HBA-RBT C.S.H.B. 2611 76(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.H.B. 2611
By: Greenberg
Elections
4/23/1999
Committee Report (Substituted)

BACKGROUND AND PURPOSE 

Currently, paper reports may be filed with the Ethics Commission.
Interested parties may only access the reports by traveling to the Ethics
Commission office in Austin. C.S.H.B. 2611 requires candidates and
officeholders to file reports with the Ethics Commission electronically
rather than on paper.   C.S.H.B. 2611 requires the Ethics Commission to
post electronically filed reports on the Internet, thereby making them
accessible to all interested parties without unusual expense.  This bill
does provide exemptions from the requirement to file electronically when
the candidate or officeholder does not receive or spend more than $20,000
and when they do not use a computer to maintain their list of contributions
and expenditures. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 254.036, Election Code, as follows:

Sec.  254.036.  FORM OF REPORT; AFFIDAVIT; MAILING OF FORMS.  (a) Provides
that each report filed under this chapter with an authority other than the
commission must be on a form prescribed by the Texas Ethics Commission
(commission).   

(b) Provides that each report filed under this chapter with the commission
must be filed by computer diskette, modem, or other means of electronic
transfer, using computer software provided by the commission or computer
software that meets commission specifications for a standard file format. 

(c) Authorizes a candidate, officeholder, or political committee that is
required to file reports with the commission to file reports that comply
with Subsection (a) if the candidate, officeholder, or campaign treasurer
of the committee files with the commission an affidavit stating that the
candidate, officeholder, or committee, an agent of the candidate,
officeholder, or committee, or a person with whom the candidate,
officeholder, or committee contracts does not use computer equipment to
solicit or acknowledge political contributions or to keep records of
political contribution, political expenditures, or persons making political
contributions to the candidate, officeholder, or committee. Provides that
an affidavit under this subsection must be filed with each report filed
under Subsection (a).  Provides that the affidavit must include a statement
and sets forth the contents of the statement. 

(d) Sets forth the circumstances in which a candidate, officeholder, or
political committee that is required to file reports with the commission,
other than a candidate for or a holder of a statewide office or a
specific-purpose committee for supporting or opposing such a candidate or
assisting such an officeholder,  may file reports that comply with
Subsection (a) if the candidate or committee does not accept political
contributions that in the aggregate exceed $20,000 or make political
expenditures that in the aggregate exceed $20,000 in a calendar year.
Requires a candidate, officeholder, or political committee that exceeds the
limit to file the report as required by Subsection(b) for any reporting
period during the calendar year in which the limit was exceeded, other than
a reporting period  that has ended on the date the limit is exceeded and
each reporting period during a calendar year subsequent to the calendar
year in which the limit is exceeded..  

(e) Authorizes a candidate for an office described by Section 252.005(5) or
a specificpurpose committee for supporting or opposing only candidates for
an office described by Section 252.005(5) or a measure described by Section
252.007(5) to file reports that comply with Subsection (a) 

(f) Authorizes an individual required to file a report with the commission
in connection with specified direct campaign expenditures to file a report
that complies with Subsection (a). 

(g) Authorizes a person required to file a report with the commission in
connection with the office of district judge, district attorney, or judge
of a multi county statutory county court to file reports that comply with
Subsection (a). 

(h) Provides that a report filed under this chapter is considered to be
under oath by the person required to file the report, and the person is
subject to prosecution regardless of the absence or a defect in the
affidavit. 

(i) Redesignated from Subsection (c).

(j) Redesignated from Subsection (d).

(k) Redesignated from Subjection (g).

SECTION 2.  Amends Subchapter B, Chapter 254, Election Code, by adding
Sections 254.0361 and 254.0362, as follows: 

Sec.  254.0361.  REQUIREMENTS FOR ELECTRONIC FILING SOFTWARE.  Sets forth
requirements for computer software provided or approved by the commission
for use under Section 254.036(b).  Requires the commission to conduct at
least one public hearing to discuss specifications for computer software
developed, purchased, or licensed for use under Section 254.036 before
determining the specifications.  Requires the commission to accept public
comments concerning the software specifications for at least 10 days. 

Sec.  254.0362.  USE OF PUBLICLY ACCESSIBLE COMPUTER TERMINAL FOR
PREPARATION OF REPORTS.  (a) Authorizes a person who is required to file
reports under this chapter to use a publicly accessible computer terminal
to prepare the reports.   

