By Thompson                                           H.B. No. 1853
         76R5736 DRH-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the fee charged by a county for holding and investing
 1-3     noncounty funds.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter Z, Chapter 130, Local Government Code,
 1-6     is amended by adding Section 130.910 to read as follows:
 1-7           Sec. 130.910.  COUNTY EXPENSES PAID FROM INTEREST.  (a)
 1-8     Unless otherwise provided by a contract between the county officer
 1-9     and the owner of the funds, a county officer who holds funds that
1-10     are not county funds for more than 30 days shall, on disbursing the
1-11     funds to the owner, withhold an amount equal to 10 percent of any
1-12     interest earned on the funds while held by the county officer to
1-13     compensate the county for the accounting and administrative
1-14     expenses  of maintaining the funds.  Money withheld under this
1-15     subsection shall be deposited in the county general fund.
1-16           (b)  To the extent of any conflict between this section and
1-17     another provision of law that requires or prohibits the charging of
1-18     a fee by a county officer for the holding of funds that are not
1-19     county funds, the other provision controls.
1-20           SECTION 2.  This Act takes effect September 1, 1999, and
1-21     applies to all noncounty funds held by a county officer on or after
1-22     that date.
1-23           SECTION 3.  The importance of this legislation and the
1-24     crowded condition of the calendars in both houses create an
 2-1     emergency and an imperative public necessity that the
 2-2     constitutional rule requiring bills to be read on three several
 2-3     days in each house be suspended, and this rule is hereby suspended.