By Thompson H.B. No. 3305
76R3571 SMJ-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to money paid into the registry of courts in certain
1-3 populous counties.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 117.112, Local Government Code, is
1-6 amended to read as follows:
1-7 Sec. 117.112. MONEY AFFECTED. This subchapter applies to
1-8 the following kinds of money paid into the registry of any court
1-9 for [in] which a [the district] clerk is or may become responsible:
1-10 (1) funds of minors, lunatics, idiots, or non compos
1-11 mentis persons;
1-12 (2) funds tendered in connection with a bill in
1-13 interpleader; or
1-14 (3) any other funds.
1-15 SECTION 2. Section 117.119, Local Government Code, is
1-16 amended to read as follows:
1-17 Sec. 117.119. DEPOSIT OF FUNDS. Money paid into the
1-18 registry of the court shall be deposited by a [the district] clerk
1-19 into the registry fund at the special depository.
1-20 SECTION 3. Section 117.120, Local Government Code, is
1-21 amended to read as follows:
1-22 Sec. 117.120. CUSTODIANSHIP. A [The district] clerk shall
1-23 act only in a custodial capacity regarding the registry fund, is
1-24 not considered to be a trustee for the beneficial owner, and is not
2-1 considered to have assumed the duties, obligations, or liabilities
2-2 of a trustee for the beneficial owner.
2-3 SECTION 4. Section 117.121, Local Government Code, is
2-4 amended by amending Subsection (a) and adding Subsections (c) and
2-5 (d) to read as follows:
2-6 (a) Money may be paid from the registry fund only on checks
2-7 or drafts signed by a [the district] clerk on the written order of
2-8 the court with proper jurisdiction, except that the clerk may make
2-9 a payment without court order for unpaid court costs from a cash
2-10 bond deposited in connection with an appeal after the appellate
2-11 court issues its mandate in the [such] appeal if the costs remain
2-12 unpaid for 45 days after the mandate is issued.
2-13 (c) Notwithstanding Subsections (a) and (b), a disbursement
2-14 under an order of a court in which registry funds have been
2-15 deposited may be made by electronic transfer if:
2-16 (1) the designated recipient of the money submits to a
2-17 clerk a written request for the transfer;
2-18 (2) the clerk gives written approval for the transfer;
2-19 and
2-20 (3) a county auditor countersigns the approval.
2-21 (d) A clerk may charge a reasonable fee, subject to the
2-22 approval of the recipient of the money, for an electronic transfer
2-23 of a disbursement from a registry fund.
2-24 SECTION 5. Section 117.122(b), Local Government Code, is
2-25 amended to read as follows:
2-26 (b) For each withdrawal, a [the district] clerk shall pay
2-27 out the original amount deposited in the registry of the court and
3-1 90 percent of the interest earned on that amount at the time and in
3-2 the manner directed by the court with proper jurisdiction.
3-3 SECTION 6. Section 117.123(b), Local Government Code, is
3-4 amended to read as follows:
3-5 (b) A written report of the audit shall be delivered to the
3-6 county judge, each county commissioner, and a [the district] clerk
3-7 within 90 days after the last day of the fiscal year. A copy of
3-8 the audit shall be kept at the clerk's office [of the district
3-9 clerk] and shall be open to inspection by any interested person [or
3-10 persons] during normal office hours. The cost of the audit shall
3-11 be paid by the county.
3-12 SECTION 7. Section 117.124, Local Government Code, is
3-13 amended to read as follows:
3-14 Sec. 117.124. LIABILITY OF [DISTRICT] CLERK. (a) A
3-15 [district] clerk is not responsible for:
3-16 (1) a loss of funds resulting from the failure or
3-17 negligence of a depository; or
3-18 (2) the safety of funds after deposit in a depository
3-19 selected under this subchapter.
3-20 (b) A [district] clerk is responsible for:
3-21 (1) a loss of funds resulting from the clerk's
3-22 official misconduct, negligence, or misappropriation of the funds;
3-23 and
3-24 (2) the safety of funds before deposit in a depository
3-25 selected under this subchapter.
3-26 SECTION 8. Subchapter E, Chapter 117, Local Government Code,
3-27 is amended by adding Section 117.125 to read as follows:
4-1 Sec. 117.125. TRANSFER OF MONEY. (a) In the absence of a
4-2 contrary order from a court having jurisdiction over the registry
4-3 fund, a clerk may transfer money deposited in the fund into a
4-4 separate account.
4-5 (b) A clerk shall transfer all money deposited in a registry
4-6 fund under Section 887, Texas Probate Code, into a separate
4-7 account.
4-8 (c) Money transferred into a separate account under this
4-9 section must be:
4-10 (1) transferred into an account authorized for
4-11 investment under Chapter 2256, Government Code, by a local
4-12 government or investment pool; and
4-13 (2) invested according to the investment officer
4-14 designated under Section 2256.005, Government Code, by the
4-15 investing entity of which the county is a member.
4-16 (d) A transfer of money into a separate account under this
4-17 section is exempt from the requirements prescribed by Section
4-18 117.121 for disbursements from registry funds.
4-19 (e) An investment of money transferred from a registry fund
4-20 under this section is subject to the limitations, policies, and
4-21 standards of care provided by Chapter 2256, Government Code.
4-22 SECTION 9. The importance of this legislation and the
4-23 crowded condition of the calendars in both houses create an
4-24 emergency and an imperative public necessity that the
4-25 constitutional rule requiring bills to be read on three several
4-26 days in each house be suspended, and this rule is hereby suspended,
4-27 and that this Act take effect and be in force from and after its
5-1 passage, and it is so enacted.