SRC-SEW S.B. 1458 77(R) BILL ANALYSIS Senate Research Center S.B. 1458 By: Duncan State Affairs 3/23/2001 As Filed DIGEST AND PURPOSE Currently, Texas is moving forward with electronic government (e-government) in a decentralized fashion, with no one organization responsible for ensuring that e-government advances effectively and efficiently in an increasingly high-tech world. Lack of coordination between government entities concerning e-government has also resulted in increased costs to taxpayers resulting from unnecessarily replicated costs of developing and implementing systems, incompatible systems, poor interoperability, and ineffective security. As proposed, S.B. 1458 creates a number of new electronic services designed to benefit Texas citizens and businesses and to improve the efficiency and effectiveness of state and local government. This bill establishes a Program Management Office (PMO) in the Department of Information Resources (DIR) to guide, promote, and facilitate the implementation of select egovernment projects and to manage the ongoing development of the TexasOnline portal. This bill also allows Telecommunication Infrastructure Fund dollars to be used by local governments and school districts and establishes a Legislative Oversight Committee for electronic government projects. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Department of Information Resources in SECTION 15 (Sections 2054.302, 2054.303, 2054.304, and 2054.311, Government Code) and to the General Services Commission in SECTION 24 (Section 271.084, Government Code). Rulemaking authority previously granted to the General Services Commission is modified in SECTION 18 (Section 2155.079, Government Code) and SECTION 23 (Section 2177.002, Government Code). SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 481H, Government Code, by adding Section 481.130, as follows: Sec. 481.130. ONE-STOP ONLINE SERVICE FOR NEW BUSINESS. Requires the Texas Department of Economic Development's business permit office (office) to assist the Department of Information Resources with the development and implementation of a plan that outlines certain recommendations and resources for the creation of an online service for certain purposes by a certain date. SECTION 2. Amends Chapter 531B, Government Code, by adding Section 531.0317, as follows: Sec. 531.0317. HEALTH AND HUMAN SERVICES INFORMATION MADE AVAILABLE THROUGH THE INTERNET. (a) Defines "Internet." (b) Requires the Health and Human Services Commission (commission), in cooperation with the Department of Information Resources, to establish and maintain through the TexasOnline project established by the Department of Information Resources a generally accessible and interactive Internet site that contains certain information. (c) Sets forth requirements for the Internet site. (d) Requires the commission to comply with certain standards in designing the site. (e) Requires certain parties to cooperation with the commission to a certain extent. (f) Authorizes the Department of Information Resources, if it has a program management office, to delegate its duties under this section to that office. SECTION 3. Requires the Health and Human Services Commission, as soon as practicable after the effective date of this Act, to establish an information Internet site required by section 531.0317, Government Code, as added by this Act. SECTION 4. Amends Chapter 656A, Government Code, by adding Sections 656.002 and 656.003, as follows: Sec. 656.002. ONLINE EMPLOYMENT OPENINGS SYSTEM. (a) Defines "state agency." (b) Requires the Department of Information resources to work with the Texas Workforce Commission and other state agencies to create an online system for listing state agency employment listings. (c) Requires the system to include certain characteristics to the extent feasible. Sec. 656.003. ACCESS TO EMPLOYMENT OPENINGS INFORMATION. Requires the Texas Workforce Commission to make computers available to the public at its field offices to ensure access to information about employment openings. SECTION 5. Amends Section 656.024, Government Code, to delete language regarding listing job vacancies for at least 10 working days and the exception to this rule. SECTION 6. Amends Section 2054.051, Government Code, by adding Subsection (f) to require the Department of Information Resources (department) to identify opportunities for state agencies to coordinate with each other in the adoption and implementation of information resources technology and projects. SECTION 7. Requires the Department of Information Resources (department) to perform a comprehensive examination of the state's reporting requirements as detailed in the comptroller's eTexas report, recommendation GP-4. Requires the department, in coordination with a certain working group, to compile a list of recommendations for the 78th Legislature for streamlining and reducing reporting requirements on cities and counties. Requires the department, in addition, in coordination with certain entities, to develop functional specifications for a statewide electronic data clearinghouse. Requires the department, during the fiscal 2002-2003 biennium, to develop policies, procedures, data standards, training materials and perform other duties to prepare for the establishment of a clearinghouse in fiscal year 2004. Requires the department to develop options for funding the ongoing maintenance or expansion of the clearinghouse such as using resources from participating agencies to recoup