(b) Authorizes a public entity to prescribe reasonable restrictions on the
use of a publicly accessible computer terminal for preparation of reports
under this chapter, except that a public entity may not prohibit a person
from using a computer terminal for preparation of reports during the public
entity's regular business hours if the person requests to use the computer
terminal less than 48 hours before a reporting deadline to which the person
is subject.   

(c) Provides that this section does not require a public entity to proved a
person with consumable materials, including paper and computer diskettes,
in conjunction with the use of a publicly accessible computer terminal. 

(d) Prohibits an officeholder from using a computer issued to the
officeholder for official use to prepare a report under this title. 

(e) Defines "public entity" and "publicly accessible computer terminal."

SECTION 3.  Amends Subchapter B, Chapter 254, Election Code, by adding
Sections 254.0401 and 254.0402, as follows: 

 Sec.  254.0401.  AVAILABILITY OF ELECTRONIC REPORTS ON INTERNET.  Requires
the commission to make each report filed with the commission under Section
254.036(b) available to the public on the Internet within two days after
the report is filed.  Provides that this access to reports is in addition
to the public's access to the information through other means.  Requires
the commission to remove the address, except for city, state, and zip code,
of each person listed as having made a political contribution before
placing the report on the Internet.  Provides that the address information
removed must remain available on the report maintained in the commission's
office but may not be available electronically at that office. 

Sec.  254.0402.  PUBLIC INSPECTION OF REPORTS.  Prohibits the authority
with whom a report is filed under this chapter from requiring a person
examining the report to provide any information or identification.
Requires the commission to make information from reports filed with the
commission under this chapter available by electronic means including
providing access to computer terminals at the commission's office,
providing information on computer diskette for purchase at a reasonable
cost, and providing modem or other electronic access to the information. 

SECTION 4.  Effective date: September 1, 1999.

SECTION 5.  Makes application of Section 254.036, Election Code prospective
to January 1, 2000. Authorizes a person who is required to file a report
under Section 254.036(b) to file a report under Section 254.036(a) as
amended by this Act unless not later than January 1, 2000, the commission
has developed, purchased, or obtained a license to use computer software
that complies with Section 254.0361, Election Code, as added by this Act,
and that permits a person to electronically file a report under Chapter
254, Election Code, as required by Section 254.036, Election Code, as
amended by this Act, by using a publicly accessibly computer terminal, as
defined by Section 254.0362, Election Code, as added by this Act and the
commission has determined that the computer software has been sufficiently
tested and demonstrated to be reliable when used with a publicly accessible
computer terminal. 

SECTION 5.  Emergency clause.

COMPARISON OF ORIGINAL TO SUBSTITUTE

The substitute differs from the original in SECTION 1 by amending proposed
Section 254.036(c) by citing the campaign treasurer of the committee,
rather than the committee, as an entity that files with the Texas Ethics
Commission.  The substitute modifies Section 254.036(d), Election Code to
add Subdivisions (1) and (2) relating to reports which must be filed. 

The substitute differs from the original in SECTION 1 by modifying Section
254.036, Election Code to replace proposed Subsections (e) and (g) with new
text relating to authorizing certain persons to file reports under
Subsection (a). 

The substitute differs from the original in SECTION 1, Section 254.036,
Election Code, by redesignating proposed Subsection (g) of the original to
Subsection (f). 

The substitute differs from the original in SECTION 2 by adding Sections
254.0361 (Requirements for Electronic Filing Software) and 254.0362 (Use of
Publicly Accessible Computer Terminal for Preparation of Reports), Election
Code.  For a more complete analysis of these sections, please see the
Section-by-Section Analysis portion of this document. 

The substitute differs from the original by redesignating SECTION 2 of the
original as SECTION 3 of the substitute and amending it to add Section
254.0402 (Public Inspection of Reports), and Subsection (c) of Section
254.0401 and making conforming and nonsubstantive changes.  For a more
complete analysis of these sections, please see the Section-by-Section
Analysis portion of this document. 

The substitute differs from the original by redesignating SECTIONS 3-5 of
the original as SECTIONS 4-6 of the substitute.   
 
The substitute differs from the original in SECTION 5 by deleting proposed
Subsection (b), and adding new Subsections (b)-(d).  For a more complete
analysis of these new Subsections, please see the Section-by-Section
Analysis portion of this document.