77R8019 JMM-F                           
         By Isett, Homer                                        H.B. No. 784
         Substitute the following for H.B. No. 784:
         By Jones of Lubbock                                C.S.H.B. No. 784
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to certain retired, disabled, or inactive certified public
 1-3     accountants.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 901.409, Occupations Code, is amended to
 1-6     read as follows:
 1-7           Sec. 901.409.  FEE REDUCTION FOR RETIRED OR DISABLED PERSONS
 1-8     OR PERSONS ON INACTIVE STATUS. (a) The board by rule shall [may]
 1-9     establish a reduced fee, not to exceed $50, to issue or renew the
1-10     license of a person who is retired, disabled, or on inactive status
1-11     [does not engage in the practice of public accountancy because of
1-12     retirement or permanent disability].
1-13           (b)  The board by rule shall provide requirements in order
1-14     for a person to be considered to be retired, disabled, or on
1-15     inactive status.
1-16           (c)  In adopting a reduced fee under Subsection (a), the
1-17     board may adopt different fees for persons who are retired,
1-18     disabled, or on inactive status.
1-19           SECTION 2. Section 901.410, Occupations Code, is amended to
1-20     read as follows:
1-21           Sec. 901.410.  FEE EXEMPTION FOR CERTAIN LICENSE HOLDERS. The
1-22     fee increase imposed under Section 901.406 and the additional fee
1-23     imposed under Section 901.407 do not apply to a license holder who
1-24     is:
 2-1                 (1)  an employee of the federal government restricted
 2-2     by virtue of that employment from engaging in the practice of
 2-3     public accountancy outside the scope of employment; [or]
 2-4                 (2)  an employee of a state agency that has authorized
 2-5     the payment of the fee increase and additional fee for the license
 2-6     holder; or
 2-7                 (3)  retired, disabled, or on inactive status as
 2-8     provided by Section 901.409.
 2-9           SECTION 3. Section 901.411(d), Occupations Code, is amended
2-10     to read as follows:
2-11           (d)  The board by rule may exempt certain license holders,
2-12     including license holders who are disabled, retired, on inactive
2-13     status, or not associated with accounting, as defined by board
2-14     rule, from all or part of the requirements of this section.
2-15           SECTION 4. Subchapter J, Chapter 901, Occupations Code, is
2-16     amended by adding Section 901.460 to read as follows:
2-17           Sec. 901.460.  PRACTICE BY LICENSE HOLDER WHO IS RETIRED,
2-18     DISABLED, OR ON INACTIVE STATUS. (a) A license holder who is
2-19     retired, disabled, or on inactive status, as provided by Section
2-20     901.409, may not perform any activity regulated under this chapter.
2-21           (b)  A person who is on inactive status under Section 901.409
2-22     shall use the word "inactive" as provided by board rule when the
2-23     person uses "CPA" or another designation described by Sections
2-24     901.451, 901.452, and 901.453.
2-25           (c)  The board shall prescribe procedures for approval of a
2-26     person to be on inactive status and requirements for the person to
2-27     return to active status.
 3-1           SECTION 5. This Act takes effect September 1, 2001.