 649-4   Watershed Protection and Flood Prevention Act (16 U.S.C. Section
 649-5   1001 et seq.);
 649-6                           (iii)  the quality of impounded water will
 649-7   be permanently suitable for its intended use;
 649-8                           (iv)  discharges from the impoundment will
 649-9   not degrade the water quality in the receiving stream below water
649-10   quality standards established under applicable federal and state
649-11   law;
649-12                           (v)  the water level will be reasonably
649-13   stable;
649-14                           (vi)  final grading will provide adequate
649-15   safety and access for proposed water users;  and
649-16                           (vii)  the impoundment will not reduce the
649-17   quality or quantity of water used by adjacent or surrounding
649-18   landowners for agricultural, industrial, recreational, or domestic
649-19   uses;
649-20               (9)  to conduct any augering operation associated with
649-21   surface mining so as to maximize recoverability of coal reserves
649-22   remaining after the operation and reclamation are complete and to
649-23   seal the auger holes with an impervious and noncombustible material
649-24   to prevent drainage unless the commission determines that the
 650-1   resulting impoundment of water in the auger holes may create a
 650-2   hazard to the environment or the public health or safety;
 650-3               (10)  to minimize disturbances to the prevailing
 650-4   hydrologic balance at the mine site in associated offsite areas and
 650-5   to the quality and quantity of water in surface-water systems and
 650-6   groundwater systems both during and after surface coal mining
 650-7   operations and during reclamation by:
 650-8                     (A)  avoiding acid or other toxic mine drainage
 650-9   by measures including:
650-10                           (i)  preventing water from contacting or
650-11   removing water from contact with toxic-producing deposits;
650-12                           (ii)  treating drainage to reduce toxic
650-13   content that adversely affects downstream water when the drainage
650-14   is released to a watercourse;  or
650-15                           (iii)  casing, sealing, or otherwise
650-16   managing boreholes, shafts, and wells and keeping acid or other
650-17   toxic drainage from entering surface water and groundwater;
650-18                     (B)  conducting surface coal mining operations
650-19   to:
650-20                           (i)  prevent, to the extent possible using
650-21   the best technology currently available, additional contributions
650-22   of suspended solids to streamflow or runoff outside the permit
650-23   area;  and
650-24                           (ii)  prevent those contributions from
 651-1   exceeding requirements set by applicable state or federal law;
 651-2                     (C)  constructing any siltation structures under
 651-3   Paragraph (B) before beginning surface coal mining operations;
 651-4                     (D)  cleaning out and removing temporary or large
 651-5   settling ponds or other siltation structures from drainways after
 651-6   disturbed areas are revegetated and stabilized and depositing the
 651-7   silt and debris at a site and in a manner approved by the
 651-8   commission;
 651-9                     (E)  restoring the recharge capacity of the mined
651-10   area to approximate premining conditions;
651-11                     (F)  avoiding channel deepening or enlargement in
651-12   operations requiring the discharge of water from a mine;
651-13                     (G)  preserving throughout the mining and
651-14   reclamation process the essential hydrologic functions of alluvial
651-15   valley floors in the arid and semiarid areas of the country;  and
651-16                     (H)  performing other actions the commission
651-17   prescribes;
651-18               (11)  with respect to surface disposal of mine wastes,
651-19   tailings, coal processing wastes, and other wastes in areas other
651-20   than the mine workings or excavations:
651-21                     (A)  to stabilize the waste piles in designated
651-22   areas through construction in compacted layers including the use of
651-23   incombustible and impervious materials, if necessary;  and
651-24                     (B)  to assure that the final contour of the
 652-1   waste pile will be compatible with natural surroundings and that
 652-2   the site can and will be stabilized and revegetated according to
 652-3   this chapter;
 652-4               (12)  to refrain from surface coal mining within 500
 652-5   feet of an active or abandoned underground mine to prevent a
 652-6   breakthrough and to protect the health or safety of miners;
 652-7               (13)  to design, locate, construct, operate, maintain,
 652-8   enlarge, modify, and remove or abandon, in accordance with the
 652-9   standards developed under commission rule, existing and new coal
652-10   mine waste piles used temporarily or permanently as dams or
652-11   embankments;
652-12               (14)  to ensure that debris, acid-forming materials,
652-13   toxic materials, or materials constituting a fire hazard are
652-14   treated, buried and compacted, or otherwise disposed of in a manner
652-15   designed to prevent contamination of surface water or groundwater
652-16   and that contingency plans are developed to prevent sustained
652-17   combustion;
652-18               (15)  to ensure that explosives are used in accordance
652-19   with state and federal law, including commission rules;
652-20               (16)  to ensure that reclamation efforts proceed in an
652-21   environmentally sound manner and as contemporaneously as
652-22   practicable with the surface coal mining operations;
652-23               (17)  to ensure that the construction, maintenance, and
652-24   postmining conditions of access roads into and across the site of
 653-1   operations will control or prevent:
 653-2                     (A)  erosion and siltation;
 653-3                     (B)  water pollution;  and
 653-4                     (C)  damage to:
 653-5                           (i)  fish or wildlife or their habitat;  or
 653-6                           (ii)  public or private property;
 653-7               (18)  to refrain from constructing roads or other
 653-8   access ways up a stream bed or drainage channel or so near the
 653-9   channel as to seriously alter the normal flow of water;
653-10               (19)  to establish on regraded areas and other affected
653-11   land a diverse, effective, and permanent vegetative cover:
653-12                     (A)  of the seasonal variety native to the area
653-13   of land to be affected;
653-14                     (B)  capable of self-regeneration and plant
653-15   succession;  and  
653-16                     (C)  at least equal in extent of cover to the
653-17   natural vegetation of the area;
653-18               (20)  to assume responsibility for successful
653-19   revegetation as required by Subdivision (19) for five years after
653-20   the last year of augmented seeding, fertilizing, irrigation, or
653-21   other work in order to assure compliance with that subsection;
653-22               (21)  to protect off-site areas from slides or damage
653-23   occurring during the surface coal mining and reclamation operations
653-24   and to refrain from depositing spoil material or locating any part
 654-1   of the operations or waste accumulations outside the permit area;
 654-2               (22)  to place the excess spoil material resulting from
 654-3   surface coal mining and reclamation activities in accordance with
 654-4   Section 134.106;
 654-5               (23)  to meet other standards necessary to achieve
 654-6   reclamation in accordance with the purposes of this chapter,
 654-7   considering the physical, climatological, and other characteristics
 654-8   of the site;
 654-9               (24)  to the extent possible, using the best technology
654-10   currently available, to minimize disturbance and adverse impacts of
654-11   the operation on fish, wildlife, and related environmental values
654-12   and to enhance those resources where practicable;  and
654-13               (25)  to provide an undisturbed natural barrier
654-14   beginning at the elevation of the lowest coal seam to be mined and
654-15   extending from the outslope for the distance the commission
654-16   determines shall be retained in place as a barrier to slides and
654-17   erosion.
654-18         (i)  Section 134.163, Natural Resources Code, is amended to
654-19   more closely conform to the law from which it was derived to read
654-20   as follows:
654-21         Sec. 134.163.  TERM OF CESSATION ORDER.  Except as provided
654-22   by Section 134.167, a cessation order under Section 134.161 or
654-23   134.162 remains in effect until the commission:
654-24               (1)  determines the condition, practice, or violation
 655-1   has been abated;  or
 655-2               (2)  modifies, vacates, or terminates the order under
 655-3   Section 134.166.
 655-4         (j)  Chapter 272, Acts of the 74th Legislature, Regular
 655-5   Session, 1995, is repealed.
 655-6        ARTICLE 26.  CHANGES RELATING TO PARKS AND WILDLIFE CODE
 655-7         SECTION 26.01.  Section 31.003(14), Parks and Wildlife Code,
 655-8   as amended by Chapters 450 and 739, Acts of the 73rd Legislature,
 655-9   Regular Session, 1993, is revised to read as follows:
655-10               (14)  "Personal watercraft" means a vessel of a type
655-11   which is specifically designed to be operated by a person or
655-12   persons sitting, standing, or kneeling on the vessel rather than in
655-13   the conventional manner of sitting or standing inside the vessel.
655-14               ARTICLE 27.  CHANGES RELATING TO PENAL CODE
655-15         SECTION 27.01.  Section 22.01(b), Penal Code, as amended by
655-16   Chapters 318 and 659, Acts of the 74th Legislature, Regular
655-17   Session, 1995, is amended and reenacted to read as follows:
655-18         (b)  An offense under Subsection (a)(1) is a Class A
655-19   misdemeanor, except that the offense is:
655-20               (1)  a felony of the third degree if the offense is
655-21   committed against a person the actor knows is a public servant
655-22   while the public servant is lawfully discharging an official duty,
655-23   or in retaliation or on account of an exercise of official power or
655-24   performance of an official duty as a public servant; or
 656-1               (2)  a state jail felony if [unless] it is shown on the
 656-2   trial of the offense that the offense was committed against a
 656-3   family member and that the defendant has been previously convicted
 656-4   of an offense against a family member under this section two or
 656-5   more times[, in which event the offense is a state jail felony].
 656-6             ARTICLE 28.  CHANGES RELATING TO PROPERTY CODE
 656-7         SECTION 28.01.  Section 92.2611(d), Property Code, as added
 656-8   by Section 10, Chapter 869, Acts of the 74th Legislature, Regular
 656-9   Session, 1995, is repealed.
656-10         SECTION 28.02.  Chapter 141, Property Code, is amended to
656-11   conform to Section 1, Chapter 1043, Acts of the 74th Legislature,
656-12   Regular Session, 1995, by adding a chapter heading to read as
656-13   follows:
656-14                    CHAPTER 141.  TRANSFERS TO MINORS
656-15                ARTICLE 29.  CHANGES RELATING TO TAX CODE
656-16         SECTION 29.01.  Sections 26.012(2) and (7), Tax Code, are
656-17   amended to conform to Section 1, Chapter 699, and Section 1,
656-18   Chapter 988, Acts of the 70th Legislature, Regular Session, 1987,
656-19   to read as follows:
656-20               (2)  "Collection rate" means the amount, expressed as a
656-21   percentage, calculated by:
656-22                     (A)  adding together estimates of the following
656-23   amounts:
656-24                           (i)  [an estimate of] the total amount of
 657-1   taxes to be levied in the current year and collected before July 1
 657-2   of the next year, including any penalties and interest on those
 657-3   taxes that will be collected during that period;
 657-4                           (ii)  [plus] any additional taxes imposed
 657-5   under Chapter 23 [of this code] collected between July 1 of the
 657-6   current year and June 30 of the following year; and
 657-7                           (iii)  [during the same period, plus] the
 657-8   total amount of delinquent taxes levied in any preceding year that
 657-9   will be collected between July 1 of the current year and June 30 of
657-10   the following year, including any penalties and interest on those
657-11   taxes that will be collected during that period; and
657-12                     (B)  dividing the amount  calculated under
657-13   Paragraph (A) by [expressed as a percentage of] the total amount of
657-14   taxes that will be levied in the current year.
657-15               (7)  "Debt" means a bond, warrant, certificate of
657-16   obligation, or other evidence of indebtedness owed by a taxing unit
657-17   that is payable solely from property taxes in installments over a
657-18   period of more than one year, not budgeted for payment from
657-19   maintenance and operations funds, and secured by a pledge of
657-20   property taxes, or a payment made under contract to secure
657-21   indebtedness of a similar nature issued by another political
657-22   subdivision on behalf of the taxing unit.
657-23         SECTION 29.02.  Section  26.012(13), Tax Code, is amended to
657-24   conform to Section 2, Chapter 849, Acts of the 70th Legislature,
 658-1   Regular Session, 1987, to read as follows:
 658-2               (13)  "Last year's levy" means the total of:
 658-3                     (A)  the amount of taxes that would be generated
 658-4   by multiplying the total tax rate adopted by the governing body in
 658-5   the preceding year by the total taxable value of property on the
 658-6   appraisal roll for the preceding year, including:
 658-7                           (i)  taxable value that was reduced in an
 658-8   appeal under Chapter 42; and
 658-9                           (ii)  all appraisal roll supplements and
658-10   corrections other than corrections made pursuant to Section
658-11   25.25(d) [of this code], as of the date of the calculation, except
658-12   that last year's taxable value for a school district excludes the
658-13   total value of homesteads that qualified for a tax limitation as
658-14   provided by Section 11.26 [of this code]; and
658-15                     (B)  the amount of taxes refunded by the taxing
658-16   unit in the preceding year for tax years before that year.
658-17         SECTION 29.03.  Section 26.04, Tax Code, as amended by
658-18   Section 1, Chapter 699, Section 2, Chapter 849, Section 3, Chapter
658-19   947, and Section 1, Chapter 988, Acts of the 70th Legislature,
658-20   Regular Session, 1987; by Section 284(18), Chapter 14, Acts of the
658-21   72nd Legislature, Regular Session, 1991; by Section 45, Chapter 6,
658-22   Acts of the 72nd Legislature, 2nd Called Session, 1991; and by
658-23   Section 2, Chapter 81, and Sections 1 and 2, Chapter 611, Acts of
658-24   the 73rd Legislature, Regular Session, 1993; is reenacted to read
 659-1   as follows:
 659-2         Sec. 26.04.  SUBMISSION OF ROLL TO GOVERNING BODY; EFFECTIVE
 659-3   AND ROLLBACK TAX RATES.  (a)  On receipt of the appraisal roll, the
 659-4   assessor for a taxing unit shall determine the total appraised
 659-5   value, the total assessed value, and the total taxable value of
 659-6   property taxable by the unit.  He shall also determine, using
 659-7   information provided by the appraisal office, the appraised,
 659-8   assessed, and taxable value of new property.
 659-9         (b)  The assessor shall submit the appraisal roll for the
659-10   unit showing the total appraised, assessed, and taxable values of
659-11   all property and the total taxable value of new property to the
659-12   governing body of the unit by August 1 or as soon thereafter as
659-13   practicable.  By August 1 or as soon thereafter as practicable, the
659-14   taxing unit's collector shall certify an estimate of the collection
659-15   rate for the current year to the governing body.  If the collector
659-16   certified an anticipated collection rate in the preceding year and
659-17   the actual collection rate in that year exceeded the anticipated
659-18   rate, the collector shall also certify the amount of debt taxes
659-19   collected in excess of the anticipated amount in the preceding
659-20   year.
659-21         (c)  An officer or employee designated by the governing body
659-22   shall calculate the effective tax rate and the rollback tax rate
659-23   for the unit, where:
659-24               (1)  "Effective tax rate" means a rate expressed in
 660-1   dollars per $100 of taxable value calculated according to the
 660-2   following formula:
 660-4                        _____________________________________________            
 660-5                         (CURRENT TOTAL VALUE - NEW PROPERTY VALUE)
 660-6   ; and
 660-7               (2)  "Rollback tax rate" means a rate expressed in
 660-8   dollars per $100 of taxable value [and] calculated according to the
 660-9   following formula:
660-11                         X 1.08) + CURRENT DEBT RATE
660-12         (d)  The effective tax rate for a county is the sum of the
660-13   effective tax rates calculated for each type of tax the county
660-14   levies and the rollback tax rate for a county is the sum of the
660-15   rollback tax rates calculated for each type of tax the county
660-16   levies.
660-17         (e)  By August 7 or as soon thereafter as practicable, the
660-18   designated officer or employee shall submit the rates to the
660-19   governing body.  He shall deliver by mail to each property owner in
660-20   the unit or publish in a newspaper in the form prescribed by the
660-21   comptroller:
660-22               (1)  the effective tax rate, the rollback tax rate, and
660-23   an explanation of how they were calculated;
660-24               (2)  the estimated amount of interest and sinking fund
 661-1   balances and the estimated amount of maintenance and operation or
 661-2   general fund balances remaining at the end of the current fiscal
 661-3   year that are not encumbered with or by corresponding existing debt
 661-4   obligation, except that for a school district, estimated funds
 661-5   necessary for the operation of the district prior to the receipt of
 661-6   the first state education aid payment in the succeeding school year
 661-7   shall be subtracted from the estimated fund balances;
 661-8               (3)  a schedule of the unit's debt obligations showing:
 661-9                     (A)  the amount of principal and interest that
661-10   will be paid to service the unit's debts in the next year from
661-11   property tax revenue, including payments of lawfully incurred
661-12   contractual obligations providing security for the payment of the
661-13   principal of and interest on bonds and other evidences of
661-14   indebtedness issued on behalf of the unit by another political
661-15   subdivision;
661-16                     (B)  the amount by which taxes imposed for debt
661-17   are to be increased because of the unit's anticipated collection
661-18   rate; and
661-19                     (C)  the total of the amounts listed in
661-20   Paragraphs (A)-(B), less any amount collected in excess of the
661-21   previous year's anticipated collections certified as provided in
661-22   Subsection (b) [of this section]; and
661-23               (4)  the amount of additional sales and use tax revenue
661-24   anticipated in calculations under Section 26.041 [of this code].
 662-1               (5)  in the year that a taxing unit calculates an
 662-2   adjustment under Subsection (i) or (j) [Section 26.04(k) or (l) of
 662-3   this code], the unit shall publish a schedule that includes the
 662-4   following elements:
 662-5                     (A)  the name of the unit discontinuing the
 662-6   department, function, or activity;
 662-7                     (B)  the amount of property tax revenue spent by
 662-8   the unit listed under Paragraph (A) [of this subsection] to operate
 662-9   the discontinued department, function, or activity in the 12 months
662-10   preceding the month in which the calculations required by this
662-11   chapter are made; and
662-12                     (C)  the name of the unit that operates a
662-13   distinct department, function, or activity in all or a majority of
662-14   the territory of a taxing unit that has discontinued operating the
662-15   distinct department, function, or activity; and
662-16               (6)  in the year following the year in which a taxing
662-17   unit raised its rollback rate as required by Subsection (j)
662-18   [Section 26.04(l) of this code], the taxing unit shall publish a
662-19   schedule that includes the following elements:
662-20                     (A)  the amount of property tax revenue spent by
662-21   the unit to operate the department, function, or activity for which
662-22   the taxing unit raised the rollback rate as required by Subsection
662-23   (j) [Section 26.04(l) of this code] for the 12 months preceding the
662-24   month in which the calculations required by this chapter are made;
 663-1   and
 663-2                     (B)  the amount published by the unit in the
 663-3   preceding tax year under Subdivision (5)(B) [Section 26.04(e)(5)(B)
 663-4   of this code].
 663-5         (f)  If as a result of consolidation of taxing units a taxing
 663-6   unit includes territory that was in two or more taxing units in the
 663-7   preceding year, the amount of taxes imposed in each in the
 663-8   preceding year is combined for purposes of calculating the
 663-9   effective and rollback tax rates under this section.
663-10         (g)  A person who owns taxable property is entitled to an
663-11   injunction prohibiting the taxing unit in which the property is
663-12   taxable from adopting a tax rate if the assessor or designated
663-13   officer or employee of the unit, as applicable, has not complied
663-14   with the computation or publication requirements of this section
663-15   and the failure to comply was not in good faith.
663-16         (h) [(i)]  For purposes of this section, the anticipated
663-17   collection rate of a taxing unit is the percentage relationship
663-18   that the total amount of estimated tax collections for the current
663-19   year bears to the total amount of taxes imposed for the current
663-20   year.  The total amount of estimated tax collections for the
663-21   current year is the sum of the collector's estimate of:
663-22               (1)  the total amount of property taxes imposed in the
663-23   current year that will be collected before July 1 of the following
663-24   year, including any penalties and interest on those taxes that will
 664-1   be collected during that period; and
 664-2               (2)  the total amount of delinquent property taxes
 664-3   imposed in previous years that will be collected on or after July 1
 664-4   of the current year and before July 1 of the following year,
 664-5   including any penalties and interest on those taxes that will be
 664-6   collected during that period.
 664-7         [(j)  Subsections (b)(2)(B) and (e)(3)(C)(ii) of this section
 664-8   do not apply to a taxing unit in a tax year if the taxing unit did
 664-9   not impose ad valorem taxes in the preceding year.]
664-10         (i) [(k)]  This subsection applies to a taxing unit that has
664-11   agreed by written contract to transfer a distinct department,
664-12   function, or activity to another taxing unit and discontinues
664-13   operating that distinct department, function, or activity if the
664-14   operation of that department, function, or activity in all or a
664-15   majority of the territory of the taxing unit is continued by
664-16   another existing taxing unit or by a new taxing unit.  The rollback
664-17   tax rate of a taxing unit to which this subsection applies in the
664-18   first tax year in which a budget is adopted that does not allocate
664-19   revenue to the discontinued department, function, or activity is
664-20   calculated as otherwise provided by this section, except that last
664-21   year's levy used to calculate the effective maintenance and
664-22   operations rate of the unit is reduced by the amount of maintenance
664-23   and operations tax revenue spent by the taxing unit to operate the
664-24   department, function, or activity for the 12 months preceding the
 665-1   month in which the calculations required by this chapter are made
 665-2   and in which the unit operated the discontinued department,
 665-3   function, or activity.  If the unit did not operate that
 665-4   department, function, or activity for the full 12 months preceding
 665-5   the month in which the calculations required by this chapter are
 665-6   made, the unit shall reduce last year's levy used for calculating
 665-7   the effective maintenance and operations rate of the unit by the
 665-8   amount of the revenue spent in the last full fiscal year in which
 665-9   the unit operated the discontinued department, function, or
665-10   activity.
665-11         (j) [(l)]  This subsection applies to a taxing unit that had
665-12   agreed by written contract to accept the transfer of a distinct
665-13   department, function, or activity from another taxing unit and
665-14   operates a distinct department, function, or activity if the
665-15   operation of a substantially similar department, function, or
665-16   activity in all or a majority of the territory of the taxing unit
665-17   has been discontinued by another taxing unit, including a dissolved
665-18   taxing unit.  The rollback tax rate of a taxing unit to which this
665-19   subsection applies in the first tax year after the other taxing
665-20   unit discontinued the substantially similar department, function,
665-21   or activity in which a budget is adopted that allocates revenue to
665-22   the department, function, or activity is calculated as otherwise
665-23   provided by this section, except that last year's levy used to
665-24   calculate the effective maintenance and operations rate of the unit
 666-1   is increased by the amount of maintenance and operations tax
 666-2   revenue spent by the taxing unit that discontinued operating the
 666-3   substantially similar department, function, or activity to operate
 666-4   that department, function, or activity for the 12 months preceding
 666-5   the month in which the calculations required by this chapter are
 666-6   made and in which the unit operated the discontinued department,
 666-7   function, or activity.  If the unit did not operate the
 666-8   discontinued department, function, or activity for the full 12
 666-9   months preceding the month in which the calculations required by
666-10   this chapter are made, the unit may increase last year's levy used
666-11   to calculate the effective maintenance and operations rate by an
666-12   amount not to exceed the amount of property tax revenue spent by
666-13   the discontinuing unit to operate the discontinued department,
666-14   function, or activity in the last full fiscal year in which the
666-15   discontinuing unit operated the department, function, or activity.
666-16         SECTION 29.04.  Section 26.041(a), Tax Code, is amended to
666-17   conform to the terminology of Section 26.012(9), Tax Code, to read
666-18   as follows:
666-19         (a)  In the first year in which an additional sales and use
666-20   tax is required to be collected, the effective tax rate and
666-21   rollback tax rate for the unit are calculated according to the
666-22   following formulas:
666-24                    __________________________________________________  
 667-1                    (CURRENT TOTAL VALUE [LEVY] - NEW PROPERTY VALUE)
 667-2                              - SALES TAX GAIN RATE
 667-3   and
 667-5                         X 1.08) + CURRENT DEBT RATE - SALES TAX
 667-6                         GAIN RATE
 667-7   where "sales tax gain rate" means a number expressed in dollars per
 667-8   $100 of taxable value, calculated by dividing the revenue that will
 667-9   be generated by the additional sales and use tax in the following
667-10   year as calculated under Subsection (d) of this section by the
667-11   current total value.
667-12         SECTION 29.05.  Sections 26.043(a) and (b), Tax Code, are
667-13   amended to conform to Section 26.012, Tax Code, and to Section
667-14   26.04, Tax Code, as amended by Section 3, Chapter 947, Acts of the
667-15   70th Legislature, Regular Session, 1987, and reenacted by this Act,
667-16   and to correct a reference, to read as follows:
667-17         (a)  In the tax year in which a city has set an election on
667-18   the question of whether to impose a local sales and use tax under
667-19   Subchapter H, Chapter 453, Transportation Code [Section 8(a),
667-20   Article 1118z, Revised Statutes], the officer or employee
667-21   designated to make the calculations provided by Section 26.04 [of
667-22   this code] may not make those calculations until the outcome of the
667-23   election is determined.  If the election is determined in favor of
667-24   the imposition of the tax, the representative shall subtract from
 668-1   the city's rollback and effective tax rates the amount that, if
 668-2   applied to the city's current total value [total taxable value
 668-3   submitted to the governing body], would impose an amount equal to
 668-4   the amount of property taxes budgeted in the current tax year to
 668-5   pay for expenses related to mass transit services.
 668-6         (b)  In a tax year to which this section applies, a reference
 668-7   in this chapter [Section 26.04(d), 26.05, 26.06, or 26.07 of this
 668-8   code] to the city's effective or rollback tax rate refers to that
 668-9   rate as adjusted under this section.
668-10         SECTION 29.06.  Section 26.05(d), Tax Code, is amended to
668-11   conform to the other provisions of Chapter 26, Tax Code, defining
668-12   the rollback and effective tax rates for a taxing unit to read as
668-13   follows:
668-14         (d)  The governing body may not adopt a tax rate that exceeds
668-15   the lower of the rollback tax rate or 103 percent of the effective
668-16   tax rate calculated as provided by this chapter [Section 26.04 of
668-17   this code] until it has held a public hearing on the proposed
668-18   increase and has otherwise complied with Section 26.06 [of this
668-19   code].  The governing body of a taxing unit shall reduce a tax rate
668-20   set by law or by vote of the electorate to the lower of the
668-21   rollback tax rate or 103 percent of the effective tax rate and may
668-22   not adopt a higher rate unless it first complies with Section 26.06
668-23   [of this code].
668-24         SECTION 29.07.  Section 26.06(b), Tax Code, as amended by
 669-1   Section 1, Chapter 456, and Section 8, Chapter 947, Acts of the
 669-2   70th Legislature, Regular Session, 1987, is reenacted to read as
 669-3   follows:
 669-4         (b)  The notice of a public hearing may not be smaller than
 669-5   one-quarter page of a standard-size or a tabloid-size newspaper,
 669-6   and the headline on the notice must be in 18-point or larger type.
 669-7   The notice must:
 669-8               (1)  contain a statement in the following form:
 669-9             "NOTICE OF PUBLIC HEARING ON TAX RATE INCREASE
669-10         "The (name of the taxing unit) will hold a public hearing on
669-11   a proposal to increase total tax revenues from properties on the
669-12   tax roll in (the preceding year) by (percentage of increase over
669-13   the lower of the effective or rollback tax rates) percent.  Your
669-14   individual taxes may increase at a greater or lesser rate, or even
669-15   decrease, depending on the change in the taxable value of your
669-16   property in relation to the change in taxable value of all other
669-17   property.
669-18         "The public hearing will be held on (date and time) at
669-19   (meeting place).
669-20         "(Names of all members of the governing body, showing how
669-21   each voted on the proposal to consider the tax increase or, if one
669-22   or more were absent, or indicating the absences.)"; and
669-23               (2)  contain the following information:
669-24                     (A)  the unit's adopted tax rate for the
 670-1   preceding year and the proposed tax rate, expressed as an amount
 670-2   per $100;
 670-3                     (B)  the difference, expressed as an amount per
 670-4   $100 and as a percent increase or decrease, as applicable, in the
 670-5   proposed tax rate compared to the adopted tax rate for the
 670-6   preceding year;
 670-7                     (C)  the average appraised value of a residence
 670-8   homestead in the taxing unit in the preceding year and in the
 670-9   current year; the unit's homestead exemption, other than an
670-10   exemption available only to disabled persons or persons 65 years of
670-11   age or older, applicable to that appraised value in each of those
670-12   years; and the average taxable value of a residence homestead in
670-13   the unit in each of those years, disregarding any homestead
670-14   exemption available only to disabled persons or persons 65 years of
670-15   age or older;
670-16                     (D)  the amount of tax that would have been
670-17   imposed by the unit in the preceding year on a residence homestead
670-18   appraised at the average appraised value of a residence homestead
670-19   in that year, disregarding any homestead exemption available only
670-20   to disabled persons or persons 65 years of age or older;
670-21                     (E)  the amount of tax that would be imposed by
670-22   the unit in the current year on a residence homestead appraised at
670-23   the average appraised value of a residence homestead in the current
670-24   year, disregarding any homestead exemption available only to
 671-1   disabled persons or persons 65 years of age or older, if the
 671-2   proposed tax rate is adopted; and
 671-3                     (F)  the difference between the amounts of tax
 671-4   calculated under Paragraphs (D) and (E) [of this subdivision],
 671-5   expressed in dollars and cents and described as the annual increase
 671-6   or decrease, as applicable, in the tax to be imposed by the unit on
 671-7   the average residence homestead in the unit in the current year if
 671-8   the proposed tax rate is adopted.
 671-9         SECTION 29.08.  Sections 26.07(a), (d), and (e), Tax Code,
671-10   are amended to conform to the other provisions of Chapter 26, Tax
671-11   Code, defining the rollback tax rate for a taxing unit, to read as
671-12   follows:
671-13         (a)  If the governing body of a taxing unit other than a
671-14   school district adopts a tax rate that exceeds the rollback tax
671-15   rate calculated as provided by this chapter [Section 26.04 of this
671-16   code], the qualified voters of the taxing unit by petition may
671-17   require that an election be held to determine whether or not to
671-18   reduce the tax rate adopted for the current year to the rollback
671-19   tax rate calculated as provided by this chapter [Section 26.04 of
671-20   this code].
671-21         (d)  If the governing body finds that the petition is valid
671-22   (or fails to act within the time allowed), it shall order that an
671-23   election be held in the taxing unit on a date not less than 30 or
671-24   more than 90 days after the last day on which it could have acted
 672-1   to approve or disapprove the petition.  A state law requiring local
 672-2   elections to be held on a specified date does not apply to the
 672-3   election unless a specified date falls within the time permitted by
 672-4   this section.  At the election, the ballots shall be prepared to
 672-5   permit voting for or against the proposition:  "Reducing the tax
 672-6   rate in (name of taxing unit) for the current year from (the rate
 672-7   adopted) to (the rollback tax rate calculated as provided by this
 672-8   chapter [Section 26.04 of this code])."
 672-9         (e)  If a majority of the qualified voters voting on the
672-10   question in the election favor the proposition, the tax rate for
672-11   the taxing unit for the current year is the rollback tax rate
672-12   calculated as provided by this chapter [Section 26.04 of this
672-13   code]; otherwise, the tax rate for the current year is the one
672-14   adopted by the governing body.
672-15         SECTION 29.09.  Section 26.042, Tax Code, as amended by
672-16   Section 12, Chapter 11, Acts of the 70th Legislature, Regular
672-17   Session, 1987, is repealed in conformity with Section 5, Chapter
672-18   947, Acts of the 70th Legislature, Regular Session, 1987.
672-19         SECTION 29.10.  (a)  Section 111.006(a), Tax Code, is amended
672-20   to conform to Section 1, Chapter 175, Acts of the 74th Legislature,
672-21   Regular Session, 1995, and Section 4, Chapter 351, Acts of the 74th
672-22   Legislature, Regular Session, 1995, to read as follows:
672-23         (a)  The [Except as provided by Subsection (d), the]
672-24   following matter is confidential and may not be used publicly,
 673-1   opened to public inspection, or disclosed except as permitted under
 673-2   Subsection (b), [or] (d), or (e):
 673-3               (1)  a federal tax return or federal tax return
 673-4   information required to have been submitted to the comptroller with
 673-5   a state tax return or report; and
 673-6               (2)  all information secured, derived, or obtained by
 673-7   the comptroller or the attorney general during the course of an
 673-8   examination of the taxpayer's books, records, papers, officers, or
 673-9   employees, including an examination of the business affairs,
673-10   operations, source of income, profits, losses, or expenditures of
673-11   the taxpayer.
673-12         (b)  Subsection (d), Section 111.006, Tax Code, as added by
673-13   Section 4, Chapter 351, Acts of the 74th Legislature, Regular
673-14   Session, 1995, is relettered as Subsection (e), Section 111.006,
673-15   Tax Code.
673-16         SECTION 29.11.  Section 352.1033, Tax Code, is amended to
673-17   read as follows:
673-18         Sec. 352.1033.  USE OF REVENUE; COUNTIES BORDERING THE GULF
673-19   OF MEXICO.  (a)  The revenue from a tax imposed under this chapter
673-20   by a county that borders the Gulf of Mexico authorized to impose
673-21   the tax by Section 352.002(a)(6) may be used only to:
673-22               (1)  clean public beaches;
673-23               (2)  acquire, furnish, or maintain facilities,
673-24   including parks, that enhance public access to beaches;
 674-1               (3)  provide and maintain public restrooms on or
 674-2   adjacent to beaches or beach access facilities;
 674-3               (4)  provide and maintain litter containers on or
 674-4   adjacent to beaches or beach access facilities; and
 674-5               (5)  advertise and conduct solicitations and
 674-6   promotional programs to attract tourists and convention delegates
 674-7   or registrants to the county or its vicinity, any of which may be
 674-8   conducted by the county or through contracts with persons or
 674-9   organizations selected by the county.
674-10         (b)  A county that borders the Gulf of Mexico and that is
674-11   authorized to impose the tax by Section 352.002(a)(6) may use 50
674-12   percent or less of the revenue from the tax for the promotion of
674-13   tourism.
674-14          ARTICLE 30.  CHANGES RELATING TO TRANSPORTATION CODE
674-15         SECTION 30.01.  (a)  Section 5.001(a), Transportation Code,
674-16   is amended to conform to Section 12, Chapter 705 (S.B. No. 3), Acts
674-17   of the 74th Legislature, Regular Session, 1995, to read as follows:
674-18         (a)  Unless otherwise provided by this code or other law:
674-19               (1)  the duties and liabilities of a carrier in this
674-20   state and the remedies against the carrier are the same as
674-21   prescribed by the common law; and
674-22               (2)  a carrier for hire may not limit its common-law
674-23   liability, unless the limitation is in conspicuous writing in a
674-24   written arrangement for transportation, including a bill of lading
 675-1   or contract for transportation.
 675-2         (b)  Section 5.002, Transportation Code, is repealed to
 675-3   conform to Section 12, Chapter 705 (S.B. No. 3), Acts of the 74th
 675-4   Legislature, Regular Session, 1995.
 675-5         (c)  Section 5.003, Transportation Code, is amended to
 675-6   conform to Section 13, Chapter 705 (S.B. No. 3), Acts of the 74th
 675-7   Legislature, Regular Session, 1995, to read as follows:
 675-8         Sec. 5.003.  LIABILITY OF CARRIER OF [TRANSPORTING] HOUSEHOLD
 675-9   GOODS[, PERSONAL EFFECTS, OR USED OFFICE FURNITURE].  (a)  A
675-10   carrier of household goods, as defined by 49 U.S.C. Section 10102,
675-11   [for hire] is not required to accept for transportation household
675-12   goods[, personal effects, or used office furniture and equipment]
675-13   unless the shipper or owner of the property or the agent of the
675-14   shipper or owner declares in writing the reasonable value of the
675-15   property.
675-16         (b)  A carrier transporting property with a value declared
675-17   under Subsection (a) is not liable in damages for an amount more
675-18   than the declared value of the property lost, destroyed, or
675-19   damaged.
675-20         (c)  [The Railroad Commission of Texas shall establish
675-21   adequate rates to be charged by a carrier consistent with the
675-22   declared value of property under this section.  If the commission
675-23   fails to establish a rate, a carrier is authorized to collect
675-24   reasonable transportation charges consistent with the declared
 676-1   value of the property.]
 676-2         [(d)]  A shipper's declaration of value is not admissible
 676-3   evidence in a court action unless the carrier, when accepting the
 676-4   shipment, provides and maintains in an amount at least equal to the
 676-5   declared value of the property:
 676-6               (1)  insurance in a solvent company authorized to do
 676-7   business in this state; or
 676-8               (2)  bonds.
 676-9         (d) [(e)]  The security requirement of Subsection (c) [(d)]
676-10   does not apply to steam or electric railroads.
676-11         (d)  Sections 12 and 13, Chapter 705 (S.B. No. 3), Acts of
676-12   the 74th Legislature, Regular Session, 1995, are repealed.
676-13         SECTION 30.02.  (a)  Section 20.001, Transportation Code, as
676-14   added by Chapter 165, Acts of the 74th Legislature, Regular
676-15   Session, 1995, is repealed to conform to the repeal of Article
676-16   911h, Revised Statutes, the source law for that section, by Section
676-17   31(a)(7), Chapter 705 (S.B. No. 3), Acts of the 74th Legislature,
676-18   Regular Session, 1995.
676-19         (b)  Chapter 20, Transportation Code, is amended by adding a
676-20   new Section 20.001 to codify Article 911k, Revised Statutes, as
676-21   amended by Section 14, Chapter 705 (S.B. No. 3), Acts of the 74th
676-22   Legislature, Regular Session, 1995, to read as follows:
676-23         Sec. 20.001.  CERTAIN CARRIERS EXEMPT FROM GROSS RECEIPTS
676-24   TAXES.  A motor bus carrier or motor carrier transporting persons
 677-1   or property for hire is exempt from any occupation tax measured by
 677-2   gross receipts imposed by any law of this state.
 677-3         (c)  Article 911k, Revised Statutes, is repealed.
 677-4         SECTION 30.03.  (a)  Section 21.111(a), Transportation Code,
 677-5   is amended to conform to Section 1, Chapter 636 (H.B. No. 2180),
 677-6   Acts of the 74th Legislature, Regular Session, 1995, to read as
 677-7   follows:
 677-8         (a)  The commission or the commission's authorized
 677-9   representative shall hold a public hearing before approving any
677-10   financial assistance under this subchapter, except as provided by
677-11   Section 21.1115.
677-12         (b)  Subchapter C, Chapter 21, Transportation Code, is
677-13   amended to conform to Section 1, Chapter 636 (H.B. No. 2180), Acts
677-14   of the 74th Legislature, Regular Session, 1995, by adding Section
677-15   21.1115 to read as follows:
677-16         Sec. 21.1115.  EMERGENCY LOAN OR GRANT.  (a)  In an
677-17   emergency, the director or the director's designee may award a loan
677-18   or grant without holding a public hearing under rules adopted by
677-19   the commission.
677-20         (b)  Before awarding a contract under this section, the
677-21   director or the director's designee must certify in writing the
677-22   fact and nature of the emergency that requires the award of the
677-23   contract.
677-24         (c)  Not later than the fifth working day after the date a
 678-1   contract is awarded under this section, the director shall notify
 678-2   in writing each member of the commission of the details of the
 678-3   emergency and the award.
 678-4         (d)  In this section, "emergency" means a situation or
 678-5   condition at a general aviation airport that requires immediate
 678-6   attention because of an existing unsafe condition that should be of
 678-7   sufficient concern to require a notice to airmen under FAA Order
 678-8   7930.2E.
 678-9         (c)  Section 1, Chapter 636 (H.B. No. 2180), Acts of the 74th
678-10   Legislature, Regular Session, 1995, is repealed.
678-11         SECTION 30.04.  Section 24.021(a), Transportation Code, is
678-12   amended to correct a reference to read as follows:
678-13         (a)  A person commits an offense if the person takes off,
678-14   lands, or maneuvers an aircraft, whether heavier or lighter than
678-15   air, on a public highway, road, or street except:
678-16               (1)  when necessary to prevent serious injury to a
678-17   person or property;
678-18               (2)  during or within a reasonable time after an
678-19   emergency; or
678-20               (3)  as provided by Section 24.022 [25.022].
678-21         SECTION 30.05.  (a)  Section 25.004(b), Transportation Code,
678-22   is amended to conform to Section 1(16), Chapter 1058 (H.B. No.
678-23   3050), Acts of the 74th Legislature, Regular Session, 1995, to read
678-24   as follows:
 679-1         (b)  The application filed with the department must be
 679-2   accompanied by a filing fee of $200.  The department shall send
 679-3   each filing fee to the comptroller for deposit to the credit of the
 679-4   aviation trust fund account.
 679-5         (b)  Section 25.012, Transportation Code, is amended to
 679-6   conform to Section 1(16), Chapter 1058 (H.B. No. 3050), Acts of the
 679-7   74th Legislature, Regular Session, 1995, to read as follows:
 679-8         Sec. 25.012.  AVIATION TRUST FUND ACCOUNT; Private Donations;
 679-9   Disposition of Revenue.  (a)  The aviation trust fund account is an
679-10   account in the general revenue fund.
679-11         (b)  The department may accept donations from private
679-12   entities.  Money donated to the department shall be deposited to
679-13   the credit of the aviation trust fund account.
679-14         (c) [(b)]  The department may use money deposited to the
679-15   credit of the aviation trust fund account [revenue it receives
679-16   under this chapter] in the payment of administrative expenses and
679-17   in the performance of its functions related to aviation safety,
679-18   including the prevention of an obstruction to air navigation.
679-19         SECTION 30.06.  (a)  Section 51.002, Transportation Code, is
679-20   amended to conform to Section 1, Chapter 505 (H.B. No. 1536), Acts
679-21   of the 74th Legislature, Regular Session, 1995, by adding
679-22   Subdivision (5) to read as follows:
679-23               (5)  "Department" means the Texas Department of
679-24   Transportation.
 680-1         (b)  Chapter 51, Transportation Code, is amended to conform
 680-2   to Section 3, Chapter 505 (H.B. No. 1536), Acts of the 74th
 680-3   Legislature, Regular Session, 1995, by adding Sections
 680-4   51.009-51.011 to read as follows:
 680-5         Sec. 51.009.  BENEFICIAL USE OF DREDGE MATERIAL.  (a)  The
 680-6   commission, through the department, may enter into an agreement
 680-7   with the Department of the Army to participate in the cost of a
 680-8   project to beneficially use material dredged from the Gulf
 680-9   Intracoastal Waterway.
680-10         (b)  The commission by rule shall establish eligibility
680-11   criteria for a project to beneficially use the dredge material.
680-12         (c)  In this section and Sections 51.010 and 51.011,
680-13   beneficial use of dredge material means any productive and positive
680-14   use of dredge material and includes broad use categories such as
680-15   fish and wildlife habitat development, human recreation, and
680-16   industrial and commercial uses.
680-17         Sec. 51.010.  PROPERTY ACQUISITION.  The commission, through
680-18   the department, may acquire an interest in property required for a
680-19   project to beneficially use dredge material in the manner provided
680-20   by Section 51.005.
680-21         Sec. 51.011.  HEARING REQUIRED BEFORE PARTICIPATION IN
680-22   PROJECT.  (a)  Before the department agrees to participate in the
680-23   cost of a project to beneficially use dredge material that requires
680-24   the acquisition of an interest in property, the commission shall
 681-1   hold a public hearing on the desirability of the project.
 681-2         (b)  The commission shall publish notice of the date, time,
 681-3   and place of the hearing at least once a week for three successive
 681-4   weeks before the hearing in a newspaper of general circulation
 681-5   published in the county seat of each county in which the project is
 681-6   located.
 681-7         (c)  The department may agree to participate in the cost of
 681-8   the project if the commission determines, after the public hearing,
 681-9   that the project can be accomplished without unjustifiable waste of
681-10   publicly or privately owned natural resources or a permanent and
681-11   substantial adverse effect on the environment, wildlife, or
681-12   fisheries.
681-13         (c)  Sections 1-3, Chapter 505 (H.B. No. 1536), Acts of the
681-14   74th Legislature, Regular Session, 1995, are repealed.
681-15         SECTION 30.07.  (a)  Subchapter D, Chapter 201,
681-16   Transportation Code, is amended to codify Article 6673a-4, Revised
681-17   Statutes, as added by Section 1, Chapter 431 (S.B. No. 1470), Acts
681-18   of the 74th Legislature, Regular Session, 1995, by adding Section
681-19   201.205 to read as follows:
681-20         Sec. 201.205.  PROTECTION AND USE OF INTELLECTUAL PROPERTY
681-21   AND PUBLICATIONS.  (a)  The department may:
681-22               (1)  apply for, register, secure, hold, and protect
681-23   under the laws of the United States, any state, or any nation a
681-24   patent, copyright, trademark, or other evidence of protection or
 682-1   exclusivity issued in or for an idea, publication, or other
 682-2   original innovation fixed in a tangible medium, including:
 682-3                     (A)  a literary work;
 682-4                     (B)  a logo;
 682-5                     (C)  a service mark;
 682-6                     (D)  a study;
 682-7                     (E)  a map or planning document;
 682-8                     (F)  an engineering, architectural, or graphic
 682-9   design;
682-10                     (G)  a manual;
682-11                     (H)  automated systems software;
682-12                     (I)  an audiovisual work;
682-13                     (J)  a sound recording; or
682-14                     (K)  travel literature, including a pamphlet,
682-15   bulletin, book, map, periodical, or electronic information
682-16   published or produced under Section 3, Chapter 193, Acts of the
682-17   56th Legislature, Regular Session, 1959 (Article 6144e, Vernon's
682-18   Texas Civil Statutes);
682-19               (2)  enter into a nonexclusive license agreement with a
682-20   third party for the receipt of a fee, royalty, or other thing of
682-21   monetary or nonmonetary value;
682-22               (3)  waive or reduce the amount of a fee, royalty, or
682-23   other thing of monetary or nonmonetary value to be assessed if the
682-24   department determines that the waiver will:
 683-1                     (A)  further the goals and missions of the
 683-2   department; and
 683-3                     (B)  result in a net benefit to the state; and
 683-4               (4)  adopt and enforce rules necessary to implement
 683-5   this section.
 683-6         (b)  Money paid to the department under this section shall be
 683-7   deposited to the credit of the state highway fund.
 683-8         (b)  Article 6673a-4, Revised Statutes, as added by Section
 683-9   1, Chapter 431 (S.B. No. 1470), Acts of the 74th Legislature,
683-10   Regular Session, 1995, is repealed.
683-11         SECTION 30.08.  (a)  Subchapter H, Chapter 201,
683-12   Transportation Code, is amended to codify Article 6674v-8, Revised
683-13   Statutes, as added by Section 1, Chapter 153 (S.B. No. 1633), Acts
683-14   of the 74th Legislature, Regular Session, 1995, by adding Section
683-15   201.610 to read as follows:
683-16         Sec. 201.610.  APPROVAL BY COMMISSION OF BRIDGE OVER RIO
683-17   GRANDE.  (a)  A political subdivision or private entity authorized
683-18   to construct or finance the construction of a bridge over the Rio
683-19   Grande:
683-20               (1)  must obtain approval from the commission for the
683-21   construction of the bridge before requesting approval from the
683-22   United States under Subchapter IV, Chapter 11, Title 33, United
683-23   States Code; and
683-24               (2)  shall submit to the commission a report that
 684-1   details the feasibility, location, economic effect, and
 684-2   environmental impact of the bridge and any other information the
 684-3   commission by rule may require.
 684-4         (b)  To the maximum extent practicable, the department shall
 684-5   implement the approval process in the manner least burdensome to an
 684-6   applicant.
 684-7         (c)  In determining whether to approve construction of the
 684-8   bridge, the commission shall consider:
 684-9               (1)  the financial resources available to the political
684-10   subdivision or private entity for construction of the bridge;
684-11               (2)  whether the revenue to be generated by the bridge
684-12   is sufficient to finance the planning, design, construction,
684-13   operation, and maintenance of the bridge;
684-14               (3)  whether the construction of the bridge is
684-15   consistent with the transportation plan adopted by the state and,
684-16   if appropriate, by the metropolitan planning organization with
684-17   jurisdiction over the bridge;
684-18               (4)  the potential effect of the bridge on:
684-19                     (A)  the economy of the region in which the
684-20   bridge is to be located;
684-21                     (B)  the environment of the region in which the
684-22   bridge is to be located;
684-23                     (C)  traffic congestion and mobility; and
684-24                     (D)  the free flow of trade between the United
 685-1   Mexican States and this state; and
 685-2               (5)  commitments from the appropriate jurisdictions of
 685-3   the United Mexican States to provide adequate approach roadways to
 685-4   the bridge.
 685-5         (d)  In determining whether to approve the construction of
 685-6   the bridge, the commission shall solicit the advice of:
 685-7               (1)  the Department of Public Safety;
 685-8               (2)  the Texas Natural Resource Conservation
 685-9   Commission;
685-10               (3)  the Texas Historical Commission;
685-11               (4)  the Department of Agriculture;
685-12               (5)  the Texas Alcoholic Beverage Commission;
685-13               (6)  the Texas Department of Commerce; and
685-14               (7)  any other state agency the commission determines
685-15   is appropriate.
685-16         (e)  If the commission fails to make a determination before
685-17   the 121st day after the date the commission receives a request for
685-18   approval under Subsection (a), the request is considered approved.
685-19         (f)  The commission may adopt rules to administer this
685-20   section.
685-21         (b)  Article 6674v-8, Revised Statutes, as added by Section
685-22   1, Chapter 153 (S.B. No. 1633), Acts of the 74th Legislature,
685-23   Regular Session, 1995, is repealed.
685-24         SECTION 30.09.  (a)  Subchapter J, Chapter 201,
 686-1   Transportation Code, is amended to codify Article 6674o-2, Revised
 686-2   Statutes, as added by  Section 9, Chapter 624 (H.B. No. 1547), Acts
 686-3   of the 74th Legislature, Regular Session, 1995, by adding Section
 686-4   201.8035 to read as follows:
 686-5         Sec. 201.8035.  INSPECTION OF COUNTY AND MUNICIPAL BRIDGES.
 686-6   (a)  If the department inspects a bridge under the jurisdiction of
 686-7   a county or a municipality and determines that the bridge qualifies
 686-8   for a lower load rating under 23 C.F.R. Part 650, Subpart C, than
 686-9   is currently permitted, the department shall notify the
686-10   commissioners court of the county or the governing body of the
686-11   municipality.
686-12         (b)  A commissioners court or governing body that is notified
686-13   under Subsection (a) shall post notices on the road or highway
686-14   approaching the bridge that state the maximum load permitted on the
686-15   bridge.  The notices must be posted at locations that enable
686-16   affected drivers to detour to avoid the restricted bridge.
686-17         (b)  Article 6674o-2, Revised Statutes, as added by Section
686-18   9, Chapter 624 (H.B. No. 1547), Acts of the 74th Legislature,
686-19   Regular Session, 1995, is repealed.
686-20         SECTION 30.10.  (a)  Section 202.052, Transportation Code, is
686-21   amended to conform to Section 1, Chapter 283 (S.B. No. 831), Acts
686-22   of the 74th Legislature, Regular Session, 1995, by amending
686-23   Subsection (d) and adding Subsection (e) to read as follows:
686-24         (d)  The department may authorize exceptions to the charges
 687-1   under Subsection (c) for:
 687-2               (1)  the lease of a highway asset to a public utility
 687-3   provider;
 687-4               (2)  a lease [and] for a social, environmental, or
 687-5   economic mitigation purpose; or
 687-6               (3)  a lease to an institution of higher education for
 687-7   a purpose of the institution.
 687-8         (e)  In this section, "institution of higher education" has
 687-9   the meaning assigned by Section 61.003, Education Code.
687-10         (b)  Section 1, Chapter 283 (S.B. No. 831), Acts of the 74th
687-11   Legislature, Regular Session, 1995, is repealed.
687-12         SECTION 30.11.  (a)  Section 202.082, Transportation Code, is
687-13   amended to conform to Section 1, Chapter 115 (S.B. No. 688), Acts
687-14   of the 74th Legislature, Regular Session, 1995, to read as follows:
687-15         Sec. 202.082.  DISPOSAL [OWNERSHIP AND USE] OF ASPHALT.
687-16   (a)  The department [owns and] shall dispose [retain ownership] of
687-17   all reclaimed asphalt pavement from a road in the state highway
687-18   system in the most cost-effective and environmentally sensitive
687-19   manner the department considers appropriate, giving priority to
687-20   political subdivisions of this state for the maintenance,
687-21   development, and construction of public works projects.
687-22         (b)  Disposal [The department shall maximize the use] of
687-23   [the] reclaimed asphalt pavement under this section is not subject
687-24   to:
 688-1               (1)  Chapter 2175, Government Code; or
 688-2               (2)  the statutory or regulatory authority of the
 688-3   General Services Commission.
 688-4         [(c)  The department shall, when feasible, remove and recycle
 688-5   hot mix asphalt from any road in the state highway system being
 688-6   repaved.]
 688-7         [(d)  The department may transfer ownership of reclaimed
 688-8   asphalt pavement to another governmental entity for use on a road.]
 688-9         (b)  Sections 202.083, 202.084, and 202.085, Transportation
688-10   Code, are repealed to conform to the repeal of the law from which
688-11   those sections were derived by Section 1, Chapter 115 (S.B. No.
688-12   688), Acts of the 74th Legislature, Regular Session, 1995.
688-13         (c)  Section 1, Chapter 115 (S.B. No. 688), Acts of the 74th
688-14   Legislature, Regular Session, 1995, is repealed.
688-15         SECTION 30.12.  Section 222.031, Transportation Code, is
688-16   amended to more closely conform to the law from which that section
688-17   was derived to read as follows:
688-18         Sec. 222.031.  Use of Federal Aid for Road Construction.
688-19   Money appropriated by the United States for public road
688-20   construction in this state may be spent only by and under the
688-21   supervision of the department.
688-22         SECTION 30.13.  (a)  Sections 223.002(c) and (d),
688-23   Transportation Code, are amended to conform to Section 1, Chapter
688-24   396 (H.B. No. 2176), Acts of the 74th Legislature, Regular Session,
 689-1   1995, to read as follows:
 689-2         (c)  Instead of the notice required by Subsection (b), if the
 689-3   department estimates that the contract involves an amount less than
 689-4   $300,000 [$100,000], notice may be published in two successive
 689-5   issues of a newspaper published in the county in which the
 689-6   improvement is to be made.
 689-7         (d)  If a newspaper is not published in the county in which
 689-8   the improvement is to be made, notice shall be published in a
 689-9   newspaper published in the county:
689-10               (1)  nearest the county seat of the county in which the
689-11   improvement is to be made; and
689-12               (2)  in which a newspaper is published.
689-13         (b)  Section 223.003, Transportation Code, is amended to
689-14   conform to Section 1, Chapter 396 (H.B. No. 2176), Acts of the 74th
689-15   Legislature, Regular Session, 1995, by amending Subsections (b) and
689-16   (c) and adding Subsection (d) to read as follows:
689-17         (b)  The department [commission] shall mail the notice to
689-18   each person on that mailing list.
689-19         (c)  The department [commission] may require each applicant
689-20   to pay an annual subscription fee set by the department in an
689-21   amount not to exceed the average annual [deposit with the
689-22   commission not more than $25 a year to cover] costs of mailing
689-23   notices to the applicant.
689-24         (d)  The department shall deposit money received under this
 690-1   section to the credit of the state highway fund.
 690-2         (c)  Sections 223.004(a), (c), and (d), Transportation Code,
 690-3   are amended to conform to Section 2, Chapter 396 (H.B. No. 2176),
 690-4   Acts of the 74th Legislature, Regular Session, 1995, to read as
 690-5   follows:
 690-6         (a)  Except as provided by Section 223.005, a bid submitted
 690-7   under this subchapter must be sealed and filed with the director or
 690-8   the director's designee in Austin and shall be opened at a public
 690-9   meeting by the director or the director's designee [hearing of the
690-10   commission].
690-11         (c)  [A copy of each bid shall be filed with the county in
690-12   which the improvement is to be made.]
690-13         [(d)]  The commission by rule may prescribe conditions under
690-14   which a bid may be rejected by the department [may reject any or
690-15   all bids].
690-16         (d)  Section 223.005, Transportation Code, is amended to
690-17   conform to Section 2, Chapter 396 (H.B. No. 2176), Acts of the 74th
690-18   Legislature, Regular Session, 1995, to read as follows:
690-19         Sec. 223.005.  BIDS ON CONTRACTS INVOLVING LESS THAN $300,000
690-20   [$100,000].  (a)  The commission by rule may allow bids [Bids] on a
690-21   contract estimated by the department to involve [involving] an
690-22   amount less than $300,000 to [$100,000 may, in the commission's
690-23   discretion,] be filed with [received at a public hearing by] the
690-24   district engineer at the headquarters for the district in which the
 691-1   improvement is to be made and opened and read at a public meeting
 691-2   held by the district engineer or the district engineer's designee.
 691-3         (b)  Except as provided by Subsection (d), all [All] bids
 691-4   received under this section and not rejected by the department
 691-5   shall be tabulated and forwarded to the commission and may be
 691-6   accepted or rejected by the commission.
 691-7         (c)  If the bids are accepted, the commission shall award the
 691-8   contract to the lowest bidder, subject to Section 223.045.
 691-9         (d)  The commission may delegate to the director or the
691-10   director's designee the right to:
691-11               (1)  accept or reject bids received, subject to Section
691-12   223.045; and
691-13               (2)  award a contract to the lowest bidder [shall adopt
691-14   rules governing bids received by a district engineer.  Rules
691-15   adopted by the commission for bids received in Austin by the
691-16   commission do not apply to bidders submitting bids to district
691-17   engineers].
691-18         (e)  Section 223.007, Transportation Code, is amended to
691-19   conform to Sections 3 and 4, Chapter 396 (H.B. No. 2176), Acts of
691-20   the 74th Legislature, Regular Session, 1995, by amending Subsection
691-21   (c) and adding Subsection (d) to read as follows:
691-22         (c)  A contract must be:
691-23               (1)  made in the name of the state;
691-24               (2)  signed by the director or the director's designee;
 692-1               (3)  approved by at least two members of the commission
 692-2   or a designee under Section 2103.064(a), Government Code; and
 692-3               (4)  signed by the successful bidder.
 692-4         (d)  The commission may delegate its authority under
 692-5   Subsections (a) and (b) to the director, who may delegate the
 692-6   delegated authority to an employee of the department who holds the
 692-7   rank of division director or higher.
 692-8         (f)  Sections 1-4, Chapter 396 (H.B. No. 2176), Acts of the
 692-9   74th Legislature, Regular Session, 1995, are repealed.
692-10         SECTION 30.14.  (a)  Subchapter A, Chapter 223,
692-11   Transportation Code, is amended to conform to Section 1, Chapter
692-12   232 (S.B. No. 532), Acts of the 74th Legislature, Regular Session,
692-13   1995, by adding Section 223.011 to read as follows:
692-14         Sec. 223.011.  PARTIAL PAYMENT EXCEPTION:  MAINTENANCE AND
692-15   PRECONSTRUCTION CONTRACTS.  The limitation on partial payments
692-16   provided by Section 223.009 and the retainage requirement under
692-17   Section 223.010(a) do not apply to a contract for:
692-18               (1)  maintenance; or
692-19               (2)  the making of all necessary plans and surveys
692-20   preliminary to construction, reconstruction, or maintenance.
692-21         (b)  Section 1, Chapter 232 (S.B. No. 532), Acts of the 74th
692-22   Legislature, Regular Session, 1995, is repealed.
692-23         SECTION 30.15.  (a)  Chapter 223, Transportation Code, is
692-24   amended to codify Article 6674i-5, Revised Statutes, as added by
 693-1   Section 1, Chapter 780 (S.B. No. 1058), Acts of the 74th
 693-2   Legislature, Regular Session, 1995, by adding Subchapter D to read
 693-3   as follows:
 693-4    SUBCHAPTER D.  CONTRACTS FOR ENVIRONMENTAL OR CULTURAL ASSESSMENT
 693-5         Sec. 223.151.  APPLICABILITY.  This subchapter:
 693-6               (1)  applies to services of a technical expert,
 693-7   including an archeologist, biologist, geologist, or historian, to
 693-8   conduct an environmental or cultural assessment required by state
 693-9   or federal law for a transportation project under the authority or
693-10   jurisdiction of the department; and
693-11               (2)  does not apply to services defined as engineering
693-12   by the State Board of Registration for Professional Engineers under
693-13   The Texas Engineering Practice Act (Article 3271a, Vernon's Texas
693-14   Civil Statutes).
693-15         Sec. 223.152.  DETERMINATION BY DEPARTMENT.  The department
693-16   may use competitive sealed proposals to obtain services under this
693-17   subchapter if the department determines that competitive sealed
693-18   bidding or informal competitive bidding is:
693-19               (1)  not practical; or
693-20               (2)  disadvantageous to the state.
693-21         Sec. 223.153.  SOLICITATION OF PROPOSALS.  The department
693-22   shall solicit proposals under this subchapter using the procedure
693-23   by which the department procures services under Subchapter A,
693-24   Chapter 2254, Government Code.
 694-1         Sec. 223.154.  OPENING OF PROPOSALS; DISCLOSURE OF
 694-2   INFORMATION.  (a)  The department:
 694-3               (1)  shall open each proposal received under this
 694-4   subchapter so as to avoid disclosure of contents to competing
 694-5   offerors during the process of negotiation; and
 694-6               (2)  may not disclose any information to an offeror
 694-7   that is derived from a proposal received from another offeror.
 694-8         (b)  After the award of a contract under this subchapter,
 694-9   each proposal submitted to the department is open for public
694-10   inspection, except as provided by Chapter 552, Government Code.
694-11         Sec. 223.155.  DISCUSSIONS WITH OFFERORS.  (a)  As provided
694-12   in a request for proposals and under rules adopted by the
694-13   commission, the department may discuss an acceptable or potentially
694-14   acceptable proposal with the offeror to assess that offeror's
694-15   ability to meet each requirement of the solicitation.
694-16         (b)  To obtain the best final offer, before the department
694-17   awards a contract under this subchapter, the department may permit
694-18   an offeror to revise the offeror's proposal.
694-19         (c)  The department shall provide each offeror an equal
694-20   opportunity to discuss and revise the offeror's proposal.
694-21         Sec. 223.156.  AWARD OF CONTRACT.  (a)  Except as provided by
694-22   Subsection (c), the department shall make a written award of a
694-23   contract under this subchapter to the offeror whose proposal is the
694-24   most advantageous to the state, considering price and the
 695-1   evaluation factors in the request for proposals.
 695-2         (b)  The contract file must state in writing the basis on
 695-3   which the award is made.
 695-4         (c)  If the department finds that none of the proposals is
 695-5   acceptable, the department shall reject all proposals.
 695-6         Sec. 223.157.  RULES.  The department may adopt rules to
 695-7   implement this subchapter.
 695-8         (b)  Article 6674i-5, Revised Statutes, as added by Section
 695-9   1, Chapter 780 (S.B. No. 1058), Acts of the 74th Legislature,
695-10   Regular Session, 1995, is repealed.
695-11         SECTION 30.16.  (a)  Subchapter B, Chapter 225,
695-12   Transportation Code, is amended to conform to Chapters 13 (S.B. No.
695-13   304), 14 (S.B. No. 318), 447 (H.B. No. 1544), 530 (S.B.  No. 1129),
695-14   546 (S.B. No. 1701), and 569 (S.B. No. 443), Acts of the 74th
695-15   Legislature, Regular Session, 1995 (Articles 6673e-11, 6673e-12,
695-16   6673e-13, 6673e-15, 6673e-16, and 6673e-14, Vernon's Texas Civil
695-17   Statutes), by adding Sections 225.028-225.033 to read as follows:
695-18         Sec. 225.028.  PEARL HARBOR MEMORIAL HIGHWAY.  (a)  The part
695-19   of U.S. Highway 290 between Johnson City and Interstate Highway 10
695-20   is the Pearl Harbor Memorial Highway.
695-21         (b)  The department shall design and construct markers
695-22   indicating the highway number, the designation as the Pearl Harbor
695-23   Memorial Highway, and any other appropriate information.
695-24         (c)  The department shall erect a marker at each end of the
 696-1   memorial highway and at appropriate intermediate sites along the
 696-2   highway.
 696-3         Sec. 225.029.  PRESIDENTIAL CORRIDOR.  (a)  In recognition of
 696-4   the connection between the Lyndon Baines Johnson Library in Austin
 696-5   and the George Herbert Walker Bush Library in College Station, the
 696-6   parts of U.S. Highway 290 from Interstate Highway 35 to State
 696-7   Highway 21 and State Highway 21 from U.S. Highway 290 to State
 696-8   Highway 6 are the Presidential Corridor.  The designation is in
 696-9   addition to any other designation.
696-10         (b)  The department shall design and construct markers
696-11   indicating the highway number, the designation as the Presidential
696-12   Corridor, and any other appropriate information.
696-13         (c)  The department shall erect a marker at each end of the
696-14   corridor and at appropriate intermediate sites along the corridor.
696-15         Sec. 225.030.  HENRY G. "BUD" LEHMAN HIGHWAY.  (a)  The part
696-16   of U.S. Highway 290 in Lee County is the Henry G. "Bud" Lehman
696-17   Highway.
696-18         (b)  The department shall design and construct markers
696-19   indicating the highway number, the designation as the Henry G.
696-20   "Bud" Lehman Highway, and any other appropriate information.
696-21         (c)  The department shall erect a marker at each end of the
696-22   highway and at appropriate intermediate sites along the highway.
696-23         Sec. 225.031.  RAY C. STOKER, JR., HIGHWAY.  (a)  The parts
696-24   of Farm-to-Market Road 503 from Valera to Farm-to-Market Road 1929
 697-1   and Farm-to-Market Road 1929 from Farm-to-Market Road 503 to U.S.
 697-2   Highway 83 are the Ray C. Stoker, Jr., Highway.
 697-3         (b)  The department shall design and construct markers
 697-4   indicating the highway number, the designation as the Ray C.
 697-5   Stoker, Jr., Highway, and any other appropriate information.
 697-6         (c)  The department shall erect a marker at each end of the
 697-7   highway and at appropriate intermediate sites along the highway.
 697-8         Sec. 225.032.  S. M. WRIGHT FREEWAY.  (a)  In recognition of
 697-9   S. M. Wright's outstanding spiritual and civic contributions to the
697-10   city of Dallas and the state, the parts of U.S. Highway 175 in
697-11   Dallas County between Interstate Highway 45 and State Highway 310
697-12   and State Highway 310 between U.S. Highway 175 and State Loop 12
697-13   are the S. M.  Wright Freeway.  The designation is in addition to
697-14   any other designation.
697-15         (b)  The department shall design and construct memorial
697-16   markers indicating the highway number, the designation as the S. M.
697-17   Wright Freeway, and any other appropriate information.
697-18         (c)  The department shall erect a marker at each end of the
697-19   freeway and at appropriate intermediate sites along the freeway.
697-20         Sec. 225.033.  PRESIDENT GEORGE BUSH HIGHWAY.  (a)  The part
697-21   of U.S. Highway 190 in Dallas, Collin, and Denton counties is the
697-22   President George Bush Highway.  The designation is in addition to
697-23   any other designation.
697-24         (b)  The department shall design and construct markers
 698-1   indicating the highway number, the designation as the President
 698-2   George Bush Highway, and any other appropriate information.
 698-3         (c)  The department shall erect a marker at each end of the
 698-4   highway and at appropriate intermediate sites along the highway.
 698-5         (d)  If the Texas Turnpike Authority assumes jurisdiction
 698-6   over the highway, the authority has the powers and shall perform
 698-7   the duties of the department under this section and Section
 698-8   225.021.
 698-9         (b)  Chapters 13 (S.B. No. 304), 14 (S.B. No. 318), 447 (H.B.
698-10   No. 1544), 530 (S.B. No. 1129), 546 (S.B. No. 1701), and 569 (S.B.
698-11   No. 443), Acts of the 74th Legislature, Regular Session, 1995
698-12   (Articles 6673e-11, 6673e-12, 6673e-13, 6673e-15, 6673e-16, and
698-13   6673e-14, Vernon's Texas Civil Statutes), are repealed.
698-14         SECTION 30.17.  (a)  Subchapter A, Chapter 256,
698-15   Transportation Code, is amended to conform to Section 1, Chapter
698-16   568 (S.B. No. 437), Acts of the 74th Legislature, Regular Session,
698-17   1995, by adding Section 256.009 to read as follows:
698-18         Sec. 256.009.  REPORT TO COMPTROLLER.  (a)  Not later than
698-19   January 30 of each year, the county auditor or, if the county does
698-20   not have a county auditor, the official having the duties of the
698-21   county auditor shall file a report with the comptroller stating the
698-22   total amount of expenditures for county road and bridge
698-23   construction, maintenance, rehabilitation, right-of-way
698-24   acquisition, and utility construction and other appropriate road
 699-1   expenditures of county funds in the preceding calendar year that
 699-2   are required by the constitution or other law to be spent on public
 699-3   roads or highways.  The report must be in a form prescribed by the
 699-4   comptroller.
 699-5         (b)  The comptroller may distribute money under Section
 699-6   256.002(a) to a county only if the most recent report required by
 699-7   Subsection (a) has been filed.
 699-8         (b)  Section 1, Chapter 568 (S.B. No. 437), Acts of the 74th
 699-9   Legislature, Regular Session, 1995, is repealed.
699-10         SECTION 30.18.  (a)  Chapter 284, Transportation Code, is
699-11   amended to conform to Section 1, Chapter 960 (H.B. No. 3143), Acts
699-12   of the 74th Legislature, Regular Session, 1995, by adding
699-13   Subchapter D to read as follows:
699-14            SUBCHAPTER D.  UNAUTHORIZED USE OF TOLL ROADS IN
699-15                            CERTAIN COUNTIES
699-16         Sec. 284.201.  APPLICABILITY OF SUBCHAPTER.  This subchapter
699-17   applies only to a county with a population of more than 2.2
699-18   million.
699-19         Sec. 284.202.  ORDER PROHIBITING OPERATION OF MOTOR VEHICLE
699-20   ON TOLL PROJECT.  (a)  The commissioners court of a county by order
699-21   may prohibit the operation of a motor vehicle on a county project
699-22   described by Section 284.001(3) if:
699-23               (1)  an operator of the vehicle has failed to pay a
699-24   required toll or charge; and
 700-1               (2)  the county provides the registered owner of the
 700-2   vehicle with notice of the unpaid toll or charge.
 700-3         (b)  The notice required by Subsection (a)(2) must be mailed
 700-4   to the registered owner of the vehicle at least 10 days before the
 700-5   date the prohibition takes effect.
 700-6         Sec. 284.203.  VIOLATION OF ORDER; OFFENSE.  (a)  A person
 700-7   commits an offense if the person operates a motor vehicle or causes
 700-8   or allows the operation of a motor vehicle in violation of an order
 700-9   adopted under Section 284.202(a).
700-10         (b)  An offense under this section is a Class C misdemeanor.
700-11         Sec. 284.204.  ADMINISTRATIVE ADJUDICATION HEARING PROCEDURE.
700-12   (a)  The commissioners court of a county may adopt an
700-13   administrative adjudication hearing procedure for a person who is
700-14   suspected of having violated an order adopted under Section
700-15   284.202(a) on at least two separate occasions within a 12-month
700-16   period in connection with a toll to be paid by electronic means.
700-17         (b)  A hearing procedure adopted under Subsection (a) must
700-18   provide:
700-19               (1)  a period for a person charged with violating the
700-20   order:
700-21                     (A)  to pay the toll or charge plus
700-22   administrative costs; or
700-23                     (B)  to request a hearing;
700-24               (2)  for appointment of one or more hearing officers
 701-1   with authority to administer oaths and issue orders compelling the
 701-2   attendance of witnesses and the production of documents; and
 701-3               (3)  for the amount and disposition of civil fines,
 701-4   costs, and fees.
 701-5         (c)  An order issued under Subsection (b)(2) may be enforced
 701-6   by a justice of the peace.
 701-7         Sec. 284.205.  CITATION OR SUMMONS.  (a)  A citation or
 701-8   summons issued under this subchapter must:
 701-9               (1)  inform the recipient of the time and place of the
701-10   hearing; and
701-11               (2)  notify the person charged with a violation that
701-12   the person has the right of a hearing without delay.
701-13         (b)  The original or any copy of the summons or citation is a
701-14   record kept in the ordinary course of business of the county and is
701-15   rebuttable proof of the facts it contains.
701-16         Sec. 284.206.  ADMINISTRATIVE HEARING:  PRESUMPTION; EVIDENCE
701-17   OF OWNERSHIP.  In an administrative adjudication hearing under this
701-18   subchapter it is presumed that:
701-19               (1)  the registered owner of the motor vehicle that is
701-20   the subject of the hearing is the person who operated or allowed
701-21   another person to operate the motor vehicle in violation of the
701-22   order; and
701-23               (2)  a computer record of the department of the
701-24   registered vehicle owner is prima facie evidence of its contents.
 702-1         Sec. 284.207.  ATTENDANCE ON HEARING.  (a)  The peace officer
 702-2   or toll road agent who alleges a violation is not required to
 702-3   attend the hearing.
 702-4         (b)  The failure of a person charged with an offense to
 702-5   appear at the hearing is considered an admission of liability for
 702-6   the violation.
 702-7         Sec. 284.208.  DECISION OF HEARING OFFICER.  (a)  The hearing
 702-8   officer shall issue a decision stating:
 702-9               (1)  whether the person charged is liable for a
702-10   violation of the order; and
702-11               (2)  the amount of the fine and costs to be assessed
702-12   against the person.
702-13         (b)  The hearing officer shall file the decision with the
702-14   county clerk.
702-15         (c)  A decision of a hearing officer filed under Subsection
702-16   (b) must be kept in a separate index and file.  The decision may be
702-17   recorded using a computer printout, microfilm, microfiche, or a
702-18   similar data processing technique.
702-19         Sec. 284.209.  ENFORCEMENT OF DECISION.  A decision issued
702-20   under Section 284.208(a) may be enforced by:
702-21               (1)  placing a device that prohibits movement of a
702-22   motor vehicle on the vehicle that is the subject of the decision;
702-23               (2)  imposing an additional fine if the fine for the
702-24   offense is not paid within a specified time; or
 703-1               (3)  refusing to allow the registration of the vehicle.
 703-2         Sec. 284.210.  APPEAL OF HEARING OFFICER DECISION.  (a)  A
 703-3   person determined by a hearing officer to be in violation of an
 703-4   order may appeal the determination to a county court at law.
 703-5         (b)  To appeal, the person must file a petition with the
 703-6   court not later than the 30th day after the date the hearing
 703-7   officer's decision is filed with the county clerk.  The petition
 703-8   must be accompanied by payment of the costs required by law for the
 703-9   court.
703-10         Sec. 284.211.  HEARING ON APPEAL.  The court in which an
703-11   appeal petition is filed shall:
703-12               (1)  schedule a hearing; and
703-13               (2)  notify all parties of the date, time, and place of
703-14   the hearing.
703-15         Sec. 284.212.  EFFECT OF APPEAL.  Service of notice of appeal
703-16   does not stay the enforcement and collection of the decision of the
703-17   hearing officer unless the person who files the appeal posts a bond
703-18   with an agency designated by the county to accept payment for a
703-19   violation.
703-20         (b)  Section 1, Chapter 960 (H.B. No. 3143), Acts of the 74th
703-21   Legislature, Regular Session, 1995, is repealed.
703-22         SECTION 30.19.  (a)  Section 361.055, Transportation Code, is
703-23   amended to conform to Section 2, Chapter 148 (S.B. No. 927), Acts
703-24   of the 74th Legislature, Regular Session, 1995, to read as follows:
 704-1         Sec. 361.055.  SUCCESSOR AGENCY TO AUTHORITY.  The following
 704-2   are successor agencies to the authority for purposes of Section
 704-3   52-b, Article III, Texas Constitution:
 704-4               (1)  a county, municipality, or local government
 704-5   corporation that leases, buys, or receives a turnpike project under
 704-6   Subchapter H;
 704-7               (2)  a county with a population of more than 1.5
 704-8   million that constructs a toll road, toll bridge, or turnpike
 704-9   project;
704-10               (3)  a local government corporation serving a county
704-11   with a population of more than 1.5 million that constructs a toll
704-12   road, toll bridge, or turnpike project; and
704-13               (4)  an adjacent county in a joint turnpike authority
704-14   with a county with a population of more than 1.5 million that
704-15   constructs a toll road, toll bridge, or turnpike project.
704-16         (b)  Section 361.251, Transportation Code, is amended to
704-17   conform to Section 16, Chapter 705 (S.B. No. 3), Acts of the 74th
704-18   Legislature, Regular Session, 1995, to read as follows:
704-19         Sec. 361.251.  [OPERATION OF MOTOR VEHICLE FOR COMPENSATION
704-20   ON] TURNPIKE PROJECT A PUBLIC HIGHWAY.  A turnpike project is a
704-21   public highway [under Chapters 801 and 802.  A motor bus company,
704-22   common carrier motor carrier, specialized motor carrier, contract
704-23   carrier, or other motor vehicle operation for compensation may not
704-24   be conducted on the turnpike project except under Chapter 270, Acts
 705-1   of the 40th Legislature, Regular Session, 1927 (Article 911a,
 705-2   Vernon's Texas Civil Statutes), and Chapter 314, Acts of the 41st
 705-3   Legislature, Regular Session, 1927 (Article 911b, Vernon's Texas
 705-4   Civil Statutes)].
 705-5         (c)  Section 361.281, Transportation Code, is amended to
 705-6   conform to Section 1, Chapter 148 (S.B. No. 927), Acts of the 74th
 705-7   Legislature, Regular Session, 1995, to read as follows:
 705-8         Sec. 361.281.  APPLICABILITY OF SUBCHAPTER.  This subchapter
 705-9   applies only to:
705-10               (1)  a county with a population of more than 1.5
705-11   million;
705-12               (2)  a local government corporation serving a county
705-13   with a population of more than 1.5 million; [or]
705-14               (3)  an adjacent county in a joint turnpike authority
705-15   with a county with a population of more than 1.5 million; or
705-16               (4)  a municipality with a population of more than
705-17   120,000 that is adjacent to the United Mexican States.
705-18         (d)  Section 361.282, Transportation Code, is amended to
705-19   conform to Section 1, Chapter 148 (S.B. No. 927), Acts of the 74th
705-20   Legislature, Regular Session, 1995, to read as follows:
705-21         Sec. 361.282.  LEASE, SALE, OR CONVEYANCE OF TURNPIKE
705-22   PROJECT.  (a)  The authority may lease, sell, or convey in another
705-23   manner a turnpike project to a county, a municipality, or a local
705-24   government corporation created under Chapter 431.
 706-1         (b)  Except as provided by Subsection (c), the [The]
 706-2   authority, the commission, and the governor must approve the
 706-3   transfer of the turnpike project as being in the best interests of
 706-4   the state and the county.
 706-5         (c)  If the lease, sale, or conveyance is to a municipality,
 706-6   the authority, the commission, and the governor must approve the
 706-7   transfer of the turnpike project as being in the best interests of
 706-8   the state and the municipality.
 706-9         (e)  Sections 1 and 2, Chapter 148 (S.B. No. 927), and
706-10   Section 16, Chapter 705 (S.B. No. 3), Acts of the 74th Legislature,
706-11   Regular Session, 1995, are repealed.
706-12         SECTION 30.20.  Section 362.003(c), Transportation Code, is
706-13   amended to conform to Chapter 165 (S.B. No. 971), Acts of the 74th
706-14   Legislature, Regular Session, 1995, to read as follows:
706-15         (c)  This chapter is cumulative of all laws affecting the
706-16   authority, and the authority is authorized to enter into all
706-17   agreements necessary or convenient to effectuate the purposes of
706-18   this chapter.  Particularly, but not by way of limitation, the
706-19   provisions of [Chapter 410, Acts of the 53rd Legislature, Regular
706-20   Session, 1953 (Article 6674v, Vernon's Texas Civil Statutes),]
706-21   Chapter 503, Acts of the 54th Legislature, 1955 (Article 717k,
706-22   Vernon's Texas Civil Statutes), the Bond Procedures Act of 1981
706-23   (Article 717k-6, Vernon's Texas Civil Statutes), [and] Chapter 656,
706-24   Acts of the 68th Legislature, Regular Session, 1983 (Article 717q,
 707-1   Vernon's Texas Civil Statutes), and Chapter 361 are applicable to
 707-2   the bonds issued by the authority under this chapter.
