1-1     By:  Hinojosa, et al. (Senate Sponsor - Whitmire)     H.B. No. 1876
 1-2           (In the Senate - Received from the House April 29, 1999;
 1-3     April 30, 1999, read first time and referred to Committee on
 1-4     Criminal Justice; May 11, 1999, reported favorably by the following
 1-5     vote:  Yeas 4, Nays 3; May 11, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to theft of or tampering with multichannel video or
 1-9     information services; providing penalties.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Section 31.12, Penal Code, is amended to read as
1-12     follows:
1-13           Sec. 31.12.  THEFT OF OR TAMPERING WITH MULTICHANNEL VIDEO OR
1-14     INFORMATION SERVICES [UNAUTHORIZED USE OF TELEVISION DECODING AND
1-15     INTERCEPTION DEVICE OR CABLE DESCRAMBLING, DECODING, OR
1-16     INTERCEPTION DEVICE].  (a)  A person commits an offense if, [with
1-17     the intent to intercept or decode a transmission by a cable
1-18     television service] without the authorization of the multichannel
1-19     video or information services provider [of the  service], the
1-20     person intentionally or knowingly:
1-21                 (1)  makes or maintains a connection, whether
1-22     physically, electrically, electronically, or inductively, to:
1-23                       (A)  a cable, wire, or other component of or
1-24     media attached to a multichannel video or information services
1-25     system; or
1-26                       (B)  a television set, videotape recorder, or
1-27     other receiver attached to a multichannel video or information
1-28     system;
1-29                 (2)  attaches, causes to be attached, or maintains the
1-30     attachment of a device to:
1-31                       (A)  a cable, wire, or other component of or
1-32     media attached to a multichannel video or information services
1-33     system; or
1-34                       (B)  a television set, videotape recorder, or
1-35     other receiver attached to a multichannel video or information
1-36     services system;
1-37                 (3)  tampers with, modifies, or maintains a
1-38     modification to a device installed by a multichannel video or
1-39     information services provider; or
1-40                 (4)  tampers with, modifies, or maintains a
1-41     modification to an access device or uses that access device or any
1-42     unauthorized access device to obtain services from a multichannel
1-43     video or information services provider [attaches to, causes to be
1-44     attached to, or incorporates in a television set, videotape
1-45     recorder, or other equipment designed to receive a television
1-46     transmission a device that intercepts and decodes the
1-47     transmission].
1-48           (b)  [A person commits an offense if, with the intent to
1-49     intercept, descramble, or decode a cable television service and
1-50     without the authorization of the provider of the service, the
1-51     person intentionally or knowingly:]
1-52                 [(1)  makes or maintains an unauthorized cable
1-53     connection or otherwise intercepts cable television service];
1-54                 [(2)  purchases, possesses, attaches to, causes to be
1-55     attached to, maintains an attachment to, or incorporates in a
1-56     television set, videotape recorder, other equipment designed to
1-57     receive a television transmission, or equipment of a cable
1-58     television system a device that intercepts, descrambles, or decodes
1-59     the service; or]
1-60                 [(3)  tampers with, changes, or modifies the equipment
1-61     of a cable television system.]
1-62           [(c)]  In this section:
1-63                 (1)  "Access device," "connection," and "device" mean
1-64     an access device, connection, or ["Cable television service" means
 2-1     a service provided by or through a facility of a cable television
 2-2     system, closed circuit coaxial cable communication system, or
 2-3     microwave or similar transmission service used in connection with a
 2-4     cable television system.]
 2-5                 [(2)  "Device" means a] device wholly or partly
 2-6     designed to make intelligible an encrypted, encoded, scrambled, or
 2-7     other nonstandard signal carried by a multichannel video or
 2-8     information services provider [other than a nondecoding or
 2-9     nondescrambling channel frequency converter or television receiver
2-10     type-accepted by the Federal Communications Commission].
2-11                 (2)  "Encrypted, encoded, scrambled, or other
2-12     nonstandard signal" means any type of signal or transmission not
2-13     intended to produce an intelligible program or service without the
2-14     use of a device, signal, or information provided by a multichannel
2-15     video or information services provider.
2-16                 (3)  "Multichannel video or information services
2-17     provider" means a licensed cable television system, video dialtone
2-18     system, multichannel multipoint distribution services system,
2-19     direct broadcast satellite system, or other system providing video
2-20     or information services that are distributed by cable, wire, radio
2-21     frequency, or other media.
2-22           (c) [(d)  If an unauthorized device capable of or designed to
2-23     intercept, descramble, or decode a cable television service is
2-24     present on the premises or property occupied and used by a person,
2-25     it is presumed that the person intentionally or knowingly used the
2-26     device to intercept, descramble, or decode a transmission or a
2-27     service.  If an unauthorized cable television connection is present
2-28     on the premises or property occupied and used by a person, it is
2-29     presumed that the person intentionally or knowingly used the
2-30     connection to intercept cable television service.  If equipment of
2-31     a cable television system that has been tampered with, changed, or
2-32     modified is present on the premises or property occupied and used
2-33     by a person, it is presumed that the person intentionally or
2-34     knowingly used the equipment to intercept, descramble, or decode a
2-35     cable television service.]
2-36           [(e)  The presumptions created by Subsection (d) do not apply
2-37     if the person accused shows by a preponderance of the evidence that
2-38     the presence of the unauthorized device or connection, or the
2-39     tampering, change, or modification of the equipment of the cable
2-40     television system, may be attributed to the conduct of another.]
2-41           [(f)  The presumptions created by Subsection (d) do not apply
2-42     to a telecommunications company that provides local or long
2-43     distance communications services and uses equipment described by
2-44     that subsection in the normal course of its business.]
