SRC-JBJ S.B. 1706 76(R)   BILL ANALYSIS


Senate Research Center   S.B. 1706
By: Ellis
Jurisprudence
6/21/1999
As Filed


DIGEST 

Currently, Chapter 117E, Local Government Code, places several restrictions
regarding registry funds on the Harris County clerk.  The clerk does not
have authorization to place registry funds in "separate accounts" which may
provide higher yields, to provide for a fund transfer without a court
order, or to allow a payee to receive a disbursement by electronic
transfer.  Removing the restrictions would provide a more efficient court
registry and allow more opportunities for registry funds.  The proposed
changes only affect counties with a population over 2.4 million.  No other
county meets that population requirement.  S.B. 1706 will amend the
operation of funds in counties with a population over 2.4 million. 

PURPOSE

As engrossed, S.B. 1706 amends the operation of funds in certain courts.

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 Section 117.112, Local Government Code, to apply this
subchapter to certain funds paid to a clerk, rather than a district clerk.
Makes conforming changes. 

SECTION 2.  Amends Section 117.119, Local Government Code, to require money
paid into the registry of a court to be deposited by a clerk, rather than
the district clerk. 

SECTION 3.  Amends Section 117.120, Local Government Code, to require a
clerk, rather than the district clerk, to act only in a custodial capacity. 

SECTION 4.  Amends Section 117.121, Local Government Code, to set forth
conditions in which an electronic funds transfer may occur.  Authorizes a
clerk to charge a reasonable fee for an electronic transfer from a registry
fund.  Makes conforming and nonsubstantive changes. 

SECTION 5.  Amends 117.122(b), Local Government Code, make conforming
changes.  

SECTION 6.  Amends Section 117.123(b), Local Government Code, to make
conforming and nonsubstantive changes. 

SECTION 7.  Amends Section 117.124, Local Government Code, as follows:

Sec. 117.124.  New heading:  LIABILITY OF CLERK.  Makes conforming changes.

SECTION 8.  Amends Chapter 117E, Local Government Code, by adding Section
117.125, as follows: 

Sec. 117.125.  TRANSFER OF MONEY.  Authorizes a clerk to transfer money
deposited in the fund into a separate account, in the absence of a contrary
order from a court having jurisdiction over the registry fund.  Requires a
clerk to transfer all money deposited in a registry fund under Section 887,
Texas Probate Code, into a separate account.  Sets forth required
conditions for the transfer of money under this section.  Provides that a
transfer of money into a separate account is exempt from requirements
prescribed by Section 117.121 for  disbursements from registry funds.
Provides that an investment of money transferred from a registry fund under
this section is subject to the limitations, policies, and standards of care
provided by Chapter 2256, Government Code. 

SECTION 9.  Emergency clause.
  Effective date: upon passage.