By:  Duncan                                           S.B. No. 1032
         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 state fiscal matters, including electronic records and
 1-3     signatures used or accepted by the comptroller, rulemaking about
 1-4     the rollback tax rate limit, the intellectual property of the
 1-5     comptroller, the collection of delinquent taxes and debts to the
 1-6     state, state property accounting, advisory committees, determining
 1-7     the fiscal year to charge for certain state expenditures, financial
 1-8     reporting by state agencies, administration of the energy
 1-9     management center, longevity pay, hazardous duty pay, temporary
1-10     reassignments of state employees, automatic payment of interest to
1-11     vendors, the applicability and collection of 9-1-1 fees and
1-12     surcharges, the payment of credit interest on local revenue funds,
1-13     the deadline for governmental entities to claim refund of the state
1-14     hotel occupancy tax, and reports about the franchise tax credit for
1-15     after school care.
1-16           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-17           SECTION 1.  Chapter 43, Business & Commerce Code, is amended
1-18     by adding Section 43.020, to read as follows:
1-19           Sec. 43.020.  CERTAIN REQUIREMENTS CONSIDERED TO BE
1-20     RECOMMENDATIONS.  Any requirement of the Department of Information
1-21     Resources under this chapter that generally applies to one or more
1-22     state agencies using electronic records or electronic signatures is
1-23     considered to be a recommendation to the comptroller concerning the
 2-1     electronic records or electronic signatures used by the
 2-2     comptroller.  The comptroller may adopt or decline to adopt the
 2-3     recommendation.
 2-4           SECTION 2.  Section 42.2522(e), Education Code, is amended to
 2-5     read as follows:
 2-6           (e)  The commissioner shall notify school districts as soon
 2-7     as practicable as to the availability of funds under this section.
 2-8     For purposes of computing a rollback tax rate under Section 26.08,
 2-9     Tax Code, a district shall adjust the district's tax rate limit [in
2-10     the manner provided by comptroller rule] to reflect assistance
2-11     received under this section.
2-12           SECTION 3.  Section 57.48, Education Code, is amended by
2-13     amending Subsections (c)-(d), adding Subsection (i), redesignating
2-14     Subsection (i) as Subsection (j), and redesignating Subsection (j)
2-15     as Subsection (k), to read as follows:
2-16           (c)  Except as provided by this section, the [The]
2-17     comptroller may not issue a warrant or initiate an electronic funds
2-18     transfer to the assignee of a person who has been reported properly
2-19     under Subsection (a) if the assignment became effective after the
2-20     person defaulted.
2-21           (d)  If this section prohibits the comptroller from issuing a
2-22     warrant or initiating an electronic funds transfer to a person, the
2-23     comptroller may [not] issue a warrant or initiate an electronic
2-24     funds transfer only as provided by this section to:
2-25                 (1)  the person's estate;
2-26                 (2)  the distributees of the person's estate; or
 3-1                 (3)  the person's surviving spouse.
 3-2           (i)  This section does not prohibit the comptroller from
 3-3     issuing a warrant or initiating an electronic funds transfer to a
 3-4     person properly reported to the comptroller under Subsection (a) or
 3-5     to the person's assignee, the person's estate, the distributees of
 3-6     the person's estate, or the person's surviving spouse if the
 3-7     corporation consents to issuance of the warrant or initiation of
 3-8     the transfer.
 3-9           (j) [(i)]  The comptroller may adopt rules and establish
3-10     procedures to administer this section.
3-11           (k) [(j)]  In this section:
3-12                 (1)  "Compensation" means base salary or wages,
3-13     longevity pay, hazardous duty pay, benefit replacement pay, or an
3-14     emolument provided in lieu of base salary or wages.
3-15                 (2)  "State agency" means a board, commission, council,
3-16     committee, department, office, agency, or other governmental entity
3-17     in the executive, legislative, or judicial branch of state
3-18     government.  The term includes an institution of higher education
3-19     as defined by Section 61.003, other than a public junior or
3-20     community college.
3-21                 (3)  "State officer or employee" means an officer or
3-22     employee of a state agency.
3-23           SECTION 4.  SECTIONS 231.007(i)-(j), Family Code, are amended
3-24     to read as follows:
3-25           (i)  [Notwithstanding] Section 403.055(d) [403.055],
3-26     Government Code, does not authorize the comptroller [may not] to
 4-1     issue a warrant or initiate an electronic funds transfer to pay
 4-2     [(1)] the compensation or remuneration of an individual [a state
 4-3     officer or employee] who is indebted to the state under Subsection
 4-4     (a)[; or (2) the remuneration of an individual who is being paid by
 4-5     a private person through a state agency, if the individual is
 4-6     indebted to the state under Subsection (a)].
 4-7           (j)  [Notwithstanding] Section 2107.008(h) [2107.008],
 4-8     Government Code, does not authorize a state agency to [may not]
 4-9     pay[:  (1)]  the compensation or remuneration of an individual [to
4-10     a state officer or employee] who is indebted to the state under
4-11     Subsection (a)[; or (2)  remuneration to an individual who is being
4-12     paid by a private person through the agency if the individual is
4-13     indebted to the state under Subsection (a)].
4-14           SECTION 5.  Section 15.407, Finance Code, is amended to read
4-15     as follows to conform more closely to the law from which it was
4-16     derived:
4-17           Sec. 15.407.  OFFICIAL COMMITTEES.  The chairman may appoint
4-18     individuals who are not commission members to serve on official
4-19     committees that are charged with evaluating industry methods or
4-20     problems and presenting formal recommendations to the commission
4-21     for possible action.  The individuals appointed are entitled to
4-22     reimbursement for reasonable and necessary expenses incidental to
4-23     travel incurred in connection with the performance of official
4-24     duties.
4-25           SECTION 6.  Section 403.013(b), Government Code, is amended
4-26     to read as follows:
 5-1           (b)  On the first Monday of November of each year, and at
 5-2     other times the governor requires, the comptroller shall exhibit to
 5-3     the governor, in addition to the reports required by the
 5-4     constitution, an exact and complete statement showing:
 5-5                 (1)  the funds and revenues of the state; and
 5-6                 (2)  public expenditures during the preceding year or
 5-7     during another period required by the governor[; and]
 5-8                 [(3)  a detailed estimate of the expenditures to be
 5-9     paid from the treasury during the next year, including a statement
5-10     of:]
5-11                       [(A)  the object of the expenditures;]
5-12                       [(B)  which expenditures are provided for by
5-13     general or special appropriation and which are required to be
5-14     provided for by law; and]
5-15                       [(C)  the means from which the expenditures are
5-16     to be defrayed].
5-17           SECTION 7.  Section 403.013, Government Code, is amended by
5-18     adding Subsection (f), to read as follows:
5-19           (f)  The Growth Fund and Growth Fund II, created by Section
5-20     70, Article XVI, Texas Constitution, shall provide the financial
5-21     information listed in Subchapter B, Chapter 2101 to the comptroller
5-22     once each year, not later than the date established by the
5-23     comptroller.
