MINUTES 
          
                    SENATE INTERIM COMMITTEE ON STATE AFFAIRS 
                           Thursday, February 19, 1998 
                                     2:00 pm 
                         Capitol Extension, Room E1.028 
          
                                      ***** 
          
         Pursuant to a notice posted in accordance with Senate Rule  
         11.11, a public hearing of the Senate Interim Committee on  
         State Affairs was held on Thursday, February 19, 1998 in the  
         Capitol Extension, Room E1.028, at Austin, Texas.   
          
                                      ***** 
          
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Kenneth Armbrister 
         Senator David Cain                       
         Senator Robert Duncan 
         Senator Drew Nixon 
         Senator John Whitmire 
          
                                      ***** 
          
         The Chair called the meeting to order at 2:20 pm.  There being  
         a quorum present, the following business was transacted.   
          
         The following members arrived after the roll was called: None 
          
         The Chair explained the committee's proposed rules.  Senator  
         Whitmire moved adoption of the committee rules, without  
         objection, the motion prevailed. 
          
         The Chair explained Charge 1 and recognized Ms. Sheila  
         Beckett, Executive Director of the Employees Retirement System  
         to testify before the committee on policies and procedures of  
         the Employees Retirement System. 
          
         At 2:50 pm Senator Whitmire assumed the chair.   
          
         Comments and questions by the members followed. 
          
         At 2:55 pm Senator Armbrister resumed the chair.   
          
         The Chair recognized Mr. Charles Dunlap, Executive Director of  
         the Teachers Retirement System to testify before the committee  
         on policies and procedures of the Teachers Retirement System. 
          
         Comments and questions by the members followed. 
          
         The Chair explained Charge 2 and recognized Ms. Pam Perkins of  
  
         the Consumer Protection Division of the Attorney Generals  
         Office to testify before the committee on homeowners  
         associations in Texas. 
          
         Comments and questions by the members followed. 
          
         The Chair explained Charge 3 and recognized Mr. Bill Young, a  
         commercial general contractor, Mr.  Don Kuykendall, a  
         commercial sub-contractor and Mr. Ray Tonjes, a residential  
         homebuilder to testify before the committee on Charge 3. 
          
         Comments and questions by the members followed. 
          
         The Chair explained Charge 4 and recognized Mr. Don Ward,  
         Executive Director of the Texas Underground Facility  
         Notification Board and Mr. Steve Landon, Vice-Chairman of the  
         Texas Underground Facility Notification Board to testify  
         before the committee on the implementation of the Underground  
         Facility Damage Prevention and Safety Act. 
          
         Comments and questions by the members followed. 
          
         The Chair explained Charge 5 and recognized Mr. David Mattax,  
         Division Chief, Financial Litigation Division of the Attorney  
         Generals Office and Ms. Leslie Pettijohn, Consumer Credit  
         Commissioner to testify on the status of home equity lending  
         in Texas. 
          
         Comments and questions by the members followed. 
         There being no further business, at 6:25 pm Senator Armbrister  
         moved that the Committee stand recessed subject to the call of  
         the Chair.  Without objection, it was so ordered.   
          
         ______________________ 
         Senator Kenneth Armbrister, Chair 
          
         ______________________ 
         RuthAnn Nicholson, Clerk