By Hinojosa                                           H.B. No. 1480
         76R1847 MXM-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the certification of bail bondsmen by the Texas
 1-3     Department of Licensing and Regulation; providing a penalty.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.   Title 44, Revised Statutes, is amended by adding
 1-6     Article 2372p-4 to read as follows:
 1-7           Art. 2372p-4.  STATE CERTIFICATION OF BAIL BONDSMEN
 1-8           Sec. 1.  DEFINITIONS.  (a)  In this article:
 1-9                 (1)  "Commissioner" means the commissioner of licensing
1-10     and regulation.
1-11                 (2)  "Department" means the Texas Department of
1-12     Licensing and Regulation.
1-13                 (3)  "Person" includes an individual designated to act
1-14     as an agent of a corporation licensed to execute bail bonds for
1-15     compensation.
1-16           (b)  In addition to the definitions under Subsection (a)  of
1-17     this section, the definitions adopted under Section 2, Chapter 550,
1-18     Acts of the 63rd Legislature, Regular Session, 1973 (Article
1-19     2372p-3, Vernon's Texas Civil Statutes), apply to this article.
1-20           Sec. 2.  CERTIFICATE OF REGISTRATION REQUIRED; PENALTY.  (a)
1-21     In addition to any other legal requirements, a person may not
1-22     execute a bail bond in any county of this state as a surety for
1-23     compensation unless the person holds a certificate of registration
1-24     issued under this article.  A person is entitled to a certificate
 2-1     of registration if the person:
 2-2                 (1)  passes the certification examination required
 2-3     under Section 4 of this article; and
 2-4                 (2)  pays all required fees.
 2-5           (b)  Notwithstanding Subsection (a)  of this section, a
 2-6     person is exempt from the certification examination requirement if
 2-7     the person:
 2-8                 (1)  holds a license under Chapter 550, Acts of the
 2-9     63rd Legislature, Regular Session, 1973 (Article 2372p-3, Vernon's
2-10     Texas Civil Statutes), that was issued before September 1, 1999;
2-11                 (2)  held a license under Chapter 550, Acts of the 63rd
2-12     Legislature, Regular Session, 1973 (Article 2372p-3, Vernon's Texas
2-13     Civil Statutes), that was issued before September 1, 1997, if:
2-14                       (A)  that license was never revoked or suspended
2-15     before the license expired; and
2-16                       (B)  renewal of that license was not refused by
2-17     the department; or
2-18                 (3)  acted as a surety on a bond for compensation in a
2-19     county in which a license to operate as a bondsman was not required
2-20     before September 1, 1999.
2-21           (c)  A person who is exempt under Subsection (b) of this
2-22     section may obtain a certificate of registration from the
2-23     department by filing a sworn statement that demonstrates to the
2-24     satisfaction of the commissioner that the person is eligible for
2-25     the exemption claimed.
2-26           (d)  A certificate of registration issued under this article
2-27     expires on the second anniversary of the date of issuance of the
 3-1     certificate.  The certificate is not transferable.
 3-2           (e)  A person commits an offense if the person operates as a
 3-3     bondsman without a certificate of registration issued under this
 3-4     article.  An offense under this subsection is a Class A
 3-5     misdemeanor.
 3-6           Sec. 3.  EXEMPTION.  This article does not apply to a person
 3-7     licensed to practice law by the Supreme Court of Texas.
 3-8           Sec. 4.  CERTIFICATION EXAMINATION; REQUIREMENTS.  (a)
 3-9     Except as otherwise provided by this article, each person who
3-10     desires to operate as a bondsman in this state must pass the
3-11     certification examination required by this section.
3-12           (b)  The certification examination must cover topics involved
3-13     in the operation of a bail bond business.  The department shall
3-14     approve, administer, and grade the examination.
3-15           (c)  An applicant shall pay a $100 examination fee to the
3-16     department to cover the costs of administering the examination.
3-17           (d)  The department shall offer the examination at least
3-18     semiannually.
3-19           (e)  A person who fails the examination is entitled to take a
3-20     subsequent examination on the payment of an additional examination
3-21     fee.  However, the person must wait a minimum of three months
3-22     before taking a subsequent examination.  If a person fails the
3-23     examination twice, the person may not retake the examination before
3-24     the anniversary of the date of the second examination.
3-25           (f)  A dispute concerning the grading of an examination is
3-26     governed by the contested case provisions of Chapter 2001,
3-27     Government Code.    Appeal of a decision regarding the dispute to a
 4-1     district court may be made as provided by Section 11, Chapter 550,
 4-2     Acts of the 63rd Legislature, Regular Session, 1973 (Article
 4-3     2372p-3, Vernon's Texas Civil Statutes).
 4-4           Sec. 5.  CONTINUING EDUCATION REQUIREMENTS.  (a)  To renew
 4-5     the certificate of registration, a bondsman must annually complete
 4-6     five hours of continuing education courses through a program
 4-7     qualified under Subsection (b) of this section.