5-24           SECTION 8.  Section 403.027, Government Code, is reenacted
5-25     and amended to read as follows:
5-26           Sec. 403.027.  DIGITAL SIGNATURES.  (a)  The comptroller may
 6-1     establish a procedure for a person to use [provide] a digital
 6-2     signature to authenticate [for any] a document, a communication, or
 6-3     data submitted to the comptroller if:
 6-4                 (1)  the comptroller determines the procedure will
 6-5     provide a degree of security and authenticity at least equal to
 6-6     that provided by a manual signature; and
 6-7                 (2)  the digital signature is:
 6-8                       (A)  unique to the person using it;
 6-9                       (B)  capable of independent verification;
6-10                       (C)  under the sole control of the person using
6-11     it; and
6-12                       (D)  transmitted in a manner that makes it
6-13     infeasible to change the signature, document, communication, or
6-14     data without invalidating the signature.
6-15           (b)  A digital signature provided according to a procedure
6-16     established under Subsection (a) [this section] has the same legal
6-17     force and effect for all purposes as a manual signature.
6-18           (c)  The electronic approval of a voucher is governed by
6-19     [This]:
6-20                 (1)  this section [does not apply to the electronic
6-21     submission and approval of vouchers under] and Chapter 2103 if the
6-22     comptroller has established a procedure for the person approving
6-23     the voucher to provide a digital signature concerning the voucher;
6-24     or
6-25                 (2)  Chapter 2103 if the comptroller has not
6-26     established the procedure.
 7-1           (d)  This section prevails over Chapter 2103 to the extent of
 7-2     conflict if both this section and that chapter apply under
 7-3     Subsection (c)(1).
 7-4           (e)  Except as provided in this subsection, Section 2054.060
 7-5     applies to a digital signature used to authenticate any document,
 7-6     communication, or data submitted to the comptroller if the
 7-7     comptroller has not established a procedure under Subsection (a)
 7-8     concerning the signature.  Section 2054.060 does not apply to the
 7-9     electronic approval of a voucher under Chapter 2103.
7-10           (f)  The use of a digital signature under this section is
7-11     subject to criminal laws pertaining to fraud and computer crimes,
7-12     including Chapters 32 and 33, Penal Code.
7-13           (g)  In this section, "digital signature" has the meaning
7-14     assigned by Section 2.108(d), Business & Commerce Code.
7-15           SECTION 9.  Subchapter B, Chapter 403, Government Code, is
7-16     amended by adding Section 403.030, to read as follows:
7-17           Sec. 403.030.  INTELLECTUAL PROPERTY.  (a)  The comptroller
7-18     may:
7-19                 (1)  apply for, register, secure, hold, and protect
7-20     under the laws of the United States or any state or nation:
7-21                       (A)  a patent for the invention, discovery, or
7-22     improvement of any process, machine, manufacture, or composition of
7-23     matter;
7-24                       (B)  a copyright for an original work of
7-25     authorship fixed in any tangible medium of expression, now known or
7-26     later developed, from which it can be perceived, reproduced, or
 8-1     otherwise communicated, either directly or with the aid of a
 8-2     machine or device;
 8-3                       (C)  a trademark, service mark, collective mark,
 8-4     or certification mark for a word, name, symbol, device, or slogan
 8-5     that the comptroller uses to identify and distinguish the
 8-6     comptroller's goods and services from other goods and services; or
 8-7                       (D)  other evidence of protection or exclusivity
 8-8     issued for intellectual property;
 8-9                 (2)  contract with a person for the sale, lease,
8-10     marketing, or other distribution of the comptroller's intellectual
8-11     property;
8-12                 (3)  obtain under a contract described in Subdivision
8-13     (2) a royalty, license right, or other appropriate means of
8-14     securing reasonable compensation for the development or purchase of
8-15     the comptroller's intellectual property; and
8-16                 (4)  waive or reduce the amount of compensation secured
8-17     by contract under Subdivision (3) if the comptroller determines
8-18     that the waiver or reduction will:
8-19                       (A)  further a goal or mission of the
8-20     comptroller; and
8-21                       (B)  result in a net benefit to the state.
8-22           (b)  Intellectual property is excepted from required
8-23     disclosure under Chapter 552 if the comptroller has applied for or
8-24     received a patent, copyright, trademark, service mark, collective
8-25     mark, certification mark, or other evidence of protection or
8-26     exclusivity concerning the property.
 9-1           (c)  Except as provided in Section 2054.115(c), money paid to
 9-2     the comptroller under this section shall be deposited to the credit
 9-3     of the general revenue fund.
 9-4           (d)  Notwithstanding any law of this state, the comptroller
 9-5     may award to an employee of the comptroller who conceives, creates,
 9-6     discovers, invents, or develops intellectual property an
 9-7     appropriate amount of equity interest or participation in the
 9-8     research, development, licensing, or exploitation of that property.
 9-9           (e)  The comptroller shall establish intellectual property
9-10     policies for the comptroller's office that include minimum
9-11     standards for:
9-12                 (1)  the public disclosure or availability of products,
9-13     technology, and scientific information, including inventions,
9-14     discoveries, trade secrets, and computer softwear;
9-15                 (2)  review by the comptroller's office of products,
9-16     technology, and scientific information, including consideration of
9-17     ownership and appropriate legal protection;
9-18                 (3)  the licensing of products, technology, and
9-19     scientific information;
9-20                 (4)  the identification of ownership and licensing
9-21     responsibilities for each class of intellectual property; and
9-22                 (5)  royalty participation by inventors and the
9-23     comptroller's office.
9-24           SECTION 10.  Section 403.055, Government Code, is amended by
9-25     amending Subsections (b)-(c), redesignating Subsection (h) as
9-26     Subsection (i), redesignating Subsection (i) as Subsection (j),
 10-1    redesignating Subsection (j) as Subsection (l), redesignating
 10-2    Subsection (k) as Subsection (m), and adding Subsection (k), to
 10-3    read as follows:
 10-4          (b)  Except as provided by this section, the [The]
 10-5    comptroller may not issue a warrant or initiate an electronic funds
 10-6    transfer to the assignee of a person who has been reported properly
 10-7    under Subsection (f) if the assignment became effective after the
 10-8    person became indebted to the state or incurred a tax delinquency.
 10-9          (c)  If [When] this section prohibits the comptroller from
10-10    issuing a warrant or initiating an electronic funds transfer to a
10-11    person, the comptroller may [not] issue a warrant or initiate an
10-12    electronic funds transfer only as provided by this section to:
10-13                (1)  the person's estate;
10-14                (2)  the distributees of the person's estate; or
10-15                (3)  the person's surviving spouse.
10-16          (i) [(h)]  This section does not apply:
10-17                (1)  to the extent Section 57.48, Education Code,
10-18    applies; or
10-19                (2)  to the extent this section conflicts with Section
10-20    231.007, Family Code.
10-21          (j) [(i)]  This section does not prohibit the comptroller
10-22    from issuing a warrant or initiating an electronic funds transfer
10-23    if:
10-24                (1)  the warrant or transfer would result in a payment
10-25    being made in whole or in part with money paid to the state by the
10-26    United States; and
 11-1                (2)  the state agency that administers the money
 11-2    certifies to the comptroller that federal law:
 11-3                      (A)  requires the payment to be made; or
 11-4                      (B)  conditions the state's receipt of the money
 11-5    on the payment being made.
 11-6          (k)  This section does not prohibit the comptroller from
 11-7    issuing a warrant or initiating an electronic funds transfer to a
 11-8    person, the person's assignee, the person's estate, the
 11-9    distributees of the person's estate, or the person's surviving
11-10    spouse if each state agency that properly reported the person to
11-11    the comptroller under Subsection (f) consents to issuance of the
11-12    warrant or initiation of the transfer.