 707-3         SECTION 30.21.  Subchapter A, Chapter 391, Transportation
 707-4   Code, is amended to conform to Section 1(18), Chapter 1058 (H.B.
 707-5   No. 3050), Acts of the 74th Legislature, Regular Session, 1995, by
 707-6   adding Section 391.004 to read as follows:
 707-7         Sec. 391.004.  TEXAS HIGHWAY BEAUTIFICATION FUND ACCOUNT.
 707-8   The Texas highway beautification fund account is an account in the
 707-9   general revenue fund.  Money the commission receives under this
707-10   chapter shall be deposited to the credit of the Texas highway
707-11   beautification fund account.  The commission shall use money in the
707-12   Texas highway beautification fund account to administer this
707-13   chapter.
707-14         SECTION 30.22.  (a)  Sections 391.001 and 391.091,
707-15   Transportation Code, are amended to conform to Section 1, Chapter
707-16   284 (S.B. No. 882), Acts of the 74th Legislature, Regular Session,
707-17   1995, to read as follows:
707-18         Sec. 391.001.  DEFINITIONS.  In this chapter:
707-19               (1)  "Automobile graveyard" means an establishment that
707-20   is maintained, used, or operated for storing, buying, or selling
707-21   wrecked, scrapped, ruined, or dismantled motor vehicles or motor
707-22   vehicle parts.
707-23               (2)  "Eligible highway" means a highway that:
707-24                     (A)  is located outside an urbanized area with a
 708-1   population of 50,000 or more; and
 708-2                     (B)  qualifies for a maximum speed limit of 65
 708-3   miles per hour under 23 U.S.C. Section 154 or, if that law is
 708-4   repealed, qualified for a maximum speed limit of 65 miles per hour
 708-5   on the day before the effective date of the repeal.
 708-6               (3)  "Eligible urban highway" means an interstate
 708-7   highway that is located inside an urbanized area with a population
 708-8   of 200,000 or more.
 708-9               (4)  "Information logo sign" means a specific
708-10   information logo sign or a major shopping area guide sign.
708-11               (5)  "Interstate system" means that portion of the
708-12   national system of interstate and defense highways that is located
708-13   in this state and is designated officially by the commission and
708-14   approved under Title 23, United States Code.
708-15               (6) [(3)]  "Junk" means:
708-16                     (A)  old or scrap copper, brass, rope, rags,
708-17   batteries, paper, trash, rubber, debris, or waste;
708-18                     (B)  junked, dismantled, or wrecked automobiles
708-19   or automobile parts; or
708-20                     (C)  iron, steel, and other old or scrap ferrous
708-21   or nonferrous material.
708-22               (7) [(4)]  "Junkyard" means:
708-23                     (A)  an automobile graveyard;
708-24                     (B)  an establishment maintained, used, or
 709-1   operated for storing, buying, or selling junk or processing scrap
 709-2   metal; or
 709-3                     (C)  a garbage dump or sanitary fill.
 709-4               (8)  "Major shopping area" means a geographic area
 709-5   that:
 709-6                     (A)  consists of 30 acres or more of land; and
 709-7                     (B)  includes an enclosed retail shopping mall
 709-8   that contains 1 million square feet or more of gross building area.
 709-9               (9)  "Major shopping area guide sign" means a
709-10   rectangular guide sign panel imprinted with the name of a major
709-11   shopping area, as it is commonly known to the public, and
709-12   containing directional information to the major shopping area.
709-13               (10) [(5)]  "Outdoor advertising" means an outdoor
709-14   sign, display, light, device, figure, painting, drawing, message,
709-15   plaque, poster, billboard, or other thing designed, intended, or
709-16   used to advertise or inform if any part of the advertising or
709-17   information content is visible from the main-traveled way of the
709-18   interstate or primary system.  The term does not include a sign or
709-19   marker giving information about the location of an underground
709-20   electric transmission line, telegraph or telephone property or
709-21   facility, pipeline, public sewer, or waterline.
709-22               (11) [(6)]  "Primary system" means that portion of
709-23   connected main highways located in this state that is designated
709-24   officially by the commission and approved under Title 23, United
 710-1   States Code.
 710-2               (12) [(7)]  "Specific information logo sign" means a
 710-3   rectangular sign panel imprinted with the words "GAS," "FOOD,"
 710-4   "LODGING," or "CAMPING," or with a combination of those words, and
 710-5   the specific brand names of commercial establishments offering
 710-6   those services[, including specific brand names, giving specific
 710-7   information of interest to the traveling public].
 710-8               (13) [(8)]  "Urban area" means an area defined by the
 710-9   commission in cooperation with local officials, subject to approval
710-10   by the secretary of the United States Department of Transportation,
710-11   that as a minimum includes an urban place as designated by the
710-12   United States Bureau of the Census having a population of 5,000 or
710-13   more and not located within an urbanized area.
710-14               (14) [(9)]  "Urbanized area" means an area defined by
710-15   the commission in cooperation with local officials, subject to
710-16   approval by the secretary of the United States Department of
710-17   Transportation, that as a minimum includes an urbanized area as
710-18   defined by the United States Bureau of the Census or that part of a
710-19   multistate urbanized area located in this state.
710-20         Sec. 391.091.  ERECTION AND MAINTENANCE OF SIGNS.  The
710-21   commission shall contract with an individual, firm, group, or
710-22   association in this state to erect and maintain specific
710-23   information logo signs at appropriate locations along an eligible
710-24   highway [interstate highways in each county with a population of
 711-1   less than 20,000].
 711-2         (b)  Sections 391.092(a) and (c), Transportation Code, are
 711-3   amended to conform to Section 1, Chapter 284 (S.B. No. 882), Acts
 711-4   of the 74th Legislature, Regular Session, 1995, to read as follows:
 711-5         (a)  The commission shall:
 711-6               (1)  regulate the content, composition, placement,
 711-7   erection, and maintenance of specific information logo signs and
 711-8   supports on an eligible [interstate] highway right-of-way; and
 711-9               (2)  adopt rules necessary to administer and enforce
711-10   this subchapter.
711-11         (c)  A specific information logo sign may not:
711-12               (1)  contain a message, symbol, or trademark that
711-13   resembles an official traffic-control device; or
711-14               (2)  [have vertical spacing between establishment names
711-15   that exceeds eight inches or horizontal spacing between
711-16   establishment names that exceeds 12 inches;]
711-17               [(3)]  contain more than six [four] establishment names
711-18   for each [service on one] sign panel[; or]
711-19               [(4)  contain logos for more than one service on a sign
711-20   panel except in an area in which not more than two eligible
711-21   establishments are available for a service, in which case a sign
711-22   panel may contain logos for two services].
711-23         (c)  Section 391.093(a), Transportation Code, is amended to
711-24   conform to Section 1, Chapter 284 (S.B. No. 882), Acts of the 74th
 712-1   Legislature, Regular Session, 1995, to read as follows:
 712-2         (a)  A commercial establishment, to be eligible to have its
 712-3   name displayed on a specific information logo sign, must provide
 712-4   gas, food, lodging, or camping and be located not more than three
 712-5   miles from an interchange on an eligible [interstate] highway.  If
 712-6   no service participating or willing to participate in the specific
 712-7   information logo sign program is located within three miles of an
 712-8   interchange, the commission may grant permits for commercial
 712-9   establishments located not farther than:
712-10               (1)  six miles from the interchange;
712-11               (2)  nine miles from the interchange if no service
712-12   participating or willing to participate in the program is located
712-13   within six miles from the interchange;
712-14               (3)  12 miles from the interchange if no service
712-15   participating or willing to participate in the program is located
712-16   within nine miles of the interchange; or
712-17               (4)  15 miles from the interchange if no service
712-18   participating or willing to participate in the program is located
712-19   within 12 miles of the interchange [more than 15 miles from the
712-20   interchange].
712-21         (d)  Subchapter D, Chapter 391, Transportation Code, is
712-22   amended to conform to Section 1, Chapter 284 (S.B. No. 882), Acts
712-23   of the 74th Legislature, Regular Session, 1995, by adding Section
712-24   391.0935 to read as follows:
 713-1         Sec. 391.0935.  MAJOR SHOPPING AREA GUIDE SIGNS.  (a)  Unless
 713-2   the commission determines there is a conflict with federal law, the
 713-3   commission shall establish a program that allows the erection and
 713-4   maintenance of major shopping area guide signs at appropriate
 713-5   locations along eligible urban highways.
 713-6         (b)  The commission shall adopt rules regulating the content,
 713-7   composition, placement, erection, and maintenance of major shopping
 713-8   area guide signs and supports within eligible urban highway
 713-9   rights-of-way.  A major shopping area is entitled to have its name
713-10   displayed on major shopping area guide signs if it is located not
713-11   farther than three miles from an interchange on an eligible urban
713-12   highway.
713-13         (c)  A major shopping area that has its name displayed on a
713-14   major shopping area guide sign shall reimburse the commission for
713-15   all costs associated with the composition, placement, erection, and
713-16   maintenance of the sign.
713-17         (d)  Major shopping area guide signs may be included as part
713-18   of exit direction signs, advance guide signs, and supplemental
713-19   guide signs and must include guide signs for both directions of
713-20   traffic on an eligible urban highway.
713-21         (e)  Sections 391.093(b)-(e) do not apply to major shopping
713-22   area guide signs.
713-23         (e)  Section 391.095, Transportation Code, is amended to
713-24   conform to Section 1, Chapter 284 (S.B. No. 882), Acts of the 74th
 714-1   Legislature, Regular Session, 1995, to read as follows:
 714-2         Sec. 391.095.  PLACEMENT OF SIGNS.  (a)  The contractor
 714-3   installing a specific information logo sign shall place the sign so
 714-4   that:
 714-5               (1)  the sign is at least 800 feet from the previous
 714-6   interchange and at least 800 feet from the exit direction sign at
 714-7   the interchange from which the services are available;
 714-8               (2)  two signs having the same legend are at least 800
 714-9   feet apart, but are not excessively spaced; and
714-10               (3)  a motorist, after following the sign, can
714-11   conveniently reenter the highway and continue in the original
714-12   direction of travel[; and]
714-13               [(4)  if the service facilities are not visible from a
714-14   single-exit interchange ramp terminal, the signs are placed along
714-15   the ramp or at the ramp terminal].
714-16         (b)  A specific information logo sign that is placed along a
714-17   ramp or at a ramp terminal must be a duplicate of the corresponding
714-18   establishment logo sign, except that the ramp sign must:
714-19               (1)  be smaller [and omit the service information];
714-20               (2)  include the distance to the commercial
714-21   establishment; and
714-22               (3)  include directional arrows instead of directions
714-23   shown in words.
714-24         (c)  If the service facilities are not visible from an
 715-1   interchange ramp terminal, additional signs may be placed along the
 715-2   ramp or at the ramp terminal.
 715-3         (f)  Section 1, Chapter 284 (S.B. No. 882), Acts of the 74th
 715-4   Legislature, Regular Session, 1995, is repealed.
 715-5         SECTION 30.23.  (a)  Section 394.003(a), Transportation Code,
 715-6   is amended to conform to Section 1, Chapter 343 (S.B. No. 888),
 715-7   Acts of the 74th Legislature, Regular Session, 1995, to read as
 715-8   follows:
 715-9         (a)  This chapter does not apply to:
715-10               (1)  a sign that is allowed to be erected and
715-11   maintained under the highway beautification provisions contained in
715-12   Chapter 391;
715-13               (2)  a sign in existence before September 1, 1985;
715-14               (3)  a sign that has as its purpose the protection of
715-15   life or property;
715-16               (4)  a directional or other official sign authorized by
715-17   law, including a sign that pertains to a natural wonder or a scenic
715-18   or historic attraction;
715-19               (5)  a sign that gives information about the location
715-20   of an underground electric transmission line or a telegraph or
715-21   telephone property or facility, a pipeline, a public sewer, or a
715-22   waterline;
715-23               (6)  a sign erected by an agency or political
715-24   subdivision of the state; or
 716-1               (7)  a sign erected solely for and relating to a public
 716-2   election if the sign:
 716-3                     (A)  is on private property;
 716-4                     (B)  is erected not earlier than the 90th [60th]
 716-5   day before the date of the election and is removed not later than
 716-6   the 10th day after the election date;
 716-7                     (C)  is constructed of lightweight material; and
 716-8                     (D)  has a surface area not larger than 50 square
 716-9   feet.
716-10         (b)  Section 1, Chapter 343 (S.B. No. 888), Acts of the 74th
716-11   Legislature, Regular Session, 1995, is repealed.
716-12         SECTION 30.24.  Section 431.101, Transportation Code, is
716-13   amended to more closely conform to the law from which it was
716-14   derived to read as follows:
716-15         Sec. 431.101.  CREATION OF LOCAL GOVERNMENT CORPORATION.  (a)
716-16   A local government corporation may be created to aid and act on
716-17   behalf of one or more local governments.
716-18         (b)  A local government corporation has the powers of a
716-19   corporation authorized for creation by the commission under this
716-20   chapter.
716-21         SECTION 30.25.  (a)  Subchapter C, Chapter 451,
716-22   Transportation Code, is amended to conform to Section 74(a),
716-23   Chapter 318 (S.B. No. 15), Acts of the 74th Legislature, Regular
716-24   Session, 1995, by adding Section 451.1075 to read as follows:
 717-1         Sec. 451.1075.  PROHIBITION OF CONSUMPTION OF ALCOHOLIC
 717-2   BEVERAGE.  (a)  A board by resolution may prohibit the consumption
 717-3   of an alcoholic beverage on property an authority possesses or
 717-4   controls.  The resolution must describe with particularity each
 717-5   place where consumption of an alcoholic beverage is prohibited.
 717-6         (b)  The authority shall post a sign in each place where
 717-7   consumption of an alcoholic beverage is prohibited under this
 717-8   section.  The sign must indicate that a person may not consume an
 717-9   alcoholic beverage in that place.
717-10         (c)  A person commits an offense if the person consumes an
717-11   alcoholic beverage in a place where the consumption of an alcoholic
717-12   beverage is prohibited under this section.
717-13         (d)  An offense under this section is a Class C misdemeanor.
717-14         (e)  In this section, "alcoholic beverage" has the meaning
717-15   assigned by Section 1.04, Alcoholic Beverage Code.
717-16         (b)  Section 74(a), Chapter 318 (S.B. No. 15), Acts of the
717-17   74th Legislature, Regular Session, 1995, is repealed.
717-18         SECTION 30.26.  (a)  Subchapter G, Chapter 451,
717-19   Transportation Code, is amended to conform to Sections 11 and 12,
717-20   Chapter 11 (S.B. No. 200), Acts of the 74th Legislature, Regular
717-21   Session, 1995, to read as follows:
717-22           SUBCHAPTER G.  ALTERNATIVE FUEL [FUELS] USE PROGRAM
717-23         Sec. 451.301.  DEFINITIONS.  In this subchapter, "alternative
717-24   fuel" and "conventional gasoline" have the meanings assigned by
 718-1   Section 382.131, Health and Safety Code.
 718-2         Sec. 451.3015.  PURCHASE AND PERCENT OF VEHICLES USING
 718-3   ALTERNATIVE FUEL [FUELS].  (a)  The board may not purchase or lease
 718-4   a motor vehicle that is not capable of using [compressed natural
 718-5   gas or another] alternative fuel [the use of which results in
 718-6   comparably lower emissions of oxides of nitrogen, volatile organic
 718-7   compounds, carbon monoxide, or particulates or combinations of
 718-8   those materials].
 718-9         (b)  After August 31, 1996, at least 50 percent of the fleet
718-10   vehicles of an authority must be capable of using [compressed
718-11   natural gas or other] alternative fuel [fuels].
718-12         (b-1)  At least 30 percent of the fleet vehicles of an
718-13   authority operated in 1994 must be capable of using [compressed
718-14   natural gas or other] alternative fuel [fuels].  This subsection
718-15   expires September 1, 1996.
718-16         (c)  The Texas Natural Resource Conservation Commission,
718-17   before 1997, shall review the alternative fuel [fuels] use program
718-18   under this section.  If the commission determines that the program
718-19   has been effective in reducing total annual emissions from motor
718-20   vehicles in the area, the board shall achieve a percentage of fleet
718-21   vehicles capable of using [compressed natural gas or other]
718-22   alternative fuel [fuels] of at least 90 percent of the number of
718-23   fleet vehicles operated after August 31, 1998.
718-24         Sec. 451.302.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
 719-1   EXCEPTIONS.  (a)  The board, other than the board of an authority
 719-2   described by Subsection (b), may make exceptions to the
 719-3   requirements of Section 451.3015(a) [451.301(a)] if the board
 719-4   certifies the facts described by Subsection (c).
 719-5         (b)  The Texas Natural Resource Conservation Commission may
 719-6   make exceptions to, waive the requirements of, or reduce the
 719-7   applicable percentage provided by Section 451.3015 [451.301] for an
 719-8   authority that was confirmed before July 1, 1985, and in which the
 719-9   principal municipality has a population of less than 750,000 if the
719-10   board submits to the commission a certification of the facts
719-11   described by Subsection (c) supported by evidence acceptable to the
719-12   commission.
719-13         (c)  A certification under this section must state that:
719-14               (1)  the authority's vehicles will be operating
719-15   primarily in an area in which neither the authority nor a supplier
719-16   has or can reasonably be expected to establish a central refueling
719-17   station for [compressed natural gas or other] alternative fuel
719-18   [fuels]; or
719-19               (2)  the authority is unable to acquire or be provided
719-20   equipment or refueling facilities necessary to operate vehicles
719-21   using [compressed natural gas or other] alternative fuel [fuels] at
719-22   a projected cost that is reasonably expected to result in no
719-23   greater net cost than the continued use of conventional
719-24   [traditional] gasoline or diesel fuel measured over the expected
 720-1   useful life of the equipment or facilities supplied.
 720-2         (d)  The Texas Natural Resource Conservation Commission shall
 720-3   adopt rules for the certification process under Subsection (b),
 720-4   including requirements that the authority:
 720-5               (1)  hold a public hearing; and
 720-6               (2)  propose an alternative implementation schedule for
 720-7   meeting the percentages provided by Section 451.3015 [451.301]
 720-8   before applying to the commission for a waiver or reduction of
 720-9   those percentage requirements.
720-10         Sec. 451.303.  ALTERNATIVE FUEL [FUELS] EQUIPMENT AND
720-11   FACILITIES.  (a)  In addition to other methods authorized by law,
720-12   an authority may acquire or be provided equipment or refueling
720-13   facilities by an arrangement, including a gift or loan, under a
720-14   service contract for the supply  of [compressed natural gas or
720-15   other] alternative fuel [fuels].
720-16         (b)  If an authority acquires or is provided equipment or
720-17   facilities as authorized by Subsection (a), the supplier is
720-18   entitled, under the supply contract, to recover the cost of giving,
720-19   loaning, or providing the equipment or facilities through the fuel
720-20   charges.
720-21         Sec. 451.304.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
720-22   VEHICLES COVERED AND SAFETY.  (a)  In developing an [a compressed
720-23   natural gas or other] alternative fuel [fuels] use program, the
720-24   board should work with vehicle manufacturers and converters, fuel
 721-1   distributors, and others to specify the vehicles to be covered
 721-2   considering relevant factors, including vehicle range, specialty
 721-3   vehicle uses, fuel availability, vehicle manufacturing and
 721-4   conversion capability, safety, and resale value.
 721-5         (b)  The board may meet the percentage requirements of
 721-6   Section 451.3015 [451.301] by:
 721-7               (1)  purchasing new vehicles; or
 721-8               (2)  converting existing vehicles, in conformity with
 721-9   federal and state requirements and applicable safety laws, to
721-10   alternative fuel [fuels] use.
721-11         (c)  In purchasing, leasing, maintaining, or converting a
721-12   vehicle for alternative fuel [fuels] use, the board shall comply
721-13   with all applicable safety standards adopted by the United States
721-14   Department of Transportation or the Railroad Commission of Texas or
721-15   a successor agency.
721-16         Sec. 451.305.  ALTERNATIVE FUEL [FUELS] USE
721-17   PROGRAM:  REPORTS.  (a)  On or before December 31 of each year, the
721-18   board shall file an annual report with the Texas Natural Resource
721-19   Conservation Commission showing:
721-20               (1)  purchases, leases, and conversions of motor
721-21   vehicles;
721-22               (2)  the amount of [compressed natural gas and other]
721-23   alternative fuel [fuels] used; and
721-24               (3)  any other information required by the commission
 722-1   relevant to the alternative fuel [fuels] use program.
 722-2         (b)  The commission may require reporting from a board to
 722-3   document air quality benefits from an alternative fuel [fuels] use
 722-4   program.
 722-5         (b)  Sections 11 and 12, Chapter 11 (S.B. No. 200), Acts of
 722-6   the 74th Legislature, Regular Session, 1995, are repealed.
 722-7         SECTION 30.27.  (a)  Subchapter K, Chapter 451,
 722-8   Transportation Code, is amended to conform to Section 1, Chapter
 722-9   352 (S.B. No. 983), Acts of the 74th Legislature, Regular Session,
722-10   1995, by adding Section 451.5035 to read as follows:
722-11         Sec. 451.5035.  DESIGNATION OF ALTERNATE BY MAYOR.  (a)  This
722-12   section applies only to an authority in which the principal
722-13   municipality has a population of less than 300,000.
722-14         (b)  The mayor of a municipality who is unable to attend a
722-15   meeting of an appointments panel may designate a person to:
722-16               (1)  represent the municipality at the meeting; and
722-17               (2)  vote at the meeting.
722-18         (c)  To be eligible to be designated under Subsection (b), a
722-19   person must be a council member, alderman, commissioner, or other
722-20   officer of the municipality.
722-21         (d)  A designation under Subsection (b) must:
722-22               (1)  be in writing;
722-23               (2)  be signed by the mayor; and
722-24               (3)  be filed with the minutes of the appointments
 723-1   panel kept by the authority.
 723-2         (b)  Section 1, Chapter 352 (S.B. No. 983), Acts of the 74th
 723-3   Legislature, Regular Session, 1995, is repealed.
 723-4         SECTION 30.28.  (a)  Section 451.508, Transportation Code, is
 723-5   amended to conform to Section 3, Chapter 225 (H.B. No. 3157), Acts
 723-6   of the 74th Legislature, Regular Session, 1995, to read as follows:
 723-7         Sec. 451.508.  REMOVAL BY BOARD.  [(a)]  A board member may
 723-8   be removed from office by the other members of the board because of
 723-9   a ground for removal described by Section 451.510 [451.510(1) or
723-10   (2)].
723-11         [(b)  In an authority in which the principal municipality has
723-12   a population of less than 750,000 or more than 1.2 million, a board
723-13   member may also be removed under Subsection (a) because of any
723-14   other ground described by Section 451.510.]
723-15         (b)  Section 451.509(c), Transportation Code, is amended to
723-16   conform to Section 2, Chapter 225 (H.B. No. 3157), Acts of the 74th
723-17   Legislature, Regular Session, 1995, to read as follows:
723-18         (c)  In an authority in which the principal municipality has
723-19   a population of more than 750,000 [1.2 million], a member of the
723-20   board may be removed for any ground described by Section 451.510 by
723-21   the person or entity that appointed the member.  If the person who
723-22   appointed the member is the mayor of the principal municipality,
723-23   the removal is by recommendation of the mayor and confirmation by
723-24   the municipality's governing body.  If the member to be removed was
 724-1   appointed by the mayor of the principal municipality, the statement
 724-2   required by Section 451.511(a) shall be given by the mayor, and
 724-3   confirmation of removal by the governing body of the municipality
 724-4   is necessary.
 724-5         (c)  Section 451.513(a), Transportation Code, is amended to
 724-6   conform to Section 1, Chapter 225 (H.B. No. 3157), Acts of the 74th
 724-7   Legislature, Regular Session, 1995, to read as follows:
 724-8         (a)  A board member of an authority that [imposes a sales and
 724-9   use tax at the rate of one percent and that] has a principal
724-10   municipality with a population of more than 750,000 [1.2 million]
724-11   may be removed, as provided by this section, on a petition for the
724-12   recall of the member submitted by the registered voters of the
724-13   authority.  Recall of a member under this section is in addition to
724-14   any other method for removal under this subchapter.
724-15         (d)  Sections 1-3, Chapter 225 (H.B. No. 3157), Acts of the
724-16   74th Legislature, Regular Session, 1995, are repealed.
724-17         SECTION 30.29.  (a)  Subchapter C, Chapter 452,
724-18   Transportation Code, is amended to conform to Section 74(b),
724-19   Chapter 318 (S.B. No. 15), Acts of the 74th Legislature, Regular
724-20   Session, 1995, by adding Section 452.1055 to read as follows:
724-21         Sec. 452.1055.  PROHIBITION OF CONSUMPTION OF ALCOHOLIC
724-22   BEVERAGE.  (a)  A board by resolution may prohibit the consumption
724-23   of an alcoholic beverage on property an authority possesses or
724-24   controls.  The resolution must describe with particularity each
 725-1   place where consumption of an alcoholic beverage is prohibited.
 725-2         (b)  The authority shall post a sign in each place where
 725-3   consumption of an alcoholic beverage is prohibited under this
 725-4   section.  The sign must indicate that a person may not consume an
 725-5   alcoholic beverage in that place.
 725-6         (c)  A person commits an offense if the person consumes an
 725-7   alcoholic beverage in a place where the consumption of an alcoholic
 725-8   beverage is prohibited under this section.
 725-9         (d)  An offense under this section is a Class C misdemeanor.
725-10         (e)  In this section, "alcoholic beverage" has the meaning
725-11   assigned by Section 1.04, Alcoholic Beverage Code.
725-12         (b)  Section 74(b), Chapter 318 (S.B. No. 15), Acts of the
725-13   74th Legislature, Regular Session, 1995, is repealed.
725-14         SECTION 30.30.  (a)  Subchapter F, Chapter 452,
725-15   Transportation Code, is amended to conform to Section 13, Chapter
725-16   11 (S.B. No. 200), Acts of the 74th Legislature, Regular Session,
725-17   1995, to read as follows:
725-18           SUBCHAPTER F.  ALTERNATIVE FUEL [FUELS] USE PROGRAM
725-19         Sec. 452.251.  DEFINITIONS.  In this subchapter, "alternative
725-20   fuel" and "conventional gasoline" have the meanings assigned by
725-21   Section 382.131, Health and Safety Code.
725-22         Sec. 452.2515.  PURCHASE AND PERCENT OF VEHICLES USING
725-23   ALTERNATIVE FUEL [FUELS].  (a)  An authority may not purchase or
725-24   lease a motor vehicle that is not capable of using [compressed
 726-1   natural gas or another] alternative fuel [the use of which results
 726-2   in comparably lower emissions of oxides of nitrogen, volatile
 726-3   organic compounds, carbon monoxide, or particulates or combinations
 726-4   of those materials].
 726-5         (b)  After August 31, 1996, at least 50 percent of the fleet
 726-6   vehicles operated by an authority must be capable of using
 726-7   [compressed natural gas or another] alternative fuel.
 726-8         (b-1)  At least 30 percent of the fleet vehicles operated by
 726-9   an authority must be capable of using [compressed natural gas or
726-10   another] alternative fuel.  This subsection expires September 1,
726-11   1996.
726-12         (c)  The Texas Natural Resource Conservation Commission,
726-13   before 1997, shall review the alternative fuel [fuels] use program
726-14   under this section.  If the commission determines that the program
726-15   has been effective in reducing total annual emissions from motor
726-16   vehicles in the area, the authority shall achieve a percentage of
726-17   fleet vehicles capable of using [compressed natural gas or other]
726-18   alternative fuel [fuels] of at least 90 percent of the number of
726-19   fleet vehicles operated after August 31, 1998.
726-20         Sec. 452.252.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
726-21   EXCEPTIONS.  (a)  An authority may make exceptions to the
726-22   requirements of Section 452.2515(a) [452.251(a)] if the authority
726-23   certifies the facts described by Subsection (b).
726-24         (b)  A certification under this section must state that:
 727-1               (1)  the authority's vehicles will be operating
 727-2   primarily in an area in which neither the authority nor a supplier
 727-3   has or can reasonably be expected to establish a central refueling
 727-4   station for [compressed natural gas or other] alternative fuel
 727-5   [fuels]; or
 727-6               (2)  the authority is unable to acquire or be provided
 727-7   equipment or refueling facilities necessary to operate vehicles
 727-8   using [compressed natural gas or other] alternative fuel [fuels] at
 727-9   a projected cost that is reasonably expected to result in no
727-10   greater net cost than the continued use of conventional
727-11   [traditional] gasoline or diesel fuel measured over the expected
727-12   useful life of the equipment or facilities supplied.
727-13         Sec. 452.253.  ALTERNATIVE FUEL [FUELS] EQUIPMENT AND
727-14   FACILITIES.  (a)  In addition to other methods authorized by law,
727-15   an authority may acquire or be provided equipment or refueling
727-16   facilities by an arrangement, including a gift or loan, under a
727-17   service contract for the supply of [compressed natural gas or
727-18   other] alternative fuel [fuels].
727-19         (b)  If an authority acquires or is provided equipment or
727-20   facilities as authorized by Subsection (a), the supplier is
727-21   entitled, under the supply contract, to recover the cost of giving,
727-22   loaning, or providing the equipment or facilities through the fuel
727-23   charges.
727-24         Sec. 452.254.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
 728-1   VEHICLES COVERED AND SAFETY.  (a)  In developing an [a compressed
 728-2   natural gas or other] alternative fuel [fuels] use program, the
 728-3   authority should work with vehicle manufacturers and converters,
 728-4   fuel distributors, and others to specify the vehicles to be covered
 728-5   considering relevant factors, including vehicle range, specialty
 728-6   vehicle uses, fuel availability, vehicle manufacturing and
 728-7   conversion capability, safety, and resale value.
 728-8         (b)  The authority may meet the percentage requirements of
 728-9   Section 452.2515 [452.251] by:
728-10               (1)  purchasing new vehicles; or
728-11               (2)  converting existing vehicles, in conformity with
728-12   federal and state requirements and applicable safety laws, to
728-13   alternative fuel [fuels] use.
728-14         (c)  In purchasing, leasing, maintaining, or converting a
728-15   vehicle for [compressed natural gas or other] alternative fuel
728-16   [fuels] use, the authority shall comply with all applicable safety
728-17   standards adopted by the United States Department of Transportation
728-18   or the Railroad Commission of Texas or their successor agencies.
728-19         Sec. 452.255.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
728-20   REPORTS.  (a)  On or before December 31 of each year, an authority
728-21   shall file an annual report with the Texas Natural Resource
728-22   Conservation Commission showing:
728-23               (1)  purchases, leases, and conversions of motor
728-24   vehicles;
 729-1               (2)  the amount of [compressed natural gas and other]
 729-2   alternative fuel [fuels] used; and
 729-3               (3)  any other information required by the commission
 729-4   relevant to the alternative fuel [fuels] use program.
 729-5         (b)  The commission may require reporting from an authority
 729-6   to document air quality benefits from an alternative fuel [fuels]
 729-7   use program.
 729-8         (b)  Section 13, Chapter 11 (S.B. No. 200), Acts of the 74th
 729-9   Legislature, Regular Session, 1995, is repealed.
729-10         SECTION 30.31.  (a)  Section 453.051(a), Transportation Code,
729-11   is amended to conform to Section 1, Chapter 104 (H.B. No. 2183),
729-12   Acts of the 74th Legislature, Regular Session, 1995, to read as
729-13   follows:
729-14         (a)  The governing body of a municipality, by ordinance or
729-15   resolution, may create a transit department if:
729-16               (1)  the municipality operates a mass transportation
729-17   system;
729-18               (2)  the municipality has a population of 50,000
729-19   [56,000] or more; and
729-20               (3)  the governing body determines that the creation of
729-21   a transit department and operation of a transit department system
729-22   would be in the public interest and of benefit to persons residing
729-23   in the municipality.
729-24         (b)  Section 1, Chapter 104 (H.B. No. 2183), Acts of the 74th
 730-1   Legislature, Regular Session, 1995, is repealed.
 730-2         SECTION 30.32.  (a)  Subchapter B, Chapter 453,
 730-3   Transportation Code, is amended to conform to Section 74(c),
 730-4   Chapter 318 (S.B. No. 15), Acts of the 74th Legislature, Regular
 730-5   Session, 1995, by adding Section 453.060 to read as follows:
 730-6         Sec. 453.060.  PROHIBITION OF CONSUMPTION OF ALCOHOLIC
 730-7   BEVERAGE.  (a)  A board by resolution may prohibit the consumption
 730-8   of an alcoholic beverage on property a transit department possesses
 730-9   or controls.  The resolution must describe with particularity each
730-10   place where consumption of an alcoholic beverage is prohibited.
730-11         (b)  The transit department shall post a sign in each place
730-12   where consumption of an alcoholic beverage is prohibited under this
730-13   section.  The sign must indicate that a person may not consume an
730-14   alcoholic beverage in that place.
730-15         (c)  A person commits an offense if the person consumes an
730-16   alcoholic beverage in a place where the consumption of an alcoholic
730-17   beverage is prohibited under this section.
730-18         (d)  An offense under this section is a Class C misdemeanor.
730-19         (e)  In this section, "alcoholic beverage" has the meaning
730-20   assigned by Section 1.04, Alcoholic Beverage Code.
730-21         (b)  Section 74(c), Chapter 318 (S.B. No. 15), Acts of the
730-22   74th Legislature, Regular Session, 1995, is repealed.
730-23         SECTION 30.33.  (a)  Subchapter F, Chapter 453,
730-24   Transportation Code, is amended to conform to Section 14, Chapter
 731-1   11, Acts of the 74th Legislature, Regular Session, 1995, to read as
 731-2   follows:
 731-3           SUBCHAPTER F.  ALTERNATIVE FUEL [FUELS] USE PROGRAM
 731-4         Sec. 453.251.  DEFINITIONS.  In this subchapter, "alternative
 731-5   fuel" and "conventional gasoline" have the meanings assigned those
 731-6   terms by Section 382.131, Health and Safety Code.
 731-7         Sec. 453.2515.  PURCHASE AND PERCENT OF VEHICLES USING
 731-8   ALTERNATIVE FUELS.  (a)  A transit department may not purchase or
 731-9   lease a motor vehicle that is not capable of using [compressed
731-10   natural gas or another] alternative fuel [the use of which results
731-11   in comparably lower emissions of oxides of nitrogen, volatile
731-12   organic compounds, carbon monoxide, or particulates or combinations
731-13   of those materials].
731-14         (b)  After August 31, 1996, at least 50 percent of the fleet
731-15   vehicles operated by a transit department must be capable of using
731-16   [compressed natural gas or another] alternative fuel.
731-17         (c)  The Texas Natural Resource Conservation Commission,
731-18   before 1997, shall review the alternative fuel [fuels] use program
731-19   under this section.  If the commission determines that the program
731-20   has been effective in reducing total annual emissions from motor
731-21   vehicles in the area, the transit department shall achieve a
731-22   percentage of fleet vehicles capable of using [compressed natural
731-23   gas or other] alternative fuel [fuels] of at least 90 percent of
731-24   the number of fleet vehicles operated after August 31, 1998.
 732-1         Sec. 453.252.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
 732-2   EXCEPTIONS.  (a)  A transit department may make exceptions to the
 732-3   requirements of Section 453.2515(a) [453.251(a)] if the transit
 732-4   department certifies the facts described by Subsection (b).
 732-5         (b)  A certification under this section must state that:
 732-6               (1)  the transit department's vehicles will be
 732-7   operating primarily in an area in which neither the transit
 732-8   department nor a supplier has or can reasonably be expected to
 732-9   establish a central refueling station for [compressed natural gas
732-10   or other] alternative fuel [fuels]; or
732-11               (2)  the transit department is unable to acquire or be
732-12   provided equipment or refueling facilities necessary to operate
732-13   vehicles using [compressed natural gas or other] alternative fuel
732-14   [fuels] at a project cost that is reasonably expected to result in
732-15   no greater net cost than the continued use of conventional
732-16   [traditional] gasoline or diesel fuel measured over the expected
732-17   useful life of the equipment or facilities supplied.
732-18         Sec. 453.253.  ALTERNATIVE FUEL [FUELS] EQUIPMENT AND
732-19   FACILITIES.  (a)  In addition to other methods authorized by law, a
732-20   transit department may acquire or be provided equipment or
732-21   refueling facilities by an arrangement, including a gift or a loan,
732-22   under a service contract for the supply of [compressed natural gas
732-23   or other] alternative fuel [fuels].
732-24         (b)  If a transit department acquires or is provided
 733-1   equipment or facilities as authorized by Subsection (a), the
 733-2   supplier is entitled, under the supply contract, to recover the
 733-3   cost of giving, loaning, or providing the equipment or facilities
 733-4   through the fuel charges.
 733-5         Sec. 453.254.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
 733-6   VEHICLES COVERED AND SAFETY.  (a)  In developing an [a compressed
 733-7   natural gas or other] alternative fuel [fuels] use program, a
 733-8   transit department should work with vehicle manufacturers and
 733-9   converters, fuel distributors, and others to specify the vehicles
733-10   to be covered considering relevant factors, including vehicle
733-11   range, specialty vehicle uses, fuel availability, vehicle
733-12   manufacturing and conversion capability, safety, and resale value.
733-13         (b)  The transit department may meet the percentage
733-14   requirements of Section 453.2515 [453.251] by:
733-15               (1)  purchasing new vehicles; or
733-16               (2)  converting existing vehicles, in conformity with
733-17   federal and state requirements and applicable safety laws, to
733-18   alternative fuel [fuels] use.
733-19         (c)  In purchasing, leasing, maintaining, or converting a
733-20   vehicle for alternative fuel [fuels] use, the transit department
733-21   shall comply with all applicable safety standards adopted by the
733-22   United States Department of Transportation or the Railroad
733-23   Commission of Texas or their successor agencies.
733-24         Sec. 453.255.  ALTERNATIVE FUEL [FUELS] USE PROGRAM:
 734-1   REPORTS.  (a)  Not later than December 31 of each year, a transit
 734-2   department shall file an annual report with the Texas Natural
 734-3   Resource Conservation Commission showing:
 734-4               (1)  purchases, leases, and conversions of motor
 734-5   vehicles;
 734-6               (2)  the amount of [compressed natural gas and other]
 734-7   alternative fuel [fuels] used; and
 734-8               (3)  any other information required by the commission
 734-9   relevant to the alternative fuel [fuels] use program.
734-10         (b)  The commission may require reporting from a transit
734-11   department to document air quality benefits from an alternative
734-12   fuel [fuels] use program.
734-13         (b)  Section 14, Chapter 11, Acts of the 74th Legislature,
734-14   Regular Session, 1995, is repealed.
734-15         SECTION 30.34.  (a)  Section 456.001, Transportation Code, is
734-16   amended to conform to Section 1, Chapter 644 (H.B. No. 2496), Acts
734-17   of the 74th Legislature, Regular Session, 1995, by amending
734-18   Subdivisions (2) and (12) and adding Subdivision (13) to read as
734-19   follows:
734-20               (2)  "Designated recipient" means an entity that
734-21   receives money from the United States or this state for public
734-22   transportation through the department or the Federal Transit
734-23   Administration or the administration's successor and is a transit
734-24   authority, a municipality not included in a transit authority, a
 735-1   local governmental body, or a nonprofit entity providing rural
 735-2   public transportation service.
 735-3               (12)  "Urbanized area" means an area with a population
 735-4   of more than 50,000 and less than 200,000 and so designated by the
 735-5   United States Bureau of the Census [or by general state law].
 735-6               (13)  "Rural area" means an area with a population of
 735-7   50,000 or less and so designated by the United States Bureau of the
 735-8   Census.
 735-9         (b)  Section 456.002(b), Transportation Code, is amended to
735-10   conform to Section 3, Chapter 644 (H.B. No. 2496), Acts of the 74th
735-11   Legislature, Regular Session, 1995, to read as follows:
735-12         (b)  Each public transportation program provided by this
735-13   chapter is a [matching] grant program for public transportation
735-14   projects.  Approval by the United States of a proposed public
735-15   transportation project means that the project is consistent with
735-16   the purposes of this chapter and with the continuing, cooperative,
735-17   and comprehensive regional transportation planning implemented in
735-18   accordance with the Federal Transit Act and the Federal-Aid Highway
735-19   Act.
735-20         (c)  Section 456.004, Transportation Code, is amended to
735-21   conform to Section 3, Chapter 644 (H.B. No. 2496), Acts of the 74th
735-22   Legislature, Regular Session, 1995, to read as follows:
735-23         Sec. 456.004.  GENERAL FINANCING APPLICATION REQUIREMENTS.
735-24   An application for project financing under this chapter must be
 736-1   certified and contain a statement by the applicant that[:]
 736-2               [(1)]  the proposed public transportation project is
 736-3   consistent with the continuing, cooperative, and comprehensive
 736-4   regional transportation planning implemented in accordance with the
 736-5   Federal Transit Act and the Federal-Aid Highway Act[; and]
 736-6               [(2)  money is available to provide:]
 736-7                     [(A)  35 percent of the local share requirement,
 736-8   if the project is a federally financed capital improvement or
 736-9   planning project, or 50 percent of the local share requirement, if
736-10   the project is a federally financed project for operating expenses;
736-11   or]
736-12                     [(B)  50 percent of the total cost of the public
736-13   transportation capital improvement project, if the project is not
736-14   described in Paragraph (A)].
736-15         (d)  Section 456.006, Transportation Code, is amended to
736-16   conform to Section 3, Chapter 644 (H.B. No. 2496), Acts of the 74th
736-17   Legislature, Regular Session, 1995, to read as follows:
736-18         Sec. 456.006.  USE OF FINANCING.  (a)  Except as provided by
736-19   Subsection (b), a [A] designated recipient may use money from the
736-20   formula or discretionary program to provide for capital
736-21   improvements, planning activities, and operating expenses.
736-22         (b)  A municipality that has a population of more than
736-23   200,000 and that is not ineligible under Section 456.003 may use
736-24   money from the formula or discretionary program to provide:
 737-1               (1)  65 percent of the local share requirement for a
 737-2   federally financed capital improvement project;
 737-3               (2)  50 percent of the local share requirement for a
 737-4   federally financed project for operating expenses;
 737-5               (3)  65 percent of the local share requirement for
 737-6   federally financed planning activities; and
 737-7               (4)  50 percent of the total cost of a public
 737-8   transportation capital improvement project, if the designated
 737-9   recipient certifies that money from the United States is
737-10   unavailable for the project and the commission determines that the
737-11   project is vitally important to the development of public
737-12   transportation in this state.
737-13         (e)  Section 456.007, Transportation Code, is amended to
737-14   conform to Section 1(17), Chapter 1058 (H.B. No. 3050), Acts of the
737-15   74th Legislature, Regular Session, 1995, to read as follows:
737-16         Sec. 456.007.  PUBLIC TRANSPORTATION ACCOUNT FUND;
737-17   Appropriations and Grants.  (a)  The public transportation account
737-18   fund is an account in the general revenue fund.  A grant of money
737-19   to the state for public transportation purposes from a public or
737-20   private source shall be deposited to the credit of the public
737-21   transportation account fund.  Money in the public transportation
737-22   account fund may be used only by the department to carry out the
737-23   responsibilities of the commission and the department for public
737-24   transportation under this chapter.
 738-1         (b)  The legislature may appropriate money for public
 738-2   transportation purposes from the portion of the state highway fund
 738-3   that is not dedicated by the constitution.
 738-4         [(b)  The state may receive a grant for public transportation
 738-5   purposes from a public or private source.]
 738-6         (f)  Section 456.022, Transportation Code, is amended to
 738-7   conform to Section 1, Chapter 644 (H.B. No. 2496), Acts of the 74th
 738-8   Legislature, Regular Session, 1995, to read as follows:
 738-9         Sec. 456.022.  ALLOCATION BY CATEGORIES.  Under the formula
738-10   program the commission shall allocate:
738-11               (1)  50 percent of the money:
738-12                     (A)  to urbanized areas [that have populations of
738-13   not less than 50,000 and] that are not served by a transit
738-14   authority; and
738-15                     (B)  to areas not served by a transit authority
738-16   but located in urbanized areas [that have populations of not less
738-17   than 50,000 and] that include one or more transit authorities; and
738-18               (2)  50 percent of the money:
738-19                     (A)  to urban areas [that have populations of
738-20   less than 50,000]; or
738-21                     (B)  to rural areas.
738-22         (g)  Section 456.041(a), Transportation Code, is amended to
738-23   conform to Section 2, Chapter 644 (H.B. No. 2496), Acts of the 74th
738-24   Legislature, Regular Session, 1995, to read as follows:
 739-1         (a)  To participate in the discretionary program provided by
 739-2   this subchapter, a designated recipient must submit to the
 739-3   commission an application for project financing.  The application
 739-4   must contain:
 739-5               (1)  a description of the project, including an
 739-6   estimate of the population that the project would benefit and the
 739-7   anticipated completion date of the project;
 739-8               (2)  a statement of the estimated cost of the project,
 739-9   including an estimate of the portion of the cost of the project
739-10   financed by the United States; and
739-11               (3)  the certification required by Section
739-12   456.006(b)(4) [456.004].
739-13         (h)  Sections 1-3, Chapter 644 (H.B. No. 2496), Acts of the
739-14   74th Legislature, Regular Session, 1995, are repealed.
739-15         SECTION 30.35.  (a)  Subtitle K, Title 6, Transportation
739-16   Code, is amended to codify Article 1118z-1, Revised Statutes, as
739-17   added by Section 1, Chapter 786 (S.B. No. 1388), Acts of the 74th
739-18   Legislature, Regular Session, 1995, and to conform to the changes
739-19   in law made by Chapter 655 (H.B. No.  1863), Acts of the 74th
739-20   Legislature, Regular Session, 1995, by adding Chapter 457 to read
739-21   as follows:
739-22               CHAPTER 457.  COUNTY MASS TRANSIT AUTHORITY
739-23                    SUBCHAPTER A.  GENERAL PROVISIONS
739-24         Sec. 457.001.  DEFINITIONS.  In this chapter:
 740-1               (1)  "Authority" means a mass transit authority created
 740-2   under this chapter or former Article 1118z-1, Revised Statutes.
 740-3               (2)  "Board" means the governing body of an authority.
 740-4               (3)  "Bond" includes a note.
 740-5               (4)  "Mass transit" means the transportation of
 740-6   passengers and hand-carried packages or baggage of a passenger by
 740-7   any means of surface, overhead, or underground transportation,
 740-8   other than an aircraft or taxicab.
 740-9               (5)  "Principal municipality" means the municipality of
740-10   greatest population in a county to which this chapter applies.
740-11               (6)  "Transit authority system" means:
740-12                     (A)  property owned or held by an authority for
740-13   mass transit purposes; and
740-14                     (B)  facilities necessary or convenient for:
740-15                           (i)  the use of or access to mass transit
740-16   by persons or vehicles; or
740-17                           (ii)  the protection or environmental
740-18   enhancement of mass transit.
740-19               (7)  "Unit of election" means a municipality, including
740-20   the principal municipality, or the unincorporated area of a county.
740-21         Sec. 457.002.  APPLICABILITY.  This chapter applies only to a
740-22   county containing a municipality with a population of 500,000 or
740-23   more that has created a mass transit department under Chapter 453
740-24   or former Article 1118z, Revised Statutes.
 741-1            (Sections 457.003-457.050 reserved for expansion
 741-2         SUBCHAPTER B.  CREATION AND ADMINISTRATION OF AUTHORITY
 741-3         Sec. 457.051.  CREATION OF AUTHORITY.  (a)  An authority is
 741-4   created under this chapter if a resolution finding that the
 741-5   creation of an authority would be in the public interest and a
 741-6   benefit to persons residing in the county is adopted by:
 741-7               (1)  the county commissioners court;
 741-8               (2)  the governing body of the principal municipality;
 741-9   and
741-10               (3)  the governing body of at least one municipality
741-11   other than the principal municipality.
741-12         (b)  An authority may not be created if the rate of the sales
741-13   and use tax charged by the city transit department of the principal
741-14   municipality, when added to an existing sales and use tax collected
741-15   in the county other than by the principal municipality, would
741-16   exceed the limit imposed by Section 457.302.
741-17         Sec. 457.052.  BOARD OF AUTHORITY.  (a)  The board of an
741-18   authority consists of seven members.  A member of the board serves
741-19   without compensation but is entitled to reimbursement for expenses
741-20   incurred in board service.  The board shall elect one of its
741-21   members as presiding officer.  The members are appointed as
741-22   follows:
741-23               (1)  two members by the county commissioners court;
741-24               (2)  four members by the governing body of the
 742-1   principal municipality; and
 742-2               (3)  one member by the governing bodies of all
 742-3   municipalities that adopt the resolution described by Section
 742-4   457.051.
 742-5         (b)  A member of the board serves at the pleasure of the
 742-6   appointing entity.
 742-7         (c)  The board shall administer and operate the authority.
 742-8         (d)  The board shall hold at least one regular meeting each
 742-9   month for the purpose of transacting business of the authority.
742-10         (e)  The presiding officer may call a special meeting of the
742-11   board.
742-12         Sec. 457.053.  CONFIRMATION ELECTION.  (a)  If an authority
742-13   is created under Section 457.051, the board shall propose a service
742-14   plan and an initial tax rate for the authority.  The initial tax
742-15   rate must be the same rate as that collected by the city transit
742-16   department created by the principal municipality.
742-17         (b)  After proposing a service plan and an initial tax rate,
742-18   the board shall call an election in the county to approve the
742-19   creation of the authority and the tax rate.  The election must be
742-20   held on a uniform election date but may not be held on the same day
742-21   as an election held by the county under Section 323.101, Tax Code.
742-22   The election is not held in the territory of the principal
742-23   municipality.
742-24         (c)  Notice of the election must include a description of the
 743-1   nature and rate of the proposed tax.  The board shall send a copy
 743-2   of the notice to the department and the comptroller.
 743-3         (d)  At the election, the ballots shall be printed to permit
 743-4   voting for or against the following proposition:  "The creation of
 743-5   the (name of county) Transit Authority and the imposition of a
 743-6   (rate of tax) percent sales and use tax in (name of county)
 743-7   County."
 743-8         (e)  If a majority of the votes cast at the election approve
 743-9   the proposition:
743-10               (1)  the board shall record the result in its minutes
743-11   and adopt an order implementing the service plan; and
743-12               (2)  on the day the sales and use tax takes effect in
743-13   the authority, the city transit department created by the principal
743-14   municipality under Chapter 453 or former Article 1118z, Revised
743-15   Statutes, is dissolved, and its assets, personnel, and obligations
743-16   are transferred to the authority.
743-17         (f)  If less than a majority of the votes cast at the
743-18   election approve the proposition, the board shall adopt an order
743-19   dissolving  the authority, and the city transit department of the
743-20   principal municipality is not affected.
743-21         (g)  The jurisdiction of an authority is coextensive with the
743-22   territory of the county.
743-23         (h)  The board shall file a certified copy of an order
743-24   adopted under Subsection (e)(1) or (f) with the department, with
 744-1   the comptroller, and in the deed records of the county.
 744-2         Sec. 457.054.  CONFLICTS OF INTEREST:  AUTHORITY EMPLOYEES.
 744-3   An employee of an authority may not have a pecuniary interest in,
 744-4   or receive a benefit from, an agreement to which the authority is a
 744-5   party.
 744-6         Sec. 457.055.  TRANSFER OF RESOURCES BETWEEN MUNICIPALITY AND
 744-7   AUTHORITY.  (a)  The governing body of a municipality may transfer
 744-8   to an authority created under this chapter:
 744-9               (1)  property and employees of a division of the
744-10   municipality that before the creation of the authority was
744-11   responsible for municipal public transportation; and
744-12               (2)  municipal funds that may be used for mass transit.
744-13         (b)  The governing body may abolish or change the functions
744-14   of the municipal division formerly responsible for municipal public
744-15   transportation.
744-16         (c)  If an authority is required to be dissolved under this
744-17   chapter, the board, on dissolution of the authority, shall transfer
744-18   to a municipality the funds, property, and employees that were
744-19   transferred to the authority under this section.  The governing
744-20   body of the municipality may then re-create or change the duties of
744-21   any municipal division abolished or changed as a result of
744-22   transfers made under this section.
744-23         Sec. 457.056.  INVESTMENTS.  (a)  A board may invest
744-24   authority funds in any obligation, security, or evidence of
 745-1   indebtedness in which the principal municipality may invest
 745-2   municipal funds.
 745-3         (b)  In making an investment of authority funds, a board
 745-4   shall exercise the judgment and care, under the circumstances
 745-5   prevailing at the time of making the investment, that persons of
 745-6   ordinary prudence, discretion, and intelligence exercise in the
 745-7   management of their own affairs in making a permanent and
 745-8   nonspeculative disposition of their funds, considering the probable
 745-9   income from the disposition and the probable safety of their
745-10   capital.
745-11         Sec. 457.057.  DEPOSIT OF MONEY.  (a)  The board shall
745-12   designate one or more banks as depositories for authority funds.
745-13   All authority money, other than money invested as provided by
745-14   Section 457.056, shall be deposited in one or more of the
745-15   authority's depository banks.
745-16         (b)  Funds in a depository, to the extent that those funds
745-17   are not insured by the Federal Deposit Insurance Corporation, shall
745-18   be secured in the manner provided by law for the security of county
745-19   funds.
745-20         Sec. 457.058.  LIABILITY OF CREATING ENTITIES.  The political
745-21   subdivisions that adopt a resolution under Section 457.051(a) are
745-22   liable for an expense the authority incurs before the date a sales
745-23   and use tax is approved for the authority under this chapter,
745-24   including the costs of holding the election.
 746-1            (Sections 457.059-457.100 reserved for expansion
 746-2                  SUBCHAPTER C.  POWERS OF AUTHORITY  
 746-3         Sec. 457.101.  ACQUIRING AND DISPOSING OF PROPERTY.  (a)  An
 746-4   authority may acquire, hold, use, sell, lease, or dispose of
 746-5   property, including licenses, patents, rights, and other interests,
 746-6   necessary, convenient, or useful for the full exercise of any of
 746-7   its powers under this chapter.
 746-8         (b)  The authority may acquire property described in
 746-9   Subsection (a) in any manner, including by gift or devise.
746-10         (c)  An authority may dispose of, by sale, lease, or other
746-11   conveyance:
746-12               (1)  any property of the authority not needed for the
746-13   efficient operation and maintenance of the transit authority
746-14   system; and
746-15               (2)  any surplus property not needed for its
746-16   requirements or for the purpose of carrying out its powers under
746-17   this chapter.
746-18         (d)  The lease of unneeded property under Subsection (c) must
746-19   be consistent with the efficient operation and maintenance of the
746-20   transit authority system.
746-21         Sec. 457.102.  TRANSIT AUTHORITY SYSTEM.  (a)  An authority
746-22   may:
746-23               (1)  acquire, construct, own, operate, and maintain a
746-24   transit authority system;
 747-1               (2)  use any public way; and
 747-2               (3)  construct, repair, and maintain a municipal
 747-3   street, as authorized by the governing body of a municipality in
 747-4   the authority.
 747-5         (b)  In the exercise of a power under Subsection (a), an
 747-6   authority may relocate or reroute, or alter the construction of,
 747-7   any public or private property, including:
 747-8               (1)  an alley, road, street, or railroad;
 747-9               (2)  an electric line and facility;
747-10               (3)  a telegraph and telephone property and facility;
747-11               (4)  a pipeline and facility; and
747-12               (5)  a conduit and facility.
747-13         Sec. 457.103.  FARES AND OTHER CHARGES.  The board shall,
747-14   after a public hearing, impose reasonable and nondiscriminatory
747-15   fares, tolls, charges, rents, or other compensation for the use of
747-16   the transit authority system sufficient to produce revenue,
747-17   together with receipts from taxes imposed by the authority, in an
747-18   amount adequate to:
747-19               (1)  pay all the expenses necessary to operate and
747-20   maintain the transit authority system;
747-21               (2)  pay when due the principal of and interest on, and
747-22   sinking fund and reserve fund payments agreed to be made with
747-23   respect to, all bonds that are issued by the board and payable in
747-24   whole or part from the revenue; and
 748-1               (3)  fulfill the terms of any other agreement with the
 748-2   holders of bonds described by Subdivision (2) or with a person
 748-3   acting on behalf of the bondholders.
 748-4         Sec. 457.104.  AGREEMENT WITH UTILITIES AND CARRIERS.  An
 748-5   authority may agree with a public or private utility, communication
 748-6   system, common carrier, or transportation system for:
 748-7               (1)  the joint use of the property of the agreeing
 748-8   entities in the authority; or
 748-9               (2)  the establishment of through routes, joint fares,
748-10   or transfers of passengers.
748-11         Sec. 457.105.  CONTRACTS; ACQUISITION OF PROPERTY BY
748-12   AGREEMENT.  (a)  An authority may contract with any person and may
748-13   accept a grant or loan from any person.
748-14         (b)  An authority may acquire rolling stock or other property
748-15   under a contract or trust agreement, including a conditional sales
748-16   contract, lease, and equipment trust certificate.
748-17         Sec. 457.106.  USE AND ACQUISITION OF PROPERTY OF OTHERS.
748-18   (a)  An authority may not alter or damage any property of this
748-19   state or a political subdivision of this state or owned by a person
748-20   rendering public services and may not disrupt services being
748-21   provided by others or inconvenience in any other manner an owner of
748-22   property, without first having obtained:
748-23               (1)  the written consent of the owner; or
748-24               (2)  the right from the governing body of the
 749-1   municipality to take the action under the municipality's power of
 749-2   eminent domain.
 749-3         (b)  An authority may agree with an owner of property to
 749-4   provide for:
 749-5               (1)  a necessary relocation or alteration of property
 749-6   by the owner or a contractor chosen by the owner; and
 749-7               (2)  the reimbursement by the authority to the owner of
 749-8   the costs incurred by the owner in making the relocation or
 749-9   alteration.
749-10         (c)  The authority shall pay the cost of any relocation,
749-11   rerouting, or other alteration in the construction made under this
749-12   chapter and is liable for any damage to property occurring because
749-13   of the change.
749-14         Sec. 457.107.  ROUTES.  An authority shall determine each
749-15   route, including route changes, as the board considers advisable.
749-16         Sec. 457.108.  TORT LIABILITY AND GOVERNMENTAL IMMUNITY.
749-17   (a)  An  authority is a separate governmental unit for purposes of
749-18   Chapter 101, Civil Practice and Remedies Code, and operations of an
749-19   authority are essential governmental functions and not proprietary
749-20   functions for all purposes, including the purposes of that chapter.
749-21         (b)  This chapter does not create or confer any governmental
749-22   immunity or limitation of liability on any entity that is not a
749-23   governmental unit, governmental entity or authority, or public
749-24   agency or a subdivision of one of those persons.  In this
 750-1   subsection, "governmental unit" has the meaning assigned by Section
 750-2   101.001, Civil Practice and Remedies Code.
 750-3         Sec. 457.109.  TAX EXEMPTION.  The assets of an authority are
 750-4   exempt from any tax of the state or a state taxing authority.
 750-5            (Sections 457.110-457.150 reserved for expansion
 750-6             SUBCHAPTER D.  SPECIAL TRANSPORTATION PROGRAMS
 750-7         Sec. 457.151.  TRANSPORTATION FOR JOBS PROGRAM PARTICIPANTS.
 750-8   (a)  An authority shall contract with the Texas Workforce
 750-9   Commission to provide, in accordance with federal law,
750-10   transportation services to a person who:
750-11               (1)  resides in the area served by the authority;
750-12               (2)  is receiving financial assistance under Chapter
750-13   31, Human Resources Code; and
750-14               (3)  is registered in the jobs opportunities and basic
750-15   skills training program under Part F, Subchapter IV, Social
750-16   Security Act, as amended (42 U.S.C. Section 682).
750-17         (b)  The contract must include provisions to ensure that:
750-18               (1)  the authority is required to provide
750-19   transportation services only to a location:
750-20                     (A)  to which the person travels in connection
750-21   with participation in the jobs opportunities and basic skills
750-22   training program; and
750-23                     (B)  that the authority serves under the
750-24   authority's authorized rate structure and existing services;
 751-1               (2)  the authority is to provide directly to the Texas
 751-2   Workforce Commission trip vouchers for distribution by the
 751-3   workforce commission to a person who is eligible under this section
 751-4   to receive transportation services;
 751-5               (3)  the workforce commission reimburses the authority
 751-6   for allowable costs, at the applicable federal matching rate; and
 751-7               (4)  the workforce commission may return undistributed
 751-8   trip vouchers to the authority.
 751-9         (c)  An authority shall certify the amount of public funds
751-10   spent by the authority under this section for the purpose of
751-11   obtaining federal funds under the jobs opportunities and basic
751-12   skills training program.
751-13         Sec. 457.152.  WAIVER OF FEDERAL REQUIREMENTS.  If, before
751-14   implementing Section 457.151, the Texas Workforce Commission
751-15   determines that a waiver or authorization from a federal agency is
751-16   necessary for implementation, the workforce commission shall
751-17   request the waiver or authorization, and the workforce commission
751-18   and an authority may delay implementing Section 457.151 until the
751-19   waiver or authorization is granted.
751-20            (Sections 457.153-457.200 reserved for expansion
751-21               SUBCHAPTER E.  ALTERNATIVE FUEL USE PROGRAM
751-22         Sec. 457.201.  PURCHASE AND PERCENT OF VEHICLES USING
751-23   ALTERNATIVE FUEL.  (a)  An authority may not purchase or lease a
751-24   motor vehicle that is not capable of using compressed natural gas
 752-1   or another alternative fuel the use of which results in comparably
 752-2   lower emissions of oxides of nitrogen, volatile organic compounds,
 752-3   carbon monoxide, or particulates or combinations of those
 752-4   materials.
 752-5         (b)  After August 31, 1996, at least 50 percent of the fleet
 752-6   vehicles operated by an authority must be capable of using
 752-7   compressed natural gas or another alternative fuel.
 752-8         (b-1)  At least 30 percent of the fleet vehicles operated by
 752-9   an authority must be capable of using compressed natural gas or
752-10   another alternative fuel.  This subsection expires September 1,
752-11   1996.
752-12         (c)  The Texas Natural Resource Conservation Commission,
752-13   before 1997, shall review the alternative fuel use program under
752-14   this section.  If the commission determines that the program has
752-15   been effective in reducing total annual emissions from motor
752-16   vehicles in the area, the authority shall achieve a percentage of
752-17   fleet vehicles capable of using compressed natural gas or other
752-18   alternative fuel of at least 90 percent of the number of fleet
752-19   vehicles operated after August 31, 1998.
752-20         Sec. 457.202.  ALTERNATIVE FUEL USE PROGRAM:  EXCEPTIONS.
752-21   (a)  An authority may make exceptions to the requirements of
752-22   Section 457.201 if the authority certifies the facts described by
752-23   Subsection (b).
752-24         (b)  A certification under this section must state that:
 753-1               (1)  the authority's vehicles will be operating
 753-2   primarily in an area in which neither the authority nor a supplier
 753-3   has or can reasonably be expected to establish a central refueling
 753-4   station for compressed natural gas or other alternative fuel; or
 753-5               (2)  the authority is unable to acquire or be provided
 753-6   equipment or refueling facilities necessary to operate vehicles
 753-7   using compressed natural gas or other alternative fuel at a project
 753-8   cost that is reasonably expected to result in no greater net cost
 753-9   than the continued use of traditional gasoline or diesel fuel
753-10   measured over the expected useful life of the equipment or
753-11   facilities supplied.
753-12         Sec. 457.203.  ALTERNATIVE FUEL EQUIPMENT AND FACILITIES.
753-13   (a)  In addition to other methods authorized by law, an authority
753-14   may acquire or be provided equipment or refueling facilities by an
753-15   arrangement, including a gift or a loan, under a service contract
753-16   for the supply of compressed natural gas or other alternative fuel.
753-17         (b)  If an authority acquires or is provided equipment or
753-18   facilities as authorized by Subsection (a), the supplier is
753-19   entitled, under the supply contract, to recover the cost of giving,
753-20   loaning, or providing the equipment or facilities through the fuel
753-21   charges.
753-22         Sec. 457.204.  ALTERNATIVE FUEL USE PROGRAM:  VEHICLES
753-23   COVERED AND SAFETY.  (a)  In developing a compressed natural gas or
753-24   other alternative fuel use program, an authority should work with
 754-1   vehicle manufacturers and converters, fuel distributors, and others
 754-2   to specify the vehicles to be covered considering relevant factors,
 754-3   including vehicle range, specialty vehicle uses, fuel availability,
 754-4   vehicle manufacturing and conversion capability, safety, and resale
 754-5   value.
 754-6         (b)  The authority may meet the percentage requirements of
 754-7   Section 457.201 by:
 754-8               (1)  purchasing new vehicles; or
 754-9               (2)  converting existing vehicles, in conformity with
754-10   federal and state requirements and applicable safety laws, to
754-11   alternative fuel use.
754-12         (c)  In purchasing, leasing, maintaining, or converting a
754-13   vehicle for alternative fuel use, the authority shall comply with
754-14   all applicable safety standards adopted by the United States
754-15   Department of Transportation or the Railroad Commission of Texas or
754-16   their successor agencies.
754-17         Sec. 457.205.  ALTERNATIVE FUEL USE PROGRAM:  REPORTS.
754-18   (a)  Not later than December 31 of each year, an authority shall
754-19   file an annual report with the Texas Natural Resource Conservation
754-20   Commission showing:
754-21               (1)  purchases, leases, and conversions of motor
754-22   vehicles;
754-23               (2)  the amount of compressed natural gas and other
754-24   alternative fuel used; and
 755-1               (3)  any other information required by the commission
 755-2   relevant to the alternative fuel use program.
 755-3         (b)  The commission may require reporting from an authority
 755-4   to document air quality benefits from an alternative fuel use
 755-5   program.
 755-6            (Sections 457.206-457.250 reserved for expansion
 755-7                          SUBCHAPTER F.  BONDS
 755-8         Sec. 457.251.  POWER TO ISSUE BONDS.  (a)  An authority may
 755-9   issue revenue bonds at any time and for any amounts it considers
755-10   necessary or appropriate for:
755-11               (1)  the acquisition, construction, repair, equipping,
755-12   improvement, or extension of its transit system; or
755-13               (2)  the construction or general maintenance of streets
755-14   of the creating municipality.
755-15         (b)  Bonds payable solely from revenues may be issued by
755-16   resolution of the board.
755-17         (c)  Bonds, other than refunding bonds, any portion of which
755-18   is payable from tax revenue may not be issued until authorized by a
755-19   majority vote of the voters of the authority voting in an election.
755-20         Sec. 457.252.  BOND TERMS.  (a)  An authority's bonds are
755-21   fully negotiable.
755-22         (b)  The authority may make the bonds redeemable before
755-23   maturity at the price and subject to the terms that are provided in
755-24   the resolution authorizing the bonds.
 756-1         (c)  A revenue bond indenture may limit a power of the
 756-2   authority provided by this chapter as long as the bond containing
 756-3   the indenture is outstanding and unpaid.
 756-4         Sec. 457.253.  SALE.  Bonds may be sold at a public or
 756-5   private sale as determined by the board.
 756-6         Sec. 457.254.  APPROVAL; REGISTRATION.  (a)  An authority's
 756-7   bonds and the records relating to their issuance shall be submitted
 756-8   to the attorney general for examination before the bonds may be
 756-9   delivered.
756-10         (b)  If the attorney general finds that the bonds have been
756-11   issued in conformity with the constitution and this chapter and
756-12   that the bonds will be a binding obligation of the issuing
756-13   authority, the attorney general shall approve the bonds.
756-14         (c)  After the bonds are approved by the attorney general,
756-15   the comptroller shall register the bonds.
756-16         Sec. 457.255.  INCONTESTABILITY.  Bonds are incontestable
756-17   after they are:
756-18               (1)  approved by the attorney general;
756-19               (2)  registered by the comptroller; and
756-20               (3)  sold and delivered to the purchaser.
756-21         Sec. 457.256.  SECURITY PLEDGED.  (a)  To secure the payment
756-22   of an authority's bonds, the authority may:
756-23               (1)  pledge all or part of revenue received from any
756-24   tax that the authority may impose;
 757-1               (2)  pledge all or part of the revenue of the transit
 757-2   authority system; and
 757-3               (3)  mortgage all or part of the transit authority
 757-4   system, including any part of the system subsequently acquired.
 757-5         (b)  Under Subsection (a)(3), the authority may, subject to
 757-6   the terms of the bond indenture or resolution authorizing the
 757-7   issuance of the bonds, encumber a separate item of the transit
 757-8   authority system and acquire, use, hold, or contract for any
 757-9   property by lease, chattel mortgage, or other conditional sale,
757-10   including an equipment trust transaction.
757-11         Sec. 457.257.  PLEDGE OF REVENUE LIMITED.  The expenses of
757-12   operation and maintenance of a transit authority system, including
757-13   salaries, labor, materials, and repairs necessary to provide
757-14   efficient service and every other proper item of expense, are a
757-15   first lien and charge against any revenue of an authority that is
757-16   encumbered under this chapter.
757-17         Sec. 457.258.  REFUNDING BONDS.  An authority may issue
757-18   refunding bonds for the purposes and in the manner authorized by
757-19   Chapter 503, Acts of the 54th Legislature, 1955 (Article 717k,
757-20   Vernon's Texas Civil Statutes), Chapter 784, Acts of the 61st
757-21   Legislature, Regular Session, 1969 (Article 717k-3, Vernon's Texas
757-22   Civil Statutes), or other law.
757-23         Sec. 457.259.  BONDS AS AUTHORIZED INVESTMENTS.  (a)  An
757-24   authority's bonds are authorized investments for:
 758-1               (1)  a bank;
 758-2               (2)  a trust company;
 758-3               (3)  a savings and loan association; and
 758-4               (4)  an insurance company.
 758-5         (b)  The bonds, when accompanied by all appurtenant,
 758-6   unmatured coupons and to the extent of the lesser of their face
 758-7   value or market value, are eligible to secure the deposit of public
 758-8   funds of this state, a political subdivision of this state, and any
 758-9   other political corporation of this state.
758-10         Sec. 457.260.  INTEREST EXEMPTION.  Interest on bonds issued
758-11   by an authority is exempt from any tax of the state or a state
758-12   taxing authority.
758-13            (Sections 457.261-457.300 reserved for expansion
758-14                          SUBCHAPTER G.  TAXES
758-15         Sec. 457.301.  SALES AND USE TAX.  (a)  The board may impose
758-16   for the authority a sales and use tax at a permissible rate that
758-17   does not exceed the rate approved by the voters at an election
758-18   under this chapter.
758-19         (b)  The board by order may:
758-20               (1)  decrease the rate of the sales and use tax for the
758-21   authority to a permissible rate; or
758-22               (2)  call an election for the increase or decrease of
758-23   the sales and use tax to a permissible rate.
758-24         (c)  The permissible rates for a sales and use tax imposed
 759-1   under this chapter are:
 759-2               (1)  one-quarter of one percent; and
 759-3               (2)  one-half of one percent.
 759-4         (d)  Chapter 322, Tax Code, applies to an authority's sales
 759-5   and use tax.
 759-6         Sec. 457.302.  MAXIMUM TAX RATE.  (a)  A board may not adopt
 759-7   a sales and use tax rate, including a rate increase, that when
 759-8   combined with the rates of all sales and use taxes imposed by all
 759-9   political subdivisions of this state having territory in the county
759-10   exceeds two percent in any location in the county.
759-11         (b)  An election by an authority to approve a sales and use
759-12   tax or increase the rate of the authority's sales and use tax has
759-13   no effect if:
759-14               (1)  the voters of the authority approve the
759-15   authority's sales and use tax rate or rate increase at an election
759-16   held on the same day on which the municipality or county having
759-17   territory in the jurisdiction of the authority adopts a sales and
759-18   use tax or an additional sales and use tax; and
759-19               (2)  the combined rates of all sales and use taxes
759-20   imposed by the authority and all political subdivisions of this
759-21   state would exceed two percent in any part of the territory in the
759-22   jurisdiction of the authority.
759-23         Sec. 457.303.  ELECTION TO CHANGE TAX RATE.  (a)  At an
759-24   election ordered under Section 457.301(b)(2), the ballots shall be
 760-1   printed to permit voting for or against the proposition:  "The
 760-2   increase (decrease) of the local sales and use tax rate of (name of
 760-3   authority) to (percentage)."
 760-4         (b)  The increase or decrease in the tax rate becomes
 760-5   effective only if it is approved by a majority of the votes cast.
 760-6         (c)  A notice of the election and a certified copy of the
 760-7   order canvassing the election results shall be:
 760-8               (1)  sent to the department and the comptroller; and
 760-9               (2)  filed in the deed records of the county.
760-10         Sec. 457.304.  SALES TAX:  EFFECTIVE DATES.  (a)  An
760-11   authority's sales and use tax takes effect on the first day of the
760-12   second calendar quarter that begins after the date the comptroller
760-13   receives a copy of the order required to be sent under Section
760-14   457.053(h).
760-15         (b)  An increase or decrease in the rate of an authority's
760-16   sales and use tax takes effect on:
760-17               (1)  the first day of the first calendar quarter that
760-18   begins after the date the comptroller receives the notice provided
760-19   under Section 457.303(c); or
760-20               (2)  the first day of the second calendar quarter that
760-21   begins after the date the comptroller receives the notice, if
760-22   within 10 days after the date of receipt of the notice the
760-23   comptroller gives written notice to the presiding officer of the
760-24   board that the comptroller requires more time to implement tax
 761-1   collection and reporting procedures.
 761-2            (Sections 457.305-457.350 reserved for expansion
 761-3           SUBCHAPTER H.  DISSOLUTION OF AUTHORITY; WITHDRAWAL
 761-4                           OF UNIT OF ELECTION
 761-5         Sec. 457.351.  ELECTION TO DISSOLVE AUTHORITY.  (a)  A board
 761-6   may order an election on the question of dissolving the authority.
 761-7         (b)  The board shall dissolve the authority if the
 761-8   dissolution is approved by a majority of the votes cast.
 761-9         (c)  The provisions of Section 457.053 that relate to the
761-10   notice and conduct of an election under that section apply to an
761-11   election to dissolve an authority unless a different requirement is
761-12   specified in this section.
761-13         (d)  The board shall send a notice of the election to the
761-14   department and the comptroller.
761-15         (e)  At the election, the ballots shall be printed to permit
761-16   voting for or against the proposition:  "Dissolution of (name of
761-17   authority)."
761-18         (f)  The board shall send a certified copy of the order
761-19   canvassing the election results to the department and the
761-20   comptroller and file a copy in the deed records of the county.
761-21         (g)  The repeal of an authority's sales and use tax under
761-22   this chapter takes effect on:
761-23               (1)  the first day of the first calendar quarter that
761-24   begins after the date the comptroller receives the notice of the
 762-1   dissolution of the authority; or
 762-2               (2)  the first day of the second calendar quarter that
 762-3   begins after the date the comptroller receives the notice, if
 762-4   within 10 days after the date of receipt of the notice the
 762-5   comptroller gives written notice to the presiding officer of the
 762-6   board that the comptroller requires more time to implement the
 762-7   repeal of the tax.
 762-8         Sec. 457.352.  WITHDRAWAL FROM AUTHORITY.  (a)  The governing
 762-9   body of a unit of election may order an election to withdraw the
762-10   unit from an authority.
762-11         (b)  On the determination by a governing body of a unit of
762-12   election that a petition for withdrawal under this chapter is
762-13   valid, the governing body shall order an election to withdraw the
762-14   unit of election from the authority.
762-15         (c)  An election to withdraw may not be ordered, and a
762-16   petition for an election to withdraw may not be accepted for
762-17   filing, more frequently than once during each period of 12 months
762-18   preceding the anniversary of the date of the election confirming
762-19   the authority.
762-20         Sec. 457.353.  PETITION FOR WITHDRAWAL.  (a)  At the request
762-21   of a qualified voter of a unit of election in an authority, the
762-22   municipal secretary or other clerk or administrator of the unit of
762-23   election shall deliver to the voter, in the number requested,
762-24   petition signature sheets for a petition to withdraw from the
 763-1   authority prepared, numbered, and authenticated by the municipal
 763-2   secretary or other official.  During the period when signatures on
 763-3   the petition may be obtained, the official shall authenticate and
 763-4   deliver additional petition signature sheets as requested by the
 763-5   voter.  Only one petition for withdrawal may be in circulation at a
 763-6   time.
 763-7         (b)  Each sheet of a petition must have a heading in capital
 763-8   letters as follows:
 763-9         "THIS PETITION IS TO REQUIRE AN ELECTION TO BE HELD IN (name
763-10         of the unit of election) TO DISSOLVE (name of authority) IN
763-11         (name of the unit of election) SUBJECT TO THE CONTINUED
763-12         COLLECTION OF SALES TAXES FOR THE PERIOD REQUIRED BY LAW."
763-13         (c)  In addition to the requirements of Section 277.002,
763-14   Election Code, to be valid a petition must:
763-15               (1)  be signed on authenticated petition sheets by not
763-16   less than 10 percent of the number of registered voters of the unit
763-17   of election as shown on the voter registration list of the county;
763-18               (2)  be filed with the secretary, clerk, or
763-19   administrator of the unit of election not later than the 60th day
763-20   after the date the first sheet of the petition was received under
763-21   Subsection (a);
763-22               (3)  contain signatures that are signed in ink or
763-23   indelible pencil by the voter; and
763-24               (4)  have affixed or printed on each sheet an affidavit
 764-1   that is executed before a notary public by the person who
 764-2   circulated the sheet and that is in the following form and
 764-3   substance:
 764-4         "STATE OF TEXAS
 764-5         "COUNTY OF _______________
 764-6               "I, ____________________, affirm that I personally
 764-7         witnessed each signer affix his or her signature to this page
 764-8         of this petition for the dissolution of (name of authority)
 764-9         in (name of unit of election).  I affirm to the best of my
764-10         knowledge and belief that each signature is the genuine
764-11         signature of the person whose name is signed and that the
764-12         date entered next to each signature is the date the signature
764-13         was affixed to this page.
764-14                                               _______________________
764-15               "Sworn to and subscribed before me this the ____ day of
764-16         ___, ____.
764-17         (SEAL)                        _______________________________
764-18                                        Notary Public, State of Texas"
764-19         (d)  Each sheet of the petition must be filed under
764-20   Subsection (c)(2) at the same time as a single filing.
764-21         (e)  The secretary, clerk, or administrator of a unit of
764-22   election in which a petition for withdrawal from an authority is
764-23   filed shall examine the petition and file with the governing body
764-24   of the unit a report stating whether the petition, in the opinion
 765-1   of the secretary, clerk, or administrator, is valid.
 765-2         (f)  On receipt of a petition and a report under Subsection
 765-3   (e), the governing body shall examine the petition to determine
 765-4   whether the petition is valid.  The governing body may hold public
 765-5   hearings and conduct or order investigations as appropriate to make
 765-6   the determination.  The governing body's determination is
 765-7   conclusive of the issues.
 765-8         (g)  The governing body of a unit of election that receives
 765-9   an invalid petition shall reject the petition.
765-10         (h)  A petition that is rejected is void, and the petition
765-11   and each sheet of the rejected petition may not be used in
765-12   connection with a subsequent petition.
765-13         Sec. 457.354.  WITHDRAWAL ELECTION.  (a)  An election to
765-14   withdraw from an authority must be held on the first applicable
765-15   uniform election date occurring after the expiration of 12 calendar
765-16   months after the date the governing body orders the election.
765-17         (b)  The governing body shall give notice of the election to
765-18   the board, the department, and the comptroller immediately on
765-19   calling the election.
765-20         (c)  At the election, the ballots shall be printed to permit
765-21   voting for or against the proposition:  "Shall the (name of
765-22   authority) be continued in (name of unit of election)?"
765-23         (d)  If a majority of the votes received on the measure in an
765-24   election favor the proposition, the authority continues in the unit
 766-1   of election.
 766-2         (e)  If less than a majority of the votes received on the
 766-3   measure in the election favor the proposition, the authority ceases
 766-4   in the unit of election on the day after the date of the canvass of
 766-5   the election.
 766-6         (f)  On the effective date of a withdrawal from an authority:
 766-7               (1)  the authority shall cease providing transportation
 766-8   services in the withdrawn unit of election; and
 766-9               (2)  the financial obligations of the authority
766-10   attributable to the withdrawn unit of election cease to accrue.
