MINUTES
         
                    SENATE COMMITTEE ON ECONOMIC DEVELOPMENT
                            Thursday, March 20, 1997
                                     9:00 am
                          Lt. Governor's Committee Room
         
                                      *****
         
         Pursuant to a notice posted in accordance with Senate Rule 
         11.11, a public hearing of the Senate Committee on Economic 
         Development was held on Thursday, March 20, 1997 in the Lt. 
         Governor's Committee Room, Austin, Texas.  
         
                                      *****
         
         MEMBERS PRESENT:                        MEMBERS ABSENT:
         Senator David Sibley, Chairman          Senator Frank Madla
         Senator David Cain, Vice Chairman
         Senator Robert Duncan
         Senator Rodney Ellis
         Senator Chris Harris
         Senator Tom Haywood
         Senator Eddie Lucio, Jr.
         Senator Jerry Patterson
         Senator Florence Shapiro
         Senator Eliot Shapleigh
         
                                      *****
         
         The Chairman called the meeting to order at 9:10 am.  There 
         being a quorum present, the following business was transacted.  
         
         The Chairman laid out SB 253 and recognized the author, 
         Senator Barrientos, to explain the bill.  Senator Sibley sent 
         up a committee substitute and called Suzi Ray McClellan, 
         Office of Public Utility Counsel, to explain the committee 
         substitute and answer members' questions.  Walter Hinojosa, 
         representing Texas AFL-CIO, testified in favor of the bill.  
         The Chairman read the names of persons registering for and on 
         the bill but not wishing to testify.  All witnesses are shown 
         on the attached witness list.
         
         Senator Lucio moved adoption of the committee substitute; 
         without objection, it was so ordered.  Senator Harris moved 
         that SB 253 do not pass but that CSSB 253 be reported back to 
         the Senate with the recommendation that it do pass and be 
         printed.  The motion carried with a vote of 10 ayes, 0 nays, 0 
         present not voting, and 1 absent.
           
         The Chairman advised that SB 760, relating to the same subject 
         as SB 253, would not be heard.
         
         The Chairman laid out SB 641 and recognized the author, 
         Senator Harris, to explain the bill.  Kelley Jones, 
 
         





         representing the Texas HMO Association, was called to respond 
         to members' questions.  The  Chairman read the names of 
         witnesses registering in favor of the bill but not wishing to 
         testify.  Senator Harris moved that SB 641 be reported 
         favorably to the full Senate with the recommendation that it 
         do pass and be printed.  The motion carried with a vote of 10 
         ayes, 0 nays, 0 present not voting, and 1 absent.  
         
         Senator Ellis requested unanimous consent to certify the bill 
         for Local & Uncontested Calendar; without objection, it was so 
         ordered.  
         
         The Chairman laid out SB 217 which had been pending in 
         Committee, and recognized Becky Herron, a member of Senator 
         Zaffirini's staff, to explain Committee Amendment 1 to the 
         proposed committee substitute. 
         
         Senator Lucio sent up Committee Amendment 1 and moved 
         adoption; without objection, the amendment was adopted.  
         
         Becky Herron explained Committee Amendment 2, and Rhonda 
         Myron, representing the Texas Department of Insurance, was 
         called to respond to members' questions on the amendment.
         
         Senator Lucio sent up Committee Amendment 2 and moved 
         adoption; without objection, the amendment was adopted.  
         
         Senator Lucio requested unanimous consent to incorporate the 
         amendments into the proposed committee substitute; without 
         objection, it was so ordered.  Senator Patterson then moved 
         that the new committee substitute be adopted; without 
         objection, it was so ordered.  Senator Patterson moved that SB 
         217 do not pass but that CSSB 217 be reported back to the 
         Senate with the recommendation that it do pass and be printed.  
         The motion carried with a vote of 10 ayes, 0 nays, 0 present 
         not voting, and 1 absent.  
         
         There being no further business, at 9:50 am Senator Sibley 
         moved that the Committee stand recessed subject to the call of 
         the Chair.  Without objection, it was so ordered.  
         
         
         __________________________
         Senator David Sibley, Chairman
         
         __________________________
         Barbara Henderson, Clerk