11-13          (l) [(j)]  The comptroller may adopt rules and establish
11-14    procedures to administer this section.
11-15          (m) [(k)]  In this section:
11-16                (1)  "Compensation" means base salary or wages,
11-17    longevity pay, hazardous duty pay, benefit replacement pay, or an
11-18    emolument provided in lieu of base salary or wages.
11-19                (2)  "State agency" means a board, commission, council,
11-20    committee, department, office, agency, or other governmental entity
11-21    in the executive, legislative, or judicial branch of state
11-22    government.  The term includes an institution of higher education
11-23    as defined by Section 61.003, Education Code, other than a public
11-24    junior or community college.
11-25                (3)  "State officer or employee" means an officer or
11-26    employee of a state agency.
 12-1                (4)  "Tax delinquency" means a delinquency in payment
 12-2    of:
 12-3                      (A)  a tax to the state; or
 12-4                      (B)  a tax that the comptroller administers or
 12-5    collects.
 12-6          SECTION 11.  Section 403.0551(d), Government Code, is amended
 12-7    to read as follows:
 12-8          (d)  This section does not authorize the comptroller to
 12-9    deduct the amount of a state employee's indebtedness to a state
12-10    agency from any amount of compensation owed by the agency to the
12-11    employee, the employee's successor, or the assignee of the employee
12-12    or successor.  In this subsection, "compensation," "indebtedness,"
12-13    "state agency," "state employee," and "successor" have the meanings
12-14    assigned by Section 668.001 [666.001].
12-15          SECTION 12.  (a)  Effective immediately, Section 403.0552(b),
12-16    Government Code, is amended to read as follows:
12-17          (b)  Except as provided in this subsection, the [The]
12-18    comptroller may prepare a warrant to make a payment that Section
12-19    57.48, Education Code, Section 231.007, Family Code, or Section
12-20    403.055 prohibits the comptroller from initiating by electronic
12-21    funds transfer.  The comptroller shall prepare the warrant if the
12-22    payment is overdue under Section 2251.021.
12-23          (b)  Effective September 1, 2001, Section 403.0552(c),
12-24    Government Code, is amended to read as follows:
12-25          (c)  If the comptroller prepares a warrant under Subsection
12-26    (a) or (b), the comptroller shall:
 13-1                (1)  make the warrant payable to the person to whom the
 13-2    warrant may not be issued or an electronic funds transfer may not
 13-3    be initiated; and
 13-4                (2)  retain the warrant until the earliest of:
 13-5                      (A)  the first day the warrant may no longer be
 13-6    paid by the comptroller under Section 404.046 or other applicable
 13-7    law;
 13-8                      (B)  the date the comptroller deducts the amount
 13-9    of the person's indebtedness to the state or tax delinquency from
13-10    the amount of the warrant under Section 403.0551[, Chapter 666,] or
13-11    other applicable law; [or]
13-12                      (C)  the date the comptroller recovers the amount
13-13    of the person's indebtedness to the state under Chapter 668; or
13-14                      (D) [(C)]  the first day the comptroller is no
13-15    longer prohibited from issuing the warrant or initiating an
13-16    electronic funds transfer to that person.
13-17          SECTION 13.  Section 403.0915, Government Code, is amended to
13-18    read as follows:
13-19          Sec. 403.0915.  DORMANT FUND OR ACCOUNT.  At any time the
13-20    comptroller, with notification to the state auditor, may transfer
13-21    to the general revenue fund a balance in a dormant fund or account
13-22    if the source of the fund or account is unknown or the purpose for
13-23    which it was collected is moot.  The legislature at any time after
13-24    the transfer may appropriate the balance as a refund if the source
13-25    and purpose of the fund or account become known and active.  [The
13-26    comptroller shall report any dormant funds or accounts to the Funds
 14-1    Review Advisory Committee.]
 14-2          SECTION 14.  Section 403.273, Government Code, is amended to
 14-3    read as follows:
 14-4          Sec. 403.273.  PROPERTY MANAGER; PROPERTY INVENTORY.
 14-5    (a)  The head of each state agency is responsible for the custody
 14-6    and care of [state] property in the agency's possession.
 14-7          (b)  The head of each state agency shall designate a property
 14-8    manager and inform the comptroller of the designation.  Subject to
 14-9    comptroller approval, more than one property manager may be
14-10    designated [appointed by the agency head].
14-11          (c)  The property manager of a state agency shall maintain
14-12    the records required and be the custodian of all property possessed
14-13    by the agency.
14-14          (d) [(e)]  When a state [an] agency's property is entrusted
14-15    to a person other than the agency's property manager, [the property
14-16    manager shall require a written receipt from] the person [receiving
14-17    custody of] to whom the property is entrusted shall provide a
14-18    written receipt to the manager.  A [When the property of one] state
14-19    agency may lend its property [is lent] to another state agency[,]
14-20    only if the head of the agency lending the property provides
14-21    written authorization for the lending [must be authorized in
14-22    writing by the head of the agency that is lending the property].
14-23    The [A written receipt must be executed by the] head of the agency
14-24    to which [that is receiving] the property is lent must execute a
14-25    written receipt.
14-26          (e) [(f)]  A [On the date prescribed by the comptroller, a]
 15-1    state agency shall conduct an annual [make a complete] physical
 15-2    inventory of all property in its possession.  [The inventory must
 15-3    be completed once each year.]  The comptroller may specify the date
 15-4    on which the inventory must be conducted.
 15-5          (f) [(g)]  Not later than [Within 45 days after] the
 15-6    [inventory] date prescribed by the comptroller, the head of a
 15-7    [each] state agency shall submit [forward] to the comptroller:
 15-8                (1)  a signed statement describing the methods [method]
 15-9    used to conduct [verify] the agency's annual physical inventory
15-10    under Subsection (e); [and]
15-11                (2)  a copy of the results of the inventory; and
15-12                (3)  any other information concerning the inventory
15-13    that the comptroller requires.
15-14          (g) [(h)]  At all times, the [The] property records of a
15-15    [prepared by each] state agency must accurately reflect the
15-16    property [currently] possessed by the agency.  [The agency must use
15-17    the methods prescribed by the comptroller to delete property from
15-18    the agency's property records.]  Property [that has become surplus
15-19    or obsolete and no longer serviceable] may be deleted from the
15-20    agency's records only in accordance with rules adopted [upon
15-21    authorization] by the comptroller. [Property that is missing or
15-22    that is disposed of directly by the agency shall be deleted from
15-23    the comptroller's records on approval by the state auditor.]
15-24          (h)  The state auditor shall periodically examine each state
15-25    agency's property records or inventory as necessary to determine if
15-26    controls are adequate to safeguard property in the agency's
 16-1    possession.
 16-2          SECTION 15.  Section 403.274, Government Code, is amended to
 16-3    read as follows:
 16-4          Sec. 403.274.  CHANGE OF AGENCY HEAD OR PROPERTY MANAGER.
 16-5    When the head or property manager of a state [an] agency changes,
 16-6    the outgoing [new] head of agency or property manager [of the
 16-7    agency] shall complete the form required by the comptroller about
 16-8    property in the agency's possession.  The outgoing head of agency
 16-9    or property manager shall deliver the form to the incoming [execute
16-10    a receipt for all agency property accounted for to the outgoing
16-11    agency] head of agency or property manager.  After verifying the
16-12    information on and signing the form, the incoming head of agency or
16-13    property manager shall submit a (A) copy of the form [receipt shall
16-14    be delivered] to the comptroller[,the state auditor, and the
16-15    outgoing agency head or property manager].
