By Wilson H.B. No. 3078
76R9228 T
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to a pilot project to create self directed semi
1-3 independent state agencies.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. PREAMBLE. (a) Several agencies of the State of
1-6 Texas regulate specific professions in the public interest. While
1-7 these licensing agencies perform important public functions, the
1-8 populations most directly affected by their activities, the members
1-9 of the professions, are small in comparison to the population of
1-10 the state. While these agencies may collect and remit the $200
1-11 professional fee to the State, their operations are supported by
1-12 examination, licensing and other fees paid by the professionals
1-13 they regulate.
1-14 (b) The State controls the activities of these licensing
1-15 agencies in many ways. The Governor appoints the Board members who
1-16 run these agencies. These agencies are subject to the Open
1-17 Meetings Act and the Open Records Act. The decisions of these
1-18 agencies are procedurally and substantively guided by the
1-19 Administrative Procedure Act, and ultimately the courts of the
1-20 State of Texas can review and reverse their decisions. All
1-21 contested cases brought by these agencies are tried before
1-22 Administrative Law Judges at the State Office of Administrative
1-23 Hearings. They are represented in the courts of the State of Texas
1-24 by the Attorney General. They are subject to sunset review, and
2-1 file annual reports with the governor. They are audited by the
2-2 State Auditor's Office and several are subject to the Internal
2-3 Auditing Act.
2-4 (c) In addition, the agencies do not have unfettered
2-5 discretion to raise funds from the public. The legislature has set
2-6 specific limits on the amounts that may be charged the regulated
2-7 profession for the services provided by the agency.
2-8 (d) These agencies perform functions vital to the interests
2-9 of the State and of its people. They regulate their respective
2-10 professions to ensure that persons holding professional licenses
2-11 meet the highest standards of competence and professionalism. The
2-12 public relies on these professionals for their expert judgment on
2-13 matters ranging from the soundness of public structures to the
2-14 financial solvency of a potential investment. The public has a
2-15 vital interest in maintaining competence and improving the quality
2-16 of the licensees of these agencies.
2-17 (e) At the same time, the controls on these licensing
2-18 agencies ensure that the functions of these agencies are carried
2-19 out efficiently and effectively. Texas has a number of semi
2-20 independent agencies that carry out the functions of the state in
2-21 other areas well and in the public interest with far fewer controls
2-22 than those enumerated above.
2-23 (f) Therefore, the legislature intends through this Act to
2-24 establish a pilot program to assess the practicality and efficiency
2-25 of changing certain professional and occupational licensing boards
2-26 to semi-independent self-directed status. The state agencies
2-27 involved in this pilot project have well-defined missions and
3-1 well-run Boards and administration. The pilot project will run for
3-2 a specified time and will expire if not renewed. If successful,
3-3 approximately 100 employees will be removed from the state payroll
3-4 and the administrative burden of state government will be reduced.
3-5 SECTION 2. NAME. This Act shall be known as the Self
3-6 Directed Semi Independent Project Act.
3-7 SECTION 3. SCOPE. (a) The following agencies shall be part
3-8 of the pilot project created by this Act:
3-9 (1) The Texas State Board of Public Accountancy,
3-10 created by the Public Accountancy Act of 1991,
3-11 Art. 41a-1 Tex. Rev. Civ. Stat.;
3-12 (2) The Texas Board of Professional Engineers, created
3-13 by the Texas Engineering Practice Act, Art. 3271a
3-14 Tex. Rev. Civ. Stat.;
3-15 (3) The Texas Board of Architectural Examiners,
3-16 created by Art. 249a, Tex. Rev. Civ. Stat.;
3-17 (4) The Texas Board of Tax Professional Examiners,
3-18 created by Art. 8885, Tex. Rev. Civ. Stat.;
3-19 (5) The Texas State Board of Professional Land
3-20 Surveying, created by Art. 5282c, Tex. Rev. Civ.
3-21 Stat.
3-22 (b) These agencies shall be called the "project agencies."
3-23 SECTION 3. PILOT PROJECT. (a) Notwithstanding any other
3-24 provision of law, each of the project agencies shall become self
3-25 directed and semi independent as specified in this Act.