the costs. Requires each option to address the potential impact on participation. Requires the department to provide a certain report by a certain date to certain state officials. SECTION 8. Amends Chapter 2054C, Government Code, by adding Section 2054.063, as follows: Sec. 2054.063. ELECTRONIC REPORTING TO STATE AGENCIES. Requires the Department of Information Resources (department) to advise and consult with state agencies to assess opportunities for allowing persons to electronically file with an agency certain information. Requires the department to identify the cost of implementing an electronic reporting procedure and any barriers to electronic reporting. Authorizes the department to survey state agencies for certain purposes. SECTION 9. Requires the Department of Information Resources to make recommendations to certain persons about opportunities for electronic reporting in state government not later than September 1, 2002. SECTION 10. Amends Section 2054.096(a), Government Code, to require each agency strategic plan to be consistent with the state strategic plan and include a description of any information resources technology projects proposed by the agency, including certain stated information. SECTION 11. Requires the Department of Information Resources to review the instructions for preparing agency strategic plans, developed pursuant to Section 2054.095, Government Code, for certain purposes. Sets forth guidelines concerning the review. Requires the department to revise its instructions based on the results of the review. SECTION 12. Amends Chapter 2054F, Government Code, by adding Section 2054.127, as follows: Sec. 2054.127. ENVIRONMENTAL AND NATURAL RESOURCES AGENCIES INTERNET PORTAL. (a) Requires certain state agencies to develop, in mutual cooperation with the Department of Information Resources (department) a single information link, through the TexasOnline portal, for certain purposes. (b) Requires the department to coordinate the efforts of the agencies in developing the information link for certain purposes. Authorizes the department, if it has a program management office, to delegate the coordination of efforts under this section to that office. SECTION 13. Amends Chapter 2054, Government Code, by adding Subchapter I, as follows: SUBCHAPTER I. ELECTRONIC SYSTEM FOR OCCUPATIONAL LICENSING TRANSACTIONS Sec. 2054.251. DEFINITIONS. Defines "licensing authority" and "occupational license." Sec. 2054.252. APPLICABILITY. Requires certain licensing authorities to participate in the system established under Section 2054.253. Authorizes the Department of Information Resources (department) to add additional agencies as system capabilities are developed. Authorizes a licensing authority other than an authority listed in this section to participate in the system, subject to the approval of the department. Sec. 2054.253. ELECTRONIC SYSTEM FOR OCCUPATIONAL LICENSING TRANSACTIONS. (a) Requires the department to administer a common electronic system using the Internet through which a licensing authority can electronically perform certain functions. (b) Authorizes the department to implement this section in phases and requires the licensing authority that participates in the system established under this section to comply with the schedule established by the department. (c) Authorizes the department to use the TexasOnline portal or any other Internet portal established under a demonstration project administered by the department. (d) Authorizes the department to contract with a private vendor to implement this section. Provides that a contract under this subsection is payable only from fees collected under Subsection (e). (e) Requires the department to charge certain fees in amounts sufficient to cover the cost of implementing this section. Sec. 2054.254. STEERING COMMITTEE. Sets forth guidelines regarding the steering committee for electronic occupational licensing transactions. SECTION 14. (a) Requires each licensing authority listed by Section 2054.252(a), Government Code, as added by this Act, and the Department of Information Resources (department), not later than January 1, 2002, to appoint the members of the steering committee for electronic occupational licensing transactions. (b) Requires the department, not later than April 1, 2002, to adopt a schedule for implementing Section 2054.253, Government Code, as added by this Act. Sets forth guidelines concerning the schedule. (c) Requires the department, not later than January 1, 2003, to report to certain persons on the department's progress in implementing Section 2054.254, government Code, as added by this Act. SECTION 15. Amends Chapter 2054, Government Code, by adding Subchapter J, as follows: SUBCHAPTER J. ELECTRONIC GOVERNMENT PROGRAM MANAGEMENT Sec. 2054.301. ELECTRONIC GOVERNMENT PROGRAM MANAGEMENT OFFICE. Requires the Department of Information Resources (department) to establish an electronic government program management office for certain purposes. Requires the program management office to perform certain functions. Authorizes the program management office to coordinate certain projects. Requires each state agency to cooperate with the department and the program management office in all respects concerning electronic government and provide to the department as often as may be required and in the format required by the department, certain information. Sec. 2054.302. SELECTION OF ELECTRONIC GOVERNMENT PROJECTS FOR OVERSIGHT. (a) Requires the program management