16-16          SECTION 16.  Section 403.276, Government Code, is amended to
16-17    read as follows:
16-18          Sec. 403.276.  REPORTING TO COMPTROLLER [STATE AUDITOR] AND
16-19    ATTORNEY GENERAL.  (a)  If the [a] head or property manager of a
16-20    state [an] agency has reasonable cause to believe that any [state]
16-21    property in the agency's possession has been lost, destroyed, or
16-22    damaged through the negligence [or fault] of any state official or
16-23    employee, the head of agency [head responsible] or property manager
16-24    shall [immediately] report the loss, destruction, or damage to the
16-25    comptroller [state auditor] and [to] the attorney general not later
16-26    than the date established by the comptroller.  If the head or
 17-1    property manager of a state agency has reasonable cause to believe
 17-2    that any property in the agency's possession has been stolen, the
 17-3    head of agency or property manager shall report the theft to the
 17-4    comptroller, the attorney general, and the appropriate law
 17-5    enforcement agency not later than the date established by the
 17-6    comptroller.
 17-7          (b)  The attorney general may [shall] investigate a report
 17-8    received under Subsection (a) [of loss, destruction, or damage to
 17-9    state property].
17-10          (c)  If an [the] investigation by the attorney general under
17-11    Subsection (b) reveals [discloses] that a property loss has been
17-12    sustained [by the state] through the negligence [fault] of a state
17-13    official or employee, the attorney general shall make written
17-14    demand on the [state] official or employee for reimbursement of [to
17-15    the state for] the loss [sustained].
17-16          (d)  If the demand made by the attorney general under
17-17    Subsection (c) [for reimbursement for property loss, destruction,
17-18    or damage] is refused or disregarded [by the state official or
17-19    employee on whom such demand is made], the attorney general may
17-20    take legal action to recover the value of the [state] property as
17-21    the attorney general deems necessary.
17-22          (e)  Venue for all suits instituted under this section
17-23    against a state official or employee is in a court of appropriate
17-24    jurisdiction of Travis County.
17-25          SECTION 17.  Section 447.001, Government Code, is amended to
17-26    read as follows:
 18-1          Sec. 447.001.  ESTABLISHMENT OF CENTER.  The energy
 18-2    management center is established as the state energy conservation
 18-3    office within [in] the office of the comptroller [General Services
 18-4    Commission] and shall be authorized to promote those policies of
 18-5    the state enumerated in this chapter.
 18-6          SECTION 18.  The heading for Subchapter C, Chapter 659,
 18-7    Government Code, is amended to read as follows:
 18-8                  SUBCHAPTER C.  [COMPENSATORY] PER DIEM.
 18-9          SECTION 19.  Subchapter C, Chapter 659, Government Code, is
18-10    amended by adding Section 659.034, to read as follows:
18-11          Sec. 659.034.  CERTAIN ADVISORY COMMITTEES.  (a)  This
18-12    section applies to a member of an advisory committee only if:
18-13                (1)  the statutory authorization or requirement for
18-14    reimbursing or paying a travel or other expense incurred while the
18-15    member provided services as a committee member was specifically
18-16    repealed by:
18-17                      (A)  Chapter 165, Acts of the 74th Legislature,
18-18    Regular Session, 1995, which enacted the Transportation Code
18-19    effective September 1, 1995;
18-20                      (B)  Chapter 1008, Acts of the 75th Legislature,
18-21    Regular Session, 1997, which enacted the Finance Code effective
18-22    September 1, 1997;
18-23                      (C)  Chapter 166, Acts of the 75th Legislature,
18-24    Regular Session, 1997, which enacted the Utilities Code effective
18-25    September 1, 1997; or
18-26                      (D)  Chapter 388, Acts of the 76th Legislature,
 19-1    Regular Session, 1999, which enacted the Occupations Code effective
 19-2    September 1, 1999; and
 19-3                (2)  an official "Revisor's Note" of the Texas
 19-4    Legislative Council says that the authorization or requirement
 19-5    described in Subdivision (1) was omitted from the Transportation
 19-6    Code, the Finance Code, the Utilities Code, or the Occupations Code
 19-7    because Article 6252-33, Revised Statutes, impliedly repealed the
 19-8    authorization or requirement effective September 1, 1993.
 19-9          (b)  A travel or other expense incurred by an advisory
19-10    committee member covered by this section is payable or reimbursable
19-11    if and to the extent the statute described in Subsection (a)
19-12    authorized or required the payment or reimbursement before the
19-13    effective date of the statute's repeal.
19-14          (c)  Subsections (a) and (b) do not apply to an advisory
19-15    committee covered by:
19-16                (1)  Section 15.407, Finance Code; or
19-17                (2)  Section 56.113, Utilities Code.
19-18          (d)  In this section, "advisory committee" has the meaning
19-19    assigned by Section 2110.001.
19-20          SECTION 20.  Section 659.044, Government Code, is amended by
19-21    amending Subsection (a) and adding Subsection (e), to read as
19-22    follows:
19-23          (a)  Except as provided in Subsection (e), the [The] monthly
19-24    amount of longevity pay is $4 for each year of lifetime service
19-25    credit.
19-26          (e)  This subsection applies only to an employee of the Texas
 20-1    Youth Commission who is receiving less than the maximum amount of
 20-2    hazardous duty pay that the commission may pay to the employee
 20-3    under Section 659.303.  The employee's monthly amount of longevity
 20-4    pay is the sum of:
 20-5                (1)  $4 for each year of lifetime service credit, which
 20-6    may not include any period served in a hazardous duty position; and
 20-7                (2)  the lesser of:
 20-8                      (A)  $4 for each year served in a hazardous duty
 20-9    position; and
20-10                      (B)  the difference between:
20-11                            (i)  $7 for each year served in a hazardous
20-12    duty position; and
20-13                            (ii)  the amount paid by the commission for
20-14    each year served in a hazardous duty position.
20-15          SECTION 21.  Section 659.046, Government Code, is amended by
20-16    adding Subsection (f), to read as follows:
20-17          (f)  The amount of an employee's lifetime service credit does
20-18    not include the period served in a hazardous duty position if the
20-19    employee is:
20-20                (1)  entitled to receive hazardous duty pay under
20-21    Section 659.302; or
20-22                (2)  receiving the maximum amount of hazardous duty pay
20-23    that the Texas Youth Commission may pay to the employee under
20-24    Section 659.303.
20-25          SECTION 22.  Section 659.254(c), Government Code, is amended
20-26    to read as follows:
 21-1          (c)  An employee whose classified position is reallocated by
 21-2    the General Appropriations Act or reclassified under Chapter 654 to
 21-3    a higher salary group will be paid at the minimum salary rate in
 21-4    the higher salary group or at the salary rate the employee would
 21-5    have received without the reallocation or reclassification,
 21-6    whichever rate is higher, except[:(1)] to maintain desirable salary
 21-7    relationships among employees in the affected positions, the salary
 21-8    may be adjusted not more than:
 21-9                (1) [(A)]  two steps higher, if the employee's salary
21-10    group is divided into steps by the General Appropriations Act; or
21-11                (2) [(B)]  6.8 percent higher, if the employee's salary
21-12    group is not divided into steps by the General Appropriations Act[;
21-13    and (2) the employee may not advance to a step number in the new
21-14    salary group higher than the step number rate held before the
21-15    reallocation or reclassification, if the employee's salary group is
21-16    divided into steps by the General Appropriations Act].