3-26 (b) Each of the Project Agencies shall continue to have and
3-27 exercise the powers and duties allocated to it in its enabling
4-1 legislation, except as specifically amended herein.
4-2 (c) Each of the Project Agencies shall continue to be "state
4-3 agencies," as that term is defined in Section 2001.003(7), Tex.
4-4 Gov't Code.
4-5 (d) This Act shall be subject to Chapter 325, Tex. Gov't
4-6 Code. Unless continued in existence as provided by that chapter,
4-7 the Pilot Project and the amendments this Act makes to other
4-8 statutes shall expire by 2005.
4-9 SECTION 4. GENERAL DUTIES OF ALL PROJECT AGENCIES. (a) In
4-10 addition to the duties enumerated in the enabling legislation
4-11 specifically applicable to each of the project agencies shall
4-12 comply with this section.
4-13 (b) Budget. (1) Each Project Agency shall adopt a budget
4-14 annually using generally accepted accounting principles and this
4-15 budget shall be reviewed and approved only by the Project Agency's
4-16 governing Board notwithstanding any other provision of law,
4-17 including but not limited to the General Appropriations Act.
4-18 (2) Each Project Agency shall keep financial and
4-19 statistical information as necessary to disclose completely and
4-20 accurately the financial condition and operation of the Project
4-21 Agency.
4-22 (c) Audits. Nothing in this Act shall affect the duty of
4-23 the State auditor to audit public accounts. The State auditor
4-24 shall enter into a contract and schedule with the Project Agencies
4-25 to conduct these audits, including financial reports and
4-26 performance audits.
4-27 (d) Reporting Requirements. The Project Agencies shall
5-1 submit to the Legislature and the Governor by the first day of the
5-2 regular session of the Legislature a report describing all of its
5-3 activities in the previous biennium. This report shall include:
5-4 (1) an audit required by Subsection (b) of this
5-5 section;
5-6 (2) a financial report of the previous fiscal year;
5-7 (3) a description of any changes in licensing fees;
5-8 (4) a report on the number of exam candidates,
5-9 licensees, certificate holders, enforcement activities and any
5-10 changes in those figures; and
5-11 (5) a description of all new rules adopted or
5-12 repealed.
5-13 (e) Disposition of Moneys. (1) If provided in each Project
5-14 Agency's enabling legislation, the Project Agencies shall collect a
5-15 professional fee of $200 from each of its respective licensees
5-16 annually which shall be remitted to the State.
5-17 (2) All moneys other than the $200 professional fee
5-18 collected or received by a Project Agency shall be deposited into
5-19 an account in a depository institution insured by the Federal
5-20 Deposit Insurance Corporation selected by the Project Agency.
5-21 SECTION 5. GENERAL POWERS OF ALL PROJECT AGENCIES. (a) In
5-22 addition to the powers enumerated in each Project Agency's enabling
5-23 legislation, each Project Agency shall have the following powers.
5-24 (b) Ability to Contract. To carry out and promote the
5-25 objectives of this Act, the project agencies may enter into
5-26 contracts and do all other acts incidental to those contracts that
5-27 are necessary for the administration of their affairs and for the
6-1 attainment of their purposes. Provided however that any
6-2 indebtedness, liability, or obligation of the project agencies does
6-3 not:
6-4 (1) create a debt or other liability of the state or
6-5 any other entity other than the project agency; or
6-6 (2) create any personal liability on the part of the
6-7 members of the board of the project agencies or its employees.
6-8 (c) Property. The Project Agencies may:
6-9 (1) acquire by purchase, lease, gift or in any other
6-10 manner provided by law and maintain, use and operate any and all
6-11 property of any kind, real, personal or mixed, or any interest
6-12 therein, necessary or convenient to the exercise of the powers,
6-13 rights, privileges and functions;
6-14 (2) sell or otherwise dispose of any property of any
6-15 kind, real, personal or mixed, or any interest therein, which it
6-16 determines is not necessary or convenient to the exercise of the
6-17 powers, rights, privileges and functions;
6-18 (3) construct, extend, improve, maintain and
6-19 reconstruct, to cause to be constructed, extended, improved,
6-20 maintained and reconstructed, and to use and operate, any and all
6-21 facilities of any kind necessary or convenient to the exercise of
6-22 powers, rights, privileges and functions; and
6-23 (4) borrow money, if necessary or convenient to the
6-24 exercise of powers, rights, privileges and functions, for a period
6-25 not to exceed five years as may be authorized from time to time by
6-26 an affirmative vote of a two thirds majority of the project
6-27 agency's board.