766-11         (g)  Withdrawal from an authority does not affect the right
766-12   of the authority to travel through the territory of the unit of
766-13   election to provide service to a unit of election that is a part of
766-14   the authority.
766-15         Sec. 457.355.  PROCEDURE AFTER WITHDRAWAL ELECTION.  (a)
766-16   Until the amount of revenue from an authority's sales and use tax
766-17   collected in a withdrawn unit of election after the effective date
766-18   of withdrawal and paid to the authority equals the total financial
766-19   obligation of the unit, the sales and use tax continues to be
766-20   collected in the territory of the election unit.
766-21         (b)  After the amount described by Subsection (a) has been
766-22   collected, the comptroller shall discontinue collecting the tax in
766-23   the territory of the unit of election.
766-24         (c)  The total financial obligation of a withdrawn unit of
 767-1   election to the authority is an amount equal to:
 767-2               (1)  the unit's apportioned share of the authority's
 767-3   outstanding obligations; and
 767-4               (2)  the amount, not computed under Subdivision (1),
 767-5   that is necessary and appropriate to allocate to the unit because
 767-6   of financial obligations of the authority that specifically relate
 767-7   to the unit.
 767-8         (d)  An authority's outstanding obligation under Subsection
 767-9   (c)(1) is the sum of:
767-10               (1)  the obligations of the authority authorized in the
767-11   budget of, and contracted for by, the authority;
767-12               (2)  outstanding contractual obligations for capital or
767-13   other expenditures, including expenditures for a subsequent year,
767-14   the payment of which is not made or provided for from the proceeds
767-15   of notes, bonds, or other obligations;
767-16               (3)  payments due or to become due in a subsequent year
767-17   on notes, bonds, or other securities or obligations for debt issued
767-18   by the authority;
767-19               (4)  the amount required by the authority to be
767-20   reserved for all years to comply with financial covenants made with
767-21   lenders, note or bond holders, or other creditors or contractors;
767-22   and
767-23               (5)  the amount necessary for the full and timely
767-24   payment of the obligations of the authority, to avoid a default or
 768-1   impairment of those obligations, including contingent liabilities.
 768-2         (e)  The apportioned share of a unit's obligation is the
 768-3   amount of the obligation times a fraction, the numerator of which
 768-4   is the number of inhabitants of the withdrawing unit of election
 768-5   and the denominator of which is the number of inhabitants of the
 768-6   authority, including the number of inhabitants of the unit.
 768-7         (f)  The board shall determine the amount of each component
 768-8   of the computations required under this section, including the
 768-9   components of the unit's apportioned share, as of the effective
768-10   date of withdrawal.  The number of inhabitants shall be determined
768-11   according to the most recent and available applicable data of an
768-12   agency of the United States.
768-13         (g)  The board shall certify to a withdrawn unit of election
768-14   and to the comptroller the total financial obligation of the unit
768-15   to the authority as determined under this section.
768-16         (b)  Article 1118z-1, Revised Statutes, as added by Section
768-17   1, Chapter 786 (S.B. No. 1388), Acts of the 74th Legislature,
768-18   Regular Session, 1995, is repealed.
768-19         (c)  A confirmation election may not be held under Chapter
768-20   457, Transportation Code, as added by this section, before
768-21   September 1, 1997.
768-22         SECTION 30.36.  (a)  Subtitle K, Title 6, Transportation
768-23   Code, is amended to codify Chapter 645 (H.B. No. 2588), Acts of the
768-24   74th Legislature, Regular Session, 1995 (Article 6663c-1, Vernon's
 769-1   Texas Civil Statutes), by adding Chapter 458 to read as follows:
 769-2             CHAPTER 458.  RURAL AND URBAN TRANSIT DISTRICTS
 769-3         Sec. 458.001.  DEFINITIONS.  In this chapter:
 769-4               (1)  "Public transportation" means mass transportation
 769-5   of passengers and their hand-carried packages or baggage on a
 769-6   regular and continuing basis by means of surface, fixed guideway,
 769-7   or underground transportation or transit, other than aircraft,
 769-8   taxicab, ambulance, or emergency vehicle.
 769-9               (2)  "Rural public transportation provider" means:
769-10                     (A)  a nonprofit entity, local governmental body
769-11   created under Chapter 791, Government Code, or political
769-12   subdivision of this state, which on August 31, 1995, provided rural
769-13   public transportation services and received state or federal public
769-14   transportation money through the department, the Federal Transit
769-15   Administration, or the administration's successor; or
769-16                     (B)  a nonprofit entity, local governmental body
769-17   created under Chapter 791, Government Code, or political
769-18   subdivision of this state, which after September 1, 1995, provides
769-19   rural public transportation services and receives state or federal
769-20   public transportation money through the department, the Federal
769-21   Transit Administration, or the administration's successor.
769-22               (3)  "Rural transit district" means a political
769-23   subdivision of this state that provides and coordinates rural
769-24   public transportation in its territory.  The term includes a rural
 770-1   public transportation provider within the meaning of Chapter 456
 770-2   that on August 31, 1995, received public transportation money
 770-3   through the department.
 770-4               (4)  "Urban transit district" means a local
 770-5   governmental body or political subdivision of this state that
 770-6   operates a public transportation system in an urbanized area with a
 770-7   population of more than 50,000 but less than 200,000.  The term
 770-8   includes a small urban transportation provider under Chapter 456
 770-9   that on September 1, 1994, received public transportation money
770-10   through the department.
770-11         Sec. 458.002.  CONTRACTS WITH DEPARTMENT FOR PROVISION OF
770-12   RURAL PUBLIC TRANSPORTATION SERVICES.  A public transportation
770-13   provider may contract with the department to provide rural public
770-14   transportation services only if the provider becomes a rural
770-15   transit district in compliance with this chapter.
770-16         Sec. 458.003.  RURAL PUBLIC TRANSPORTATION CONFERENCE.  (a)
770-17   The commissioners court of a county in which no provider on August
770-18   31, 1995, was receiving public transportation funds through the
770-19   department must convene a rural public transportation conference
770-20   before creating a rural transit district.
770-21         (b)  If the commissioners courts of two or more adjacent
770-22   counties that are not served by a rural transit district determine
770-23   that the need for public transportation services extends across the
770-24   boundaries of the counties, those courts may convene a multicounty
 771-1   rural public transportation conference.
 771-2         (c)  Written notice of a conference shall be given to the
 771-3   public and to the governing body of each municipality in each
 771-4   county before the 30th day before the conference is convened.
 771-5         (d)  A conference must evaluate whether a rural transit
 771-6   district to provide public transportation services in the area
 771-7   should be created.  The conference must consider whether existing
 771-8   rural transit districts have the capacity to provide public
 771-9   transportation service in that area.
771-10         Sec. 458.004.  ATTENDANCE AT CONFERENCE.  (a)  An elected
771-11   representative selected by the governing body of each municipality
771-12   in each affected county and the commissioners court of each
771-13   affected county shall attend a rural public transportation
771-14   conference.
771-15         (b)  Representatives attending the conference shall elect a
771-16   presiding officer from the representatives.
771-17         Sec. 458.005.  PUBLIC HEARING ON CREATION OF RURAL
771-18   TRANSPORTATION DISTRICT; NOTICE.  (a)  If a conference finds it
771-19   advisable to create a new rural transit district, the conference
771-20   shall set a public hearing on the creation of the district.
771-21         (b)  Before the public hearing is convened, the conference
771-22   shall:
771-23               (1)  identify each county that will be included in the
771-24   territory of the proposed rural transit district; and
 772-1               (2)  advise each component county and municipality in
 772-2   the proposed territory.
 772-3         (c)  Notice of the public hearing shall be published once a
 772-4   week for two consecutive weeks in at least one newspaper of general
 772-5   circulation in the territory of the proposed district.  The notice
 772-6   must include:
 772-7               (1)  the time and place of the hearing; and
 772-8               (2)  a description of and a map showing the boundaries
 772-9   of the proposed district.
772-10         (d)  At the hearing, any interested person may appear and be
772-11   heard on any matter relating to the effect of the formation of the
772-12   proposed rural transit district.
772-13         (e)  After the hearing is concluded, the conference may by
772-14   resolution create and establish the boundaries of a rural transit
772-15   district if the conference determines that:
772-16               (1)  the creation of the rural transit district will
772-17   serve the general public and be conducive to the welfare and
772-18   benefit of persons and property in the district; and
772-19               (2)  the general public cannot be better served by an
772-20   existing rural transit district.
772-21         (f)  A nonurbanized area of a county may not be excluded from
772-22   the district.
772-23         Sec. 458.006.  GOVERNING BODY OF RURAL TRANSIT DISTRICT.  (a)
772-24   Not later than the 60th day after the date the boundaries of a
 773-1   rural transit district are established, the commissioners court of
 773-2   each county and one elected representative from the governing body
 773-3   of each municipality in the territory of the district shall provide
 773-4   for the selection of the governing body of the district.
 773-5         (b)  The governing body of the district consists of elected
 773-6   officers who are selected by and serve at the pleasure of the
 773-7   governing bodies of the component municipalities in the district
 773-8   and the commissioners court of each county in the district.
 773-9         (c)  The number of members of the governing body of a
773-10   single-county rural transit district may not exceed nine.  The
773-11   number of members of the governing body of a multicounty district
773-12   may not exceed 15, except that each member county is entitled to at
773-13   least one representative on the governing body.
773-14         Sec. 458.007.  UNSERVED RURAL AREAS MAY JOIN RURAL TRANSIT
773-15   DISTRICT.  An unserved rural area may join an existing rural
773-16   transit district on the adoption of a resolution by the
773-17   commissioners court of the county to that effect.
773-18         Sec. 458.008.  MERGER OF RURAL TRANSIT DISTRICTS.  (a)  Two
773-19   or more rural transit districts may merge into a new rural transit
773-20   district.  The territory of the new district must include all the
773-21   territory of each merged district.
773-22         (b)  The merger is made when the governing board of each
773-23   district by resolution adopts an interlocal agreement that
773-24   specifies:
 774-1               (1)  the boundaries of each district to be merged and
 774-2   of the new district;
 774-3               (2)  the terms of the merger; and
 774-4               (3)  a schedule for execution of the merger.
 774-5         Sec. 458.009.  URBAN TRANSIT DISTRICTS.  (a)  A public
 774-6   transportation provider that on September 1, 1994, was not
 774-7   receiving public transportation money through the department may
 774-8   contract with the department to provide small urban public
 774-9   transportation services and receive state or federal public
774-10   transportation money through the department, the Federal Transit
774-11   Administration, or the administration's successor only if the
774-12   provider becomes an urban transit district as provided by this
774-13   section.
774-14         (b)  The public transportation provider must be:
774-15               (1)  a local governmental body created under Chapter
774-16   791, Government Code; or
774-17               (2)  a political subdivision of this state.
774-18         (c)  The governing body of the provider may by resolution
774-19   create a small urban transit district to serve the general public.
774-20         Sec. 458.010.  GENERAL POWERS OF RURAL TRANSIT DISTRICTS.
774-21   (a)  In addition to a power expressly granted by this chapter, a
774-22   rural transit district has any power necessary to carry out a
774-23   purpose of the district.
774-24         (b)  A rural transit district may contract with the United
 775-1   States, a state or state agency, another rural transit district, an
 775-2   urban transit district, a metropolitan or regional transit
 775-3   authority, a county, a municipality, a metropolitan municipal
 775-4   corporation, a special district, a governmental agency in or
 775-5   outside this state, or any private person, firm, or corporation:
 775-6               (1)  to receive a gift or grant or secure a loan or
 775-7   advance for a preliminary planning and feasibility study; or
 775-8               (2)  for the design, construction, or operation of a
 775-9   transportation facility, including an intermodal transportation
775-10   facility.
775-11         Sec. 458.011.  ADDITIONAL POWERS OF RURAL OR URBAN TRANSIT
775-12   DISTRICT.  A rural or urban transit district may contract with any
775-13   governmental agency or private person, firm, or corporation for:
775-14               (1)  the use by either party to the contract of all or
775-15   any part of a facility, structure, interest in land, air right over
775-16   land, or right-of-way that is owned, leased, or held by the other
775-17   party; or
775-18               (2)  the purpose of planning, constructing, or
775-19   operating a facility or performing a service that the rural transit
775-20   district is authorized to operate or perform.
775-21         Sec. 458.012.  OPERATION OF LOCAL PUBLIC PASSENGER
775-22   TRANSPORTATION IN RURAL TRANSIT DISTRICT PROHIBITED.  (a)  From the
775-23   effective date a rural transit district begins providing a public
775-24   transportation service, another person or private corporation may
 776-1   not operate a local public passenger transportation service in the
 776-2   rural transit district, except as provided by Subsection (b).
 776-3         (b)  Subsection (a) does not apply to:
 776-4               (1)  the operation of:
 776-5                     (A)  a taxicab; or
 776-6                     (B)  a bus owned or operated by a corporation or
 776-7   organization exclusively for a purpose of the corporation or
 776-8   organization and for the use of which a fee or fare is not charged;
 776-9               (2)  an intercity passenger rail service;
776-10               (3)  an intercity bus carrier; or
776-11               (4)  a rural public transportation provider operating
776-12   under an agreement entered into under this chapter that provides
776-13   local public passenger transportation service.
776-14         (b)  Chapter 645 (H.B. No. 2588), Acts of the 74th
776-15   Legislature, Regular Session, 1995 (Article 6663c-1, Vernon's Texas
776-16   Civil Statutes), is repealed.
776-17         SECTION 30.37.  (a)  Subchapter B, Chapter 501,
776-18   Transportation Code, is amended to conform to Section 5, Chapter
776-19   1015 (S.B. No. 1445), Acts of the 74th Legislature, Regular
776-20   Session, 1995, by adding Section 501.0234 to read as follows:
776-21         Sec. 501.0234.  DUTY OF VEHICLE DEALER ON SALE OF CERTAIN
776-22   VEHICLES.  (a)  A person who sells at the first or a subsequent
776-23   sale a motor vehicle and who holds a general distinguishing number
776-24   issued under Chapter 503 or the Texas Motor Vehicle Commission Code
 777-1   (Article 4413(36), Vernon's Texas Civil Statutes) shall:
 777-2               (1)  in the time and manner provided by law, apply, in
 777-3   the name of the purchaser of the vehicle, for the registration of
 777-4   the vehicle and a certificate of title for the vehicle and file
 777-5   with the appropriate designated agent each document necessary to
 777-6   transfer title to and register the vehicle; and at the same time
 777-7               (2)  remit any required motor vehicle sales tax.
 777-8         (b)  This section does not apply to a vehicle:
 777-9               (1)  that has been declared a total loss by an
777-10   insurance company in the settlement or adjustment of a claim; or
777-11               (2)  for which the certificate of title has been
777-12   surrendered in exchange for:
777-13                     (A)  a salvage certificate of title issued under
777-14   this chapter;
777-15                     (B)  a nonrepairable motor vehicle certificate of
777-16   title issued under this chapter;
777-17                     (C)  a certificate of authority issued under
777-18   Subchapter D, Chapter 683; or
777-19                     (D)  an ownership document issued by another
777-20   state that is comparable to a document described by Paragraphs
777-21   (A)-(C).
777-22         (c)  Each duty imposed by this section on the seller of a
777-23   motor vehicle is solely that of the seller.
777-24         (b)  Section 5, Chapter 1015 (S.B. No. 1445), Acts of the
 778-1   74th Legislature, Regular Session, 1995, is repealed.
 778-2         SECTION 30.38.  (a)  Subchapter B, Chapter 501,
 778-3   Transportation Code, is amended to conform to Section 8.05, Chapter
 778-4   655 (H.B. No. 1863), Acts of the 74th Legislature, Regular Session,
 778-5   1995, by adding Section 501.0235 to read as follows:
 778-6         Sec. 501.0235.  SOCIAL SECURITY NUMBER OF TITLE APPLICANT:
 778-7   AUTOMATED REGISTRATION AND TITLE SYSTEM.  (a)  The department shall
 778-8   require an applicant for a certificate of title to provide the
 778-9   applicant's social security number to the department.
778-10         (b)  The department or the county shall enter the applicant's
778-11   social security number in the department's electronic database but
778-12   may not print that number on the certificate of title.
778-13         (c)  This section applies only in a county in which the
778-14   department's automated registration and title system has been
778-15   implemented.
778-16         (b)  Section 8.05, Chapter 655 (H.B. No. 1863), Acts of the
778-17   74th Legislature, Regular Session, 1995, is repealed.
778-18         SECTION 30.39.  (a)  Section 501.031, Transportation Code, is
778-19   amended to conform to Sections 1 and 2, Chapter 540 (S.B. No.
778-20   1435), Acts of the 74th Legislature, Regular Session, 1995, to read
778-21   as follows:
778-22         Sec. 501.031.  RIGHTS OF SURVIVORSHIP AGREEMENT.  (a)  The
778-23   department shall include on each certificate of title a rights of
778-24   survivorship agreement form.  The form must:
 779-1               (1)  provide that if the agreement is signed by a
 779-2   husband and wife jointly with the interest of either spouse who
 779-3   dies to survive to the surviving spouse; and
 779-4               (2)  provide blanks for the signatures of the husband
 779-5   and wife.
 779-6         (b)  If the vehicle is registered in the name of the husband,
 779-7   the wife, or both, and if the rights of survivorship agreement is
 779-8   signed by both the husband and the wife:
 779-9               (1)  ownership of the vehicle may be transferred only
779-10   by both spouses acting jointly, if both spouses are alive; and
779-11               (2)  on the death of one of the spouses:
779-12                     (A)  ownership of the vehicle may be transferred
779-13   by the surviving spouse by transferring the certificate of title,
779-14   in the manner otherwise required by law for transfer of ownership
779-15   of the vehicle, with a copy of the death certificate of the
779-16   deceased spouse attached to the certificate of title; and
779-17                     (B)  the department shall issue a new certificate
779-18   of title in the name of the surviving spouse or the surviving
779-19   spouse's transferee on presentation of a copy of the certificate of
779-20   title with the death certificate of the deceased spouse attached
779-21   without requiring additional evidence of the spouse's death.
779-22         (c)  A rights of survivorship agreement under this section
779-23   may be revoked only by surrender of the certificate of title to the
779-24   department and joint application by the husband and wife for a new
 780-1   title in the name of the person or persons designated in the
 780-2   application [An agreement providing that a motor vehicle is to be
 780-3   held by a husband and wife jointly with the interest of either
 780-4   spouse who dies passing to the surviving spouse is valid only if
 780-5   the agreement is:]
 780-6               [(1)  signed by both spouses; and]
 780-7               [(2)  submitted with the application for certificate of
 780-8   title.]
 780-9         [(b)  If a valid rights of survivorship agreement is made and
780-10   submitted, the department shall issue the certificate of title for
780-11   the motor vehicle in the name of both spouses].
780-12         (b)  Sections 1 and 2, Chapter 540 (S.B. No. 1435), Acts of
780-13   the 74th Legislature, Regular Session, 1995, are repealed.
780-14         SECTION 30.40.  (a)  Subchapter B, Chapter 501,
780-15   Transportation Code, is amended to conform to Section 2, Chapter
780-16   443 (H.B. No. 1225), Acts of the 74th Legislature, Regular Session,
780-17   1995, by adding Section 501.035 to read as follows:
780-18         Sec. 501.035.  CERTIFICATE OF TITLE FOR FORMER MILITARY
780-19   VEHICLE.  (a)  Notwithstanding any other law, the department shall
780-20   issue a certificate of title for a former military vehicle that is
780-21   not registered under the laws of this state if all other
780-22   requirements for issuance of a certificate of title are met.
780-23         (b)  In this section, "former military vehicle" has the
780-24   meaning assigned by Section 502.275(o).
 781-1         (b)  Section 2, Chapter 443 (H.B. No. 1225), Acts of the 74th
 781-2   Legislature, Regular Session, 1995, is repealed.
 781-3         SECTION 30.41.  Section 501.074(d), Transportation Code, is
 781-4   repealed to conform to the repeal of the law from which it was
 781-5   derived by Section 2, Chapter 540 (S.B. No. 1435), Acts of the 74th
 781-6   Legislature, Regular Session, 1995.
 781-7         SECTION 30.42.  (a)  Section 501.134, Transportation Code, is
 781-8   amended to conform to Section 6, Chapter 1015 (S.B. No. 1445), Acts
 781-9   of the 74th Legislature, Regular Session, 1995, by amending
781-10   Subsection (a) and adding Subsections (f)-(i) to read as follows:
781-11         (a)  If an original or duplicate original certificate of
781-12   title is lost or destroyed, the owner or lienholder disclosed on
781-13   the certificate may obtain, in the manner provided by this section
781-14   and department rule, a certified copy of the lost or destroyed
781-15   certificate of title directly from the department by applying on a
781-16   form prescribed by the department and paying a fee of $2.  A fee
781-17   collected under this subsection shall be deposited to the credit of
781-18   the state highway fund and may be spent only as provided by Section
781-19   501.138.
781-20         (f)  Except as provided by Subsection (g), the department may
781-21   not issue a certified copy of a certificate of title before the
781-22   fourth business day after the date application is made.
781-23         (g)  The department may issue a certified copy of a
781-24   certificate of title before the fourth business day after the date
 782-1   application is made only if the applicant:
 782-2               (1)  is the registered owner of the vehicle, the holder
 782-3   of a recorded lien against the vehicle, or a verified agent of the
 782-4   owner or lienholder; and
 782-5               (2)  submits personal identification, including a
 782-6   photograph, issued by an agency of this state or the United States.
 782-7         (h)  If the applicant is the agent of the owner or lienholder
 782-8   of the vehicle and is applying on behalf of the owner or
 782-9   lienholder, the applicant must submit verifiable proof that the
782-10   person is the agent of the owner or lienholder.
782-11         (i)  If an applicant for a certified copy of a certificate of
782-12   title is a person other than a person described by Subsection
782-13   (g)(1), the department may issue a certified copy of the
782-14   certificate of title only by mail.
782-15         (b)  Section 6, Chapter 1015 (S.B. No. 1445), Acts of the
782-16   74th Legislature, Regular Session, 1995, is repealed.
782-17         SECTION 30.43.  (a)  Subchapter E, Chapter 501,
782-18   Transportation Code, is amended to conform to Section 1, Chapter
782-19   394 (H.B. No. 2151), Acts of the 74th Legislature, Regular Session,
782-20   1995, to read as follows:
782-21         SUBCHAPTER E.  NONREPAIRABLE AND SALVAGE MOTOR VEHICLES
782-22         Sec. 501.0911.  DEFINITIONS.  (a)  In this subchapter:
782-23               (1)  "Actual cash value" means the market value of a
782-24   motor vehicle as determined:
 783-1                     (A)  from publications commonly used by the
 783-2   automotive and insurance industries to establish the values of
 783-3   motor vehicles; or
 783-4                     (B)  if the entity determining the value is an
 783-5   insurance company, by any other procedure recognized by the
 783-6   insurance industry, including market surveys, that is applied by
 783-7   the company in a uniform manner.
 783-8               (2)  "Automobile recycler" means a person in the
 783-9   business of dealing in salvage motor vehicles for the purpose of
783-10   dismantling the vehicles to sell used parts or a person otherwise
783-11   engaged in the business of acquiring, selling, or dealing in
783-12   salvage parts for reuse or resale as parts.  The term includes a
783-13   dealer in used motor vehicle parts.
783-14               (3)  "Casual sale" means the sale at auction of not
783-15   more than one nonrepairable motor vehicle or late model salvage
783-16   motor vehicle to the same person during a calendar year.
783-17               (4)  "Insurance company" means a person authorized to
783-18   write automobile insurance in this state or an out-of-state
783-19   insurance company that pays a loss claim for a motor vehicle in
783-20   this state.
783-21               (5)  "Late model motor vehicle" means a motor vehicle
783-22   with the same model year as the current calendar year or one of the
783-23   five calendar years preceding that calendar year.
783-24               (6)  "Late model salvage motor vehicle" or "salvage
 784-1   motor vehicle" means a late model motor vehicle, other than a late
 784-2   model vehicle that is a nonrepairable motor vehicle, that is
 784-3   damaged to the extent that the total estimated cost of repairs,
 784-4   other than repairs related to hail damage but including parts and
 784-5   labor, is equal to or greater than an amount equal to 75 percent of
 784-6   the actual cash value of the vehicle in its predamaged condition.
 784-7               (7)  "Major component part" means one of the following
 784-8   parts of a motor vehicle:
 784-9                     (A)  the engine;
784-10                     (B)  the transmission;
784-11                     (C)  the frame;
784-12                     (D)  the right or left front fender;
784-13                     (E)  the hood;
784-14                     (F)  a door allowing entrance to or egress from
784-15   the passenger compartment of the vehicle;
784-16                     (G)  the front or rear bumper;
784-17                     (H)  the right or left quarter panel;
784-18                     (I)  the deck lid, tailgate, or hatchback;
784-19                     (J)  the cargo box of a pickup truck;
784-20                     (K)  the cab of a truck; or
784-21                     (L)  the body of a passenger vehicle.
784-22               (8)  "Nonrepairable motor vehicle" means a late model
784-23   motor vehicle that is damaged or missing a major component part to
784-24   the extent that the total estimated cost of repairs to rebuild or
 785-1   reconstruct the vehicle, including parts and labor other than the
 785-2   costs of materials and labor for repainting the vehicle and
 785-3   excluding sales taxes on the total cost of the repairs, and
 785-4   excluding the cost of repairs to repair hail damage, is equal to or
 785-5   greater than an amount equal to 95 percent of the actual cash value
 785-6   of the vehicle in its predamaged condition.
 785-7               (9)  "Nonrepairable motor vehicle certificate of title"
 785-8   means a document issued by the department that evidences ownership
 785-9   of a nonrepairable motor vehicle.
785-10               (10)  "Older model motor vehicle" means a motor vehicle
785-11   that was manufactured in a model year before the sixth preceding
785-12   model year, including the current model year.
785-13               (11)  "Other negotiable evidence of ownership" means a
785-14   document other than a Texas certificate of title or a salvage
785-15   certificate of title that relates to a motor vehicle that the
785-16   department considers sufficient to support issuance of a Texas
785-17   certificate of title for the vehicle.
785-18               (12)  "Out-of-state buyer" means a person licensed in
785-19   an automotive business by another state or jurisdiction if the
785-20   department has listed the holders of such a license as permitted
785-21   purchasers of salvage motor vehicles or nonrepairable motor
785-22   vehicles based on substantially similar licensing requirements and
785-23   on whether salvage vehicle dealers licensed in Texas are permitted
785-24   to purchase salvage motor vehicles or nonrepairable motor vehicles
 786-1   in the other state or jurisdiction.
 786-2               (13)  "Rebuilder" means a person who acquires and
 786-3   repairs, for operation on public highways, five or more late model
 786-4   salvage motor vehicles in any 12-month period.
 786-5               (14)  "Salvage motor vehicle certificate of title"
 786-6   means any document issued by the department that evidences
 786-7   ownership of a salvage motor vehicle.
 786-8               (15)  "Salvage vehicle dealer" has the meaning assigned
 786-9   by Section 1.01, Article 6687-1a, Revised Statutes.
786-10         (b)  For purposes of this subchapter:
786-11               (1)  the estimated cost of repair parts shall be
786-12   determined by using a manual of repair costs or other instrument
786-13   that is generally recognized and commonly used in the motor vehicle
786-14   insurance industry to determine those costs or an estimate of the
786-15   actual cost of the repair parts; and
786-16               (2)  the estimated labor costs shall be computed by
786-17   using the hourly rate and time allocations that are reasonable and
786-18   commonly assessed in the repair industry in the community in which
786-19   the repairs are performed.
786-20         Sec. 501.0912.  INSURANCE COMPANY TO SURRENDER CERTIFICATES
786-21   OF TITLE TO CERTAIN LATE MODEL SALVAGE MOTOR VEHICLES.  (a)  An
786-22   insurance company that is licensed to conduct business in this
786-23   state and that acquires ownership of a late model salvage motor
786-24   vehicle through payment of a claim shall surrender a properly
 787-1   assigned certificate of title to the department, on a form
 787-2   prescribed by the department.
 787-3         (b)  For a vehicle described by Section 501.0911(6) but not
 787-4   by Section 501.0911(8), the insurance company shall apply for a
 787-5   salvage motor vehicle certificate of title.  For a vehicle
 787-6   described by Section 501.0911(8), the insurance company shall apply
 787-7   for a nonrepairable motor vehicle certificate of title.
 787-8         (c)  An insurance company may not sell a late model salvage
 787-9   motor vehicle to which this section applies unless the department
787-10   has issued a salvage motor vehicle certificate of title or a
787-11   nonrepairable motor vehicle certificate of title for the vehicle or
787-12   a comparable ownership document has been issued by another state or
787-13   jurisdiction for the vehicle.
787-14         (d)  An insurance company may sell a late model salvage motor
787-15   vehicle to which this section applies, or assign a salvage motor
787-16   vehicle certificate of title or a nonrepairable motor vehicle
787-17   certificate of title for the vehicle, only to a salvage vehicle
787-18   dealer, an out-of-state buyer, a buyer in a casual sale at auction,
787-19   or a person described by Subsection (g), Article 6687-2b, Revised
787-20   Statutes.  If the vehicle is not a late model salvage motor vehicle
787-21   or a nonrepairable motor vehicle, the insurance company is not
787-22   required to surrender the regular certificate of title for the
787-23   vehicle or to be issued a salvage motor vehicle certificate of
787-24   title or a nonrepairable motor vehicle certificate of title for the
 788-1   vehicle.
 788-2         Sec. 501.0913.  INSURANCE COMPANY TO DELIVER CERTIFICATES OF
 788-3   TITLE TO CERTAIN MOTOR VEHICLES.  (a)  If an insurance company
 788-4   acquires ownership of a motor vehicle other than a late model
 788-5   salvage motor vehicle or a nonrepairable motor vehicle through
 788-6   payment of a claim, the company shall, on delivery of the vehicle
 788-7   to a buyer of the vehicle, deliver the buyer a properly assigned
 788-8   certificate of title for the vehicle.
 788-9         (b)  An insurance company or other person who acquires
788-10   ownership of a motor vehicle other than a late model salvage motor
788-11   vehicle or a nonrepairable motor vehicle may voluntarily and on
788-12   proper application obtain a salvage motor vehicle certificate of
788-13   title or a nonrepairable motor vehicle certificate of title for the
788-14   vehicle.
788-15         Sec. 501.0914.  NONAPPLICABILITY.  Sections 501.0912 and
788-16   501.0913 do not apply to a vehicle that has been stolen and
788-17   recovered unless the damage to the vehicle causes the vehicle to be
788-18   a salvage motor vehicle or a nonrepairable motor vehicle.
788-19         Sec. 501.0915.  INSURANCE COMPANY TO SUBMIT REPORT TO
788-20   DEPARTMENT.  (a)  If after payment of a total loss claim on a late
788-21   model salvage motor vehicle or a nonrepairable motor vehicle an
788-22   insurance company does not acquire ownership of the vehicle, the
788-23   insurance company shall submit to the department, before the 31st
788-24   day after the date of the payment of the claim, on the form
 789-1   prescribed by the department, a report stating that:
 789-2               (1)  the insurance company has paid a total loss claim
 789-3   on the vehicle; and
 789-4               (2)  the insurance company has not acquired ownership
 789-5   of the vehicle.
 789-6         (b)  The owner of a late model salvage motor vehicle to which
 789-7   this section applies may not transfer ownership of the vehicle by
 789-8   sale or otherwise unless the department has issued a salvage motor
 789-9   vehicle certificate of title or a nonrepairable motor vehicle
789-10   certificate of title for the vehicle or a comparable ownership
789-11   document has been issued by another state or jurisdiction for the
789-12   vehicle.
789-13         Sec. 501.0916.  SALE, TRANSFER, OR RELEASE OF LATE MODEL
789-14   SALVAGE MOTOR VEHICLE.  (a)  A person who owns a late model salvage
789-15   motor vehicle may not sell, transfer, or release the vehicle to a
789-16   person other than a salvage vehicle dealer, the former owner of the
789-17   vehicle, a governmental entity, an out-of-state buyer, a buyer in a
789-18   casual sale at auction, or a person described by Subsection (g),
789-19   Article 6687-2b, Revised Statutes, and shall deliver to that person
789-20   a properly assigned certificate of title for the vehicle.
789-21         (b)  If the assigned certificate of title is not a salvage
789-22   motor vehicle certificate of title, a nonrepairable motor vehicle
789-23   certificate of title, or a comparable ownership document issued by
789-24   another state or jurisdiction, the purchaser shall, not later than
 790-1   the 10th day after the date the purchaser receives the certificate
 790-2   of title from the owner:
 790-3               (1)  surrender the certificate of title to the
 790-4   department; and
 790-5               (2)  apply for a salvage motor vehicle certificate of
 790-6   title or a nonrepairable motor vehicle certificate of title for the
 790-7   vehicle, as appropriate.
 790-8         (c)  A salvage vehicle dealer that acquires ownership of a
 790-9   late model salvage motor vehicle or a nonrepairable motor vehicle
790-10   for the purpose of dismantling, scrapping, or destroying the
790-11   vehicle shall, before the 31st day after the date the dealer
790-12   acquires the vehicle, submit to the department, on the form
790-13   prescribed by the department, a report stating that the vehicle
790-14   will be dismantled, scrapped, or destroyed, accompanied by a
790-15   properly assigned regular certificate of title, salvage motor
790-16   vehicle certificate of title, nonrepairable motor vehicle
790-17   certificate of title, or comparable ownership document issued by
790-18   another state or jurisdiction for the vehicle.
790-19         (d)  On receipt of the report and the certificate of title,
790-20   the department shall issue the salvage vehicle dealer a receipt for
790-21   the certificate of title, salvage motor vehicle certificate of
790-22   title, nonrepairable motor vehicle certificate of title, or
790-23   comparable ownership document issued by another state or
790-24   jurisdiction.
 791-1         Sec. 501.0917.  SALVAGE VEHICLE DEALER TO SUBMIT REPORT TO
 791-2   DEPARTMENT.  A salvage vehicle dealer that acquires an older model
 791-3   vehicle for the purpose of dismantling, scrapping, or destroying
 791-4   the vehicle and that receives a properly assigned certificate of
 791-5   title for the vehicle shall, before the 31st day after the date the
 791-6   dealer acquires the vehicle:
 791-7               (1)  submit to the department, on the form prescribed
 791-8   by the department, a report stating that the vehicle will be
 791-9   dismantled, scrapped, or destroyed, accompanied by the properly
791-10   assigned regular certificate of title, salvage motor vehicle
791-11   certificate of title, nonrepairable motor vehicle certificate of
791-12   title, or comparable ownership document issued by another state or
791-13   jurisdiction for the vehicle; and
791-14               (2)  keep on the business premises of the dealer, until
791-15   the third anniversary of the date the report on the vehicle is
791-16   submitted to the department, a record of the vehicle.
791-17         Sec. 501.0918.  PERSON ACQUIRING LATE MODEL SALVAGE MOTOR
791-18   VEHICLE TO SURRENDER CERTIFICATE OF TITLE.  A person, other than a
791-19   salvage vehicle dealer or an insurance company licensed to do
791-20   business in this state, who acquires ownership of a late model
791-21   salvage motor vehicle or a nonrepairable motor vehicle that has not
791-22   been issued a salvage motor vehicle certificate of title, a
791-23   nonrepairable motor vehicle certificate of title, or a comparable
791-24   ownership document issued by another state or jurisdiction shall,
 792-1   before selling the vehicle, surrender the properly assigned
 792-2   certificate of title for the vehicle to the department and:
 792-3               (1)  if the vehicle is a vehicle described by Section
 792-4   501.0911(6) but not by Section 501.0911(8), apply to the department
 792-5   for a salvage motor vehicle certificate of title for the vehicle;
 792-6   or
 792-7               (2)  if the vehicle is a vehicle described by Section
 792-8   501.0911(8), apply to the department for a nonrepairable motor
 792-9   vehicle certificate of title for the vehicle.
792-10         Sec. 501.0919.  SALE OF CERTAIN LATE MODEL SALVAGE MOTOR
792-11   VEHICLES.  The owner of a late model salvage motor vehicle that has
792-12   been issued a salvage motor vehicle certificate of title or a
792-13   nonrepairable motor vehicle certificate of title may sell the
792-14   vehicle only to a salvage vehicle dealer in this state, an
792-15   out-of-state buyer, a buyer in a casual sale at auction, or a
792-16   person described by Subsection (g), Article 6687-2b, Revised
792-17   Statutes.
792-18         Sec. 501.0920.  APPLICATION FOR SALVAGE MOTOR VEHICLE
792-19   CERTIFICATE OF TITLE.  (a)  An application for a salvage motor
792-20   vehicle certificate of title or a nonrepairable motor vehicle
792-21   certificate of title must:
792-22               (1)  be made on a form prescribed by the department and
792-23   accompanied by a fee established by the department, not to exceed
792-24   an amount that is sufficient, when added to other fees collected
 793-1   under this chapter, to recover the actual costs to the department
 793-2   of issuing the certificate; and
 793-3               (2)  include, in addition to any other information
 793-4   required by the department:
 793-5                     (A)  the name and current address of the owner;
 793-6                     (B)  a description of the vehicle, including the
 793-7   make, style of body, model year, and vehicle identification number;
 793-8                     (C)  a description of the damage to the vehicle;
 793-9                     (D)  the estimated cost of repairs to the
793-10   vehicle, including parts and labor; and
793-11                     (E)  the predamaged actual cash value of the
793-12   vehicle.
793-13         (b)  On receipt of a complete application and the prescribed
793-14   application fee, the department shall, before the sixth business
793-15   day after the date the department receives the application, issue
793-16   the applicant a salvage motor vehicle certificate of title or a
793-17   nonrepairable motor vehicle certificate of title, as appropriate.
793-18         (c)  A nonrepairable motor vehicle certificate of title must
793-19   state on its face that, except as provided by Sections 501.0925 and
793-20   501.0927, the vehicle:
793-21               (1)  may not be issued a regular certificate of title
793-22   or registered in this state; and
793-23               (2)  may only be used for parts or scrap metal.
793-24         Sec. 501.0921.  POSSESSION AND OPERATION OF SALVAGE MOTOR
 794-1   VEHICLE.  (a)  A person who holds a salvage motor vehicle
 794-2   certificate of title is entitled to possess the vehicle, record a
 794-3   lien on the vehicle, transport the vehicle, and transfer ownership
 794-4   of the vehicle.
 794-5         (b)  A vehicle for which a salvage motor vehicle certificate
 794-6   of title is the most current title may not be operated on a public
 794-7   highway.
 794-8         Sec. 501.0922.  APPLICATION FOR REGULAR CERTIFICATE OF TITLE
 794-9   FOR SALVAGE MOTOR VEHICLE.  (a)  A vehicle for which a salvage
794-10   motor vehicle certificate of title has been issued may be issued a
794-11   regular certificate of title only after application and, in
794-12   addition to any other requirement of law, only if the application:
794-13               (1)  describes each major component part used to repair
794-14   the vehicle and shows the identification number required by federal
794-15   law to be affixed to or inscribed on the part; and
794-16               (2)  is accompanied by a written statement signed by a
794-17   specially trained commissioned officer of the Department of Public
794-18   Safety certifying to the department that:
794-19                     (A)  the vehicle identification numbers and parts
794-20   identification numbers are accurate;
794-21                     (B)  the applicant has proof that the applicant
794-22   owns the parts used to repair the vehicle; and
794-23                     (C)  the vehicle may be safely operated and
794-24   complies with all applicable motor vehicle safety standards of this
 795-1   state.
 795-2         (b)  The Department of Public Safety may impose a fee, in an
 795-3   amount not to exceed the lesser of $200 or the actual cost to that
 795-4   department, for conducting an inspection and providing the written
 795-5   statement required by Subsection (a).
 795-6         Sec. 501.0923.  ISSUANCE OF CERTIFICATE OF TITLE FOR REBUILT
 795-7   SALVAGE MOTOR VEHICLE.  (a)  On receipt of a complete application
 795-8   under Section 501.0922, accompanied by the peace officer's
 795-9   statement and the appropriate fee for the certificate of title, the
795-10   department shall issue the applicant a certificate of title for the
795-11   vehicle.
795-12         (b)  A certificate of title issued under this section must:
795-13               (1)  bear on its face the words "REBUILT SALVAGE"; and
795-14               (2)  describe or disclose the vehicle's former
795-15   condition in a manner understandable to a potential purchaser of
795-16   the vehicle.
795-17         Sec. 501.0924.  ISSUANCE OF CERTIFICATE OF TITLE TO CERTAIN
795-18   VEHICLES BROUGHT INTO STATE.  (a)  On proper application by the
795-19   owner of a vehicle brought into this state from another state or
795-20   jurisdiction that has on any certificate of title issued by the
795-21   other state or jurisdiction a "rebuilt," "salvage,"
795-22   "nonrepairable," or analogous notation, the department shall issue
795-23   the applicant a certificate of title or other appropriate document
795-24   for the vehicle.
 796-1         (b)  A certificate of title or other appropriate document
 796-2   issued under this section must show on its face:
 796-3               (1)  the date of issuance;
 796-4               (2)  the name and address of the owner;
 796-5               (3)  any registration number assigned to the vehicle;
 796-6               (4)  a description of the vehicle as determined by the
 796-7   department; and
 796-8               (5)  any notation the department considers necessary or
 796-9   appropriate.
796-10         Sec. 501.0925.  RIGHTS OF HOLDER OF NONREPAIRABLE MOTOR
796-11   VEHICLE CERTIFICATE OF TITLE.  A person who holds a nonrepairable
796-12   motor vehicle certificate of title for a vehicle:
796-13               (1)  is entitled to possess the vehicle, dismantle,
796-14   scrap, or destroy the vehicle, transport the vehicle or parts of
796-15   the vehicle, or rebuild the vehicle;
796-16               (2)  may not operate or permit the operation of the
796-17   vehicle on a public highway; and
796-18               (3)  may transfer ownership of the vehicle only as
796-19   permitted by law.
796-20         Sec. 501.0926.  OFFENSE.  Except as provided by Section
796-21   501.0927, a person commits an offense if the person:
796-22               (1)  applies to the department for a certificate of
796-23   title for a motor vehicle; and
796-24               (2)  knows that the vehicle is a nonrepairable motor
 797-1   vehicle that has been rebuilt.
 797-2         Sec. 501.0927.  APPLICATION FOR CERTIFICATE OF TITLE BY
 797-3   REBUILDER OF NONREPAIRABLE MOTOR VEHICLE.  (a)  A person who
 797-4   rebuilds a nonrepairable vehicle may apply to the department for a
 797-5   certificate of title for the vehicle if, in addition to any other
 797-6   requirement of law, the application:
 797-7               (1)  contains the information required by Section
 797-8   501.0922(a)(1); and
 797-9               (2)  is accompanied by a written statement that
797-10   complies with Section 501.0922(a)(2).
797-11         (b)  The Department of Public Safety may impose a fee, in an
797-12   amount not to exceed the lesser of $200 or the actual cost to that
797-13   department, for conducting an inspection and providing the written
797-14   statement required by Subsection (a).
797-15         (c)  On receipt of a complete application under this section,
797-16   accompanied by the appropriate fee for the certificate of title,
797-17   the department shall issue the applicant a certificate of title for
797-18   the vehicle that conforms to Section 501.0923(b).
797-19         Sec. 501.0928.  DEPARTMENT TO PRINT SALVAGE AND NONREPAIRABLE
797-20   MOTOR VEHICLE CERTIFICATES OF TITLE.  (a)  The department shall
797-21   print salvage motor vehicle certificates of title and nonrepairable
797-22   motor vehicle certificates of title in a color that distinguishes
797-23   them from certificates of title and so that each document clearly
797-24   shows that it is the ownership document for a late model salvage
 798-1   motor vehicle or a nonrepairable motor vehicle.
 798-2         (b)  A nonrepairable motor vehicle certificate of title for a
 798-3   vehicle that is nonrepairable because of damage caused exclusively
 798-4   by flood must bear an appropriate notation on its face.
 798-5         (c)  A salvage motor vehicle certificate of title for a
 798-6   vehicle that is a salvage motor vehicle because of damage caused
 798-7   exclusively by flood must bear an appropriate notation on its face.
 798-8         Sec. 501.0929.  REBUILDER TO POSSESS CERTIFICATE OF TITLE.
 798-9   (a)  A rebuilder must possess a certificate of title, a salvage
798-10   motor vehicle certificate of title, a nonrepairable motor vehicle
798-11   certificate of title, or a comparable ownership document issued by
798-12   another state or jurisdiction for any motor vehicle that is:
798-13               (1)  in the rebuilder's inventory; and
798-14               (2)  being offered for resale.
798-15         (b)  A person who rebuilds a late model salvage motor vehicle
798-16   for which the department has issued a salvage motor vehicle
798-17   certificate of title, or who assembles a late model salvage motor
798-18   vehicle from component parts, may apply to the department for a
798-19   certificate of title for the vehicle.  A certificate of title
798-20   issued by the department under this subsection must bear the words
798-21   "REBUILT SALVAGE."
798-22         Sec. 501.0930.  ENFORCEMENT OF SUBCHAPTER.  (a)  This
798-23   subchapter shall be exclusively enforced by the department or any
798-24   other governmental or law enforcement agency or its personnel,
 799-1   except as provided by this subchapter.
 799-2         (b)  The department, or an agent, officer, or employee of the
 799-3   department, is not liable to a person damaged or injured by an act
 799-4   or omission relating to the issuance of a certificate of title,
 799-5   salvage motor vehicle certificate of title, or nonrepairable motor
 799-6   vehicle certificate of title under this subchapter.
 799-7         Sec. 501.0931.  APPLICABILITY OF SUBCHAPTER.  (a)  This
 799-8   subchapter does not apply to, and does not preclude or prohibit a
 799-9   sale to, purchase by, or other transaction by or with, a person
799-10   described by Subsection (g), Article 6687-2b, Revised Statutes,
799-11   except as provided by Subsections (b) and (c).
799-12         (b)  A person described by Subsection (g), Article 6687-2b,
799-13   Revised Statutes, shall submit to the department the certificate of
799-14   title or equivalent document that the person receives in
799-15   conjunction with the purchase of a motor vehicle not later than the
799-16   60th day after the date the person receives the certificate of
799-17   title or equivalent document.
799-18         (c)  This subchapter applies to a transaction with a person
799-19   described by Subsection (g), Article 6687-2b, Revised Statutes, in
799-20   which a motor vehicle is sold or delivered to the person for the
799-21   purpose of reuse or resale as a motor vehicle or as motor vehicle
799-22   parts if the motor vehicle is so used.
799-23         (d)  This subchapter does not:
799-24               (1)  prohibit the owner of a late model salvage motor
 800-1   vehicle or a nonrepairable motor vehicle from selling the vehicle
 800-2   to any person, if the vehicle is so classified solely because of
 800-3   water damage caused by a flood; or
 800-4               (2)  limit the ability or authority of an insurance
 800-5   company to adjust or settle a claim for loss on a motor vehicle.
 800-6    [SUBCHAPTER E.  JUNKED, REBUILT, AND FLOOD-DAMAGED MOTOR VEHICLES]
 800-7         [Sec. 501.091.  JUNKED MOTOR VEHICLES.  (a)  The person named
 800-8   in a certificate of title as the present owner of a motor vehicle
 800-9   registered in this state shall surrender the certificate of title
800-10   to the department together with the written consent of the holder
800-11   of each unreleased lien noted on the certificate of title if:]
800-12               [(1)  the vehicle is junked, dismantled, or destroyed;]
800-13               [(2)  the vehicle's motor number is changed; or]
800-14               [(3)  the vehicle is changed in a manner such that the
800-15   vehicle:]
800-16                     [(A)  loses its character as a motor vehicle; or]
800-17                     [(B)  is not the vehicle described in the
800-18   certificate of title.]
800-19         [(b)  The department shall cancel in its records a
800-20   certificate of title surrendered under Subsection (a).]
800-21         [(c)  This section does not affect the sale of used parts for
800-22   an automobile when sold as used parts.]
800-23         [Sec. 501.092.  REBUILT OR ASSEMBLED MOTOR VEHICLE.  (a)  A
800-24   person who rebuilds or assembles a motor vehicle must obtain a
 801-1   certificate of title for the vehicle before the person:]
 801-2               [(1)  transfers the vehicle; or]
 801-3               [(2)  operates or permits the operation of the vehicle.]
 801-4         [(b)  To obtain the certificate of title, the person must
 801-5   provide to the department an affidavit stating where, when, how,
 801-6   and from whom the parts used in rebuilding or assembling the
 801-7   vehicle were obtained.]
 801-8         [(c)  The department may issue a certificate of title under
 801-9   this section only if it is satisfied that:]
801-10               [(1)  the affidavit is true; and]
801-11               [(2)  the affiant is the person described in the
801-12   affidavit as its maker.]
801-13         [Sec. 501.093.  FLOOD-DAMAGED MOTOR VEHICLE.  (a)  The owner
801-14   of a motor vehicle that has been rendered a total loss because of
801-15   flood damage to the vehicle must surrender to the department the
801-16   certificate of title or the manufacturer's statement of origin and
801-17   the written consent of the holders of an unreleased lien noted on
801-18   the certificate of title or manufacturer's statement of origin.]
801-19         [(b)  On receipt of the certificate of title, the department
801-20   shall cancel the certificate.]
801-21         [(c)  Before a motor vehicle that has been rendered a total
801-22   loss because of flood damage to the vehicle may be operated in this
801-23   state, the owner of the vehicle must:]
801-24               [(1)  disclose to the department that the vehicle has
 802-1   been rendered a total loss because of flood damage, whether the
 802-2   vehicle was last titled in this state or elsewhere; and]
 802-3               [(2)  obtain a new certificate of title from the
 802-4   department.]
 802-5         [Sec. 501.094.  CERTIFICATE OF TITLE DESIGNATION FOR JUNKED,
 802-6   REBUILT, OR FLOOD-DAMAGED MOTOR VEHICLE.  The department shall make
 802-7   an appropriate designation on the face of a certificate of title:]
 802-8               [(1)  issued under Section 501.092 for a vehicle as to
 802-9   which the certificate of title or other evidence of ownership is
802-10   surrendered to the department under Section 501.091 or Chapter 506,
802-11   Acts of the 57th Legislature, Regular Session, 1961 (Article
802-12   6687-2, Vernon's Texas Civil Statutes); or]
802-13               [(2)  issued under Section 501.093.]
802-14         (b)  Section 501.157, Transportation Code, is amended to
802-15   conform to Section 2, Chapter 394 (H.B. No. 2151), Acts of the 74th
802-16   Legislature, Regular Session, 1995, to read as follows:
802-17         Sec. 501.157.  PENALTIES [PENALTY].  (a)  Unless otherwise
802-18   provided by this chapter, an offense under this chapter is a
802-19   misdemeanor punishable by a fine of not less than $1 or more than
802-20   $100 for the first offense.  If a person is subsequently convicted
802-21   of the same offense, at the jury's discretion, a person may be
802-22   fined not less than $2 or more than $200.
802-23         (b)  A person commits an offense if the person violates
802-24   Subchapter E or a rule adopted under that subchapter.  An offense
 803-1   under this subsection is a Class A misdemeanor.
 803-2         (c)  Chapter 20, Title 132, Revised Statutes, is amended to
 803-3   conform to Sections 1 and 2, Chapter 394 (H.B. No. 2151), Acts of
 803-4   the 74th Legislature, Regular Session, 1995, by adding Articles
 803-5   9026a and 9026b to read as follows:
 803-6         Art. 9026a.  CHARGES FOR TITLE FEES, REGISTRATION FEES, AND
 803-7   PROPERTY TAXES.  (a)  A person required to register under Section
 803-8   152.065, Tax Code, may include in a customer agreement a separate
 803-9   charge for the proportionate amount of title fees, registration
803-10   fees, and property taxes paid in the preceding calendar year on the
803-11   person's vehicle fleet.
803-12         (b)  If a person includes a charge under Subsection (a) of
803-13   this article in a customer agreement, the charge:
803-14               (1)  must be included on a nondiscriminatory basis; and
803-15               (2)  shall be collected in each agreement other than an
803-16   agreement that is exempt from a tax imposed under Section 152.026,
803-17   Tax Code.
803-18         (c)  A person commits an offense if the person violates this
803-19   article.  An offense under this subsection is a Class A
803-20   misdemeanor.
803-21         Art. 9026b.  RETENTION OR USE OF CERTAIN MOTOR VEHICLES
803-22   PROHIBITED.  (a)  An owner to whom Section 152.065, Tax Code,
803-23   applies is prohibited from retaining for use or using a motor
803-24   vehicle that has been issued a certificate of title under Section
 804-1   501.0923, Transportation Code, for a usual commercial purpose of
 804-2   that owner.
 804-3         (b)  A person commits an offense if the person violates
 804-4   Subsection (a) of this article.  An offense under this subsection
 804-5   is a Class A misdemeanor.
 804-6         (c)  In this article, "certificate of title," "owner," and
 804-7   "motor vehicle" have the meanings assigned by Section 501.001,
 804-8   Transportation Code.
 804-9         (d)  Sections 1 and 2, Chapter 394 (H.B. No. 2151), Acts of
804-10   the 74th Legislature, Regular Session, 1995, are repealed.
804-11         SECTION 30.44.  (a)  Section 502.002, Transportation Code, is
804-12   amended to conform to Section 4, Chapter 34 (S.B. No. 178), Acts of
804-13   the 74th Legislature, Regular Session, 1995, by adding Subsection
804-14   (d) to read as follows:
804-15         (d)  A county assessor-collector, a deputy county
804-16   assessor-collector, or a person acting on behalf of a county
804-17   assessor-collector is not liable to any person for:
804-18               (1)  refusing to register a motor vehicle because of
804-19   the person's failure to submit evidence of residency that complies
804-20   with the department's rules; or
804-21               (2)  registering a motor vehicle under this section.
804-22         (b)  Section 502.109, Transportation Code, is amended to
804-23   conform to the repeal of the law from which Subsections (b) and (c)
804-24   of that section were derived by Section 9(7), Chapter 34 (S.B. No.
 805-1   178), Acts of the 74th Legislature, Regular Session, 1995, to read
 805-2   as follows:
 805-3         Sec. 502.109.  COMPENSATION OF ASSESSOR-COLLECTOR.  (a)  A
 805-4   county assessor-collector shall receive a fee of $1.90 for each
 805-5   receipt issued under this chapter.  If the assessor-collector may
 805-6   be compensated by fees, a fee received is compensation for services
 805-7   under this chapter.  The assessor-collector shall deduct the fee
 805-8   weekly from the gross collections made under this chapter.
 805-9         (b)  [A county assessor-collector required by Section 502.154
805-10   to collect a vehicle emissions inspection certificate, another
805-11   verification of compliance, or a waiver from an applicant for
805-12   registration shall collect and retain for the county a fee of 50
805-13   cents for each document collected.]
805-14         [(c)  A county assessor-collector required by Section 502.155
805-15   to require an applicant for registration to provide evidence that
805-16   the applicant is a resident of that county shall collect and retain
805-17   for the county a fee of 25 cents for each registration.]
805-18         [(d)]  A county assessor-collector who is compensated under
805-19   this section shall pay the entire expense of issuing registration
805-20   receipts and license plates under this chapter from the
805-21   compensation allowed under this section.
805-22         (c)  Section 502.154, Transportation Code, is amended to
805-23   conform to the repeal of a portion of the law from which it was
805-24   derived by Sections 9(4) and (5), Chapter 34 (S.B. No. 178), Acts
 806-1   of the 74th Legislature, Regular Session, 1995, to read as follows:
 806-2         Sec. 502.154.  REPORT BY COUNTY ASSESSOR-COLLECTOR [EMISSIONS
 806-3   INSPECTION CERTIFICATE REQUIRED IN CERTAIN COUNTIES].  [(a)  The
 806-4   county assessor-collector of a county that is included in a vehicle
 806-5   emissions inspection and maintenance program under Subchapter F,
 806-6   Chapter 548, may not register a motor vehicle unless the applicant
 806-7   for registration submits:]
 806-8               [(1)  a vehicle emissions inspection certificate for
 806-9   the vehicle issued:]
806-10                     [(A)  by an inspection station located in a
806-11   county included in the vehicle emissions inspection and maintenance
806-12   program; and]
806-13                     [(B)  within the applicable period prescribed by
806-14   Section 382.037(h), Health and Safety Code; or]
806-15               [(2)  other verification of compliance, as provided by
806-16   Section 382.037, Health and Safety Code.]
806-17         [(b)]  A county assessor-collector [described by Subsection
806-18   (a)] shall[:]
806-19               [(1)  collect the original emissions inspection
806-20   certificates, waivers, or other verifications of compliance and
806-21   shall submit them to the Texas Natural Resource Conservation
806-22   Commission on the commission's request; and]
806-23               [(2)]  submit an annual report to the Texas Natural
806-24   Resource Conservation Commission and the department that shows:
 807-1               (1) [(A)]  the number of registrations denied because
 807-2   of the applicant's failure to provide an original emissions
 807-3   inspection certificate or a valid waiver;
 807-4               (2) [(B)]  the number of registrations denied because
 807-5   of the failure to provide proof of residency; and
 807-6               (3) [(C)]  an itemized accounting of the costs to the
 807-7   county of administering Sections 502.002 and 502.006(a), (b), and
 807-8   (c) [this section].
 807-9         [(c)  A county assessor-collector, a deputy county
807-10   assessor-collector, or a person acting on behalf of a county
807-11   assessor-collector is not liable to any person for:]
807-12               [(1)  refusing to register a motor vehicle to which
807-13   this section applies because of the person's failure to submit a
807-14   vehicle emissions inspection certificate, waiver, or other
807-15   verification of compliance; or]
807-16               [(2)  registering a motor vehicle under this section.]
807-17         [(d)  The department may not register a motor vehicle owned
807-18   by a resident of a county that is included in a vehicle emissions
807-19   inspection and maintenance program under Subchapter F, Chapter 548,
807-20   unless the applicant for registration submits a vehicle emissions
807-21   inspection certificate for the vehicle or other verification of
807-22   compliance, as provided by Section 382.037, Health and Safety
807-23   Code.]
807-24         (d)  Section 502.155, Transportation Code, is repealed to
 808-1   conform to the repeal of the law from which it was derived by
 808-2   Sections 4 and 9(4), Chapter 34 (S.B. No. 178), Acts of the 74th
 808-3   Legislature, Regular Session, 1995.
 808-4         (e)  Section 4, Chapter 34 (S.B. No. 178), Acts of the 74th
 808-5   Legislature, Regular Session, 1995, is repealed.
 808-6         SECTION 30.45.  Section 502.003(b), Transportation Code, is
 808-7   amended to conform to the termination of the Interstate Commerce
 808-8   Commission and the creation of the Surface Transportation Board by
 808-9   the Interstate Commerce Commission Termination Act of 1995 (Pub. L.
808-10   No. 104-88) and to the transfer of motor carrier registration
808-11   responsibilities from the Railroad Commission of Texas to the Texas
808-12   Department of Transportation by Chapter 705 (S.B. No. 3), Acts of
808-13   the 74th Legislature, Regular Session, 1995, to read as follows:
808-14         (b)  This section does not affect the authority of a
808-15   municipality to:
808-16               (1)  license and regulate the use of motor vehicles for
808-17   compensation within the municipal limits; and
808-18               (2)  impose a permit fee or street rental charge for
808-19   the operation of each motor vehicle used to transport passengers
808-20   for compensation, other than a motor vehicle operating under a
808-21   registration [permit or] certificate from the department [Railroad
808-22   Commission of Texas] or  a permit from the federal Surface
808-23   Transportation Board [the Interstate Commerce Commission].
808-24         SECTION 30.46.  (a)  Section 502.008, Transportation Code, is
 809-1   amended to conform to Section 8.06, Chapter 655 (H.B. No. 1863),
 809-2   Acts of the 74th Legislature, Regular Session, 1995, by amending
 809-3   Subsection (b) and adding Subsection (c) to read as follows:
 809-4         (b)  This section does not apply to the release of
 809-5   information to:
 809-6               (1)  a peace officer, as defined in Article 2.12, Code
 809-7   of Criminal Procedure, acting in an official capacity; or
 809-8               (2)  an official of this state or a political
 809-9   subdivision of this state if the official is requesting the
809-10   information for:
809-11                     (A)  tax purposes; or
809-12                     (B)  the purpose of determining eligibility for a
809-13   state public assistance program.
809-14         (c)  The department shall provide a dedicated line to its
809-15   vehicle registration record database for use by other state
809-16   agencies.  The access to or transmission of information under this
809-17   subsection does not affect whether the information is subject to
809-18   disclosure under Chapter 552, Government Code.
809-19         (b)  Section 8.06, Chapter 655 (H.B. No. 1863), Acts of the
809-20   74th Legislature, Regular Session, 1995, is repealed.
809-21         SECTION 30.47.  (a)  Section 502.108(f), Transportation Code,
809-22   is repealed to conform to the repeal of the law from which it was
809-23   derived by Section 2, Chapter 568 (S.B. No.  437), Acts of the 74th
809-24   Legislature, Regular Session, 1995.
 810-1         (b)  Section 2, Chapter 568 (S.B. No. 437), Acts of the 74th
 810-2   Legislature, Regular Session, 1995, is repealed.
 810-3         SECTION 30.48.  Section 502.173(g), Transportation Code, is
 810-4   amended to conform to Section 10.01, Chapter 76 (S.B. No. 959),
 810-5   Acts of the 74th Legislature, Regular Session, 1995, to read as
 810-6   follows:
 810-7         (g)  A municipality with a population greater than 850,000
 810-8   shall deposit revenue from a fee imposed under this subsection to
 810-9   the credit of the child safety trust fund created under Section
810-10   106.001, Local Government Code [Article 6701d-26, Revised
810-11   Statutes].  A municipality with a population less than 850,000
810-12   shall use revenue from a fee imposed under this section in
810-13   accordance with Subsection (f), Article 102.014, Code of Criminal
810-14   Procedure.
810-15         SECTION 30.49.  (a)  Section 502.180, Transportation Code, is
810-16   amended to conform to Section 1, Chapter 204 (H.B. No.  1542), Acts
810-17   of the 74th Legislature, Regular Session, 1995, by amending
810-18   Subsection (d) and adding Subsection (h) to read as follows:
810-19         (d)  Except as provided by Subsection (h), the [The]
810-20   registration insignia for validation of a license plate shall be
810-21   attached to the inside of the vehicle's windshield, if the vehicle
810-22   has a windshield, within six inches of [directly above] the place
810-23   where the motor vehicle inspection sticker is required to be
810-24   placed.  If the vehicle does not have a windshield, the owner, when
 811-1   applying for registration or renewal of registration, shall notify
 811-2   the department, and the department shall issue a distinctive device
 811-3   for attachment to the rear license plate of the vehicle.
 811-4         (h)  The registration insignia for validation of a license
 811-5   plate shall be attached to the rear license plate of the vehicle,
 811-6   if the vehicle is:
 811-7               (1)  a motorcycle;
 811-8               (2)  machinery used exclusively to drill water wells or
 811-9   construction machinery for which a distinguishing license plate has
811-10   been issued under Section 502.276; or
811-11               (3)  oil well servicing, oil clean out, or oil well
811-12   drilling machinery or equipment for which a distinguishing license
811-13   plate has been issued under Subchapter G, Chapter 623.
811-14         (b)  The heading to Section 502.184, Transportation Code, is
811-15   amended to conform to Section 2, Chapter 204 (H.B. No. 1542), Acts
811-16   of the 74th Legislature, Regular Session, 1995, to read as follows:
811-17         Sec. 502.184.  REPLACEMENT OF LOST, STOLEN, OR MUTILATED
811-18   LICENSE PLATE OR REGISTRATION INSIGNIA.
811-19         (c)  Section 502.184, Transportation Code, is amended to
811-20   conform to Section 2, Chapter 204 (H.B. No. 1542), Acts of the 74th
811-21   Legislature, Regular Session, 1995, by amending Subsections (a),
811-22   (e), and (f) and adding Subsection (i) to read as follows:
811-23         (a)  The owner of a registered motor vehicle may obtain from
811-24   the department through the county assessor-collector replacement
 812-1   license plates or a replacement registration insignia by:
 812-2               (1)  filing with the assessor-collector a statement:
 812-3                     (A)  showing that one or both of the license
 812-4   plates or the registration insignia to be replaced has [have] been
 812-5   lost, stolen, or mutilated; and
 812-6                     (B)  stating that no license plate or
 812-7   registration insignia to be replaced will be used on any vehicle
 812-8   owned or operated by the person making the statement;
 812-9               (2)  paying a fee of $5 plus the fee required by
812-10   Section 502.170(a) for each set of replacement license plates or
812-11   each replacement registration insignia, except as provided by
812-12   Subsection (b), [or] (c), or (i); and
812-13               (3)  returning to the assessor-collector each replaced
812-14   plate or registration insignia in the owner's possession.
812-15         (e)  A county assessor-collector may not issue replacement
812-16   license plates or a replacement registration insignia without
812-17   complying with this section.
812-18         (f)  A county assessor-collector shall retain $2.50
812-19   [one-half] of each [a] fee collected under this section and shall
812-20   report and send the remainder to the department as provided by
812-21   Sections 502.102 and 502.105.
812-22         (i)  The owner of a vehicle listed in Section 502.180(h) may
812-23   obtain replacement plates and a replacement registration insignia
812-24   by paying a fee of $5 plus the fee required by Section 502.170(a).
 813-1         (d)  Sections 1 and 2, Chapter 204 (H.B. No. 1542), Acts of
 813-2   the 74th Legislature, Regular Session, 1995, are repealed.
 813-3         SECTION 30.50.  (a)  Subchapter E, Chapter 502,
 813-4   Transportation Code, is amended to conform to Section 1, Chapter
 813-5   453 (H.B. No. 2053), Acts of the 74th Legislature, Regular Session,
 813-6   1995, by adding Section 502.2015 to read as follows:
 813-7         Sec. 502.2015.  LIMITATION ON ISSUANCE OF EXEMPT LICENSE
 813-8   PLATES; SEIZURE OF CERTAIN VEHICLES.  (a)  The department may not
 813-9   issue exempt license plates for a vehicle owned by the United
813-10   States, this state, or a political subdivision of this state
813-11   unless, when application is made for registration of the vehicle,
813-12   the person who under Section 502.202 has authority to certify to
813-13   the department that the vehicle qualifies for registration under
813-14   that section also certifies in writing to the department that there
813-15   is printed on each side of the vehicle, in letters that are at
813-16   least two inches high and of a color sufficiently different from
813-17   the body of the vehicle to be clearly legible from a distance of
813-18   100 feet, the name of the agency, department, bureau, board,
813-19   commission, or officer of the United States, this state, or
813-20   political subdivision of this state that has custody of the
813-21   vehicle.
813-22         (b)  The department may not issue exempt license plates for a
813-23   vehicle owned by a person other than the United States, this state,
813-24   or a political subdivision of this state unless, when application
 814-1   is made for registration of the vehicle, the person who under
 814-2   Section 502.202 has authority to certify to the department that the
 814-3   vehicle qualifies for registration under that section also
 814-4   certifies in writing to the department that the name of the owner
 814-5   of the vehicle is printed on the vehicle in the manner prescribed
 814-6   by Subsection (a).
 814-7         (c)  A peace officer listed in Article 2.12, Code of Criminal
 814-8   Procedure, may seize a motor vehicle displaying exempt license
 814-9   plates if the vehicle is:
814-10               (1)  operated on a public highway; and
814-11               (2)  not identified in the manner prescribed by
814-12   Subsection (a) or (b).
814-13         (d)  A peace officer who seizes a motor vehicle under
814-14   Subsection (c) may require that the vehicle be:
814-15               (1)  moved to the nearest place of safety off the
814-16   main-traveled part of the highway; or
814-17               (2)  removed and placed in the nearest vehicle storage
814-18   facility designated or maintained by the law enforcement agency
814-19   that employs the peace officer.
814-20         (e)  To obtain the release of the vehicle, in addition to any
814-21   other requirement of law, the owner of a vehicle seized under
814-22   Subsection (c) must:
814-23               (1)  remedy the defect by identifying the vehicle as
814-24   required by Subsection (a) or (b); or
 815-1               (2)  agree in writing with the law enforcement agency
 815-2   to provide evidence to that agency, before the 10th day after the
 815-3   date the vehicle is released, that the defect has been remedied by
 815-4   identifying the vehicle as required by Subsection (a) or (b).
 815-5         (f)  Subsections (a) and (b) do not apply to a law
 815-6   enforcement vehicle to which Section 502.206 applies.
 815-7         (g)  For purposes of this section, an exempt license plate is
 815-8   a license plate issued by the department that is plainly marked
 815-9   with the word "Exempt."
815-10         (b)  Section 1, Chapter 453 (H.B. No. 2053), Acts of the 74th
815-11   Legislature, Regular Session, 1995, is repealed.
815-12         SECTION 30.51.  (a)  Section 502.252, Transportation Code, is
815-13   amended to conform to Section 1, Chapter 325 (S.B. No. 209),
815-14   Section 1, Chapter 558 (S.B. No. 123), and Section 1, Chapter 164
815-15   (S.B. No. 832), Acts of the 74th Legislature, Regular Session,
815-16   1995, to read as follows:
815-17         Sec. 502.252.  CERTAIN SPECIALIZED PLATES AVAILABLE
815-18   PERSONALIZED.  A person applying for license plates under Section
815-19   502.2555, 502.258, 502.259, 502.260, 502.261, 502.262, 502.263,
815-20   502.264, 502.265, 502.269, 502.270, 502.271, 502.272, 502.273, [or]
815-21   502.274, 502.289, or 502.291 may:
815-22               (1)  have a license plate number assigned by the
815-23   department; or
815-24               (2)  apply for personalized prestige license plates
 816-1   under Section 502.251.
 816-2         (b)  Subchapter F, Chapter 502, Transportation Code, is
 816-3   amended to conform to Section 1, Chapter 325 (S.B. No. 209), Acts
 816-4   of the 74th Legislature, Regular Session, 1995, by adding Section
 816-5   502.289 to read as follows:
 816-6         Sec. 502.289.  PEACE OFFICERS WOUNDED OR KILLED IN LINE OF
 816-7   DUTY.  (a)  The department shall issue specially designed licensed
 816-8   plates for a vehicle owned by:
 816-9               (1)  a person wounded in the line of duty as a peace
816-10   officer; or
816-11               (2)  a surviving spouse, parent, or adult child of a
816-12   person killed in the line of duty as a peace officer.
816-13         (b)  License plates issued under this section must include
816-14   the words "To Protect and Serve" above an insignia depicting a
816-15   yellow rose superimposed over the outline of a badge.
816-16         (c)  The department shall issue license plates under this
816-17   section to a person who:
816-18               (1)  applies to the department on a form prescribed by
816-19   the department;
816-20               (2)  pays an annual fee of $20, in addition to the fee
816-21   prescribed by Section 502.160 or 502.161, and, if personalized
816-22   prestige license plates are issued, in addition to the fee
816-23   prescribed by Section 502.251; and
816-24               (3)  submits proof acceptable to the department that
 817-1   the person is eligible under this section.
 817-2         (d)  If the owner of a vehicle registered under this section
 817-3   disposes of the vehicle during the registration year, the owner
 817-4   shall return the special license plates to the department.
 817-5         (e)  The department shall deposit each fee collected under
 817-6   this section to the credit of the state highway fund.
 817-7         (f)  In this section, "peace officer" has the meaning
 817-8   assigned by Section 1.07, Penal Code.
 817-9         (c)  Section 1, Chapter 325 (S.B. No. 209), Acts of the 74th
817-10   Legislature, Regular Session, 1995, is repealed.
817-11         SECTION 30.52.  Sections 502.253(b) and (e), Transportation
817-12   Code, are amended to conform to Section 1, Chapter 929 (H.B. No.
817-13   2083), Acts of the 74th Legislature, Regular Session, 1995, to read
817-14   as follows:
817-15         (b)  In this section:
817-16               (1)  "Disability" and "mobility problem that
817-17   substantially impairs a person's ability to ambulate" have the
817-18   meanings assigned by Section 681.001.
817-19               (2)  "Legally blind" means a condition described by
817-20   Section 681.001(2)(B) or (C) [A person has a disability if the
817-21   person has:]
817-22               [(1)  mobility problems that substantially impair the
817-23   person's ability to ambulate;]
817-24               [(2)  visual acuity of 20/200 or less in the better eye
 818-1   with correcting lenses; or]
 818-2               [(3)  visual acuity of more than 20/200 but with a
 818-3   limited field of vision in which the widest diameter of the visual
 818-4   field subtends an angle of 20 degrees or less].
 818-5         (e)  The first application for registration must be
 818-6   accompanied by a written statement of a physician licensed to
 818-7   practice medicine in this state certifying to the department
 818-8   [acceptable medical proof] that the person making the application
 818-9   or on whose behalf the application is made is legally blind or has
818-10   a mobility problem that substantially impairs the person's ability
818-11   to ambulate.  The statement must include a certification of whether
818-12   a mobility problem, if applicable, is temporary or permanent
818-13   [operator or regularly transported passenger has a permanent
818-14   disability].  A written statement from a physician is not required
818-15   as acceptable medical proof if:
818-16               (1)  the person with a disability:
818-17                     (A)  has had a limb, hand, or foot amputated; or
818-18                     (B)  must use a wheelchair; and
818-19               (2)  the applicant and the county assessor-collector
818-20   issuing the special license plates execute an affidavit attesting
818-21   to the person's disability.
818-22         SECTION 30.53.  (a)  Subchapter F, Chapter 502,
818-23   Transportation Code, is amended to conform to Section 1, Chapter
818-24   558 (S.B. No. 123), Acts of the 74th Legislature, Regular Session,
 819-1   1995, by adding Section 502.2555 to read as follows:
 819-2         Sec. 502.2555.  AIR FORCE CROSS OR DISTINGUISHED SERVICE
 819-3   CROSS, ARMY DISTINGUISHED SERVICE CROSS, NAVY CROSS, OR MEDAL OF
 819-4   HONOR RECIPIENTS.  (a)  The department shall issue specially
 819-5   designed license plates for passenger cars and light trucks owned
 819-6   by recipients of the Air Force Cross or Distinguished Service
 819-7   Cross, the Army Distinguished Service Cross, the Navy Cross, or the
 819-8   Medal of Honor.
 819-9         (b)  License plates issued under this section must include
819-10   the words "Legion of Valor."
819-11         (c)  The department shall issue license plates under this
819-12   section to a person who:
819-13               (1)  applies to the department on a form prescribed by
819-14   the department;
819-15               (2)  pays an annual fee of $3;
819-16               (3)  submits proof that the person has been awarded the
819-17   Air Force Cross or Distinguished Service Cross, the Army
819-18   Distinguished Service Cross, the Navy Cross, or the Medal of Honor;
819-19   and
819-20               (4)  submits proof that the person is:
819-21                     (A)  an honorably discharged veteran of the
819-22   United States armed forces; or
819-23                     (B)  a member of the United States armed forces
819-24   on active duty.
 820-1         (d)  The department shall send 50 cents of each fee collected
 820-2   under this section to the county treasury of the county in which
 820-3   the applicant resides.  The county treasurer shall credit money
 820-4   received under this section to the general fund of the county to
 820-5   pay the costs of administering this section.
 820-6         (e)  A vehicle for which license plates are issued under this
 820-7   section is exempt from the fee under Section 502.161.
 820-8         (f)  A person may be issued only one set of license plates
 820-9   under this section.
820-10         (g)  If the owner of a vehicle registered under this section
820-11   disposes of the vehicle during the registration year, the owner
820-12   shall return the special license plates to the department.  The
820-13   owner may then apply for issuance of those plates to another
820-14   vehicle.
820-15         (b)  Section 1, Chapter 558 (S.B. No. 123), Acts of the 74th
820-16   Legislature, Regular Session, 1995, is repealed.
820-17         SECTION 30.54.  (a)  The heading to Section 502.258,
820-18   Transportation Code, is amended to conform to Section 1, Chapter
820-19   179 (H.B. No. 247), Acts of the 74th Legislature, Regular Session,
820-20   1995, to read as follows:
820-21         Sec. 502.258.  [ACTIVE OR RETIRED] MEMBERS OR FORMER MEMBERS
820-22   OF UNITED STATES ARMED FORCES.
820-23         (b)  Sections 502.258(a), (c), and (e), Transportation Code,
820-24   are amended to conform to Sections 1 and 2, Chapter 179 (H.B. No.
 821-1   247), Acts of the 74th Legislature, Regular Session, 1995, to read
 821-2   as follows:
 821-3         (a)  The department shall issue specially designed license
 821-4   plates for passenger cars and light trucks owned by active, [or]
 821-5   retired, or honorably discharged members of the United States armed
 821-6   forces.
 821-7         (c)  The department shall issue license plates under this
 821-8   section to a person who:
 821-9               (1)  applies to the department on a form prescribed by
821-10   the department;
821-11               (2)  pays the [an] annual fee prescribed by Subsection
821-12   (e) [of $10], in addition to the fee prescribed by Section 502.161,
821-13   and, if personalized prestige license plates are issued, in
821-14   addition to the fee prescribed by Section 502.251; and
821-15               (3)  submits proof that the person is eligible under
821-16   this section.
821-17         (e)  The annual fee for issuance of license plates under this
821-18   section is:
821-19               (1)  $10 for the first set of license plates; and
821-20               (2)  $15 for each additional set of license plates [A
821-21   person may be issued only one set of license plates under this
821-22   section].
821-23         (c)  Sections 502.259(c), (e), (f), and (g), Transportation
821-24   Code, are amended to conform to Section 2, Chapter 179 (H.B. No.
 822-1   247), Acts of the 74th Legislature, Regular Session, 1995, to read
 822-2   as follows:
 822-3         (c)  The department shall issue license plates under this
 822-4   section to a person who:
 822-5               (1)  applies to the department on a form prescribed by
 822-6   the department;
 822-7               (2)  pays an annual fee of:
 822-8                     (A)  $3 for the first set of license plates
 822-9   issued under this section; and
822-10                     (B)  $15 for each additional set of license
822-11   plates issued under this section; and
822-12               (3)  submits proof that the person:
822-13                     (A)  served in the United States armed forces;
822-14                     (B)  was stationed in the Hawaiian Islands on
822-15   December 7, 1941; and
822-16                     (C)  survived the attack on Pearl Harbor on
822-17   December 7, 1941.
822-18         (e)  A person who registers one or more vehicles under this
822-19   section is entitled to only one exemption [vehicle for which
822-20   license plates are issued under this section is exempt] from the
822-21   fee under Section 502.161.
822-22         (f)  [A person may be issued only one set of license plates
822-23   under this section.]
822-24         [(g)]  If the owner of a vehicle registered under this
 823-1   section disposes of the vehicle during the registration year, the
 823-2   owner shall return the special license plates to the department.
 823-3   The owner may then apply for issuance of those plates to another
 823-4   vehicle.
 823-5         (d)  Sections 502.260(c), (e), (f), and (g), Transportation
 823-6   Code, are amended to conform to Section 2, Chapter 179 (H.B. No.
 823-7   247), Acts of the 74th Legislature, Regular Session, 1995, to read
 823-8   as follows:
 823-9         (c)  The department shall issue license plates under this
823-10   section to a person who:
823-11               (1)  applies to the department on a form prescribed by
823-12   the department;
823-13               (2)  pays an annual fee of:
823-14                     (A)  $3 for the first set of license plates
823-15   issued under this section; and
823-16                     (B)  $15 for each additional set of license
823-17   plates issued under this section; and
823-18               (3)  submits proof that the person has been awarded the
823-19   Purple Heart and is:
823-20                     (A)  an honorably discharged veteran of the
823-21   United States armed forces; or
823-22                     (B)  a member of the United States armed forces
823-23   on active duty.
823-24         (e)  A person who registers one or more vehicles under this
 824-1   section is entitled to only one exemption [vehicle for which
 824-2   license plates are issued under this section is exempt] from the
 824-3   fee under Section 502.161.
 824-4         (f)  [A person may be issued only one set of license plates
 824-5   under this section.]
 824-6         [(g)]  If the owner of a vehicle registered under this
 824-7   section disposes of the vehicle during the registration year, the
 824-8   owner shall return the special license plates to the department.
 824-9   The owner may then apply for issuance of those plates to another
824-10   vehicle.