21-17          SECTION 23.  Subsections (b) and (e), Section 659.260,
21-18    Government Code, are amended to read as follows:
21-19          (b)  To facilitate a state agency's work during an emergency
21-20    or other special circumstance, an employee may[:(1)] be temporarily
21-21    assigned to other duties for a period not to exceed six months[;
21-22    and].  The employee is entitled to [(2)] receive during the period
21-23    of reassignment at least the same [appropriate] rate of pay that
21-24    the employee received immediately before the reassignment [for the
21-25    temporary position if the temporary position is classified in a
21-26    salary group with a higher minimum salary rate].  An employee may
 22-1    not be temporarily assigned under this subsection to a position
 22-2    classified in a salary group with a lower minimum salary rate.
 22-3          (e)  While the employee is temporarily assigned under this
 22-4    section, the state agency may not:
 22-5                (1)  award a merit salary increase to the employee; or
 22-6                (2)  promote or demote the employee[; or]
 22-7                [(3)  reduce the employee's salary].
 22-8          SECTION 24.  Chapter 659, Government Code, is amended by
 22-9    adding Subchapter L, to read as follows:
22-10                    SUBCHAPTER L.  HAZARDOUS DUTY PAY.
22-11          Sec. 659.301.  DEFINITIONS.  In this Subchapter:
22-12                (1)  "Full-time state employee" means a state employee
22-13    who normally works at least 40 hours each week.
22-14                (2)  "Hazardous duty position" means a position in the
22-15    service of this state that:
22-16                      (A)  renders any individual holding that position
22-17    a state employee; or
22-18                      (B)  requires the performance of hazardous duty.
22-19                (3)  "Institution of higher education" has the meaning
22-20    assigned by Section 61.003, Education Code.
22-21                (4)  "Part-time state employee" means a state employee
22-22    who is not a full-time state employee.
22-23                (5)  "State employee" means an individual who:
22-24                      (A)  is a commissioned law enforcement officer of
22-25    the Department of Public Safety of the State of Texas, the General
22-26    Services Commission, the Texas Alcoholic Beverage Commission, or
 23-1    the institutional division of the Texas Department of Criminal
 23-2    Justice;
 23-3                      (B)  is a commissioned security officer of the
 23-4    comptroller;
 23-5                      (C)  is a law enforcement officer commissioned by
 23-6    the Parks and Wildlife Commission;
 23-7                      (D)  is a commissioned peace officer of an
 23-8    institution of higher education;
 23-9                      (E)  is an employee or official of the Board of
23-10    Pardons and Paroles or the pardons and paroles division of the
23-11    Texas Department of Criminal Justice if the employee or official
23-12    has routine direct contact with inmates of any penal or
23-13    correctional institution or with administratively released
23-14    prisoners subject to the board's jurisdiction;
23-15                      (F)  has been certified to the Employees
23-16    Retirement System of Texas under Section 815.505 as having begun
23-17    employment as a law enforcement officer or custodial officer,
23-18    unless the individual has been certified to the system as having
23-19    ceased employment as a law enforcement officer or custodial
23-20    officer; or
23-21                      (G)  before May 29, 1987, received hazardous duty
23-22    pay based on the terms of any state law if the individual holds a
23-23    position designated under that law as eligible for the pay.
23-24                (6)  "Workday" means any day that is not Saturday,
23-25    Sunday, or a state or national holiday under Section 662.003.  The
23-26    term includes a state or national holiday that the General
 24-1    Appropriations Act prohibits state agencies from observing.
 24-2          Sec. 659.302.  ENTITLEMENT TO RECEIVE HAZARDOUS DUTY PAY.
 24-3    (a)  Hazardous duty pay is included in the compensation paid to an
 24-4    individual for services rendered during a month if the individual:
 24-5                (1)  is a state employee for any portion of the first
 24-6    workday of the month; and
 24-7                (2)  has completed at least twelve months of lifetime
 24-8    service credit not later than the last day of the preceding month.
 24-9          (b)  This section does not apply to an employee of the Texas
24-10    Youth Commission.
24-11          Sec. 659.303.  TEXAS YOUTH COMMISSION EMPLOYEES.  (a)  The
24-12    commission may include hazardous duty pay in the compensation paid
24-13    to an individual for services rendered during a month if the
24-14    individual:
24-15                (1)  has routine direct contact with youth:
24-16                      (A)  placed in a residential facility of the
24-17    commission; or
24-18                      (B)  released under the commission's supervision;
24-19    and
24-20                (2)  has completed at least twelve months of lifetime
24-21    service credit not later than the last day of the preceding month.
24-22          (b)  For the purposes of Subsection (a)(1), an individual who
24-23    is having routine direct contact with youth on any portion of the
24-24    first workday of a month is considered to have routine direct
24-25    contact with youth for the entire month.
24-26          (c)  The commission's authority under Subsection (a) is
 25-1    subject to any conditions or limitations in the General
 25-2    Appropriations Act.
 25-3          (d)  The commission may not pay hazardous duty pay:
 25-4                (1)  from funds authorized for payment of an
 25-5    across-the-board employee salary increase; or
 25-6                (2)  to an employee who works at the commission's
 25-7    central office.
 25-8          (e)  In this section, "commission" means the Texas Youth
 25-9    Commission.
25-10          Sec. 659.304.  INELIGIBILITY TO RECEIVE HAZARDOUS DUTY PAY.
25-11    Hazardous duty pay may be paid only to an individual who is:
25-12                (1)  entitled to receive the pay under Section 659.302;
25-13    or
25-14                (2)  eligible to receive the pay under Section 659.303.
25-15          Sec. 659.305.  AMOUNT OF HAZARDOUS DUTY PAY.  (a)  Except as
25-16    provided in Subsection (b), the amount of a full-time state
25-17    employee's hazardous duty pay for a particular month is the lesser
25-18    of:
25-19                (1)  $7 for each 12-month period of lifetime service
25-20    credit accrued by the employee; and
25-21                (2)  $210.
25-22          (b)  This subsection applies only to a state employee whose
25-23    compensation for services provided to the state during any month
25-24    before August 1987 included hazardous duty pay that was based on
25-25    total state service performed before May 29, 1987.  The amount of a
25-26    full-time state employee's hazardous duty pay for a particular
 26-1    month is the sum of:
 26-2                (1)  $7 for each 12-month period of state service
 26-3    credit the employee finished accruing before May 29, 1987; and
 26-4                (2)  $7 for each 12-month period of lifetime service
 26-5    credit that the employee accrued after the date, which must be
 26-6    before May 29, 1987, on which the employee finished accruing the
 26-7    last 12-month period of state service credit.
 26-8          (c)  The amount determined under Subsection (b)(2) may not
 26-9    exceed $210.
26-10          (d)  For the purposes of Subsections (a)(1) and (b)(2), the
26-11    number of 12-month periods of lifetime service credit that the
26-12    employee has accrued must be determined as of the last day of the
26-13    preceding month.
26-14          (e)  A state employee is considered to be a full-time state
26-15    employee for the purposes of Subsection (a) or (b) if the employee
26-16    is a full-time state employee for any portion of the first workday
26-17    of the month.