office, in coordination with certain entities, to perform certain functions. (b) Authorizes a state agency that disagrees with the selection of an electronic government project for oversight by the program management office to appeal the selection to certain persons. Provides that the governor's decision regarding oversight of an electronic government project is final. Requires the department to adopt appeal procedures by rule. (c) Provides that this section does not apply to certain projects. Provides that institutions of higher education are encouraged to participate, but such participation is at the option of the institution. Sec. 2054.303. FUNDING FOR PROGRAM MANAGEMENT OFFICE. (a) Requires the program management office, in coordination with certain entities, to develop a model for funding the program management office from a portion of the funds appropriated for the projects selected to have central oversight, including staffing requirements, for approval by the governor and adoption as a department rule. (b) Requires certain state agencies to enter into an interagency agreement with the department pursuant to Chapter 771 (Interagency Cooperation Act), Government Code, to provide for the reimbursement of the department for the services of the program management office according to the model established in Subsection (a). (c) Prohibits a state agency from spending or encumbering money in connection with certain electronic government projects without prior approval of the program management office. (d) Requires the program management office, in coordination with certain entities, and subject to the approval of the governor's office of budget and planning, to establish procedures for approving expenditures to be incurred by state agencies for certain electronic government projects. Requires the procedures to include certain reviews and assessments. (e) Provides that this section does not apply to an institute of higher education as defined by Section 61.003 (Definitions), Education Code. Provides that institutions of higher education are encouraged to participate, but such participation is at the option of the institution. Sec. 2054.304. CANCELLATION OF ELECTRONIC GOVERNMENT PROJECTS OR DENIAL OF ACCESS TO FUNDS. Requires the program management office, under rules developed by the department, and in coordination with certain entities, to develop criteria for certain purposes. (b) Authorizes the program management office to recommend to the governor that a selected electronic government project be canceled or temporarily halted if the project fails to meet objectives of the standards of the department. (c) Authorizes the governor, upon a recommendation from the program management office that an electronic government project should be canceled or temporarily halted, to direct the comptroller to deny state agency access to the agency's appropriations that relate to the development of implementation of the electronic government project. Authorizes this denial to continue for a certain period of time. (d) Provides that this section does not apply to certain institutions of higher education unless certain requirements are met. Sec. 2054.305. LEGISLATIVE OVERSIGHT COMMITTEE. Establishes the legislative oversight committee for electronic government projects and sets forth guidelines concerning the members of the committee and required and authorized committee functions and duties. Requires state agencies to cooperate with and assist the committee at the committee's request. Sec. 2054.306. PROGRAM MANAGEMENT OFFICE ADVISORY COMMITTEE. Requires the board to establish a program management advisory committee under Section 2054.033 for certain purposes. Sets forth guidelines concerning the members of the committee and required committee functions, and reimbursement of expenses. Sec. 2054.307. MANAGEMENT OF ENTERPRISE RESOURCE PLANNING SYSTEM IMPLEMENTATION. Requires the program management office established under this subchapter to coordinate with the Health and Human Services Commission and the comptroller for certain purposes. Requires any state agency that chooses to implement new or modified resource planning systems to do so under the guidelines and standards developed by the program management office. Sec. 2054.308. TEXASONLINE PORTAL. (a) Defines the Texasonline portal as used in this subchapter. (b) Requires the program management office established under this subchapter to manage the ongoing development of the portal or other similar state portal or sponsored by the department to facilitate public access to electronic government in the state. Requires the program management office to promote full use of the portal by state agencies. (c) Requires certain state agencies to apply for a waiver from the program management office. Provides that the waiver application should meet certain requirements and requires it to show that certain issues have been considered. (d) Provides that this section does not apply to institutions of higher education except under certain conditions. Sec. 2054.309. TEXASONLINE GRANT PROGRAM. Establishes the TexasOnline grant program for certain purposes. Sets forth guidelines concerning required functions of the program. Provides that the department will establish an interagency oversight committee and sets forth guidelines concerning the committee. Authorizes grant funds to be used for certain purposes and prohibits them from being used for certain purposes. Requires priorities for grant funding to be provided