By Isett                                              H.B. No. 3437
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to certain records required concerning and fees permitted
 1-3     in recovering abandoned personal property.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 74.103(b), Property Code, is amended to
 1-6     read as follows:
 1-7           (b)  The record must be kept for three [10] years from the
 1-8     date on which the property is reportable, regardless of whether the
 1-9     property is reported in the aggregate under Section 74.101.
1-10           SECTION 2.  Section 74.507, Property Code, is amended to read
1-11     as follows:
1-12           Sec. 74.507.  FEE FOR RECOVERY.  (a)  A person who informs a
1-13     potential claimant that the claimant may be entitled to claim
1-14     property that is reportable to the comptroller under this chapter,
1-15     that has been reported to the comptroller, or that is in the
1-16     possession of the comptroller may not contract to [for or] receive
1-17     from the claimant for services a percentage [an amount that exceeds
1-18     10 percent] of the value of any [the] property recovered, but may
1-19     contract to receive an amount specifically stated in the contract
1-20     for recovery of property.  If the property involved is mineral
1-21     proceeds, the amount for services may not include a portion of the
 2-1     underlying minerals or any production payment, overriding royalty,
 2-2     or similar payment.
 2-3           (b)  The person who informs a potential claimant and by
 2-4     contract or other written agreement is to receive a specified fee
 2-5     [percentage of the value of the property] may not file or receive a
 2-6     form to claim or act on behalf of a claimant.
 2-7           SECTION 3.  (a)  Section 74.103(b), Property Code, as amended
 2-8     by this Act, applies to a record required to be kept under that
 2-9     section regardless of the date on which the property was
2-10     reportable.
2-11           (b)  Section 74.507, Property Code, as amended by this Act,
2-12     applies only to a contract concerning fees for the recovery of
2-13     abandoned personal property entered into on or after the effective
2-14     date of this Act.  A contract concerning fees for the recovery of
2-15     abandoned personal property entered into before the effective date
2-16     of this Act is governed by the law in effect on the date the
2-17     contract was entered into, and that law is continued in effect for
2-18     that purpose.
2-19           SECTION 4.  This Act takes effect September 1, 1999.
2-20           SECTION 5.  The importance of this legislation and the
2-21     crowded condition of the calendars in both houses create an
2-22     emergency and an imperative public necessity that the
2-23     constitutional rule requiring bills to be read on three several
2-24     days in each house be suspended, and this rule is hereby suspended.