824-11         (e)  Sections 502.261(c) and (e), Transportation Code, are
824-12   amended to conform to Section 2, Chapter 179 (H.B. No. 247), Acts
824-13   of the 74th Legislature, Regular Session, 1995, to read as follows:
824-14         (c)  The department shall issue license plates under this
824-15   section to a person who:
824-16               (1)  applies to the department on a form prescribed by
824-17   the department;
824-18               (2)  pays the [an] annual fee prescribed by Subsection
824-19   (e) [of $10], in addition to the fee prescribed by Section 502.161,
824-20   and, if personalized prestige license plates are issued, in
824-21   addition to the fee prescribed by Section 502.251; and
824-22               (3)  submits proof that the person is eligible under
824-23   this section.
824-24         (e)  The annual fee for issuance of license plates under this
 825-1   section is:
 825-2               (1)  $10 for the first set of license plates; and
 825-3               (2)  $15 for each additional set of license plates [A
 825-4   person may be issued only one set of Civil Air Patrol license
 825-5   plates or Coast Guard Auxiliary license plates].
 825-6         (f)  Sections 502.262(c) and (e), Transportation Code, are
 825-7   amended to conform to Section 2, Chapter 179 (H.B. No. 247), Acts
 825-8   of the 74th Legislature, Regular Session, 1995, to read as follows:
 825-9         (c)  The department shall issue license plates under this
825-10   section to a person who:
825-11               (1)  applies to the department on a form prescribed by
825-12   the department;
825-13               (2)  pays the [an] annual fee prescribed by Subsection
825-14   (e) [of $10], in addition to the fee prescribed by Section 502.161,
825-15   and, if personalized prestige license plates are issued, in
825-16   addition to the fee prescribed by Section 502.251; and
825-17               (3)  submits proof that the person:
825-18                     (A)  served in the United States armed forces
825-19   after December 6, 1941, and before January 1, 1947; and
825-20                     (B)  is an honorably discharged veteran of the
825-21   United States armed forces.
825-22         (e)  The annual fee for issuance of license plates under this
825-23   section is:
825-24               (1)  $10 for the first set of license plates; and
 826-1               (2)  $15 for each additional set of license plates [A
 826-2   person may be issued only one set of license plates under this
 826-3   section].
 826-4         (g)  Sections 502.263(c) and (e), Transportation Code, are
 826-5   amended to conform to Section 2, Chapter 179 (H.B. No. 247), Acts
 826-6   of the 74th Legislature, Regular Session, 1995, to read as follows:
 826-7         (c)  The department shall issue license plates under this
 826-8   section to a person who:
 826-9               (1)  applies to the department on a form prescribed by
826-10   the department;
826-11               (2)  pays the [an] annual fee prescribed by Subsection
826-12   (e) [of $10], in addition to the fee prescribed by Section 502.161,
826-13   and, if personalized prestige license plates are issued, in
826-14   addition to the fee prescribed by Section 502.251; and
826-15               (3)  submits proof that the person:
826-16                     (A)  served in the United States armed forces
826-17   after June 26, 1950, and before February 1, 1955; and
826-18                     (B)  is an honorably discharged veteran of the
826-19   United States armed forces.
826-20         (e)  The annual fee for issuance of license plates under this
826-21   section is:
826-22               (1)  $10 for the first set of license plates; and
826-23               (2)  $15 for each additional set of license plates [A
826-24   person may be issued only one set of license plates under this
 827-1   section].
 827-2         (h)  Sections 502.264(c) and (e), Transportation Code, are
 827-3   amended to conform to Section 2, Chapter 179 (H.B. No. 247), Acts
 827-4   of the 74th Legislature, Regular Session, 1995, to read as follows:
 827-5         (c)  The department shall issue license plates under this
 827-6   section to a person who:
 827-7               (1)  applies to the department on a form prescribed by
 827-8   the department;
 827-9               (2)  pays the [an] annual fee prescribed by Subsection
827-10   (e) [of $10], in addition to the fee prescribed by Section 502.161,
827-11   and, if personalized prestige license plates are issued, in
827-12   addition to the fee prescribed by Section 502.251; and
827-13               (3)  submits proof that the person served in the United
827-14   States armed forces after August 4, 1964, and before May 8, 1975,
827-15   and is:
827-16                     (A)  an honorably discharged veteran of the
827-17   United States armed forces; or
827-18                     (B)  a member of the United States armed forces
827-19   on active duty.
827-20         (e)  The annual fee for issuance of license plates under this
827-21   section is:
827-22               (1)  $10 for the first set of license plates; and
827-23               (2)  $15 for each additional set of license plates [A
827-24   person may be issued only one set of license plates under this
 828-1   section].
 828-2         (i)  Sections 502.265(c) and (e), Transportation Code, are
 828-3   amended to conform to Section 2, Chapter 179 (H.B. No. 247), Acts
 828-4   of the 74th Legislature, Regular Session, 1995, to read as follows:
 828-5         (c)  The department shall issue license plates under this
 828-6   section to a person who:
 828-7               (1)  applies to the department on a form prescribed by
 828-8   the department;
 828-9               (2)  pays the [an] annual fee prescribed by Subsection
828-10   (e) [of $10], in addition to the fee prescribed by Section 502.161,
828-11   and, if personalized prestige license plates are issued, in
828-12   addition to the fee prescribed by Section 502.251; and
828-13               (3)  submits proof that the person:
828-14                     (A)  served in the United States armed forces and
828-15   was deployed to the Middle East, where the person participated in
828-16   Operation Desert Shield or Desert Storm; and
828-17                     (B)  is:
828-18                           (i)  an honorably discharged veteran of the
828-19   United States armed forces or reserve component of the United
828-20   States armed forces; or
828-21                           (ii)  a member of the United States armed
828-22   forces, the Texas National Guard, or a reserve component of the
828-23   United States armed forces.
828-24         (e)  The annual fee for issuance of license plates under this
 829-1   section is:
 829-2               (1)  $10 for the first set of license plates; and
 829-3               (2)  $15 for each additional set of license plates [A
 829-4   person may be issued only one set of license plates under this
 829-5   section].
 829-6         (j)  Section 502.266, Transportation Code, is amended to
 829-7   conform to Sections 1 and 2, Chapter 179 (H.B. No. 247), Acts of
 829-8   the 74th Legislature, Regular Session, 1995, to read as follows:
 829-9         Sec. 502.266.  SURVIVING SPOUSES OF CERTAIN MILITARY
829-10   VETERANS.  (a)  The surviving spouse of a person who was issued
829-11   license plates under Section 502.254 is entitled to continue to
829-12   register one motor vehicle under that section as long as the spouse
829-13   remains unmarried.
829-14         (b)  The surviving spouse of a person who would be eligible
829-15   for license plates under Section 502.257[, 502.259, or 502.260] is
829-16   entitled to register one motor vehicle under that section as long
829-17   as the spouse remains unmarried.
829-18         (c)  The surviving spouse of a person who was killed in
829-19   action while serving in the United States armed forces is entitled
829-20   to register one or more motor vehicles [vehicle] under Section
829-21   502.258 as long as the spouse remains unmarried.
829-22         (d)  The surviving spouse of a person who would be eligible
829-23   for license plates under Section 502.259 or 502.260 is eligible to
829-24   register one or more motor vehicles under that section as long as
 830-1   the spouse remains unmarried.
 830-2         (e)  The surviving spouse of a person who would be eligible
 830-3   for license plates under Section 502.264 is eligible to register
 830-4   one or more motor vehicles under that section.
 830-5         (f)  An applicant for registration under this section must
 830-6   submit proof of the eligibility of the applicant's deceased spouse
 830-7   for registration under Section 502.254, 502.257, 502.258, 502.259,
 830-8   [or] 502.260, or 502.264, as applicable.
 830-9         (g) [(e)]  The county assessor-collector shall require an
830-10   applicant for registration under this section to make a statement
830-11   that the spouse is unmarried.  The statement must be sworn if the
830-12   spouse renews a registration under Section 502.257, 502.259, or
830-13   502.260.
830-14         (k)  Sections 1 and 2, Chapter 179 (H.B. No. 247), Acts of
830-15   the 74th Legislature, Regular Session, 1995, are repealed.
830-16         SECTION 30.55.  Section 502.270, Transportation Code, is
830-17   amended to conform to Section 1(11), Chapter 1058 (H.B. No. 3050),
830-18   Acts of the 74th Legislature, Regular Session, 1995, by amending
830-19   Subsections (d) and (e) and adding Subsections (f)-(h) to read as
830-20   follows:
830-21         (d)  The department shall send [deposit] $25 of each fee
830-22   collected under this section to the comptroller for deposit in the
830-23   general revenue fund.  If the fee is for the issuance of license
830-24   plates described by Subsection (a)(1), the money shall be deposited
 831-1   to the credit of the institution of higher education designated on
 831-2   the license plates.  If the fee is for the issuance of license
 831-3   plates described by Subsection (a)(2), the money shall be deposited
 831-4   to the credit of the Texas Higher Education Coordinating Board.
 831-5         (e)  Money deposited under Subsection (d) may be used only
 831-6   for scholarships to students who demonstrate a need for financial
 831-7   assistance under Texas Higher Education Coordinating Board rule.
 831-8         (f)  Money deposited for the issuance of license plates
 831-9   described by Subsection (a)(1) is supplementary and is not income
831-10   for purposes of reducing general revenue appropriations to the
831-11   institution of higher education designated on the license plates.
831-12         (g)  Money deposited for the issuance of license plates
831-13   described by Subsection (a)(2):
831-14               (1)  shall be allocated to students at the college or
831-15   university designated on the plates; and
831-16               (2)  is in addition to other money that the board may
831-17   allocate to that college or university.
831-18         (h) [(e)]  If the owner of a vehicle registered under this
831-19   section disposes of the vehicle during the registration year, the
831-20   owner shall return the special license plates to the department.
831-21         SECTION 30.56.  (a)  Section 502.275, Transportation Code, is
831-22   amended to conform to Section 1, Chapter 443 (H.B. No. 1225), Acts
831-23   of the 74th Legislature, Regular Session, 1995, to read as follows:
831-24         Sec. 502.275.  CERTAIN EXHIBITION [ANTIQUE] VEHICLES;
 832-1   OFFENSE.  (a)  The department shall issue specially designed
 832-2   license plates for a passenger car, truck, or motorcycle that:
 832-3               (1)  is at least 25 years old;
 832-4               (2)  is a collector's item;
 832-5               (3)  is used exclusively for exhibitions, club
 832-6   activities, parades, and other functions of public interest, and is
 832-7   not used for regular transportation; and
 832-8               (4)  does not carry advertising.
 832-9         (b)  Special license plates issued under Subsection (a) [this
832-10   section] must include the words "Antique Auto," "Antique Truck," or
832-11   "Antique Motorcycle," as appropriate.
832-12         (c)  In lieu of issuing plates under Subsection (a), the
832-13   department may approve for use license plates presented by the
832-14   owner that were issued by this state in the same year as the model
832-15   year of a vehicle described by Subsection (a).  If the department
832-16   approves license plates under this subsection [section], the
832-17   department shall issue a symbol for attachment to one of the
832-18   license plates, as determined by the department, showing the year
832-19   in which the vehicle was registered under this section.
832-20         (d)  License plates issued under Subsection (a) or approved
832-21   under Subsection (c) [this section] are valid for a maximum period
832-22   of five years.
832-23         (e)  The department shall issue license plates under
832-24   Subsection (a) or approve license plates under Subsection (c) [this
 833-1   section] and shall issue a registration receipt to a person who:
 833-2               (1)  files a sworn written application with the county
 833-3   assessor-collector of the county in which the person resides that:
 833-4                     (A)  is on a form provided by the department;
 833-5                     (B)  if the vehicle is a passenger car, truck, or
 833-6   motorcycle, contains the make, body style, motor number, age of the
 833-7   vehicle, and any other information required by the department; and
 833-8                     (C)  states that the vehicle and the use of the
 833-9   vehicle comply with Subsection (a); and
833-10               (2)  pays a fee of:
833-11                     (A)  $10 for each year or portion of a year
833-12   remaining in the five-year registration period, if the vehicle was
833-13   manufactured in 1921 or a later year; or
833-14                     (B)  $8 for each year or portion of a year
833-15   remaining in the five-year registration period, if the vehicle was
833-16   manufactured before 1921.
833-17         (f)  The department shall issue a registration receipt to a
833-18   person who:
833-19               (1)  files a sworn written application for registration
833-20   of a former military vehicle with the county assessor-collector of
833-21   the county in which the person resides that:
833-22                     (A)  is on a form provided by the department;
833-23                     (B)  contains the information required by the
833-24   department, including:
 834-1                           (i)  the vehicle's year of manufacture; and
 834-2                           (ii)  a description of the vehicle as
 834-3   required by the department; and
 834-4                     (C)  states that the vehicle and the use of the
 834-5   vehicle comply with Subsections (a)(2)-(4); and
 834-6               (2)  pays the fee required by Subsection (e)(2).
 834-7         (g)  A vehicle registered under this section is exempt from
 834-8   the registration fee otherwise prescribed by this chapter.
 834-9         (h) [(g)]  Registration under this section is valid without
834-10   renewal for the period for which the vehicle was registered if the
834-11   vehicle is owned by the same person.
834-12         (i) [(h)]  A county assessor-collector may not renew the
834-13   registration of a vehicle under this section until the registered
834-14   owner surrenders to the assessor-collector any [the] license plates
834-15   or symbol and the registration receipt issued for the vehicle for
834-16   the previous period.
834-17         (j) [(i)]  If a vehicle registered under this section is
834-18   transferred to another owner or is junked, is destroyed, or
834-19   otherwise ceases to exist, the registration receipt and any license
834-20   plates or symbol are immediately void and the license plates or
834-21   symbol issued under this section shall be sent immediately to the
834-22   department.
834-23         (k)  A former military vehicle operated on a public highway
834-24   is not required to display license plates or registration insignia
 835-1   if:
 835-2               (1)  proof of current registration for the vehicle, in
 835-3   the form prescribed by the department, is carried in the vehicle;
 835-4   and
 835-5               (2)  the vehicle displays in a prominent location on
 835-6   the vehicle a registration mark prescribed by the department.
 835-7         (l)  The department shall allow use of a unique
 835-8   identification mark on a former military vehicle that is similar to
 835-9   the mark assigned the vehicle by the armed force in which the
835-10   vehicle was used.  If such a mark is not used, the department shall
835-11   designate a registration mark for the vehicle.  A registration mark
835-12   designated by the department must consist of numbers or letters, or
835-13   both numbers and letters, that are at least two inches high.
835-14         (m)  To the extent possible, the location and design of a
835-15   registration mark for a former military vehicle registered under
835-16   this section must conform to the vehicle's official military design
835-17   and markings.
835-18         (n) [(j)]  An owner of a vehicle registered under this
835-19   section who violates this section commits an offense.  An offense
835-20   under this section is a misdemeanor punishable by a fine of not
835-21   less than $5 or more than $200.
835-22         (o)  In this section, "former military vehicle" means a
835-23   vehicle that:
835-24               (1)  has been, but is not currently, used by the armed
 836-1   forces of a national government; and
 836-2               (2)  displays markings indicating it was a military
 836-3   vehicle.
 836-4         (b)  Section 1, Chapter 443 (H.B. No. 1225), Acts of the 74th
 836-5   Legislature, Regular Session, 1995, is repealed.
 836-6         SECTION 30.57.  Section 502.276(a), Transportation Code, is
 836-7   amended to more closely conform to the law from which that section
 836-8   was derived to read as follows:
 836-9         (a)  An owner is not required to register a farm tractor, a
836-10   farm trailer[,] or farm semitrailer that has a gross weight of
836-11   4,000 pounds or less, or an implement of husbandry, if the vehicle
836-12   [that] is operated only temporarily on the highways.
836-13         SECTION 30.58.  (a)  Section 502.280(e), Transportation Code,
836-14   is amended to conform to Section 1, Chapter 733 (H.B. No. 1794),
836-15   Acts of the 74th Legislature, Regular Session, 1995, to read as
836-16   follows:
836-17         (e)  In this section, "forestry vehicle" means a vehicle used
836-18   exclusively for transporting forest products in their natural
836-19   state, including logs, debarked logs, untreated ties, stave bolts,
836-20   plywood bolts, pulpwood billets, wood chips, stumps, sawdust, moss,
836-21   bark, wood shavings, and property used in production of those
836-22   products.
836-23         (b)  Section 1, Chapter 733 (H.B. No. 1794), Acts of the 74th
836-24   Legislature, Regular Session, 1995, is repealed.
 837-1         SECTION 30.59.  Section 502.281(c), Transportation Code, is
 837-2   amended to conform to the transfer of motor carrier registration
 837-3   responsibilities from the Railroad Commission of Texas to the Texas
 837-4   Department of Transportation by Chapter 705 (S.B. No. 3), Acts of
 837-5   the 74th Legislature, Regular Session, 1995, to read as follows:
 837-6         (c)  The department shall issue license plates under this
 837-7   section to a person engaged in the business of using a tow truck
 837-8   who:
 837-9               (1)  applies on a form prescribed by the department to
837-10   the county assessor-collector of the county in which the person
837-11   resides;
837-12               (2)  pays a fee of $15, in addition to the fee
837-13   prescribed by Section 502.162; and
837-14               (3)  submits a certified copy of the registration
837-15   certificate [of registration] issued by the department [Railroad
837-16   Commission of Texas] for the tow truck.
837-17         SECTION 30.60.  (a)  Subchapter F, Chapter 502,
837-18   Transportation Code, is amended to conform to Section 1, Chapter
837-19   441 (H.B. No. 496), Acts of the 74th Legislature, Regular Session,
837-20   1995, by adding Section 502.290 to read as follows:
837-21         Sec. 502.290.  FOREIGN ORGANIZATION VEHICLES.  (a)  The
837-22   department shall issue specially designed license plates for
837-23   passenger cars and light trucks owned by an instrumentality
837-24   established by a foreign government recognized by the United States
 838-1   before January 1, 1979, that is without official representation or
 838-2   diplomatic relations with the United States.
 838-3         (b)  A vehicle for which license plates are issued under this
 838-4   section is exempt from the fee under Section 502.161.
 838-5         (c)  License plates issued under this section must include
 838-6   the words "Foreign Organization."
 838-7         (b)  Section 1, Chapter 441 (H.B. No. 496), Acts of the 74th
 838-8   Legislature, Regular Session, 1995, is repealed.
 838-9         SECTION 30.61.  (a)  Sections 502.352(a), (c), and (f),
838-10   Transportation Code, are amended to conform to Section 1, Chapter
838-11   875 (S.B. No. 1420), Acts of the 74th Legislature, Regular Session,
838-12   1995, to read as follows:
838-13         (a)  The department may issue a temporary permit for a
838-14   commercial motor vehicle, trailer, semitrailer, or motor bus that:
838-15               (1)  is owned by a resident of the United States, the
838-16   United Mexican States, or Canada;
838-17               (2)  is subject to registration in this state; and
838-18               (3)  is not authorized to travel on a public highway
838-19   because of the lack of registration in this state or the lack of
838-20   reciprocity with the state or province in which the vehicle is
838-21   registered.
838-22         (c)  A person may obtain a permit under this section by:
838-23               (1)  applying to the county assessor-collector or the
838-24   department; [and]
 839-1               (2)  paying a fee, in cash or by postal money order or
 839-2   certified check, of:
 839-3                     (A)  $25 for a 72-hour permit; or
 839-4                     (B)  $50 for a 144-hour permit; and
 839-5               (3)  furnishing to the assessor-collector or the
 839-6   department evidence of financial responsibility for the vehicle,
 839-7   the policies to comply with Sections 502.153(c) and 601.168(a) and
 839-8   be written by an insurance company or surety company authorized to
 839-9   write motor vehicle liability insurance in this state.
839-10         (f)  A vehicle issued a permit under this section is subject
839-11   to Subchapters B and F, Chapter 548, unless the vehicle:
839-12               (1)  is registered in another state of the United
839-13   States, in a state of the United Mexican States, or in a province
839-14   of Canada; or
839-15               (2)  is mobile drilling or servicing equipment used in
839-16   the production of gas, crude petroleum, or oil, including a mobile
839-17   crane or hoisting equipment, mobile lift equipment, forklift, or
839-18   tug.
839-19         (b)  Section 1, Chapter 875 (S.B. No. 1420), Acts of the 74th
839-20   Legislature, Regular Session, 1995, is repealed.
839-21         SECTION 30.62.  (a)  Subchapter F, Chapter 502,
839-22   Transportation Code, is amended to conform to Section 1, Chapter
839-23   164 (S.B. No. 832), Acts of the 74th Legislature, Regular Session,
839-24   1995, by adding Section 502.291 to read as follows:
 840-1         Sec. 502.291.  UNITED STATES OLYMPIC COMMITTEE LICENSE
 840-2   PLATES.  (a)  The department shall issue specially designed United
 840-3   States Olympic Committee license plates for passenger cars and
 840-4   light trucks.
 840-5         (b)  The license plates must include the words "United States
 840-6   Olympic Committee" and be of a color, quality, and design approved
 840-7   by the United States Olympic Committee.
 840-8         (c)  The department shall issue license plates under this
 840-9   section to a person who:
840-10               (1)  applies to the assessor-collector of the county in
840-11   which the person resides on a form provided by the department; and
840-12               (2)  pays an annual fee of $20, in addition to the fee
840-13   prescribed by Section 502.161, and, if personalized prestige
840-14   license plates are issued, in addition to the fee prescribed by
840-15   Section 502.251.
840-16         (d)  Of each fee collected under this section, the department
840-17   shall deposit $10 to the credit of the state highway fund.
840-18         (e)  If the owner of a vehicle registered under this section
840-19   disposes of the vehicle during the registration year, the owner
840-20   shall return the special license plates to the department.
840-21         (b)  Section 1, Chapter 164 (S.B. No. 832), Acts of the 74th
840-22   Legislature, Regular Session, 1995, is repealed.
840-23         SECTION 30.63.  (a) Section 502.353, Transportation Code, is
840-24   amended to conform to Section 1, Chapter 350 (S.B. No. 981), Acts
 841-1   of the 74th Legislature, Regular Session, 1995, to read as follows:
 841-2         Sec. 502.353.  FOREIGN COMMERCIAL VEHICLES; ANNUAL PERMITS
 841-3   [IN COUNTIES BORDERING MEXICO]; OFFENSE.  (a)  The department may
 841-4   issue an annual [a temporary] permit to a foreign commercial motor
 841-5   vehicle, trailer, or semitrailer that:
 841-6               (1)  is subject to registration in this state; and
 841-7               (2)  is not authorized to travel on a public highway
 841-8   because of the lack of registration in this state or the lack of
 841-9   reciprocity with the state or country in which the vehicle is
841-10   registered.
841-11         (b)  A permit issued under this section:
841-12               (1)  is in lieu of registration; and
841-13               (2)  is valid for a vehicle registration year to begin
841-14   on the first day of a calendar month designated by the department
841-15   and end on the last day of the last calendar month of the
841-16   registration year  [not more than 24 hours, effective from the date
841-17   and time shown on the receipt issued as evidence of registration
841-18   under this section; and]
841-19               [(3)  allows a vehicle to transport property between
841-20   the United Mexican States, the county of entry, and a second
841-21   contiguous county bordering the United Mexican States, as specified
841-22   in the permit].
841-23         (c)  A permit may not be issued under this section for the
841-24   importation of citrus fruit into this state from a foreign country
 842-1   except for foreign export or processing for foreign export.
 842-2         (d)  A person may obtain a permit under this section by:
 842-3               (1)  applying to the [county assessor-collector or the]
 842-4   department;
 842-5               (2)  paying a fee in the amount required by Subsection
 842-6   (e) [of $5] in cash or by postal money order or certified check;
 842-7   and
 842-8               (3)  furnishing evidence of financial responsibility
 842-9   for [that] the motor vehicle [is insured under an insurance policy]
842-10   that complies with Sections 502.153(c) and 601.168(a), the policies
842-11   to be [Section 601.072 and that is] written by an insurance company
842-12   or surety company authorized to write motor vehicle liability
842-13   insurance in this state.
842-14         (e)  The fee for a permit under this section is the fee that
842-15   would be required for registering the vehicle under Section 502.162
842-16   or 502.167, except as provided by Subsection (f).
842-17         (f)  A vehicle registered under this section is exempt from
842-18   the token fee and is not required to display the associated
842-19   distinguishing license plate if the vehicle:
842-20               (1)  is a semitrailer that has a gross weight of more
842-21   than 6,000 pounds; and
842-22               (2)  is used or intended to be used in combination with
842-23   a truck tractor or commercial motor vehicle with a manufacturer's
842-24   rated carrying capacity of more than one ton.
 843-1         (g)  A vehicle registered under this section is not subject
 843-2   to the fee required by Section 502.172 or 502.173.
 843-3         (h)  [A county assessor-collector shall report and send a fee
 843-4   collected under this section in the manner provided by Sections
 843-5   502.102 and 502.105.]
 843-6         [(f)]  The department may:
 843-7               (1)  adopt rules to administer this section; and
 843-8               (2)  prescribe an application for a permit and other
 843-9   forms under this section.
843-10         (i) [(g)]  A person who violates this section commits an
843-11   offense.  An offense under this section is a misdemeanor punishable
843-12   by a fine not to exceed $200.
843-13         (b)  Section 1, Chapter 350 (S.B. No. 981), Acts of the 74th
843-14   Legislature, Regular Session, 1995, is repealed.
843-15         SECTION 30.64.  Sections 502.402(b) and (c), Transportation
843-16   Code, are repealed to conform to the repeal of the law from which
843-17   those subsections were derived by Section 9(6), Chapter 34 (S.B.
843-18   No. 178), Acts of the 74th Legislature, Regular Session, 1995.
843-19         SECTION 30.65.  Sections 502.408(b), (c), and (d),
843-20   Transportation Code, are repealed to conform to the repeal of the
843-21   law from which those subsections were derived by Section 9(6),
843-22   Chapter 34 (S.B. No. 178), Acts of the 74th Legislature, Regular
843-23   Session, 1995.
843-24         SECTION 30.66.  Sections 502.409(c), (d), and (e),
 844-1   Transportation Code, are repealed to conform to the repeal of the
 844-2   law from which those subsections were derived by Section 9(6),
 844-3   Chapter 34 (S.B. No. 178), Acts of the 74th Legislature, Regular
 844-4   Session, 1995.
 844-5         SECTION 30.67.  (a)  Section 502.410, Transportation Code, is
 844-6   amended to conform more closely to the law from which it was
 844-7   derived to read as follows:
 844-8         Sec. 502.410.  FALSIFICATION OR FORGERY.  (a)  A person
 844-9   commits an offense if the person knowingly provides false or
844-10   incorrect information or without legal authority signs the name of
844-11   another person on a statement or application filed or given as
844-12   required by this chapter.
844-13         (b)  Subsection (a) does not apply to a statement or
844-14   application filed or given under Section 502.184, 502.253, 502.267,
844-15   502.281, 502.352, 502.353, 502.354, or 502.355.
844-16         (c)  An offense under this section is a felony of the third
844-17   degree.
844-18         (b)  The change in law made by Subsection (a) of this section
844-19   to Section 502.410, Transportation Code, does not prohibit a person
844-20   who knowingly provides false or incorrect information or who
844-21   without legal authority signs the name of another person on a
844-22   statement or application filed or given under Section 502.184,
844-23   502.253, 502.267, 502.281, 502.352, 502.353, 502.354, or 502.355,
844-24   Transportation Code, from being prosecuted for the offense under a
 845-1   law other than Section 502.410, Transportation Code.
 845-2         SECTION 30.68.  Section 17, Chapter 705 (S.B. No. 3), Acts of
 845-3   the 74th Legislature, Regular Session, 1995, is repealed.
 845-4         SECTION 30.69.  (a)  Section 503.001, Transportation Code, is
 845-5   amended to conform to Section 1, Chapter 430 (S.B. No. 1446), Acts
 845-6   of the 74th Legislature, Regular Session, 1995, to read as follows:
 845-7         Sec. 503.001.  DEFINITIONS.  In this chapter:
 845-8               (1)  "Commission" means the Texas Transportation
 845-9   Commission.
845-10               (2)  "Dealer" means a person who regularly and actively
845-11   buys, sells, or exchanges vehicles at an established and permanent
845-12   location.  The term includes a franchised motor vehicle dealer, an
845-13   independent motor vehicle dealer, and a wholesale motor vehicle
845-14   dealer.
845-15               (3)  "Department" means the Texas Department of
845-16   Transportation.
845-17               (4)  "Drive-a-way operator" means a person who
845-18   transports and delivers a vehicle in this state from the
845-19   manufacturer or another point of origin to a location in this state
845-20   using the vehicle's own power or using the full-mount method, the
845-21   saddle-mount method, the tow-bar method, or a combination of those
845-22   methods.
845-23               (5)  "Franchise" has the meaning assigned by the Texas
845-24   Motor Vehicle Commission Code (Article 4413(36), Vernon's Texas
 846-1   Civil Statutes).
 846-2               (6)  "Franchised motor vehicle dealer" means a person
 846-3   engaged in the business of buying, selling, or exchanging new motor
 846-4   vehicles at an established and permanent place of business under a
 846-5   franchise in effect with a motor vehicle manufacturer or
 846-6   distributor.
 846-7               (7)  "Independent motor vehicle dealer" means a dealer
 846-8   other than a franchised motor vehicle dealer or a wholesale motor
 846-9   vehicle dealer.
846-10               (8)  "Manufacturer" means a person who manufactures,
846-11   distributes, or assembles new vehicles.
846-12               (9) [(6)]  "Motorcycle" has the meaning assigned by
846-13   Section 502.001.
846-14               (10) [(7)]  "Motor vehicle" has the meaning assigned by
846-15   Section 502.001.
846-16               (11) [(8)]  "Semitrailer" has the meaning assigned by
846-17   Section 502.001.
846-18               (12) [(9)]  "Trailer" has the meaning assigned by
846-19   Section 502.001.
846-20               (13) [(10)]  "Vehicle" means a motor vehicle,
846-21   motorcycle, house trailer, trailer, or semitrailer.
846-22               (14) [(11)]  "Wholesale motor vehicle auction" means
846-23   the offering of a motor vehicle for sale to the highest bidder
846-24   during a transaction that is one of a series of regular periodic
 847-1   transactions that occur at a permanent location.
 847-2               (15)  "Wholesale motor vehicle dealer" means a dealer
 847-3   who sells motor vehicles only to a person who is:
 847-4                     (A)  the holder of a dealer's general
 847-5   distinguishing number; or
 847-6                     (B)  a foreign dealer authorized by a law of this
 847-7   state or interstate reciprocity agreement to purchase a vehicle in
 847-8   this state without remitting the motor vehicle sales tax.
 847-9         (b)  Sections 503.007(a) and (b), Transportation Code, are
847-10   amended to conform to Section 4, Chapter 430 (S.B. No. 1446), Acts
847-11   of the 74th Legislature, Regular Session, 1995, to read as follows:
847-12         (a)  The fee for an original general distinguishing number is
847-13   $500 [$250].
847-14         (b)  The fee for the renewal of a general distinguishing
847-15   number is $200 [$100].
847-16         (c)  Sections 503.008(a) and (b), Transportation Code, are
847-17   amended to conform to Section 4, Chapter 430 (S.B. No. 1446), Acts
847-18   of the 74th Legislature, Regular Session, 1995, to read as follows:
847-19         (a)  The fee for a metal dealer's license plate is $20 [$10].
847-20         (b)  The fee for a manufacturer's license plate is $40 [$20].
847-21         (d)  Section 503.021, Transportation Code, is amended to
847-22   conform to Section 1, Chapter 430 (S.B. No. 1446), Acts of the 74th
847-23   Legislature, Regular Session, 1995, to read as follows:
847-24         Sec. 503.021.  DEALER GENERAL DISTINGUISHING NUMBER.  A
 848-1   person may not engage in business as a dealer, directly or
 848-2   indirectly, including by consignment, without a dealer general
 848-3   distinguishing number in one of the six categories described by
 848-4   Section 503.029(a)(6) for each location from which the person
 848-5   conducts business as a dealer.
 848-6         (e)  Section 503.029(a), Transportation Code, is amended to
 848-7   conform to Section 1, Chapter 430 (S.B. No. 1446), Acts of the 74th
 848-8   Legislature, Regular Session, 1995, to read as follows:
 848-9         (a)  An applicant for an original or renewal dealer general
848-10   distinguishing number must submit to the department a written
848-11   application on a form that:
848-12               (1)  is provided by the department;
848-13               (2)  contains the information required by the
848-14   department;
848-15               (3)  contains information that demonstrates the person
848-16   meets the requirements prescribed by Section 503.032;
848-17               (4)  contains information that demonstrates the
848-18   applicant has complied with all applicable state laws and municipal
848-19   ordinances;
848-20               (5)  states that the applicant agrees to allow the
848-21   department to examine during working hours the ownership papers for
848-22   each registered or unregistered vehicle in the applicant's
848-23   possession or control; and
848-24               (6)  specifies whether the applicant proposes to be a:
 849-1                     (A)  franchised motor vehicle dealer;
 849-2                     (B)  independent motor vehicle dealer;
 849-3                     (C)  wholesale motor vehicle dealer;
 849-4                     (D)  motorcycle dealer;
 849-5                     (E)  house trailer dealer; or
 849-6                     (F)  trailer or semitrailer dealer [in motor
 849-7   vehicles, motorcycles, house trailers, or trailers or
 849-8   semitrailers].
 849-9         (f)  Section 503.032(b), Transportation Code, is amended to
849-10   conform to Section 1, Chapter 430 (S.B. No. 1446), Acts of the 74th
849-11   Legislature, Regular Session, 1995, to read as follows:
849-12         (b)  An applicant for a general distinguishing number as a
849-13   wholesale motor vehicle dealer is not required to maintain display
849-14   space in accordance with Subsection (a)(3) [if the applicant buys a
849-15   vehicle from, sells a vehicle to, or exchanges vehicles with only
849-16   another dealer who has a general distinguishing number].
849-17         (g)  Section 503.034(c), Transportation Code, is amended to
849-18   conform to Section 4, Chapter 430 (S.B. No. 1446), Acts of the 74th
849-19   Legislature, Regular Session, 1995, to read as follows:
849-20         (c)  A dealer's general distinguishing number expires on
849-21   March 31 of each year, unless provided otherwise by law or rule of
849-22   the department's Motor Vehicle Board.
849-23         (h)  Section 503.036, Transportation Code, is amended to
849-24   conform to Section 2, Chapter 430 (S.B. No. 1446), Acts of the 74th
 850-1   Legislature, Regular Session, 1995, to read as follows:
 850-2         Sec. 503.036.  RIGHTS [REASSIGNMENT] OF DEALER [EVIDENCE OF
 850-3   OWNERSHIP].  (a)  Except as provided by Subsections (b), (c), and
 850-4   (d), a [A] dealer may reassign any basic evidence of ownership,
 850-5   including a manufacturer's certificate of origin or a certificate
 850-6   of title, for a vehicle owned by the dealer that the dealer is not
 850-7   otherwise prohibited by law from selling only if the dealer:
 850-8               (1)  is licensed by the department's Motor Vehicle
 850-9   Board; or
850-10               (2)  has filed security as required by Section 503.033.
850-11         (b)  A person who holds a franchised motor vehicle dealer's
850-12   general distinguishing number may buy, sell, or exchange a new or
850-13   used motor vehicle and may reassign a manufacturer's certificate of
850-14   origin, a certificate of title, or other basic evidence of
850-15   ownership for a vehicle owned by the person that the person is not
850-16   otherwise prohibited by law from selling.
850-17         (c)  A person who holds an independent motor vehicle dealer's
850-18   general distinguishing number may reassign a basic evidence of
850-19   ownership, including a certificate of title, for a vehicle owned by
850-20   the person that the person is not otherwise prohibited by law from
850-21   selling.
850-22         (d)  A person who holds a wholesale motor vehicle dealer's
850-23   general distinguishing number may sell a motor vehicle only to a
850-24   person who is:
 851-1               (1)  a dealer who holds a general distinguishing
 851-2   number; or
 851-3               (2)  a foreign dealer authorized by a law of this state
 851-4   or interstate reciprocity agreement to purchase a vehicle in this
 851-5   state without remitting the motor vehicle sales tax.
 851-6         (i)  Section 503.038(a), Transportation Code, is amended to
 851-7   conform to Section 3, Chapter 430 (S.B. No. 1446), Acts of the 74th
 851-8   Legislature, Regular Session, 1995, to read as follows:
 851-9         (a)  The department may cancel a dealer's general
851-10   distinguishing number if the dealer:
851-11               (1)  files a false or forged title document, including
851-12   an affidavit making application for a certified copy of a title;
851-13               (2)  files a false or forged tax document, including a
851-14   sales tax affidavit;
851-15               (3)  fails to take assignment of any basic evidence of
851-16   ownership, including a certificate of title or manufacturer's
851-17   certificate, for a vehicle the dealer acquires;
851-18               (4)  fails to assign any basic evidence of ownership,
851-19   including a certificate of title or manufacturer's certificate, for
851-20   a vehicle the dealer sells;
851-21               (5)  uses or permits the use of a metal dealer's
851-22   license plate or a dealer's temporary cardboard tag on a vehicle
851-23   that the dealer does not own or control or that is not in stock and
851-24   offered for sale;
 852-1               (6)  makes a material misrepresentation in an
 852-2   application or other information filed with the department;
 852-3               (7)  fails to maintain the qualifications for a general
 852-4   distinguishing number;
 852-5               (8)  fails to provide to the department within 30 days
 852-6   after the date of demand by the department satisfactory and
 852-7   reasonable evidence that the person is regularly and actively
 852-8   engaged in business as a wholesale or retail dealer;
 852-9               (9)  has been licensed for at least 12 months and has
852-10   not assigned at least five vehicles during the previous 12-month
852-11   period;
852-12               (10)  has failed to demonstrate compliance with
852-13   Sections 23.12, 23.121, and 23.122, Tax Code;
852-14               (11)  uses or allows the use of the dealer's general
852-15   distinguishing number or the location for which the general
852-16   distinguishing number is issued to avoid the requirements of this
852-17   chapter;
852-18               (12) [(11)]  misuses or allows the misuse of a
852-19   temporary cardboard tag authorized under this chapter;
852-20               (13) [(12)]  refuses to show on a buyer's temporary
852-21   cardboard tag the date of sale or other reasonable information
852-22   required by the department; or
852-23               (14) [(13)]  otherwise violates this chapter or a rule
852-24   adopted under this chapter.
 853-1         (j)  Section 503.066(e), Transportation Code, is amended to
 853-2   conform to Section 4, Chapter 430 (S.B. No. 1446), Acts of the 74th
 853-3   Legislature, Regular Session, 1995, to read as follows:
 853-4         (e)  A license plate issued under this section expires on
 853-5   March 31 of the year after the year of issuance, unless provided
 853-6   otherwise by law or rule of the department's Motor Vehicle Board.
 853-7         (k)  Sections 1-4, Chapter 430 (S.B. No. 1446), Acts of the
 853-8   74th Legislature, Regular Session, 1995, are repealed.
 853-9         SECTION 30.70.  (a)  Section 503.037, Transportation Code, is
853-10   amended to conform to Section 1, Chapter 537 (S.B. No. 1314), Acts
853-11   of the 74th Legislature, Regular Session, 1995, by amending
853-12   Subsection (b) and adding Subsection (d) to read as follows:
853-13         (b)  Except as provided by Subsection (d), a [A] person who
853-14   holds a wholesale motor vehicle auction general distinguishing
853-15   number may not sell a motor vehicle to a person other than a person
853-16   who:
853-17               (1)  is a dealer; or
853-18               (2)  has a license and, if applicable, a bond issued by
853-19   the appropriate authority of another state or nation.
853-20         (d)  Subsection (b) does not prohibit a person who holds a
853-21   wholesale motor vehicle auction general distinguishing number from
853-22   offering for sale a motor vehicle to a person who is not a dealer
853-23   or who does not have a license issued by the appropriate authority
853-24   of another state, if the motor vehicle is owned by:
 854-1               (1)  this state or a department, agency, or subdivision
 854-2   of this state; or
 854-3               (2)  the United States.
 854-4         (b)  Section 1, Chapter 537 (S.B. No. 1314), Acts of the 74th
 854-5   Legislature, Regular Session, 1995, is repealed.
 854-6         SECTION 30.71.  (a)  Section 520.023, Transportation Code, is
 854-7   amended to conform to Section 7, Chapter 1015 (S.B. No. 1445), Acts
 854-8   of the 74th Legislature, Regular Session, 1995, to read as follows:
 854-9         Sec. 520.023.  POWERS AND DUTIES OF DEPARTMENT ON TRANSFER OF
854-10   USED VEHICLE.  (a)  On receipt of a written notice of transfer from
854-11   the transferor of a motor vehicle, the department shall indicate
854-12   the transfer on the motor vehicle records maintained by the
854-13   department.
854-14         (b)  The department may design the written notice of transfer
854-15   to be part of the certificate of title for the vehicle.  The form
854-16   shall be provided by the department and must include a place for
854-17   the transferor to state:
854-18               (1)  the vehicle identification number of the vehicle;
854-19               (2)  the number of the license plate issued to the
854-20   vehicle, if any;
854-21               (3)  the full name and address of the transferor;
854-22               (4)  the full name and address of the transferee;
854-23               (5)  the date the transferor delivered possession of
854-24   the vehicle to the transferee;
 855-1               (6)  the signature of the transferor; and
 855-2               (7)  the date the transferor signed the form.
 855-3         (c)  After the date of the transfer of the vehicle shown on
 855-4   the records of the department, the transferee of the vehicle shown
 855-5   on the records is rebuttably presumed to be:
 855-6               (1)  the owner of the vehicle; and
 855-7               (2)  subject to civil and criminal liability arising
 855-8   out of the use, operation, or abandonment of the vehicle, to the
 855-9   extent that ownership of the vehicle subjects the owner of the
855-10   vehicle to criminal or civil liability under another provision of
855-11   law.
855-12         (d)  The department may adopt:
855-13               (1)  rules to implement this section; and
855-14               (2)  a fee for filing a notice of transfer under this
855-15   section in an amount not to exceed the lesser of the actual cost to
855-16   the department of implementing this section or $5.
855-17         (e)  This section does not impose or establish civil or
855-18   criminal liability on the owner of a motor vehicle who transfers
855-19   ownership of the vehicle but does not disclose the transfer to the
855-20   department.
855-21         (f)  This section does not require the department to issue a
855-22   certificate of title to a person shown on a notice of transfer as
855-23   the transferee of a motor vehicle.  The department may not issue a
855-24   certificate of title for the vehicle until the transferee applies
 856-1   to the county assessor-collector as provided by Chapter 501.
 856-2         (b)  Section 7, Chapter 1015 (S.B. No. 1445), Acts of the
 856-3   74th Legislature, Regular Session, 1995, is repealed.
 856-4         SECTION 30.72.  Subchapter A, Chapter 521, Transportation
 856-5   Code, is amended to more closely conform to the law from which that
 856-6   subchapter was derived by adding Section 521.005 to read as
 856-7   follows:
 856-8         Sec. 521.005.  RULEMAKING AUTHORITY.   The department may
 856-9   adopt rules necessary to administer this chapter.
856-10         SECTION 30.73.  (a)  Section 521.022(d), Transportation Code,
856-11   is amended to conform to Section 55, Chapter 260 (S.B. No. 1), Acts
856-12   of the 74th Legislature, Regular Session, 1995, to read as follows:
856-13         (d)  Before employing a person to operate a school bus, a
856-14   driver's license check shall be made with the department and the
856-15   person's driving record must be acceptable according to standards
856-16   [jointly] developed by [the State Board of Education and] the
856-17   department.
856-18         (b)  Section 521.022(e), Transportation Code, is amended to
856-19   more closely conform to the law from which it was derived and to
856-20   conform to Section 55, Chapter 260 (S.B. No. 1) and Section 25,
856-21   Chapter 1009 (S.B. No. 964), Acts of the 74th Legislature, Regular
856-22   Session, 1995, to read as follows:
856-23         (e)  Effective on the date and under provisions determined by
856-24   the department [State Board of Education], a school bus operator
 857-1   must have in the operator's possession [hold] a certificate that
 857-2   states that the operator is enrolled in or has completed a driver
 857-3   education [training] course [jointly] approved by the [State Board
 857-4   of Education and the] department in school bus safety education.
 857-5   The certificate is valid for three years.
 857-6         (c)  Section 55, Chapter 260 (S.B. No. 1), Acts of the 74th
 857-7   Legislature, Regular Session, 1995, is repealed.
 857-8         SECTION 30.74.  Section 521.023(c), Transportation Code, is
 857-9   amended to conform to the transfer of motor carrier registration
857-10   responsibilities from the Railroad Commission of Texas to the Texas
857-11   Department of Transportation by Chapter 705 (S.B. No. 3), Acts of
857-12   the 74th Legislature, Regular Session, 1995, to read as follows:
857-13         (c)  This section does not apply to the operator of a vehicle
857-14   operated under a registration [permit or] certificate issued under
857-15   Chapter 643 [by the Railroad Commission of Texas].
857-16         SECTION 30.75.  (a)  Section 521.101(d), Transportation Code,
857-17   is amended to conform to Section 2, Chapter 669 (S.B. No. 1252),
857-18   Acts of the 74th Legislature, Regular Session, 1995, to read as
857-19   follows:
857-20         (d)  The department may require each applicant [An
857-21   application] for an original, [or] renewal, or duplicate personal
857-22   identification certificate to furnish to the department the
857-23   information required by Section 521.142 [must:]
857-24               [(1)  be submitted on a form prescribed by the
 858-1   department; and]
 858-2               [(2)  include the information required by the
 858-3   department].
 858-4         (b)  Section 2, Chapter 669 (S.B. No. 1252), Acts of the 74th
 858-5   Legislature, Regular Session, 1995, is repealed.
 858-6         SECTION 30.76.  (a)  Subchapter G, Chapter 521,
 858-7   Transportation Code, is amended to conform to Section 1, Chapter
 858-8   669 (S.B. No. 1252), Acts of the 74th Legislature, Regular Session,
 858-9   1995, by adding Section 521.1425 to read as follows:
858-10         Sec. 521.1425.  INFORMATION REQUIRED TO BE FURNISHED TO
858-11   DEPARTMENT.  The department may require each applicant for an
858-12   original, renewal, or duplicate driver's license to furnish to the
858-13   department the information required by Section 521.142.
858-14         (b)  Section 1, Chapter 669 (S.B. No. 1252), Acts of the 74th
858-15   Legislature, Regular Session, 1995, is repealed.
858-16         SECTION 30.77.  (a)  Subchapter H, Chapter 521,
858-17   Transportation Code, is amended to conform to Section 26, Chapter
858-18   1009 (S.B. No. 964), Acts of the 74th Legislature, Regular Session,
858-19   1995, by amending Section 521.161 and adding Section 521.1655 to
858-20   read as follows:
858-21         Sec. 521.161.  EXAMINATION OF LICENSE APPLICANTS.  (a)
858-22   Except as otherwise provided by this subchapter, the department
858-23   shall examine each applicant for a driver's license.  The
858-24   examination shall be held in the county in which the applicant
 859-1   resides or applies not later than the 10th day after the date on
 859-2   which the application is made.
 859-3         (b)  The examination must include:
 859-4               (1)  a test of the applicant's:
 859-5                     (A)  vision;
 859-6                     (B)  ability to identify and understand highway
 859-7   signs in English that regulate, warn, or direct traffic; and
 859-8                     (C)  knowledge of the traffic laws of this state;
 859-9               (2)  a demonstration of the applicant's ability to
859-10   exercise ordinary and reasonable control in the operation of a
859-11   motor vehicle of the type that the applicant will be licensed to
859-12   operate; and
859-13               (3)  any additional examination the department finds
859-14   necessary to determine the applicant's fitness to operate a motor
859-15   vehicle safely.
859-16         (c)  The department shall give each applicant the option of
859-17   taking the traffic law and highway sign part of the examination in
859-18   writing in addition to or instead of through a mechanical,
859-19   electronic, or other testing method.  If the applicant takes that
859-20   part of the examination in writing in addition to another testing
859-21   method, the applicant is considered to have passed that part of the
859-22   examination if the applicant passes either version of the
859-23   examination.  The department shall inform each person taking the
859-24   examination of the person's rights under this subsection.
 860-1         (d)  On payment of the required fee, an applicant is entitled
 860-2   to three examinations of each element under Subsection (b) for each
 860-3   application to qualify for a driver's license.  If the applicant
 860-4   has not qualified after the third examination, the applicant must
 860-5   submit a new application accompanied by the required fee.
 860-6         (e) [(d)]  The department may not issue a driver's license to
 860-7   a person who has not passed each examination required under this
 860-8   chapter.
 860-9         Sec. 521.1655.  TESTING BY DRIVER EDUCATION SCHOOL.  (a)  A
860-10   driver education school licensed under the Texas Driver and Traffic
860-11   Safety Education Act (Article 4413(29c), Vernon's Texas Civil
860-12   Statutes) may administer to a student of that school the vision,
860-13   highway sign, and traffic law parts of the examination required by
860-14   Section 521.161.
860-15         (b)  An examination administered under this section complies
860-16   with the examination requirements of this subchapter as to the
860-17   parts of the examination administered.
860-18         (b)  Section 26, Chapter 1009 (S.B. No. 964), Acts of the
860-19   74th Legislature, Regular Session, 1995, is repealed.
860-20         SECTION 30.78.  (a)  Section 521.204, Transportation Code, is
860-21   amended to conform to Section 25, Chapter 1009 (S.B. No. 964), Acts
860-22   of the 74th Legislature, Regular Session, 1995, and to Section 80,
860-23   Chapter 260 (S.B. No. 1), Acts of the 74th Legislature, Regular
860-24   Session, 1995, to read as follows:
 861-1         Sec. 521.204.  RESTRICTIONS ON MINOR.  The department may
 861-2   issue a Class C driver's license to an applicant under 18 years of
 861-3   age only if the applicant:
 861-4               (1)  is 16 years of age or older;
 861-5               (2)  has submitted to the department a driver education
 861-6   certificate issued under Section 9A, Texas Driver and Traffic
 861-7   Safety Education Act (Article 4413(29c), Vernon's Texas Civil
 861-8   Statutes), that states that the person has completed and passed a
 861-9   driver education [training] course approved by the department under
861-10   Section 521.205 or by the Texas [Central] Education Agency;
861-11               (3)  has obtained a high school diploma or its
861-12   equivalent or is a student:
861-13                     (A)  enrolled in a public school, home school, or
861-14   private school who attended school for at least 80 days in the fall
861-15   or spring semester preceding the date of the driver's license
861-16   application; or
861-17                     (B)  who has been enrolled for at least 45 days,
861-18   and is enrolled as of the date of the application, in a program to
861-19   prepare persons to pass the high school equivalency exam; and
861-20               (4)  has passed the examination required by Section
861-21   521.161.
861-22         (b)  Section 25, Chapter 1009 (S.B. No. 964), Acts of the
861-23   74th Legislature, Regular Session, 1995, is repealed.
861-24         SECTION 30.79.  (a)  Subchapter J, Chapter 521,
 862-1   Transportation Code, is amended to conform to Section 30, Chapter
 862-2   1009 (S.B. No. 964), Acts of the 74th Legislature, Regular Session,
 862-3   1995, by adding Section 521.205 to read as follows:
 862-4         Sec. 521.205.  DEPARTMENT-APPROVED COURSES.  (a)  The
 862-5   department by rule shall provide for approval of a driver education
 862-6   course conducted by the parent or legal guardian of a person who is
 862-7   required to complete a driver education course to obtain a Class C
 862-8   license.  The rules must provide that:
 862-9               (1)  the parent or guardian be a licensed driver;
862-10               (2)  the student driver spend a minimum number of hours
862-11   in:
862-12                     (A)  classroom instruction; and
862-13                     (B)  behind-the-wheel instruction;
862-14               (3)  the parent or guardian not be convicted of:
862-15                     (A)  criminally negligent homicide; or
862-16                     (B)  driving while intoxicated; and
862-17               (4)  the parent or guardian not be disabled because of
862-18   mental illness.
862-19         (b)  The department may not approve a course unless it
862-20   determines that the course materials are at least equal to those
862-21   required in a course approved by the Texas Education Agency, except
862-22   that the department may not require that:
862-23               (1)  the classroom instruction be provided in a room
862-24   with particular characteristics or equipment; or
 863-1               (2)  the vehicle used for the behind-the-wheel
 863-2   instruction have equipment other than the equipment otherwise
 863-3   required by law for operation of the vehicle on a highway while the
 863-4   vehicle is not being used for driver training.
 863-5         (c)  The rules must provide a method by which:
 863-6               (1)  approval of a course is obtained; and
 863-7               (2)  an applicant submits proof of completion of the
 863-8   course.
 863-9         (d)  Completion of a driver education course approved under
863-10   this section has the same effect under this chapter as completion
863-11   of a driver education course approved by the Texas Education
863-12   Agency.
863-13         (b)  Section 30, Chapter 1009 (S.B. No. 964), Acts of the
863-14   74th Legislature, Regular Session, 1995, is repealed.
863-15         SECTION 30.80.  (a)  Section 521.222, Transportation Code, is
863-16   amended to conform to Section 27, Chapter 1009 (S.B. No. 964), Acts
863-17   of the 74th Legislature, Regular Session, 1995, to read as follows:
863-18         Sec. 521.222.  INSTRUCTION PERMIT.  (a)  The department or a
863-19   driver education school licensed under the Texas Driver and Traffic
863-20   Safety Education Act (Article 4413(29c), Vernon's Texas Civil
863-21   Statutes) may issue an instruction permit, including a Class A or
863-22   Class B driver's license instruction permit, to a person who:
863-23               (1)  is 15 years of age or older but under 18 years of
863-24   age;
 864-1               (2)  has satisfactorily completed and passed the
 864-2   classroom phase of an approved driver education course, which may
 864-3   be a course approved under Section 521.205;
 864-4               (3)  meets the requirements imposed under Section
 864-5   521.204(3) [521.204]; and
 864-6               (4)  has passed each examination required under Section
 864-7   521.161 other than the driving test.
 864-8         (b)  The department may issue an instruction permit to a
 864-9   person 18 years of age or older who has successfully passed all
864-10   parts of the driver's examination required under Section 521.161
864-11   other than the driving test.
864-12         (c)  A driver education school may issue an instruction
864-13   permit to a person 18 years of age or older who has successfully
864-14   passed:
864-15               (1)  a six-hour adult classroom driver education course
864-16   approved by the Texas Education Agency; and
864-17               (2)  each part of the driver's examination required by
864-18   Section 521.161 other than the driving test.
864-19         (d)  An instruction permit entitles the holder to operate a
864-20   type of motor vehicle on a highway while:
864-21               (1)  the permit is in the holder's possession; and
864-22               (2)  the holder is accompanied by a person occupying
864-23   the seat by the operator who:
864-24                     (A)  holds a license that qualifies the operator
 865-1   to operate that type of vehicle;
 865-2                     (B)  is 18 years of age or older; and
 865-3                     (C)  has at least one year of driving experience.
 865-4         (e) [(d)]  An instruction permit is not required to include a
 865-5   photograph.
 865-6         (b)  Section 27, Chapter 1009 (S.B. No. 964), Acts of the
 865-7   74th Legislature, Regular Session, 1995, is repealed.
 865-8         SECTION 30.81.  (a)  Section 521.223(b), Transportation Code,
 865-9   is amended to conform to Section 31, Chapter 1009 (S.B. No. 964),
865-10   Acts of the 74th Legislature, Regular Session, 1995, to read as
865-11   follows:
865-12         (b)  An applicant for a license under Subsection (a) must be
865-13   15 years of age or older and must:
865-14               (1)  have passed a driver education [training] course
865-15   approved by the department, which may be a course approved under
865-16   Section 521.205; and
865-17               (2)  pass the examination required by Section 521.161.
865-18         (b)  Section 31, Chapter 1009 (S.B. No. 964), Acts of the
865-19   74th Legislature, Regular Session, 1995, is repealed.
865-20         SECTION 30.82.  Section 521.223, Transportation Code, is
865-21   amended to more closely conform to the law from which it was
865-22   derived by adding Subsection (f) to read as follows:
865-23         (f)  In the manner provided by Subchapter N, the department
865-24   may suspend a license issued under this section if the holder of
 866-1   the license is convicted of a moving violation.
 866-2         SECTION 30.83.  (a)  Sections 521.242(a), (b), and (d),
 866-3   Transportation Code, are amended to conform to Section 75, Chapter
 866-4   318 (S.B. No. 15), Acts of the 74th Legislature, Regular Session,
 866-5   1995, to read as follows:
 866-6         (a)  A person whose license has been suspended for a cause
 866-7   other than a physical or mental disability or impairment or a
 866-8   conviction under Section 49.04 [or 49.07], Penal Code, may apply
 866-9   for an occupational license by filing a verified petition with the
866-10   judge of the county court or district court with jurisdiction in
866-11   the county in which:
866-12               (1)  the person resides; or
866-13               (2)  the offense occurred for which the license was
866-14   suspended.
866-15         (b)  A person may apply for an occupational license by filing
866-16   a verified petition only with the judge of the county court or
866-17   district court in which the person was convicted if:
866-18               (1)  the person's license has been automatically
866-19   suspended or canceled under this chapter or Chapter 522 for a
866-20   conviction of an offense under the laws of this state [Section
866-21   49.04 or 49.07, Penal Code]; and
866-22               (2)  the person has not been issued, in the 10 years
866-23   preceding the date of the filing of the petition, more than one
866-24   occupational license after a conviction under the laws of this
 867-1   state [Section 49.04 or 49.07, Penal Code, or Article 6701l-2,
 867-2   Revised Statutes, as that law existed before January 1, 1984].
 867-3         (d)  A petition filed under Subsection (b) must state that
 867-4   the petitioner was convicted in that court for an offense under the
 867-5   laws of this state [Section 49.04 or 49.07, Penal Code].
 867-6         (b)  Section 75, Chapter 318 (S.B. No. 15), Acts of the 74th
 867-7   Legislature, Regular Session, 1995, is repealed.
 867-8         SECTION 30.84.  (a)  Section 521.246(b), Transportation Code,
 867-9   is amended to conform to Section 76, Chapter 318 (S.B. No. 15),
867-10   Acts of the 74th Legislature, Regular Session, 1995, to read as
867-11   follows:
867-12         (b)  As part of the order the judge may [shall] restrict the
867-13   person to the operation of a motor vehicle equipped with an
867-14   ignition interlock device if the judge determines that[:]
867-15               [(1)]  the person's license has been suspended
867-16   following a conviction [person has one or more convictions] under
867-17   Section 49.04, 49.07, or 49.08, Penal Code.  As part of the order,
867-18   the judge shall restrict the person to the operation of a motor
867-19   vehicle equipped with an ignition interlock device if the judge
867-20   determines that:[;]
867-21               (1) [(2)]  the person has two or more convictions under
867-22   any combination of Section 49.04, 49.07, or 49.08, Penal Code; or
867-23               (2) [(3)]  the person's license has been suspended
867-24   after a conviction under Section 49.04, Penal Code, for which the
 868-1   person has been punished under Section 49.09, Penal Code.
 868-2         (b)  Section 521.247(b), Transportation Code, is amended to
 868-3   conform to Section 76, Chapter 318 (S.B. No. 15), Acts of the 74th
 868-4   Legislature, Regular Session, 1995, to read as follows:
 868-5         (b)  The department by rule shall establish general standards
 868-6   for the calibration and maintenance of the devices.  The
 868-7   manufacturer or an authorized representative of the manufacturer is
 868-8   responsible for calibrating and maintaining the device.
 868-9         (c)  Section 76, Chapter 318 (S.B. No. 15), Acts of the 74th
868-10   Legislature, Regular Session, 1995, is repealed.
868-11         SECTION 30.85.  (a)  Subchapter L, Chapter 521,
868-12   Transportation Code, is amended to conform to Section 80, Chapter
868-13   318 (S.B. No. 15), Acts of the 74th Legislature, Regular Session,
868-14   1995, by adding Section 521.2465 to read as follows:
868-15         Sec. 521.2465.  RESTRICTED LICENSE.  (a)  On receipt of
868-16   notice that a person has been restricted to the use of a motor
868-17   vehicle equipped with an ignition interlock device, the department
868-18   shall notify that person that the person's driver's license expires
868-19   on the 30th day after the date of the notice.  On application by
868-20   the person and payment of a fee of $10, the department shall issue
868-21   a special restricted license that authorizes the person to operate
868-22   only a motor vehicle equipped with an ignition interlock device.
868-23         (b)  On receipt of a copy of a court order removing the
868-24   restriction, the department shall issue the person a driver's
 869-1   license without the restriction.
 869-2         (b)  Section 80, Chapter 318 (S.B. No. 15), Acts of the 74th
 869-3   Legislature, Regular Session, 1995, is repealed.
 869-4         SECTION 30.86.  (a)  Subchapter L, Chapter 521,
 869-5   Transportation Code, is amended to conform to Section 81, Chapter
 869-6   318 (S.B. No. 15), Acts of the 74th Legislature, Regular Session,
 869-7   1995, by adding Section 521.2475 to read as follows:
 869-8         Sec. 521.2475.  IGNITION INTERLOCK DEVICE EVALUATION.  (a)
 869-9   On January 1 of each year, the department shall issue an evaluation
869-10   of each ignition interlock device approved under Section 521.247
869-11   using guidelines established by the National Highway Traffic Safety
869-12   Administration, including:
869-13               (1)  whether the device provides accurate detection of
869-14   alveolar air;
869-15               (2)  the moving retest abilities of the device;
869-16               (3)  the use of tamper-proof blood alcohol content
869-17   level software by the device;
869-18               (4)  the anticircumvention design of the device;
869-19               (5)  the recalibration requirements of the device; and
869-20               (6)  the breath action required by the operator.
869-21         (b)  The department shall assess the cost of preparing the
869-22   evaluation equally against each manufacturer of an approved device.
869-23         (b)  Section 81, Chapter 318 (S.B. No. 15), Acts of the 74th
869-24   Legislature, Regular Session, 1995, is repealed.
 870-1         SECTION 30.87.  (a)  Section 521.272, Transportation Code, is
 870-2   repealed to conform to the repeal of the law from which it was
 870-3   derived by Section 3, Chapter 669 (S.B.  No. 1252), Acts of the
 870-4   74th Legislature, Regular Session, 1995.
 870-5         (b)  Section 3, Chapter 669 (S.B. No. 1252), Acts of the 74th
 870-6   Legislature, Regular Session, 1995, is repealed.
 870-7         SECTION 30.88.  Section 521.293(d), Transportation Code, is
 870-8   amended to more closely conform to the law from which it was
 870-9   derived to read as follows:
870-10         (d)  The hearing shall be conducted not less [later] than 10
870-11   days [the 10th day] after the date of the notification required by
870-12   Section 521.291.  The presiding officer shall set the case for
870-13   hearing at the earliest practical time.
870-14         SECTION 30.89.  (a)  Section 521.294(d), Transportation Code,
870-15   is amended to conform to Section 1, Chapter 512 (H.B. No. 2035),
870-16   Acts of the 74th Legislature, Regular Session, 1995, and to Section
870-17   2, Chapter 434 (S.B. No. 1504), Acts of the 74th Legislature,
870-18   Regular Session, 1995, to read as follows:
870-19         (d)  The presiding officer shall determine whether a person's
870-20   license should be revoked because the person:
870-21               (1)  is incapable of safely operating a motor vehicle;
870-22               (2)  has not complied with the terms of a citation
870-23   issued by a jurisdiction that is a party to the Nonresident
870-24   Violator Compact of 1977 for a traffic violation to which that
 871-1   compact applies;
 871-2               (3)  [has an outstanding arrest warrant for failure to
 871-3   appear or pay a fine on a complaint involving a violation of a
 871-4   traffic law issued by a municipality that has contracted with the
 871-5   department under Chapter 702;]
 871-6               [(4)]  has failed to provide medical records or has
 871-7   failed to undergo medical or other examinations as required by a
 871-8   panel of the medical advisory board;
 871-9               (4) [(5)]  has failed to pass an examination required
871-10   by the director under this chapter; [or]
871-11               (5) [(6)]  has been reported by a court under Section
871-12   729.003 for failure to appear or for default in payment of a fine
871-13   unless the court files an additional report on final disposition of
871-14   the case; or
871-15               (6)  has been reported by a justice or municipal court
871-16   for failure to appear or for a default in payment of a fine for a
871-17   misdemeanor punishable only by fine, other than a failure or
871-18   default reported under Section 729.003, committed by a person
871-19   younger than 17 years of age when the offense was committed, unless
871-20   the court files an additional report on final disposition of the
871-21   case.
871-22         (b)  Section 1, Chapter 512 (H.B. No. 2035), Acts of the 74th
871-23   Legislature, Regular Session, 1995, is repealed.
871-24         (c)  Section 2, Chapter 434 (S.B. No. 1504), Acts of the 74th
 872-1   Legislature, Regular Session, 1995, is repealed.
 872-2         (d)  Section 521.294(e), Transportation Code, is amended to
 872-3   conform to the repeal of the law from which Section 521.294(d)(3)
 872-4   of that code was derived by Section 2, Chapter 434, Acts of the
 872-5   74th Legislature, Regular Session, 1995, to read as follows:
 872-6         (e)  The presiding officer shall report the officer's
 872-7   determination to the department.  [If the presiding officer makes
 872-8   an affirmative determination under Subsection (d)(3), the presiding
 872-9   officer shall report to the department to revoke the person's
872-10   license until notice to reinstate the license is received under
872-11   Section 702.004(c).]
872-12         SECTION 30.90.  Section 521.306(c), Transportation Code, is
872-13   amended to conform to the redesignation of Section 521.294(d)(6) of
872-14   that code as Section 521.294(d)(5) by this Act to read as follows:
872-15         (c)  The department may not reinstate a license suspended
872-16   under Section 521.294(d)(5) [521.294(d)(6)] until the court that
872-17   filed the report for which the license was suspended files an
872-18   additional report on final disposition of the case.
872-19         SECTION 30.91.  (a)  Section 521.310, Transportation Code, is
872-20   amended to conform to Section 3, Chapter 434 (S.B. No. 1504), Acts
872-21   of the 74th Legislature, Regular Session, 1995, to read as follows:
872-22         Sec. 521.310.  DENIAL OF LICENSE RENEWAL [REVOCATION] AFTER
872-23   [MUNICIPAL] WARNING.  The [(a)  After a hearing under Section
872-24   521.291, the] department may deny the renewal of [revoke] the
 873-1   driver's license [operating privilege] of a person about whom the
 873-2   department has received information [from a municipality] under
 873-3   Section 706.004 until [702.004.]
 873-4         [(b)  If the department revokes an operating privilege under
 873-5   this section, the department shall prohibit the person from
 873-6   obtaining a driver's license.  The prohibition expires on] the date
 873-7   the department receives a notification from the political
 873-8   subdivision [municipality] under Section 706.005 that there is no
 873-9   cause to deny the renewal based on the person's previous failure to
873-10   appear for a complaint, citation, or court order to pay a fine
873-11   involving a violation of a traffic law [Section 702.004 to
873-12   reinstate the person's operating privilege].
873-13         (b)  Section 3, Chapter 434 (S.B. No. 1504), Acts of the 74th
873-14   Legislature, Regular Session, 1995, is repealed.
873-15         SECTION 30.92.  (a)  Section 521.312, Transportation Code, is
873-16   amended to conform to Section 1, Chapter 640 (H.B. No. 2389), Acts
873-17   of the 74th Legislature, Regular Session, 1995, and to Section 3,
873-18   Chapter 1039 (H.B. No. 2029), Acts of the 74th Legislature, Regular
873-19   Session, 1995, to read as follows:
873-20         Sec. 521.312.  REVOCATION FOR MEDICAL REASONS.  (a)  A person
873-21   may not operate a motor vehicle if the person:
873-22               (1)  is a chemically dependent person who:
873-23                     (A)  is likely to cause serious harm to the
873-24   person or to others; or
 874-1                     (B)  will, if not treated, continue to suffer
 874-2   abnormal mental, emotional, or physical distress, or to deteriorate
 874-3   in ability to function independently [addicted to the use of
 874-4   alcohol or a controlled substance]; or
 874-5               (2)  has been determined by a judgment of a court to be
 874-6   totally incapacitated or incapacitated to act as the operator of a
 874-7   motor vehicle [mentally incompetent and has not been:]
 874-8                     [(A)  restored to competency by judicial decree;
 874-9   or]
874-10                     [(B)  released from a hospital for the mentally
874-11   incompetent on a certificate by the superintendent of the hospital
874-12   that the person is competent].
874-13         (b)  The driver's license of a [A finding that the] person is
874-14   revoked on:
874-15               (1)  the judgment of a court that the person is totally
874-16   incapacitated or incapacitated to act as the operator of a motor
874-17   vehicle; or
874-18               (2)  the order of a court of involuntary treatment of
874-19   the person under Subchapter D, Chapter 462, Health and Safety Code
874-20   [addicted to the use of alcohol or a controlled substance must be
874-21   based on a court determination that the person is psychologically
874-22   or physiologically dependent on the alcohol or controlled
874-23   substance].
874-24         (c)  If the person has not been issued a driver's license,
 875-1   the judgment or order of a court under Subsection (b) automatically
 875-2   prohibits the department from issuing a driver's license to the
 875-3   person  [A court finding that a person is mentally incompetent or
 875-4   addicted to the use of alcohol or a controlled substance must
 875-5   include an order for the revocation of the person's driver's
 875-6   license].
 875-7         (d)  The clerk of the court that renders a judgment or enters
 875-8   an order under Subsection (b) shall notify [certify the finding to]
 875-9   the department of the court's judgment or order before [not later
875-10   than] the 10th day after the date the court renders the judgment or
875-11   enters the order [that the findings are made].
875-12         (e)  The revocation of a driver's license under Subsection
875-13   (b) or the prohibition against the issuance of a driver's license
875-14   under Subsection (c) expires on the date on which:
875-15               (1)  the person is:
875-16                     (A)  restored to capacity by judicial decree; or
875-17                     (B)  released from a hospital for the mentally
875-18   incapacitated on a certificate of the superintendent or
875-19   administrator that the person has regained capacity; or
875-20               (2)  the order of involuntary treatment of the
875-21   chemically dependent person expires.
875-22         (f)  Before the 10th day after the date under Subsection
875-23   (e)(1)(A) or (2), the clerk of the appropriate court shall notify
875-24   the department that:
 876-1               (1)  the person has been restored to capacity by
 876-2   judicial decree; or
 876-3               (2)  the order of involuntary treatment has expired or
 876-4   has been terminated under Section 462.080(d), Health and Safety
 876-5   Code.
 876-6         (g)  Before the 10th day after the date under Subsection
 876-7   (e)(1)(B), the superintendent or administrator of the hospital
 876-8   shall notify the department that the person has been released from
 876-9   the hospital on a certificate that the person has regained
876-10   capacity.
876-11         (h)  In this section:
876-12               (1)  "Chemically dependent person" means a person with
876-13   chemical dependency.
876-14               (2)  "Chemical dependency" and "treatment" have the
876-15   meanings assigned those terms by Section 462.001, Health and Safety
876-16   Code.
876-17         (b)  Section 1, Chapter 640 (H.B. No. 2389), Acts of the 74th
876-18   Legislature, Regular Session, 1995, is repealed.
876-19         (c)  Section 3, Chapter 1039 (H.B. No. 2029), Acts of the
876-20   74th Legislature, Regular Session, 1995, is repealed.
876-21         SECTION 30.93.  (a)  Section 521.341, Transportation Code, is
876-22   amended to conform to Section 3, Chapter 708 (S.B. No. 281), Acts
876-23   of the 74th Legislature, Regular Session, 1995, to read as follows:
876-24         Sec. 521.341.  REQUIREMENTS FOR AUTOMATIC LICENSE SUSPENSION.
 877-1   Except as provided by Sections 521.344(d)-(i), a license is
 877-2   automatically suspended on final conviction of the license holder
 877-3   of:
 877-4               (1)  an offense under Section 19.05, Penal Code,
 877-5   committed as a result of the holder's criminally negligent
 877-6   operation of a motor vehicle;
 877-7               (2)  an offense under Section 38.04, Penal Code;
 877-8               (3)  an offense under Section 49.04 or 49.08 [49.07],
 877-9   Penal Code[, committed as a result of the introduction of alcohol
877-10   into the body];
877-11               (4) [(3)]  an offense under Section 49.07 [49.08],
877-12   Penal Code, if the person used a motor vehicle in the commission of
877-13   the offense;
877-14               (5) [(4)]  an offense punishable as a felony under the
877-15   motor vehicle laws of this state;
877-16               (6) [(5)]  an offense under Section 550.021; or
877-17               (7) [(6)]  an offense under Section 521.451 or 521.453.
877-18         (b)  Section 3, Chapter 708 (S.B. No. 281), Acts of the 74th
877-19   Legislature, Regular Session, 1995, is repealed.
877-20         SECTION 30.94.  (a)  Section 521.342(a), Transportation Code,
877-21   is amended to conform to Section 77, Chapter 318 (S.B. No. 15),
877-22   Acts of the 74th Legislature, Regular Session, 1995, to read as
877-23   follows:
877-24         (a)  Except as provided by Section 521.344, the [The] license
 878-1   of a person who was under 21 years of age at the time of the
 878-2   offense, other than an offense classified as a misdemeanor
 878-3   punishable by fine only, is automatically suspended on conviction
 878-4   of:
 878-5               (1)  an offense under Section 49.04 or 49.07, Penal
 878-6   Code, committed as a result of the introduction of alcohol into the
 878-7   body;
 878-8               (2)  an offense under the Alcoholic Beverage Code
 878-9   involving the manufacture, delivery, possession, transportation, or
878-10   use of an alcoholic beverage;
878-11               (3)  a misdemeanor offense under Chapter 481, Health
878-12   and Safety Code, for which Subchapter P does not require the
878-13   automatic suspension of the license;
878-14               (4)  an offense under Chapter 483, Health and Safety
878-15   Code, involving the manufacture, delivery, possession,
878-16   transportation, or use of a dangerous drug; or
878-17               (5)  an offense under Chapter 484, Health and Safety
878-18   Code, involving the manufacture, delivery, possession,
878-19   transportation, or use of a volatile chemical.
878-20         (b)  Section 77, Chapter 318 (S.B. No. 15), Acts of the 74th
878-21   Legislature, Regular Session, 1995, is repealed.
878-22         SECTION 30.95.  (a)  Section 521.342(b), Transportation Code,
878-23   is amended to conform to Section 79, Chapter 318 (S.B. No. 15),
878-24   Acts of the 74th Legislature, Regular Session, 1995, to read as
 879-1   follows:
 879-2         (b)  The department shall suspend for one year the license of
 879-3   a person who is under 21 years of age and is convicted of an
 879-4   offense under Section 49.04, 49.07, or 49.08, Penal Code,
 879-5   regardless of whether the person is required to attend an
 879-6   educational program under Section 13(h), Article 42.12, Code of
 879-7   Criminal Procedure, that is designed to rehabilitate persons who
 879-8   have operated motor vehicles while intoxicated, unless the person
 879-9   is placed under community supervision under that article and is
879-10   required as a condition of the community supervision to not operate
879-11   a motor vehicle unless the vehicle is equipped with the device
879-12   described by Section 13(i) of that article.  If the person is
879-13   required to attend such a program and does not complete the program
879-14   before the end of the person's suspension, the department shall
879-15   suspend the person's license or continue the suspension, as
879-16   appropriate, until the department receives proof that the person
879-17   has successfully completed the program.  A person who completes the
879-18   program may submit proof of the completion to the clerk of the
879-19   convicting court.  The clerk shall send the proof to the department
879-20   in the manner provided by Section 13(h), Article 42.12, Code of
879-21   Criminal Procedure.
879-22         (b)  Section 79, Chapter 318 (S.B. No. 15), Acts of the 74th
879-23   Legislature, Regular Session, 1995, is repealed.
879-24         SECTION 30.96.  (a)  Section 521.344(d), Transportation Code,
 880-1   is amended to conform to Section 78, Chapter 318 (S.B. No. 15),
 880-2   Acts of the 74th Legislature, Regular Session, 1995, to read as
 880-3   follows:
 880-4         (d)  Except as provided by Subsection (e) and Section
 880-5   521.342(b), during a period of probation the department may not
 880-6   revoke the person's license if the person is required under Section
 880-7   13(h) or (j), Article 42.12, Code of Criminal Procedure, to
 880-8   successfully complete an educational program designed to
 880-9   rehabilitate persons who have operated motor vehicles while
880-10   intoxicated.  The department may not revoke the license of a
880-11   person:
880-12               (1)  for whom the jury has recommended that the license
880-13   not be revoked under Section 13(g), Article 42.12, Code of Criminal
880-14   Procedure; or
880-15               (2)  who is placed under community supervision under
880-16   that article and is required as a condition of community
880-17   supervision to not operate a motor vehicle unless the vehicle is
880-18   equipped with the device described by Section 13(i) of that
880-19   article.
880-20         (b)  Section 78, Chapter 318 (S.B. No. 15), Acts of the 74th
880-21   Legislature, Regular Session, 1995, is repealed.
880-22         SECTION 30.97.  (a)  Section 521.345, Transportation Code, is
880-23   amended to conform to Section 2, Chapter 615 (H.B. No. 1375), Acts
880-24   of the 74th Legislature, Regular Session, 1995, to read as follows:
 881-1         Sec. 521.345.  SUSPENSION ON ORDER OF JUVENILE COURT OR ON
 881-2   ORDER OF COURT BASED ON ALCOHOLIC BEVERAGE VIOLATION BY MINOR.  (a)
 881-3   The department shall suspend the license of a person on receipt of
 881-4   an order to suspend the license that is issued by:
 881-5               (1)  a juvenile court under Section 54.042, Family
 881-6   Code; or
 881-7               (2)  a court under Section 106.115, Alcoholic Beverage
 881-8   Code.
 881-9         (b)  The period of suspension is for the period specified in
881-10   the order.
881-11         (b)  Section 2, Chapter 615 (H.B. No. 1375), Acts of the 74th
881-12   Legislature, Regular Session, 1995, is repealed.
881-13         SECTION 30.98.  (a)  Section 521.457(a), Transportation Code,
881-14   is amended to conform to Section 4, Chapter 434 (S.B. No. 1504),
881-15   Acts of the 74th Legislature, Regular Session, 1995, to read as
881-16   follows:
881-17         (a)  A person commits an offense if the person operates a
881-18   motor vehicle on a highway:
881-19               (1)  after the person's driver's license has been
881-20   canceled under this chapter if the person does not have a license
881-21   that was subsequently issued under this chapter;
881-22               (2)  during a period that the person's driver's license
881-23   or privilege is suspended or revoked under:
881-24                     (A)  this chapter;
 882-1                     (B)  Chapter 524;
 882-2                     (C)  Chapter 724; or
 882-3                     (D)  Article 42.12, Code of Criminal Procedure;
 882-4   [or]
 882-5               (3)  while the person's driver's license is expired if
 882-6   the license expired during a period of suspension imposed under:
 882-7                     (A)  this chapter;
 882-8                     (B)  Chapter 524;
 882-9                     (C)  Chapter 724; or
882-10                     (D)  Article 42.12, Code of Criminal Procedure;
882-11   or
882-12               (4)  after renewal of the person's driver's license has
882-13   been denied under Chapter 706, if the person does not have a
882-14   driver's license subsequently issued under this chapter.
882-15         (b)  Section 4, Chapter 434 (S.B. No. 1504), Acts of the 74th
882-16   Legislature, Regular Session, 1995, is repealed.
882-17         SECTION 30.99.  Section 521.456(d), Transportation Code, is
882-18   amended to correct a reference to the Texas Department of Criminal
882-19   Justice to read as follows:
882-20         (d)  An offense under this section is a felony punishable by
882-21   imprisonment in the institutional division of the Texas [State]
882-22   Department of Criminal Justice for not less than two years or more
882-23   than five years.
