1-1                                   AN ACT
 1-2     relating to the penalty imposed on certain persons who fail to
 1-3     timely pay or deliver abandoned property.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 74.706, Property Code, is amended to read
 1-6     as follows:
 1-7           Sec. 74.706.  PENALTY.  (a) A penalty equal to five percent
 1-8     of the value of the property due shall be imposed on a holder who
 1-9     fails to pay or deliver property within the time prescribed by this
1-10     chapter.  If a holder fails to pay or deliver property before the
1-11     31st day after the date the property is due, an additional penalty
1-12     equal to five percent of the value of the property due shall be
1-13     imposed.
1-14           (b)  For purposes of Subsection (a), "holder" does not
1-15     include a local governmental entity or an officer or employee of a
1-16     local governmental entity who is performing the officer's or
1-17     employee's official duties for the local governmental entity.
1-18           SECTION 2.  The change in law made by this Act applies only
1-19     to conduct occurring on or after the effective date of this Act.
1-20     For purposes of this section, conduct occurs before the effective
1-21     date of this Act if any element of the conduct giving rise to the
1-22     penalty occurs before that date.  Conduct occurring before the
1-23     effective date of this Act is covered by the law in effect when the
1-24     conduct occurred, and the former law is continued in effect for
 2-1     that purpose.
 2-2           SECTION 3.  This Act takes effect September 1, 1999.
 2-3           SECTION 4.  The importance of this legislation and the
 2-4     crowded condition of the calendars in both houses create an
 2-5     emergency and an imperative public necessity that the
 2-6     constitutional rule requiring bills to be read on three several
 2-7     days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 1137 was passed by the House on April
         23, 1999, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 1137 was passed by the Senate on May
         26, 1999, by the following vote:  Yeas 30, Nays 0.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  _____________________
                            Date
                    _____________________
                          Governor