to certain entities. Requires grant recipients to agree to maintain online services after the grant period terminates. Provides that this section expires September 1, 2003. Sec. 2054.310. ONLINE SERVICE FOR NEW BUSINESSES. Requires the program management office, with assistance from affected state agencies, to prepare and implement a plan for the development and operation of a one-stop online service for new businesses in the state. Requires the online service to meet certain requirements. Requires the plan for the development of this online service to include certain items. Requires the program management office to prepare and submit a certain report to the legislature by a certain date. Requires certain entities to assist the program management office in the development and operation of the online services. Requires state agencies to cooperate with the program management office in structuring their processes to facilitate participation in the online services. Sec. 2054.311. ELECTRONIC PROCUREMENT SYSTEM. Requires the program management office, in coordination with the General Services Commission, to assess the functionality of the electronic procurement marketplace and electronic commerce network maintained by the General Services commission pursuant to Chapter 2177 (Electronic Commerce), Government Code, for certain purposes. Requires the assessment to consider certain recommendations. (b) Requires the department to implement an electronic procurement system, based on the results of the assessment conducted under Subsection (a), that will offer its users access to multiple marketplaces and vendors. Requires the department to coordinate implementation with the General Services Commission, as provided by Chapter 2177, Government Code. Authorizes the department to enter into contracts with private or public entities for certain purposes. (c) Authorizes the department, in consultation with the General Services Commission, to adopt rules as necessary for certain purposes. SECTION 16. (a) Requires the Department of Information Resources (department) to conduct a study for certain purposes. Sets forth requirements for the study. Authorizes the department to request from the Electronic Grants Technical Assistance Workgroup certain information. Requires the department, by a certain date, to report the findings of this study to certain entities. Authorizes the department, if upon completion of this study the study recommends implementation of statewide electronic grants management system, to develop a plan and begin implementation of a statewide electronic grants management system based on the study findings. SECTION 17. Amends Chapter 2054, Government Code, by adding Subchapter K, as follows: SUBCHAPTER K: SEAT MANAGEMENT Sec. 2054.351. DEFINITIONS. Defines "office" and "seat management." Sec. 2054.352. CREATION. Requires the Department of Information Resources (department) to create a seat management office for certain purposes. Sec. 2054.353. TOTAL COST OF OWNERSHIP STUDIES. Requires the department to select a certain number of state agencies to participate in a pilot study. Requires the selected stage agencies to cooperate with the department in conducting the studies required by this section. Requires each selected agency to study certain issues and include certain items. Requires the department, including the office, on request to assist a state agency in complying with this section. Requires each selected state agency, by a certain date, to report on the results of its study to the department. Sec. 2054.354. STUDY AND RECOMMENDATIONS ON USE OF PRIVATE CONTRACTORS TO IMPLEMENT SEAT MANAGEMENT. (a) Requires the office to analyze the results of the studies under Section 2054.353 to assess the feasibility of establishing a statewide seat management system at the time the assessment is completed or at a later time. (b) Requires the office, as a part of this feasibility study, to analyze seat management, through which a state agency transfers its personal computer equipment and services responsibilities to a private vendor as described by this subsection. Sets forth guidelines concerning private vendors. (c) Requires the office to study different types of contracts that could be used to implement seat management. (d) Requires the office, by a certain date, to report its recommendations to certain entities. Sets forth requirements for the recommendations. Sec. 2054.355. PERSONAL COMPUTER INVENTORY REPORTING BY STATE AGENCIES. Require each state agency, by a certain date, to provide the office with an inventory of all personal computers used by that agency as of a certain date. Sec. 2054.356. EXPIRATION. Provides that this subchapter expires September 2, 2003. SECTION 18. Amends Section 2155.079, Government Code, to require the General Services Commission (commission) to adopt rules specifying the circumstances under which it is not adventageous for the state to allow a state agency to purchase goods or services under a contract made by another state agency other than the commission or under a contract made by a local government. Makes a conforming change. Deletes text regarding the conditions required for an agency making a purchase under delegated authority to offer the goods or services available under the contract to other agencies or local governments. SECTION 19. Amends Section 2155.083, Government Code, by adding Subsection (o), to require the Texas Department of Commerce (department) to work with the General Services Commission (commission) and the Department of Information Resources to develop a plan for certain purposes. Requires the plan, after it is approved by the commission and the Department of Information Resources, to be implemented by the department, and requires responsibility for management of the business daily to be transferred to the commission. SECTION 20. Amends Section 2170.004, Government Code, to authorize the General Services Commission to contract for the use of the consolidated telecommunications system with a collaborative community computer network in which one or more political subdivisions participate. SECTION 21. Amends Section 2170.051, Government Code, by adding Subsection (e), to authorize the General Services Commission to contract for necessary support and maintenance of the consolidated telecommunications system resulting from collaborative community computer network participation. SECTION 22. Amends Section 2170.057, Government Code, by adding Subsection (e), to require the General Services Commission (commission), in cooperation with the telecommunications planning group, to develop a cost schedule for certain purposes. Authorizes charges for services described by this subsection, notwithstanding Subsection (a), to be based on certain costs. SECTION 23. Amends Chapter 2177, Government Code, by adding Sections 2177.0001, 2177.0002, and 2177.004, and amending Sections 2177.001, 2177.002, and 2177.003, as follows: Sec. 2177.0001. PURPOSE. Sets forth the purpose of this chapter. Sets forth guidelines regarding the electronic procurement system. Sec. 2177.0002. DEFINITIONS. Defines "department," "electronic procurement system," "local government," "state agency," and "TexasOnline portal." Sec. 2177.001. (a) Requires the General Services Commission (commission), in coordination with the Department of Information Resources (department), to establish and manage an electronic procurement marketplace. Authorizes the commission, subject to the approval of the department, to enter into contracts with private or public entities for certain purposes. (b) Makes a conforming change. (c) Makes a conforming change. (d) Authorizes the commission to make state procurement services (rather than information) available to local governments and institutions of higher education as defined in Section 61.003, Education Code. Deletes text regarding political subdivisions. Authorizes, rather than requires, the commission to set the fees for transactions in a certain amount. (e) Makes a conforming change. (f) No changes in text. (g) No changes in text. (h) Requires the commission to assist the department in conducting an assessment of the functionality of the existing electronic procurement marketplaces established pursuant to this section to determine whether the marketplace should be enhanced, replaced, or established through the TexasOnline portal. (i) Authorizes the electronic procurement marketplace, or information from the marketplace, based on the recommendations from the assessment conducted pursuant to Subsection (h), to be integrated into, or replaced by, a new or modified electronic procurement system implemented by the department with the assistance of the commission. (j) Requires the commission, prior to initiation or renewal of any contracts between the commission and any vendors regarding operation, maintenance or upgrades to the marketplace, to obtain the approval of the department. Sec. 2177.002. (a) Requires the commission, in coordination with the department, to manage an electronic commerce network or subsequently developed electronic procurement system, to the extent feasible, under which the state's purchasing transactions with vendors can be accomplished electronically by means of facsimile transmissions and online transmission of necessary information. Requires the commission to comply with applicable rules of the department relating to establishment of electronic procurement systems. Deletes text regarding standard data protocol or other standards. (b) Makes a conforming change. (c) Makes a conforming change. (d) No changes in text. (e) Authorizes the commission to allow local governments and institutions of higher educations as defined by Section 61.003, Education Code, (rather than political subdivisions) to participate in the electronic commerce network. Makes a conforming change. (f) No changes in text. (g) Authorizes the commission, in consultation with the department, to adopt rules relating to the use of the network and require participating state agencies, local governments, and other public entities that desire to use the system to designate a network coordinator. (h) No changes in text. (i) Requires the commission, prior to initiation or renewal of certain contracts, to obtain the approval of the department. (j) Requires the commission to assist the department in conducting a certain assessment. (k) Authorized the electronic commerce network, based on certain recommendations, to be integrated into, or replaced by, a new or modified electronic procurement system implemented by the department with the assistance of the commission. (l) Requires the commission and the department, if the network is integrated into, or replaced by a new electronic procurement system implemented by the department and accessed through the TexasOnline portal, to enter into an agreement regarding distribution of the fees charged for transacting business through the network to ensure adequate reimbursement for the cost of developing and