882-24         SECTION 30.100.  (a)  Subchapter C, Chapter 522,
 883-1   Transportation Code, is amended to conform to Section 1, Chapter
 883-2   767 (S.B. No. 472), Acts of the 74th Legislature, Regular Session,
 883-3   1995, by adding Section 522.0235 to read as follows:
 883-4         Sec. 522.0235.  WAIVER OF VISUAL STANDARDS FOR INTRASTATE
 883-5   DRIVER.  (a)  Except as provided by Subsection (b), the department
 883-6   by rule may provide for a waiver of the visual standards for a
 883-7   commercial driver's license in 49 C.F.R. Part 391, Subpart E, if
 883-8   the person who is applying for a commercial driver's license or who
 883-9   has been issued a commercial driver's license is a person who
883-10   drives a commercial motor vehicle only in this state.
883-11         (b)  Subsection (a) does not apply to standards for distant
883-12   binocular acuity.
883-13         (b)  The following laws are repealed:
883-14               (1)  Section 1, Chapter 767 (S.B. No. 472), Acts of the
883-15   74th Legislature, Regular Session, 1995; and
883-16               (2)  Section 82, Chapter 318 (S.B. No. 15), Acts of the
883-17   74th Legislature, Regular Session, 1995.
883-18         SECTION 30.101.  The heading to Subchapter P, Chapter 521,
883-19   Transportation Code, is amended to more accurately reflect the
883-20   content of that subchapter to read as follows:
883-21                 SUBCHAPTER P.  AUTOMATIC SUSPENSION FOR
883-22                     CERTAIN [FELONY] DRUG OFFENSES
883-23         SECTION 30.102.  Section 524.012(e), Transportation Code, is
883-24   amended to more closely conform to the law from which that section
 884-1   was derived to read as follows:
 884-2         (e)  A determination under this section:
 884-3               (1)  is a civil matter;
 884-4               (2)  is independent of and is not an estoppel [a bar]
 884-5   to any matter in issue in an adjudication of a criminal charge
 884-6   arising from the occurrence that is the basis for the suspension;
 884-7   and
 884-8               (3)  does not preclude litigation of the same or
 884-9   similar facts in a criminal prosecution.
884-10         SECTION 30.103.  Section 541.001, Transportation Code, is
884-11   amended to conform to the repeal of Section 2(o), Uniform Act
884-12   Regulating Traffic on Highways (Article 6701d, Vernon's Texas Civil
884-13   Statutes), by Section 31(a)(12), Chapter 705 (S.B. No. 3), Acts of
884-14   the 74th Legislature, Regular Session, 1995, to read as follows:
884-15         Sec. 541.001.  PERSONS.  In this subtitle:
884-16               (1)  ["Motor carrier" means a common carrier,
884-17   specialized carrier, or contract carrier that transports property
884-18   or passengers by motor vehicle or a private carrier that transports
884-19   property by motor vehicle.  The term:]
884-20                     [(A)  includes an employee, owner, lessee, or
884-21   officer acting for a motor carrier; and]
884-22                     [(B)  excludes a well-servicing unit or a
884-23   self-powered drilling rig.]
884-24               [(2)]  "Operator" means, as used in reference to a
 885-1   vehicle, a person who drives or has physical control of a vehicle.
 885-2               (2) [(3)]  "Owner" means, as used in reference to a
 885-3   vehicle, a person who has a property interest in or title to a
 885-4   vehicle.  The term:
 885-5                     (A)  includes a person entitled to use and
 885-6   possess a vehicle subject to a security interest; and
 885-7                     (B)  excludes a lienholder and a lessee whose
 885-8   lease is not intended as security.
 885-9               (3) [(4)]  "Pedestrian" means a person on foot.
885-10               (4) [(5)]  "Person" means an individual, firm,
885-11   partnership, association, or corporation.
885-12               (5) [(6)]  "School crossing guard" means a responsible
885-13   person who is at least 18 years of age and is designated by a local
885-14   authority to direct traffic in a school crossing zone for the
885-15   protection of children going to or leaving a school.
885-16         SECTION 30.104.  Section 542.205, Transportation Code, is
885-17   amended to conform to the termination of the Interstate Commerce
885-18   Commission and the creation of the Surface Transportation Board by
885-19   the Interstate Commerce Commission Termination Act of 1995 (Pub. L.
885-20   No. 104-88) and to the transfer of motor carrier safety regulatory
885-21   responsibilities from the Railroad Commission of Texas to the
885-22   Department of Public Safety by Chapter 705 (S.B. No. 3), Acts of
885-23   the 74th Legislature, Regular Session, 1995, to read as follows:
885-24         Sec. 542.205.  Conflict Between This Subtitle and an Order,
 886-1   Rule, or Regulation of Certain Agencies.  (a)  If this subtitle
 886-2   conflicts with an order, rule, regulation, or requirement of the
 886-3   federal Surface Transportation Board [Interstate Commerce
 886-4   Commission] or the department [Railroad Commission of Texas]
 886-5   relating to a vehicle safety requirement, including a requirement
 886-6   relating to vehicle equipment, compliance by the owner or operator
 886-7   of the vehicle with the order, rule, regulation, or requirement of
 886-8   the federal Surface Transportation Board [Interstate Commerce
 886-9   Commission] or the department [Railroad Commission of Texas] is
886-10   compliance with this subtitle.
886-11         (b)  The owner or operator of a vehicle shall comply with any
886-12   requirement of this subtitle that is in addition to, but not in
886-13   conflict with, a requirement of the federal Surface Transportation
886-14   Board [Interstate Commerce Commission] or the department [Railroad
886-15   Commission of Texas].
886-16         SECTION 30.105.  (a)  Section 542.402, Transportation Code,
886-17   is amended to conform to Section 1, Chapter 30 (H.B. No. 839),
886-18   Sections 1 and 2, Chapter 56 (H.B. No. 840), Acts of the 74th
886-19   Legislature, Regular Session, 1995, and to Section 1, Chapter 992
886-20   (S.B. No. 20), Acts of the 74th Legislature, Regular Session, 1995,
886-21   by amending Subsection (b) and adding Subsections (c)-(e) to read
886-22   as follows:
886-23         (b)  In each fiscal year, a municipality having a population
886-24   of less than 5,000 may retain, from fines collected for violations
 887-1   of highway laws in this subtitle and from special expenses
 887-2   collected under Article 45.54, Code of Criminal Procedure, in cases
 887-3   in which a violation of this subtitle is alleged, an amount equal
 887-4   to 30 percent of the municipality's revenue for the preceding
 887-5   fiscal year from all sources, other than federal funds and bond
 887-6   proceeds, as shown by the audit performed under Section 103.001,
 887-7   Local Government Code.  After a municipality has retained that
 887-8   amount, the municipality shall send to the comptroller [state
 887-9   treasurer] any portion of a fine or a special expense collected
887-10   that exceeds $1.
887-11         (c)  The comptroller shall enforce Subsection (b).
887-12         (d)  In a fiscal year in which a municipality retains from
887-13   fines and special expenses collected for violations of highway laws
887-14   in this subtitle an amount equal to at least 20 percent of the
887-15   municipality's revenue for the preceding fiscal year from all
887-16   sources other than federal funds and bond proceeds, not later than
887-17   the 120th day after the last day of the municipality's fiscal year,
887-18   the municipality shall send to the comptroller:
887-19               (1)  a copy of the municipality's financial statement
887-20   for that fiscal year filed under Chapter 103, Local Government
887-21   Code; and
887-22               (2)  a report that shows the total amount collected for
887-23   that fiscal year from fines and special expenses under Subsection
887-24   (b).
 888-1         (e)  If an audit is conducted by the comptroller under
 888-2   Subsection (c) and it is determined that the municipality is
 888-3   retaining more than 20 percent of the amounts under Subsection (b)
 888-4   and has not complied with Subsection (d), the municipality shall
 888-5   pay the costs incurred by the comptroller in conducting the audit.
 888-6         (b)  Section 1, Chapter 30 (H.B. No. 839), and Sections 1 and
 888-7   2, Chapter 56 (H.B. No. 840), Acts of the 74th Legislature, Regular
 888-8   Session, 1995, are repealed.
 888-9         SECTION 30.106.  (a)  Section 543.102, Transportation Code,
888-10   is amended to conform to Section 1, Chapter 334 (S.B. No. 645),
888-11   Acts of the 74th Legislature, Regular Session, 1995, to read as
888-12   follows:
888-13         Sec. 543.102.  NOTICE OF RIGHT TO COMPLETE COURSE.  The court
888-14   shall advise a person charged with a misdemeanor under this
888-15   subtitle, committed while operating a motor vehicle, of the
888-16   person's right to successfully complete a driving safety course or,
888-17   if the offense was committed while operating a motorcycle, a
888-18   motorcycle operator training course.  The right to complete a
888-19   course does not apply to a person charged with a violation of
888-20   Section 545.066, 545.401, 545.421, 550.022, or 550.023 or a serious
888-21   traffic violation as defined by Section 522.003.
888-22         (b)  Section 543.103, Transportation Code, is amended to
888-23   conform to Section 1, Chapter 334 (S.B. No. 645), and Section 28,
888-24   Chapter 1009 (S.B. No. 964), Acts of the 74th Legislature, Regular
 889-1   Session, 1995, to read as follows:
 889-2         Sec. 543.103.  MANDATORY DEFERRAL.  (a)  Subject to
 889-3   Subsection (b), the [The] court shall defer proceedings and allow a
 889-4   person:
 889-5               (1)  90 days to take a driving safety course approved
 889-6   under the Texas Driver and Traffic Safety Education Act (Article
 889-7   4413(29c), Vernon's Texas Civil Statutes) or, if the offense was
 889-8   committed while operating a motorcycle, a motorcycle operator
 889-9   training course approved by the department under Chapter 662; and
889-10               (2)  30 additional days to present:
889-11                     (A)  a uniform certificate of course completion
889-12   as written evidence that after the alleged violation the person
889-13   successfully completed the [a] driving safety course; or
889-14                     (B)  written evidence that after the alleged
889-15   violation the person successfully completed the motorcycle operator
889-16   training course.
889-17         (b)  Subsection (a) applies only [approved under the Texas
889-18   Driver and Traffic Safety Education Act (Article 4413(29c),
889-19   Vernon's Texas Civil Statutes)] if:
889-20               (1)  the person enters a plea in person or in writing
889-21   of no contest or guilty and, before the answer date on the notice
889-22   to appear [citation]:
889-23                     (A)  presents in person to the court an oral or
889-24   written request to take a course; or
 890-1                     (B)  sends to the court by certified mail, return
 890-2   receipt requested, postmarked on or before the answer date on the
 890-3   notice to appear, a written request to take a course;
 890-4               (2)  the court enters judgment on the person's plea of
 890-5   no contest or guilty at the time the plea is made but defers
 890-6   imposition of the judgment for 90 days;
 890-7               (3)  the person has a Texas driver's license or permit;
 890-8               (4)  the person's driving record as maintained by the
 890-9   department does not show successful completion of a driving safety
890-10   course or a motorcycle operator training course, as appropriate,
890-11   under this section within one year before the date of the alleged
890-12   violation;
890-13               (5)  the person files an affidavit with the court
890-14   stating that the person is not taking a course under this section
890-15   and has not completed a course under this section that is not shown
890-16   on the person's driving record;
890-17               (6)  the person is charged with an offense to which
890-18   this subchapter applies other than speeding 25 miles per hour or
890-19   more over the posted speed limit; and
890-20               (7)  the person provides evidence of financial
890-21   responsibility as required by Chapter 601.
890-22         (c) [(b)]  Notwithstanding Subsection (b)(1) [(a)(1)], on a
890-23   written motion submitted to the court before the final disposition
890-24   of the case, the court may grant a request to take a driving safety
 891-1   course or a motorcycle operator training course under this section.
 891-2         (c)  Section 543.104, Transportation Code, is amended to
 891-3   conform to Section 1, Chapter 334 (S.B. No. 645), and Section 28,
 891-4   Chapter 1009 (S.B. No. 964), Acts of the 74th Legislature, Regular
 891-5   Session, 1995, to read as follows:
 891-6         Sec. 543.104.  PERMISSIVE DEFERRAL.  On a written motion
 891-7   submitted to the court before the final disposition of the case,
 891-8   the court may defer proceedings and allow a person:
 891-9               (1)  90 days to take a driving safety course approved
891-10   under the Texas Driver and Traffic Safety Education Act (Article
891-11   4413(29c), Vernon's Texas Civil Statutes) or, if the offense was
891-12   committed while operating a motorcycle, a motorcycle operator
891-13   training course approved by the department under Chapter 662; and
891-14               (2)  30 additional days to present:
891-15                     (A)  a uniform certificate of course completion
891-16   as evidence that after the alleged violation the person
891-17   successfully completed the [a] driving safety course; or
891-18                     (B)  written evidence that after the alleged
891-19   violation the person successfully completed the motorcycle operator
891-20   training course [approved under the Texas Driver and Traffic Safety
891-21   Education Act (Article 4413(29c), Vernon's Texas Civil Statutes)].
891-22         (d)  Section 543.111, Transportation Code, is amended to
891-23   conform to Section 28, Chapter 1009 (S.B. No. 964), Acts of the
891-24   74th Legislature, Regular Session, 1995, to read as follows:
 892-1         Sec. 543.111.  REGULATION BY CERTAIN STATE AGENCIES.  (a)
 892-2   The State Board of Education shall[:]
 892-3               [(1)]  enter into a memorandum of understanding with
 892-4   the Texas Department of Insurance for the interagency development
 892-5   of a curriculum for driving safety courses.[; and]
 892-6         (b)  The Texas Education Agency shall:
 892-7               (1) [(2)]  adopt and administer comprehensive rules
 892-8   governing driving safety courses; and
 892-9               (2)  investigate options to develop and implement
892-10   procedures to electronically transmit information pertaining to
892-11   driving safety courses to municipal and justice courts[, which the
892-12   Central Education Agency shall administer].
892-13         (e)  Section 543.112, Transportation Code, is amended to
892-14   conform to Sections 28 and 29, Chapter 1009 (S.B. No. 964), Acts of
892-15   the 74th Legislature, Regular Session, 1995, to read as follows:
892-16         Sec. 543.112.  STANDARDS FOR UNIFORM CERTIFICATE OF COURSE
892-17   COMPLETION.  (a)  The Texas Education Agency by rule shall provide
892-18   for the design and distribution of uniform certificates of course
892-19   completion so as to prevent to the greatest extent possible the
892-20   unauthorized production or misuse of the certificates.
892-21         (b)  The uniform certificate of course completion must
892-22   include an identifying number by which the Texas [Central]
892-23   Education Agency, the court, or the department may verify its
892-24   authenticity with the course provider and must be[:]
 893-1               [(1)]  in a form adopted by the Texas [Central]
 893-2   Education Agency[;]
 893-3               [(2)  not more than 8-1/2 inches by 3-1/2 inches in
 893-4   size; and]
 893-5               [(3)  printed on copy-resistant paper in not fewer than
 893-6   two self-copying parts to provide a control copy of the certificate
 893-7   to be retained by the course provider under rules adopted by the
 893-8   State Board of Education].
 893-9         (c)  The Texas Education Agency shall issue duplicate uniform
893-10   certificates of course completion.  The State Board of Education by
893-11   rule shall determine the amount of the fee to be charged for
893-12   issuance of a duplicate certificate.
893-13         (d)  A driving safety course provider shall electronically
893-14   submit data identified by the Texas Education Agency pertaining to
893-15   issued uniform certificates of course completion to the agency as
893-16   directed by the agency.
893-17         (f)  Section 543.113, Transportation Code, is amended to
893-18   conform to Section 29, Chapter 1009 (S.B. No. 964), Acts of the
893-19   74th Legislature, Regular Session, 1995, to read as follows:
893-20         Sec. 543.113.  FEES [FEE] FOR PRINTING AND SUPPLYING
893-21   CERTIFICATE.  (a)  The Texas [Central] Education Agency shall print
893-22   the uniform certificates and supply them to persons who are
893-23   licensed providers [owners or primary consignees] of courses
893-24   approved under the Texas Driver and Traffic Safety Education Act
 894-1   (Article 4413(29c), Vernon's Texas Civil Statutes).  The agency may
 894-2   charge a fee [of $1] for each certificate.  The fee may not exceed
 894-3   $4.
 894-4         (b)  A course provider shall [An owner or consignee may not]
 894-5   charge an operator a fee equal to [that is more than] the fee paid
 894-6   to the agency for a certificate.
 894-7         (c)  Money collected by the Texas Education Agency under this
 894-8   section may be used only to pay monetary awards for information
 894-9   relating to abuse of uniform certificates that leads to the
894-10   conviction or removal of an approval, license, or authorization.
894-11         (g)  Subchapter B, Chapter 543, Transportation Code, is
894-12   amended to conform to Sections 28 and 29, Chapter 1009 (S.B. No.
894-13   964), Acts of the 74th Legislature, Regular Session, 1995, by
894-14   adding Sections 543.115 and 543.116 to read as follows:
894-15         Sec. 543.115.  FEES FOR DRIVING SAFETY COURSE.  (a)  A
894-16   driving safety course may not be provided to a student for less
894-17   than $25.
894-18         (b)  A course provider shall charge each student a fee for
894-19   course materials and for overseeing and administering the course.
894-20   The fee may not be less than $3.
894-21         Sec. 543.116.  DELIVERY OF UNIFORM CERTIFICATE OF COURSE
894-22   COMPLETION.  (a)  A driving safety course provider shall mail an
894-23   issued uniform certificate of course completion to a person who
894-24   successfully completes the course.
 895-1         (b)  The certificate must be mailed not later than the 15th
 895-2   working day after the date a person successfully completes the
 895-3   course.
 895-4         (h)  Section 1, Chapter 334 (S.B. No. 645), and Sections 28
 895-5   and 29, Chapter 1009 (S.B. No. 964), Acts of the 74th Legislature,
 895-6   Regular Session, 1995, are repealed.
 895-7         SECTION 30.107.  (a)  Section 545.251, Transportation Code,
 895-8   is amended to conform to Section 1, Chapter 881 (S.B. No. 1513),
 895-9   Acts of the 74th Legislature, Regular Session, 1995, to read as
895-10   follows:
895-11         Sec. 545.251.  OBEDIENCE TO SIGNAL INDICATING APPROACH OF
895-12   TRAIN.  (a)  An operator approaching a railroad grade crossing
895-13   shall stop not closer than 15 feet or farther than 50 feet from the
895-14   nearest rail if:
895-15               (1)  a clearly visible railroad [electric or
895-16   mechanical] signal [device] warns of the [immediate] approach of a
895-17   railroad train;
895-18               (2)  a crossing gate is lowered, or a flagger warns of
895-19   [signals] the approach or passage of a railroad train;
895-20               (3)  a railroad engine approaching within approximately
895-21   1,500 feet of the highway crossing emits a signal audible from that
895-22   distance and the engine is an immediate hazard because of its speed
895-23   or proximity to the crossing; [or]
895-24               (4)  an approaching railroad train is plainly visible
 896-1   and is in hazardous proximity to the crossing; or
 896-2               (5)  the operator is required to stop by:
 896-3                     (A)  other law;
 896-4                     (B)  a rule adopted under a statute;
 896-5                     (C)  an official traffic-control device; or
 896-6                     (D)  a traffic-control signal.
 896-7         (b)  An operator of a vehicle [who stops as] required by
 896-8   Subsection (a) to stop shall remain stopped until permitted to
 896-9   proceed and may not proceed until it is safe to do so.
896-10         (c)  An operator commits an offense if the operator drives
896-11   around, under, or through a crossing gate or a barrier at a
896-12   railroad crossing while the gate or barrier is closed, being
896-13   closed, or being opened.
896-14         (d)  In a prosecution under Subsection (a)(4), proof that at
896-15   the time of the offense a railroad train was approaching the grade
896-16   crossing and that the train was visible from the crossing is prima
896-17   facie evidence that it was not safe for the operator to proceed.
896-18         (e)  An offense under this section is punishable by a fine of
896-19   not less than $50 or more than $200.
896-20         (b)  Section 545.252, Transportation Code, is amended to
896-21   conform to Section 2, Chapter 881 (S.B. No. 1513), Acts of the 74th
896-22   Legislature, Regular Session, 1995, by amending Subsection (a) and
896-23   adding Subsection (d) to read as follows:
896-24         (a)  The Texas Department of Transportation [Commission] or a
 897-1   local authority, with respect to a highway in its jurisdiction,
 897-2   may:
 897-3               (1)  designate a railroad grade crossing as
 897-4   particularly dangerous; and
 897-5               (2)  erect a stop sign or other official
 897-6   traffic-control device at the grade crossing.
 897-7         (d)  An offense under this section is punishable by a fine of
 897-8   not less than $50 or more than $200.
 897-9         (c)  Section 545.253, Transportation Code, is amended to
897-10   conform to Section 3, Chapter 881 (S.B. No. 1513), Acts of the 74th
897-11   Legislature, Regular Session, 1995, by adding Subsection (e) to
897-12   read as follows:
897-13         (e)  An offense under this section is punishable by a fine of
897-14   not less than $50 or more than $200.
897-15         (d)  Section 545.254, Transportation Code, is amended to
897-16   conform to Section 4, Chapter 881 (S.B. No. 1513), Acts of the 74th
897-17   Legislature, Regular Session, 1995, by adding Subsection (e) to
897-18   read as follows:
897-19         (e)  An offense under this section is punishable by a fine of
897-20   not less than $50 or more than $200.
897-21         (e)  Section 545.255, Transportation Code, is amended to
897-22   conform to Section 5, Chapter 881 (S.B. No. 1513), Acts of the 74th
897-23   Legislature, Regular Session, 1995, by adding Subsection (e) to
897-24   read as follows:
 898-1         (e)  An offense under this section is punishable by a fine of
 898-2   not less than $50 or more than $200.
 898-3         (f)  Sections 1-5, Chapter 881 (S.B. No. 1513), Acts of the
 898-4   74th Legislature, Regular Session, 1995, are repealed.
 898-5         SECTION 30.108.  (a)  Subchapter F, Chapter 545,
 898-6   Transportation Code, is amended to conform to Section 1, Chapter
 898-7   801 (H.B. No. 1124), Acts of the 74th Legislature, Regular Session,
 898-8   1995, by adding Section 545.2555 to read as follows:
 898-9         Sec. 545.2555.  REPORT AND INVESTIGATION OF CERTAIN RAILROAD
898-10   CROSSING VIOLATIONS.  (a)  A person who on site observes a
898-11   violation of Section 545.251, 545.252, 545.253, 545.254, or 545.255
898-12   may file a report of the violation if the person:
898-13               (1)  is an on-engine employee of a railroad; and
898-14               (2)  observes the violation while on a moving engine.
898-15         (b)  A report under this section must:
898-16               (1)  be made:
898-17                     (A)  on a form approved by the department; and
898-18                     (B)  not later than 72 hours after the violation;
898-19               (2)  be filed with:
898-20                     (A)  an office of the department located in the
898-21   county in which the violation occurred;
898-22                     (B)  the sheriff of the county in which the
898-23   violation occurred, if the violation occurred in the unincorporated
898-24   area of the county; or
 899-1                     (C)  the police department of a municipality, if
 899-2   the violation occurred in the municipality; and
 899-3               (3)  contain, in addition, to any other required
 899-4   information:
 899-5                     (A)  the date, time, and location of the
 899-6   violation;
 899-7                     (B)  the license plate number and a description
 899-8   of the vehicle involved in the violation;
 899-9                     (C)  a description of the operator of the vehicle
899-10   involved in the violation; and
899-11                     (D)  the name, address, and telephone number of
899-12   the person filing the report.
899-13         (c)  A peace officer may:
899-14               (1)  before the seventh day after the date a report
899-15   under this section is filed, initiate an investigation of the
899-16   alleged violation; and
899-17               (2)  request the owner of the reported vehicle, as
899-18   shown by the vehicle registration records of the Texas Department
899-19   of Transportation, to disclose the name and address of the
899-20   individual operating that vehicle at the time of the violation
899-21   alleged in the report.
899-22         (d)  Unless the owner of the reported vehicle believes that
899-23   to provide the peace officer with the name and address of the
899-24   individual operating the vehicle at the time of the violation
 900-1   alleged would incriminate the owner, the owner shall, to the best
 900-2   of the owner's ability, disclose that individual's name and
 900-3   address.
 900-4         (e)  An investigating peace officer who has probable cause to
 900-5   believe that a charge against an individual for a violation of
 900-6   Section 545.251, 545.252, 545.253, 545.254, or 545.255 is justified
 900-7   may:
 900-8               (1)  prepare a written notice to appear in court that
 900-9   complies with Sections 543.003, 543.006, and 543.007; and
900-10               (2)  deliver the notice to the individual named in the
900-11   notice in person or by certified mail.
900-12         (b)  Section 1, Chapter 801 (H.B. No. 1124), Acts of the 74th
900-13   Legislature, Regular Session, 1995, is repealed.
900-14         SECTION 30.109.  Section 545.351(b), Transportation Code, is
900-15   amended to correct a grammatical error to read as follows:
900-16         (b)  An operator:
900-17               (1)  may not drive a vehicle at a speed greater than is
900-18   reasonable and prudent under the conditions and having regard for
900-19   [to] actual and potential hazards then existing; and
900-20               (2)  shall control the speed of the vehicle as
900-21   necessary to avoid colliding with another person or vehicle that is
900-22   on or entering the highway in compliance with law and the duty of
900-23   each person to use due care.
900-24         SECTION 30.110.  (a)  Sections 545.352(b) and (d),
 901-1   Transportation Code, are amended to conform to Section 1, Chapter
 901-2   295 (H.B. No. 321), Acts of the 74th Legislature, Regular Session,
 901-3   1995, to read as follows:
 901-4         (b)  Unless a special hazard exists that requires a slower
 901-5   speed for compliance with Section 545.351(b), the following speeds
 901-6   are lawful:
 901-7               (1)  30 miles per hour in an urban district on a street
 901-8   other than an alley and 15 miles per hour in an alley;
 901-9               (2)  70 miles per hour in daytime and 65 miles per hour
901-10   in nighttime if the vehicle is a passenger car or motorcycle on a
901-11   highway numbered by this state or the United States outside an
901-12   urban district, including a farm-to-market or ranch-to-market road;
901-13               (3)  60 miles per hour in daytime and 55 miles per hour
901-14   in nighttime if the vehicle is a passenger car or motorcycle on a
901-15   highway that is outside an urban district and not a highway
901-16   numbered by this state or the United States;
901-17               (4)  60 miles per hour outside an urban district if a
901-18   speed limit for the vehicle is not otherwise specified by this
901-19   section; or
901-20               (5)  outside an urban district:
901-21                     (A)  45 miles per hour, if the vehicle is towing
901-22   a house trailer of an actual or registered gross weight heavier
901-23   than 4,500 pounds or larger than 32 feet, excluding the tow bar;
901-24                     (B)  50 miles per hour if the vehicle is a school
 902-1   bus on a highway other than an interstate highway;
 902-2                     (C)  55 miles per hour if the vehicle is a school
 902-3   bus on an interstate highway; or
 902-4                     (D) [(C)]  60 miles per hour in daytime and 55
 902-5   miles per hour in nighttime if the vehicle is a truck, other than a
 902-6   light truck, or if the vehicle is a truck tractor, trailer, or
 902-7   semitrailer, or a vehicle towing a trailer, semitrailer, another
 902-8   motor vehicle or house trailer of an actual or registered gross
 902-9   weight lighter than 4,500 pounds and a length of 32 feet or
902-10   shorter, excluding the tow bar.
902-11         (d)  In this section:
902-12               (1)  "Interstate highway" means a segment of the
902-13   national system of interstate and defense highways that is:
902-14                     (A)  located in this state;
902-15                     (B)  officially designated by the Texas
902-16   Transportation Commission; and
902-17                     (C)  approved under Title 23, United States Code.
902-18               (2)  "Light truck" means a truck with a manufacturer's
902-19   rated carrying capacity of not more than 2,000 pounds, including a
902-20   pick-up truck, panel delivery truck, and carry-all truck.
902-21               (3) [(2)]  "Urban district" means the territory
902-22   adjacent to and including a highway, if the territory is improved
902-23   with structures that are used for business, industry, or dwelling
902-24   houses and are located at intervals of less than 100 feet for a
 903-1   distance of at least one-quarter mile on either side of the
 903-2   highway.
 903-3         (b)  Section 1, Chapter 295 (H.B. No. 321), Acts of the 74th
 903-4   Legislature, Regular Session, 1995, is repealed.
 903-5         SECTION 30.111.  Section 545.353(e), Transportation Code, is
 903-6   amended to more closely conform to the law from which that section
 903-7   was derived to read as follows:
 903-8         (e)  The commission, in conducting the engineering and
 903-9   traffic investigation specified by Subsection (a), shall follow the
903-10   "Procedure for Establishing Speed Zones" [procedure for
903-11   establishing speed zones] as adopted by the commission.  The
903-12   commission may revise the procedure to accommodate technological
903-13   advancement in traffic operation, the design and construction of
903-14   highways and motor vehicles, and the safety of the motoring public.
903-15         SECTION 30.112.  (a)  Subchapter H, Chapter 545,
903-16   Transportation Code, is amended to conform to Section 1, Chapter
903-17   900 (H.B. No. 835), Acts of the 74th Legislature, Regular Session,
903-18   1995, by adding Section 545.3625 to read as follows:
903-19         Sec. 545.3625.  CONFIDENTIALITY OF VIOLATION INFORMATION:
903-20   FUEL CONSERVATION SPEED LIMIT.  (a)  If a person violates a maximum
903-21   prima facie speed limit imposed under Section 545.362, as that law
903-22   existed immediately before December 8, 1995, and the person was not
903-23   traveling at a speed, as alleged in the citation, if not contested
903-24   by the person, or, if contested by the person, as alleged in the
 904-1   complaint and found by the court, that is greater than the maximum
 904-2   prima facie speed limit for the location that has been established
 904-3   under this chapter, other than under Section 545.362, information
 904-4   in the custody of the department concerning the violation is
 904-5   confidential.
 904-6         (b)  The department may not release the information to any
 904-7   person or to another state governmental entity.
 904-8         (b)  Section 1, Chapter 900 (H.B. No. 835), Acts of the 74th
 904-9   Legislature, Regular Session, 1995, is repealed.
904-10         SECTION 30.113.  (a)  Sections 545.410(a)-(d), Transportation
904-11   Code, are amended to conform to Section 1, Chapter 842 (H.B. No.
904-12   3208), Acts of the 74th Legislature, Regular Session, 1995, to read
904-13   as follows:
904-14         (a)  An operator of a passenger car or light truck [vehicle]
904-15   may not draw a trailer, semitrailer, or house trailer unless safety
904-16   chains of a type approved by the department are attached in a
904-17   manner approved by the department from the trailer, semitrailer, or
904-18   house trailer to the drawing vehicle.  This subsection does not
904-19   apply to the drawing of a trailer, or semitrailer used for
904-20   agricultural purposes.
904-21         (b)  The department shall adopt rules prescribing the type of
904-22   safety chains required to be used according to the weight of the
904-23   trailer, semitrailer, or house trailer being drawn.  The rules
904-24   shall:
 905-1               (1)  require safety chains to be strong enough to
 905-2   maintain the connection between the trailer, semitrailer, or house
 905-3   trailer and the drawing vehicle; and
 905-4               (2)  show the proper method to attach safety chains
 905-5   between the trailer, semitrailer, or [the] house trailer and the
 905-6   drawing vehicle.
 905-7         (c)  Subsection (b) does not apply to trailers, semitrailers,
 905-8   or house trailers that are equipped with safety chains installed by
 905-9   the original manufacturer before the effective date of the rules.
905-10         (d)  This section does not apply to a trailer, semitrailer,
905-11   or house trailer that is operated in compliance with the federal
905-12   motor carrier safety regulations.
905-13         (b)  Section 1, Chapter 842 (H.B. No. 3208), Acts of the 74th
905-14   Legislature, Regular Session, 1995, is repealed.
905-15         SECTION 30.114.  (a)  Section 545.412(d), Transportation
905-16   Code, is amended to conform to Section 126, Chapter 751 (H.B. No.
905-17   433), Acts of the 74th Legislature, Regular Session, 1995, to read
905-18   as follows:
905-19         (d)  Use or nonuse of a child passenger safety seat system is
905-20   not admissible evidence in a civil trial, other than a proceeding
905-21   under Subtitle A or B, Title 5, Family Code.
905-22         (b)  Section 126, Chapter 751 (H.B. No. 433), Acts of the
905-23   74th Legislature, Regular Session, 1995, is repealed.
905-24         SECTION 30.115.  (a)  Sections 545.413(e) and (g),
 906-1   Transportation Code, are amended to conform to Section 1, Chapter
 906-2   580 (S.B. No. 706), and to Section 127, Chapter 751 (H.B.  No.
 906-3   433), Acts of the 74th Legislature, Regular Session, 1995, to read
 906-4   as follows:
 906-5         (e)  It is a defense to prosecution under this section that:
 906-6               (1)  the person possesses a written statement from a
 906-7   licensed physician stating that for a medical reason the person
 906-8   should not wear a safety belt;
 906-9               (2)  the person presents to the court, not later than
906-10   the 10th day after the date of the offense, a statement from a
906-11   licensed physician stating that for a medical reason the person
906-12   should not wear a safety belt; [or]
906-13               (3)  the person is employed by the United States Postal
906-14   Service and performing a duty for that agency that requires the
906-15   operator to service postal boxes from a vehicle or that requires
906-16   frequent entry into and exit from a vehicle; or
906-17               (4)  the person is engaged in the actual delivery of
906-18   newspapers from a vehicle or is performing newspaper delivery
906-19   duties that require frequent entry into and exit from a vehicle.
906-20         (g)  Use or nonuse of a safety belt is not admissible
906-21   evidence in a civil trial, other than a proceeding under Subtitle A
906-22   or B, Title 5, Family Code.
906-23         (b)  Section 1, Chapter 580 (S.B. No. 706), and Section 127,
906-24   Chapter 751 (H.B. No. 433), Acts of the 74th Legislature, Regular
 907-1   Session, 1995, are repealed.
 907-2         SECTION 30.116.  (a)  Section 545.422, Transportation Code,
 907-3   is amended to conform to Sections 1 and 2, Chapter 892 (H.B. No.
 907-4   341), Acts of the 74th Legislature, Regular Session, 1995, to read
 907-5   as follows:
 907-6         Sec. 545.422.  CROSSING SIDEWALK OR HIKE AND BIKE TRAIL.  (a)
 907-7   A person may not drive a motor vehicle on a sidewalk, [or] sidewalk
 907-8   area, or hike and bike trail except on a permanent or authorized
 907-9   temporary driveway.
907-10         (b)  Subsection (a) does not prohibit the operation of a
907-11   motor vehicle on a hike and bike trail in connection with
907-12   maintenance of the trail.
907-13         (c)  In this section, "hike and bike trail" means a trail
907-14   designed for the exclusive use of pedestrians, bicyclists, or both.
907-15         (b)  Sections 1 and 2, Chapter 892 (H.B. No. 341), Acts of
907-16   the 74th Legislature, Regular Session, 1995, are repealed.
907-17         SECTION 30.117.  (a)  Section 547.611(c), Transportation
907-18   Code, is amended to conform to Section 1, Chapter 287 (S.B. No.
907-19   980), Acts of the 74th Legislature, Regular Session, 1995, to read
907-20   as follows:
907-21         (c)  This section does not prohibit the use of:
907-22               (1)  equipment used:
907-23                     (A) [(1)]  exclusively for receiving digital
907-24   information for commercial purposes;
 908-1                     (B) [(2)]  exclusively for a safety or law
 908-2   enforcement purpose, if each installation is approved by the
 908-3   department; or
 908-4                     (C) [(3)]  in a remote television transmission
 908-5   truck; or
 908-6               (2)  a monitoring device that:
 908-7                     (A)  produces an electronic display; and
 908-8                     (B)  is used exclusively in conjunction with a
 908-9   mobile navigation system installed in the vehicle.
908-10         (b)  Section 1, Chapter 287 (S.B. No. 980), Acts of the 74th
908-11   Legislature, Regular Session, 1995, is repealed.
908-12         SECTION 30.118.  (a)  Section 547.613(b), Transportation
908-13   Code, is amended to conform to Section 1, Chapter 408 (H.B. No.
908-14   3062), Acts of the 74th Legislature, Regular Session, 1995, to read
908-15   as follows:
908-16         (b)  This section does not apply to:
908-17               (1)  a windshield that has a sunscreening device that:
908-18                     (A)  has a light transmission of 33 percent or
908-19   more;
908-20                     (B)  has a luminous reflectance of 35 percent or
908-21   less;
908-22                     (C)  is not red or amber; and
908-23                     (D)  does not extend downward beyond the AS-1
908-24   line or more than five inches from the top of the windshield,
 909-1   whichever is closer to the top of the windshield;
 909-2               (2)  a front side wing vent or window, a side window to
 909-3   the rear of the vehicle operator, or a rear window that has a
 909-4   sunscreening device that has a light transmission of 35 percent or
 909-5   more and a luminous reflectance of 35 percent or less;
 909-6               (3)  a rear window, if the motor vehicle is equipped
 909-7   with an outside mirror on each side of the vehicle that reflects to
 909-8   the vehicle operator a view of the highway for a distance of at
 909-9   least 200 feet from the rear;
909-10               (4)  a rearview mirror;
909-11               (5)  an adjustable nontransparent sun visor that is
909-12   mounted in front of a side window and not attached to the glass;
909-13               (6)  a direction, destination, or termination sign on a
909-14   passenger common carrier motor vehicle, if the sign does not
909-15   interfere with the vehicle operator's view of approaching traffic;
909-16               (7)  a rear window wiper motor;
909-17               (8)  a rear trunk lid handle or hinge;
909-18               (9)  a luggage rack attached to the rear trunk;
909-19               (10)  a side window that is to the rear of the vehicle
909-20   operator on a multipurpose vehicle;
909-21               (11)  a window that has a United States, state, or
909-22   local certificate placed on or attached to it as required by law;
909-23               (12)  a motor vehicle that is not registered in this
909-24   state;
 910-1               (13)  a motor vehicle with a manufacturer's model year
 910-2   before 1988; [or]
 910-3               (14)  a vehicle that is:
 910-4                     (A)  used regularly to transport passengers for a
 910-5   fee; and
 910-6                     (B)  authorized to operate under license or
 910-7   permit by a local authority; or
 910-8               (15)  a vehicle that is maintained by a law enforcement
 910-9   agency and used for law enforcement purposes.
910-10         (b)  Section 1, Chapter 408 (H.B. No. 3062), Acts of the 74th
910-11   Legislature, Regular Session, 1995, is repealed.
910-12         SECTION 30.119.  (a)  Subchapter L, Chapter 547,
910-13   Transportation Code, is amended to conform to Section 56, Chapter
910-14   260 (S.B. No. 1), Acts of the 74th Legislature, Regular Session,
910-15   1995, by adding Section 547.7015 to read as follows:
910-16         Sec. 547.7015.  RULES RELATING TO SCHOOL BUSES.  (a)  The
910-17   General Services Commission, with the advice of the department,
910-18   shall adopt and enforce rules governing the design, color, lighting
910-19   and other equipment, construction, and operation of a school bus
910-20   for the transportation of schoolchildren that is:
910-21               (1)  owned and operated by a school district in this
910-22   state; or
910-23               (2)  privately owned and operated under a contract with
910-24   a school district in this state.
 911-1         (b)  In adopting rules under this section, the General
 911-2   Services Commission shall emphasize:
 911-3               (1)  safety features; and
 911-4               (2)  long-range, maintenance-free factors.
 911-5         (c)  Rules adopted under this section:
 911-6               (1)  apply to each school district, the officers and
 911-7   employees of a district, and each person employed under contract by
 911-8   a school district; and
 911-9               (2)  shall by reference be made a part of any contract
911-10   that is entered into by a school district in this state for the
911-11   transportation of schoolchildren on a privately owned school bus.
911-12         (b)  Section 56, Chapter 260 (S.B. No. 1), Acts of the 74th
911-13   Legislature, Regular Session, 1995, is repealed.
911-14         SECTION 30.120.  Section 548.001(5), Transportation Code, is
911-15   amended to conform to the repeal of Chapter 549 and the enactment
911-16   of Chapter 644 of that code by this Act to read as follows:
911-17               (5)  "Federal motor carrier safety regulation" has the
911-18   meaning assigned by Section 644.001 [549.001].
911-19         SECTION 30.121.  (a)  Section 548.052, Transportation Code,
911-20   is amended to conform to Section 3, Chapter 443 (H.B. No. 1225),
911-21   Acts of the 74th Legislature, Regular Session, 1995, to read as
911-22   follows:
911-23         Sec. 548.052.  VEHICLES NOT SUBJECT TO INSPECTION.  This
911-24   chapter does not apply to:
 912-1               (1)  a trailer, semitrailer, pole trailer, or mobile
 912-2   home moving under or bearing a current factory-delivery license
 912-3   plate or current in-transit license plate;
 912-4               (2)  a vehicle moving under or bearing a paper dealer
 912-5   in-transit tag, machinery license, disaster license, parade
 912-6   license, prorate tab, one-trip permit, antique license, temporary
 912-7   24-hour permit, or permit license;
 912-8               (3)  a trailer, semitrailer, pole trailer, or mobile
 912-9   home having an actual gross weight or registered gross weight of
912-10   4,500 pounds or less; [or]
912-11               (4)  farm machinery, road-building equipment, a farm
912-12   trailer, or a vehicle required to display a slow-moving-vehicle
912-13   emblem under Section 547.703; or
912-14               (5)  a former military vehicle, as defined by Section
912-15   502.275(o).
912-16         (b)  Section 3, Chapter 443 (H.B. No. 1225), Acts of the 74th
912-17   Legislature, Regular Session, 1995, is repealed.
912-18         SECTION 30.122.  (a)  Section 548.001(1), Transportation
912-19   Code, is amended to conform to Section 25, Chapter 705 (S.B. No.
912-20   3), Acts of the 74th Legislature, Regular Session, 1995, to read as
912-21   follows:
912-22               (1)  "Commercial motor vehicle" means a self-propelled
912-23   or towed vehicle, other than a farm vehicle with a gross weight,
912-24   registered weight, or gross weight rating of less than 48,000
 913-1   pounds, that is used on a public highway to transport passengers or
 913-2   cargo if:
 913-3                     (A)  the vehicle or combination of vehicles has a
 913-4   gross weight, registered weight, or gross weight rating of more
 913-5   than 26,000 pounds;
 913-6                     (B)  the vehicle is designed to transport more
 913-7   than 15 passengers, including the driver; or
 913-8                     (C)  the vehicle is used to transport hazardous
 913-9   materials in a quantity requiring placarding by a regulation issued
913-10   under the Hazardous Materials Transportation Act (49 U.S.C. Section
913-11   1801 et seq.).
913-12         (b)  Subchapter D, Chapter 548, Transportation Code, is
913-13   amended to conform to Section 25, Chapter 705 (S.B. No. 3), Acts of
913-14   the 74th Legislature, Regular Session, 1995, by adding Section
913-15   548.203 to read as follows:
913-16         Sec. 548.203.  EXEMPTIONS.  The commission by rule may exempt
913-17   a type of commercial motor vehicle from the application of this
913-18   subchapter if the vehicle:
913-19               (1)  was manufactured before September 1, 1995;
913-20               (2)  is operated only temporarily on a highway of this
913-21   state and at a speed of less than 30 miles per hour; and
913-22               (3)  complies with Section 548.051 and each applicable
913-23   provision in Title 49, Code of Federal Regulations.
913-24         (c)  Section 25, Chapter 705 (S.B. No. 3), Acts of the 74th
 914-1   Legislature, Regular Session, 1995, is repealed.
 914-2         SECTION 30.123.  (a)  Section 548.256(c), Transportation
 914-3   Code, is amended to conform to Section 5, Chapter 34 (S.B. No.
 914-4   178), Acts of the 74th Legislature, Regular Session, 1995, to read
 914-5   as follows:
 914-6         (c)  An inspection certificate or receipt for an inspection
 914-7   certificate may not be required to register a motor vehicle, except
 914-8   as provided by this section [or by Section 382.037, Health and
 914-9   Safety Code].
914-10         (b)  Section 5, Chapter 34 (S.B. No. 178), Acts of the 74th
914-11   Legislature, Regular Session, 1995, is repealed.
914-12         (c)  Section 548.251, Transportation Code, is amended to
914-13   conform to Section 8, Chapter 34 (S.B. No. 178), Acts of the 74th
914-14   Legislature, Regular Session, 1995, to read as follows:
914-15         Sec. 548.251.  DEPARTMENT TO PROVIDE INSPECTION CERTIFICATES
914-16   AND VERIFICATION FORMS.  The department shall provide serially
914-17   numbered inspection certificates and verification forms to
914-18   inspection stations.  The department may issue a unique inspection
914-19   certificate for:
914-20               (1)  a commercial motor vehicle inspected under Section
914-21   548.201; or
914-22               (2)  a vehicle inspected under Section 548.301(a) or
914-23   (b).
914-24         (d)  Section 548.301, Transportation Code, is amended to
 915-1   conform to Section 8, Chapter 34 (S.B. No. 178), Acts of the 74th
 915-2   Legislature, Regular Session, 1995, to read as follows:
 915-3         Sec. 548.301.  COMMISSION TO ESTABLISH PROGRAM.  (a)  The
 915-4   commission shall establish a motor vehicle emissions inspection and
 915-5   maintenance program for vehicles covered by the Texas air quality
 915-6   state implementation plan authorized by Section 382.0371, Health
 915-7   and Safety Code, or otherwise specified by the department at the
 915-8   direction of the governor [registered] in a county for which the
 915-9   conservation commission has adopted a resolution requesting the
915-10   department to establish such a program if:
915-11               (1)  the county does not meet the national ambient air
915-12   quality standards for ozone, carbon monoxide, or another
915-13   vehicle-related pollutant; or
915-14               (2)  the program is required in the county by any law
915-15   of the United States, including the Texas air quality state
915-16   implementation plan.
915-17         (b)  The commission may establish a motor vehicle emissions
915-18   inspection and maintenance program for vehicles specified by the
915-19   conservation commission at the direction of the governor
915-20   [registered] in a county for which the conservation commission has
915-21   adopted a resolution requesting the department to establish such a
915-22   program and for which the county and the municipality with the
915-23   largest population in the county by resolution have formally
915-24   requested a proactive air quality plan consisting of such a
 916-1   program.
 916-2         (c)  A program established under Subsection (b) may not
 916-3   include registration-based enforcement [unless the Texas Department
 916-4   of Transportation includes the program in its registration
 916-5   enforcement system].
 916-6         (e)  Section 548.302, Transportation Code, is amended to
 916-7   conform to Section 8, Chapter 34 (S.B. No. 178), Acts of the 74th
 916-8   Legislature, Regular Session, 1995, to read as follows:
 916-9         Sec. 548.302.  COMMISSION TO ADOPT STANDARDS AND
916-10   REQUIREMENTS.  The commission shall:
916-11               (1)  adopt standards for emissions-related inspection
916-12   criteria consistent with requirements of the United States and the
916-13   conservation commission applicable to a county in which a program
916-14   is established under Section 548.301; and
916-15               (2)  develop and implement requirements necessary to
916-16   ensure that an inspection certificate is not issued to a vehicle
916-17   subject to a program established under Section 548.301 unless the
916-18   vehicle has passed a vehicle emissions inspection at a facility
916-19   authorized and licensed by the department.
916-20         (f)  Section 548.303, Transportation Code, is amended to
916-21   conform to Section 8, Chapter 34 (S.B. No. 178), Acts of the 74th
916-22   Legislature, Regular Session, 1995, to read as follows:
916-23         Sec. 548.303.  PROGRAM ADMINISTRATION.  (a)  The commission
916-24   shall administer the motor vehicle emissions inspection and
 917-1   maintenance program under this subchapter until the [date a]
 917-2   vehicle emissions inspection program administered by the department
 917-3   is suspended or discontinued at the direction of the governor under
 917-4   Section 382.037(a-1), Health and Safety Code [conservation
 917-5   commission is implemented under the Clean Air Act].
 917-6         (b)  The department may reestablish a program under Section
 917-7   548.301 or otherwise as directed by the governor under Section
 917-8   382.037(a-1), Health and Safety Code [executive director of the
 917-9   conservation commission shall notify the commission of the date the
917-10   conservation commission's program will become effective].
917-11         (g)  Section 548.304, Transportation Code, is amended to
917-12   conform to Sections 6 and 8, Chapter 34 (S.B. No. 178), Acts of the
917-13   74th Legislature, Regular Session, 1995, to read as follows:
917-14         Sec. 548.304.  STATIONS LICENSED TO CONDUCT EMISSIONS
917-15   INSPECTIONS [REINSPECTIONS].  (a)  The department [conservation
917-16   commission] may authorize and license inspection stations as
917-17   necessary to implement the emissions-related inspection
917-18   [reinspection] requirements of the program established under
917-19   Section 382.0371, Health and Safety Code, and Section 548.301.
917-20         (b)  The [At the request of the conservation commission, the]
917-21   department shall provide inspection certificates for distribution
917-22   and issuance at decentralized inspection [centralized reinspection]
917-23   stations licensed by the department [conservation commission].
917-24         (c)  The department shall authorize a vehicle emissions
 918-1   inspection facility authorized and licensed under Subsection (a) to
 918-2   issue a unique inspection certificate for a vehicle that passes an
 918-3   inspection under Section 548.301 and Subchapter B.
 918-4         (d)  Notwithstanding Section 548.053(a), if an
 918-5   emissions-related inspection under Section 548.301 discloses the
 918-6   necessity for adjustment, correction, or repair, the conservation
 918-7   commission may by rule require that the vehicle be reinspected at a
 918-8   specified inspection station authorized and licensed by the
 918-9   conservation commission to ensure that the emissions-related
918-10   adjustment, correction, or repair is made.
918-11         (h)  Subchapter F, Chapter 548, Transportation Code, is
918-12   amended to conform to Section 6, Chapter 34 (S.B. No. 178), Acts of
918-13   the 74th Legislature, Regular Session, 1995, by adding Section
918-14   548.3045 to read as follows:
918-15         Sec. 548.3045.  APPOINTMENT OF DECENTRALIZED FACILITY.  (a)
918-16   The department may issue an inspection station certificate to a
918-17   decentralized facility authorized and licensed by the department
918-18   under Section 548.304 if the facility meets the certification
918-19   requirements of that section and the department.
918-20         (b)  A decentralized facility issued a certificate under
918-21   Subsection (a) is authorized to perform an inspection under this
918-22   subchapter or Subchapter B.
918-23         (i)  Section 548.505, Transportation Code, is amended to
918-24   conform more closely to the law from which it was derived and to
 919-1   Section 6, Chapter 34 (S.B. No. 178), Acts of the 74th Legislature,
 919-2   Regular Session, 1995, by amending Subsections (c) and (d) and
 919-3   adding Subsections (e) and (f) to read as follows:
 919-4         (c)  If an inspection under Section 548.101 [548.501] or
 919-5   Section 548.102 [548.503] is not performed when an inspection is
 919-6   performed under Section 548.301(a), the only fee due is the fee
 919-7   authorized by this section.
 919-8         (d)  The decentralized inspection stations [conservation
 919-9   commission] shall[:]
919-10               [(1)]  pay to the department an amount equal to the
919-11   cost of producing certificates provided to the decentralized
919-12   inspection [centralized reinspection] stations under Section
919-13   548.304.
919-14         (e)  The conservation commission shall[;]
919-15               [(2)  establish a reinspection fee; and]
919-16               [(3)]  implement procedures governing the tracking of
919-17   certificates and the refunding of the cost of unissued certificates
919-18   provided to inspection [reinspection] stations.
919-19         (f)  The department may establish a maximum fee for an
919-20   inspection under Section 548.301.  The department may not establish
919-21   a minimum fee for the inspection.
919-22         (j)  Sections 548.603(b) and (c), Transportation Code, are
919-23   amended to conform to Section 7, Chapter 34 (S.B. No. 178), Acts of
919-24   the 74th Legislature, Regular Session, 1995, to read as follows:
 920-1         (b)  The owner of a vehicle commits an offense if the
 920-2   vehicle:
 920-3               (1)  is operated [or parked] on a public highway; and
 920-4               (2)  displays an inspection certificate in violation of
 920-5   Subsection (a).
 920-6         (c)  An [Except as provided by Subsection (d), an] offense
 920-7   under Subsection (a) is a misdemeanor punishable by a fine of not
 920-8   less than $1 [$100] or more than $200.
 920-9         (k)  Sections 548.603(d) and (e), Transportation Code, are
920-10   repealed to conform to the repeal of the law from which those
920-11   sections were derived by Section 7, Chapter 34 (S.B. No. 178), Acts
920-12   of the 74th Legislature, Regular Session, 1995.
920-13         (l)  Sections 6, 7, and 8, Chapter 34 (S.B. No. 178), Acts of
920-14   the 74th Legislature, Regular Session, 1995, are repealed.
920-15         SECTION 30.124.  Chapter 549, Transportation Code, is
920-16   repealed to conform to the repeal of the law from which it was
920-17   derived by Section 31(a)(13), Chapter 705 (S.B. No. 3), Acts of the
920-18   74th Legislature, Regular Session, 1995.
920-19         SECTION 30.125.  (a)  Section 550.065, Transportation Code,
920-20   is amended to conform to Section 1, Chapter 894 (H.B. No. 391),
920-21   Acts of the 74th Legislature, Regular Session, 1995, to read as
920-22   follows:
920-23         Sec. 550.065.  RELEASE OF ACCIDENT REPORTS.  (a)  This
920-24   section applies to an accident report required by this chapter or
 921-1   by Section 601.004 [An accident report prepared by a peace officer
 921-2   and submitted to the department after January 1, 1970, is a public
 921-3   record open for inspection].
 921-4         (b)  Except as provided by Subsection (c), an accident report
 921-5   made by a person involved in an accident, by a garage, or by a
 921-6   peace officer is:
 921-7               (1)  without prejudice to the individual making the
 921-8   report; and
 921-9               (2)  privileged and for the confidential use of:
921-10                     (A)  the department; and
921-11                     (B)  an agency of the United States, this state,
921-12   or a local government of this state that has use for the report for
921-13   accident prevention purposes.
921-14         (c)  On written request and payment of the required fee, the
921-15   department or the law enforcement agency that employs the peace
921-16   officer who makes an accident report shall release a copy of the
921-17   report to:
921-18               (1)  an agency described by Subsection (b)(2)(B);
921-19               (2)  the law enforcement agency that employs the peace
921-20   officer who investigated the accident and sent the report to the
921-21   department;
921-22               (3)  the court in which a case involving a person
921-23   involved in the accident is pending, if the report is subpoenaed;
921-24   or
 922-1               (4)  a person who provides the department or law
 922-2   enforcement agency with two or more of the following:
 922-3                     (A)  the date of the accident;
 922-4                     (B)  the name of any person involved in the
 922-5   accident; or
 922-6                     (C)  the specific location of the accident.
 922-7         (d)  The department or law enforcement agency shall request
 922-8   information on a written form adopted by the department or the
 922-9   agency to determine whether the person or entity requesting an
922-10   accident report is entitled to receive the report under Subsection
922-11   (c).
922-12         (e)  [On written request and payment of the required fee, the
922-13   department or a law enforcement agency shall provide a copy of a
922-14   peace officer's report that may be released under this section.]
922-15         [(c)]  The fee for a copy of the peace officer's report is
922-16   $4.  The copy may be certified by the department or a law
922-17   enforcement agency for an additional fee of $2.  The department may
922-18   issue a certification that no report is on file for a fee of $4.
922-19         (b)  Section 1, Chapter 894 (H.B. No. 391), Acts of the 74th
922-20   Legislature, Regular Session, 1995, is repealed.
922-21         SECTION 30.126.  (a)  Section 601.007, Transportation Code,
922-22   is amended to conform to Section 29, Chapter 705 (S.B. No. 3), Acts
922-23   of the 74th Legislature, Regular Session, 1995, to read as follows:
922-24         Sec. 601.007.  APPLICABILITY OF CHAPTER TO[:]  GOVERNMENT
 923-1   VEHICLES[; CERTAIN MOTOR CARRIERS].  (a)  This chapter does not
 923-2   apply to a government vehicle.
 923-3         (b)  The provisions of this chapter, other than Section
 923-4   601.004, do not apply to an officer, agent, or employee of the
 923-5   United States, this state, or a political subdivision of this state
 923-6   while operating a government vehicle in the course of that person's
 923-7   employment.
 923-8         (c)  The provisions of this chapter, other than Sections
 923-9   601.004 and 601.054, do not apply to a motor vehicle that is
923-10   subject to Chapter 643 [Section 11, Chapter 270, Acts of the 40th
923-11   Legislature, Regular Session, 1927 (Article 911a, Vernon's Texas
923-12   Civil Statutes), or Section 13, Chapter 314, Acts of the 41st
923-13   Legislature, Regular Session, 1929 (Article 911b, Vernon's Texas
923-14   Civil Statutes)].
923-15         (d)  In this section, "government vehicle" means a motor
923-16   vehicle owned by the United States, this state, or a political
923-17   subdivision of this state.
923-18         (b)  Section 29, Chapter 705 (S.B. No. 3), Acts of the 74th
923-19   Legislature, Regular Session, 1995, is repealed.
923-20         SECTION 30.127.  (a)  Sections 601.052(a) and (c),
923-21   Transportation Code, are amended to conform to Section 4, Chapter
923-22   443 (H.B. No. 1225), Acts of the 74th Legislature, Regular Session,
923-23   1995, to read as follows:
923-24         (a)  Section 601.051 does not apply to:
 924-1               (1)  the operation of a motor vehicle that:
 924-2                     (A)  is a former military vehicle or is at least
 924-3   25 years old;
 924-4                     (B)  is used only for exhibitions, club
 924-5   activities, parades, and other functions of public interest and not
 924-6   for regular transportation; and
 924-7                     (C)  for which the owner files with the
 924-8   department an affidavit, signed by the owner, stating that the
 924-9   vehicle is a collector's item and used only as described by
924-10   Paragraph (B);
924-11               (2)  the operation of a golf cart; or
924-12               (3)  a volunteer fire department for the operation of a
924-13   motor vehicle the title of which is held in the name of a volunteer
924-14   fire department.
924-15         (c)  In this section:
924-16               (1)  "Former military vehicle" has the meaning assigned
924-17   by Section 502.275(o).
924-18               (2)  "Volunteer[, "volunteer] fire department" means a
924-19   company, department, or association that is:
924-20                     (A) [(1)]  organized in an unincorporated area to
924-21   answer fire alarms and extinguish fires or to answer fire alarms,
924-22   extinguish fires, and provide emergency medical services; and
924-23                     (B) [(2)]  composed of members who:
924-24                           (i) [(A)]  do not receive compensation; or
 925-1                           (ii) [(B)]  receive only nominal
 925-2   compensation.
 925-3         (b)  Section 4, Chapter 443 (H.B. No. 1225), Acts of the 74th
 925-4   Legislature, Regular Session, 1995, is repealed.
 925-5         SECTION 30.128.  Section 601.340(a), Transportation Code, is
 925-6   amended to more closely conform to the law from which it was
 925-7   derived to read as follows:
 925-8         (a)  Except as provided by Subsection (b), the department
 925-9   shall suspend the registration of each motor vehicle registered in
925-10   the name of a person if the department:
925-11               (1)  under any state law, other than Section
925-12   521.341(6), suspends or revokes the person's driver's license on
925-13   receipt of a record of a conviction or a forfeiture of bail; or
925-14               (2)  receives a record of a guilty plea of the person
925-15   entered for an offense for which the department would be required
925-16   to suspend the driver's license of a person convicted of the
925-17   offense.
925-18         SECTION 30.129.  Sections 601.341 and 601.342, Transportation
925-19   Code, are amended to more closely conform to the law from which
925-20   those sections were derived to read as follows:
925-21         Sec. 601.341.  EVIDENCE OF FINANCIAL RESPONSIBILITY;
925-22   TERMINATION OF PENALTY.  Unless a person whose driver's license or
925-23   vehicle registration has been suspended or revoked under this
925-24   subchapter files and maintains evidence of financial responsibility
 926-1   with the department:
 926-2               (1)  the suspension or revocation may not be
 926-3   terminated;
 926-4               (2)  the driver's license or registration may not be
 926-5   renewed;
 926-6               (3)  a new driver's license may not be issued to the
 926-7   person; or
 926-8               (4)  a motor vehicle may not be registered in the name
 926-9   of the person.
926-10         Sec. 601.342.  EVIDENCE OF FINANCIAL RESPONSIBILITY FOLLOWING
926-11   SUSPENSION OR REVOCATION OF NONRESIDENT'S OPERATING PRIVILEGE.  The
926-12   department may not terminate the suspension or revocation of a
926-13   nonresident's operating privilege suspended or revoked under this
926-14   subchapter because of a conviction, forfeiture of bail, or guilty
926-15   plea unless the person files and maintains evidence of financial
926-16   responsibility with the department.
926-17         SECTION 30.130.  Section 5, Chapter 621 (H.B. No. 1487), Acts
926-18   of the 74th Legislature, Regular Session, 1995, is repealed.
926-19         SECTION 30.131.  Section 621.102, Transportation Code, is
926-20   amended to conform more closely to the law from which it was
926-21   derived by amending Subsection (a) and adding Subsection (g) to
926-22   read as follows:
926-23         (a)  The commission may set the maximum gross weight of a
926-24   vehicle and its load, maximum gross weight of a combination of
 927-1   vehicles and loads, maximum axle load, or maximum wheel load that
 927-2   may be moved over a state highway or a farm or ranch road if the
 927-3   commission finds that heavier maximum weight would rapidly
 927-4   deteriorate or destroy the road or a bridge or culvert along the
 927-5   road.  A maximum weight or load set under this subsection may not
 927-6   exceed the maximum set by statute for that weight or load.
 927-7         (g)  This section does not apply to a vehicle delivering
 927-8   groceries, farm products, or liquefied petroleum gas.
 927-9         SECTION 30.132.  Section 621.206, Transportation Code, is
927-10   amended by amending Subsection (a) to more closely conform to the
927-11   law from which it was derived and by repealing Subsection (b) to
927-12   conform to the repeal of the source law for that subsection
927-13   (Section 4, Chapter 42, General Laws, Acts of the 41st Legislature,
927-14   2nd Called Session, 1929 (Article 6701d-11, Vernon's Texas Civil
927-15   Statutes) by the Uniform Act Regulating Traffic on Highways
927-16   (Article 6701d, Vernon's Texas Civil Statutes), revised as Subtitle
927-17   C, Title 7, Transportation Code, to read as follows:
927-18         Sec. 621.206.  MAXIMUM EXTENDED LENGTH OF LOAD[; SAFETY
927-19   INDICATOR].  [(a)]  A vehicle or combination of vehicles may not
927-20   carry a load that extends more than three feet beyond its front or,
927-21   except as permitted by other law, more than four feet beyond its
927-22   rear.
927-23         [(b)  If the load, drawbar, or coupling on a vehicle extends
927-24   beyond the rear of the bed or body of the vehicle, a red flag that
 928-1   is at least 12 inches long and at least 12 inches wide shall be
 928-2   displayed at the end of the load or extension so that the flag is
 928-3   clearly visible at all times from the rear of the load or
 928-4   extension, except that between one-half hour after sunset and
 928-5   one-half hour before sunrise, a red light, plainly visible under
 928-6   normal atmospheric conditions at least 500 feet from the rear of
 928-7   the vehicle, shall be displayed at the end of the load or
 928-8   extension.]
 928-9         SECTION 30.133.  (a)  Section 621.353, Transportation Code,
928-10   is amended to conform to Section 6, Chapter 624 (H.B. No. 1547),
928-11   Acts of the 74th Legislature, Regular Session, 1995, and to Section
928-12   1, Chapter 992 (S.B. No. 20), Acts of the 74th Legislature, Regular
928-13   Session, 1995, by amending Subsections (a) and (c) and adding
928-14   Subsection (d) to read as follows:
928-15         (a)  The comptroller [state treasurer] shall send $50 of each
928-16   base fee collected under Section 623.011 for an excess weight
928-17   permit to the counties of the state, with each county receiving an
928-18   amount determined according to the ratio of the total number of
928-19   miles of county roads maintained by the county to the total number
928-20   of miles of county roads maintained by all of the counties of this
928-21   state.  The comptroller shall deposit $25 of each base fee, plus
928-22   each fee collected under Section 623.0112, to the credit of the
928-23   state highway fund.  Money deposited to the credit of that fund
928-24   under this subsection may be appropriated only to the department to
 929-1   administer this section and Sections 623.011, 623.0111, and
 929-2   623.0112.
 929-3         (c)  The comptroller shall send each fee collected under
 929-4   Section 623.0112 for an excess weight permit to the counties
 929-5   designated on the application for the permit, with each county
 929-6   shown on the application receiving an amount determined according
 929-7   to the ratio of the total number of miles of county roads
 929-8   maintained by the county to the total number of miles of county
 929-9   roads maintained by all of the counties designated on the
929-10   application.
929-11         (d)  The county treasurer or officer shall deposit amounts
929-12   received under this section to the credit of the county road and
929-13   bridge fund.  Money deposited to the credit of that fund under this
929-14   subsection may be used only for a purpose authorized by Section
929-15   256.001(a).
929-16         (b)  Section 621.506, Transportation Code, is amended to
929-17   conform to Section 8, Chapter 624 (H.B. No. 1547), Acts of the 74th
929-18   Legislature, Regular Session, 1995, by amending Subsections (b) and
929-19   (d) and adding Subsections (f) and (g) to read as follows:
929-20         (b)  An offense under this section is a misdemeanor
929-21   punishable:
929-22               (1)  by a fine of not less than $100 and not more than
929-23   $150;
929-24               (2)  on conviction of an offense involving a vehicle
 930-1   having a gross weight that is more than 5,000 but not more than
 930-2   10,000 pounds heavier than the vehicle's allowable gross weight, by
 930-3   a fine of not less than $300 or more than $500;
 930-4               (3)  on conviction of an offense involving a vehicle
 930-5   having a gross weight that is more than 10,000 pounds heavier than
 930-6   the vehicle's allowable gross weight, by a fine of not less than
 930-7   $500 or more than $1,000; or
 930-8               (4)  on conviction before the first anniversary of the
 930-9   date of a previous conviction under this section, by a fine in an
930-10   amount that is twice the amount specified by Subdivision (1), (2),
930-11   or (3).  [before the first anniversary of the date of a previous
930-12   conviction under this section, by a fine of not less than $150 or
930-13   more than $250, by confinement in a county jail for not more than
930-14   60 days, or by both the fine and confinement; or]
930-15               [(3)  on conviction before the first anniversary of the
930-16   date of a previous conviction under this section that was
930-17   punishable under Subdivision (2) or this subdivision, by a fine of
930-18   not less than $200 or more than $500, by confinement in the county
930-19   jail for not more than six months, or by both the fine and
930-20   confinement.]
930-21         (d)  A judge or justice shall promptly report to the
930-22   Department of Public Safety each conviction obtained in the judge's
930-23   or the justice's court under this section.  The Department of
930-24   Public Safety shall keep a record of each conviction reported to it
 931-1   under this subsection.
 931-2         (f)  A justice court has jurisdiction of an offense under
 931-3   this section.  A municipal court has jurisdiction of an offense
 931-4   under this section for which the fine does not exceed $500.
 931-5         (g)  A governmental entity that collects a fine under this
 931-6   section for an offense involving a vehicle having a gross weight
 931-7   that is more than 5,000 pounds heavier than the vehicle's allowable
 931-8   gross weight shall send an amount equal to 50 percent of the fine
 931-9   to the comptroller.
931-10         (c)  Sections 6 and 8, Chapter 624 (H.B. No. 1547), Acts of
931-11   the 74th Legislature, Regular Session, 1995, are repealed.
931-12         SECTION 30.134.  (a)  Section 622.011(a), Transportation
931-13   Code, is amended to conform to Section 2, Chapter 624 (H.B. No.
931-14   1547), Acts of the 74th Legislature, Regular Session, 1995, to read
931-15   as follows:
931-16         (a)  In this subchapter, "ready-mixed concrete truck" means:
931-17               (1)  a vehicle designed exclusively to transport or
931-18   manufacture ready-mixed concrete and includes a vehicle designed
931-19   exclusively to transport and manufacture ready-mixed concrete; or
931-20               (2)  a concrete pump truck.
931-21         (b)  Section 622.042, Transportation Code, is amended to
931-22   conform to Section 3, Chapter 624 (H.B. No. 1547), Acts of the 74th
931-23   Legislature, Regular Session, 1995, to read as follows:
931-24         Sec. 622.042.  TIME OF OPERATION.  (a)  A vehicle subject to
 932-1   this subchapter may be operated only during daytime [between
 932-2   sunrise and sunset as defined by law].
 932-3         (b)  In this section, "daytime" has the meaning assigned by
 932-4   Section 541.401.
 932-5         (c)  Section 622.062, Transportation Code, is amended to
 932-6   conform to Section 4, Chapter 624 (H.B. No. 1547), Acts of the 74th
 932-7   Legislature, Regular Session, 1995, by amending Subsection (a) and
 932-8   adding Subsection (c) to read as follows:
 932-9         (a)  A vehicle to which this subchapter applies may be
932-10   operated only during daytime [between sunrise and sunset as defined
932-11   by law].
932-12         (c)  In this section, "daytime" has the meaning assigned by
932-13   Section 541.401.
932-14         (d)  Sections 2, 3, and 4, Chapter 624 (H.B. No. 1547), Acts
932-15   of the 74th Legislature, Regular Session, 1995, are repealed.
932-16         SECTION 30.135.  Section 622.012, Transportation Code, is
932-17   amended to more closely conform to the law from which it was
932-18   derived to read as follows:
932-19         Sec. 622.012.  Axle-load Restrictions.  (a)  A ready-mixed
932-20   concrete truck may be operated on a public highway of this state
932-21   only if the tandem axle load is not heavier than 46,000 [50,600]
932-22   pounds and[,] the single axle load is not heavier than 23,000
932-23   [25,300] pounds.
932-24         (b)  A truck may be operated at a weight that exceeds the
 933-1   maximum single axle or tandem axle load limitation by not more than
 933-2   10 percent if[, and] the gross load is not heavier than 69,000
 933-3   pounds.
 933-4         SECTION 30.136.  (a)  Chapter 622, Transportation Code, is
 933-5   amended by adding Subchapter J to codify Article 6701d-19c, Revised
 933-6   Statutes, as added by Section 1, Chapter 826 (H.B. No. 2584), Acts
 933-7   of the 74th Legislature, Regular Session, 1995, to read as follows:
 933-8              SUBCHAPTER J.  CERTAIN VEHICLES TRANSPORTING
 933-9                          RECYCLABLE MATERIALS
933-10         Sec. 622.131.  DEFINITION.  In this subchapter, "recyclable
933-11   material" has the meaning assigned by Section 361.421, Health and
933-12   Safety Code.
933-13         Sec. 622.132.  APPLICABILITY OF SUBCHAPTER.  (a)  This
933-14   subchapter applies only to a vehicle equipped with one or more
933-15   container roll-off units.
933-16         (b)  This subchapter does not apply to a tractor-trailer
933-17   combination.
933-18         Sec. 622.133.  AXLE-LOAD RESTRICTIONS.  A vehicle used
933-19   exclusively to transport recyclable materials may be operated on a
933-20   public highway only if the tandem axle load is not heavier than
933-21   44,000 pounds, the single axle load is not heavier than 21,000
933-22   pounds, and the gross load is not heavier than 64,000 pounds.
933-23         Sec. 622.134.  SURETY BOND.  (a)  Except as provided by
933-24   Subsection (c), the owner of a vehicle covered by this subchapter
 934-1   with a tandem axle load heavier than 34,000 pounds shall before
 934-2   operating the vehicle on a public highway of this state file with
 934-3   the department a surety bond subject to the approval of the
 934-4   department in the principal amount set by the department not to
 934-5   exceed $15,000 for each vehicle.
 934-6         (b)  The bond must be conditioned that the owner of the
 934-7   vehicle will pay, within the limits of the bond, to the state any
 934-8   damage to a highway and to a municipality any damage to a municipal
 934-9   street caused by the operation of the vehicle.
934-10         (c)  Subsection (a) does not apply to a vehicle owned by a
934-11   municipality.
934-12         Sec. 622.135.  INTERSTATE AND DEFENSE HIGHWAYS.  (a)  This
934-13   subchapter does not authorize the operation on the national system
934-14   of interstate and defense highways in this state of a vehicle of a
934-15   size or weight greater than authorized in 23 U.S.C. Section 127, as
934-16   amended.
934-17         (b)  If the United States authorizes the operation on the
934-18   national system of interstate and defense highways of vehicles of a
934-19   size or weight greater than those authorized on January 1, 1983,
934-20   the new limit automatically takes effect on the national system of
934-21   interstate and defense highways in this state.
934-22         Sec. 622.136.  PENALTIES.  (a)  A person commits an offense
934-23   if the person violates this subchapter.
934-24         (b)  Except as provided by Subsection (c), an offense under
 935-1   this section is a misdemeanor punishable:
 935-2               (1)  by a fine not to exceed $200;
 935-3               (2)  on conviction within one year after the date of a
 935-4   prior conviction under this section that was punishable under
 935-5   Subdivision (1), by a fine not to exceed $500, by confinement in
 935-6   the county jail for not more than 60 days, or by both the fine and
 935-7   confinement; or
 935-8               (3)  on conviction within one year after the date of a
 935-9   prior conviction under this section that was punishable under
935-10   Subdivision (2), by a fine not to exceed $1,000, by confinement in
935-11   the county jail for not more than six months, or by both the fine
935-12   and confinement.
935-13         (c)  A corporation is not subject to confinement for an
935-14   offense under this section, but two times the maximum fine provided
935-15   for in the applicable subdivision of Subsection (b) may be imposed
935-16   against the corporation.
935-17         (b)  Article 6701d-19c, Revised Statutes, as added by Section
935-18   1, Chapter 826 (H.B. No. 2584), Acts of the 74th Legislature,
935-19   Regular Session, 1995, is repealed.
935-20         SECTION 30.137.  (a)  Section 622.902, Transportation Code,
935-21   is amended to conform to Sections 26 and 27, Chapter 705 (S.B. No.
935-22   3), Acts of the 74th Legislature, Regular Session, 1995, to read as
935-23   follows:
935-24         Sec. 622.902.  LENGTH EXCEPTIONS.  The length limitations
 936-1   provided by Sections 621.203-621.205 do not apply to:
 936-2               (1)  machinery used exclusively for drilling water
 936-3   wells, including machinery that is itself a unit or that is a unit
 936-4   mounted on a conventional vehicle or chassis;
 936-5               (2)  a vehicle owned or operated by a public, private,
 936-6   or volunteer fire department;
 936-7               (3)  a vehicle or combination of vehicles operated
 936-8   exclusively in the territory of a municipality or to a combination
 936-9   of vehicles operated by a municipality in a suburb adjoining the
936-10   municipality in which the municipality has been using the equipment
936-11   or similar equipment in connection with an established service to
936-12   the suburb;
936-13               (4)  a truck-tractor, truck-tractor combination, or
936-14   truck-trailer combination exclusively transporting machinery,
936-15   materials, and equipment [incidental to or] used in the
936-16   construction, operation, and maintenance of facilities, including
936-17   pipelines, that are used for the discovery, production, and
936-18   processing of natural gas or [and] petroleum[, and that machinery,
936-19   materials, and equipment when used in the construction and
936-20   maintenance of pipelines];
936-21               (5)  a drive-away saddlemount vehicle transporter
936-22   combination or a drive-away saddlemount with fullmount vehicle
936-23   transporter combination, as defined by 23 C.F.R. Part 658 or its
936-24   successor, if:
 937-1                     (A)  the overall length of the combination is not
 937-2   longer than 75 feet; and
 937-3                     (B)  the combination does not have more than
 937-4   three saddlemounted vehicles if the combination does not include
 937-5   more than one fullmount vehicle; or
 937-6               (6)  the combination of a tow truck and another vehicle
 937-7   or vehicle combination if:
 937-8                     (A)  the other vehicle or vehicle combination
 937-9   cannot be normally or safely driven or was abandoned on a highway;
937-10   and
937-11                     (B)  the tow truck is towing the other vehicle or
937-12   vehicle combination directly to the nearest authorized place of
937-13   repair, terminal, or destination of unloading.
937-14         (b)  Sections 26 and 27, Chapter 705 (S.B. No. 3), Acts of
937-15   the 74th Legislature, Regular Session, 1995, are repealed.
937-16         SECTION 30.138.  (a)  Section 623.011, Transportation Code,
937-17   is amended to conform to Sections 1, 6, and 7, Chapter 624 (H.B.
937-18   No. 1547), Acts of the 74th Legislature, Regular Session, 1995, by
937-19   amending Subsection (b) and adding Subsections (d)-(g) to read as
937-20   follows:
937-21         (b)  To qualify for a permit under this section:
937-22               (1)  the vehicle must be registered under Chapter 502
937-23   for the maximum gross weight applicable to the vehicle under
937-24   Section 621.101, not to exceed 80,000 pounds;
 938-1               (2)  the security requirement of Section 623.012 must
 938-2   be satisfied; and
 938-3               (3)  a base permit fee of $75, any additional fee
 938-4   required by Section 623.0111, and any additional fee set by the
 938-5   department under Section 623.0112 must be paid.
 938-6         (d)  When the department issues a permit under this section,
 938-7   the department shall issue a sticker to be placed on the front
 938-8   windshield of the vehicle above the inspection certificate issued
 938-9   to the vehicle.  The department shall design the form of the
938-10   sticker to aid in the enforcement of weight limits for vehicles.
938-11         (e)  The sticker must:
938-12               (1)  indicate the expiration date of the permit; and
938-13               (2)  be removed from the vehicle when:
938-14                     (A)  the permit for operation of the vehicle
938-15   expires;
938-16                     (B)  a lease of the vehicle expires; or
938-17                     (C)  the vehicle is sold.
938-18         (f)  A person commits an offense if the person fails to
938-19   display the sticker in the manner required by Subsection (d).  An
938-20   offense under this subsection is a Class C misdemeanor.  Section
938-21   623.019(g) applies to an offense under this subsection.
938-22         (g)  A vehicle operating under a permit issued under this
938-23   section may exceed the maximum allowable gross weight tolerance
938-24   allowance by not more than five percent, regardless of the weight
 939-1   of any one axle or tandem axle, if no axle or tandem axle exceeds
 939-2   the tolerance permitted by Subsection (a).
 939-3         (b)  Subchapter B, Chapter 623, Transportation Code, is
 939-4   amended to conform to Section 6, Chapter 624 (H.B. No. 1547), Acts
 939-5   of the 74th Legislature, Regular Session, 1995, by adding Sections
 939-6   623.0111 and 623.0112 to read as follows:
 939-7         Sec. 623.0111.  ADDITIONAL FEE FOR OPERATION OF VEHICLE UNDER
 939-8   PERMIT.  (a)  When a person applies for a permit under Section
 939-9   623.011, the person must:
939-10               (1)  designate in the application each county in which
939-11   the vehicle will be operated; and
939-12               (2)  pay in addition to other fees an annual fee in an
939-13   amount determined according to the following table:
939-14         Number of Counties Designated                     Fee        
939-15                     1-20                                   $125      
939-16                     21-40                                  $345      
939-17                     41-60                                  $565      
939-18                     61-80                                  $785      
939-19                     81-100                               $1,005      
939-20                     101-254                              $2,000      
939-21         (b)  A permit issued under Section 623.011 does not authorize
939-22   the operation of the vehicle in a county that is not designated in
939-23   the application.
939-24         Sec. 623.0112.  ADDITIONAL ADMINISTRATIVE FEE.  When a person
 940-1   applies for a permit under Section 623.011, the person must pay in
 940-2   addition to other fees an administrative fee adopted by department
 940-3   rule in an amount not to exceed the direct and indirect cost to the
 940-4   department of:
 940-5               (1)  issuing a sticker under Section 623.011(d);
 940-6               (2)  distributing fees under Section 621.353; and
 940-7               (3)  notifying counties under Section 623.013.
