1-1                                   AN ACT
 1-2     relating to the ineligibility of certain veterans to receive
 1-3     benefits under the Veterans' Land Program and the Veterans' Housing
 1-4     Assistance Program.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1. Section 161.001, Natural Resources Code, is
 1-7     amended by adding Subsection (c) to read as follows:
 1-8           (c)  For purposes of this section, a person who has been
 1-9     discharged from the branch of the service in which the person
1-10     served or from the Texas National Guard is considered not to have
1-11     been dishonorably discharged if the person:
1-12                 (1)  received an honorable discharge;
1-13                 (2)  received a discharge under honorable conditions;
1-14     or
1-15                 (3)  received a discharge and provides evidence from
1-16     the United States Department of Veterans Affairs, its successor, or
1-17     other competent authority that indicates that the character of the
1-18     person's duty has been determined to be other than dishonorable.
1-19           SECTION 2. Section 162.001, Natural Resources Code, is
1-20     amended by adding Subsection (c) to read as follows:
1-21           (c)  For purposes of this section, a person who has been
1-22     discharged from the branch of the service in which the person
1-23     served or from the Texas National Guard is considered not to have
1-24     been dishonorably discharged if the person:
 2-1                 (1)  received an honorable discharge;
 2-2                 (2)  received a discharge under honorable conditions;
 2-3     or
 2-4                 (3)  received a discharge and provides evidence from
 2-5     the United States Department of Veterans Affairs, its successor, or
 2-6     other competent authority that indicates that the character of the
 2-7     person's duty has been determined to be other than dishonorable.
 2-8           SECTION 3.  (a)  This Act takes effect immediately if it
 2-9     receives a vote of two-thirds of all the members elected to each
2-10     house, as provided by Section 39, Article III, Texas Constitution.
2-11     If this Act does not receive the vote necessary for immediate
2-12     effect, this Act takes effect September 1, 2001.
2-13           (b)  The changes in law made by this Act do not affect a
2-14     contractual obligation that exists on the effective date of this
2-15     Act.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 271 was passed by the House on March
         29, 2001, by the following vote:  Yeas 145, Nays 0, 2 present, not
         voting.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 271 was passed by the Senate on April
         26, 2001, by the following vote:  Yeas 29, Nays 0, 1 present, not
         voting.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor