SRC-TBR C.S.S.B. 1793 77(R)BILL ANALYSIS


Senate Research CenterC.S.S.B. 1793
By: Sibley
Business & Commerce
4/20/2001
Committee Report (Substituted)


DIGEST AND PURPOSE 

Currently, there are three guaranty associations authorized by statute in
the Insurance Code.  C.S.S.B. 1793 provides that the provisions of the Open
Meetings Act do not apply to a meeting of the commissioner of insurance or
the commissioner's designee with the board of directors of a guaranty
association in the discharge of the commissioner's duties and
responsibilities to regulate and maintain the solvency of a person
regulated by the Texas Department of Insurance. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 551.079, Government Code, as follows:

Sec. 551.079.  New heading: TEXAS DEPARTMENT OF INSURANCE. (a)  Provides
that the requirements of this chapter do not apply to a meeting of the
commissioner of insurance or the commissioner's designee with the board of
directors of a guaranty association established under Article 9.48,
21.28-C, or 21.28-D, Insurance Code, in the discharge of the commissioner's
duties and responsibilities to regulate and maintain the solvency of a
person regulated by the Texas Department of Insurance, rather than the
board. 

(b)  Authorizes the commissioner of insurance, rather than the board, to
deliberate and determine the appropriate action to be taken concerning the
solvency of a person regulated by the Texas Department of Insurance in a
closed meeting with persons in one or more of certain categories. 

SECTION 2.  Effective date: September 1, 2001.

SUMMARY OF COMMITTEE CHANGES

Amends As Filed S.B. 1793 by striking proposed language in SECTIONS 1, 2
and 3 and renumbering existing SECTIONS 5 and 6 as SECTIONS 1 and 2.