7-1 (d) Capacity. Each of the project agencies may sue and be
7-2 sued in its own name, provided however that the office of the
7-3 attorney general shall represent the project agency in any
7-4 litigation.
7-5 (e) Subject to the limitations, if any, in the applicable
7-6 enabling legislation, each of the project agencies may set the
7-7 amount of fees by statute or rule necessary for the purpose of
7-8 carrying out the functions of that project agency.
7-9 SECTION 6. TRANSITION AND EFFECT OF TRANSITION TO
7-10 INDEPENDENT STATUS. (a) Start up. To provide a reasonable period
7-11 for each of the project agencies to establish themselves as semi
7-12 independent and self directed after the conclusion of the fiscal
7-13 year 1999, each of the project agencies shall be granted an amount
7-14 equal to each agency's appropriated amount for fiscal year 1999.
7-15 (b) Liability. The project agencies, their board members,
7-16 employees, agents and volunteers, shall have and/or shall continue
7-17 to have protection from liability under the respective enabling
7-18 legislations, the common law and/or the Civil Practices and
7-19 Remedies Code, Chapter 104.
7-20 (c) Open Government. Subject to the confidentiality
7-21 provisions of each of the project agencies' enabling legislation:
7-22 (1) meetings of the project agencies continue to be
7-23 subject to Chapter 551, TEX. GOV'T CODE; and
7-24 (2) records maintained by the project agencies
7-25 continue to be subject to Chapter 552, TEX. GOV'T CODE.
7-26 (d) Transfer of the project agencies listed in Section 2 to
7-27 independent status and the expiration of independent status shall
8-1 not act to cancel, suspend, or prevent:
8-2 (1) any debt owed to or by the project agency;
8-3 (2) any fine, tax, penalty, or obligation of any
8-4 party;
8-5 (3) any contract or other obligation of any party; or
8-6 (4) any action taken by the project agencies in
8-7 administration or enforcement of their duties.
8-8 (e) Title to all supplies, materials, records, equipment,
8-9 books, papers and facilities used by each project agency shall by
8-10 this Act be transferred to each respective project agency in fee
8-11 simple. Nothing in this Act shall have any effect on property
8-12 already owned by the project agencies. At its sole option, each
8-13 project agency may continue to occupy its current premises at the
8-14 rates prescribed by the General Services Commission for indirect
8-15 costs, bond debt service, for the duration of the pilot project.
8-16 (f) Membership in Employee Retirement System. All present
8-17 and future employees of the project agencies shall be members of
8-18 Employee Retirement System under Chapter 812.001, TEX. GOV'T CODE
8-19 and transition to independent status shall have no effect their
8-20 membership.
8-21 SECTION 7. AMENDMENTS TO THE PUBLIC ACCOUNTANCY ACT OF 1991.
8-22 (a) Section 7(a) and (b) of the Public Accountancy Act are amended
8-23 to read as follows:
8-24 (a) The fees received by the Board under this Act shall be
8-25 deposited in a depository institution at the direction of the Board
8-26 and may be used only for the administration of this Act.
8-27 (b) Section 7 (c) of the Public Accountancy Act is
9-1 relettered as Section 7(b).
9-2 (c) Section 22(b) of the Public Accountancy Act is repealed.
9-3 SECTION 8. AMENDMENTS TO THE ENGINEERING PRACTICE ACT.
9-4 Section 9 of the Engineering practice Act is amended to read as
9-5 follows:
9-6 Section 9. RECEIPTS AND DISBURSEMENTS. The Executive
9-7 Director of the Board shall receive and account for all moneys
9-8 derived under the provisions of the Act. The fees received by the
9-9 Board under this Act shall be deposited in a depositary institution
9-10 at direction of the Board and may be used only for the
9-11 administration of the Act and other duties authorized by law. The
9-12 Board shall employ an Executive Director who shall receive such
9-13 compensation as annually established by the Board. The Executive
9-14 Director shall employ such engineering administrative and clerical
9-15 staff or other assistants as are necessary for the proper
9-16 implementation of the Act and other duties authorized by law, and
9-17 may make expenditures from the depository institution consistent
9-18 with this purpose.