26-18          (f)  The amount of a part-time state employee's hazardous
26-19    duty pay is proportional to the amount of a full-time state
26-20    employee's pay under Subsection (a) or (b).
26-21          (g)  A state employee may not receive more than $7 for each
26-22    12-month period of lifetime service credit, regardless of:
26-23                (1)  the number of positions the employee holds; or
26-24                (2)  the number of hours the employee works each week.
26-25          Sec. 659.306.  RESPONSIBILITY FOR PAYING HAZARDOUS DUTY PAY.
26-26    The state agency that employs an individual at the beginning of the
 27-1    first workday of a month must pay any hazardous duty pay that is
 27-2    included in the compensation paid to the individual for services
 27-3    rendered during that month.  If the individual transfers to a
 27-4    second state agency during that month, the first agency remains
 27-5    responsible for paying the full amount of hazardous duty pay for
 27-6    that month.
 27-7          Sec. 659.307.  SERVICE CREDIT.  (a)  The amount of an
 27-8    individual's lifetime service credit equals the number of months
 27-9    the individual has served in a hazardous duty position during the
27-10    individual's lifetime.
27-11          (b)  The amount of an individual's state service credit
27-12    equals the sum of:
27-13                (1)  the amount of the individual's lifetime service
27-14    credit, as determined under Subsection (a); and
27-15                (2)  the number of months during the individual's
27-16    lifetime that the individual has provided services to the state in
27-17    a position that is not a hazardous duty position.
27-18          Sec. 659.308.  ADMINISTRATION.  The comptroller may establish
27-19    procedures and adopt rules to administer this subchapter.
27-20          SECTION 25.  Section 660.203(a), Government Code, is amended
27-21    to read as follows:
27-22          (a)  An individual is entitled to reimbursement for the
27-23    actual expense of meals and lodging incurred while performing the
27-24    duties of the individual's office or employment if the individual
27-25    is:
27-26                (1)  a judicial officer;
 28-1                (2)  a chief administrative officer of a state agency,
 28-2    subject to Subsection (c);
 28-3                (3)  the executive director of the Texas Legislative
 28-4    Council; [or]
 28-5                (4)  the secretary of the senate;
 28-6                (5)  a member of the Texas Natural Resource
 28-7    Conservation Commission, the Texas Workforce Commission, the Public
 28-8    Utility Commission of Texas, the Board of Pardons and Paroles, or
 28-9    the Sabine River Compact Administration; or
28-10                (6)  a full-time member of a board and receives a
28-11    salary from the state for service on that board.
28-12          SECTION 26.  Chapter 666, Government Code, as added by
28-13    Section 1.27, Chapter 1467, Acts of the 76th Legislature, Regular
28-14    Session, 1999, is redesignated as Chapter 668, Subtitle B, Title 6,
28-15    Government Code, and amended to read as follows:
28-16           CHAPTER 668 [666].  RECOVERING [PAYROLL DEDUCTION TO
28-17          RECOUP] EXCESS COMPENSATION PAID TO A STATE OFFICER OR
28-18                                 EMPLOYEE.
28-19          Sec. 668.001 [666.001].  DEFINITIONS.  In this chapter:
28-20                (1)  "Compensation" includes:
28-21                      (A)  base salary or wages;
28-22                      (B)  longevity or hazardous duty pay;
28-23                      (C)  benefit replacement pay;
28-24                      (D)  a payment for the balance of vacation and
28-25    sick leave under Subchapter B, Chapter 661;
28-26                      (E)  a payment for the accrued balance of
 29-1    vacation time under Subchapter C, Chapter 661; and
 29-2                      (F)  an emolument provided in lieu of base salary
 29-3    or wages.
 29-4                (2)  "Indebtedness" means the amount of compensation
 29-5    paid to a state employee that exceeds the amount the employee is
 29-6    eligible to receive under law because at the time the compensation
 29-7    was paid:
 29-8                      (A)  The employee was ineligible to receive the
 29-9    entire amount paid; or
29-10                      (B)  The employee's eligibility to receive the
29-11    entire amount paid was conditioned on:
29-12                            (i)  the occurrence of an event that did
29-13    not occur; or
29-14                            (ii)  the employee's fulfillment of a
29-15    promise that the employee did not fulfill.
29-16                (3)  "State agency" means a board, commission, council,
29-17    committee, department, office, agency, or other governmental entity
29-18    in the executive, legislative, or judicial branch of state
29-19    government.  The term includes:
29-20                      (A)  the Texas Guaranteed Student Loan
29-21    Corporation; and
29-22                      (B)  an institution of higher education as
29-23    defined by Section 61.003, Education Code, other than a public
29-24    junior or community college.
29-25                (4)  "State employee" means an officer or employee of a
29-26    state agency.
 30-1                (5)  "Successor" means:
 30-2                      (A)  the estate of a deceased state employee;
 30-3                      (B)  the surviving spouse of a deceased state
 30-4    employee; or
 30-5                      (C)  the distributees of the estate of a deceased
 30-6    state employee.
 30-7          Sec. 668.002 [666.002].  RECOVERY [DEDUCTION] AUTHORIZATION.
 30-8    (a)  A state agency may recover in accordance with this chapter
 30-9    [deduct] the amount of a state employee's indebtedness to the
30-10    agency [from any amount of compensation the agency owes the
30-11    employee or the employee's successor] if:
30-12                (1)  the agency provides a notice to the employee or
30-13    successor that complies with Section 668.003 [666.003];
30-14                (2)  the agency provides the employee or successor with
30-15    an opportunity to exercise any due process or other constitutional
30-16    or statutory protection that must be accommodated before the agency
30-17    may begin a collection action or procedure:
30-18                (3)  the agency determines that the recovery
30-19    [deduction] would not violate any applicable law or rule of this
30-20    state or the United States; and
30-21                (4)  the comptroller is not responsible under Section
30-22    404.046, 404.069, or 2103.003 for paying the amount owed by the
30-23    agency to the employee or successor through the issuance of a
30-24    warrant or initiation of an electronic funds transfer.
30-25          (b)  The comptroller may recover in accordance with this
30-26    chapter [deduct] the amount of a state employee's indebtedness to a
 31-1    state agency [from any amount of compensation the agency owes the
 31-2    employee or the employee's successor] if:
 31-3                (1)  the agency provides a notice to the employee or
 31-4    successor that complies with Section 668.003 [666.003];
 31-5                (2)  the agency's request for [agency requests] the
 31-6    comptroller to recover [make] the indebtedness complies [deduction
 31-7    in accordance] with Section 668.005 [666.005]; and
 31-8                (3)  the comptroller is responsible under Section
 31-9    404.046, 404.069, or 2103.003 for paying the amount owed by the
31-10    agency to the employee or the successor through the issuance of a
31-11    warrant or initiation of an electronic funds transfer.
31-12          (c)  A state agency may recover the amount of a state
31-13    employee's indebtedness to the agency under this chapter by:
31-14                (1)  deducting the amount of the indebtedness from any
31-15    amount of compensation the agency owes the employee or the
31-16    employee's successor; or
31-17                (2)  reducing the gross amount of base salary or wages
31-18    that the agency owes the employee or the employee's successor for
31-19    services provided by the employee during any pay period after the
31-20    pay period in which the indebtedness was incurred.