maintaining the portal. Sec. 2177.003. New heading: PARTICIPATION BY STATE AGENCIES IN ELECTRONIC PROCUREMENT SYSTEM. (a) Makes a conforming change. (b) Requires the commission and each participating state agency to include certain information in the information placed on the electronic commerce network. (c) Makes a conforming change. (d) No changes in text. (e) Provides that institutions of higher education as defined in Section 61.003, Education Code, are encouraged to participate in the electronic procurement system established under this chapter, at the option of the institution. Sec. 2177.004. CONSULTATION WITH OTHER ENTITIES. Requires the commission to consult no less than quarterly with certain entities for certain purposes. SECTION 24. Amends Chapter 271D, Local Government Code, by adding Section 271.084, as follows: Sec. 271.084. BUYING UNDER CONTRACT OF STATE AGENCY OR OTHER LOCAL GOVERNMENT. (a) Defines "local government" and "state agency." (b) Requires the General Services Commission (commission) to adopt rules by a certain date specifying the circumstances under which it is not advantageous for the state to allow a local government to purchase goods or services under a contract made by another local government or a state agency other than the commission. SECTION 25. Amends Chapter 111A, Tax Code, by adding Section 111.0045, as follows: Sec. 111.0045. ADVANCED TECHNOLOGIES. (a) Requires the comptroller, for certain purposes, to acquire and maintain wireless communication equipment for comptroller auditors. Sets forth guidelines for such equipment. (b) Requires the comptroller to develop, implement, and maintain an advanced electronic audit database system for the comptroller's audit division. Sets forth guidelines for the provisions of the system. Authorizes the comptroller to contract with an appropriate vendor to develop or implement the system. Requires the comptroller, if contracting with a person to develop or implement he system, to take steps to protect certain confidential information. Sets forth guidelines regarding prohibits against disclosure of information as applicable in this section. (c) Requires the comptroller, to enhance enforcement capabilities, to acquire and maintain portable computing systems with remote or wireless communications equipment for comptroller enforcement staff. Requires the portable computers to be integrated with an electronic signature capturing system and portable printing capabilities to enhance the security of the collections process. Sets forth guidelines for wireless modems. (d) Requires the comptroller, to enhance productivity, to acquire advanced scanners for comptroller field offices. Requires the scanners to enable enforcement officers to scan enforcement data directly into comptroller databases without the necessity for manual reentry. (e) Authorizes the comptroller, to enhance the productivity of operations, to employ or contract for the services of certain persons to provide or utilize the technologies described in this section and to assist with the administration of the Tax Code, and authorizes the comptroller to delegate to employees or contractors the authority to perform duties as required. SECTION 26. Amends Section 57.042, Utilities Code, by adding Subdivison (12), to define "telecommunications planning group." SECTION 27. Amends Section 57.045, Utilities Code, by adding Subsection (e), to require the Telecommunications Infrastructure Fund Board (board) in cooperation with certain entities, to attempt to acquire and ensure the use of any grant funding available from the federal government for certain purposes. SECTION 28. Amends Section 57.046(b), Utilities Code, to require the board to use money in the qualifying entities account for any purpose authorized by this subchapter, including collaborative community computer networks. SECTION 29. Amends Sections 57.047(c)-(f), Utilities Code, as follows: (c) Authorizes the board to award a grant or loan for certain purposes to certain entities. Authorizes the board, as a condition of a grant or loan under this subsection, to require the consortium to design for its network a community web portal that meets certain standards. Requires the board to award grants and loans under this subsection through a competitive and collaborative application process to select collaborative community networks that show the best potential for being self-sustaining after funding under this subsection expires. (d) Requires the board, in awarding a grant or loan under his subchapter, to give priority to a project or proposal that represents collaborative efforts involving more than one political subdivision, school, university or library. (e) No changes in text. (f) Requires the board to establish a goal of awarding political subdivisions grants and loans under Subsection (c) of a certain amount and to set priorities for awarding additional grant funding for collaborative community computer networking initiatives from available money. SECTION 30. Requires the Department of Information Resources to conduct a study of the feasibility of creating regional technology centers with membership composed of political subdivisions of each region of this state to foster collaborative community networking by performing certain functions. Sets forth guidelines for the required contents of the study and the required reporting of the results of the study to certain entities by a certain date. SECTION 31. EFFECTIVE DATE. Effective date: September 1, 2001.