SRC-JXG H.B. 756 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 756
76R1327 CLG-DBy: Hartnett (Madla)
Economic Development
5/10/1999
Engrossed


DIGEST 

The Texas Non-Profit Corporation Act allows meetings of directors and
members to be held by telephone or similar communications equipment, if all
participants can hear each other.  H.B. 756 would allow corporations,
boards, or committee meetings of directors and members to be held by means
of video conferencing or the Internet. 

PURPOSE

As proposed, H.B. 756 allows meetings of directors and members of a
corporation, committee, or board to be held by means of telephone
conference or other remote communication technology. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Article 9.11, Article 1396-9.11, V.T.C.S. (Texas
Non-Profit Corporation Act), as follows: 

Art. 9.11.  New heading:  MEETINGS BY TELEPHONE CONFERENCE OR OTHER REMOTE
COMMUNICATIONS TECHNOLOGY.  Authorizes members of a corporation, members of
the board of directors of  a corporation, or members of any committee
designated by such board to participate in and hold a meeting of such
members, board, or committee by means of another suitable electronic
communication system, including video conferencing technology or the
Internet, only if each member entitled to participate in the meeting
consents to the meeting being held by means of that system; and the system
provides access to the meeting in a manner or using a method by which each
member participating in the meeting can communicate concurrently with each
other participant.  Requires participation in a meeting pursuant to this
Article to constitute presence in person at such meeting.  Makes conforming
changes. 

SECTION 2. Emergency clause.
           Effective date: upon passage.