1-1     By:  Pitts (Senate Sponsor - Ellis)                   H.B. No. 2781
 1-2           (In the Senate - Received from the House May 13, 1999;
 1-3     May 13, 1999, read first time and referred to Committee on Economic
 1-4     Development; May 14, 1999, reported favorably by the following
 1-5     vote:  Yeas 4, Nays 0; May 14, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the definition of a qualified commercial loan.
 1-9           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-10           SECTION 1.  Article 1H.001(9), Title 79, Revised Statutes
1-11     (Article 5069-1H.001, Vernon's Texas Civil Statutes), is amended to
1-12     read as follows:
1-13                 (9)  "Qualified commercial loan" means:
1-14                       (A)  a commercial loan in which one or more
1-15     persons as part of the same transaction lends, advances, borrows,
1-16     or receives, or is obligated to  lend or advance or entitled to
1-17     borrow or receive, money or credit with an aggregate value [the
1-18     original principal amount] of $3,000,000 or more; or
1-19                       (B)  a renewal or extension of a commercial loan
1-20     described by Paragraph (A) [in the original principal amount of
1-21     $3,000,000 or more],  regardless of [whether] the principal amount
1-22     of the loan at the time of the [its] renewal or extension [is
1-23     $3,000,000 or more].
1-24           SECTION 2.  Section 306.001(9), Finance Code, is amended to
1-25     read as follows:
1-26                 (9)  "Qualified commercial loan" means:
1-27                       (A)  a commercial loan in which one or more
1-28     persons as part of the same transaction lends,  advances, borrows,
1-29     or receives, or is obligated to lend or advance or entitled to
1-30     borrow or receive, money or credit with an aggregate value [the
1-31     original principal amount] of $3 million or more; or
1-32                       (B)  a renewal or extension of a commercial loan
1-33     described by Paragraph (A) [in the original principal amount of $3
1-34     million or more], regardless of [whether] the principal amount of
1-35     the  loan at the time of the renewal or extension [when renewed or
1-36     extended is $3 million or more].
1-37           SECTION 3.  (a)  Section 1 of this Act takes effect
1-38     immediately on passage only if the Act of the 76th Legislature,
1-39     Regular Session, 1999, relating to nonsubstantive additions to and
1-40     corrections in enacted codes does not take effect.
1-41           (b)  Section 2 of this Act takes effect September 1, 1999,
1-42     only if the Act of the 76th Legislature, Regular Session, 1999,
1-43     relating to nonsubstantive additions to and corrections in enacted
1-44     codes takes effect.
1-45           SECTION 4.  The importance of this legislation and the
1-46     crowded condition of the calendars in both houses create an
1-47     emergency and an imperative public necessity that the
1-48     constitutional rule requiring bills to be read on three several
1-49     days in each house be suspended, and this rule is hereby suspended,
1-50     and that this Act take effect and be in force according to its
1-51     terms, and it is so enacted.
1-52                                  * * * * *