 940-8         (c)  Section 623.013, Transportation Code, is amended to
 940-9   conform to Section 5, Chapter 624 (H.B. No. 1547), Acts of the 74th
940-10   Legislature, Regular Session, 1995, to read as follows:
940-11         Sec. 623.013.  DEPARTMENT'S [PERMIT HOLDER'S] NOTICE TO
940-12   COUNTY.  (a)  Not later than the 14th day after the date the
940-13   department issues [a person receives] a permit under Section
940-14   623.011, the department [person] shall notify [by certified or
940-15   registered mail, return receipt requested,] the county clerk of
940-16   each county listed in the application for the permit [which the
940-17   person intends that the vehicle be operated].  The notice must
940-18   include:
940-19               (1)  the name and address of the person for whom a
940-20   permit was issued [registered owner or operator of the vehicle];
940-21   and
940-22               (2)  the vehicle identification number and license
940-23   plate number of the vehicle[;]
940-24               [(3)  a statement that the person intends that a
 941-1   vehicle with a gross weight, axle weight, or wheel load that
 941-2   exceeds the limitations established under Subchapter B of Chapter
 941-3   621 or Section 621.301 be operated on or over the county roads,
 941-4   bridges, and culverts; and]
 941-5               [(4)  a statement that the notice is being given as
 941-6   required by this subsection].
 941-7         (b)  The department [person] shall send a copy of the permit
 941-8   and the bond or letter of credit required for the permit with the
 941-9   notice required by this section.
941-10         [(c)  If the permit holder is a corporation or partnership,
941-11   the notice under this section may be given by an officer of the
941-12   corporation or by a general partner of the partnership.]
941-13         (d)  Section 623.014, Transportation Code, is amended to
941-14   conform to Section 6, Chapter 624 (H.B. No. 1547), Acts of the 74th
941-15   Legislature, Regular Session, 1995, to read as follows:
941-16         Sec. 623.014.  TRANSFER OF PERMIT.  (a)  A [The department
941-17   without charge may transfer a] permit issued under Section 623.011
941-18   may not be transferred [to a vehicle for which an original permit
941-19   may be issued under that section if:]
941-20               [(1)  the vehicle for which the permit was issued has
941-21   been sold;]
941-22               [(2)  the lease of the vehicle for which the permit was
941-23   issued has terminated; or]
941-24               [(3)  the vehicle for which the permit was issued is to
 942-1   be out of service because of a mechanical failure for longer than
 942-2   30 days].
 942-3         (b)  If the vehicle for which a permit was issued is
 942-4   destroyed or permanently inoperable, a person may apply to the
 942-5   department for a credit for the remainder of the permit period.
 942-6   [The transfer of a permit does not extend the period for which the
 942-7   permit is valid.]
 942-8         (c)  The department shall issue the prorated credit if the
 942-9   person:
942-10               (1)  pays the fee adopted by the department; and
942-11               (2)  provides the department with:
942-12                     (A)  the original permit; or
942-13                     (B)  if the original permit does not exist,
942-14   written evidence in a form approved by the department that the
942-15   vehicle has been destroyed or is permanently inoperable  [A person
942-16   must apply for a transfer by filing with the department an
942-17   affidavit that states the reason for the transfer and a description
942-18   of the vehicle to which the permit is to be transferred, including
942-19   its vehicle identification number].
942-20         (d)  The fee adopted by the department under Subsection
942-21   (c)(1) may not exceed the cost of issuing the credit.
942-22         (e)  A credit issued under Subsection (c) may be used only
942-23   toward the payment of a permit fee under this subchapter.
942-24         SECTION 30.139.  (a)  Subchapter B, Chapter 623,
 943-1   Transportation Code, is amended to conform to Section 28, Chapter
 943-2   705 (S.B. No. 3), Acts of the 74th Legislature, Regular Session,
 943-3   1995, by adding Section 623.0155 to read as follows:
 943-4         Sec. 623.0155.  INDEMNIFICATION FROM MOTOR CARRIER
 943-5   PROHIBITED.  (a)  A person may not require indemnification from a
 943-6   motor carrier as a condition to:
 943-7               (1)  the transportation of property for compensation or
 943-8   hire by the carrier; or
 943-9               (2)  entrance on property by the carrier for the
943-10   purpose of loading, unloading, or transporting property for
943-11   compensation or hire.
943-12         (b)  Subsection (a)(2) does not apply to a claim arising from
943-13   damage or loss from a wrongful or negligent act or omission of the
943-14   carrier.
943-15         (b)  Section 28, Chapter 705 (S.B. No. 3), Acts of the 74th
943-16   Legislature, Regular Session, 1995, is repealed.
943-17         (c)  Subchapter B, Chapter 623, Transportation Code, is
943-18   amended to conform to Section 7, Chapter 624 (H.B. No. 1547), Acts
943-19   of the 74th Legislature, Regular Session, 1995, by adding Section
943-20   623.019 to read as follows:
943-21         Sec. 623.019.  VIOLATIONS OF SUBCHAPTER; OFFENSES.  (a)  A
943-22   person who holds a permit issued under Section 623.011 commits an
943-23   offense if:
943-24               (1)  the person:
 944-1                     (A)  operates or directs the operation of the
 944-2   vehicle for which the permit was issued on a public highway or
 944-3   road; and
 944-4                     (B)  is criminally negligent with regard to the
 944-5   operation of the vehicle at a weight heavier than the weight limit
 944-6   authorized by Section 623.011; or
 944-7               (2)  the person operates or directs the operation of
 944-8   the vehicle for which the permit was issued:
 944-9                     (A)  in a county not designated in the person's
944-10   application under Section 623.0111; and
944-11                     (B)  at a weight heavier than a weight limit
944-12   established under:
944-13                           (i)  Subchapter E, Chapter 251;
944-14                           (ii)  Chapter 621 or 622; or
944-15                           (iii)  this chapter.
944-16         (b)  Except as provided by Subsections (c) and (d), an
944-17   offense under Subsection (a) is a misdemeanor punishable by a fine
944-18   of not less than $100 or more than $150.
944-19         (c)  An offense under Subsection (a) is a misdemeanor and,
944-20   except as provided by Subsection (d), is punishable by a fine of:
944-21               (1)  not less than $300 or more than $500 if the
944-22   offense involves a vehicle having a gross weight that is heavier
944-23   than 5,000 but not heavier than 10,000 pounds over the vehicle's
944-24   allowable gross weight; or
 945-1               (2)  not less than $500 or more than $1,000 if the
 945-2   offense involves a vehicle having a gross weight that is at least
 945-3   10,000 pounds heavier than the vehicle's allowable gross weight.
 945-4         (d)  On conviction before the first anniversary of the date
 945-5   of a previous conviction under Subsection (a), an offense is
 945-6   punishable by a fine in an amount that is twice the amount
 945-7   specified by Subsection (c).
 945-8         (e)  A governmental entity collecting a fine under Subsection
 945-9   (c) shall send an amount equal to 50 percent of the fine to the
945-10   comptroller.
945-11         (f)  A justice of the peace has jurisdiction of any offense
945-12   under this section.  A municipal court has jurisdiction of an
945-13   offense under this section in which the fine does not exceed $500.
945-14         (g)  A justice or judge who renders a conviction under this
945-15   section shall report the conviction to the Department of Public
945-16   Safety.  The Department of Public Safety shall keep a record of
945-17   each conviction reported under this subsection.
945-18         (d)  Sections 1, 5, and 7, Chapter 624 (H.B. No. 1547), Acts
945-19   of the 74th Legislature, Regular Session, 1995, are repealed.
945-20         SECTION 30.140.  Section 623.051(e), Transportation Code, is
945-21   repealed to conform to the repeal of the law from which it was
945-22   derived by Section 31(a)(14), Chapter 705 (S.B.  No. 3), Acts of
945-23   the 74th Legislature, Regular Session, 1995.
945-24         SECTION 30.141.  (a)  Section 623.075(c), Transportation
 946-1   Code, is amended to conform to Section 23, Chapter 705 (S.B. No.
 946-2   3), Acts of the 74th Legislature, Regular Session, 1995, to read as
 946-3   follows:
 946-4         (c)  This section applies to the delivery of farm equipment
 946-5   to a farm equipment dealer.  This section does not apply to:
 946-6               (1)  the driving or transporting of farm equipment that
 946-7   is being used for an agricultural purpose and is driven or
 946-8   transported by or under the authority of the owner of the
 946-9   equipment; or
946-10               (2)  a vehicle or equipment operated by a motor carrier
946-11   registered under Chapter 643 or Chapter 645.
946-12         (b)  Section 23, Chapter 705 (S.B. No. 3), Acts of the 74th
946-13   Legislature, Regular Session, 1995, is repealed.
946-14         SECTION 30.142.  (a)  Section 623.093, Transportation Code,
946-15   is amended to conform to Section 16, Chapter 978 (H.B. No. 785),
946-16   Acts of the 74th Legislature, Regular Session, 1995, by amending
946-17   Subsection (a) and adding Subsection (d) to read as follows:
946-18         (a)  The application for a permit and the permit must be in
946-19   the form prescribed by the department.  The permit must show:
946-20               (1)  the length, width, and height of the manufactured
946-21   house and the towing vehicle in combination; [and]
946-22               (2)  the complete identification or serial number, the
946-23   Department of Housing and Urban Development label number, or the
946-24   state seal number of the house;
 947-1               (3)  the name of the owner of the house;
 947-2               (4)  the location from which the house is being
 947-3   transported;
 947-4               (5)  the location to which the house is being
 947-5   transported; and
 947-6               (6)  the route for the transportation of the
 947-7   [manufactured] house.
 947-8         (d)  Each quarter the department shall send a copy of each
 947-9   permit for the transportation of a manufactured house that begins
947-10   or ends in this state, or provide the essential information in the
947-11   permit, to the chief appraiser of the appraisal district in each
947-12   county in which the transportation begins or ends.
947-13         (b)  Section 16, Chapter 978 (H.B. No. 785), Acts of the 74th
947-14   Legislature, Regular Session, 1995, is repealed.
947-15         SECTION 30.143.  (a)  Section 623.094, Transportation Code,
947-16   is amended to conform to Section 17, Chapter 978 (H.B. No. 785),
947-17   Acts of the 74th Legislature, Regular Session, 1995, to read as
947-18   follows:
947-19         Sec. 623.094.  MANUFACTURER'S, INSTALLER'S, RETAILER'S, AND
947-20   TRANSPORTER'S PERMIT.  (a)  Except as authorized by Section
947-21   623.095, the department may issue a permit only to a [person]:
947-22               (1)  person registered as a manufacturer, installer, or
947-23   retailer with the Texas Department of Housing [commissioner of
947-24   licensing] and Community Affairs [regulation]; or
 948-1               (2)  motor carrier registered with the department
 948-2   [certificated for the transportation of a manufactured house by the
 948-3   Railroad Commission of Texas or the Interstate Commerce
 948-4   Commission].
 948-5         (b)  The registration number or the motor carrier
 948-6   [certificate] number of the person to whom the permit is issued
 948-7   shall be affixed to the rear of the manufactured house during
 948-8   transportation and have letters and numbers that are at least eight
 948-9   inches high.
948-10         (b)  Section 623.095, Transportation Code, is amended to
948-11   conform to Section 17, Chapter 978 (H.B. No. 785), and Section 22,
948-12   Chapter 705 (S.B. No. 3), Acts of the 74th Legislature, Regular
948-13   Session, 1995, to read as follows:
948-14         Sec. 623.095.  SINGLE-TRIP PERMIT.  (a)  The department may
948-15   issue a single-trip permit for the transportation of a manufactured
948-16   house to:
948-17               (1)  the owner of a manufactured house if:
948-18                     (A)  the title to the manufactured house and the
948-19   title to the towing vehicle show that the owner of the manufactured
948-20   house and the owner of the towing vehicle are the same person; or
948-21                     (B)  a lease [filed under Chapter 641] shows that
948-22   the owner of the manufactured house and the lessee of the towing
948-23   vehicle are the same person; [or]
948-24               (2)  an installer registered with the Texas Department
 949-1   of Housing [Licensing] and Community Affairs [Regulation] for the
 949-2   transportation of a manufactured house; or
 949-3               (3)  a motor carrier registered under Chapter 643 [if
 949-4   that transportation is excluded from regulation under Chapter 314,
 949-5   Acts of the 41st Legislature, Regular Session, 1929 (Article 911b,
 949-6   Vernon's Texas Civil Statutes)].
 949-7         (b)  An owner, motor carrier, or installer must have proof of
 949-8   the insurance coverage required by Section 623.103.
 949-9         (c)  Section 17, Chapter 978 (H.B. No. 785), and Section 22,
949-10   Chapter 705 (S.B. No. 3), Acts of the 74th Legislature, Regular
949-11   Session, 1995, are repealed.
949-12         SECTION 30.144.  (a)  Section 623.096, Transportation Code,
949-13   is amended to conform to Section 18, Chapter 978 (H.B. No. 785),
949-14   Acts of the 74th Legislature, 1995, to read as follows:
949-15         Sec. 623.096.  PERMIT FEE.  (a)  The department shall collect
949-16   a fee of $20 [$15] for each permit issued under this subchapter.
949-17   Of each fee, 30 cents shall be deposited to the credit of the state
949-18   highway fund.
949-19         (b)  On application, the department may [shall] issue a
949-20   permit book [or packet containing 20 permits if the $15 fee for
949-21   each permit in the book or packet is received with the
949-22   application].
949-23         (c)  [A permit in a book or packet may be used for the
949-24   movement of a manufactured house regardless of the manufactured
 950-1   house's width, length, or height.]  The route approval and any
 950-2   required validation number for a [the] permit may be secured from
 950-3   the issuing office by telephone communication.
 950-4         (d)  In lieu of issuing a permit book [or packet], the
 950-5   department may establish an escrow account for the payment of
 950-6   permit fees.
 950-7         (b)  Section 18, Chapter 978 (H.B. No. 785), Acts of the 74th
 950-8   Legislature, Regular Session, 1995, is repealed.
 950-9         SECTION 30.145.  (a)  Section 623.098(a), Transportation
950-10   Code, is amended to conform to Section 19, Chapter 978 (H.B. No.
950-11   785), Acts of the 74th Legislature, Regular Session, 1995, to read
950-12   as follows:
950-13         (a)  A manufactured house that is wider than 12 feet must
950-14   have one rotating amber beacon of not less than eight inches
950-15   mounted at the rear of the manufactured house on the roof or one
950-16   flashing amber light mounted at each rear corner of the
950-17   manufactured house approximately six feet above ground level.  In
950-18   addition, the towing vehicle must have one rotating amber beacon of
950-19   not less than eight inches mounted on top of the cab.
950-20         (b)  Section 19, Chapter 978 (H.B. No. 785), Acts of the 74th
950-21   Legislature, Regular Session, 1995, is repealed.
950-22         SECTION 30.146.  (a)  Section 623.121, Transportation Code,
950-23   is amended to conform to Section 1, Chapter 832 (H.B. No. 2754),
950-24   Acts of the 74th Legislature, Regular Session, 1995, by adding
 951-1   Subsection (c) to read as follows:
 951-2         (c)  In this section, "portable building unit" means the
 951-3   prefabricated structural and other components incorporated and
 951-4   delivered by the manufacturer as a complete inspected unit with a
 951-5   distinct serial number.  The term includes a fully assembled
 951-6   configuration, a partially assembled configuration, or a kit or
 951-7   unassembled configuration, when loaded for transport.
 951-8         (b)  Section 1, Chapter 832 (H.B. No. 2754), Acts of the 74th
 951-9   Legislature, Regular Session, 1995, is repealed.
951-10         SECTION 30.147.  Sections 623.150 and 623.200, Transportation
951-11   Code, are amended to conform to the transfer of motor carrier
951-12   registration responsibilities from the Railroad Commission of Texas
951-13   to the Texas Department of Transportation by Chapter 705 (S.B. No.
951-14   3), Acts of the 74th Legislature, Regular Session, 1995, to read as
951-15   follows:
951-16         Sec. 623.150.  Nonapplicability of Subchapter.  This
951-17   subchapter does not apply to a person issued a registration
951-18   certificate under Chapter 643 [authorized by the Railroad
951-19   Commission of Texas to operate as a carrier for compensation or
951-20   hire over the public highways of this state], even if not all the
951-21   operations of the person are performed under that [the]
951-22   certificate[, permit, or authority granted by that commission].
951-23         Sec. 623.200.  Nonapplicability of Subchapter.  This
951-24   subchapter does not apply to a person issued a registration
 952-1   certificate under Chapter 643 [authorized by the Railroad
 952-2   Commission of Texas to operate as a carrier for compensation or
 952-3   hire over the public highways of this state], even if not all the
 952-4   operations of the person are performed under that [the]
 952-5   certificate[, permit, or authority granted by that commission for
 952-6   that purpose].
 952-7         SECTION 30.148.  Chapter 641, Transportation Code, is
 952-8   repealed to conform to the repeal of the law from which it was
 952-9   derived by Section 31(a)(11), Chapter 705 (S.B. No. 3), Acts of the
952-10   74th Legislature, Regular Session, 1995.
952-11         SECTION 30.149.  (a)  Section 642.003, Transportation Code,
952-12   is amended to conform to Sections 24 and 31(a)(11), Chapter 705
952-13   (S.B. No. 3), Acts of the 74th Legislature, Regular Session, 1995,
952-14   to read as follows:
952-15         Sec. 642.003.  NONAPPLICABILITY.  Section 642.002 does not
952-16   apply to[:]
952-17               [(1)]  a commercial motor vehicle, road-tractor, or
952-18   truck-tractor that is:
952-19               (1) [(A)]  registered under Section 502.163;
952-20                     [(B)  operated under a lease, memorandum, or
952-21   agreement that complies with Chapter 641;]
952-22                     [(C)  operated under the control, supervision, or
952-23   authority of a motor carrier subject to Section 18, Chapter 314,
952-24   Acts of the 41st Legislature, Regular Session, 1929 (Article 911b,
 953-1   Vernon's Texas Civil Statutes) or exempt under Section 18A, Chapter
 953-2   314, Acts of the 41st Legislature, Regular Session, 1929 (Article
 953-3   911b, Vernon's Texas Civil Statutes);]
 953-4               (2) [(D)]  required to be registered under Section
 953-5   113.131, Natural Resources Code;
 953-6               (3) [(E)]  operated in private carriage that is subject
 953-7   to Title 49, Code of Federal Regulations, Part 397.21;
 953-8               (4) [(F)]  operated under the direct control,
 953-9   supervision, or authority of a public utility, as recognized by the
953-10   legislature, that is otherwise visibly marked; or
953-11               (5) [(G)]  transporting timber products in their
953-12   natural state from first point of production or harvest to first
953-13   point of processing[; or]
953-14               [(2)  a commercial motor vehicle operated under the
953-15   control, supervision, or authority of a motor bus company that has
953-16   been issued a certificate under Chapter 270, Acts of the 40th
953-17   Legislature, Regular Session, 1927 (Article 911a, Vernon's Texas
953-18   Civil Statutes), by the Railroad Commission of Texas].
953-19         (b)  Section 24, Chapter 705 (S.B. No. 3), Acts of the 74th
953-20   Legislature, Regular Session, 1995, is repealed.
953-21         SECTION 30.150.  (a)  Subtitle F, Title 7, Transportation
953-22   Code, is amended to codify Article 6675c, Revised Statutes, as
953-23   added by Section 1, Chapter 705 (S.B. No. 3), Acts of the 74th
953-24   Legislature, Regular Session, 1995, by adding Chapter 643 to read
 954-1   as follows:
 954-2                CHAPTER 643.  MOTOR CARRIER REGISTRATION
 954-3                    SUBCHAPTER A.  GENERAL PROVISIONS
 954-4         Sec. 643.001.  DEFINITIONS.  In this chapter:
 954-5               (1)  "Department" means the Texas Department of
 954-6   Transportation.
 954-7               (2)  "Director" means:
 954-8                     (A)  the executive director of the department; or
 954-9                     (B)  an employee of the department who:
954-10                           (i)  is a division or special office
954-11   director or holds a higher rank; and
954-12                           (ii)  is designated by the director.
954-13               (3)  "Hazardous material" has the meaning assigned by
954-14   49 U.S.C. Section 5102.
954-15               (4)  "Household goods" has the meaning assigned by 49
954-16   U.S.C. Section 10102.
954-17               (5)  "Insurer" means a person, including a surety,
954-18   authorized in this state to write lines of insurance coverage
954-19   required by this chapter.
954-20               (6)  "Motor carrier" means an individual, association,
954-21   corporation, or other legal entity that controls, operates, or
954-22   directs the operation of one or more vehicles that transport
954-23   persons or cargo over a road or highway in this state.
954-24               (7)  "Tow truck" means a motor vehicle, including a
 955-1   wrecker, equipped with a mechanical device used to tow, winch, or
 955-2   otherwise move another motor vehicle.
 955-3               (8)  "Vehicle requiring registration" means a vehicle
 955-4   described by Section 643.051.
 955-5         Sec. 643.002.  EXEMPTIONS.  This chapter does not apply to:
 955-6               (1)  a motor vehicle registered under the single state
 955-7   registration system established under 49 U.S.C. Section 11506(c)
 955-8   when operating exclusively in interstate or international commerce;
 955-9               (2)  a motor vehicle registered as a cotton vehicle
955-10   under Section 502.277; or
955-11               (3)  a motor vehicle the department by rule exempts
955-12   because the vehicle is subject to comparable registration and a
955-13   comparable safety program administered by another agency.
955-14         Sec. 643.003.  RULES.  The department may adopt rules to
955-15   administer this chapter.
955-16         Sec. 643.004.  PAYMENT OF FEES.  The department may adopt
955-17   rules on the method of payment of a fee under this chapter,
955-18   including:
955-19               (1)  authorizing the use of electronic funds transfer
955-20   or a credit card issued by a financial institution chartered by a
955-21   state or the United States or by a nationally recognized credit
955-22   organization approved by the department; and
955-23               (2)  requiring the payment of a discount or service
955-24   charge for a credit card payment in addition to the fee.
 956-1            (Sections 643.005-643.050 reserved for expansion
 956-2                       SUBCHAPTER B.  REGISTRATION
 956-3         Sec. 643.051.  REGISTRATION REQUIRED.  A motor carrier may
 956-4   not operate a commercial motor vehicle, as defined by Section
 956-5   548.001, or a tow truck on a road or highway of this state unless
 956-6   the carrier registers with the department under this subchapter.
 956-7         Sec. 643.052.  APPLICATION.  To register under this
 956-8   subchapter a motor carrier must submit to the department an
 956-9   application on a form prescribed by the department.  The
956-10   application must include:
956-11               (1)  the name of the owner and the principal business
956-12   address of the motor carrier;
956-13               (2)  the name and address of the legal agent for
956-14   service of process on the carrier in this state, if different;
956-15               (3)  a description of each vehicle requiring
956-16   registration the carrier proposes to operate, including the motor
956-17   vehicle identification number, make, and unit number;
956-18               (4)  a statement as to whether the carrier proposes to
956-19   transport household goods or a hazardous material;
956-20               (5)  a declaration that the applicant has knowledge of
956-21   all laws and rules relating to motor carrier safety, including this
956-22   chapter, Chapter 644, and Subtitle C; and
956-23               (6)  any other information the department by rule
956-24   determines is necessary for the safe operation of a motor carrier
 957-1   under this chapter.
 957-2         Sec. 643.053.  FILING OF APPLICATION.  An application under
 957-3   Section 643.052 must be filed with the department and accompanied
 957-4   by:
 957-5               (1)  an application fee of $100 plus a $10 fee for each
 957-6   vehicle requiring registration the motor carrier proposes to
 957-7   operate;
 957-8               (2)  evidence of insurance or financial responsibility
 957-9   as required by Section 643.103(a); and
957-10               (3)  any insurance filing fee required under Section
957-11   643.103(c).
957-12         Sec. 643.054.  DEPARTMENT APPROVAL; ISSUANCE OF CERTIFICATE.
957-13   (a)  The department shall register a motor carrier under this
957-14   subchapter if the carrier complies with Sections 643.052 and
957-15   643.053.  The department may deny a registration if the applicant
957-16   has had a registration revoked under Section 643.252.
957-17         (b)  The department shall issue a certificate containing a
957-18   single registration number to a motor carrier, regardless of the
957-19   number of vehicles requiring registration the carrier operates.
957-20         Sec. 643.055.  CONDITIONAL ACCEPTANCE.  (a)  The department
957-21   may conditionally accept an incomplete application for registration
957-22   under this subchapter if the motor carrier complies with Section
957-23   643.053.
957-24         (b)  The department shall notify a motor carrier that an
 958-1   application is incomplete and inform the carrier of the information
 958-2   required for completion.  If the motor carrier fails to provide the
 958-3   information before the 46th day after the date the department
 958-4   provides the notice, the application is considered withdrawn, and
 958-5   the department shall retain each fee required by Section
 958-6   643.053(1).
 958-7         Sec. 643.056.  SUPPLEMENTAL REGISTRATION.  (a)  A motor
 958-8   carrier required to register under this subchapter shall supplement
 958-9   the carrier's application for registration before:
958-10               (1)  the carrier transports a hazardous material or
958-11   household goods if the carrier has not provided notice of the
958-12   transportation to the department in the carrier's initial or a
958-13   supplemental application for registration;
958-14               (2)  the carrier operates a vehicle requiring
958-15   registration that is not described on the carrier's initial or a
958-16   supplemental application for registration; or
958-17               (3)  the carrier changes the carrier's principal
958-18   business address, legal agent, ownership, or name.
958-19         (b)  The department shall prescribe the form of a
958-20   supplemental application for registration under Subsection (a).
958-21         Sec. 643.057.  ADDITIONAL VEHICLES AND FEES.  (a)  A motor
958-22   carrier may not operate an additional vehicle requiring
958-23   registration unless the carrier pays a registration fee of $10 for
958-24   each additional vehicle and shows the department evidence of
 959-1   insurance or financial responsibility for the vehicle in an amount
 959-2   at least equal to the amount set by the department under Section
 959-3   643.101.
 959-4         (b)  A motor carrier is not required to pay the $10
 959-5   registration fee for a vehicle that replaces a vehicle for which
 959-6   the fee has been paid.
 959-7         (c)  A registered motor carrier may not transport household
 959-8   goods or a hazardous material unless the carrier shows the
 959-9   department evidence of insurance or financial responsibility in an
959-10   amount at least equal to the amount set by the department under
959-11   Section 643.101 for a vehicle carrying household goods or a
959-12   hazardous material.
959-13         (d)  The department may not collect more than $10 in
959-14   equipment registration fees for a vehicle registered under both
959-15   this subchapter and Chapter 645.
959-16         Sec. 643.058.  RENEWAL OF REGISTRATION.  (a)  A registration
959-17   issued under this subchapter is valid for one year.  The department
959-18   may adopt a system under which registrations expire at different
959-19   times during the year.
959-20         (b)  A motor carrier may renew a registration under this
959-21   subchapter by:
959-22               (1)  supplementing the application with any new
959-23   information required under Section 643.056;
959-24               (2)  paying a $10 fee for each vehicle requiring
 960-1   registration the carrier operates; and
 960-2               (3)  providing the department evidence of continuing
 960-3   insurance or financial responsibility in an amount at least equal
 960-4   to the amount set by the department under Section 643.101.
 960-5         Sec. 643.059.  CAB CARDS.  (a)  The department shall issue a
 960-6   cab card for each vehicle requiring registration.  A cab card must:
 960-7               (1)  show the registration number of the certificate
 960-8   issued under Section 643.054(b);
 960-9               (2)  show the vehicle unit number;
960-10               (3)  show the vehicle identification number; and
960-11               (4)  contain a statement that the vehicle is registered
960-12   to operate under this subchapter.
960-13         (b)  The department shall issue cab cards annually at the
960-14   time a motor carrier pays a registration fee under this subchapter.
960-15   The department may charge a fee of $1 for each cab card.
960-16         (c)  A motor carrier required to register under this
960-17   subchapter must keep the cab card in the cab of each vehicle
960-18   requiring registration the carrier operates.
960-19         (d)  The department may order a motor carrier to surrender a
960-20   cab card if the carrier's registration is suspended or revoked
960-21   under Section 643.252.
960-22         (e)  If the department determines that the cab card system
960-23   described by Subsections (a)-(c) is not an efficient means of
960-24   enforcing this subchapter, the department by rule may adopt an
 961-1   alternative method that is accessible by law enforcement personnel
 961-2   in the field and provides for the enforcement of the annual
 961-3   registration requirements of this subchapter.
 961-4         Sec. 643.060.  TEMPORARY REGISTRATION OF INTERNATIONAL MOTOR
 961-5   CARRIER.  The department by rule may provide for the temporary
 961-6   registration of an international motor carrier that provides
 961-7   evidence of insurance as required for a domestic motor carrier.
 961-8   The department may charge a fee for a temporary registration in an
 961-9   amount not to exceed the cost of administering this section.
961-10            (Sections 643.061-643.100 reserved for expansion
961-11                        SUBCHAPTER C.  INSURANCE
961-12         Sec. 643.101.  AMOUNT REQUIRED.  (a)  A motor carrier
961-13   required to register under Subchapter B shall maintain liability
961-14   insurance in an amount set by the department for each vehicle
961-15   requiring registration the carrier operates.
961-16         (b)  The department by rule may set the amount of liability
961-17   insurance required at an amount that does not exceed the amount
961-18   required for a motor carrier under a federal regulation adopted
961-19   under 49 U.S.C. Section 10927(a)(1).  In setting the amount the
961-20   department shall consider:
961-21               (1)  the class and size of the vehicle; and
961-22               (2)  the persons or cargo being transported.
961-23         (c)  A motor carrier required to register under Subchapter B
961-24   that transports household goods shall maintain cargo insurance in
 962-1   the amount required for a motor carrier transporting household
 962-2   goods under federal law.
 962-3         Sec. 643.102.  SELF-INSURANCE.  A motor carrier may comply
 962-4   with Section 643.101 through self-insurance if the carrier
 962-5   demonstrates to the department that it can satisfy its obligations
 962-6   for liability for bodily injury or property damage.  In the
 962-7   interest of public safety, the department by rule shall provide for
 962-8   a responsible system of self-insurance for a motor carrier.
 962-9         Sec. 643.103.  FILING; EVIDENCE OF INSURANCE; FEES.  (a)  A
962-10   motor carrier that is required to register under Subchapter B must
962-11   file with the department evidence of insurance in the amounts
962-12   required by Section 643.101, or evidence of financial
962-13   responsibility as described by Section 643.102, in a form
962-14   prescribed by the department.  The form must be filed:
962-15               (1)  at the time of the initial registration;
962-16               (2)  at the time of a subsequent registration if the
962-17   motor carrier was required to be continuously registered under
962-18   Subchapter B and the carrier failed to maintain continuous
962-19   registration;
962-20               (3)  at the time a motor carrier changes insurers; and
962-21               (4)  at the time a motor carrier changes ownership, as
962-22   determined by rules adopted by the department.
962-23         (b)  A motor carrier shall keep evidence of insurance in a
962-24   form approved by the department in the cab of each vehicle
 963-1   requiring registration the carrier operates.
 963-2         (c)  The department may charge a fee of $100 for a filing
 963-3   under Subsection (a).
 963-4         Sec. 643.104.  TERMINATION OF INSURANCE COVERAGE.  (a)  An
 963-5   insurer may not terminate coverage provided to a motor carrier
 963-6   registered under Subchapter B unless the insurer provides the
 963-7   department with notice at least 30 days before the date the
 963-8   termination takes effect.
 963-9         (b)  Notice under Subsection (a) must be in a form approved
963-10   by the department and the Texas Department of Insurance.  The
963-11   department shall notify the Department of Public Safety of each
963-12   notice filed under Subsection (a).
963-13         Sec. 643.105.  INSOLVENCY OF INSURER.  If an insurer for a
963-14   motor carrier becomes insolvent, is placed in receivership, or has
963-15   its certificate of authority suspended or revoked and if the
963-16   carrier no longer has insurance coverage as required by this
963-17   subchapter, the carrier shall file with the department, not later
963-18   than the 10th day after the date the coverage lapses:
963-19               (1)  evidence of insurance as required by Section
963-20   643.103; and
963-21               (2)  an affidavit that:
963-22                     (A)  indicates that an accident from which the
963-23   carrier may incur liability did not occur while the coverage was
963-24   not in effect; or
 964-1                     (B)  contains a plan acceptable to the department
 964-2   indicating how the carrier will satisfy claims of liability against
 964-3   the carrier for an accident that occurred while the coverage was
 964-4   not in effect.
 964-5         Sec. 643.106.  INSURANCE FOR EMPLOYEES.  (a)  Notwithstanding
 964-6   any contrary provision of any law or regulation, a motor carrier
 964-7   required to register under Subchapter B shall protect its employees
 964-8   by obtaining:
 964-9               (1)  workers' compensation insurance coverage as
964-10   defined under Subtitle A, Title 5, Labor Code; or
964-11               (2)  accidental insurance coverage approved by the
964-12   department from a reliable insurance company authorized to write
964-13   accidental insurance policies in this state.
964-14         (b)  The department shall determine the amount of insurance
964-15   coverage under Subsection (a)(2).  The amount may not be less than:
964-16               (1)  $300,000 for medical expenses for at least 104
964-17   weeks;
964-18               (2)  $100,000 for accidental death and dismemberment;
964-19               (3)  70 percent of an employee's pre-injury income for
964-20   at least 104 weeks when compensating for loss of income; and
964-21               (4)  $500 for the maximum weekly benefit.
964-22            (Sections 643.107-643.150 reserved for expansion
964-23                   SUBCHAPTER D.  ECONOMIC REGULATION
964-24         Sec. 643.151.  PROHIBITION.  Except as provided by this
 965-1   subchapter, the department may not regulate the prices, routes, or
 965-2   services provided by a motor carrier.
 965-3         Sec. 643.152.  VOLUNTARY STANDARDS.  The department may
 965-4   establish voluntary standards for uniform cargo liability, uniform
 965-5   bills of lading or receipts for cargo being transported, and
 965-6   uniform cargo credit.  A standard adopted under this section must
 965-7   be consistent with Subtitle IV, Title 49, United States Code, or a
 965-8   regulation adopted under that law.
 965-9         Sec. 643.153.  MOTOR CARRIER TRANSPORTING HOUSEHOLD GOODS.
965-10   (a)  The department shall adopt rules to protect a consumer using
965-11   the service of a motor carrier who is required to register under
965-12   Subchapter B and transports household goods.  The rules must be at
965-13   least as stringent as the corresponding provisions of 49 C.F.R.
965-14   Part 1056.  The department may adopt rules under this subsection
965-15   that are more stringent than the corresponding federal provisions.
965-16         (b)  A motor carrier that transports household goods shall
965-17   list a place of business with a street address in this state and
965-18   the carrier's registration number issued under Subchapter B in any
965-19   printed advertising published in this state.
965-20         (c)  The department may adopt rules necessary to ensure that
965-21   a customer of a motor carrier transporting household goods is
965-22   protected from deceptive or unfair practices and unreasonably
965-23   hazardous activities.  The rules may:
965-24               (1)  establish a formal process for resolving a dispute
 966-1   over a fee or damage apart from the method of mediation in Section
 966-2   643.155;
 966-3               (2)  require a motor carrier to indicate clearly to a
 966-4   customer whether an estimate is binding or nonbinding and disclose
 966-5   the maximum price a customer could be required to pay; and
 966-6               (3)  create a centralized process for making complaints
 966-7   about a motor carrier that also allows a customer to inquire about
 966-8   a carrier's complaint record.
 966-9         (d)  A motor carrier that is required to register under
966-10   Subchapter B and that transports household goods shall file a
966-11   tariff with the department that establishes maximum charges for
966-12   transportation between two or more municipalities.  A motor carrier
966-13   may comply with this requirement by filing a copy of the carrier's
966-14   tariff governing interstate transportation services on a highway
966-15   between two or more municipalities.  The department shall make
966-16   tariffs filed under this subsection available for public inspection
966-17   at the department.
966-18         (e)  The department may not adopt rules regulating the rates,
966-19   except as provided by this section, or routes of a motor carrier
966-20   transporting household goods.
966-21         (f)  The unauthorized practice of the insurance business
966-22   under Article 1.14-1, Insurance Code, does not include the offer of
966-23   insurance by a motor carrier transporting household goods for the
966-24   full value of a customer's property if the offer is authorized by a
 967-1   rule adopted under Subsection (c).
 967-2         (g)  A motor carrier may designate an association or an agent
 967-3   of an association as its collective maximum ratemaking association
 967-4   for the purpose of the filing of a tariff under Subsection (d).
 967-5         Sec. 643.154.  ANTITRUST EXEMPTION.  (a)  Chapter 15,
 967-6   Business & Commerce Code, does not apply to a discussion or
 967-7   agreement between a motor carrier that is required to register
 967-8   under Subchapter B and that transports household goods and an agent
 967-9   of the carrier involving:
967-10               (1)  the following matters if they occur under the
967-11   authority of the principal carrier:
967-12                     (A)  a rate for the transportation of household
967-13   goods;
967-14                     (B)  an access, terminal, storage, or other
967-15   charge incidental to the transportation of household goods; or
967-16                     (C)  an allowance relating to the transportation
967-17   of household goods; or
967-18               (2)  ownership of the carrier by the agent or
967-19   membership on the board of directors of the carrier by the agent.
967-20         (b)  An agent under Subsection (a) may itself be a motor
967-21   carrier required to register under Subchapter B.
967-22         (c)  The department by rule may exempt a motor carrier
967-23   required to register under Subchapter B from Chapter 15, Business &
967-24   Commerce Code, for an activity relating to the establishment of a
 968-1   joint line rate, route, classification, or mileage guide.
 968-2         (d)  A motor carrier that is required to register under
 968-3   Subchapter B and that transports household goods, or an agent of
 968-4   the carrier, may enter into a collective ratemaking agreement with
 968-5   another motor carrier of household goods or an agent of that
 968-6   carrier concerning the establishment and filing of maximum rates,
 968-7   classifications, rules, or procedures.  The agreement must be
 968-8   submitted to the department for approval.
 968-9         (e)  The department shall approve an agreement submitted
968-10   under Subsection (d) if the agreement provides that each meeting of
968-11   parties to the agreement is open to the public and that notice of
968-12   each meeting must be given to customers who are multiple users of
968-13   the services of a motor carrier that is a party to the agreement.
968-14   The department may withhold approval of the agreement if it
968-15   determines, after notice and hearing, that the agreement fails to
968-16   comply with this subsection.
968-17         (f)  Unless disapproved by the department, an agreement made
968-18   under Subsection (d) is valid, and Chapter 15, Business & Commerce
968-19   Code, does not apply to a motor carrier that is a party to the
968-20   agreement.
968-21         Sec. 643.155.  MEDIATION REQUIRED.  (a)  A collective
968-22   association of motor carriers transporting household goods or
968-23   agents of the carriers that are parties to a collective agreement
968-24   approved under Section 643.154(e) shall provide for a method of
 969-1   mediation to resolve customer disputes over fees, damages, and
 969-2   services.  The association, the carriers, or their agents shall pay
 969-3   for the cost of the mediation.
 969-4         (b)  A party to a collective agreement approved under Section
 969-5   643.154(e) shall participate in customer complaint resolution,
 969-6   including participation in the mediation process and advertisement
 969-7   of the availability of mediation in each contract or estimate
 969-8   proposal.
 969-9         (c)  A complaint mediation that is not resolved to the mutual
969-10   agreement of all parties shall be reported to the department.
969-11         (d)  The department shall adopt rules that require parties to
969-12   a collective agreement to provide notice to customers of their
969-13   right to seek resolution of a complaint directly from the
969-14   department under Section 643.153(c).
969-15            (Sections 643.156-643.200 reserved for expansion
969-16                        SUBCHAPTER E.  TOW TRUCKS
969-17         Sec. 643.201.  TOW TRUCK REGULATION BY MUNICIPALITY.  (a)  In
969-18   addition to the registration requirements of Subchapter B, a
969-19   municipality may regulate the operation of a tow truck to the
969-20   extent allowed by federal law.
969-21         (b)  A municipality may not require the registration of a tow
969-22   truck that performs consent tows in the municipality unless the
969-23   owner of the tow truck has a place of business in the territory of
969-24   the municipality.
 970-1         (c)  A municipality may require the registration of a tow
 970-2   truck that performs a nonconsent tow in the municipality,
 970-3   regardless of whether the owner of the tow truck has a place of
 970-4   business in the territory of the municipality.
 970-5         (d)  A municipality may not require a person who holds a
 970-6   driver's license or commercial driver's license to obtain a license
 970-7   or permit for operating a tow truck unless the person performs
 970-8   nonconsent tows in the territory of the municipality.  A fee
 970-9   charged for a license or permit may not exceed $15.
970-10         (e)  In this section:
970-11               (1)  "Commercial driver's license" has the meaning
970-12   assigned by Section 522.003.
970-13               (2)  "Consent tow" means the towing of a vehicle with
970-14   the consent of the owner or operator of the vehicle.
970-15               (3)  "Driver's license" has the meaning assigned by
970-16   Section 521.001.
970-17               (4)  "Nonconsent tow" means the towing of a vehicle
970-18   without the consent of the owner or operator of the vehicle.
970-19         Sec. 643.202.  RULES ADVISORY COMMITTEE.  (a)  The department
970-20   shall appoint a rules advisory committee to advise the department
970-21   on adoption of rules regarding:
970-22               (1)  the application of this chapter to tow trucks; and
970-23               (2)  the administration by the department of the
970-24   Vehicle Storage Facility Act (Article 6687-9a, Revised Statutes).
 971-1         (b)  The department shall determine the size of the
 971-2   committee, but the committee must include one member who represents
 971-3   each of the following:
 971-4               (1)  tow truck operators;
 971-5               (2)  vehicle storage facility operators;
 971-6               (3)  owners of property having parking facilities;
 971-7               (4)  law enforcement agencies or municipalities;
 971-8               (5)  insurance companies; and
 971-9               (6)  the general public.
971-10         (c)  Members of the committee serve at the pleasure of the
971-11   department.  A member of the committee is not entitled to
971-12   compensation or reimbursement of expenses for serving as a member.
971-13         (d)  The department may adopt rules to govern the operations
971-14   of the committee.
971-15            (Sections 643.203-643.250 reserved for expansion
971-16                       SUBCHAPTER F.  ENFORCEMENT
971-17         Sec. 643.251.  ADMINISTRATIVE PENALTY.  (a)  The department
971-18   may impose an administrative penalty against a motor carrier
971-19   required to register under Subchapter B that violates Subchapter B
971-20   or C or Section 643.151, 643.152, 643.153(a)-(f), or 643.155 or a
971-21   rule or order adopted under those provisions or Section 643.003.
971-22   The department shall designate one or more employees to investigate
971-23   violations and administer penalties under this section.
971-24         (b)  Except as provided by this section, the amount of an
 972-1   administrative penalty may not exceed $5,000.  If it is found that
 972-2   the motor carrier knowingly committed the violation, the penalty
 972-3   may not exceed $15,000.  If it is found that the motor carrier
 972-4   knowingly committed multiple violations, the aggregate penalty for
 972-5   the multiple violations may not exceed $30,000.  Each day a
 972-6   violation continues or occurs is a separate violation for purposes
 972-7   of imposing a penalty.
 972-8         (c)  The amount of the penalty shall be based on:
 972-9               (1)  the seriousness of the violation, including the
972-10   nature, circumstances, extent, and gravity of any prohibited act,
972-11   and the hazard or potential hazard created to the health, safety,
972-12   or economic welfare of the public;
972-13               (2)  the economic harm to property or the environment
972-14   caused by the violation;
972-15               (3)  the history of previous violations;
972-16               (4)  the amount necessary to deter future violations;
972-17               (5)  efforts to correct the violation; and
972-18               (6)  any other matter that justice may require.
972-19         (d)  If the department determines that a violation has
972-20   occurred, it may issue to the director a report that states the
972-21   facts on which the determination is based and a recommendation on
972-22   the imposition and amount of any penalty.
972-23         (e)  Before the 15th day after the date the report is issued,
972-24   the department shall give written notice of the report to the motor
 973-1   carrier.  The notice may be given by certified mail.  The notice
 973-2   must include a brief summary of the alleged violation and a
 973-3   statement of the amount of the recommended penalty and must inform
 973-4   the motor carrier that the carrier has a right to a hearing on the
 973-5   occurrence of the violation, the amount of the penalty, or both the
 973-6   occurrence of the violation and the amount of the penalty.
 973-7         (f)  Before the 21st day after the date the motor carrier
 973-8   receives the notice, the carrier in writing may accept the
 973-9   determination and recommended penalty of the department or may make
973-10   a written request for a hearing on the occurrence of the violation,
973-11   the amount of the penalty, or both the occurrence of the violation
973-12   and the amount of the penalty.  The department may, on the request
973-13   of the person, hold an informal hearing to discuss a penalty
973-14   recommended under this section.  The department may modify a
973-15   recommendation for a penalty at the conclusion of the informal
973-16   hearing.
973-17         (g)  If the motor carrier accepts the determination and
973-18   recommended penalty of the department, the director by order shall
973-19   approve the determination and impose the recommended penalty.
973-20         (h)  If the motor carrier requests a hearing or fails to
973-21   respond timely to the notice, the department shall set a hearing
973-22   and give notice of the hearing to the carrier.  The hearing shall
973-23   be held by an administrative law judge of the State Office of
973-24   Administrative Hearings.  The administrative law judge shall make
 974-1   findings of fact and conclusions of law and promptly issue to the
 974-2   director a proposal for a decision about the occurrence of the
 974-3   violation and the amount of a proposed penalty.  Based on the
 974-4   findings of fact, conclusions of law, and proposal for a decision,
 974-5   the director by order may find that a violation has occurred and
 974-6   impose a penalty or may find that no violation occurred.  The
 974-7   director may increase or decrease the amount of the penalty
 974-8   recommended by an administrative law judge within the limits
 974-9   prescribed by Subsection (b).
974-10         (i)  The notice of the director's order given to the motor
974-11   carrier under Chapter 2001, Government Code, must include a
974-12   statement of the right of the carrier to judicial review of the
974-13   order.
974-14         (j)  Before the 31st day after the date the director's order
974-15   becomes final as provided by Section 2001.144, Government Code, the
974-16   motor carrier shall:
974-17               (1)  pay the amount of the penalty;
974-18               (2)  pay the amount of the penalty and file a petition
974-19   for judicial review contesting the occurrence of the violation, the
974-20   amount of the penalty, or both the occurrence of the violation and
974-21   the amount of the penalty; or
974-22               (3)  without paying the amount of the penalty, file a
974-23   petition for judicial review contesting the occurrence of the
974-24   violation, the amount of the penalty, or both the occurrence of the
 975-1   violation and the amount of the penalty.
 975-2         (k)  Within the 30-day period, a motor carrier that acts
 975-3   under Subsection (j)(3) may:
 975-4               (1)  stay enforcement of the penalty by:
 975-5                     (A)  paying the amount of the penalty to the
 975-6   court for placement in an escrow account; or
 975-7                     (B)  giving to the court a supersedeas bond that
 975-8   is approved by the court for the amount of the penalty and that is
 975-9   effective until all judicial review of the director's order is
975-10   final; or
975-11               (2)  request the court to stay enforcement of the
975-12   penalty by:
975-13                     (A)  filing with the court a sworn affidavit of
975-14   the person stating that the person is financially unable to pay the
975-15   amount of the penalty and is financially unable to give the
975-16   supersedeas bond; and
975-17                     (B)  giving a copy of the affidavit to the
975-18   director by certified mail.
975-19         (l)  If the department receives a copy of an affidavit under
975-20   Subsection (k)(2), it may file with the court, before the sixth day
975-21   after the date the copy is received, a contest to the affidavit.
975-22   The court shall hold a hearing on the facts alleged in the
975-23   affidavit as soon as practicable and shall stay the enforcement of
975-24   the penalty if the court finds that the alleged facts are true.
 976-1   The motor carrier that files an affidavit has the burden of proving
 976-2   that the carrier is financially unable to pay the amount of the
 976-3   penalty and to give a supersedeas bond.
 976-4         (m)  If the motor carrier does not pay the amount of the
 976-5   penalty and the enforcement of the penalty is not stayed, the
 976-6   director may refer the matter to the attorney general for
 976-7   collection of the amount of the penalty.
 976-8         (n)  Judicial review of the order of the director:
 976-9               (1)  is instituted by filing a petition as provided by
976-10   Subchapter G, Chapter 2001, Government Code; and
976-11               (2)  is under the substantial evidence rule.
976-12         (o)  If the court sustains the occurrence of the violation,
976-13   the court may uphold or reduce the amount of the penalty and order
976-14   the motor carrier to pay the full or reduced amount of the penalty.
976-15   If the court does not sustain the occurrence of the violation, the
976-16   court shall order that no penalty is owed.
976-17         (p)  When the judgment of the court becomes final, the court
976-18   shall proceed under this subsection.  If the motor carrier paid the
976-19   amount of the penalty and if that amount is reduced or is not
976-20   upheld by the court, the court shall order that the appropriate
976-21   amount plus accrued interest be remitted to the person.  The rate
976-22   of the interest is the rate charged on loans to depository
976-23   institutions by the New York Federal Reserve Bank, and the interest
976-24   shall be paid for the period beginning on the date the penalty was
 977-1   paid and ending on the date the penalty is remitted.  If the motor
 977-2   carrier gave a supersedeas bond and if the penalty is not upheld by
 977-3   the court, the court shall order the release of the bond.  If the
 977-4   motor carrier gave a supersedeas bond and if the amount of the
 977-5   penalty is reduced, the court shall order the release of the bond
 977-6   after the carrier pays the amount.
 977-7         (q)  All proceedings under this section are subject to
 977-8   Chapter 2001, Government Code.
 977-9         (r)  In addition to a penalty proposed by an administrative
977-10   law judge under Subsection (h), the administrative law judge shall
977-11   include in the proposal for a decision a finding setting out costs,
977-12   fees, expenses, and reasonable and necessary attorney's fees
977-13   incurred by the state in bringing the proceeding.  The director may
977-14   adopt the finding and make it a part of a final order entered in
977-15   the proceeding.
977-16         Sec. 643.252.  SUSPENSION AND REVOCATION OF REGISTRATION.
977-17   (a)  The department may suspend or revoke a registration issued
977-18   under this chapter if a motor carrier:
977-19               (1)  fails to maintain insurance as required by Section
977-20   643.101(a), (b), or (c);
977-21               (2)  fails to keep evidence of insurance in the cab of
977-22   each vehicle as required by Section 643.103(b);
977-23               (3)  fails to register a vehicle requiring
977-24   registration; or
 978-1               (4)  knowingly provides false information on any form
 978-2   filed with the department under this chapter.
 978-3         (b)  The Department of Public Safety may request that the
 978-4   department suspend or revoke a registration issued under this
 978-5   chapter if a motor carrier has:
 978-6               (1)  an unsatisfactory safety rating under 49 C.F.R.
 978-7   Part 385; or
 978-8               (2)  multiple violations of Chapter 644, a rule adopted
 978-9   under that chapter, or Subtitle C.
978-10         (c)  Except as provided by Subsection (d), a suspension or
978-11   revocation made under Subsection (a) or (b) is a contested case
978-12   under Chapter 2001, Government Code.
978-13         (d)  The department may suspend or revoke a registration
978-14   issued under this chapter without a hearing under Chapter 2001,
978-15   Government Code, if:
978-16               (1)  the department provides notice to the motor
978-17   carrier of:
978-18                     (A)  the proposed suspension or revocation; and
978-19                     (B)  the right of the carrier to request a
978-20   hearing under Chapter 2001, Government Code; and
978-21               (2)  the motor carrier fails to provide the department
978-22   with a written request for a hearing before the 11th day after the
978-23   date the carrier receives the notice described in Subdivision (1).
978-24         Sec. 643.253.  CRIMINAL PENALTY.  (a)  A person commits an
 979-1   offense if the person fails to:
 979-2               (1)  register as required by Subchapter B;
 979-3               (2)  maintain insurance as required by Subchapter C; or
 979-4               (3)  keep a cab card in the cab of a vehicle as
 979-5   required by Section 643.059.
 979-6         (b)  An offense under this section is a Class C misdemeanor.
 979-7         Sec. 643.254.  INSPECTION OF DOCUMENTS.  (a)  To investigate
 979-8   an alleged violation of Subchapter B or C, an officer or employee
 979-9   of the department who has been certified for the purpose by the
979-10   director may enter a motor carrier's premises to copy or verify the
979-11   correctness of a document, including an operation log or insurance
979-12   certificate.
979-13         (b)  The officer or employee may conduct the inspection:
979-14               (1)  at a reasonable time;
979-15               (2)  after stating the purpose of the inspection; and
979-16               (3)  by presenting to the motor carrier:
979-17                     (A)  appropriate credentials; and
979-18                     (B)  a written statement from the department to
979-19   the motor carrier indicating the officer's or employee's authority
979-20   to inspect.
979-21         (b)  Article 6675c, Revised Statutes, as added by Section 1,
979-22   Chapter 705 (S.B. No. 3), Acts of the 74th Legislature, Regular
979-23   Session, 1995, is repealed.
979-24         SECTION 30.151.  (a)  Subtitle F, Title 7, Transportation
 980-1   Code, is amended to codify Article 6675d, Revised Statutes, as
 980-2   added by Section 3, Chapter 705 (S.B. No. 3), Acts of the 74th
 980-3   Legislature, Regular Session, 1995, by adding Chapter 644 to read
 980-4   as follows:
 980-5         CHAPTER 644.  COMMERCIAL MOTOR VEHICLE SAFETY STANDARDS
 980-6                    SUBCHAPTER A.  GENERAL PROVISIONS
 980-7         Sec. 644.001.  DEFINITIONS.  In this chapter:
 980-8               (1)  "Commercial motor vehicle" has the meaning
 980-9   assigned by Section 548.001.
980-10               (2)  "Department" means the Department of Public
980-11   Safety.
980-12               (3)  "Director" means the public safety director.
980-13               (4)  "Federal hazardous material regulation" means a
980-14   federal regulation in 49 C.F.R. Parts 101-199.
980-15               (5)  "Federal motor carrier safety regulation" means a
980-16   federal regulation in 49 C.F.R. Part 382, 385, or 386 or Parts
980-17   388-399.
980-18               (6)  "Federal safety regulation" means a federal
980-19   hazardous material regulation or a federal motor carrier safety
980-20   regulation.
980-21         Sec. 644.002.  CONFLICTS OF LAW.  (a)  A federal motor
980-22   carrier safety regulation prevails over a conflicting provision of
980-23   this chapter or a rule adopted by the director under this chapter.
980-24         (b)  A safety rule adopted under this chapter prevails over a
 981-1   conflicting rule adopted by a local government, authority, or state
 981-2   agency or officer, other than a conflicting rule adopted by the
 981-3   Railroad Commission of Texas under Chapter 113, Natural Resources
 981-4   Code.
 981-5         Sec. 644.003.  RULES.  The department may adopt rules to
 981-6   administer this chapter.
 981-7            (Sections 644.004-644.050 reserved for expansion
 981-8                    SUBCHAPTER B.  ADOPTION OF RULES
 981-9         Sec. 644.051.  AUTHORITY TO ADOPT RULES.  (a)  The director
981-10   shall, after notice and a public hearing, adopt rules regulating:
981-11               (1)  the safe transportation of hazardous materials;
981-12   and
981-13               (2)  the safe operation of commercial motor vehicles.
981-14         (b)  A rule adopted under this chapter must be consistent
981-15   with federal regulations, including federal safety regulations.
981-16         (c)  The director may adopt all or part of the federal safety
981-17   regulations by reference.
981-18         (d)  Rules adopted under this chapter must ensure that:
981-19               (1)  a commercial motor vehicle is safely maintained,
981-20   equipped, loaded, and operated;
981-21               (2)  the responsibilities imposed on a commercial motor
981-22   vehicle's operator do not impair the operator's ability to operate
981-23   the vehicle safely; and
981-24               (3)  the physical condition of a commercial motor
 982-1   vehicle's operator enables the operator to operate the vehicle
 982-2   safely.
 982-3         (e)  A motor carrier safety rule adopted by a local
 982-4   government, authority, or state agency or officer must be
 982-5   consistent with corresponding federal regulations.
 982-6         Sec. 644.052.  APPLICABILITY OF RULES.  (a)  Notwithstanding
 982-7   an exemption provided in the federal safety regulations, other than
 982-8   an exemption relating to intracity or commercial zone operations
 982-9   provided in 49 C.F.R. Part 395, a rule adopted by the director
982-10   under this chapter applies uniformly throughout this state.
982-11         (b)  A rule adopted under this chapter applies to a vehicle
982-12   that requires a hazardous material placard.
982-13         (c)  A rule adopted under this chapter may not apply to a
982-14   vehicle that is operated intrastate and that is:
982-15               (1)  a machine generally consisting of a mast, engine,
982-16   draw works, and chassis permanently constructed or assembled to be
982-17   used and used in oil or water well servicing or drilling;
982-18               (2)  a mobile crane that is an unladen, self-propelled
982-19   vehicle constructed as a machine to raise, shift, or lower weight;
982-20   or
982-21               (3)  a vehicle transporting a seed cotton module.
982-22         Sec. 644.053.  LIMITATIONS OF RULES.  (a)  A rule adopted
982-23   under this chapter may not:
982-24               (1)  prevent an intrastate operator from operating a
 983-1   vehicle up to 12 hours following eight consecutive hours off;
 983-2               (2)  require a person to meet the medical standards
 983-3   provided in the federal motor carrier safety regulations if the
 983-4   person:
 983-5                     (A)  was regularly employed in this state as a
 983-6   commercial motor vehicle operator in intrastate commerce before
 983-7   August 28, 1989; and
 983-8                     (B)  is not transporting property that requires a
 983-9   hazardous material placard; or
983-10               (3)  require a person to maintain a government form,
983-11   separate company form, operator's record of duty status, or
983-12   operator's daily log for operations within a 150-mile radius of the
983-13   normal work-reporting location if a general record of an operator's
983-14   hours of service can be compiled from:
983-15                     (A)  business records maintained by the owner
983-16   that provide the date, time, and location of the delivery of a
983-17   product or service; or
983-18                     (B)  documents required to be maintained by law,
983-19   including delivery tickets or sales invoices, that provide the date
983-20   of delivery and the quantity of merchandise delivered.
983-21         (b)  For purposes of Subsection (a)(3)(A), an owner's
983-22   business records must generally include:
983-23               (1)  the time an operator reports for duty each day;
983-24               (2)  the number of hours an operator is on duty each
 984-1   day;
 984-2               (3)  the time an operator is released from duty each
 984-3   day; and
 984-4               (4)  an operator's signed statement in compliance with
 984-5   49 C.F.R. Section 395.8(j)(2).
 984-6            (Sections 644.054-644.100 reserved for expansion
 984-7                SUBCHAPTER C.  ADMINISTRATIVE ENFORCEMENT
 984-8         Sec. 644.101.  CERTIFICATION OF MUNICIPAL PEACE OFFICERS.
 984-9   (a)  The department shall establish procedures, including training,
984-10   for the certification of municipal peace officers to enforce this
984-11   chapter.
984-12         (b)  A peace officer of any of the following municipalities
984-13   is eligible to apply for certification under this section:
984-14               (1)  a municipality with a population of 100,000 or
984-15   more;
984-16               (2)  a municipality with a population of 25,000 or more
984-17   any part of which is located in a county with a population of 2.4
984-18   million or more; or
984-19               (3)  a municipality any part of which is located in a
984-20   county bordering the United Mexican States.
984-21         (c)  The department by rule shall establish reasonable fees
984-22   sufficient to recover from a municipality the cost of certifying
984-23   its peace officers under this section.
984-24         Sec. 644.102.  MUNICIPAL ENFORCEMENT REQUIREMENTS.  (a)  The
 985-1   department by rule may establish uniform standards for municipal
 985-2   enforcement of this chapter.
 985-3         (b)  A municipality that engages in enforcement under this
 985-4   chapter:
 985-5               (1)  shall pay all costs relating to the municipality's
 985-6   enforcement; and
 985-7               (2)  may not be considered, in the context of a federal
 985-8   grant related to this chapter:
 985-9                     (A)  a party to a federal grant agreement; or
985-10                     (B)  a grantee under a federal grant to the
985-11   department.
985-12         (c)  Municipal enforcement under Section 644.103(b) is not
985-13   considered departmental enforcement for purposes of maintaining
985-14   levels of effort required by a federal grant.
985-15         (d)  In each fiscal year, a municipality may retain fines
985-16   from the enforcement of this chapter in an amount not to exceed 110
985-17   percent of the municipality's actual expenses for enforcement of
985-18   this chapter in the preceding fiscal year, as determined by the
985-19   comptroller after reviewing the most recent municipal audit
985-20   conducted under Section 103.001, Local Government Code.  If there
985-21   are no actual expenses for enforcement of this chapter in the most
985-22   recent municipal audit, a municipality may retain fines in an
985-23   amount not to exceed 110 percent of the amount the comptroller
985-24   estimates would be the municipality's actual expenses for
 986-1   enforcement of this chapter during the year.
 986-2         (e)  A municipality shall send to the comptroller the
 986-3   proceeds of all fines that exceed the limit imposed by Subsection
 986-4   (d).
 986-5         Sec. 644.103.  DETENTION OF VEHICLES.  (a)  An officer of the
 986-6   department may enter or detain on a highway a motor vehicle that is
 986-7   subject to this chapter.
 986-8         (b)  A peace officer who is certified under Section 644.101
 986-9   may detain on a highway within the territory of the municipality a
986-10   motor vehicle that is subject to this chapter.
986-11         Sec. 644.104.  INSPECTION OF PREMISES.  (a)  An officer or
986-12   employee of the department who has been certified for the purpose
986-13   by the director may enter a motor carrier's premises to:
986-14               (1)  inspect real property, including a building, or
986-15   equipment; or
986-16               (2)  copy or verify the correctness of documents,
986-17   including records or reports, required to be kept or made by rules
986-18   adopted under this chapter.
986-19         (b)  The officer or employee may conduct the inspection:
986-20               (1)  at a reasonable time;
986-21               (2)  after stating the purpose of the inspection; and
986-22               (3)  by presenting to the motor carrier:
986-23                     (A)  appropriate credentials; and
986-24                     (B)  a written statement from the department to
 987-1   the motor carrier indicating the officer's or employee's authority
 987-2   to inspect.
 987-3            (Sections 644.105-644.150 reserved for expansion
 987-4      SUBCHAPTER D.  OFFENSES, PENALTIES, AND JUDICIAL ENFORCEMENT
 987-5         Sec. 644.151.  CRIMINAL OFFENSE.  (a)  A person commits an
 987-6   offense if the person:
 987-7               (1)  violates a rule adopted under this chapter; or
 987-8               (2)  does not permit an inspection authorized under
 987-9   Section 644.104.
987-10         (b)  An offense under this section is a Class C misdemeanor.
987-11         (c)  Each day a violation continues under Subsection (a)(1)
987-12   or each day a person refuses to allow an inspection described under
987-13   Subsection (a)(2) is a separate offense.
987-14         Sec. 644.152.  CIVIL PENALTY.  (a)  A person who does not
987-15   permit an inspection authorized by Section 644.104 is liable to the
987-16   state for a civil penalty in an amount not to exceed $1,000.
987-17         (b)  The attorney general may sue to collect the penalty in:
987-18               (1)  the county in which the violation is alleged to
987-19   have occurred; or
987-20               (2)  Travis County.
987-21         (c)  The penalty provided by this section is in addition to
987-22   the penalty provided by Section 644.151.
987-23         (d)  Each day a person refuses to permit an inspection
987-24   described by Subsection (a) is a separate violation for purposes of
 988-1   imposing a penalty.
 988-2         Sec. 644.153.  ADMINISTRATIVE PENALTY.  (a)  The department
 988-3   may impose an administrative penalty against a person who violates:
 988-4               (1)  a rule adopted under this chapter; or
 988-5               (2)  a provision of Subtitle C that the department by
 988-6   rule subjects to administrative penalties.
 988-7         (b)  To be designated as subject to an administrative penalty
 988-8   under Subsection (a)(2), a provision must relate to the safe
 988-9   operation of a commercial motor vehicle.
988-10         (c)  A penalty under this section:
988-11               (1)  may not exceed the maximum penalty provided for a
988-12   violation of a similar federal safety regulation; and
988-13               (2)  shall be administered in the same manner as a
988-14   penalty under Section 643.251, except that the amount of a penalty
988-15   shall be determined under Subdivision (1).
988-16         Sec. 644.154.  SUIT FOR INJUNCTION.  (a)  The attorney
988-17   general shall sue to enjoin a violation or a threatened violation
988-18   of a rule adopted under this chapter on request of the director.
988-19         (b)  The suit must be brought in the county in which the
988-20   violation or threat is alleged to have occurred.
988-21         (c)  The court may grant the director, without bond or other
988-22   undertaking:
988-23               (1)  a prohibitory or mandatory injunction, including a
988-24   temporary restraining order; or
 989-1               (2)  after notice and hearing, a temporary or permanent
 989-2   injunction.
 989-3         Sec. 644.155.  SAFETY AUDIT PROGRAM.  The department shall
 989-4   implement and enforce a safety audit program similar to the federal
 989-5   program established under 49 C.F.R. Part 385 for a person who owns
 989-6   or operates a commercial motor vehicle not subject to safety audits
 989-7   by the United States.
 989-8         (b)  Article 6675d, Revised Statutes, as added by Section 3,
 989-9   Chapter 705 (S.B. No. 3), Acts of the 74th Legislature, Regular
989-10   Session, 1995, is repealed.
989-11         SECTION 30.152.  (a)  Subtitle F, Title 7, Transportation
989-12   Code, is amended to codify Article 6675c-1, Revised Statutes, as
989-13   added by Section 2, Chapter 705 (S.B. No. 3), Acts of the 74th
989-14   Legislature, Regular Session, 1995, by adding Chapter 645 to read
989-15   as follows:
989-16                 CHAPTER 645.  SINGLE STATE REGISTRATION
989-17         Sec. 645.001.  SINGLE STATE REGISTRATION.  The Texas
989-18   Department of Transportation shall, to the fullest extent
989-19   practicable, participate in the single state registration system
989-20   established under 49 U.S.C. Section 11506.
989-21         Sec. 645.002.  FEES.  (a)  The department may charge a motor
989-22   carrier holding a permit issued under Subtitle IV, Title 49, United
989-23   States Code, a fee for filing proof of insurance consistent with 49
989-24   U.S.C. Section 11506 not to exceed the maximum fee established
 990-1   under federal law.
 990-2         (b)  The department may adopt rules regarding the method of
 990-3   payment of a fee under this chapter.  The rules may:
 990-4               (1)  authorize the use of electronic funds transfer or
 990-5   a valid credit card issued by a financial institution chartered by
 990-6   a state or the United States or by a nationally recognized credit
 990-7   organization approved by the department; and
 990-8               (2)  require the payment of a discount or service
 990-9   charge for a credit card payment in addition to the fee.
990-10         Sec. 645.003.  ENFORCEMENT RULES.  The department shall adopt
990-11   rules that are consistent with federal law providing for:
990-12               (1)  administrative penalties in the same manner as
990-13   Section 643.251; and
990-14               (2)  suspension and revocation of registration in the
990-15   same manner as Section 643.252.
990-16         Sec. 645.004.  CRIMINAL OFFENSE.  (a)  A person commits an
990-17   offense if the person:
990-18               (1)  violates a rule adopted under this chapter; or
990-19               (2)  fails to register a vehicle required to be
990-20   registered under this chapter.
990-21         (b)  An offense under this section is a Class C misdemeanor.
990-22         (c)  Each day a violation of a rule occurs is a separate
990-23   offense under this section.
990-24         (b)  Article 6675c-1, Revised Statutes, as added by Section
 991-1   2, Chapter 705 (S.B. No. 3), Acts of the 74th Legislature, Regular
 991-2   Session, 1995, is repealed.
 991-3         SECTION 30.153.  (a)  Subtitle F, Title 7, Transportation
 991-4   Code, is amended to codify Article 911m, Revised Statutes, as added
 991-5   by Section 4, Chapter 705 (S.B. No. 3), Acts of the 74th
 991-6   Legislature, Regular Session, 1995, by adding Chapter 646 to read
 991-7   as follows:
 991-8               CHAPTER 646.  MOTOR TRANSPORTATION BROKERS
 991-9         Sec. 646.001.  DEFINITION.  In this chapter, "motor
991-10   transportation broker" means a person who:
991-11               (1)  sells, offers for sale, provides, or negotiates
991-12   for the transportation of cargo by a motor carrier operated by
991-13   another person; or
991-14               (2)  aids or abets a person in performing an act
991-15   described by Subdivision (1).
991-16         Sec. 646.002.  EXCEPTION.  This chapter does not apply to a
991-17   motor transportation broker who:
991-18               (1)  is registered as a motor carrier under Chapter
991-19   643; or
991-20               (2)  holds a permit issued under Subtitle IV, Title 49,
991-21   United States Code.
991-22         Sec. 646.003.  BOND REQUIRED.  (a)  A person may not act as a
991-23   motor transportation broker unless the person provides a bond to
991-24   the Texas Department of Transportation.
 992-1         (b)  The bond must be in an amount of at least $10,000 and
 992-2   must be:
 992-3               (1)  executed by a bonding company authorized to do
 992-4   business in this state;
 992-5               (2)  payable to this state or a person to whom the
 992-6   motor transportation broker provides services; and
 992-7               (3)  conditioned on the performance of the contract for
 992-8   transportation services between the broker and the person for whom
 992-9   services are provided.
992-10         (c)  The department may charge the broker a bond review fee
992-11   in an amount not to exceed the cost of reviewing the bond.
992-12         (d)  The department may adopt rules regarding the method of
992-13   payment of a fee under this chapter.  The rules may:
992-14               (1)  authorize the use of electronic funds transfer or
992-15   a credit card issued by a financial institution chartered by a
992-16   state or the United States or by a nationally recognized credit
992-17   organization approved by the department; and
992-18               (2)  require the payment of a discount or service
992-19   charge for a credit card payment in addition to the fee.
992-20         Sec. 646.004.  CRIMINAL OFFENSE.  (a)  A person commits an
992-21   offense if the person fails to provide the bond required by Section
992-22   646.003.
992-23         (b)  An offense under this section is a Class C misdemeanor.
992-24         (b)  Article 911m, Revised Statutes, as added by Section 4,
 993-1   Chapter 705 (S.B.  No. 3), Acts of the 74th Legislature, Regular
 993-2   Session, 1995, is repealed.
 993-3         SECTION 30.154.  (a)  Section 661.003, Transportation Code,
 993-4   is amended to conform to Section 1, Chapter 539 (S.B. No. 1363),
 993-5   Acts of the 74th Legislature, Regular Session, 1995, by amending
 993-6   Subsections (d) and (e) and adding Subsection (f) to read as
 993-7   follows:
 993-8         (d)  Only a practicing physician licensed by the Texas State
 993-9   Board of Medical Examiners may issue a medical exemption and the
993-10   physician may issue the medical exemption only to a person who has
993-11   a medical condition [an acute head or facial injury] that would be
993-12   worsened if the person wore protective headgear.  The medical
993-13   exemption must be on a form prescribed by the department and,
993-14   except as provided by Subsection (e), expires on the earlier of:
993-15               (1)  the 180th [10th] day after the date it is issued;
993-16   or
993-17               (2)  the expiration date specified by the physician on
993-18   the form.
993-19         (e)  The medical exemption is permanent if the physician
993-20   attests that the person's medical condition is permanent.
993-21         (f)  An offense under this section is a misdemeanor
993-22   punishable by a fine of not less than $10 or more than $50.
993-23         (b)  Section 1, Chapter 539 (S.B. No. 1363), Acts of the 74th
993-24   Legislature, Regular Session, 1995, is repealed.
 994-1         SECTION 30.155.  Chapter 662, Transportation Code, is amended
 994-2   to conform to Section 1(38), Chapter 1058 (H.B. No. 3050), Acts of
 994-3   the 74th Legislature, Regular Session, 1995, by adding Section
 994-4   662.011 to read as follows:
 994-5         Sec. 662.011.  MOTORCYCLE EDUCATION FUND ACCOUNT.  (a)  The
 994-6   motorcycle education fund account is an account in the general
 994-7   revenue fund.
 994-8         (b)  Of each fee for renewal of a Class M license, the
 994-9   Department of Public Safety shall send $5 to the comptroller for
994-10   deposit to the credit of the motorcycle education fund account.
994-11         (c)  Money deposited to the credit of the motorcycle
994-12   education fund account may be used only to defray the cost of
994-13   administering the motorcycle operator training and safety program,
994-14   except as provided by Subsection (d).
994-15         (d)  The unspent and unencumbered balance in the motorcycle
994-16   education fund account at the end of each fiscal year may be
994-17   appropriated for:
994-18               (1)  the motorcycle operator training and safety
994-19   program; or
994-20               (2)  any other purpose relating to:
994-21                     (A)  maintaining or policing highways; or
994-22                     (B)  supervising traffic or promoting safety on
994-23   highways.
994-24         SECTION 30.156.  (a)  Section 681.001, Transportation Code,
 995-1   is amended to conform to Section 1, Chapter 929 (H.B. No. 2083),
 995-2   Acts of the 74th Legislature, Regular Session, 1995, by adding
 995-3   Subdivision (5) to read as follows:
 995-4               (5)  "Mobility problem that substantially impairs a
 995-5   person's ability to ambulate" means that the person:
 995-6                     (A)  cannot walk 200 feet without stopping to
 995-7   rest;
 995-8                     (B)  cannot walk without the use of or assistance
 995-9   from an assistance device, including a brace, a cane, a crutch,
995-10   another person, or a prosthetic device;
995-11                     (C)  cannot ambulate without a wheelchair or
995-12   similar device;
995-13                     (D)  is restricted by lung disease to the extent
995-14   that the person's forced respiratory expiratory volume for one
995-15   second, measured by spirometry, is less than one liter, or the
995-16   arterial oxygen tension is less than 60 millimeters of mercury on
995-17   room air at rest;
995-18                     (E)  uses portable oxygen;
995-19                     (F)  has a cardiac condition to the extent that
995-20   the person's functional limitations are classified in severity as
995-21   Class III or Class IV according to standards set by the American
995-22   Heart Association;
995-23                     (G)  is severely limited in the ability to walk
995-24   because of an arthritic, neurological, or orthopedic condition; or
 996-1                     (H)  has another debilitating condition that, in
 996-2   the opinion of a physician licensed to practice medicine in this
 996-3   state, limits or impairs the person's ability to walk.
 996-4         (b)  Section 681.003(c), Transportation Code, is amended to
 996-5   conform to Section 1, Chapter 929 (H.B. No. 2083), Acts of the 74th
 996-6   Legislature, Regular Session, 1995, to read as follows:
 996-7         (c)  The first application must be accompanied by a written
 996-8   statement of a physician licensed to practice medicine in this
 996-9   state certifying to the department [acceptable medical proof] that
996-10   the person making the application or on whose behalf the
996-11   application is made is legally blind or has a mobility problem that
996-12   substantially impairs the person's ability to ambulate.  The
996-13   statement must include a certification of whether a mobility
996-14   problem, if applicable, is temporary or permanent [operator or
996-15   regularly transported passenger has a disability].  A written
996-16   statement from a physician is not required as acceptable medical
996-17   proof if:
996-18               (1)  the person with a disability:
996-19                     (A)  has had a limb, hand, or foot amputated; or
996-20                     (B)  must use a wheelchair; and
996-21               (2)  the applicant and the county assessor-collector
996-22   issuing the disabled parking placard execute an affidavit attesting
996-23   to the person's disability.
996-24         (c)  Section 681.006(b), Transportation Code, is amended to
 997-1   conform to Section 2, Chapter 929 (H.B. No. 2083), Acts of the 74th
 997-2   Legislature, Regular Session, 1995, to read as follows:
 997-3         (b)  The owner of a vehicle is exempt from the payment of a
 997-4   fee or penalty imposed by a governmental unit for parking at a
 997-5   meter, in a parking garage or lot, or in a space with a limitation
 997-6   on the length of time for parking if:
 997-7               (1)  the vehicle is being operated by or for the
 997-8   transportation of a person with a disability; and
 997-9               (2)  there are:
997-10                     (A)  displayed on the vehicle special license
997-11   plates issued under Section 502.253; or
997-12                     (B)  placed on the rearview mirror of the
997-13   vehicle's front windshield a disabled parking placard.
997-14         (d)  Chapter 681, Transportation Code, is amended to conform
997-15   to Section 3, Chapter 929 (H.B. No. 2083), Acts of the 74th
997-16   Legislature, Regular Session, 1995, by adding Section 681.0101 to
997-17   read as follows:
997-18         Sec. 681.0101.  ENFORCEMENT BY CERTAIN APPOINTED PERSONS.
997-19   (a)  A political subdivision may appoint a person to have authority
997-20   to file a charge against a person who commits an offense under this
997-21   chapter.
997-22         (b)  A person appointed under this section must:
997-23               (1)  be a United States citizen of good moral character
997-24   who has not been convicted of a felony;
 998-1               (2)  take and subscribe to an oath of office that the
 998-2   political subdivision prescribes; and
 998-3               (3)  successfully complete a training program developed
 998-4   by the political subdivision.
 998-5         (c)  A person appointed under this section:
 998-6               (1)  is not a peace officer;
 998-7               (2)  has no authority other than the authority
 998-8   applicable to a citizen to enforce a law other than this chapter;
 998-9   and
998-10               (3)  may not carry a weapon while performing duties
998-11   under this section.
998-12         (d)  A person appointed under this section is not entitled to
998-13   compensation for performing duties under this section or to
998-14   indemnification from the political subdivision or the state for
998-15   injury or property damage the person sustains or liability the
998-16   person incurs in performing duties under this section.
998-17         (e)  The political subdivision and the state are not liable
998-18   for any damage arising from an act or omission of a person
998-19   appointed under Subsection (a) in performing duties under this
998-20   section.
998-21         (e)  Section 681.011, Transportation Code, is amended to
998-22   conform to Section 4, Chapter 929 (H.B. No. 2083), Acts of the 74th
998-23   Legislature, Regular Session, 1995, by amending Subsection (g) and
998-24   adding Subsections (h)-(l) to read as follows:
 999-1         (g)  Except as provided by Subsections (h)-(k), an [An]
 999-2   offense under this section is a [Class C] misdemeanor punishable by
 999-3   a fine of not less than $100 or more than $200.
 999-4         (h)  If it is shown on the trial of an offense under this
 999-5   section that the person has been previously convicted one time of
 999-6   an offense under this section, the offense is punishable by a fine
 999-7   of not less than $200 or more than $300.
 999-8         (i)  If it is shown on the trial of an offense under this
 999-9   section that the person has been previously convicted two times of
999-10   an offense under this section, the offense is punishable by a fine
999-11   of not less than $300 or more than $400.
999-12         (j)  If it is shown on the trial of an offense under this
999-13   section that the person has been previously convicted three times
999-14   of an offense under this section, the offense is punishable by a
999-15   fine of not less than $400 or more than $500.
999-16         (k)  If it is shown on the trial of an offense under this
999-17   section that the person has been previously convicted four times of
999-18   an offense under this section, the offense is punishable by a fine
999-19   of $500.
999-20         (l)  If a justice of the peace or a judge requires a person
999-21   convicted of an offense under this section to perform community
999-22   service, the justice or judge may not require the person to work
999-23   more than 100 hours.
999-24         (f)  Sections 1-4, Chapter 929 (H.B. No. 2083), Acts of the
 1000-1  74th Legislature, Regular Session, 1995, are repealed.
 1000-2        SECTION 30.157.  (a)  Section 683.002, Transportation Code,
 1000-3  is amended to conform to Section 1, Chapter 863 (S.B. No. 896),
 1000-4  Acts of the 74th Legislature, Regular Session, 1995, to read as
 1000-5  follows:
 1000-6        Sec. 683.002.  ABANDONED MOTOR VEHICLE.  (a)  For the
 1000-7  purposes of this chapter, a motor vehicle is abandoned if the motor
 1000-8  vehicle:
 1000-9              (1)  is inoperable, is more than five years old, and
1000-10  has been left unattended on public property for more than 48 hours;
1000-11              (2)  has remained illegally on public property for more
1000-12  than 48 hours;
1000-13              (3)  has remained on private property without the
1000-14  consent of the owner or person in charge of the property for more
1000-15  than 48 hours; [or]
1000-16              (4)  has been left unattended on the right-of-way of a
1000-17  designated county, state, or federal highway for more than 48
1000-18  hours; or
1000-19              (5)  has been left unattended for more than 24 hours on
1000-20  the right-of-way of [on] a turnpike project constructed and
1000-21  maintained by the Texas Turnpike Authority or a controlled access
1000-22  highway.
