By Hinojosa                                           H.B. No. 2696
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to certain provisions in civil asset forfeiture.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1. Article 59.01 of the Code of Criminal Procedure is
 1-5     amended to read as follows:
 1-6                       (C)  the proceeds gained from the commission of a
 1-7     felony listed in Paragraph (A) or (B) of this subdivision or a
 1-8     crime of violence, save for currency valued less than $10,000 in
 1-9     personal possession at the time of seizure; or
1-10                       (D)  acquired with proceeds gained from the
1-11     commission of a felony listed in Paragraph (A) or (B) of this
1-12     subdivision or a crime of violence, save for currency valued less
1-13     than $10,000 in personal possession at the time of seizure.
1-14           SECTION 2.  Article 59.02 of the Code of Criminal Procedure
1-15     is amended to read as follows:
1-16           (g)  For any property, which is contraband by virtue of a
1-17     temporary conveyance, and which is contraband in related offenses
1-18     three separate times in any two year period, the transferor cannot
1-19     avail himself of the defense found in Subsection (c)(2).
1-20           (h)  The forfeiture provisions of this chapter apply to
1-21     contraband as defined by Article 59.01(2)(b)(iv) of this code only
1-22     in a municipality with a population of 250,000 or more.
 2-1           SECTION 3.  Article 59.03 of the Code of Criminal Procedure
 2-2     is amended by adding Subsection (c) to read as follows:
 2-3           (c)  No forfeiture proceeding shall be brought more than one
 2-4     year after trial or plea of guilty or nolo contendre, of if none of
 2-5     the preceding conditions was met, two years after the date of the
 2-6     illegal activities alleged.
 2-7           SECTION 4.  Article 59.05 of the Code of Criminal Procedure
 2-8     is amended to read as follows:
 2-9           (d)  A final conviction for an underlying offense is not a
2-10     requirement for forfeiture under this chapter.  An owner or
2-11     interest holder may present evidence of a dismissal or acquittal of
2-12     an underlying offense in a forfeiture proceeding, and evidence of
2-13     an acquittal raises an unrebuttable presumption that the property
2-14     or interest that is the subject of the hearing is nonforfeitable.
2-15     [This presumption can be rebutted by evidence that the owner or
2-16     interest holder knew or should have known that the property was
2-17     contraband.]
2-18           (g)  A final judgement on the forfeiture action shall not be
2-19     entered until after the resolution of all criminal matters
2-20     associated with the forfeited property, or, for cases in which no
2-21     criminal charges are pursued, one year.
2-22           SECTION 5.  Article 59.06 of the Code of Criminal Procedure
2-23     is amended to read as follows:
2-24           (a)  Except as provided by Subsection (k), all forfeited
2-25     property shall be administered by the attorney representing the
2-26     state, acting as the agent of the state, in accordance with
 3-1     accepted accounting practices and with the provisions of any local
 3-2     agreement entered into between the attorney representing the state
 3-3     and law enforcement agencies, subject to the provisions of
 3-4     Subsection (p).
 3-5           (p)  No contraband shall be directed through the federal
 3-6     forfeiture procedures, unless a judge has found more than
 3-7     incidental federal involvement.
 3-8           SECTION 6.  Article 59.06 of the Code of Criminal Procedure
 3-9     is amended to read as follows:
3-10           (g) (1)  All law enforcement agencies and attorneys
3-11     representing the state who receive proceeds or property under this
3-12     chapter shall account for the seizure, forfeiture, receipt, and
3-13     specific expenditure of all such proceeds and property in an audit,
3-14     which is to be performed annually by the commissioners court or
3-15     governing body of a municipality, as appropriate.  The annual
3-16     period of the audit for a law enforcement agency is the fiscal year
3-17     of the appropriate county or municipality and the annual period for
3-18     an attorney representing the state is the fiscal year.  The audit
3-19     shall be completed on a form provided by the attorney general.
3-20     Certified copies of the audit shall be delivered by the law
3-21     enforcement agency or attorney representing the state to the
3-22     attorney general not later than the 30th day after the date on
3-23     which the annual period that is the subject of the audit ends.
3-24                 (2)  If the audit is not received by the attorney
3-25     general's office by the 30th day, the attorney general shall notify
3-26     the state comptroller's office.  The comptroller's office will then
 4-1     audit the defaulting agency or office.  At the conclusion of the
 4-2     audit, the costs shall be deducted from the proceeds and property
 4-3     at issue, not to exceed the value of the proceeds and property.
 4-4     The remaining proceeds and property, if any, shall then enter into
 4-5     a fund to be administered by the Governor's office, save that the
 4-6     funds may not be directed to the defaulting agency or office.
 4-7           SECTION 7.  Article 59.09 of the Code of Criminal Procedure
 4-8     is amended to read as follows:
 4-9           (a)  This chapter is not intended to abridge an accused
4-10     person's right to counsel in a criminal case.
4-11           (b)  If the interested party is also a defendant in the
4-12     underlying criminal action, and counsel is provided by the state,
4-13     the counsel can be available for the forfeiture action, with the
4-14     attorney's remuneration to follow the standards in criminal
4-15     indigent representation.
4-16           SECTION 8.  Section 6 of this Act takes effect September 1,
4-17     2001, unless that date falls outside of the agency's annual period.
4-18     In that case, this Act take effect at the beginning of the next
4-19     annual period subsequent to September 1, 2001.  The remainder of
4-20     this Act takes effect September 1, 2001.