31-21          (d)  The comptroller may recover the amount of a state
31-22    employee's indebtedness to a state agency under this chapter by:
31-23                (1)  deducting the amount of the indebtedness from any
31-24    amount of compensation the agency owes the employee or the
31-25    employee's successor; or
31-26                (2)  reducing the gross amount of base salary or wages
 32-1    that the agency owes the employee or the employee's successor for
 32-2    services provided by the employee during any pay period after the
 32-3    pay period in which the indebtedness was incurred.
 32-4          (e)  For the purposes of Subsections (c)(2) and (d)(2), an
 32-5    indebtedness is incurred during the pay period the compensation is
 32-6    earned by the employee.  For the purpose of this subsection,
 32-7    compensation is earned without regard to whether the amount of that
 32-8    compensation exceeds the amount the employee was eligible to
 32-9    receive.
32-10          Sec. 668.003 [666.003]  NOTICE.  (a)  A state agency shall
32-11    provide notice to a state employee or the employee's successor
32-12    before the agency:
32-13                (1)  recovers [deducts] the amount of the employee's
32-14    indebtedness to the agency under Section 668.002(a) [666.002(a)];
32-15    or
32-16                (2)  requests the comptroller to recover the amount of
32-17    the employee's indebtedness to the agency [make a deduction] under
32-18    Section 668.002(b) [666.002(b)].
32-19          (b)  The notice must:
32-20                (1)  be given in a manner reasonably calculated to give
32-21    actual notice to the employee or successor;
32-22                (2)  state the:
32-23                      (A)  amount of the indebtedness; and
32-24                      (B)  name of the indebted employee;
32-25                (3)  specify the date by which the indebtedness must be
32-26    paid; and
 33-1                (4)  inform the employee or successor that unless the
 33-2    indebtedness is paid on or before the date specified, the amount of
 33-3    the indebtedness may be recovered by:
 33-4                      (A)  deducting it [deducted] from any amount of
 33-5    compensation the agency owes the employee or successor; or
 33-6                      (B)  reducing the gross amount of base salary or
 33-7    wages that the agency owes the employee or successor for services
 33-8    provided by the employee during any pay period after the pay period
 33-9    in which the indebtedness was incurred.
33-10          (c)  For the purpose of Subsection (b)(4)(B), an indebtedness
33-11    is incurred during the pay period the compensation is earned by the
33-12    employee.  For the purpose of this subsection, compensation is
33-13    earned without regard to whether the amount of that compensation
33-14    exceeds the amount the employee was eligible to receive.
33-15          Sec. 668.004 [666.004].  PAYMENT OF AMOUNT REMAINING.  Any
33-16    amount that remains owed after a recovery [deduction] under Section
33-17    668.002 [666.002] shall be paid to the state employee or successor.
33-18          Sec. 668.005 [666.005].  RECOVERY [DEDUCTION] REQUESTS TO THE
33-19    COMPTROLLER.  (a)  A state agency may not request the comptroller
33-20    to make a recovery [deduction from compensation owed to a state
33-21    employee or successor] under Section 668.002(b) [666.002(b)] before
33-22    the agency:
33-23                (1)  provides the employee or successor the opportunity
33-24    to exercise any due process or other constitutional or statutory
33-25    protection that must be accommodated before a collection action or
33-26    procedure may begin; and
 34-1                (2)  determines that the recovery [deduction] would not
 34-2    violate any applicable law or rule of this state or the United
 34-3    States.
 34-4          (b)  The comptroller may not investigate or determine whether
 34-5    the agency has complied with Subsection (a)(1).  The comptroller
 34-6    may rely on a determination made under Subsection (a)(2).
 34-7          (c)  A state agency's request to the comptroller to make a
 34-8    recovery [deduction] under Section 668.002(b) [666.002(b)] must
 34-9    comply with the comptroller's requirements for format, content, and
34-10    frequency.
34-11          Sec. 668.006 [666.006].  ASSIGNEES.  (a)  The assignee of a
34-12    state employee or the employee's successor is considered to be a
34-13    successor for the purposes of this chapter, except that a recovery
34-14    [deduction] under this chapter from the compensation or base salary
34-15    or wages owed to the assignee of a state employee or the employee's
34-16    successor may not be made if the assignment became effective before
34-17    [after] the employee incurred the indebtedness.
34-18          (b)  For the purpose of Subsection (a), an indebtedness is
34-19    incurred on:
34-20                (1)  the date the compensation is paid, if eligibility
34-21    to receive the entire amount of the compensation was not
34-22    conditioned on a state employee fulfilling a promise; or
34-23                (2)  the day after the deadline for a state employee to
34-24    fulfill a promise, if eligibility to receive the entire amount of
34-25    the compensation was conditioned on the employee fulfilling the
34-26    promise.
 35-1          (c)  This chapter neither authorizes nor prohibits a state
 35-2    employee or the employee's successor from assigning the employee's
 35-3    or successor's right or eligibility to receive compensation.
 35-4          Sec. 668.007.  OTHER METHODS OF RECOVERY NOT PROHIBITED.
 35-5    This chapter does not prohibit the comptroller or a state agency
 35-6    from recovering an indebtedness in any manner authorized by a law
 35-7    outside this chapter.
 35-8          Sec. 668.008 [666.007].  ADMINISTRATION.  The comptroller may
 35-9    adopt rules and establish procedures to administer this chapter.
35-10          SECTION 27.  Sections 2101.011(a)-(c), Government Code, are
35-11    amended to read as follows:
35-12          (a)  In this section:
35-13                (1)  "Annual financial report" means the annual
35-14    financial report required by this section.
35-15                (2)  "Appropriated money" means money appropriated by
35-16    the legislature under the General Appropriations Act or other law.
35-17                [(2)  "Appropriation item" includes an item listed in
35-18    the General Appropriations Act under an informational listing of
35-19    appropriated funds.]
35-20          (b)  Not later than November 20 of each year, a [the
35-21    executive head of each] state agency shall submit an annual
35-22    financial report regarding the agency's use of appropriated money
35-23    during the preceding fiscal year to:
35-24                (1)  the governor;
35-25                (2)  the comptroller;
35-26                (3)  the Legislative Reference Library;
 36-1                (4)  the state auditor; and
 36-2                (5)  the Legislative Budget Board.
 36-3          (c)  A state agency's [The] annual financial report must
 36-4    include[:  (1)] a detailed statement of all assets, liabilities,
 36-5    and fund balances, including:
 36-6                (1) [(A)]  cash on hand and on deposit in banks and
 36-7    accounts in the state treasury;
 36-8                (2) [(B)]  the value of consumable supplies and
 36-9    postage;
36-10                (3) [(C)]  the value of the [state] agency's inventory
36-11    of movable equipment and other fixed assets;
36-12                (4) [(D)]  all other assets;
36-13                (5) [(E)]  an itemization [a list] of the investments,
36-14    bonds, notes, and other securities owned by any special funds under
36-15    the agency's jurisdiction [of the state agency], including the
36-16    amount and value of the securities;
36-17                (6) [(F)]  all money due the [state] agency from any
36-18    source;
36-19                (7) [(G)]  all outstanding commitments of the agency,
36-20    including amounts due for services or goods received by the agency;
36-21                (8) [(H)]  a summary by source of all revenue collected
36-22    or accruing through the [state] agency;
36-23                (9) [(I)]  a summary of all appropriations,
36-24    expenditures, bona fide encumbrances, and other disbursements by
36-25    the [state] agency; and
36-26                (10)  any other financial information requested by the
 37-1    comptroller.