9-19 SECTION 9. AMENDMENTS TO ARTS. 249A, 249C, 249E, TEX. REV.
9-20 CIV. STAT. (a) Section 4(a) of Art. 249a, TEX. REV. CIV. STAT. is
9-21 amended to read as follows:
9-22 (a) The fees received by the Board under this Act shall be
9-23 deposited in a depository institution at the direction of the Board
9-24 and may be used only for the administration of this Act.
9-25 (b) Section 4A(b) and (c) Art. 249a, TEX. REV. CIV. STAT.
9-26 are repealed.
9-27 (c) Section 10(b) of Art. 249c, TEX. REV. CIV. STAT. is
10-1 amended to read as follows:
10-2 (b) The fees received by the Board under this article shall
10-3 be deposited in a depository institution at the direction of the
10-4 Board and may be used only for the administration of this article.
10-5 (d) Section 10(6) of Art. 249e, TEX. REV. CIV. STAT. is
10-6 amended to read as follows:
10-7 Sec. 6: Fund; Fees. (a) The fees received by the Board
10-8 under this article shall be deposited in a depository institution
10-9 at the direction of the Board and may be used only for the
10-10 administration of this article
10-11 (b) The Board shall set the following fees in amounts that
10-12 are reasonable and necessary to cover the costs of the
10-13 administration of this article.
10-14 (1) A registration application fee in an amount not to
10-15 exceed $100;
10-16 (2) An annual registration renewal fee in an amount
10-17 not to exceed $100;
10-18 (3) A reciprocal registration fee in an amount not to
10-19 exceed $100; and
10-20 (4) An examination fee.
10-21 (c) The Board may set fees for the following in amounts that
10-22 are reasonable and necessary to cover the costs of the
10-23 administration of this article:
10-24 (1) A duplicate registration certificate;
10-25 (2) A roster of registered interior designers;
10-26 (3) The restoration of a revoked or suspended
10-27 registration certificate; and
11-1 (4) Any other action of the Board involving an
11-2 administrative expense.
11-3 SECTION 10. AMENDMENTS TO ART. 8885, TEX. REV. CIV. STAT.
11-4 Section 8 of the Property Taxation Professional Certification Act
11-5 is amended to read as follows:
11-6 Sec. 8. RECEIPT AND ACCOUNTING OF MONEY: RECORD OF
11-7 PROCEEDINGS: ROSTER OF REGISTRANTS. The Executive Director of the
11-8 Board shall receive and account for all moneys derived under the
11-9 provisions of the Act. The fees received by the Board under this
11-10 Act shall be deposited in a depositary institution at the direction
11-11 of the Board and may be used only for the administration of the Act
11-12 and other duties authorized by law. The board shall keep an
11-13 accurate record of all proceedings, which shall be available to the
11-14 public at all times. The board shall also maintain a roster of all
11-15 persons registered with the Board showing their names, BTPA number,
11-16 place of employment and classification placed on file with the
11-17 Secretary of State. Copies of the roster shall be made available
11-18 to persons registered under this Act and to the public on request.
11-19 SECTION 11. AMENDMENTS TO ART. 5282c, TEX. REV. CIV. STAT.
11-20 (a) Section 10 of Art. 5282c is repealed.
11-21 (b) Section 13 of Art. 5282c is amended to read as follows:
11-22 Section 13. RECEIPTS AND DISBURSEMENTS. The director of the
11-23 Board shall receive and account for all fees received under the
11-24 provisions of this Act and shall deposit these funds in a
11-25 depository institution at the direction of the Board to be used
11-26 only for the administration of this Act.
11-27 (c) Section 23B(c) of Art 52.82c is repealed.
12-1 SECTION 12. This Act takes effect September 1, 1999.
12-2 SECTION 13. The importance of this legislation and the
12-3 crowded condition of the calendars in both houses create an
12-4 emergency and an imperative public necessity that the
12-5 constitutional rule requiring bills to be read on three several
12-6 days in each house be suspended, and this rule is hereby suspended.