 4-8           (b)  The department shall certify qualified continuing
 4-9     education programs.  To be eligible for certification, the course
4-10     offered by a program must cover all major topics involved in the
4-11     operation of a bail bond business.
4-12           (c)  A fee charged by a provider of continuing education
4-13     shall be retained by the provider to cover the cost of presenting
4-14     the program.  The fee must be paid in full by the participant and
4-15     may not be paid for or waived by the provider.
4-16           (d)  Each provider of continuing education shall provide the
4-17     department with a list that:
4-18                 (1)  identifies each person who participated in the
4-19     continuing education program;
4-20                 (2)  states the number of hours of instruction actually
4-21     attended by that participant; and
4-22                 (3)  states the fee paid by the participant for the
4-23     continuing education program.
4-24           Sec. 6.  CERTIFICATE RENEWAL.   A person who holds a
4-25     certificate of registration issued under this article is entitled
4-26     to renew the certificate if the person:
4-27                 (1)  demonstrates to the satisfaction of the
 5-1     commissioner compliance with the continuing education requirements
 5-2     imposed under Section 5 of this article;
 5-3                 (2)  pays any required renewal fee; and
 5-4                 (3)  complies with any other requirements for renewal.
 5-5           Sec. 7.  ADVISORY COUNCIL.  (a)  The Bail Bondsman Advisory
 5-6     Council is established as an advisory committee to the department.
 5-7           (b)  The advisory council is composed of nine members
 5-8     appointed by the commissioner as provided by this section.
 5-9           (c)  The commissioner shall appoint the members as follows:
5-10                 (1)  one member shall be an assistant attorney general
5-11     for this state;
5-12                 (2)  one member shall be an active judge in this state
5-13     with experience in criminal law matters;
5-14                 (3)  one member shall be a member of the legislature of
5-15     this state;
5-16                 (4)  one member shall be an elected prosecuting
5-17     attorney in this state;
5-18                 (5)  one member shall be a sheriff in this state;
5-19                 (6)  two members shall be individuals each of whom is
5-20     licensed as an agent for a corporation that acts as a surety and is
5-21     not licensed as a bondsman; and
5-22                 (7)  two members shall be individuals each of whom is
5-23     licensed to execute bail bonds as a noncorporate surety.
5-24           (d)  A member of the advisory council serves a two-year term
5-25     or until the member's successor is appointed.  A member who is a
5-26     public official serves for two years or until the member leaves the
5-27     position that qualifies the member for service.
 6-1           (e)  A member of the advisory council is not entitled to
 6-2     compensation for service on the committee but is entitled to
 6-3     reimbursement for reasonable travel expenses at the rate provided
 6-4     for state employees in the General Appropriations Act.
 6-5           (f)  The advisory council shall:
 6-6                 (1)  advise the commissioner on the contents of the
 6-7     certification examination; and
 6-8                 (2)  assist the department in the evaluation of
 6-9     continuing education programs.
6-10           (g)  The advisory council may:
6-11                 (1)  recommend standards for continuing education
6-12     programs, including standards relating to the qualifications of
6-13     program providers and instructors, and the level of program fees;
6-14                 (2)  recommend topics to be covered in a continuing
6-15     education course; and
6-16                 (3)  propose rules for adoption by the commissioner to
6-17     implement this article.
6-18           (h)  The advisory council is not subject to Chapter 2110,
6-19     Government Code.
6-20           SECTION 2.  (a)  Except as otherwise provided by this
6-21     section, this Act takes effect September 1, 1999.
6-22           (b)  A person is not required to hold a certificate of
6-23     registration issued under Article 2372p-4, Revised Statutes, as
6-24     added by this Act, until January 1, 2000.
6-25           (c)  The commissioner of licensing and regulation shall adopt
6-26     rules as necessary to implement Article 2372p-4, Revised Statutes,
6-27     as added by this Act, not later than December 1, 1999.                    
 7-1           (d)  A person who, on September 1, 1999, holds a license
 7-2     issued by a county bail bond board under Chapter 550, Acts of the
 7-3     63rd Legislature, Regular Session, 1973 (Article 2372p-3, Vernon's
 7-4     Texas Civil Statutes), and receives a certificate of registration
 7-5     under Article 2372p-4, Revised Statutes, as added by this Act,
 7-6     without compliance with the examination requirements imposed under
 7-7     that article must comply with the continuing education requirements
 7-8     imposed under that article not later than September 1, 2000.
 7-9           SECTION 3.   The importance of this legislation and the
7-10     crowded condition of the calendars in both houses create an
7-11     emergency and an imperative public necessity that the
7-12     constitutional rule requiring bills to be read on three several
7-13     days in each house be suspended, and this rule is hereby suspended.