Amend HB 2530, engrossed printing, as follows:
      (1)  On page 1, between lines 18 and 19 insert the following:
            (4)  "Direct marketing" means using the United States
mail, facsimiles, electronic mail, or other methods for mass
distribution to individuals.
            (5)  "Conducting" a sweepstakes means distributing any
material that promotes a sweepstakes, that describes the prize or
prizes, that states one or more of the sweepstakes rules, that
includes any current or future opportunity to enter the
sweepstakes, or that provides any method for the recipient of the
material to obtain additional information about the sweepstakes.
            (6)  "Magazines" and "newpapers" mean publications that
                  (i)  Sell advertising space to companies other
than the publisher, its affiliates and the vendors for any of them,
and
                  (ii)  more than 75% of the total number of copies
distributed of each issue go to paid subscribers.
            (7)  "Catalogues" means promotional booklets listing
merchandise for sale that either
                  (i)  require customers to go to a physical
location to purchase the advertised items, or
                  (ii)  are published by a company that derives
more than 65% of its total gross revenue from sales occurring at
physical locations.
      (2)  On page 1, line 19 through line 21, strike "offering a
sweepstakes primarily through the mail, exclusive of mailed
newspapers and magazines," and substitute "conducting a sweepstakes
through direct marketing".
      (3)  On page 2, line 27 through page 3, line 9, strike
proposed sections 43.002(a)(6) and 43.002(a)(7) and substitute the
following and renumber subsequent subdivisions appropriately:
            (6)  offer through direct marketing any non-sweepstakes
prize, gift, premium, giveaway, skill contest, coupon, rebate, or
other incentive or promotion of any kind, other than a competitive
price on goods or services, during the 12 month period immediately
following the last date on which the person conducted a sweepstakes
through direct marketing;
      (4)  On page 5, line 6 through line 10, strike proposed
section 43.003 and substitute the following:
      Sec. 43.003.  APPLICATION OF CHAPTER; ACTS NOT PROHIBITED
      (a)  This chapter does not apply to any sweepstakes that is
conducted through advertisements or inserts in magazines,
newspapers or catalogues sent through the mail.
      (b)  This chapter does not apply to any charitable raffle
regulated by chapter 2002 of the Texas Occupations Code.
      (c)  This chapter does not apply to any sweepstakes regulated
by the Alcoholic Beverage Code.
      (d)  This chapter does not apply to any company that is an
air carrier subject to Title 49 of the United States Code.
      (e)  This chapter does not apply to a drawing for the
opportunity to participate in a hunting, fishing, or other
recreational event conducted by the Parks and Wildlife Department.
      (f)  If the one and only use of mail, facsimile, or
electronic mail is for consumers to return their entry forms to the
sponsor of the contest, then this chapter does not apply to that
sweepstakes.
      (g)  This chapter does not prohibit a sweepstakes sponsor
from making a statement in the official rules of the sweepstakes
describing the method to be used in choosing a winner, and this
chapter does not prohibit a sweepstakes sponsor from notifying the
winner after she or he has been selected.
      (h)  This chapter does not prohibit a sweepstakes sponsor,
after determining the winner, from obtaining an affidavit from the
person selected to verify that she or he is eligible to win the
prize and has complied with the rules of the sweepstakes.
      (i)  This chapter never prohibits any person from offering a
non-sweepstakes prize, gift, premium, giveaway, skill contest,
coupon, rebate, or other incentive or promotion of any kind so long
as that non-sweepstakes incentive or promotion is not conducted
through direct marketing.
      (j)  This chapter does not apply to a sweepstakes if the most
valuable prize to be awarded is less than $20,000.00.  The value of
a prize is measured by the highest number among its face value, its
fair market value and its financial present value.
      (5)  On page 5, line 27 through page 6, line 9, strike
proposed section 43.004(d) and substitute as follows:
      (d)  If any person either
                  (i)  provides names, addresses, fax numbers or
electronic mail addresses of any residents of this state so that
such information can be used in conducting a sweepstakes in
violation of this chapter, or
                  (ii)  provides any service connected with
mailing, sending by facsimile, electronic mail, or other similar
mass distribution any materials connected with a sweepstakes that
violates this chapter, and if such person knew or should have known
that the sweepstakes was in violation of this chapter, then each
such person is jointly and severally liable for that portion of the
cumulative civil penalties that resulted from their conduct.