1-1     By:  Goolsby (Senate Sponsor - Shapiro)                H.B. No. 550
 1-2           (In the Senate - Received from the House May 5, 1999;
 1-3     May 6, 1999, read first time and referred to Committee on Finance;
 1-4     May 14, 1999, reported favorably by the following vote:  Yeas 7,
 1-5     Nays 0; May 14, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the eligibility of certain persons to enter into a
 1-9     lottery contract or to purchase a lottery ticket or receive a
1-10     lottery prize.
1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12           SECTION 1.  Section 466.103, Government Code, is amended to
1-13     read as follows:
1-14           Sec. 466.103.  PROHIBITED CONTRACTS.  (a)  Except as provided
1-15     by Subsection (b), the [The] executive director may not award a
1-16     contract for the purchase or lease of facilities, goods, or
1-17     services related to lottery operations to a person who would be
1-18     denied a license as a sales agent under Section 466.155.
1-19           (b)  Subsection (a) does not prohibit the executive director
1-20     from awarding a contract to a person for the purpose of conducting
1-21     a promotional event.
1-22           SECTION 2.  Section 466.254, Government Code, is amended to
1-23     read as follows:
1-24           Sec. 466.254.  PURCHASE OF TICKET BY OR PAYMENT OF PRIZE TO
1-25     CERTAIN PERSONS.  A person may not purchase a ticket or claim,
1-26     collect, or receive a lottery prize or a share of a lottery prize
1-27     if the person is:
1-28                 (1)  a member, officer, or employee of a person that
1-29     has a contract with the commission to sell or lease goods or
1-30     services used in the operation of the lottery, and the member,
1-31     officer, or employee is directly involved in selling or leasing the
1-32     goods or performing the services that are the subject of the
1-33     contract with the commission;
1-34                 (2)  a member, officer, or employee of a lottery
1-35     operator;
1-36                 (3)  an officer or employee of the commission; or
1-37                 (4)  a spouse, child, brother, sister, or parent
1-38     residing as a member of the same household in the principal place
1-39     of residence of a person described by Subdivision (1), (2), or (3).
1-40           SECTION 3.  This Act takes effect September 1, 1999, and
1-41     applies only to a contract awarded, ticket purchased, or prize
1-42     awarded on or after the effective date of this Act.  A contract
1-43     awarded, ticket purchased, or prize awarded before the effective
1-44     date of this Act is governed by the law as it existed immediately
1-45     before the effective date of this Act, and that law is continued in
1-46     effect for that purpose.
1-47           SECTION 4.  The importance of this legislation and the
1-48     crowded condition of the calendars in both houses create an
1-49     emergency and an imperative public necessity that the
1-50     constitutional rule requiring bills to be read on three several
1-51     days in each house be suspended, and this rule is hereby suspended.
1-52                                  * * * * *