2-45           [(g)]  This section does not prohibit the manufacture,
2-46     distribution, sale, or use of satellite receiving antennas that are
2-47     otherwise permitted by state or federal law.
2-48           (d) [(h)]  An offense under this section is a Class C [B]
2-49     misdemeanor unless it is shown on the trial of the offense that the
2-50     actor:
2-51                 (1)  has been previously convicted one time of an
2-52     offense under this section, in which event the offense is a Class B
2-53     misdemeanor, or convicted two or more times of an offense under
2-54     this section, in which event the offense is a Class A misdemeanor;
2-55     or
2-56                 (2)  committed the offense for remuneration, in which
2-57     event the offense [it] is a Class A misdemeanor, unless it is also
2-58     shown on the trial of the offense that the actor has been
2-59     previously convicted two or more times of an offense under this
2-60     section, in which event the offense is a Class A misdemeanor with a
2-61     minimum fine of $2,000 and a minimum term of confinement of 180
2-62     days.
2-63           (e)  For the purposes of this section, each connection,
2-64     attachment, modification, or act of tampering is a separate
2-65     offense.
2-66           SECTION 2.  Section 31.13, Penal Code, is amended to read as
2-67     follows:
2-68           Sec. 31.13.  MANUFACTURE, [SALE, OR] DISTRIBUTION, OR
2-69     ADVERTISEMENT OF MULTICHANNEL VIDEO OR INFORMATION SERVICES
 3-1     [TELEVISION DECODING AND INTERCEPTION DEVICE OR CABLE DESCRAMBLING,
 3-2     DECODING, OR INTERCEPTION] DEVICE.  (a)  A person commits an
 3-3     offense if the person for remuneration intentionally or knowingly
 3-4     manufactures, assembles, modifies, imports into the state, exports
 3-5     out of the state, distributes, advertises, or offers for sale
 3-6     [sells], with an intent to aid an offense under Section 31.12, a
 3-7     device, a kit or part for a device, or a plan for a system of
 3-8     components wholly or partly designed to make intelligible an
 3-9     encrypted, encoded, scrambled, or other nonstandard signal carried
3-10     or caused by a multichannel video or information services provider
3-11     [, or part for a device that intercepts, descrambles, or decodes a
3-12     cable television service].
3-13           (b)  In this section, ["cable television service" and]
3-14     "device," "encrypted, encoded, scrambled, or other nonstandard
3-15     signal," and "multichannel video or information services provider"
3-16     have the meanings assigned by Section 31.12.
3-17           (c)  This section does not prohibit the manufacture,
3-18     distribution, advertisement, offer for sale, or use of satellite
3-19     receiving antennas that are otherwise permitted by state or federal
3-20     law.
3-21           (d)  An offense under this section is a Class A misdemeanor.
3-22           SECTION 3.  Chapter 31, Penal Code, is amended by adding
3-23     Section 31.14 to read as follows:
3-24           Sec. 31.14.  SALE OR LEASE OF MULTICHANNEL VIDEO OR
3-25     INFORMATION SERVICES DEVICE.  (a)  A person commits an offense if
3-26     the person intentionally or knowingly:
3-27                 (1)  sells or leases a device, a kit or part for a
3-28     device, or a plan for a system of components wholly or partly
3-29     designed to make intelligible an encrypted, encoded, scrambled, or
3-30     other nonstandard signal carried or caused by a multichannel video
3-31     or information services provider; and
3-32                 (2)  fails to send the name and address of the buyer to
3-33     the comptroller by certified mail, return receipt requested, before
3-34     the 11th day after the date of the sale or lease.
3-35           (b)  In this section, "device," "encrypted, encoded,
3-36     scrambled, or other nonstandard signal," and "multichannel video or
3-37     information services provider" have the meanings assigned by
3-38     Section 31.12.
3-39           (c)  This section does not prohibit the sale or lease of
3-40     satellite receiving antennas that are otherwise permitted by state
3-41     or federal law without providing notice to the comptroller.
3-42           (d)  An offense under this section is a Class A misdemeanor.
3-43           SECTION 4.  Section 134.002(2), Civil Practice and Remedies
3-44     Code, is amended to read as follows:
3-45                 (2)  "Theft" means unlawfully appropriating property or
3-46     unlawfully obtaining services as described by Section 31.03, 31.04,
3-47     31.05, 31.06, 31.07, [or] 31.11, 31.12, 31.13, or 31.14, Penal
3-48     Code.
3-49           SECTION 5.  Subchapter E, Chapter 404, Government Code, is
3-50     amended by adding Section 404.074 to read as follows:
3-51           Sec. 404.074.  RECORDS REGARDING SALE OR LEASE OF
3-52     MULTICHANNEL VIDEO OR INFORMATION SERVICES.  The comptroller shall
3-53     maintain a central repository for information received by the
3-54     comptroller under Section 31.14, Penal Code.  Information
3-55     maintained by the comptroller under this section is subject to the
3-56     requirements of the open records law, Chapter 552, Government Code.
3-57           SECTION 6.  The change in law made by this Act applies only
3-58     to an offense committed on or after the effective date of this Act.
3-59     An offense committed before the effective date of this Act is
3-60     covered by the law in effect when the offense was committed, and
3-61     the former law is continued in effect for that purpose.  For
3-62     purposes of this section, an offense was committed before the
3-63     effective date of this Act if any element of the offense occurred
3-64     before that date.
3-65           SECTION 7.  This Act takes effect September 1, 1999.
3-66           SECTION 8.  The importance of this legislation and the
3-67     crowded condition of the calendars in both houses create an
3-68     emergency and an imperative public necessity that the
3-69     constitutional rule requiring bills to be read on three several
 4-1     days in each house be suspended, and this rule is hereby suspended.
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