1000-23        (b)  In this section, "controlled access highway" has the
1000-24  meaning assigned by Section 541.302 [for more than 12 hours].
 1001-1        (b)  Section 1, Chapter 863 (S.B. No. 896), Acts of the 74th
 1001-2  Legislature, Regular Session, 1995, is repealed.
 1001-3        SECTION 30.158.  (a)  Section 683.032(b), Transportation
 1001-4  Code, is amended to conform to Section 1, Chapter 572 (S.B. No.
 1001-5  560), Acts of the 74th Legislature, Regular Session, 1995, to read
 1001-6  as follows:
 1001-7        (b)  A garagekeeper who fails to report an abandoned motor
 1001-8  vehicle to a law enforcement agency within seven days [48 hours]
 1001-9  after the date it is [has been] abandoned may not claim
1001-10  reimbursement for storage of the vehicle.
1001-11        (b)  Section 683.034, Transportation Code, is amended to
1001-12  conform to Section 1, Chapter 572 (S.B. No. 560), Acts of the 74th
1001-13  Legislature, Regular Session, 1995, by adding Subsection (e) to
1001-14  read as follows:
1001-15        (e)  If the law enforcement agency does not take the vehicle
1001-16  into custody before the 31st day after the date notice is sent
1001-17  under Section 683.012:
1001-18              (1)  the law enforcement agency may not take the
1001-19  vehicle into custody; and
1001-20              (2)  the storage facility may dispose of the vehicle
1001-21  under Chapter 70, Property Code, except that notice under Section
1001-22  683.012 satisfies the notice requirements of that chapter.
1001-23        (c)  Section 1, Chapter 572 (S.B.  No. 560), Acts of the 74th
1001-24  Legislature, Regular Session, 1995, is repealed.
 1002-1        SECTION 30.159.  (a)  Chapter 685, Transportation Code, is
 1002-2  amended to conform to Section 1, Chapter 360 (S.B. No. 1278), Acts
 1002-3  of the 74th Legislature, Regular Session, 1995, to read as follows:
 1002-4    CHAPTER 685.  RIGHTS OF OWNERS AND OPERATORS OF STORED VEHICLES
 1002-5        Sec. 685.001.  DEFINITIONS.  In this chapter:
 1002-6              (1)  "Vehicle[, "vehicle" and "vehicle] storage
 1002-7  facility" has [have] the meaning [meanings] assigned [those terms]
 1002-8  by the Vehicle Storage Facility Act, Article 6687-9a, Revised
 1002-9  Statutes.
1002-10              (2)  "Parking facility," "towing company," and
1002-11  "vehicle" have the meanings assigned by Section 684.001.
1002-12        Sec. 685.002.  Payment of Cost of Removal and Storage of
1002-13  Vehicle.  (a)  If in a hearing held under this chapter the court
1002-14  finds that a person or law enforcement agency authorized, with
1002-15  probable cause, the removal and storage in a vehicle storage
1002-16  facility of a vehicle, the person who requested the hearing [owner
1002-17  of the vehicle] shall pay the costs of the removal and storage.
1002-18        (b)  If in a hearing held under this chapter the court does
1002-19  not find that a person or law enforcement agency authorized, with
1002-20  probable cause, the removal and storage in a vehicle storage
1002-21  facility of a vehicle, the person or law enforcement agency that
1002-22  authorized the removal shall:
1002-23              (1)  pay the costs of the removal and storage; or
1002-24              (2)  reimburse the owner or operator for the cost of
 1003-1  the removal and storage paid by the owner or operator.
 1003-2        Sec. 685.003.  RIGHT OF OWNER OR OPERATOR OF VEHICLE TO
 1003-3  HEARING.  The owner or operator of a vehicle that has been removed
 1003-4  and placed in a vehicle storage facility without the consent of the
 1003-5  owner or operator of the vehicle is entitled to a hearing on
 1003-6  whether probable cause existed for the removal and placement.
 1003-7        Sec. 685.004.  JURISDICTION.  (a)  A hearing under this
 1003-8  chapter is before the justice of the peace or a magistrate in whose
 1003-9  jurisdiction is the location from which the vehicle was removed
1003-10  [vehicle storage facility is located], except as provided by
1003-11  Subsection (b).
1003-12        (b)  In a municipality with a population of 1,200,000 or
1003-13  more, a hearing under this chapter is before a judge of a municipal
1003-14  court in whose jurisdiction is the location from which the vehicle
1003-15  was removed [vehicle storage facility is located].
1003-16        Sec. 685.005.  NOTICE TO VEHICLE OWNER OR OPERATOR.  (a)  If
1003-17  before a hearing held under this chapter the owner or operator of a
1003-18  vehicle pays the costs of the vehicle's removal or storage, the
1003-19  towing company or vehicle storage facility that received the
1003-20  payment shall at the time of payment give the owner or operator
1003-21  written notice of the person's rights under this chapter.
1003-22        (b)  The operator of a vehicle storage facility that sends a
1003-23  notice under Section 13, Vehicle Storage Facility Act (Article
1003-24  6687-9a, Revised Statutes), shall include with that notice a notice
 1004-1  of the person's rights under this chapter.
 1004-2        Sec. 685.006.  CONTENTS OF NOTICE.  (a)  The notice under
 1004-3  Section 685.005 must include:
 1004-4              (1)  a statement of:
 1004-5                    (A)  the person's right to submit a request
 1004-6  within 14 days for a court hearing to determine whether probable
 1004-7  cause existed to remove the vehicle;
 1004-8                    (B)  the information that a request for a hearing
 1004-9  must contain; and
1004-10                    (C)  any filing fee for the hearing;
1004-11              (2)  the name, address, and telephone number of the
1004-12  towing company that removed the vehicle;
1004-13              (3)  the name, address, and telephone number of the
1004-14  vehicle storage facility in which the vehicle was placed; and
1004-15              (4)  the name, address, and telephone number of one or
1004-16  more of the appropriate magistrates as determined under Subsection
1004-17  (b).
1004-18        (b)  The notice must include the name, address, and telephone
1004-19  number of:
1004-20              (1)  the municipal court of the municipality, if the
1004-21  towing company that removed the vehicle or the vehicle storage
1004-22  facility in which the vehicle was placed is located in a
1004-23  municipality; or
1004-24              (2)  the justice of the peace of the precinct in which
 1005-1  the towing company or the vehicle storage facility is located, if
 1005-2  the towing company that removed the vehicle or the vehicle storage
 1005-3  facility in which the vehicle was placed is not located in a
 1005-4  municipality.
 1005-5        Sec. 685.007 [685.005].  REQUEST FOR HEARING.  (a)  Except as
 1005-6  provided by Subsection (c), a [A] person entitled to a hearing
 1005-7  under this chapter must deliver a written request for the hearing
 1005-8  to the court before the 14th [sixth] day after the date the vehicle
 1005-9  was removed and placed in the vehicle storage facility, excluding
1005-10  Saturdays, Sundays, and legal holidays.
1005-11        (b)  A request for a hearing must contain:
1005-12              (1)  the name, address, and telephone number of the
1005-13  owner or operator of the vehicle;
1005-14              (2)  the location from which the vehicle was removed;
1005-15              (3)  the date when the vehicle was removed;
1005-16              (4)  the name, address, and telephone number of the
1005-17  person or law enforcement agency that authorized the removal; [and]
1005-18              (5)  the name, address, and telephone number of the
1005-19  vehicle storage facility in which the vehicle was placed;
1005-20              (6)  the name, address, and telephone number of the
1005-21  towing company that removed the vehicle;
1005-22              (7)  a copy of any receipt or notification that the
1005-23  owner or operator received from the towing company or the vehicle
1005-24  storage facility; and
 1006-1              (8)  if the vehicle was removed from a parking
 1006-2  facility:
 1006-3                    (A)  one or more photographs that show the
 1006-4  location and text of any sign posted at the facility restricting
 1006-5  parking of vehicles; or
 1006-6                    (B)  a statement that no sign restricting parking
 1006-7  was posted at the parking facility.
 1006-8        (c)  If notice was not given under Section 685.005, the
 1006-9  14-day deadline for requesting a hearing under Subsection (a) does
1006-10  not apply, and the owner or operator of the vehicle may deliver a
1006-11  written request for a hearing at any time.
1006-12        (d)  A person who fails to deliver a request in accordance
1006-13  with Subsection (a) waives the right to a hearing.
1006-14        Sec. 685.008 [685.006].  FILING FEE AUTHORIZED.  The court
1006-15  may charge a filing fee of $10 for a hearing under this chapter.
1006-16        Sec. 685.009 [685.007].  Hearing.  (a)  A hearing under this
1006-17  chapter shall be held before the seventh [fourth] working day after
1006-18  the date the court receives the request for the hearing.
1006-19        (b)  The court shall notify the person who requested the
1006-20  hearing [owner of the vehicle] and the person or law enforcement
1006-21  agency that authorized the removal of the vehicle of the date,
1006-22  time, and place of the hearing.
1006-23        (c)  The sole issue in a hearing under this chapter is
1006-24  whether probable cause existed for the removal and placement of the
 1007-1  vehicle.
 1007-2        (d)  The court shall make written findings of fact and a
 1007-3  conclusion of law.
 1007-4        (e)  The court may award:
 1007-5              (1)  court costs to the prevailing party; and
 1007-6              (2)  the reasonable cost of photographs submitted under
 1007-7  Section 685.007(b)(8) to a vehicle owner or operator who is the
 1007-8  prevailing party.
 1007-9        (b)  Section 1, Chapter 360 (S.B. No. 1278), Acts of the 74th
1007-10  Legislature, Regular Session, 1995, is repealed.
1007-11        SECTION 30.160.  (a)  Section 702.001, Transportation Code,
1007-12  is amended to conform to Sections 6 and 7, Chapter 434 (S.B. No.
1007-13  1504), Acts of the 74th Legislature, Regular Session, 1995, to read
1007-14  as follows:
1007-15        Sec. 702.001.  DEFINITIONS.  In this chapter:
1007-16              (1)  "Department" means the Texas Department of
1007-17  Transportation.
1007-18              (2)  "Registration" of a motor vehicle includes a
1007-19  renewal of the registration of that vehicle.
1007-20              (3) [(2)]  "Traffic law" means a statute or ordinance,
1007-21  a violation of which is a misdemeanor punishable by a fine not to
1007-22  exceed $200, that regulates, on a street, road, or highway of this
1007-23  state:
1007-24                    (A)  the conduct or condition of a person while
 1008-1  operating a motor vehicle; or
 1008-2                    (B)  the condition of a motor vehicle being
 1008-3  operated.
 1008-4        (b)  Section 702.003(b), Transportation Code, is amended to
 1008-5  conform to Sections 5 and 6, Chapter 434 (S.B. No. 1504), Acts of
 1008-6  the 74th Legislature, Regular Session, 1995, to read as follows:
 1008-7        (b)  A municipality may contract with a county in which the
 1008-8  municipality is located or the department [Texas Department of
 1008-9  Transportation] to provide information to the county or department
1008-10  necessary to make a determination under Subsection (a).
1008-11        (c)  Section 702.004, Transportation Code, is repealed to
1008-12  conform to the repeal of Sections 2(b) and 5, Article 6687c,
1008-13  Revised Statutes, by Sections 5 and 7, Chapter 434 (S.B. No. 1504),
1008-14  Acts of the 74th Legislature, Regular Session, 1995.
1008-15        (d)  Section 702.005, Transportation Code, is renumbered as
1008-16  Section 702.004 of that code and amended to conform to the repeal
1008-17  of Section 2(b) and the amendment of Section 3, Article 6687c,
1008-18  Revised Statutes, by Section 5, Chapter 434 (S.B. No. 1504), Acts
1008-19  of the 74th Legislature, Regular Session, 1995, to read as follows:
1008-20        Sec. 702.004. [Sec. 702.005.]  WARNING; CITATION.  (a)  A
1008-21  peace officer authorized to issue citations in a municipality that
1008-22  has a contract under Section 702.003 [or 702.004] shall issue a
1008-23  written warning to each person to whom the officer issues a
1008-24  citation for a violation of a traffic law in the municipality.
 1009-1        (b)  The [If the municipality has contracted under Section
 1009-2  702.003, the] warning must state that if the person fails to appear
 1009-3  in court as provided by law for the prosecution of the offense or
 1009-4  fails to pay a fine for the violation, the person might not be
 1009-5  permitted to register a motor vehicle in this state.
 1009-6        (c)  [If the municipality has contracted under Section
 1009-7  702.004, the warning must state that if the person fails to appear
 1009-8  in court as provided by law for the prosecution of the offense or
 1009-9  fails to pay a fine for the violation:]
1009-10              [(1)  the driver's license or permit of the person is
1009-11  subject to revocation, if the person has a driver's license or
1009-12  permit; or]
1009-13              [(2)  the person's privilege to operate a motor vehicle
1009-14  is subject to revocation and the person may become ineligible to be
1009-15  issued a driver's license in this state if the person does not have
1009-16  a driver's license but is driving under a privilege authorized by
1009-17  state law.]
1009-18        [(d)  If a municipality has contracted under Sections 702.003
1009-19  and 702.004, the warning must contain the information required by
1009-20  both Subsections (b) and (c).]
1009-21        [(e)]  The warning required by this section may be printed on
1009-22  the citation.
1009-23        (e)  Sections 5 and 6, Chapter 434 (S.B. No. 1504), Acts of
1009-24  the 74th Legislature, Regular Session, 1995, are repealed.
 1010-1        SECTION 30.161.  (a)  Subtitle I, Title 7, Transportation
 1010-2  Code, is amended to  codify Article 6687d, Revised Statutes, as
 1010-3  added by Section 1, Chapter 434 (S.B. No. 1504), Acts of the 74th
 1010-4  Legislature, Regular Session, 1995, by adding Chapter 706 to read
 1010-5  as follows:
 1010-6   CHAPTER 706.  DENIAL OF RENEWAL OF LICENSE FOR FAILURE TO APPEAR
 1010-7        Sec. 706.001.  DEFINITIONS.  In this chapter:
 1010-8              (1)  "Complaint" means a notice of an offense as
 1010-9  described by Article 27.14(d) or 45.01, Code of Criminal Procedure.
1010-10              (2)  "Department" means the Department of Public
1010-11  Safety.
1010-12              (3)  "Driver's license" has the meaning assigned by
1010-13  Section 521.001.
1010-14              (4)  "Political subdivision" means a municipality or
1010-15  county.
1010-16              (5)  "Traffic law" means a statute or ordinance, a
1010-17  violation of which is a misdemeanor punishable by a fine in an
1010-18  amount not to exceed $1,000, that regulates:
1010-19                    (A)  an operator's conduct or condition while
1010-20  operating a motor vehicle on a street or highway; or
1010-21                    (B)  the condition of a motor vehicle while it is
1010-22  being operated on a street or highway.
1010-23        Sec. 706.002.  CONTRACT WITH DEPARTMENT.  (a)  A political
1010-24  subdivision may contract with the department to provide information
 1011-1  necessary for the department to deny renewal of the driver's
 1011-2  license of a person who fails to appear for a complaint, citation,
 1011-3  or court order to pay a fine involving a violation of a traffic
 1011-4  law.
 1011-5        (b)  A contract under this section:
 1011-6              (1)  must be made in accordance with Chapter 791,
 1011-7  Government Code; and
 1011-8              (2)  is subject to the ability of the parties to
 1011-9  provide or pay for the services required under the contract.
1011-10        Sec. 706.003.  WARNING; CITATION.  (a)  If a political
1011-11  subdivision has contracted with the department, a peace officer
1011-12  authorized to issue a citation in the jurisdiction of the political
1011-13  subdivision shall issue a written warning to each person to whom
1011-14  the officer issues a citation for a violation of a traffic law in
1011-15  the jurisdiction of the political subdivision.
1011-16        (b)  The warning under Subsection (a):
1011-17              (1)  is in addition to any other warning required by
1011-18  law;
1011-19              (2)  must state in substance that if the person fails
1011-20  to appear in court as provided by law for the prosecution of the
1011-21  offense, the person may be denied renewal of the person's driver's
1011-22  license; and
1011-23              (3)  may be printed on the same instrument as the
1011-24  citation.
 1012-1        Sec. 706.004.  DENIAL OF RENEWAL OF DRIVER'S LICENSE.  (a)
 1012-2  If a political subdivision has contracted with the department, on
 1012-3  receiving the necessary information from the political subdivision
 1012-4  the department may deny renewal of the person's driver's license
 1012-5  for failure to appear based on a complaint, citation, or court
 1012-6  order to pay a fine involving a violation of a traffic law.
 1012-7        (b)  The information must include:
 1012-8              (1)  the name, date of birth, and driver's license
 1012-9  number of the person;
1012-10              (2)  the nature and date of the alleged violation;
1012-11              (3)  a statement that the person failed to appear as
1012-12  required by law for a traffic violation; and
1012-13              (4)  any other information required by the department.
1012-14        Sec. 706.005.  NOTICE TO DEPARTMENT.  A political subdivision
1012-15  shall notify the department that there is no cause to continue to
1012-16  deny renewal of a person's driver's license based on the person's
1012-17  previous failure to appear for a traffic violation, on payment of a
1012-18  fee as provided by Section 706.006 and:
1012-19              (1)  the entry of a judgment against the person;
1012-20              (2)  the perfection of an appeal of the case for which
1012-21  the warrant of arrest was issued;
1012-22              (3)  the dismissal of the charge for which the warrant
1012-23  of arrest was issued;
1012-24              (4)  the acquittal of the charge on which the person
 1013-1  failed to appear;
 1013-2              (5)  the posting of bond or the giving of other
 1013-3  security to reinstate the charge for which the warrant was issued;
 1013-4  or
 1013-5              (6)  the payment of the fine owed on an outstanding
 1013-6  court order to pay a fine.
 1013-7        Sec. 706.006.  ADMINISTRATIVE FEE.  (a)  Unless a person has
 1013-8  been acquitted of the traffic offense for which the person failed
 1013-9  to appear for a complaint, citation, or court order to pay a fine
1013-10  involving a violation of a traffic law, the political subdivision
1013-11  shall require the person to pay an administrative fee of $30 for
1013-12  each violation for which the person failed to appear.
1013-13        (b)  The fee required by Subsection (a) is in addition to any
1013-14  other fee required by law.
1013-15        Sec. 706.007.  RECORDS RELATING TO FEES; DISPOSITION OF FEES.
1013-16  (a)  An officer collecting a fee under Section 706.006 shall:
1013-17              (1)  keep separate records of the money; and
1013-18              (2)  deposit the money in the appropriate municipal or
1013-19  county treasury.
1013-20        (b)  The custodian of the municipal or county treasury may:
1013-21              (1)  deposit each fee collected under Section 706.006
1013-22  in an interest-bearing account; and
1013-23              (2)  retain for the municipality or county the interest
1013-24  earned on money in the account.
 1014-1        (c)  The custodian shall keep records of money received and
 1014-2  disbursed under this section and shall provide an annual report, in
 1014-3  the form approved by the comptroller, of all money received and
 1014-4  disbursed under this section to:
 1014-5              (1)  the comptroller;
 1014-6              (2)  the department; and
 1014-7              (3)  another entity as provided by interlocal contract.
 1014-8        (d)  Of each fee collected under Section 706.006, the
 1014-9  custodian of a municipal or county treasury shall:
1014-10              (1)  send $20 to the comptroller on or before the last
1014-11  day of each calendar quarter; and
1014-12              (2)  deposit the remainder to the credit of the general
1014-13  fund of the municipality or county.
1014-14        (e)  Of each $20 received by the comptroller, the comptroller
1014-15  shall deposit $10 to the credit of the department to implement this
1014-16  chapter.
1014-17        Sec. 706.008.  CONTRACT WITH PRIVATE VENDOR; COMPENSATION.
1014-18  (a)  The department may contract with a private vendor to implement
1014-19  this chapter.
1014-20        (b)  The vendor performing the contract may be compensated by
1014-21  each political subdivision that has contracted with the department.
1014-22        (c)  Except for an action based on a citation issued by a
1014-23  peace officer employed by the department, the vendor may not be
1014-24  compensated with state money.
 1015-1        Sec. 706.009.  VENDOR TO PROVIDE CUSTOMER SUPPORT SERVICES.
 1015-2  (a)  A vendor must establish and maintain customer support services
 1015-3  as directed by the department, including a toll-free telephone
 1015-4  service line to answer and resolve questions from persons who are
 1015-5  denied renewal of a driver's license under this chapter.
 1015-6        (b)  The vendor shall comply with terms, policies, and rules
 1015-7  adopted by the department to administer this chapter.
 1015-8        Sec. 706.010.  USE OF INFORMATION COLLECTED BY VENDOR.
 1015-9  Information collected under this chapter by a vendor may not be
1015-10  used by a person other than the department, the political
1015-11  subdivision, or a vendor as provided by this chapter.
1015-12        Sec. 706.011.  LIABILITY OF STATE OR POLITICAL SUBDIVISION.
1015-13  (a)  An action for damages may not be brought against the state or
1015-14  a political subdivision based on an act or omission under this
1015-15  chapter, including the denial of renewal of a driver's license.
1015-16        (b)  The state or a political subdivision may not be held
1015-17  liable in damages based on an act or omission under this chapter,
1015-18  including the denial of renewal of a driver's license.
1015-19        Sec. 706.012.  RULES.  The department may adopt rules to
1015-20  implement this chapter.
1015-21        (b)  Article 6687d, Revised Statutes, as added by Section 1,
1015-22  Chapter 434 (S.B. No. 1504), Acts of the 74th Legislature, Regular
1015-23  Session, 1995, is repealed.
1015-24        SECTION 30.162.  (a)  Subchapter A, Chapter 723,
 1016-1  Transportation Code, is amended to conform to Section 1(15),
 1016-2  Chapter 1058 (H.B. No. 3050), Acts of the 74th Legislature, Regular
 1016-3  Session, 1995, by adding Section 723.003 to read as follows:
 1016-4        Sec. 723.003.  TRAFFIC SAFETY FUND ACCOUNT.  (a)  The traffic
 1016-5  safety fund account is an account in the general revenue fund.
 1016-6  Money received from any source to implement this chapter shall be:
 1016-7              (1)  deposited to the credit of the traffic safety fund
 1016-8  account; and
 1016-9              (2)  spent with other state money spent to implement
1016-10  this chapter in the manner in which the other state money is spent.
1016-11        (b)  A payment from the traffic safety fund account shall be
1016-12  made in compliance with this chapter and rules adopted by the
1016-13  governor.
1016-14        (b)  Section 723.032(b), Transportation Code, is amended to
1016-15  conform to Section 1(15), Chapter 1058 (H.B. No. 3050), Acts of the
1016-16  74th Legislature, Regular Session, 1995, to read as follows:
1016-17        (b)  To implement this chapter, a contractual payment may be
1016-18  made from money in the traffic safety fund account for a service
1016-19  rendered or property furnished by a private person or an agency
1016-20  that is not a legal or political subdivision of this state.
1016-21        SECTION 30.163.  Sections 724.035(b) and (c), Transportation
1016-22  Code, are amended to correct references to read as follows:
1016-23        (b)  The period of suspension or denial is 180 days if the
1016-24  person's driving record shows one or more alcohol-related or
 1017-1  drug-related enforcement contacts, as defined by Section
 1017-2  524.001(2)(B) or (C) [524.001], during the five years preceding the
 1017-3  date of the person's arrest.
 1017-4        (c)  The period of suspension or denial is one year if the
 1017-5  person's driving record shows one or more alcohol-related or
 1017-6  drug-related enforcement contacts, as defined by Section
 1017-7  524.001(2)(A) [524.001], during the five years preceding the date
 1017-8  of the person's arrest.
 1017-9        SECTION 30.164.  Section 724.041(g), Transportation Code, is
1017-10  amended to correct references to read as follows:
1017-11        (g)  An administrative hearing under this section is governed
1017-12  by Sections 524.032(b) and (c), 524.035(e), 524.037(a), and
1017-13  524.040[-524.044].
1017-14        SECTION 30.165.  Section 724.063, Transportation Code, is
1017-15  amended to correct a reference to read as follows:
1017-16        Sec. 724.063.  Admissibility of Alcohol Concentration or
1017-17  Presence of Substance.  Evidence of alcohol concentration or the
1017-18  presence of a controlled substance, drug, dangerous drug, or other
1017-19  substance obtained by an analysis authorized by Section 724.014
1017-20  [this section] is admissible in a civil or criminal action.
1017-21        SECTION 30.166.  Section 726.001(b), Transportation Code, is
1017-22  amended to conform to the transfer of motor carrier registration
1017-23  responsibilities from the Railroad Commission of Texas to the Texas
1017-24  Department of Transportation by Chapter 705 (S.B. No. 3), Acts of
 1018-1  the 74th Legislature, Regular Session, 1995, to read as follows:
 1018-2        (b)  This section or an ordinance adopted under this section
 1018-3  [it] does not apply to a motor vehicle, trailer, or semitrailer
 1018-4  operated under a registration certificate issued under Chapter 643
 1018-5  [or permit from the Railroad Commission of Texas].
 1018-6        SECTION 30.167.  Section 729.001(a), Transportation Code, is
 1018-7  amended to conform to the repeal of the law from which Sections
 1018-8  502.408(b) and 502.409(c) of that code were derived by Section
 1018-9  9(6), Chapter 34 (S.B. No. 178), Acts of the 74th Legislature,
1018-10  Regular Session, 1995, to read as follows:
1018-11        (a)  A person who is at least 14 years of age but younger
1018-12  than 17 years of age commits an offense if the person operates a
1018-13  motor vehicle on a public road or highway, a street or alley in a
1018-14  municipality, or a public beach in violation of any traffic law of
1018-15  this state, including:
1018-16              (1)  Chapter 502, other than Section 502.282[,
1018-17  502.408(b), 502.409(c),] or 502.412;
1018-18              (2)  Chapter 521;
1018-19              (3)  Subtitle C;
1018-20              (4)  Chapter 601;
1018-21              (5)  Chapter 621;
1018-22              (6)  Chapter 661; and
1018-23              (7)  Chapter 681.
1018-24        SECTION 30.168.  (a)  Section 729.003(d), Transportation
 1019-1  Code, is amended to conform to Section 8, Chapter 434 (S.B. No.
 1019-2  1504), Acts of the 74th Legislature, Regular Session, 1995, to read
 1019-3  as follows:
 1019-4        (d)  A court shall report to the Department of Public Safety
 1019-5  a person charged with a traffic offense under this chapter who does
 1019-6  not appear before the court as required by law.  In addition to any
 1019-7  other action or remedy provided by law, the department may deny
 1019-8  renewal of the person's driver's license under Section 521.310 or
 1019-9  Chapter 706.  The court also shall report to the department on
1019-10  final disposition of the case.
1019-11        (b)  Section 8, Chapter 434 (S.B. No. 1504), Acts of the 74th
1019-12  Legislature, Regular Session, 1995, is repealed.
1019-13        SECTION 30.169.  Section 750.001, Transportation Code, is
1019-14  repealed to conform to the repeal of the law from which it was
1019-15  derived by Section 58(e), Chapter 260 (S.B. No. 1), Acts of the
1019-16  74th Legislature, Regular Session, 1995.
1019-17        SECTION 30.170.  Title 8, Transportation Code, which was
1019-18  reserved for the codification of certain laws relating to the
1019-19  regulation of motor carriers, is repealed to conform to the repeal
1019-20  of those laws by Chapter 705 (S.B. No. 3), Acts of the 74th
1019-21  Legislature, Regular Session, 1995.
1019-22        SECTION 30.171.  Section 48.03, Alcoholic Beverage Code, is
1019-23  amended to conform to the abolition of the Texas High-Speed Rail
1019-24  Authority by Chapter 401 (H.B. No.  2390), Acts of the 74th
 1020-1  Legislature, Regular Session, 1995, to read as follows:
 1020-2        Sec. 48.03.  Eligibility for Permit.  The commission or
 1020-3  administrator may issue a passenger train beverage permit to any
 1020-4  corporation organized under Title 112, Revised Statutes, or under
 1020-5  the Rail Passenger Service Act of 1970, as amended (45 U.S.C.A.
 1020-6  Section 501 et seq.), [or to a corporation holding a franchise
 1020-7  issued by the Texas High-Speed Rail Authority,] operating a
 1020-8  commercial passenger train service in or through the state.
 1020-9  Application and payment of the fee shall be made directly to the
1020-10  commission.
1020-11        SECTION 30.172.  Section 13A, Texas Driver and Traffic Safety
1020-12  Education Act (Article 4413(29c), Vernon's Texas Civil Statutes),
1020-13  as added by Section 15, Chapter 165 (S.B. No.  971), Acts of the
1020-14  74th Legislature, Regular Session, 1995, is repealed to conform to
1020-15  the repeal of Sections 4(b) and (c), Chapter 559, Acts of the 73rd
1020-16  Legislature, 1993, by Section 58(f), Chapter 260 (S.B. No. 1), Acts
1020-17  of the 74th Legislature, Regular Session, 1995.
1020-18        SECTION 30.173.  Section 41.03, Alcoholic Beverage Code, is
1020-19  amended to conform to the revision of Article 6675c, Revised
1020-20  Statutes, as Chapter 643, Transportation Code, by this Act to read
1020-21  as follows:
1020-22        Sec. 41.03.  Eligibility for Permit.  A carrier permit may be
1020-23  issued to:
1020-24              (1)  a water carrier;
 1021-1              (2)  an airline;
 1021-2              (3)  a railway;
 1021-3              (4)  a motor carrier registered under Chapter 643,
 1021-4  Transportation Code [Article 6675c, Revised Statutes]; or
 1021-5              (5)  a common carrier operating under a certificate
 1021-6  issued by the Interstate Commerce Commission.
 1021-7        SECTION 30.174.  Section 67.01, Alcoholic Beverage Code, is
 1021-8  amended to conform to the revision of Article 6675c, Revised
 1021-9  Statutes, as Chapter 643, Transportation Code, by this Act to read
1021-10  as follows:
1021-11        Sec. 67.01.  Authorized Activities.  A holder of an
1021-12  importer's license may import beer into this state only from the
1021-13  holder of a nonresident manufacturer's license.  The beer may be
1021-14  transported by a railway carrier, a motor carrier registered under
1021-15  Chapter 643, Transportation Code [Article 6675c, Revised Statutes],
1021-16  or by a common motor carrier operated under a certificate issued by
1021-17  the Interstate Commerce Commission.  Each carrier must hold a
1021-18  carrier's permit issued under Chapter 41 of this code.  All
1021-19  provisions of Chapter 41 relating to the transportation of liquor
1021-20  also apply to the transportation of beer.  A carrier may not
1021-21  transport beer into the state unless it is consigned to an
1021-22  importer.
1021-23        SECTION 30.175.  Section 108.08(a), Alcoholic Beverage Code,
1021-24  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1022-1  Regular Session, 1995, to read as follows:
 1022-2        (a)  Notwithstanding any other provision of this code or any
 1022-3  rule adopted under the authority of this code, the provisions of
 1022-4  this code relating to the regulation of or limitations on outdoor
 1022-5  advertising signage, advertising revenue, or advertising signage in
 1022-6  or on a licensed premises do not apply to an entity which owns a
 1022-7  professional sports franchise which plays a majority of its home
 1022-8  games in a municipally owned or leased regional economic
 1022-9  development facility that is in a station or terminal complex of a
1022-10  rapid transit authority and to which Subchapter E, Chapter 451,
1022-11  Transportation Code [Subsection (e), Section 6C, Chapter 141, Acts
1022-12  of the 63rd Legislature, Regular Session, 1973 (Article 1118x,
1022-13  Vernon's Texas Civil Statutes)], applies or to such a facility.
1022-14        SECTION 30.176.  Section 2A.104(a), Business & Commerce Code,
1022-15  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1022-16  Regular Session, 1995, to read as follows:
1022-17        (a)  A lease, although subject to this chapter, is also
1022-18  subject to any applicable:
1022-19              (1)  certificate of title statute of this state,
1022-20  including Chapter 501, Transportation Code [the provisions of the
1022-21  Certificate of Title Act (Article 6687-1, Vernon's Texas Civil
1022-22  Statutes)], Chapter 31, Parks and Wildlife Code, and Section 19,
1022-23  Texas Manufactured Housing Standards Act (Article 5221f, Vernon's
1022-24  Texas Civil Statutes);
 1023-1              (2)  certificate of title statute of another
 1023-2  jurisdiction (Section 2A.105); or
 1023-3              (3)  consumer law of this state, both decisional and
 1023-4  statutory, including, to the extent that they apply to a lease
 1023-5  transaction, [the provisions of] Chapters 17 and 35[, Business &
 1023-6  Commerce Code,] and the Texas Manufactured Housing Standards Act
 1023-7  (Article 5221f, Vernon's Texas Civil Statutes).
 1023-8        SECTION 30.177.  Section 9.302(c), Business & Commerce Code,
 1023-9  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1023-10  Regular Session, 1995, to read as follows:
1023-11        (c)  The filing of a financing statement otherwise required
1023-12  by this Chapter is not necessary or effective to perfect a security
1023-13  interest in property subject to:
1023-14              (1)  a statute or treaty of the United States which
1023-15  provides for a national or international registration or a national
1023-16  or international certificate of title or which specifies a place of
1023-17  filing different from that specified in this Chapter for filing of
1023-18  the security interest; or
1023-19              (2)  the following statutes of this state:  Chapter
1023-20  501, Transportation Code[; the Certificate of Title Act, as amended
1023-21  (Article 6687-1, Vernon's Texas Civil Statutes)]; Subchapter B-1,
1023-22  Chapter 31, Parks and Wildlife Code, as amended, relating to the
1023-23  certificates of title for motorboat and outboard motors; the Texas
1023-24  Manufactured Housing Standards Act, as amended (Article 5221f,
 1024-1  Vernon's Texas Civil Statutes); but during any period in which
 1024-2  collateral is inventory held for sale by a person who is in the
 1024-3  business of selling goods of that kind, the filing provisions of
 1024-4  this Chapter (Subchapter D)  apply to a security interest in that
 1024-5  collateral created by him as debtor; or Subchapter A, Chapter 35,
 1024-6  Title 4, [Business & Commerce Code,] relating to utility security
 1024-7  instruments; or
 1024-8              (3)  a certificate of title statute of another
 1024-9  jurisdiction under the law of which indication of a security
1024-10  interest on the certificate is required as a condition of
1024-11  perfection (Subsection (b) of Section 9.103).
1024-12        SECTION 30.178.  Section 35.46(a)(1), Business & Commerce
1024-13  Code, is amended to conform to Chapter 165, Acts of the 74th
1024-14  Legislature, Regular Session, 1995, to read as follows:
1024-15              (1)  "Motor vehicle" has the meaning assigned by
1024-16  Section 541.201, Transportation Code [2(b), Uniform Act Regulating
1024-17  Traffic on Highways (Article 6701d, Vernon's Texas Civil
1024-18  Statutes)].
1024-19        SECTION 30.179.  Section 84.004(c), Civil Practice and
1024-20  Remedies Code, is amended to conform to Chapter 165, Acts of the
1024-21  74th Legislature, Regular Session, 1995, to read as follows:
1024-22        (c)  A volunteer of a charitable organization is liable to a
1024-23  person for death, damage, or injury to the person or his property
1024-24  proximately caused by any act or omission arising from the
 1025-1  operation or use of any motor-driven equipment, including an
 1025-2  airplane, to the extent insurance coverage is required by Chapter
 1025-3  601, Transportation Code [Section 1A, Texas Motor Vehicle
 1025-4  Safety-Responsibility Act (Article 6701h, Vernon's Texas Civil
 1025-5  Statutes)], and to the extent of any existing insurance coverage
 1025-6  applicable to the act or omission.
 1025-7        SECTION 30.180.  Section 87.005, Civil Practice and Remedies
 1025-8  Code, as added by Chapter 604, Acts of the 74th Legislature,
 1025-9  Regular Session, 1995, is renumbered and is amended to conform to
1025-10  Chapter 165, Acts of the 74th Legislature, Regular Session, 1995,
1025-11  to read as follows:
1025-12        Sec. 86.005 [87.005].  CERTAIN TRAFFIC LAW VIOLATIONS
1025-13  EXCLUDED.  This chapter does not apply to a claim arising from an
1025-14  offense defined by Subtitle C, Title 7, Transportation Code [in the
1025-15  Uniform Act Regulating Traffic on Highways (Article 6701d, Vernon's
1025-16  Texas Civil Statutes)].
1025-17        SECTION 30.181.  The heading to Subchapter I, Chapter 56,
1025-18  Education Code, is amended to conform to Chapter 165, Acts of the
1025-19  74th Legislature, Regular Session, 1995, to read as follows:
1025-20       SUBCHAPTER I.  TEXAS [STATE] DEPARTMENT OF [HIGHWAYS AND
1025-21           PUBLIC] TRANSPORTATION CONDITIONAL GRANT PROGRAM
1025-22        SECTION 30.182.  Section 51.02(16), Family Code, is amended
1025-23  to conform to Chapter 165, Acts of the 74th Legislature, Regular
1025-24  Session, 1995, to read as follows:
 1026-1              (16)  "Traffic offense" means:
 1026-2                    (A)  a violation of a penal statute cognizable
 1026-3  under Chapter 729, Transportation Code [302, Acts of the 55th
 1026-4  Legislature, Regular Session, 1957, as amended (Article 6701l-4,
 1026-5  Vernon's Texas Civil Statutes)]; or
 1026-6                    (B)  a violation of a motor vehicle traffic
 1026-7  ordinance of an incorporated city or town in this state.
 1026-8        SECTION 30.183.  Sections 54.042(a) and (c), Family Code, are
 1026-9  amended to conform to Chapter 165, Acts of the 74th Legislature,
1026-10  Regular Session, 1995, to read as follows:
1026-11        (a)  A juvenile court, in a disposition hearing under Section
1026-12  54.04 of this code, shall:
1026-13              (1)  order the Department of Public Safety to suspend a
1026-14  child's driver's license or permit, or if the child does not have a
1026-15  license or permit, to deny the issuance of a license or permit to
1026-16  the child if the court finds that the child has engaged in conduct
1026-17  that violates a law of this state enumerated in Section 521.342(a),
1026-18  Transportation Code [24(a-1), Chapter 173, Acts of the 47th
1026-19  Legislature, Regular Session, 1941 (Article 6687b, Vernon's Texas
1026-20  Civil Statutes)]; or
1026-21              (2)  notify the Department of Public Safety of the
1026-22  adjudication, if the court finds that the child has engaged in
1026-23  conduct that violates a law of this state enumerated in Section
1026-24  521.372(a), Transportation Code [24B(b), Chapter 173, Acts of the
 1027-1  47th Legislature, Regular Session, 1941 (Article 6687b, Vernon's
 1027-2  Texas Civil Statutes)].
 1027-3        (c)  A child whose driver's license or permit has been
 1027-4  suspended or denied pursuant to this section may, if the child is
 1027-5  otherwise eligible for, and fulfils the requirements for issuance
 1027-6  of, a provisional driver's license or permit under Chapter 521,
 1027-7  Transportation Code [173, Acts of the 47th Legislature, Regular
 1027-8  Session, 1941, as amended (Article 6687b, Vernon's Texas Civil
 1027-9  Statutes)], apply for and receive an occupational license in
1027-10  accordance with Subchapter L of that chapter [the provisions of
1027-11  Section 23A, Chapter 173, Acts of the 47th Legislature, Regular
1027-12  Session, 1941, as amended (Article 6687b, Vernon's Texas Civil
1027-13  Statutes)].
1027-14        SECTION 30.184.  Section 232.011(h), Family Code, is amended
1027-15  to conform to Chapter 165, Acts of the 74th Legislature, Regular
1027-16  Session, 1995, to read as follows:
1027-17        (h)  The denial or suspension of a driver's license under
1027-18  this chapter is governed by this chapter and not by the general
1027-19  licensing provisions of Chapter 521, Transportation Code [173, Acts
1027-20  of the 47th Legislature, Regular Session, 1941 (Article 6687b,
1027-21  Vernon's Texas Civil Statutes)].
1027-22        SECTION 30.185.  Section 25.2293(c), Government Code, is
1027-23  amended to conform to Chapter 165, Acts of the 74th Legislature,
1027-24  Regular Session, 1995, to read as follows:
 1028-1        (c)  A statutory probate court has eminent domain
 1028-2  jurisdiction.  All actions, cases, matters, or proceedings of
 1028-3  eminent domain arising under Chapter 21, Property Code, or under
 1028-4  Section 251.101, Transportation Code [4.302, County Road and Bridge
 1028-5  Act (Article 6702-1, Vernon's Texas Civil Statutes)], shall be
 1028-6  filed and docketed in Probate Court No. 1 of Travis County.  A
 1028-7  statutory probate court may transfer an eminent domain proceeding
 1028-8  to a county court at law in the county.
 1028-9        SECTION 30.186.  Section 51.702(b), Government Code, is
1028-10  amended to conform to Chapter 165, Acts of the 74th Legislature,
1028-11  Regular Session, 1995, to read as follows:
1028-12        (b)  In addition to other court costs, a person shall pay $15
1028-13  as a court cost on conviction of any criminal offense in a
1028-14  statutory county court, including cases in which probation or
1028-15  deferred adjudication is granted.  A conviction that arises under
1028-16  Chapter 521, Transportation Code [173, Acts of the 47th
1028-17  Legislature, Regular Session, 1941 (Article 6687b, Vernon's Texas
1028-18  Civil Statutes)], or a conviction under Subtitle C, Title 7,
1028-19  Transportation Code, [the Uniform Act Regulating Traffic on
1028-20  Highways (Article 6701d, Vernon's Texas Civil Statutes)] is
1028-21  included, except that a conviction arising under any law that
1028-22  regulates pedestrians or the parking of motor vehicles is not
1028-23  included.
1028-24        SECTION 30.187.  Section 56.001(b), Government Code, is
 1029-1  amended to conform to Chapter 165, Acts of the 74th Legislature,
 1029-2  Regular Session, 1995, to read as follows:
 1029-3        (b)  In addition to other court costs, a person shall pay $1
 1029-4  as a court cost on conviction of any criminal offense, including
 1029-5  cases in which probation or deferred adjudication is granted or in
 1029-6  which final disposition in the case is deferred.  A conviction that
 1029-7  arises under Chapter 521, Transportation Code [173, Acts of the
 1029-8  47th Legislature, Regular Session, 1941 (Article 6687b, Vernon's
 1029-9  Texas Civil Statutes)], or a conviction under Subtitle C, Title 7,
1029-10  Transportation Code, [the Uniform Act Regulating Traffic on
1029-11  Highways (Article 6701d, Vernon's Texas Civil Statutes)] is
1029-12  included, except that a conviction arising under any law that
1029-13  regulates pedestrians or the parking of motor vehicles is not
1029-14  included.
1029-15        SECTION 30.188.  Section 316.033, Government Code, is amended
1029-16  to conform to the abolition of the Texas High-Speed Rail Authority
1029-17  by Chapter 401 (H.B. No. 2390), Acts of the 74th Legislature,
1029-18  Regular Session, 1995, to read as follows:
1029-19        Sec. 316.033.  Funds Excluded.  This subchapter applies to
1029-20  funds established by state law, but does not apply to any portion
1029-21  of a fund derived from constitutionally dedicated revenues or to
1029-22  funds or fund balances that are:
1029-23              (1)  dedicated by the Texas Constitution;
1029-24              (2)  held in trust or escrow for the benefit of any
 1030-1  person or entity other than a state agency;
 1030-2              (3)  pledged to the payment of bonds, notes, or other
 1030-3  debts;
 1030-4              (4)  derived from gifts, donations, or endowments made
 1030-5  to state agencies or institutions of higher education;
 1030-6              (5)  pledged to the capital trust fund to be used for
 1030-7  construction; or
 1030-8              (6)  maintained by institutions of higher education,
 1030-9  including the Texas State Technical College System[; or]
1030-10              [(7)  maintained by the Texas High-Speed Rail
1030-11  Authority].
1030-12        SECTION 30.189.  Sections 325.0081 and 325.0082, Government
1030-13  Code, are repealed as duplicative of Sections 451.453 and 452.453,
1030-14  Transportation Code.
1030-15        SECTION 30.190.  Section 411.082(2), Government Code, is
1030-16  amended to conform to Chapter 165, Acts of the 74th Legislature,
1030-17  Regular Session, 1995, to read as follows:
1030-18              (2)  "Criminal history record information" means
1030-19  information collected about a person by a criminal justice agency
1030-20  that consists of identifiable descriptions and notations of
1030-21  arrests, detentions, indictments, informations, and other formal
1030-22  criminal charges and their dispositions.  The term does not
1030-23  include:
1030-24                    (A)  identification information, including
 1031-1  fingerprint records, to the extent that the identification
 1031-2  information does not indicate involvement of the person in the
 1031-3  criminal justice system; or
 1031-4                    (B)  driving record information maintained by the
 1031-5  department under Subchapter C, Chapter 521, Transportation Code
 1031-6  [Section 21, Chapter 173, Acts of the 47th Legislature, Regular
 1031-7  Session, 1941 (Article 6687b, Vernon's Texas Civil Statutes)].
 1031-8        SECTION 30.191.  Section 411.0095(e), Government Code, is
 1031-9  amended to conform to Chapter 165, Acts of the 74th Legislature,
1031-10  Regular Session, 1995, to read as follows:
1031-11        (e)  In this section, "vehicle" has the meaning assigned by
1031-12  Section 541.201, Transportation Code [2, Uniform Act Regulating
1031-13  Traffic on Highways (Article 6701d, Vernon's Texas Civil
1031-14  Statutes)].
1031-15        SECTION 30.192.  Section 415.082(b), Government Code, is
1031-16  amended to conform to Chapter 165, Acts of the 74th Legislature,
1031-17  Regular Session, 1995, to read as follows:
1031-18        (b)  This section applies to a conviction for an offense
1031-19  under the state traffic laws only if the offense is defined in:
1031-20              (1)  Chapter 521, Transportation Code [173, Acts of the
1031-21  47th Legislature, Regular Session, 1941 (Article 6687b, Vernon's
1031-22  Texas Civil Statutes)]; or
1031-23              (2)  Subtitle C, Title 7, Transportation Code [the
1031-24  Uniform Act Regulating Traffic on Highways (Article 6701d, Vernon's
 1032-1  Texas Civil Statutes)], except:
 1032-2                    (A)  Subchapter G, Chapter 545, Transportation
 1032-3  Code;
 1032-4                    (B)  Section 545.404, Transportation Code; and
 1032-5                    (C)  Sections 552.002-552.009, Transportation
 1032-6  Code [Sections 34, 76, 77, 78, 79, 80, 81, 93, 94, 95, 96, and 97
 1032-7  of that Act].
 1032-8        SECTION 30.193.  Section 551.122, Government Code, is
 1032-9  repealed to conform to the abolition of the Texas High-Speed Rail
1032-10  Authority by Chapter 401 (H.B. No. 2390), Acts of the 74th
1032-11  Legislature, Regular Session, 1995.
1032-12        SECTION 30.194.  Section 555.003, Government Code, is amended
1032-13  to conform to Chapter 165, Acts of the 74th Legislature, Regular
1032-14  Session, 1995, to read as follows:
1032-15        Sec. 555.003.  Exception.  This chapter does not apply to
1032-16  files that relate to drivers of motor vehicles and that are
1032-17  maintained by the Department of Public Safety under Subchapter C,
1032-18  Chapter 521, Transportation Code [Section 21, Chapter 173, Acts of
1032-19  the 47th Legislature, Regular Session, 1941  (Article 6687b,
1032-20  Vernon's Texas Civil Statutes)].
1032-21        SECTION 30.195.  Section 612.001(b), Government Code, is
1032-22  amended to conform to Chapter 165, Acts of the 74th Legislature,
1032-23  Regular Session, 1995, to read as follows:
1032-24        (b)  The liability coverage provided under this section must
 1033-1  be in amounts not less than those required by Chapter 601,
 1033-2  Transportation Code, [the Texas Motor Vehicle Safety-Responsibility
 1033-3  Act (Article 6701h, Vernon's Texas Civil Statutes)] to provide
 1033-4  evidence [proof] of financial responsibility.
 1033-5        SECTION 30.196.  Section 791.028(a)(2), Government Code, is
 1033-6  amended to conform to Chapter 165, Acts of the 74th Legislature,
 1033-7  Regular Session, 1995, to read as follows:
 1033-8              (2)  "Transportation corporation" means a corporation
 1033-9  created under Chapter 431, Transportation Code [the Texas
1033-10  Transportation Corporation Act (Article 1528l, Vernon's Texas Civil
1033-11  Statutes)].
1033-12        SECTION 30.197.  Section 2001.221, Government Code, is
1033-13  amended to conform to Chapter 165, Acts of the 74th Legislature,
1033-14  Regular Session, 1995, to read as follows:
1033-15        Sec. 2001.221.  Driver's Licenses.  This chapter does not
1033-16  apply to a suspension, revocation, cancellation, denial, or
1033-17  disqualification of a driver's license or commercial driver's
1033-18  license as authorized by:
1033-19              (1)  Subchapter N, Chapter 521, Transportation Code,
1033-20  except Sections 521.296 and 521.297 of that subchapter, or by
1033-21  Subchapter O or P of that chapter [Article IV, Chapter 173, Acts of
1033-22  the 47th Legislature, Regular Session, 1941 (Article 6687b,
1033-23  Vernon's Texas Civil Statutes)];
1033-24              (2)  Chapter 522, Transportation Code [the Texas
 1034-1  Commercial Driver's License Act (Article 6687b-2, Revised
 1034-2  Statutes)];
 1034-3              (3)  Chapter 601, Transportation Code [the Texas Motor
 1034-4  Vehicle Safety-Responsibility Act (Article 6701h, Vernon's Texas
 1034-5  Civil Statutes)]; or
 1034-6              (4)  Section 13, Article 42.12, Code of Criminal
 1034-7  Procedure.
 1034-8        SECTION 30.198.  Section 2002.023, Government Code, is
 1034-9  amended to conform to Chapter 165, Acts of the 74th Legislature,
1034-10  Regular Session, 1995, to read as follows:
1034-11        Sec. 2002.023.  Exceptions.  This subchapter does not apply
1034-12  to:
1034-13              (1)  a suspension, revocation, cancellation, denial, or
1034-14  disqualification of a driver's license or commercial driver's
1034-15  license as authorized by:
1034-16                    (A)  Subchapter N [Article IV], Chapter 521,
1034-17  Transportation Code, except Sections 521.296 and 521.297 of that
1034-18  subchapter, or by Subchapter O or P of that chapter [173, Acts of
1034-19  the 47th Legislature, Regular Session, 1941 (Article 6687b,
1034-20  Vernon's Texas Civil Statutes)];
1034-21                    (B)  Chapter 522, Transportation Code [the Texas
1034-22  Commercial Driver's License Act (Article 6687b-2, Revised
1034-23  Statutes)];
1034-24                    (C)  Chapter 601, Transportation Code [the Texas
 1035-1  Motor Vehicle Safety-Responsibility Act (Article 6701h, Vernon's
 1035-2  Texas Civil Statutes)];
 1035-3                    (D)  Chapter 724, Transportation Code [434, Acts
 1035-4  of the 61st Legislature, Regular Session, 1969 (Article 6701l-5,
 1035-5  Vernon's Texas Civil Statutes)]; or
 1035-6                    (E)  Section 13, Article 42.12, Code of Criminal
 1035-7  Procedure;
 1035-8              (2)  matters related solely to the internal personnel
 1035-9  rules and practices of a state agency;
1035-10              (3)  the Texas Workforce [Employment] Commission, other
1035-11  than to matters of unemployment insurance maintained by the
1035-12  commission; or
1035-13              (4)  a rule or internal procedure of the Texas
1035-14  Department of Criminal Justice or Texas Board of Criminal Justice
1035-15  that applies to an inmate or any other person under the custody or
1035-16  control of the department or to an action taken under that rule or
1035-17  procedure.
1035-18        SECTION 30.199.  Section 2151.002(2), Government Code, is
1035-19  amended to conform to the abolition of the Texas High-Speed Rail
1035-20  Authority by Chapter 401 (H.B. No.  2390), Acts of the 74th
1035-21  Legislature, Regular Session, 1995, to read as follows:
1035-22              (2)  "State agency" means:
1035-23                    (A)  a department, commission, board, office, or
1035-24  other agency in the executive branch of state government created by
 1036-1  the state constitution or a state statute[, except the Texas
 1036-2  High-Speed Rail Authority];
 1036-3                    (B)  the supreme court, the court of criminal
 1036-4  appeals, a court of appeals, or the Texas Judicial Council; or
 1036-5                    (C)  a university system or an institution of
 1036-6  higher education as defined by Section 61.003, Education Code,
 1036-7  except a public junior college.
 1036-8        SECTION 30.200.  Section 2155.387, Government Code, is
 1036-9  amended to conform to Chapter 165, Acts of the 74th Legislature,
1036-10  Regular Session, 1995, to read as follows:
1036-11        Sec. 2155.387.  Payment for Road Construction Materials
1036-12  Delivered by Vehicle Exceeding Weight Limits.  A state agency that
1036-13  purchases road construction materials may pay for road construction
1036-14  materials delivered in a vehicle that exceeds the maximum gross
1036-15  weight authorized by law for the vehicle an amount computed using
1036-16  the lesser of:
1036-17              (1)  the actual weight of the load; or
1036-18              (2)  the weight determined by subtracting the weight of
1036-19  the vehicle from the sum of the maximum gross weight authorized by
1036-20  law for the vehicle and the tolerance allowance set for the gross
1036-21  weight of that vehicle by [Subdivision 1,] Section 621.403,
1036-22  Transportation Code [6, Chapter 42, General Laws, Acts of the 41st
1036-23  Legislature, 2nd Called Session, 1929 (Article 6701d-11, Vernon's
1036-24  Texas Civil Statutes)].
 1037-1        SECTION 30.201.  Section 2252.033, Government Code, is
 1037-2  amended to conform to Chapter 165, Acts of the 74th Legislature,
 1037-3  Regular Session, 1995, to read as follows:
 1037-4        Sec. 2252.033.  Exemptions.  This chapter does not apply to:
 1037-5              (1)  a public works contract executed before August 31,
 1037-6  1981;
 1037-7              (2)  a public works contract in which the total
 1037-8  contract price estimate at the time of execution of the contract is
 1037-9  less than $400,000; or
1037-10              (3)  a public works contract made by the Texas
1037-11  Department of Transportation under Subchapter A, Chapter 223,
1037-12  Transportation Code [186, General Laws, Acts of the 39th
1037-13  Legislature, Regular Session, 1925 (Article 6674a et seq., Vernon's
1037-14  Texas Civil Statutes)].
1037-15        SECTION 30.202.  Section 2305.071(b), Government Code, is
1037-16  amended to conform to Chapter 165, Acts of the 74th Legislature,
1037-17  Regular Session, 1995, to read as follows:
1037-18        (b)  The supervising state agency may allocate grant money
1037-19  among eligible applicants according to the following formula:
1037-20              (1)  one-third to eligible applicants created under[:]
1037-21                    [(A)]  Chapter 451, 452, or 453, Transportation
1037-22  Code, or a predecessor of those chapters [141, Acts of the 63rd
1037-23  Legislature, Regular Session, 1973 (Article 1118x, Vernon's Texas
1037-24  Civil Statutes);]
 1038-1                    [(B)  Chapter 683, Acts of the 66th Legislature,
 1038-2  Regular Session, 1979 (Article 1118y, Vernon's Texas Civil
 1038-3  Statutes); or]
 1038-4                    [(C)  Article 1118z, Revised Statutes];
 1038-5              (2)  one-third to eligible applicants that are in
 1038-6  urbanized areas with a population of more than 50,000 and that were
 1038-7  not created under a law specified in Subdivision (1); and
 1038-8              (3)  one-third to eligible applicants in rural areas of
 1038-9  the state and in urban areas with a population of 50,000 or less.
1038-10        SECTION 30.203.  Section 45.001, Health and Safety Code, is
1038-11  amended to conform to Chapter 165, Acts of the 74th Legislature,
1038-12  Regular Session, 1995, to read as follows:
1038-13        Sec. 45.001.  Definition.  In this chapter, "child passenger
1038-14  safety seat system" has the meaning assigned by Section 545.412,
1038-15  Transportation Code [107B, Uniform Act Regulating Traffic on
1038-16  Highways (Article 6701d, Vernon's Texas Civil Statutes)].
1038-17        SECTION 30.204.  Section 361.003(19), Health and Safety Code,
1038-18  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1038-19  Regular Session, 1995, to read as follows:
1038-20              (19)  "Motor vehicle" has the meaning assigned by
1038-21  Section 541.201, Transportation Code [2(b), Uniform Act Regulating
1038-22  Traffic on Highways (Article 6701d, Vernon's Texas Civil
1038-23  Statutes)].
1038-24        SECTION 30.205.  Section 361.014(a), Health and Safety Code,
 1039-1  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1039-2  Regular Session, 1995, to read as follows:
 1039-3        (a)  Revenue received by the commission under Section 361.013
 1039-4  shall be deposited in the state treasury to the credit of the
 1039-5  commission. Half of the revenue is dedicated to the commission's
 1039-6  municipal solid waste permitting and enforcement programs and
 1039-7  related support activities and to pay for activities that will
 1039-8  enhance the state's solid waste management program, including:
 1039-9              (1)  provision of funds for the municipal solid waste
1039-10  management planning fund and the municipal solid waste resource
1039-11  recovery applied research and technical assistance fund established
1039-12  by the Comprehensive Municipal Solid Waste Management, Resource
1039-13  Recovery, and Conservation Act (Chapter 363);
1039-14              (2)  conduct of demonstration projects and studies to
1039-15  help local governments of various populations and the private
1039-16  sector to convert to accounting systems and set rates that reflect
1039-17  the full costs of providing waste management services and are
1039-18  proportionate to the amount of waste generated;
1039-19              (3)  provision of technical assistance to local
1039-20  governments concerning solid waste management;
1039-21              (4)  establishment of a solid waste resource center in
1039-22  the commission and an office of waste minimization and recycling;
1039-23              (5)  provision of supplemental funding to local
1039-24  governments for the enforcement of this chapter, the Texas Litter
 1040-1  Abatement Act (Chapter 365), and Chapters 391 and 683,
 1040-2  Transportation Code [Chapter 741, Acts of the 67th Legislature,
 1040-3  Regular Session, 1981 (Article 4477-9a, Vernon's Texas Civil
 1040-4  Statutes)];
 1040-5              (6)  conduct of a statewide public awareness program
 1040-6  concerning solid waste management;
 1040-7              (7)  provision of supplemental funds for other state
 1040-8  agencies with responsibilities concerning solid waste management,
 1040-9  recycling, and other initiatives with the purpose of diverting
1040-10  recyclable waste from landfills;
1040-11              (8)  conduct of research to promote the development and
1040-12  stimulation of markets for recycled waste products;
1040-13              (9)  creation of a state municipal solid waste
1040-14  superfund for:
1040-15                    (A)  the cleanup of unauthorized tire dumps and
1040-16  solid waste dumps for which a responsible party cannot be located
1040-17  or is not immediately financially able to provide the cleanup; and
1040-18                    (B)  the cleanup or proper closure of abandoned
1040-19  or contaminated municipal solid waste sites for which a responsible
1040-20  party is not immediately financially able to provide the cleanup;
1040-21              (10)  provision of funds to mitigate the economic and
1040-22  environmental impacts of lead-acid battery recycling activities on
1040-23  local governments; and
1040-24              (11)  provision of funds for the conduct of research by
 1041-1  a public or private entity to assist the state in developing new
 1041-2  technologies and methods to reduce the amount of municipal waste
 1041-3  disposed of in landfills.
 1041-4        SECTION 30.206.  Section 365.011(7), Health and Safety Code,
 1041-5  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1041-6  Regular Session, 1995, to read as follows:
 1041-7              (7)  "Motor vehicle" has the meaning assigned by
 1041-8  Section 541.201, Transportation Code [2(b), Uniform Act Regulating
 1041-9  Traffic on Highways (Article 6701d, Vernon's Texas Civil
1041-10  Statutes)].
1041-11        SECTION 30.207.  Sections 382.037(a) and (d), Health and
1041-12  Safety Code, are amended to conform to Chapter 165, Acts of the
1041-13  74th Legislature, Regular Session, 1995, to read as follows:
1041-14        (a)  The commission by resolution may request the Public
1041-15  Safety Commission to establish a vehicle emissions inspection and
1041-16  maintenance program under Subchapter F, Chapter 548, Transportation
1041-17  Code [Section 142, Uniform Act Regulating Traffic on Highways
1041-18  (Article 6701d, Vernon's Texas Civil Statutes)], in accordance with
1041-19  this section and rules adopted under this section.  The commission
1041-20  by rule may establish, implement, and administer a program
1041-21  requiring emissions-related inspections of motor vehicles to be
1041-22  performed at inspection facilities consistent with the requirements
1041-23  of the federal Clean Air Act (42 U.S.C. Section 7401 et seq.).
1041-24        (d)  On adoption of a resolution by the commission and after
 1042-1  proper notice, the Department of Public Safety of the State of
 1042-2  Texas shall implement a system that requires, as a condition of
 1042-3  obtaining an [a safety] inspection certificate issued under
 1042-4  Subchapter C, Chapter 548, Transportation Code [Section 140 or 141,
 1042-5  Uniform Act Regulating Traffic on Highways (Article 6701d, Vernon's
 1042-6  Texas Civil Statutes)], in a county that is included in a vehicle
 1042-7  emissions inspection and maintenance program under Subchapter F of
 1042-8  that chapter [Section 142, Uniform Act Regulating Traffic on
 1042-9  Highways (Article 6701d, Vernon's Texas Civil Statutes)], that the
1042-10  vehicle, unless the vehicle is not covered by the system, be
1042-11  annually or biennially inspected under the vehicle emissions
1042-12  inspection and maintenance program as required by the Texas air
1042-13  quality state implementation plan or Section 382.0371.  The
1042-14  Department of Public Safety shall implement such a system when it
1042-15  is required by any provision of federal or state law, including any
1042-16  provision of the Texas air quality state implementation plan.  The
1042-17  Department of Public Safety may not require or accept verification
1042-18  of compliance other than a vehicle inspection certificate.
1042-19        SECTION 30.208.  Sections 382.0371(i), (j), and (l), Health
1042-20  and Safety Code, are amended to conform to Chapter 165, Acts of the
1042-21  74th Legislature, Regular Session, 1995, to read as follows:
1042-22        (i)  This section applies to the issuance of safety
1042-23  inspection certificates issued under Subchapter C, Chapter 548,
1042-24  Transportation Code [Section 140 or 141, Uniform Act Regulating
 1043-1  Traffic on Highways (Article 6701d, Vernon's Texas Civil
 1043-2  Statutes)], on or after June 1, 1995, for all vehicles subject to
 1043-3  this section.
 1043-4        (j)  This section does not apply to a motor vehicle that is:
 1043-5              (1)  [is] an antique motor vehicle registered under
 1043-6  Section 502.275, Transportation Code [5a, Chapter 88, General
 1043-7  Laws, Acts of the 41st Legislature, 2nd Called Session, 1929
 1043-8  (Article 6675a-5a, Vernon's Texas Civil Statutes)];
 1043-9              (2)  [is] a classic motor vehicle registered under
1043-10  Section 502.274, Transportation Code [5n, Chapter 88, General Laws,
1043-11  Acts of the 41st Legislature, 2nd Called Session, 1929 (Article
1043-12  6675a-5n,  Vernon's Texas Civil Statutes)];
1043-13              (3)  [is] a slow-moving vehicle required to display a
1043-14  slow-moving-vehicle emblem by Section 547.703, Transportation Code
1043-15  [139B, Uniform Act Regulating Traffic on Highways (Article 6701d,
1043-16  Vernon's Texas Civil Statutes)]; or
1043-17              (4)  [is] a circus vehicle.
1043-18        (l)  In this section:
1043-19              (1)  "Commission" means Texas Natural Resource
1043-20  Conservation Commission.
1043-21              (2)  "Department" means the Department of Public Safety
1043-22  of the State of Texas.
1043-23              (3)  "First sale" of a motor vehicle has the meaning
1043-24  assigned by Section 501.002, Transportation Code [7, Certificate of
 1044-1  Title Act (Article 6687-1, Vernon's Texas Civil Statutes)].
 1044-2              (4)  "Safety inspection" means a compulsory inspection
 1044-3  performed as required by Subchapter C, Chapter 548, Transportation
 1044-4  Code [Section 140 or 141, Uniform Act Regulating Traffic on
 1044-5  Highways (Article 6701d, Vernon's Texas Civil Statutes), by an
 1044-6  official inspection station issued a certificate of appointment by
 1044-7  the department under Section 141(a) of that Act].
 1044-8              (5)  "Safety inspection certificate" means an
 1044-9  inspection certificate issued under Subchapter C, Chapter 548,
1044-10  Transportation Code [Section 140 or 141, Uniform Act Regulating
1044-11  Traffic on Highways (Article 6701d, Vernon's Texas Civil Statutes),
1044-12  after a compulsory inspection required by Section 140 or 141 of
1044-13  that Act, by an official inspection station issued a certificate of
1044-14  appointment by the department under Section 141(a) of that Act].
1044-15        SECTION 30.209.  Section 382.0622(a), Health and Safety Code,
1044-16  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1044-17  Regular Session, 1995, to read as follows:
1044-18        (a)  Clean Air Act fees consist of:
1044-19              (1)  fees collected by the commission under Sections
1044-20  382.062, 382.0621, and 382.037 and as otherwise provided by law;
1044-21  and
1044-22              (2)  $2 of each advance payment collected by the
1044-23  Department of Public Safety for inspection certificates for
1044-24  vehicles other than mopeds under Section 548.501, Transportation
 1045-1  Code [141(c), Uniform Act Regulating Traffic on Highways (Article
 1045-2  6701d, Vernon's Texas Civil Statutes)].
 1045-3        SECTION 30.210.  Sections 382.131(7) and (8), Health and
 1045-4  Safety Code, are amended to conform to Chapter 165, Acts of the
 1045-5  74th Legislature, Regular Session, 1995, to read as follows:
 1045-6              (7)  "Fleet vehicle" means a vehicle required to be
 1045-7  registered under Chapter 502, Transportation Code [88, General
 1045-8  Laws, Acts of the 41st Legislature, 2nd Called Session, 1929
 1045-9  (Article 6675a-2, Vernon's Texas Civil Statutes)], and that is
1045-10  centrally fueled, capable of being centrally fueled, or fueled at
1045-11  facilities serving both business customers and the general public.
1045-12  The term does not include:
1045-13                    (A)  a fleet vehicle that, when not in use, is
1045-14  normally parked at the residence of the individual who usually
1045-15  operates it and that is available to such individual for personal
1045-16  use;
1045-17                    (B)  a fleet vehicle that, when not in use, is
1045-18  normally parked at the residence of the individual who usually
1045-19  operates it and who does not report to a central location; or
1045-20                    (C)  a fleet vehicle that has a gross vehicle
1045-21  weight rating of greater than 26,000 pounds except vehicles owned
1045-22  or operated by the state or mass transit authorities.
1045-23              (8)  "Mass transit authority" means a transportation or
1045-24  transit authority or department established under Chapter 451, 452,
 1046-1  or 453, Transportation Code [141, Acts of the 63rd Legislature,
 1046-2  Regular Session, 1973 (Article 1118x, Vernon's Texas Civil
 1046-3  Statutes), Chapter 683, Acts of the 66th Legislature, Regular
 1046-4  Session, 1979 (Article 1118y, Vernon's Texas Civil Statutes), or
 1046-5  Article 1118z, Revised Statutes], that operates a mass transit
 1046-6  system [under any of those laws].
 1046-7        SECTION 30.211.  Section 692.003(e), Health and Safety Code,
 1046-8  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1046-9  Regular Session, 1995, to read as follows:
1046-10        (e)  A gift made under this section by a person 18 years of
1046-11  age or older, including a gift made under Subchapter Q, Chapter
1046-12  521, Transportation Code [Section 11B, Chapter 173, Acts of the
1046-13  47th Legislature, Regular Session, 1941 (Article 6687b, Vernon's
1046-14  Texas Civil Statutes)], shall be honored without obtaining the
1046-15  approval or consent of any other person.
1046-16        SECTION 30.212.  Sections 692.014(a), (b), and (d), Health
1046-17  and Safety Code, are amended to conform to Chapter 165, Acts of the
1046-18  74th Legislature, Regular Session, 1995, to read as follows:
1046-19        (a)  At or near the time of notification of death, if it is
1046-20  unclear whether the decedent is or is not a donor, the organ or
1046-21  tissue procurement organization or its designee shall ask the
1046-22  person authorized to make an anatomical gift on behalf of the
1046-23  decedent under Section 692.004, according to the priority
1046-24  established by that section, whether the decedent is or is not a
 1047-1  donor.  The inquiry shall be made in accordance with the protocol
 1047-2  established under Section 692.013 and with procedures established
 1047-3  under Subchapter Q, Chapter 521, Transportation Code [Section 11B,
 1047-4  Chapter 173, Acts of the 47th Legislature, Regular Session, 1941
 1047-5  (Article 6687b, Vernon's Texas Civil Statutes)].
 1047-6        (b)  If the decedent is a donor 18 years of age or older, the
 1047-7  decedent's anatomical gift made under Section 692.003, including a
 1047-8  gift made under Subchapter Q, Chapter 521, Transportation Code
 1047-9  [Section 11B, Chapter 173, Acts of the 47th Legislature, Regular
1047-10  Session, 1941 (Article 6687b, Vernon's Texas Civil Statutes)],
1047-11  shall be honored without obtaining the approval or consent of any
1047-12  other person.
1047-13        (d)  If the decedent is not a declared donor, the organ or
1047-14  tissue procurement organization or its designee shall inform the
1047-15  person of the option to donate the decedent's organs and tissues
1047-16  according to the procedures established under this chapter and
1047-17  under Subchapter Q, Chapter 521, Transportation Code [Section 11B,
1047-18  Chapter 173, Acts of the 47th Legislature, Regular Session, 1941
1047-19  (Article 6687b, Vernon's Texas Civil Statutes)].
1047-20        SECTION 30.213.  Section 51.015(a), Labor Code, is amended to
1047-21  conform to Chapter 165, Acts of the 74th Legislature, Regular
1047-22  Session, 1995, to read as follows:
1047-23        (a)  An occupation that involves the operation of a motor
1047-24  vehicle by a child for a commercial purpose is not a hazardous
 1048-1  occupation under this chapter if the child:
 1048-2              (1)  has a driver's license under Chapter 521,
 1048-3  Transportation Code [173, Acts of the 47th Legislature, Regular
 1048-4  Session, 1941 (Article 6687b, Vernon's Texas Civil Statutes)];
 1048-5              (2)  is not required to obtain a commercial driver's
 1048-6  license under Chapter 522, Transportation Code, [the Texas
 1048-7  Commercial Driver's License Act (Article 6687b-2, Revised
 1048-8  Statutes)] to perform the duties of the occupation;
 1048-9              (3)  performs the duties of the occupation:
1048-10                    (A)  under the direct supervision of the child's
1048-11  parent or an adult having custody of the child; and
1048-12                    (B)  for a business owned or operated by the
1048-13  child's parent or guardian; and
1048-14              (4)  operates a vehicle that has no more than two axles
1048-15  and does not exceed a gross vehicle weight rating of 15,000 pounds.
1048-16        SECTION 30.214.  Section 106.002, Local Government Code, is
1048-17  amended to conform to Chapter 165, Acts of the 74th Legislature,
1048-18  Regular Session, 1995, to read as follows:
1048-19        Sec. 106.002.  DEPOSITS TO FUND.  The following money shall
1048-20  be deposited in the fund:
1048-21              (1)  court costs collected under Article 102.014, Code
1048-22  of Criminal Procedure; and
1048-23              (2)  optional motor vehicle registration fees remitted
1048-24  to the municipality by the county under Section 502.173,
 1049-1  Transportation Code [9b, Chapter 88, General Laws, Acts of the 41st
 1049-2  Legislature, 2nd Called Session, 1929 (Article 6675a-9b, Vernon's
 1049-3  Texas Civil Statutes)].
 1049-4        SECTION 30.215.  Section 130.002, Local Government Code, is
 1049-5  amended to conform to Chapter 165, Acts of the 74th Legislature,
 1049-6  Regular Session, 1995, to read as follows:
 1049-7        Sec. 130.002.  Acceptance of Check or Credit Card Payment of
 1049-8  Certain Fees and Taxes.  A county tax assessor-collector may accept
 1049-9  a check or credit card invoice for the payment of:
1049-10              (1)  motor vehicle registration fees under Chapter 502,
1049-11  Transportation Code [(Article 6675a-1 et seq., Vernon's Texas Civil
1049-12  Statutes)];
1049-13              (2)  motor vehicle sales taxes imposed by Chapter 152,
1049-14  Tax Code;
1049-15              (3)  occupation taxes paid to the assessor-collector
1049-16  under Chapter 191, Tax Code;
1049-17              (4)  motor vehicle title transfer fees under Chapter
1049-18  501, Transportation Code [the Certificate of Title Act (Article
1049-19  6687-1, Vernon's Texas Civil Statutes)];
1049-20              (5)  license or permit fees under the Alcoholic
1049-21  Beverage Code; and
1049-22              (6)  property taxes.
1049-23        SECTION 30.216.  Section 142.006(c), Local Government Code,
1049-24  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1050-1  Regular Session, 1995, to read as follows:
 1050-2        (c)  The liability coverage provided under this section must
 1050-3  be in amounts not less than those required by Chapter 601,
 1050-4  Transportation Code, [the Texas Motor Vehicle Safety-Responsibility
 1050-5  Act (Article 6701h, Vernon's Texas Civil Statutes)] to provide
 1050-6  proof of financial responsibility.
 1050-7        SECTION 30.217.  Sections 157.042(c) and (d), Local
 1050-8  Government Code, are amended to conform to Chapter 165, Acts of the
 1050-9  74th Legislature, Regular Session, 1995, to read as follows:
1050-10        (c)  A county may elect to comply with the requirements of
1050-11  this section by self-insuring in accordance with Section 601.124,
1050-12  Transportation Code [34, Texas Motor Vehicle Safety-Responsibility
1050-13  Act (Article 6701h, Vernon's Texas Civil Statutes)].
1050-14        (d)  Liability coverage required under this section must be
1050-15  in amounts equal to or greater than the amounts required by Chapter
1050-16  601, Transportation Code [the Texas Motor Vehicle
1050-17  Safety-Responsibility Act (Article 6701h, Vernon's Texas Civil
1050-18  Statutes)].
1050-19        SECTION 30.218.  Section 216.0035, Local Government Code, is
1050-20  amended to conform to Chapter 165, Acts of the 74th Legislature,
1050-21  Regular Session, 1995, to read as follows:
1050-22        Sec. 216.0035.  Regulatory Authority Not Applicable to
1050-23  On-Premises Signs Under Certain Circumstances.  The authority
1050-24  granted to a municipality by this subchapter to require the
 1051-1  relocation, reconstruction, or removal of signs does not apply to:
 1051-2              (1)  on-premises signs in the extraterritorial
 1051-3  jurisdiction of municipalities in a county described by Section
 1051-4  394.063, Transportation Code [17, Article 2, Chapter 221, Acts of
 1051-5  the 69th Legislature, Regular Session, 1985 (Article 6674v-3,
 1051-6  Vernon's Texas Civil Statutes)], if the circumstances described by
 1051-7  that section occur; and
 1051-8              (2)  on-premises signs in a municipality's
 1051-9  extraterritorial jurisdiction in a county that borders a county
1051-10  described by that law.
1051-11        SECTION 30.219.  Section 216.013(d), Local Government Code,
1051-12  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1051-13  Regular Session, 1995, to read as follows:
1051-14        (d)  This subchapter does not limit or restrict the
1051-15  compensation provisions of the highway beautification provisions
1051-16  contained in Chapter 391, Transportation Code [Article IV, Section
1051-17  1, Chapter 741, Acts of the 67th Legislature, Regular Session, 1981
1051-18  (Article 4477-9a, Vernon's Texas Civil Statutes)].
1051-19        SECTION 30.220.  Section 216.015(a), Local Government Code,
1051-20  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1051-21  Regular Session, 1995, and Chapter 191, Acts of the 70th
1051-22  Legislature, Regular Session, 1987, to read as follows:
1051-23        (a)  The legislature declares that it would not have enacted
1051-24  the following without the inclusion of Section 216.010(a), to the
 1052-1  extent that provision excludes methods of compensation not
 1052-2  specifically authorized by that provision:
 1052-3              (1)  this subchapter;
 1052-4              (2)  Section 216.902;
 1052-5              (3)  Article 2, Chapter 221, Acts of the 69th
 1052-6  Legislature, Regular Session, 1985 (codified as Chapter 394,
 1052-7  Transportation Code [Article 6674v-3, Vernon's Texas Civil
 1052-8  Statutes]); and
 1052-9              (4)  the amendments made to Section 3, Property
1052-10  Redevelopment and Tax Abatement Act (codified as Chapter 312, Tax
1052-11  Code [Article 1066f, Vernon's Texas Civil Statutes]) by Article 4,
1052-12  Chapter 221, Acts of the 69th Legislature, Regular Session, 1985.
1052-13        SECTION 30.221.  Section 216.902(c), Local Government Code,
1052-14  is amended to more closely conform to the law from which it was
1052-15  derived to read as follows:
1052-16        (c)  The authority granted to a municipality by this section
1052-17  to extend its outdoor sign ordinance does not apply to:
1052-18              (1)  on-premises signs in the extraterritorial
1052-19  jurisdiction of municipalities in a county described by Section
1052-20  394.063 [Chapter 394], Transportation Code, if the circumstances
1052-21  described by that section occur;
1052-22              (2)  on-premises signs in a municipality's
1052-23  extraterritorial jurisdiction in a county that borders a county
1052-24  described by that law; and
 1053-1              (3)  on-premises signs in the extraterritorial
 1053-2  jurisdiction of a municipality with a population of 1.5 million or
 1053-3  more that are located in a county that is adjacent to the county in
 1053-4  which the majority of the land of the municipality is located.
 1053-5        SECTION 30.222.  Section 238.002(b), Local Government Code,
 1053-6  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1053-7  Regular Session, 1995, to read as follows:
 1053-8        (b)  The commissioners court may not include in an order
 1053-9  adopted under this section a screening requirement for an
1053-10  automotive wrecking and salvage yard or a junkyard that is less
1053-11  restrictive than the screening requirement under Chapter 396,
1053-12  Transportation Code [953, Acts of the 70th Legislature, Regular
1053-13  Session, 1987 (Article 2372dd-1, Vernon's Texas Civil Statutes)].
1053-14        SECTION 30.223.  Section 238.003(b), Local Government Code,
1053-15  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1053-16  Regular Session, 1995, to read as follows:
1053-17        (b)  A business subject to a screening requirement under
1053-18  Subchapter E of Chapter 391, Chapter 396, or Chapter 397,
1053-19  Transportation Code [Chapter 886, Acts of the 68th Legislature,
1053-20  Regular Session, 1983 (Article 2372dd, Vernon's Texas Civil
1053-21  Statutes), Chapter 953, Acts of the 70th Legislature, Regular
1053-22  Session, 1987 (Article 2372dd-1, Vernon's Texas Civil Statutes), or
1053-23  Section 4.08, Chapter 741, Acts of the 67th Legislature, Regular
1053-24  Session, 1981 (Article 4477-9a, Vernon's Texas Civil Statutes)],
 1054-1  that was in compliance with that screening requirement on August
 1054-2  26, 1991, is exempt from a screening requirement adopted under this
 1054-3  chapter.
 1054-4        SECTION 30.224.  Section 343.001, Local Government Code, is
 1054-5  amended to conform to Chapter 165, Acts of the 74th Legislature,
 1054-6  Regular Session, 1995, to read as follows:
 1054-7        Sec. 343.001.  DEFINITION.  In this chapter, "school crossing
 1054-8  guard" has the meaning assigned by Section 541.001, Transportation
 1054-9  Code [20K, Uniform Act Regulating Traffic on Highways (Article
1054-10  6701d, Vernon's Texas Civil Statutes)].
