By Hilderbran H.B. No. 407
76R384 JMM-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to certain restrictions on the use of labor union dues;
1-3 providing penalties.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Chapter 101, Labor Code, is amended by adding
1-6 Subchapter H to read as follows:
1-7 SUBCHAPTER H. RESTRICTION ON USE OF LABOR UNION DUES
1-8 Sec. 101.401. DEFINITIONS. In this subchapter:
1-9 (1) "Expenditure for a political purpose" includes
1-10 money spent for issue advocacy, lobbying for legislation,
1-11 participating in social and political events, soliciting
1-12 contributions for political activities or candidates, political
1-13 communications to members, voter registration, voter education,
1-14 get-out-the-vote campaigns, and other political activities that do
1-15 not bear on the ratification or implementation of a collective
1-16 bargaining agreement.
1-17 (2) "Labor union" has the meaning assigned by Section
1-18 101.101.
1-19 Sec. 101.402. USE OF DUES FOR POLITICAL PURPOSES. (a) A
1-20 labor union may not:
1-21 (1) require a member to make an expenditure for a
1-22 political purpose as a condition of employment, a condition of
1-23 contract, or a condition of membership in the labor union;
1-24 (2) reward or offer a benefit to a member who makes an
2-1 expenditure for a political purpose; or
2-2 (3) penalize or otherwise harm a member who chooses
2-3 not to make an expenditure for a political purpose.
2-4 (b) A labor union may not use any portion of dues or other
2-5 fees paid by a member of the labor union to make an expenditure for
2-6 a political purpose unless the labor union has obtained the written
2-7 authorization of the member as provided by Section 101.403.
2-8 (c) A labor union that uses any portion of dues or other
2-9 fees paid by a member of the labor union to make an expenditure for
2-10 a political purpose shall maintain records for the expenditures
2-11 that comply with the requirements of Section 101.404.
2-12 Sec. 101.403. WRITTEN AUTHORIZATION. (a) A member of a
2-13 labor union may execute a written authorization that permits the
2-14 labor union to use a portion of dues or fees paid by the member to
2-15 make an expenditure for a political purpose. The authorization
2-16 must be voluntary, written, and executed before the date the
2-17 expenditure is made.
2-18 (b) An authorization made under this section must clearly
2-19 state that the member is not required to execute the authorization
2-20 and that the member agrees to allow dues or fees paid by the member
2-21 to be used for a political purpose.
2-22 (c) The authorization must be signed by the member and
2-23 state:
2-24 (1) the name of the member;
2-25 (2) the name of the labor union;
2-26 (3) the total amount of the member's dues or fees that
2-27 may be used for a political purpose;
3-1 (4) the nature of the political purpose for which the
3-2 expenditure is to be made;
3-3 (5) the period for which the authorization is valid;
3-4 and
3-5 (6) the statement required by Subsection (d).
3-6 (d) The authorization must contain the following statement
3-7 immediately above the signature line for the authorization:
3-8 "Signing this authorization permits the labor union
3-9 designated above to use dues or other fees paid by me for the
3-10 political purpose or purposes specified in this authorization.
3-11 Political purposes include money spent for issue advocacy, lobbying
3-12 for legislation, participating in social and political events,
3-13 soliciting contributions for political activities or candidates,
3-14 political communications to members, voter registration, voter
3-15 education, get-out-the-vote campaigns, and other political
3-16 activities that do not bear on the ratification or implementation
3-17 of a collective bargaining agreement. My signature on this
3-18 authorization is voluntary."
3-19 (e) The period for which an authorization executed under
3-20 this section is valid may not exceed one year. The authorization
3-21 may be revoked in writing by the member who executed the
3-22 authorization at any time.
3-23 Sec. 101.404. DUTY TO MAINTAIN RECORDS. (a) A labor union
3-24 that makes an expenditure for a political purpose shall maintain a
3-25 recordkeeping system that separates accounts for money spent for
3-26 collective bargaining activities from accounts for money spent for
3-27 a political purpose.
4-1 (b) The labor union shall make a detailed annual report of
4-2 each account available to each member of the labor union. The
4-3 annual report must include detailed information describing the
4-4 manner in which labor dues and other fees are included in money
4-5 spent for a political purpose.
4-6 (c) A labor union subject to this section shall maintain
4-7 each authorization executed under Section 101.403 by a member of
4-8 the labor union at least until the 10th anniversary of the date the
4-9 authorization is executed.
4-10 Sec. 101.405. POSTED NOTICE. An employer whose employees
4-11 are represented by a collective bargaining agreement shall post a
4-12 notice in conspicuous places in the employer's place of business
4-13 informing employees that a labor union that accepts payment of fees
4-14 or dues from an employee must secure from the employee prior,
4-15 voluntary, written authorization if any portion of the fees or dues
4-16 will be used for a political purpose.
4-17 Sec. 101.406. LIABILITY. (a) A labor union that violates
4-18 this subchapter is liable to an affected member for:
4-19 (1) actual damages in the amount of the dues or fees
4-20 accepted or spent in violation of this subchapter;
4-21 (2) interest on the damages described under
4-22 Subdivision (1);
4-23 (3) attorney's fees and court costs; and
4-24 (4) other appropriate equitable relief.
4-25 (b) An action under this section may not be commenced after
4-26 the second anniversary of the date the member knew or should have
4-27 known that dues or fees were accepted or spent in violation of this
5-1 subchapter.
5-2 (c) Venue for a suit under this section is in:
5-3 (1) the county in which the violation is alleged to
5-4 have occurred; or
5-5 (2) the county in which a defendant resides.
5-6 Sec. 101.407. CIVIL PENALTY. (a) A labor union that
5-7 violates this subchapter is liable for a civil penalty not to
5-8 exceed $1,000 for each violation.
5-9 (b) A suit to recover the civil penalty may be brought by
5-10 the attorney general or by a county, district, or criminal district
5-11 attorney.
5-12 (c) A civil penalty recovered under this section shall be
5-13 deposited:
5-14 (1) in the state treasury if the attorney general
5-15 brings the suit; or
5-16 (2) in the general fund of the county in which the
5-17 violation occurred if a district attorney, criminal district
5-18 attorney, or county attorney brings the suit.
5-19 Sec. 101.408. CRIMINAL OFFENSE. (a) An officer of a labor
5-20 union commits an offense if the officer violates this subchapter.
5-21 (b) An offense under this section is a Class B misdemeanor.
5-22 SECTION 2. This Act takes effect January 1, 2000.
5-23 SECTION 3. The importance of this legislation and the
5-24 crowded condition of the calendars in both houses create an
5-25 emergency and an imperative public necessity that the
5-26 constitutional rule requiring bills to be read on three several
5-27 days in each house be suspended, and this rule is hereby suspended.