1054-11        SECTION 30.225.  Section 375.091(d), Local Government Code,
1054-12  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1054-13  Regular Session, 1995, to read as follows:
1054-14        (d)  A district has those powers conferred by Chapters 365
1054-15  and 441, Transportation Code [Chapter 13, Acts of the 68th
1054-16  Legislature, 2nd Called Session, 1984 (Article 6674r-1, Vernon's
1054-17  Texas Civil Statutes)], and the additional rights, privileges,
1054-18  authority, and functions contained in those chapters [that Act].
1054-19        SECTION 30.226.  Section 375.112(a), Local Government Code,
1054-20  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1054-21  Regular Session, 1995, to read as follows:
1054-22        (a)  An improvement project or services provided by the
1054-23  district may include the construction, acquisition, improvement,
1054-24  relocation, operation, maintenance, or provision of:
 1055-1              (1)  landscaping; lighting, banners, and signs; streets
 1055-2  and sidewalks; pedestrian skywalks, crosswalks, and tunnels;
 1055-3  seawalls; marinas; drainage and navigation improvements; pedestrian
 1055-4  malls; solid waste, water, sewer, and power facilities, including
 1055-5  electrical, gas, steam, cogeneration, and chilled water facilities;
 1055-6  parks, plazas, lakes, rivers, bayous, ponds, and recreation and
 1055-7  scenic areas; historic areas; fountains; works of art; off-street
 1055-8  parking facilities, bus terminals, heliports, and mass transit
 1055-9  systems; and the cost of any demolition in connection with
1055-10  providing any of the improvement projects;
1055-11              (2)  other improvements similar to those described in
1055-12  Subdivision (1);
1055-13              (3)  the acquisition of real property or any interest
1055-14  in real property in connection with an improvement, project, or
1055-15  services authorized by this chapter, Chapter 54, Water Code, or
1055-16  Chapter 365 or 441, Transportation Code [13, Acts of the 68th
1055-17  Legislature, 2nd Called Session, 1984 (Article 6674r-1, Vernon's
1055-18  Texas Civil Statutes)];
1055-19              (4)  special supplemental services for advertising,
1055-20  economic development, promoting the area in the district, health
1055-21  and sanitation, public safety, maintenance, security, business
1055-22  recruitment, development, elimination or relief of traffic
1055-23  congestion, recreation, and cultural enhancement; and
1055-24              (5)  expenses incurred in the establishment,
 1056-1  administration, maintenance, and operation of the district or any
 1056-2  of its improvements, projects, or services.
 1056-3        SECTION 30.227.  Section 402.072, Local Government Code, is
 1056-4  amended to conform to Chapter 165, Acts of the 74th Legislature,
 1056-5  Regular Session, 1995, to read as follows:
 1056-6        Sec. 402.072.  Joint Proceedings.  The municipality may make
 1056-7  the improvements and assessments provided under this subchapter in
 1056-8  conjunction with the street improvements and assessments provided
 1056-9  for in Chapter 313, Transportation Code [106, Acts of the 40th
1056-10  Legislature, 1st Called Session, 1927 (Article 1105b, Vernon's
1056-11  Texas Civil Statutes)], through a joint proceeding.  If a joint
1056-12  proceeding is conducted, only one hearing is required, and the
1056-13  procedure required under this subchapter controls.  The
1056-14  municipality may issue a single assessment certificate against a
1056-15  parcel of benefitted property and its owner in evidence of the
1056-16  total assessment made for all improvements made under this
1056-17  subchapter, including street improvements made in a joint
1056-18  proceeding, if the amount assessed for each class of improvements
1056-19  is set out separately and distinctly in the ordinance under which
1056-20  the assessment is made.
1056-21        SECTION 30.228.  Section 411.003(a), Local Government Code,
1056-22  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1056-23  Regular Session, 1995, to read as follows:
1056-24        (a)  The commissioners court of a county may contract with
 1057-1  the federal soil conservation service, a state soil conservation
 1057-2  district, the state extension service, a conservation and
 1057-3  reclamation district, a drainage district, a water control and
 1057-4  improvement district, a navigation district, a flood control
 1057-5  district, a levee improvement district, or a municipality as
 1057-6  provided by Section 256.006, Transportation Code [4.103(e), County
 1057-7  Road and Bridge Act (Article 6702-1, Vernon's Texas Civil
 1057-8  Statutes)], for the purpose of carrying out plans and programs for
 1057-9  flood control and soil conservation.
1057-10        SECTION 30.229.  Section 113.097(d), Natural Resources Code,
1057-11  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1057-12  Regular Session, 1995, to read as follows:
1057-13        (d)  Each category "C," "E," "H," or "J" licensee must carry
1057-14  motor vehicle bodily injury and property damage liability coverage
1057-15  on each motor vehicle, including trailers and semitrailers, used to
1057-16  transport LP-gas.  The commission shall establish by rule a
1057-17  reasonable amount of coverage to be maintained, except that
1057-18  coverage shall not be less than the amounts required as evidence
1057-19  [proof] of financial responsibility under Chapter 601,
1057-20  Transportation Code [the Texas Motor Vehicle Safety-Responsibility
1057-21  Act, as amended (Article 6701h, Vernon's Texas Civil Statutes)].
1057-22        SECTION 30.230.  Section 113.287(e), Natural Resources Code,
1057-23  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1057-24  Regular Session, 1995, to read as follows:
 1058-1        (e)  A state agency, county, municipality, school district,
 1058-2  or mass transit authority or department is eligible to receive a
 1058-3  loan, grant, or other disbursement under this subchapter to carry
 1058-4  out an eligible conversion or infrastructure project regarding LPG
 1058-5  or another environmentally beneficial fuel to comply with fuel
 1058-6  requirements provided by or by rules adopted under:
 1058-7              (1)  Subchapter F, Chapter 382, Health and Safety Code;
 1058-8              (2)  Subchapter A, Chapter 2158, Government Code;
 1058-9              (3)  Subchapter C, Chapter 2171, Government Code;
1058-10              (4)  Subchapter G, Chapter 451, Transportation Code;
1058-11              (5)  Subchapter F, Chapter 452, Transportation Code; or
1058-12              (6)  Subchapter F, Chapter 453, Transportation Code
1058-13  [Sections 3.29 and 14.03, State Purchasing and General Services Act
1058-14  (Article 601b, Vernon's Texas Civil Statutes);]
1058-15              [(3)  Sections 14(c)-(g), Chapter 141, Acts of the 63rd
1058-16  Legislature, Regular Session, 1973 (Article 1118x, Vernon's Texas
1058-17  Civil Statutes);]
1058-18              [(4)  Sections 20(e)-(i), Chapter 683, Acts of the 66th
1058-19  Legislature, 1979 (Article 1118y, Vernon's Texas Civil Statutes);
1058-20  and]
1058-21              [(5)  Sections 6(k)-(o), Article 1118z, Revised
1058-22  Statutes].
1058-23        SECTION 30.231.  Section 133.003(18), Natural Resources Code,
1058-24  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1059-1  Regular Session, 1995, to read as follows:
 1059-2              (18)  "Public road or right-of-way" means every way
 1059-3  publicly maintained or any part thereof as defined by Section
 1059-4  541.302, Transportation Code [13(a), Uniform Act Regulating Traffic
 1059-5  on Highways (Article 6701d, Vernon's Texas Civil Statutes)], and
 1059-6  the decisions thereunder.
 1059-7        SECTION 30.232.  Section 12.114(b), Parks and Wildlife Code,
 1059-8  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1059-9  Regular Session, 1995, to read as follows:
1059-10        (b)  If the person is a resident as defined by Subdivision
1059-11  (1) of Section 42.001 of this code, "driver's license" and
1059-12  "personal identification certificate" have the meanings assigned
1059-13  [provided] by Chapter 521, Transportation Code [Subdivisions (1)
1059-14  and (4), Section 1, Chapter 173, Acts of the 47th Legislature,
1059-15  Regular Session, 1941 (Article 6687b, Vernon's Texas Civil
1059-16  Statutes)].
1059-17        SECTION 30.233.  Section 47.001(9), Parks and Wildlife Code,
1059-18  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1059-19  Regular Session, 1995, to read as follows:
1059-20              (9)  "Place of business" means a permanent structure on
1059-21  land or a motor vehicle required to be registered under Section
1059-22  502.002, Transportation Code [2, Chapter 88, General Laws, Acts of
1059-23  the 41st Legislature, 2nd Called Session, 1929 (Article 6675a-2,
1059-24  Vernon's Texas Civil Statutes)], where aquatic products or orders
 1060-1  for aquatic products are received or where aquatic products are
 1060-2  sold or purchased but does not include a boat or any type of
 1060-3  floating device, a public cold storage vault, the portion of a
 1060-4  structure that is used as a residence, or a vehicle from which no
 1060-5  orders are taken or no shipments or deliveries are made other than
 1060-6  to the place of business of a licensee in this state.
 1060-7        SECTION 30.234.  Section 61.201(d), Parks and Wildlife Code,
 1060-8  is amended to conform to Chapter 165, Acts of the 74th Legislature,
 1060-9  Regular Session, 1995, to read as follows:
1060-10        (d)  Property impounded under this section that has not been
1060-11  claimed within the time period specified in Section 683.002,
1060-12  Transportation Code [5.01(2), Chapter 741, Acts of the 67th
1060-13  Legislature, Regular Session, 1981 (Article 4477-9a, Vernon's Texas
1060-14  Civil Statutes)], for disposition of an abandoned automobile is
1060-15  considered abandoned and may be disposed of in the same manner as
1060-16  an abandoned automobile in accordance with Chapter 683 [Article V]
1060-17  of that code [Act].
1060-18        SECTION 30.235.  Section 66.014(a), Parks and Wildlife Code,
1060-19  is amended to conform to Chapter 165, Acts of the 74th Legislature,
1060-20  Regular Session, 1995, to read as follows:
1060-21        (a)  No person may transport any aquatic product for
1060-22  commercial purposes unless the person clearly identifies the motor
1060-23  vehicle, trailer, or semitrailer as a vehicle that carries aquatic
1060-24  products. The commission shall prescribe by proclamation the
 1061-1  identification requirements for a motor vehicle, trailer, or
 1061-2  semitrailer transporting aquatic products, and the commission may
 1061-3  prescribe that the identification shall list the state of origin of
 1061-4  the aquatic products.  In this subsection, "motor vehicle,"
 1061-5  "trailer," and "semitrailer" ["semitrailer,"] have the meanings
 1061-6  assigned [meaning given those terms] by Section 541.201,
 1061-7  Transportation Code [the Uniform Act Regulating Traffic on Highways
 1061-8  (Article 6701d, Vernon's Texas Civil Statutes)].
 1061-9        SECTION 30.236.  Section 8.07(a), Penal Code, is amended to
1061-10  conform to Chapter 165, Acts of the 74th Legislature, Regular
1061-11  Session, 1995, to read as follows:
1061-12        (a)  A person may not be prosecuted for or convicted of any
1061-13  offense that he committed when younger than 15 years of age except:
1061-14              (1)  perjury and aggravated perjury when it appears by
1061-15  proof that he had sufficient discretion to understand the nature
1061-16  and obligation of an oath;
1061-17              (2)  a violation of a penal statute cognizable under
1061-18  Chapter 729, Transportation Code [302, Acts of the 55th
1061-19  Legislature, Regular Session, 1957 (Article 6701l-4, Vernon's Texas
1061-20  Civil Statutes)];
1061-21              (3)  a violation of a motor vehicle traffic ordinance
1061-22  of an incorporated city or town in this state;
1061-23              (4)  a misdemeanor punishable by fine only other than
1061-24  public intoxication;
 1062-1              (5)  a violation of a penal ordinance of a political
 1062-2  subdivision; or
 1062-3              (6)  a violation of a penal statute that is, or is a
 1062-4  lesser included offense of, a capital felony, an aggravated
 1062-5  controlled substance felony, or a felony of the first degree for
 1062-6  which the person is transferred to the court under Section 54.02,
 1062-7  Family Code, for prosecution if the person committed the offense
 1062-8  when 14 years of age or older.
 1062-9        SECTION 30.237.  Sections 31.01(8) and (9), Penal Code, are
1062-10  amended to conform to Chapter 165, Acts of the 74th Legislature,
1062-11  Regular Session, 1995, to read as follows:
1062-12              (8)  "Certificate of title" has the meaning assigned by
1062-13  Section 501.002, Transportation Code [24, Certificate of Title Act
1062-14  (Article 6687-1, Vernon's Texas Civil Statutes)].
1062-15              (9)  "Used or secondhand motor vehicle" means a used
1062-16  motor vehicle [car], as that term is defined by Section 501.002,
1062-17  Transportation Code [10, Certificate of Title Act (Article 6687-1,
1062-18  Vernon's Texas Civil Statutes)].
1062-19        SECTION 30.238.  Section 31.03(c), Penal Code, is amended to
1062-20  conform to Chapter 165, Acts of the 74th Legislature, Regular
1062-21  Session, 1995, to read as follows:
1062-22        (c)  For purposes of Subsection (b):
1062-23              (1)  evidence that the actor has previously
1062-24  participated in recent transactions other than, but similar to,
 1063-1  that which the prosecution is based is admissible for the purpose
 1063-2  of showing knowledge or intent and the issues of knowledge or
 1063-3  intent are raised by the actor's plea of not guilty;
 1063-4              (2)  the testimony of an accomplice shall be
 1063-5  corroborated by proof that tends to connect the actor to the crime,
 1063-6  but the actor's knowledge or intent may be established by the
 1063-7  uncorroborated testimony of the accomplice;
 1063-8              (3)  an actor engaged in the business of buying and
 1063-9  selling used or secondhand personal property, or lending money on
1063-10  the security of personal property deposited with him, is presumed
1063-11  to know upon receipt by the actor of stolen property (other than a
1063-12  motor vehicle subject to Chapter 501, Transportation Code [Article
1063-13  6687-1, Vernon's Texas Civil Statutes]) that the property has been
1063-14  previously stolen from another if the actor pays for or loans
1063-15  against the property $25 or more (or consideration of equivalent
1063-16  value) and the actor knowingly or recklessly:
1063-17                    (A)  fails to record the name, address, and
1063-18  physical description or identification number of the seller or
1063-19  pledgor;
1063-20                    (B)  fails to record a complete description of
1063-21  the property, including the serial number, if reasonably available,
1063-22  or other identifying characteristics; or
1063-23                    (C)  fails to obtain a signed warranty from the
1063-24  seller or pledgor that the seller or pledgor has the right to
 1064-1  possess the property.  It is the express intent of this provision
 1064-2  that the presumption arises unless the actor complies with each of
 1064-3  the numbered requirements;
 1064-4              (4)  for the purposes of Subdivision (3)(A),
 1064-5  "identification number" means driver's license number, military
 1064-6  identification number, identification certificate, or other
 1064-7  official number capable of identifying an individual;
 1064-8              (5)  stolen property does not lose its character as
 1064-9  stolen when recovered by any law enforcement agency;
1064-10              (6)  an actor engaged in the business of obtaining
1064-11  abandoned or wrecked motor vehicles or parts of an abandoned or
1064-12  wrecked motor vehicle for resale, disposal, scrap, repair,
1064-13  rebuilding, demolition, or other form of salvage is presumed to
1064-14  know on receipt by the actor of stolen property that the property
1064-15  has been previously stolen from another if the actor knowingly or
1064-16  recklessly:
1064-17                    (A)  fails to maintain an accurate and legible
1064-18  inventory of each motor vehicle component part purchased by or
1064-19  delivered to the actor, including the date of purchase or delivery,
1064-20  the name, age, address, sex, and driver's license number of the
1064-21  seller or person making the delivery, the license plate number of
1064-22  the motor vehicle in which the part was delivered, a complete
1064-23  description of the part, and the vehicle identification number of
1064-24  the motor vehicle from which the part was removed, or in lieu of
 1065-1  maintaining an inventory, fails to record the name and certificate
 1065-2  of inventory number of the person who dismantled the motor vehicle
 1065-3  from which the part was obtained;
 1065-4                    (B)  fails on receipt of a motor vehicle to
 1065-5  obtain a certificate of authority, sales receipt, or transfer
 1065-6  document as required by [Article V, Section 1,] Chapter 683,
 1065-7  Transportation Code [741, Acts of the 67th Legislature, Regular
 1065-8  Session, 1981 (Article 4477-9a, Vernon's Texas Civil Statutes)], or
 1065-9  a certificate of title showing that the motor vehicle is not
1065-10  subject to a lien or that all recorded liens on the motor vehicle
1065-11  have been released; or
1065-12                    (C)  fails on receipt of a motor vehicle to
1065-13  immediately remove an unexpired license plate from the motor
1065-14  vehicle, to keep the plate in a secure and locked place, or to
1065-15  maintain an inventory, on forms provided by the Texas Department of
1065-16  Transportation, of license plates kept under this paragraph,
1065-17  including for each plate or set of plates the license plate number
1065-18  and the make, motor number, and vehicle identification number of
1065-19  the motor vehicle from which the plate was removed;
1065-20              (7)  an actor who purchases or receives a used or
1065-21  secondhand motor vehicle is presumed to know on receipt by the
1065-22  actor of the motor vehicle that the motor vehicle has been
1065-23  previously stolen from another if the actor knowingly or
1065-24  recklessly:
 1066-1                    (A)  fails to report to the Texas Department of
 1066-2  Transportation the failure of the person who sold or delivered the
 1066-3  motor vehicle to the actor to deliver to the actor a properly
 1066-4  executed certificate of title to the motor vehicle at the time the
 1066-5  motor vehicle was delivered; or
 1066-6                    (B)  fails to file with the county tax
 1066-7  assessor-collector of the county in which the actor received the
 1066-8  motor vehicle, not later than the 20th day after the date the actor
 1066-9  received the motor vehicle, the registration license receipt and
1066-10  certificate of title or evidence of title delivered to the actor in
1066-11  accordance with Subchapter D [Section 2], Chapter 520,
1066-12  Transportation Code [364, Acts of the 50th Legislature, Regular
1066-13  Session, 1947 (Article 6687-6, Vernon's Texas Civil Statutes)], at
1066-14  the time the motor vehicle was delivered; and
1066-15              (8)  an actor who purchases or receives from any source
1066-16  other than a licensed retailer or distributor of pesticides a
1066-17  restricted-use pesticide or a state-limited-use pesticide or a
1066-18  compound, mixture, or preparation containing a restricted-use or
1066-19  state-limited-use pesticide is presumed to know on receipt by the
1066-20  actor of the pesticide or compound, mixture, or preparation that
1066-21  the pesticide or compound, mixture, or preparation has been
1066-22  previously stolen from another if the actor:
1066-23                    (A)  fails to record the name, address, and
1066-24  physical description of the seller or pledgor;
 1067-1                    (B)  fails to record a complete description of
 1067-2  the amount and type of pesticide or compound, mixture, or
 1067-3  preparation purchased or received; and
 1067-4                    (C)  fails to obtain a signed warranty from the
 1067-5  seller or pledgor that the seller or pledgor has the right to
 1067-6  possess the property.
 1067-7        SECTION 30.239.  Section 31.11(e), Penal Code, is amended to
 1067-8  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1067-9  Session, 1995, to read as follows:
1067-10        (e)  In this section, "vehicle" has the meaning given by
1067-11  Section 541.201, Transportation Code [2, Uniform Act Regulating
1067-12  Traffic on Highways (Article 6701d, Vernon's Texas Civil
1067-13  Statutes)].
1067-14        SECTION 30.240.  Section 38.04(c), Penal Code, is amended to
1067-15  conform to Chapter 165, Acts of the 74th Legislature, Regular
1067-16  Session, 1995, to read as follows:
1067-17        (c)  In this section, "vehicle" has the meaning assigned by
1067-18  Section 541.201, Transportation Code [2, Uniform Act Regulating
1067-19  Traffic on Highways (Article 6701d, Vernon's Texas Civil
1067-20  Statutes)].
1067-21        SECTION 30.241.  Section 38.15(c), Penal Code, is amended to
1067-22  conform to Chapter 165, Acts of the 74th Legislature, Regular
1067-23  Session, 1995, to read as follows:
1067-24        (c)  It is a defense to prosecution under Subsection (a)(1)
 1068-1  that the conduct engaged in by the defendant was intended to warn a
 1068-2  person operating a motor vehicle of the presence of a peace officer
 1068-3  who was enforcing Subtitle C, Title 7, Transportation Code [the
 1068-4  provisions of the Uniform Act Regulating Traffic on Highways
 1068-5  (Article 6701d, Vernon's Texas Civil Statutes)].
 1068-6        SECTION 30.242.  Section 48.01(a), Penal Code, is amended to
 1068-7  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1068-8  Session, 1995, to read as follows:
 1068-9        (a)  A person commits an offense if he is in possession of a
1068-10  burning tobacco product or smokes tobacco in a facility of a public
1068-11  primary or secondary school or an elevator, enclosed theater or
1068-12  movie house, library, museum, hospital, transit system bus, or
1068-13  intrastate bus, as defined by Section 541.201, Transportation Code
1068-14  [4(b) of the Uniform Act Regulating Traffic on Highways (Article
1068-15  6701d, Vernon's Texas Civil Statutes)], plane, or train which is a
1068-16  public place.
1068-17        SECTION 30.243.  Section 322, Texas Probate Code, is amended
1068-18  to conform to Chapter 165, Acts of the 74th Legislature, Regular
1068-19  Session, 1995, to read as follows:
1068-20        Sec. 322.  Classification of Claims Against Estates of
1068-21  Decedent.  Claims against an estate of a decedent shall be
1068-22  classified and have priority of payment, as follows:
1068-23              Class 1.  Funeral expenses and expenses of last
1068-24  sickness for a reasonable amount to be approved by the court, not
 1069-1  to exceed Five Thousand Dollars, with any excess to be classified
 1069-2  and paid as other unsecured claims.
 1069-3              Class 2.  Expenses of administration and expenses
 1069-4  incurred in the preservation, safekeeping, and management of the
 1069-5  estate.
 1069-6              Class 3.  Secured claims for money under Section
 1069-7  306(a)(1), including tax liens, so far as the same can be paid out
 1069-8  of the proceeds of the property subject to such mortgage or other
 1069-9  lien, and when more than one mortgage, lien, or security interest
1069-10  shall exist upon the same property, they shall be paid in order of
1069-11  their priority.
1069-12              Class 4.  Claims for taxes, penalties, and interest due
1069-13  under Title 2, Tax Code;  Chapter 8, Title 132, Revised Statutes;
1069-14  Section 81.111, Natural Resources Code; the Municipal Sales and Use
1069-15  Tax Act (Chapter 321, Tax Code); Section 451.404, Transportation
1069-16  Code [11B, Chapter 141, Acts of the 63rd Legislature, Regular
1069-17  Session, 1973 (Article 1118x, Vernon's Texas Civil Statutes)]; or
1069-18  Subchapter I, Chapter 452, Transportation Code [Section 16, Chapter
1069-19  683, Acts of the 66th Legislature, Regular Session, 1979 (Article
1069-20  1118y, Vernon's Texas Civil Statutes)].
1069-21              Class 5.  Claims for the cost of confinement
1069-22  established by the institutional division of the Texas Department
1069-23  of Criminal Justice under Section 501.017, Government Code.
1069-24              Class 6.  Claims for repayment of medical assistance
 1070-1  payments made by the state under Chapter 32, Human Resources Code,
 1070-2  to or for the benefit of the decedent.
 1070-3              Class 7.  All other claims.
 1070-4        SECTION 30.244.  Section 21.042(e), Property Code, is amended
 1070-5  to conform to Chapter 165, Acts of the 74th Legislature, Regular
 1070-6  Session, 1995, to read as follows:
 1070-7        (e)  If a portion of a tract or parcel of real property is
 1070-8  condemned for the use, construction, operation, or maintenance of
 1070-9  the state highway system or of a county toll project described by
1070-10  Chapter 284, Transportation Code [304, Acts of the 50th
1070-11  Legislature, Regular Session, 1947 (Article 6795b-1, Vernon's Texas
1070-12  Civil Statutes)], that is eligible for designation as part of the
1070-13  state highway system, or for the use, construction, development,
1070-14  operation, or maintenance of an improvement or project by a
1070-15  metropolitan rapid transit authority created before January 1,
1070-16  1980, with a principal municipality [city] having a population of
1070-17  less than 1,200,000 and established under Chapter 451,
1070-18  Transportation Code [141, Acts of the 63rd Legislature, Regular
1070-19  Session, 1973 (Article 1118x, Vernon's Texas Civil Statutes)], the
1070-20  special commissioners shall determine the damage to the property
1070-21  owner regardless of whether the property owner makes a claim for
1070-22  damages to the remaining property.  In awarding compensation or
1070-23  assessing the damages, the special commissioners shall consider any
1070-24  special and direct benefits that arise from the highway improvement
 1071-1  or the transit authority improvement or project that are peculiar
 1071-2  to the property owner and that relate to the property owner's
 1071-3  ownership, use, or enjoyment of the particular parcel of remaining
 1071-4  real property.
 1071-5        SECTION 30.245.  Section 42.002(b), Property Code, is amended
 1071-6  to conform to Chapter 165, Acts of the 74th Legislature, Regular
 1071-7  Session, 1995, to read as follows:
 1071-8        (b)  Personal property, unless precluded from being
 1071-9  encumbered by other law, may be encumbered by a security interest
1071-10  under Section 9.203, Business & Commerce Code, or Subchapter F,
1071-11  Chapter 501, Transportation Code [Sections 41 and 42, Certificate
1071-12  of Title Act (Article 6687-1, Vernon's Texas Civil Statutes)], or
1071-13  by a lien fixed by other law, and the security interest or lien may
1071-14  not be avoided on the ground that the property is exempt under this
1071-15  chapter.
1071-16        SECTION 30.246.  Section 61.001(2), Property Code, is amended
1071-17  to conform to Chapter 165, Acts of the 74th Legislature, Regular
1071-18  Session, 1995, to read as follows:
1071-19              (2)  "Mortgagee" means a secured party, as defined by
1071-20  Section 9.105, Business & Commerce Code, holding a lien on a motor
1071-21  vehicle that has been perfected pursuant to Subchapter F, Chapter
1071-22  501, Transportation Code [Sections 41 and 42, Certificate of Title
1071-23  Act (Article 6687-1, Vernon's Texas Civil Statutes)].
1071-24        SECTION 30.247.  Section 70.005(a), Property Code, is amended
 1072-1  to conform to Chapter 165, Acts of the 74th Legislature, Regular
 1072-2  Session, 1995, to read as follows:
 1072-3        (a)  A person holding a lien under this subchapter on
 1072-4  property other than a motor vehicle subject to Chapter 501,
 1072-5  Transportation Code [the Certificate of Title Act, as amended
 1072-6  (Article 6687-1, Vernon's Texas Civil Statutes)], who retains
 1072-7  possession of the property for 60 days after the day that the
 1072-8  charges accrue shall request the owner to pay the unpaid charges
 1072-9  due if the owner's residence is in this state and known.  If the
1072-10  charges are not paid before the 11th day after the day of the
1072-11  request, the lienholder may, after 20 days' notice, sell the
1072-12  property at a public sale, or if the lien is on a garment, at a
1072-13  public or private sale.
1072-14        SECTION 30.248.  Section 70.006(a), Property Code, is amended
1072-15  to conform to Chapter 165, Acts of the 74th Legislature, Regular
1072-16  Session, 1995, to read as follows:
1072-17        (a)  A holder of a lien under this subchapter on a motor
1072-18  vehicle subject to Chapter 501, Transportation Code [the
1072-19  Certificate of Title Act, as amended (Article 6687-1, Vernon's
1072-20  Texas Civil Statutes)], or on a motorboat, vessel, or outboard
1072-21  motor for which a certificate of title is required under Subchapter
1072-22  B, Chapter 31, Parks and Wildlife Code, as amended, who retains
1072-23  possession of the vehicle, motorboat, vessel, or outboard motor for
1072-24  30 days after the day that the charges accrue shall give written
 1073-1  notice to the owner and each holder of a lien recorded on the
 1073-2  certificate of title.  The notice must be sent by certified mail
 1073-3  with return receipt requested and must include the amount of the
 1073-4  charges and a request for payment.
 1073-5        SECTION 30.249.  Section 23.121(a)(3), Tax Code, is amended
 1073-6  to conform to Chapter 165, Acts of the 74th Legislature, Regular
 1073-7  Session, 1995, to read as follows:
 1073-8              (3)  "Dealer" means a person who holds a dealer's
 1073-9  general distinguishing number issued by the Texas Department of
1073-10  Transportation under the authority of Chapter 503, Transportation
1073-11  Code [Article 6686, Revised Statutes], or is authorized by law or
1073-12  interstate reciprocity agreement to purchase vehicles in Texas
1073-13  without paying the motor vehicle sales tax.  The term does not
1073-14  include:
1073-15                    (A)  a person who holds a manufacturer's license
1073-16  issued by the Motor Vehicle Board of the Texas Department of
1073-17  Transportation;
1073-18                    (B)  an entity that is owned or controlled by a
1073-19  person who holds a manufacturer's license issued by the Motor
1073-20  Vehicle Board of the Texas Department of Transportation; or
1073-21                    (C)  a dealer whose general distinguishing number
1073-22  issued by the Texas Department of Transportation under the
1073-23  authority of Chapter 503, Transportation Code [Article 6686,
1073-24  Revised Statutes], prohibits the dealer from selling a vehicle to
 1074-1  any person except a dealer.
 1074-2        SECTION 30.250.  Section 151.428(d), Tax Code, is amended to
 1074-3  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1074-4  Session, 1995, to read as follows:
 1074-5        (d)  The payments required by this section are in addition to
 1074-6  other taxes imposed by this chapter, Chapter 321 of this code,
 1074-7  Subchapter I [Section 11B], Chapter 451, Transportation Code [141,
 1074-8  Acts of the 63rd Legislature, Regular Session, 1973, as amended
 1074-9  (Article 1118x, Vernon's Texas Civil Statutes)], and Subchapter I
1074-10  [Section 16], Chapter 452, Transportation Code [683, Acts of the
1074-11  66th Legislature, Regular Session, 1979, as amended (Article 1118y,
1074-12  Vernon's Texas Civil Statutes)].
1074-13        SECTION 30.251.  Sections 152.001(2), (3), (4), and (15), Tax
1074-14  Code, are amended to conform to Chapter 165, Acts of the 74th
1074-15  Legislature, Regular Session, 1995, to read as follows:
1074-16              (2)  "Retail sale" means a sale of a motor vehicle
1074-17  except:
1074-18                    (A)  a sale in which the purchaser is a dealer
1074-19  who holds a general distinguishing number issued under Chapter 503,
1074-20  Transportation Code [pursuant to the terms of Article 6686, Revised
1074-21  Statutes], who acquires a vehicle for the exclusive purpose of
1074-22  resale; or
1074-23                    (B)  a sale of a vehicle that is operated under
1074-24  and in accordance with Chapter 503, Transportation Code [Article
 1075-1  6686, Revised Civil Statutes of Texas, 1925, as amended].
 1075-2              (3)  "Motor Vehicle" includes:
 1075-3                    (A)  a self-propelled vehicle designed to
 1075-4  transport persons or property on a public highway;
 1075-5                    (B)  a trailer and semitrailer, including a van,
 1075-6  flatbed, tank, dumpster, dolly, jeep, stinger, auxiliary axle, or
 1075-7  converter gear; and
 1075-8                    (C)  a house trailer as defined by Section
 1075-9  501.002, Transportation Code [the Certificate of Title Act (Article
1075-10  6687-1, Vernon's Texas Civil Statutes)].
1075-11              (4)  "Motor Vehicle" does not include:
1075-12                    (A)  a device moved only by human power;
1075-13                    (B)  a device used exclusively on stationary
1075-14  rails or tracks;
1075-15                    (C)  road-building machinery;
1075-16                    (D)  a mobile office;
1075-17                    (E)  a vehicle with respect to which the
1075-18  certificate of title has been surrendered in exchange for:
1075-19                          (i)  a salvage certificate issued under
1075-20  Chapter 501, Transportation Code [pursuant to the Certificate of
1075-21  Title Act (Article 6687-1, Vernon's Texas Civil Statutes)];
1075-22                          (ii)  a certificate of authority issued
1075-23  under [pursuant to Article V,] Chapter 683, Transportation Code
1075-24  [741, Acts of the 67th Legislature, Regular Session, 1981 (Article
 1076-1  4477-9a, Vernon's Texas Civil Statutes)];
 1076-2                          (iii)  a nonrepairable motor vehicle
 1076-3  certificate of title issued under Subchapter E, Chapter 501,
 1076-4  Transportation Code [pursuant to Section 37A, Certificate of Title
 1076-5  Act (Article 6687-1, Vernon's Texas Civil Statutes), as added by
 1076-6  H.B. No. 2151, Acts of the 74th Legislature, Regular Session,
 1076-7  1995];
 1076-8                          (iv)  an ownership document issued by
 1076-9  another state if the document is comparable to a document issued
1076-10  pursuant to Subparagraph (i), (ii), or (iii); or
1076-11                    (F)  a vehicle that has been declared a total
1076-12  loss by an insurance company pursuant to the settlement or
1076-13  adjustment of a claim.
1076-14              (15)  "Seller-financed sale" means a retail sale of a
1076-15  motor vehicle by a dealer licensed under Chapter 503,
1076-16  Transportation Code [Article 6686, Revised Statutes], in which the
1076-17  seller collects all or part of the total consideration in periodic
1076-18  payments and retains a lien on the motor vehicle until all payments
1076-19  have been received.  The term does not include a:
1076-20                    (A)  retail sale of a motor vehicle in which a
1076-21  person other than the seller provides the consideration for the
1076-22  sale and retains a lien on the motor vehicle as collateral;
1076-23                    (B)  lease; or
1076-24                    (C)  rental.
 1077-1        SECTION 30.252.  Section 152.027(a), Tax Code, is amended to
 1077-2  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1077-3  Session, 1995, to read as follows:
 1077-4        (a)  A use tax is imposed on each person to whom is issued a
 1077-5  metal dealer's plate authorized by Chapter 503, Transportation Code
 1077-6  [Article 6686, Revised Civil Statutes of Texas, 1925, as amended].
 1077-7        SECTION 30.253.  Section 152.0411(e), Tax Code, is amended to
 1077-8  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1077-9  Session, 1995, to read as follows:
1077-10        (e)  This section applies only to a sale in which the seller
1077-11  is a motor vehicle dealer who holds a dealer license issued under
1077-12  Chapter 503, Transportation Code [pursuant to the authority of
1077-13  Article 6686, Revised Statutes], or the Texas Motor Vehicle
1077-14  Commission Code (Article 4413(36), Vernon's Texas Civil Statutes).
1077-15        SECTION 30.254.  Section 152.043, Tax Code, is amended to
1077-16  conform to Chapter 165, Acts of the 74th Legislature, Regular
1077-17  Session, 1995, to read as follows:
1077-18        Sec. 152.043.  Collection of Tax on Motor Vehicles Operated
1077-19  by Nonresidents.  A person doing business in this state who
1077-20  registers a motor vehicle under Section 502.054, Transportation
1077-21  Code [14, Chapter 110, Acts of the 47th Legislature, Regular
1077-22  Session, 1941 (Article 6675a-16, Vernon's Texas Civil Statutes)],
1077-23  shall pay the tax imposed by Section 152.022 of this code to the
1077-24  comptroller on or before the day the motor vehicle is brought into
 1078-1  Texas.
 1078-2        SECTION 30.255.  Section 152.061(b), Tax Code, is amended to
 1078-3  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1078-4  Session, 1995, to read as follows:
 1078-5        (b)  A rental certificate may be furnished by:
 1078-6              (1)  a dealer licensed under Chapter 503,
 1078-7  Transportation Code [Article 6686, Revised Civil Statutes of Texas,
 1078-8  1925, as amended]; or
 1078-9              (2)  the owner if the vehicle is for use in a rental
1078-10  business that rents at least five different motor vehicles within
1078-11  any 12-month period.
1078-12        SECTION 30.256.  Section 152.081, Tax Code, is amended to
1078-13  conform to Chapter 165, Acts of the 74th Legislature, Regular
1078-14  Session, 1995, to read as follows:
1078-15        Sec. 152.081.  Driver Training Motor Vehicles.  The taxes
1078-16  imposed by this chapter do not apply to the sale or use of a motor
1078-17  vehicle that is:
1078-18              (1)  owned by a motor vehicle dealer as defined by
1078-19  Section 503.001, Transportation Code [Article 6686(a), Revised
1078-20  Civil Statutes of Texas, 1925, as amended];
1078-21              (2)  purchased in this state; and
1078-22              (3)  loaned free of charge by the dealer to a public
1078-23  school for use in an approved standard driver training course.
1078-24        SECTION 30.257.  Section 152.082, Tax Code, is amended to
 1079-1  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1079-2  Session, 1995, to read as follows:
 1079-3        Sec. 152.082.  Sale of Motor Vehicle to or Use of Motor
 1079-4  Vehicle by Public Agency.  The taxes imposed by this chapter do not
 1079-5  apply to the sale of a motor vehicle to or use of a motor vehicle
 1079-6  by a public agency if the motor vehicle is operated with an exempt
 1079-7  license plate issued under Section 502.201 or 502.206,
 1079-8  Transportation Code [3-AA, Chapter 88, General Laws, Acts of the
 1079-9  41st Legislature, 2nd Called Session, 1929, as amended (Article
1079-10  6675a-3aa, Vernon's Texas Civil Statutes)].
1079-11        SECTION 30.258.  Section 152.083(b), Tax Code, is amended to
1079-12  conform to Chapter 165, Acts of the 74th Legislature, Regular
1079-13  Session, 1995, to read as follows:
1079-14        (b)  This exemption applies only if the person purchasing the
1079-15  motor vehicle to be leased presents the tax assessor-collector a
1079-16  form prescribed and provided by the comptroller and showing:
1079-17              (1)  the identification of the motor vehicle;
1079-18              (2)  the name and address of the lessor and the lessee;
1079-19  and
1079-20              (3)  verification by an officer of the public agency to
1079-21  which the motor vehicle will be leased that the agency will operate
1079-22  the vehicle with an exempt license plate issued under Section
1079-23  502.201 or 502.206, Transportation Code [3-AA, Chapter 88, General
1079-24  Laws, Acts of the 41st Legislature, 2nd Called Session, 1929, as
 1080-1  amended (Article 6675a-3aa, Vernon's Texas Civil Statutes)].
 1080-2        SECTION 30.259.  Section 152.087, Tax Code, is amended to
 1080-3  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1080-4  Session, 1995, to read as follows:
 1080-5        Sec. 152.087.  Fire Trucks and Emergency Medical Services
 1080-6  Vehicles.  The taxes imposed by this chapter do not apply to the
 1080-7  purchase, rental, or use of a fire truck, emergency medical
 1080-8  services vehicle as defined by Section 773.003, Health and Safety
 1080-9  Code, or other motor vehicle used exclusively for fire-fighting
1080-10  purposes or for emergency medical services when purchased by:
1080-11              (1)  a volunteer fire department;
1080-12              (2)  a nonprofit emergency medical service provider
1080-13  that receives a federal income tax exemption under Section 501(a),
1080-14  Internal Revenue Code of 1986, as an organization described by
1080-15  Section 501(c)(3), Internal Revenue Code of 1986; or
1080-16              (3)  an emergency medical service provider to which
1080-17  Section 502.204, Transportation Code [3(g), Chapter 88, General
1080-18  Laws, Acts of the 41st Legislature, 2nd Called Session, 1929
1080-19  (Article 6675a-3, Vernon's Texas Civil Statutes)], applies.
1080-20        SECTION 30.260.  Section 152.121(c), Tax Code, is amended to
1080-21  conform to Chapter 165, Acts of the 74th Legislature, Regular
1080-22  Session, 1995, to read as follows:
1080-23        (c)  If the amount of net collections under Chapter 502,
1080-24  Transportation Code [88, General Laws, Acts of the 41st
 1081-1  Legislature, 2nd Called Session, 1929 (Article 6675a-1 et seq.,
 1081-2  Vernon's Texas Civil Statutes)], is insufficient to cover the
 1081-3  amount of those net collections authorized to be retained by a
 1081-4  county as a percentage of the tax and penalties collected under
 1081-5  this chapter, the comptroller shall on request of the county tax
 1081-6  assessor-collector authorize the county to retain a portion of the
 1081-7  tax and penalties collected under this chapter to cover the
 1081-8  deficiency.
 1081-9        SECTION 30.261.  Section 153.305(d), Tax Code, is amended to
1081-10  conform to Chapter 165, Acts of the 74th Legislature, Regular
1081-11  Session, 1995, to read as follows:
1081-12        (d)  An entity holding a [valid] registration under Chapter
1081-13  503, Transportation Code [Article 6686, Revised Civil Statutes of
1081-14  Texas, 1925, as amended], may obtain a decal for each liquefied
1081-15  gas-powered motor vehicle held for sale or resale and pay the tax
1081-16  per gallon to a permitted dealer on each delivery of liquefied gas
1081-17  into the fuel supply tank of the motor vehicle.
1081-18        SECTION 30.262.  Section 154.001(3), Tax Code, is amended to
1081-19  conform to the revision of Article 6675c, Revised Statutes, as
1081-20  Chapter 643, Transportation Code, by this Act to read as follows:
1081-21              (3)  "Common carrier" means a motor carrier registered
1081-22  under Chapter 643, Transportation Code [Article 6675c, Revised
1081-23  Statutes], or a motor carrier operating under a certificate issued
1081-24  by the Interstate Commerce Commission or a successor agency to the
 1082-1  Interstate Commerce Commission.
 1082-2        SECTION 30.263.  Section 155.001(3), Tax Code, is amended to
 1082-3  conform to the revision of Article 6675c, Revised Statutes, as
 1082-4  Chapter 643, Transportation Code, by this Act to read as follows:
 1082-5              (3)  "Common carrier" means a motor carrier registered
 1082-6  under Chapter 643, Transportation Code [Article 6675c, Revised
 1082-7  Statutes], or a motor carrier operating under a certificate issued
 1082-8  by the Interstate Commerce Commission or a successor agency to the
 1082-9  Interstate Commerce Commission.
1082-10        SECTION 30.264.  Sections 321.101(b), (c), and (e), Tax Code,
1082-11  are amended to conform to Chapter 165, Acts of the 74th
1082-12  Legislature, Regular Session, 1995, to read as follows:
1082-13        (b)  A municipality that is not disqualified may, by a
1082-14  majority vote of the qualified voters of the municipality voting at
1082-15  an election held for that purpose, adopt an additional sales and
1082-16  use tax for the benefit of the municipality in accordance with this
1082-17  chapter.  A municipality is disqualified from adopting the
1082-18  additional sales and use tax if the municipality:
1082-19              (1)  is included within the boundaries of a rapid
1082-20  transit authority created under Chapter 451, Transportation Code
1082-21  [141, Acts of the 63rd Legislature, Regular Session, 1973 (Article
1082-22  1118x, Vernon's Texas Civil Statutes)];
1082-23              (2)  is included within the boundaries of a regional
1082-24  transportation authority created under Chapter 452, Transportation
 1083-1  Code [683, Acts of the 66th Legislature, Regular Session, 1979
 1083-2  (Article 1118y, Vernon's Texas Civil Statutes)], by a principal
 1083-3  municipality [city] having a population of less than 800,000,
 1083-4  unless the municipality [city] has a population of 400,000 or more
 1083-5  and is located in more than one county;
 1083-6              (3)  is wholly or partly located in a county that
 1083-7  contains territory within the boundaries of a regional
 1083-8  transportation authority created under Chapter 452, Transportation
 1083-9  Code [683, Acts of the 66th Legislature, Regular Session, 1979
1083-10  (Article 1118y, Vernon's Texas Civil Statutes)], by a principal
1083-11  municipality [city] having a population in excess of 800,000,
1083-12  unless:
1083-13                    (A)  the municipality [city] is a contiguous
1083-14  municipality [city]; or
1083-15                    (B)  the municipality is not included within the
1083-16  boundaries of the authority and is located wholly or partly in a
1083-17  county in which fewer than 250 persons are residents of both the
1083-18  county and the authority according to the most recent federal
1083-19  census; or
1083-20                    (C)  the municipality is not and on January 1,
1083-21  1993, was not included within the boundaries of the authority; or
1083-22              (4)  imposes a tax authorized by Chapter 453,
1083-23  Transportation Code [Article 1118z, Revised Statutes].
1083-24        (c)  For the purposes of Subsection (b), "principal
 1084-1  municipality [city]" and "contiguous municipality [city]" have the
 1084-2  meanings assigned by Section 452.001, Transportation Code [Chapter
 1084-3  683, Acts of the 66th Legislature, Regular Session, 1979 (Article
 1084-4  1118y, Vernon's Texas Civil Statutes)].
 1084-5        (e)  An authority created under Chapter 451 [141, Acts of the
 1084-6  63rd Legislature, Regular Session, 1973 (Article 1118x, Vernon's
 1084-7  Texas Civil Statutes),] or 452, Transportation Code [Chapter 683,
 1084-8  Acts of the 66th Legislature, Regular Session, 1979 (Article 1118y,
 1084-9  Vernon's Texas Civil Statutes)], is prohibited from imposing the
1084-10  tax provided for by [in] those chapters [Acts] if within the
1084-11  boundaries of the authority there is a municipality that has
1084-12  adopted the additional sales and use tax provided for by [in] this
1084-13  section.
1084-14        SECTION 30.265.  Sections 321.1025(a) and (b), Tax Code, are
1084-15  amended to conform to Chapter 165, Acts of the 74th Legislature,
1084-16  Regular Session, 1995, to read as follows:
1084-17        (a)  A municipality that is wholly or partly located in a
1084-18  county that contains territory within the boundaries of a regional
1084-19  transportation authority created under Chapter 452, Transportation
1084-20  Code  [683, Acts of the 66th Legislature, 1979 (Article 1118y,
1084-21  Vernon's Texas Civil Statutes)], by a principal municipality [city]
1084-22  having a population of more than 800,000 and that has adopted an
1084-23  additional sales and use tax for the benefit of the municipality
1084-24  may hold an election on the question of whether the municipality
 1085-1  shall be annexed to the authority.
 1085-2        (b)  The election must be held in the manner required by
 1085-3  Chapter 452, Transportation Code [683, Acts of the 66th
 1085-4  Legislature, 1979 (Article 1118y, Vernon's Texas Civil Statutes)].
 1085-5        SECTION 30.266.  Section 322.001(a), Tax Code, is amended to
 1085-6  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1085-7  Session, 1995, to read as follows:
 1085-8        (a)  This chapter applies to the imposition, assessment,
 1085-9  collection, administration, and enforcement of a sales and use tax
1085-10  imposed under [the authority of] Chapter 451, 452, or 453,
1085-11  Transportation Code [141, Acts of the 63rd Legislature, Regular
1085-12  Session, 1973 (Article 1118x, Vernon's Texas Civil Statutes),
1085-13  Chapter 683, Acts of the 66th Legislature, Regular Session, 1979
1085-14  (Article 1118y, Vernon's Texas Civil Statutes), or Article 1118z,
1085-15  Revised Statutes].
1085-16        SECTION 30.267.  Section 322.002(1), Tax Code, is amended to
1085-17  conform to Chapter 165, Acts of the 74th Legislature, Regular
1085-18  Session, 1995, to read as follows:
1085-19              (1)  "Taxing entity" means a rapid transit authority, a
1085-20  regional transit authority, including a subregional transportation
1085-21  authority, or a municipal mass transit department created under
1085-22  Chapter 453, Transportation Code [Article 1118z, Revised Statutes],
1085-23  that has adopted a sales and use tax under the law authorizing the
1085-24  creation of the entity.
 1086-1        SECTION 30.268.  Section 322.108(b), Tax Code, is amended to
 1086-2  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1086-3  Session, 1995, to read as follows:
 1086-4        (b)  The provisions of this chapter applicable to a taxing
 1086-5  entity created under Chapter 453, Transportation Code [Article
 1086-6  1118z, Revised Statutes], prevail over any inconsistent provision
 1086-7  in a statute listed in Subsection (a).
 1086-8        SECTION 30.269.  Section 322.110(a), Tax Code, is amended to
 1086-9  conform to Chapter 165, Acts of the 74th Legislature, Regular
1086-10  Session, 1995, to read as follows:
1086-11        (a)  The receipts from the sale, use, or rental of and the
1086-12  storage, use, or consumption of taxable items in this state are
1086-13  exempt from the tax imposed under this chapter by a taxing entity
1086-14  created under Chapter 453, Transportation Code [Article 1118z,
1086-15  Revised Statutes], if the items are used:
1086-16              (1)  for the performance of a written contract entered
1086-17  into before the date the tax takes effect in the taxing entity, if
1086-18  the contract is not subject to change or modification by reason of
1086-19  the tax; or
1086-20              (2)  pursuant to an obligation of a bid or bids
1086-21  submitted before the date the tax takes effect in the taxing
1086-22  entity, if the bid or bids may not be withdrawn, modified, or
1086-23  changed by reason of the tax.
1086-24        SECTION 30.270.  Section 322.302(b), Tax Code, is amended to
 1087-1  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1087-2  Session, 1995, to read as follows:
 1087-3        (b)  The comptroller shall make payments required by
 1087-4  Subsection (a) of this section to entities created under Chapter
 1087-5  451 [141, Acts of the 63rd Legislature, Regular Session, 1973
 1087-6  (Article 1118x, Vernon's Texas Civil Statutes),] or 452,
 1087-7  Transportation Code [Chapter 683, Acts of the 66th Legislature,
 1087-8  1979 (Article 1118y, Vernon's Texas Civil Statutes)], quarterly
 1087-9  each fiscal year as soon as practicable after the end of each
1087-10  quarter.
1087-11        SECTION 30.271.  Section 322.304(c), Tax Code, is amended to
1087-12  conform to Chapter 165, Acts of the 74th Legislature, Regular
1087-13  Session, 1995, to read as follows:
1087-14        (c)  Before the expiration of one year after the effective
1087-15  date of the abolition of an entity's tax under this chapter other
1087-16  than a department under Chapter 453, Transportation Code [Article
1087-17  1118z, Revised Statutes], the comptroller shall send to the entity
1087-18  the remainder of the money in the entity's account and shall close
1087-19  the account.
1087-20        SECTION 30.272.  Sections 323.101(b) and (c), Tax Code, are
1087-21  amended to conform to Chapter 165, Acts of the 74th Legislature,
1087-22  Regular Session, 1995, to read as follows:
1087-23        (b)  A county is qualified to adopt the tax only if no part
1087-24  of the county is located in a rapid transit authority created under
 1088-1  Chapter 451, Transportation Code [141, Acts of the 63rd
 1088-2  Legislature, Regular Session, 1973 (Article 1118x, Vernon's Texas
 1088-3  Civil Statutes)], or a regional transportation authority created
 1088-4  under Chapter 452 of that code [683, Acts of the 66th Legislature,
 1088-5  Regular Session, 1979 (Article 1118y, Vernon's Texas Civil
 1088-6  Statutes)].
 1088-7        (c)  An authority created under Chapter 451 [141, Acts of the
 1088-8  63rd Legislature, Regular Session, 1973 (Article 1118x, Vernon's
 1088-9  Texas Civil Statutes),] or 452, Transportation Code [Chapter 683,
1088-10  Acts of the 66th Legislature, Regular Session, 1979 (Article 1118y,
1088-11  Vernon's Texas Civil Statutes)], is prohibited from imposing the
1088-12  tax provided for by [in] those chapters [Acts] in a county in which
1088-13  the county sales and use tax provided for by [in] this section is
1088-14  in effect or is scheduled to take effect.  For the purposes of this
1088-15  section, an authority is not considered to be located in any county
1088-16  in which fewer than 250 persons are both residents of the authority
1088-17  and the county.
1088-18        SECTION 30.273.  Section 351.001(2), Tax Code, is amended to
1088-19  conform to Chapter 165, Acts of the 74th Legislature, Regular
1088-20  Session, 1995, to read as follows:
1088-21              (2)  "Convention center facilities" or "convention
1088-22  center complex" means civic centers, civic center buildings,
1088-23  auditoriums, exhibition halls, and coliseums that are owned by the
1088-24  municipality or other governmental entity or that are managed in
 1089-1  whole or part by the municipality, hotels owned by the municipality
 1089-2  or a nonprofit municipally sponsored local government corporation
 1089-3  created under Chapter 431, Transportation Code, [pursuant to the
 1089-4  Texas Transportation Corporation Act (Article 1528l, Vernon's Texas
 1089-5  Civil Statutes)] within 1,000 feet of a convention center owned by
 1089-6  a municipality with a population of 1,500,000 or more, or a
 1089-7  historic hotel owned by a municipality or a nonprofit municipally
 1089-8  sponsored local government corporation created under Chapter 431,
 1089-9  Transportation Code, [pursuant to the Texas Transportation
1089-10  Corporation Act (Article 1528l, Vernon's Texas Civil Statutes)]
1089-11  within one mile of a convention center owned by a municipality with
1089-12  a population of 1,500,000 or more.  The term includes parking areas
1089-13  or facilities that are for the parking or storage of conveyances
1089-14  and that are located at or in the vicinity of other convention
1089-15  center facilities.
1089-16        SECTION 30.274.  Section 351.102(a), Tax Code, is amended to
1089-17  conform to Chapter 165, Acts of the 74th Legislature, Regular
1089-18  Session, 1995, to read as follows:
1089-19        (a)  Subject to the limitations provided by this subchapter,
1089-20  a municipality may pledge the revenue derived from the tax imposed
1089-21  under this chapter for the payment of bonds that are issued under
1089-22  Section 3, Chapter 63, Acts of the 59th Legislature, Regular
1089-23  Session, 1965 (Article 1269j-4.1, Vernon's Texas Civil Statutes),
1089-24  for one or more of the purposes provided by Section 351.101 or, in
 1090-1  the case of a municipality of 1,500,000 or more, for the payment of
 1090-2  principal of or interest on bonds or other obligations of a
 1090-3  municipally sponsored local government corporation created under
 1090-4  Chapter 431, Transportation Code, [pursuant to the Texas
 1090-5  Transportation Corporation Act (Article 1528l, Vernon's Texas Civil
 1090-6  Statutes)] that were issued to pay the cost of the acquisition and
 1090-7  construction of a convention center hotel or the cost of
 1090-8  acquisition, remodeling, or rehabilitation of a historic hotel
 1090-9  structure; provided, however, such pledge may only be that portion
1090-10  of the tax collected at such hotel.
1090-11        SECTION 30.275.  Section 352.101(a), Tax Code, is amended to
1090-12  conform to Chapter 165, Acts of the 74th Legislature, Regular
1090-13  Session, 1995, to read as follows:
1090-14        (a)  The revenue from a tax imposed under this chapter by a
1090-15  county having a population of more than two million may be used
1090-16  only for:
1090-17              (1)  the acquisition of sites for and the construction,
1090-18  improvement, enlarging, equipping, repairing, operation, and
1090-19  maintenance of public improvements such as civic centers, civic
1090-20  center buildings, auditoriums, exhibition halls, coliseums, and
1090-21  stadiums, including sports and other facilities that serve the
1090-22  purpose of attracting visitors and tourists to the county, and
1090-23  parking areas or facilities for the parking or storage of motor
1090-24  vehicles or other conveyances, hotels owned by a municipality or a
 1091-1  nonprofit municipally sponsored local government corporation
 1091-2  created under Chapter 431, Transportation Code, [pursuant to the
 1091-3  Texas Transportation Corporation Act (Article 1528l, Vernon's Texas
 1091-4  Civil Statutes)] within 1,000 feet of a convention center owned by
 1091-5  a municipality with a population of 1,500,000 or more, or a
 1091-6  historic hotel owned by a municipality or a nonprofit municipally
 1091-7  sponsored local government corporation created under Chapter 431,
 1091-8  Transportation Code, [pursuant to the Texas Transportation
 1091-9  Corporation Act (Article 1528l, Vernon's Texas Civil Statutes)]
1091-10  within one mile of a convention center owned by a municipality with
1091-11  a population of 1,500,000 or more;
1091-12              (2)  the furnishing of facilities, personnel, and
1091-13  materials for the registration of convention delegates or
1091-14  registrants; and
1091-15              (3)  general promotion and tourist advertising of the
1091-16  county and its vicinity and conducting a solicitation program to
1091-17  attract conventions and visitors, any of which may be conducted by
1091-18  the county or through contracts with persons or organizations
1091-19  selected by the county.
1091-20        SECTION 30.276.  Section 30.003(3), Water Code, is amended to
1091-21  conform to Chapter 165, Acts of the 74th Legislature, Regular
1091-22  Session, 1995, to read as follows:
1091-23              (3)  "Public agency" means any district, city, or other
1091-24  political subdivision or agency of the state which has the power to
 1092-1  own and operate waste collection, transportation, treatment, or
 1092-2  disposal facilities or systems, and any joint board created under
 1092-3  the provisions of Subchapter D or E, Chapter 22, Transportation
 1092-4  Code [Section 14, Chapter 114, Acts of the 50th Legislature,
 1092-5  Regular Session, 1947 (Article 46d-14, Vernon's Texas Civil
 1092-6  Statutes)].
 1092-7        SECTION 30.277.  Section 53.029(c), Water Code, is amended to
 1092-8  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1092-9  Session, 1995, to read as follows:
1092-10        (c)  The board of a district covered by this section may
1092-11  order an election to be held in the district to determine whether
1092-12  the district should assume the rights, authority, privileges, and
1092-13  functions of a road district under Article III, Section 52(b)(3),
1092-14  of the Texas Constitution.  The election shall be ordered,
1092-15  conducted, and the results canvassed in the manner provided by the
1092-16  applicable provisions of this chapter and the Election Code.  The
1092-17  ballots for the election shall be printed to provide for voting for
1092-18  or against:  The assumption by the __________ Fresh Water Supply
1092-19  District of the rights, authority, privileges, and functions of a
1092-20  road district under Article III, Section 52(b)(3), of the Texas
1092-21  Constitution.  If a majority of the persons voting in the election
1092-22  vote in favor of the proposition, the district shall assume the
1092-23  rights, authority, privileges, and functions of a road district
1092-24  operating under Article III, Section 52(b)(3), of the Texas
 1093-1  Constitution, Chapter 257, Transportation Code [the County Road and
 1093-2  Bridge Act (Article 6702-1, Vernon's Texas Civil Statutes)], and
 1093-3  other general laws of this state relating to road districts.
 1093-4        SECTION 30.278.  Section 60.246(b), Water Code, is amended to
 1093-5  conform to Chapter 165, Acts of the 74th Legislature, Regular
 1093-6  Session, 1995, to read as follows:
 1093-7        (b)  A converted district shall have the additional powers
 1093-8  conferred on districts under Sections 61.151, 61.161-61.168,
 1093-9  61.170, and 61.172-61.175 of this code, and the commissioners of a
1093-10  converted district shall constitute a pilot board under the
1093-11  provisions of Chapter 62, Transportation Code [Articles 8248-8257,
1093-12  Revised Civil Statutes of Texas, 1925].
1093-13        SECTION 30.279.  Section 63.183, Water Code, is amended to
1093-14  conform to Chapter 165, Acts of the 74th Legislature, Regular
1093-15  Session, 1995, to read as follows:
1093-16        Sec. 63.183.  Other Laws Governing District.  The commission
1093-17  has the same rights, powers, and duties provided for commissioners
1093-18  in Chapter 62, Transportation Code [Articles 8248-8257, Revised
1093-19  Civil Statutes of Texas, 1925].
1093-20        SECTION 30.280.  Sections 1-4, Chapter 370, Acts of the 74th
1093-21  Legislature, Regular Session, 1995, are repealed.
1093-22                       ARTICLE 31.  RENUMBERING
1093-23        SECTION 31.01.  The following provisions of enacted codes are
1093-24  renumbered or relettered and appropriate cross-references are
 1094-1  changed to eliminate duplicate citations or to relocate misplaced
 1094-2  provisions:
 1094-3              (1)  Section 161.053, Agriculture Code, as added by
 1094-4  Chapter 554, Acts of the 74th Legislature, Regular Session, 1995,
 1094-5  is renumbered as Section 161.055, Agriculture Code.
 1094-6              (2)  Section 161.054, Agriculture Code, as added by
 1094-7  Chapter 554, Acts of the 74th Legislature, Regular Session, 1995,
 1094-8  is renumbered as Section 161.056, Agriculture Code.
 1094-9              (3)  Section 15.018, Civil Practice and Remedies Code,
1094-10  as added by Chapter 378, Acts of the 74th Legislature, Regular
1094-11  Session, 1995, is renumbered as Section 15.019, Civil Practice and
1094-12  Remedies Code.
1094-13              (4)  Section 30.007, Civil Practice and Remedies Code,
1094-14  as added by Chapter 122, Acts of the 74th Legislature, Regular
1094-15  Session, 1995, is renumbered as Section 30.008, Civil Practice and
1094-16  Remedies Code.
1094-17              (5)  Section 30.007, Civil Practice and Remedies Code,
1094-18  as added by Chapter 1005, Acts of the 74th Legislature, Regular
1094-19  Session, 1995, is renumbered as Section 30.009, Civil Practice and
1094-20  Remedies Code.
1094-21              (6)  Section 30.07, Civil Practice and Remedies Code,
1094-22  as added by Chapter 302, Acts of the 74th Legislature, Regular
1094-23  Session, 1995, is renumbered as Section 30.010, Civil Practice and
1094-24  Remedies Code.
 1095-1              (7)  Chapter 83, Civil Practice and Remedies Code, as
 1095-2  added by Chapter 662, Acts of the 74th Legislature, Regular
 1095-3  Session, 1995, is renumbered as Chapter 85, Civil Practice and
 1095-4  Remedies Code, and Sections 83.001, 83.002, 83.003, 83.004, 83.005,
 1095-5  and 83.006, Civil Practice and Remedies Code, as added by that Act,
 1095-6  are renumbered as Sections 85.001, 85.002, 85.003, 85.004, 85.005,
 1095-7  and 85.006, Civil Practice and Remedies Code, respectively.
 1095-8              (8)  Chapter 87, Civil Practice and Remedies Code, as
 1095-9  added by Chapter 604, Acts of the 74th Legislature, Regular
1095-10  Session, 1995, is renumbered as Chapter 86, Civil Practice and
1095-11  Remedies Code, and Sections 87.001, 87.002, 87.003, 87.004, 87.005,
1095-12  87.006, and 87.007, Civil Practice and Remedies Code, as added by
1095-13  that Act, are renumbered as Sections 86.001, 86.002, 86.003,
1095-14  86.004, 86.005, 86.006, and 86.007, Civil Practice and Remedies
1095-15  Code, respectively.
1095-16              (9)  Section 101.058, Civil Practice and Remedies Code,
1095-17  as added by Chapter 738, Acts of the 74th Legislature, Regular
1095-18  Session, 1995, is renumbered as Section 101.065, Civil Practice and
1095-19  Remedies Code.
1095-20              (10)  Subsection (m), Section 13, Article 42.12, Code
1095-21  of Criminal Procedure, as added by Chapter 318, Acts of the 74th
1095-22  Legislature, Regular Session, 1995, is relettered as Subsection
1095-23  (n), Section 13, Article 42.12, Code of Criminal Procedure.
1095-24              (11)  Section 13B, Article 42.12, Code of Criminal
 1096-1  Procedure, as added by Chapter 83, Acts of the 74th Legislature,
 1096-2  Regular Session, 1995, is renumbered as Section 13C, Article 42.12,
 1096-3  Code of Criminal Procedure.
 1096-4              (12)  Article 42.21, Code of Criminal Procedure, as
 1096-5  added by Chapter 997, Acts of the 74th Legislature, Regular
 1096-6  Session, 1995, is renumbered as Article 42.22, Code of Criminal
 1096-7  Procedure.
 1096-8              (13)  Subsection (g), Article 45.55, Code of Criminal
 1096-9  Procedure, as added by Chapter 598, Acts of the 74th Legislature,
1096-10  Regular Session, 1995, is relettered as Subsection (h), Article
1096-11  45.55, Code of Criminal Procedure.
1096-12              (14)  Subsection (q), Section 51.306, Education Code,
1096-13  as redesignated by Chapter 76, Acts of the 74th Legislature,
1096-14  Regular Session, 1995, is relettered as Subsection (w), Section
1096-15  51.306, Education Code.
1096-16              (15)  Subsection (q), Section 51.306, Education Code,
1096-17  as added by Chapter 362, Acts of the 74th Legislature, Regular
1096-18  Session, 1995, is relettered as Subsection (t), Section 51.306,
1096-19  Education Code.
1096-20              (16)  Subsection (q), Section 51.306, Education Code,
1096-21  as added by Chapter 777, Acts of the 74th Legislature, Regular
1096-22  Session, 1995, is relettered as Subsection (u), Section 51.306,
1096-23  Education Code.
1096-24              (17)  Subsection (s), Section 51.306, Education Code,
 1097-1  as added by Chapter 804, Acts of the 74th Legislature, Regular
 1097-2  Session, 1995, is relettered as Subsection (v), Section 51.306,
 1097-3  Education Code.
 1097-4              (18)  Subsection (f), Section 51.3061, Education Code,
 1097-5  as added by Chapter 804, Acts of the 74th Legislature, Regular
 1097-6  Session, 1995, is relettered as Subsection (g), Section 51.3061,
 1097-7  Education Code.
 1097-8              (19)  Section 51.307, Education Code, as added by
 1097-9  Chapter 1009, Acts of the 74th Legislature, Regular Session, 1995,
1097-10  is renumbered as Section 51.308, Education Code.
1097-11              (20)  Section 51.932, Education Code, as added by
1097-12  Chapter 736, Acts of the 74th Legislature, Regular Session, 1995,
1097-13  is renumbered as Section 51.9325, Education Code.
1097-14              (21)  Section 51.933, Education Code, as added by
1097-15  Chapter 736, Acts of the 74th Legislature, Regular Session, 1995,
1097-16  is  renumbered as Section 51.9335, Education Code.
1097-17              (22)  Section 51.935, Education Code, as added by
1097-18  Chapter 474, Acts of the 74th Legislature, Regular Session, 1995,
1097-19  is  renumbered as Section 51.9355, Education Code.     
1097-20              (23)  Section 51.940, Education Code, as added by
1097-21  Chapter 473, Acts of the 74th Legislature, Regular Session, 1995,
1097-22  is renumbered as Section 51.941, Education Code.
1097-23              (24)  Section 54.212, Education Code, as added by
1097-24  Chapter 327, Acts of the 74th Legislature, Regular Session, 1995,
 1098-1  is renumbered as Section 54.214, Education Code.
 1098-2              (25)  Section 54.212, Education Code, as added by
 1098-3  Chapter 451, Acts of the 74th Legislature, Regular Session, 1995,
 1098-4  is renumbered as Section 54.215, Education Code.
 1098-5              (26)  Section 130.008, Education Code, as added by
 1098-6  Chapter 459, Acts of the 74th Legislature, Regular Session, 1995,
 1098-7  is renumbered as Section 130.009, Education Code.
 1098-8              (27)  Section 3.522, Family Code, as added by Chapter
 1098-9  1024, Acts of the 74th Legislature, Regular Session, 1995, is
1098-10  renumbered as Section 3.523, Family Code.
1098-11              (28)  Subsection (c), Section 71.18, Family Code, as
1098-12  added by Chapter 324, Acts of the 74th Legislature, Regular
1098-13  Session, 1995, is relettered as Subsection (e), Section 71.18,
1098-14  Family Code.
1098-15              (29)  Section 262.111, Family Code, as added by Chapter
1098-16  943, Acts of the 74th Legislature, Regular Session, 1995, is
1098-17  renumbered as Section 262.112, Family Code.
1098-18              (30)  Section 264.109, Family Code, as added by Chapter
1098-19  943, Acts of the 74th Legislature, Regular Session, 1995, is
1098-20  renumbered as Section 264.110, Family Code.
1098-21              (31)  Section 26.015, Government Code, as added by
1098-22  Chapter 336, Acts of the 74th Legislature, Regular Session, 1995,
1098-23  is renumbered as Section 26.017, Government Code.
1098-24              (32)  Section 215.0735, Government Code, as added by
 1099-1  Chapter 165, Acts of the 74th Legislature, Regular Session, 1995,
 1099-2  is renumbered as Section 215.0735, Local Government Code.
 1099-3              (33)  Section 403.024, Government Code, as added by
 1099-4  Chapter 655, Acts of the 74th Legislature, Regular Session, 1995,
 1099-5  is renumbered as Section 403.025, Government Code.
 1099-6              (34)  Section 411.128, Government Code, as added by
 1099-7  Chapter 323, Acts of the 74th Legislature, Regular Session, 1995,
 1099-8  is renumbered as Section 411.129, Government Code.
 1099-9              (35)  Section 411.128, Government Code, as added by
1099-10  Chapter 485, Acts of the 74th Legislature, Regular Session, 1995,
1099-11  is renumbered as Section 411.130, Government Code.
1099-12              (36)  Section 411.128, Government Code, as added by
1099-13  Chapter 691, Acts of the 74th Legislature, Regular Session, 1995,
1099-14  is renumbered as Section 411.131, Government Code.
1099-15              (37)  Subsection (g), Section 415.034, Government Code,
1099-16  as added by Chapter 562, Acts of the 74th Legislature, Regular
1099-17  Session, 1995, is relettered as Subsection (i), Section 415.034,
1099-18  Government Code.
1099-19              (38)  Section 444.029, Government Code, as added by
1099-20  Chapter 108, Acts of the 74th Legislature, Regular Session, 1995,
1099-21  is renumbered as Section 444.030, Government Code.
1099-22              (39)  Section 493.014, Government Code, as added by
1099-23  Chapter 769, Acts of the 74th Legislature, Regular Session, 1995,
1099-24  is renumbered as Section 493.018, Government Code.
 1100-1              (40)  Section 493.015, Government Code, as added by
 1100-2  Chapter 321, Acts of the 74th Legislature, Regular Session, 1995,
 1100-3  is renumbered as Section 493.019, Government Code.
 1100-4              (41)  Section 493.017, Government Code, as added by
 1100-5  Chapter 321, Acts of the 74th Legislature, Regular Session, 1995,
 1100-6  is renumbered as Section 493.020, Government Code.
 1100-7              (42)  Section 497.097, Government Code, as added by
 1100-8  Chapter 302, Acts of the 74th Legislature, Regular Session, 1995,
 1100-9  is renumbered as Section 497.098, Government Code.
1100-10              (43)  Section 507.028, Government Code, as added by
1100-11  Chapter 321, Acts of the 74th Legislature, Regular Session, 1995,
1100-12  is renumbered as Section 507.031, Government Code.
1100-13              (44)  Section 552.027, Government Code, as added by
1100-14  Chapter 302, Acts of the 74th Legislature, Regular Session, 1995,
1100-15  is renumbered as Section 552.028, Government Code.
1100-16              (45)  Section 552.124, Government Code, as added by
1100-17  Chapter 219, Acts of the 74th Legislature, Regular Session, 1995,
1100-18  is renumbered as Section 552.125, Government Code.
1100-19              (46)  Section 552.124, Government Code, as added by
1100-20  Chapter 260, Acts of the 74th Legislature, Regular Session, 1995,
1100-21  is renumbered as Section 552.126, Government Code.
1100-22              (47)  Section 552.270, Government Code, as added by
1100-23  Chapter 693, Acts of the 74th Legislature, Regular Session, 1995,
1100-24  is renumbered as Section 552.274, Government Code.
 1101-1              (48)  Subdivision (5), Section 573.061, Government
 1101-2  Code, as added by Chapter 260, Acts of the 74th Legislature,
 1101-3  Regular Session, 1995, is renumbered as Subdivision (6), Section
 1101-4  573.061, Government Code.
 1101-5              (49)  Section 2003.047, Government Code, as added by
 1101-6  Chapter 765, Acts of the 74th Legislature, Regular Session, 1995,
 1101-7  is renumbered as Section 2003.049, Government Code.
 1101-8              (50)  Section 12.017, Health and Safety Code, as added
 1101-9  by Chapter 531, Acts of the 74th Legislature, Regular Session,
1101-10  1995, is renumbered as Section 12.018, Health and Safety Code.
1101-11              (51)  Section 12.017, Health and Safety Code, as added
1101-12  by Chapter 76, Acts of the 74th Legislature, Regular Session, 1995,
1101-13  is renumbered as Section 12.019, Health and Safety Code.
1101-14              (52)  Subchapter H, Chapter 12, Health and Safety Code,
1101-15  as added by Chapter 768, Acts of the 74th Legislature, Regular
1101-16  Session, 1995, is relettered as Subchapter I, Chapter 12, Health
1101-17  and Safety Code, and Sections 12.091, 12.092, 12.093, 12.094,
1101-18  12.095, and 12.096, Health and Safety Code, as added by that Act,
1101-19  are renumbered as Sections 12.111, 12.112, 12.113, 12.114, 12.115,
1101-20  and 12.116, Health and Safety Code, respectively.
1101-21              (53)  Chapter 88, Health and Safety Code, as added by
1101-22  Chapter 76, Acts of the 74th Legislature, Regular Session, 1995, is
1101-23  renumbered as Chapter 92, Health and Safety Code, and Sections
1101-24  88.001, 88.002, 88.003, 88.004, 88.005, 88.006, 88.007, 88.008, and
 1102-1  88.009, Health and Safety Code, as added by that Act, are
 1102-2  renumbered as Sections 92.001, 92.002, 92.003, 92.004, 92.005,
 1102-3  92.006, 92.007, 92.008, and 92.009, Health and Safety Code,
 1102-4  respectively.
 1102-5              (54)  Subsection (b), Section 242.037, Health and
 1102-6  Safety Code, as added by Chapter 1049, Acts of the 74th
 1102-7  Legislature, Regular Session, 1995, is relettered as Subsection
 1102-8  (c), Section 242.037, Health and Safety Code.
 1102-9              (55)  Subchapter H, Chapter 242, Health and Safety
1102-10  Code, as added by Chapter 189, Acts of the 74th Legislature,
1102-11  Regular Session, 1995, is relettered as Subchapter I, Chapter 242,
1102-12  Health and Safety Code, and Sections 242.201, 242.202, 242.203,
1102-13  242.204, and 242.205, Health and Safety Code, as added by that Act,
1102-14  are renumbered as Sections 242.221, 242.222, 242.223, 242.224, and
1102-15  242.225, Health and Safety Code, respectively.
1102-16              (56)  Subchapter H, Chapter 242, Health and Safety
1102-17  Code, as added by Chapter 1049, Acts of the 74th Legislature,
1102-18  Regular Session, 1995, is relettered as Subchapter J, Chapter 242,
1102-19  Health and Safety Code.
1102-20              (57)  Subsection (e), Section 247.026, Health and
1102-21  Safety Code, as added by Chapter 542, Acts of the 74th Legislature,
1102-22  Regular Session, 1995, is relettered as Subsection (f), Section
1102-23  247.026, Health and Safety Code.
1102-24              (58)  Subchapter H, Chapter 285, Health and Safety
 1103-1  Code, as added by Chapter 965, Acts of the 74th Legislature,
 1103-2  Regular Session, 1995, is relettered as Subchapter I, Chapter 285,
 1103-3  Health and Safety Code.
 1103-4              (59)  Section 533.045, Health and Safety Code, as added
 1103-5  by Chapter 574, Acts of the 74th Legislature, Regular Session,
 1103-6  1995, is renumbered as Section 533.047, Health and Safety Code.
 1103-7              (60)  Section 22.025, Human Resources Code, as added by
 1103-8  Chapter 531, Acts of the 74th Legislature, Regular Session, 1995,
 1103-9  is renumbered as Section 22.031, Human Resources Code.
1103-10              (61)  Section 31.0031, Human Resources Code, as added
1103-11  by Section 1.02, Chapter 655, Acts of the 74th Legislature, Regular
1103-12  Session, 1995, is renumbered as Section 31.0036, Human Resources
1103-13  Code.
1103-14              (62)  Section 122.020, Human Resources Code, as added
1103-15  by Chapter 746, Acts of the 74th Legislature, Regular Session,
1103-16  1995, is renumbered as Section 122.026, Human Resources Code.
1103-17              (63)  Section 406.097, Labor Code, as added by Chapter
1103-18  849, Acts of the 74th Legislature, Regular Session, 1995, is
1103-19  renumbered as Section 406.098, Labor Code.
1103-20              (64)  Section 42.024, Local Government Code, as added
1103-21  by Chapter 788, Acts of the 74th Legislature, Regular Session,
1103-22  1995, is renumbered as Section 42.025, Local Government Code.
1103-23              (65)  Section 81.029, Local Government Code, as added
1103-24  by Chapter 146, Acts of the 74th Legislature, Regular Session,
 1104-1  1995, is renumbered as Section 81.030, Local Government Code.
 1104-2              (66)  Section 280.002, Local Government Code, as added
 1104-3  by Chapter 913, Acts of the 74th Legislature, Regular Session,
 1104-4  1995, is renumbered as Section 280.003, Local Government Code.
 1104-5              (67)  Section 341.904, Local Government Code, as added
 1104-6  by Chapter 262, Acts of the 74th Legislature, Regular Session,
 1104-7  1995, is renumbered as Section 341.905, Local Government Code.
 1104-8              (68)  Subsection (d), Section 22.01, Penal Code, as
 1104-9  added by Chapter 659, Acts of the 74th Legislature, Regular
1104-10  Session, 1995, is relettered as Subsection (e), Section 22.01,
1104-11  Penal Code.
1104-12              (69)  Subsection (g), Section 31.03, Penal Code, as
1104-13  added by Chapter 843, Acts of the 74th Legislature, Regular
1104-14  Session, 1995, is relettered as Subsection (h), Section 31.03,
1104-15  Penal Code.
1104-16              (70)  Subsection (g), Section 46.03, Penal Code, as
1104-17  added by Chapter 790, Acts of the 74th Legislature, Regular
1104-18  Session, 1995, is relettered as Subsection (h), Section 46.03,
1104-19  Penal Code.
1104-20              (71)  Subchapter H, Chapter 92, Property Code, as added
1104-21  by Chapter 744, Acts of the 74th Legislature, Regular Session,
1104-22  1995, is relettered as Subchapter I, Chapter 92, Property Code, and
1104-23  Sections 92.331, 92.332, 92.333, and 92.334, Property Code, as
1104-24  added by that Act, are renumbered as Sections 92.351, 92.352,
 1105-1  92.353, and 92.354, Property Code, respectively.
 1105-2              (72)  Sections 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12,
 1105-3  13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, and 24, Chapter 141,
 1105-4  Property Code, as added by Chapter 1043, Acts of the 74th
 1105-5  Legislature, Regular Session, 1995, are renumbered as Sections
 1105-6  141.001, 141.002, 141.003, 141.004, 141.005, 141.006, 141.007,
 1105-7  141.008, 141.009, 141.010, 141.011, 141.012, 141.013, 141.014,
 1105-8  141.015, 141.016, 141.017, 141.018, 141.019, 141.020, 141.021,
 1105-9  141.022, 141.023, and 141.024, Property Code, respectively.
1105-10              (73)  Sections 23.12D, 23.12E, and 23.12F, Tax Code, as
1105-11  added by Chapter 836, Acts of the 74th Legislature, Regular
1105-12  Session, 1995, are renumbered as Sections 23.124, 23.125, and
1105-13  23.126, Tax Code, respectively.
1105-14              (74)  Subsection (j), Section 23.55, Tax Code, as added
1105-15  by Chapter 471, Acts of the 74th Legislature, Regular Session,
1105-16  1995, is relettered as Subsection (l), Section 23.55, Tax Code.
1105-17              (75)  Section 26.179, Water Code, as added by Chapter
1105-18  76, Acts of the 74th Legislature, Regular Session, 1995, is
1105-19  renumbered as Section 26.180, Water Code.
1105-20        SECTION 31.02.  If the number, letter, or designation
1105-21  assigned by this article conflicts with a number, letter, or
1105-22  designation assigned by another Act of the 75th Legislature, the
1105-23  other Act controls, and the number, letter, or designation assigned
1105-24  by this article has no effect.
 1106-1                ARTICLE 32.  EFFECTIVE DATE; EMERGENCY
 1106-2        SECTION 32.01.  This Act takes effect September 1, 1997.
 1106-3        SECTION 32.02.  The importance of this legislation and the
 1106-4  crowded condition of the calendars in both houses create an
 1106-5  emergency and an imperative public necessity that the
 1106-6  constitutional rule requiring bills to be read on three several
 1106-7  days in each house be suspended, and this rule is hereby suspended.