 37-2                [(2)  a list of all bonded employees, including the
 37-3    name of the surety company, the name and title of the employee, and
 37-4    the amount of the surety bond;]
 37-5                [(3)  an analysis of space occupied by the state
 37-6    agency, including:]
 37-7                      [(A)  the total number of square feet of space
 37-8    rented by the agency;]
 37-9                      [(B)  the total number of square feet of occupied
37-10    space in state-owned buildings;]
37-11                      [(C)  the name and address of each building in
37-12    which the state agency occupies space and the number of square feet
37-13    in each building devoted to a particular use;]
37-14                      [(D)  the cost per square foot of all rented
37-15    space;]
37-16                      [(E)  the annual and monthly cost of all rented
37-17    space;]
37-18                      [(F)  the lessor of all rented space;]
37-19                      [(G)  a statement of the state agency's progress
37-20    toward achieving the objective provided by Section 2165.104, if the
37-21    agency is subject to that section; and]
37-22                      [(H)  other information helpful to describe the
37-23    state agency's use of space;]
37-24                [(4)  an itemized statement of all fees paid by the
37-25    state agency for professional and consulting services provided
37-26    under Chapter 2254, including the name of each person receiving
 38-1    fees and the reason for the provision of the services;]
 38-2                [(5)  an itemized statement of all legal services paid
 38-3    by the state agency, other than services provided by an employee of
 38-4    the agency or the attorney general, that includes the name of each
 38-5    person receiving fees and the reason for the provision of the
 38-6    services;]
 38-7                [(6)  a copy of the report, relating to the state
 38-8    agency's use and cost of operating aircraft that is state-owned or
 38-9    under rental or long-term lease, prepared by the agency in
38-10    accordance with Section 2205.041;]
38-11                [(7)  a list of any purchases made under Section
38-12    2155.067, including each product purchased, the purchase amount,
38-13    and the name of each vendor;]
38-14                [(8)  for each fiscal year ending in an even-numbered
38-15    calendar year, a copy of the Master File Report Verification Form
38-16    certified by the General Land Office, if applicable to the state
38-17    agency, to confirm that the agency is in compliance with Subchapter
38-18    E, Chapter 31, Natural Resources Code, or, if the agency's
38-19    inventory record is not accurate and complete, a statement that the
38-20    appropriate forms will be submitted to the General Land Office not
38-21    later than the 15th day after the date of the annual report;]
38-22                [(9)  a copy of the report, relating to the state
38-23    agency's use of historically underutilized businesses, prepared by
38-24    the agency in accordance with Section 2161.124;]
38-25                [(10)  a report of any transfer of appropriated money
38-26    between appropriation items that shows the sum of all transfers
 39-1    affecting a particular item;]
 39-2                [(11)  a list of each passenger vehicle the state
 39-3    agency purchased, including the make and model, purchase price,
 39-4    assigned type of use, and fuel efficiency as expressed by the
 39-5    manufacturer's fuel efficiency rating;]
 39-6                [(12)  a schedule, applicable to state agencies
 39-7    determined by the Legislative Budget Board, detailing total
 39-8    expenditures by or on behalf of a state agency for employee
 39-9    benefits, such as social security, health insurance, and retirement
39-10    contributions, benefit replacement pay, and workers' and
39-11    unemployment compensation payments; bond debt service; and payments
39-12    for general governmental services as determined by the comptroller,
39-13    including services of the comptroller, the attorney general, the
39-14    General Services Commission, the Department of Information
39-15    Resources, and the state auditor;]
39-16                [(13)  for an institution of higher education, the
39-17    total amount of lump-sum payments made to employees who separated
39-18    from state service during the fiscal year for accrued vacation and
39-19    compensatory leave; and]
39-20                [(14)  any other financial information requested by the
39-21    comptroller.]
39-22          SECTION 28.  Subchapter B, Chapter 2101, Government Code, is
39-23    amended by adding Section 2101.0115, to read as follows:
39-24          Sec. 2101.0115.  OTHER INFORMATION REQUIRED OF STATE
39-25    AGENCIES.  (a)  A state agency shall submit an annual report to:
39-26                (1)  the governor;
 40-1                (2)  the comptroller;
 40-2                (3)  the Legislative Reference Library;
 40-3                (4)  the state auditor; and
 40-4                (5)  the Legislative Budget Board.
 40-5          (b)  A state agency's annual report must cover an entire
 40-6    fiscal year.  The agency shall submit the report not later than the
 40-7    date and in the form prescribed by the comptroller.
 40-8          (c)  A state agency's annual report must include:
 40-9                (1)  the name and job title of each bonded agency
40-10    employee, the amount of the bond, and the name of the surety
40-11    company that issued the bond;
40-12                (2)  an analysis of space occupied by the agency,
40-13    including:
40-14                      (A)  the total amount of space rented by the
40-15    agency, expressed in square feet;
40-16                      (B)  the total amount of space occupied by the
40-17    agency in state-owned buildings, expressed in square feet;
40-18                      (C)  the name and address of each building in
40-19    which the agency occupies space and the amount of square feet in
40-20    each building devoted to each particular use;
40-21                      (D)  the cost per square foot of all rented
40-22    space;
40-23                      (E)  the annual and monthly cost of all rented
40-24    space;
40-25                      (F)  the name of each lessor of space rented by
40-26    the agency;
 41-1                      (G)  a description of the agency's progress
 41-2    toward achieving the objective provided by Section 2165.104, if the
 41-3    agency is subject to that section; and
 41-4                      (H)  any other information helpful to describe
 41-5    the agency's use of space;
 41-6                (3)  an itemization of all fees paid by the agency for
 41-7    professional or consulting services provided under Subchapter A or
 41-8    B, Chapter 2254, including the name of each person receiving those
 41-9    fees and the reason for the provision of the services;
41-10                (4)  an itemization of all fees paid by the agency for
41-11    legal services, other than legal services provided by an agency
41-12    employee or the attorney general, including the name of each person
41-13    receiving those fees and the reason for the provision of the
41-14    services;
41-15                (5)  a copy of the report prepared by the agency under
41-16    Section 2205.041, relating to the agency's use and cost of
41-17    operating aircraft that are state-owned or under rental or
41-18    long-term lease;
41-19                (6)  an itemization of any purchases made under Section
41-20    2155.067, including each product purchased, the amount of the
41-21    purchase, and the name of the vendor;
41-22                (7)  for each fiscal year ending in an even-numbered
41-23    calendar year:
41-24                      (A)  a copy of the master file report
41-25    verification form certified by the General Land Office, if
41-26    applicable to the agency, to confirm that the agency is in
 42-1    compliance with Subchapter E, Chapter 31, Natural Resources Code;
 42-2    or
 42-3                      (B)  if the agency's inventory record is
 42-4    inaccurate or incomplete, a statement that the agency will submit
 42-5    the appropriate forms to the General Land Office not later than the
 42-6    15th day after the date the agency submits its annual report;
 42-7                (8)  a copy of the report prepared by the agency under
 42-8    Section 2161.124, relating to the agency's use of historically
 42-9    underutilized businesses;
42-10                (9)  a report of each transfer of appropriated money
42-11    between appropriation items that shows the sum of all transfers
42-12    affecting each item;
42-13                (10)  an itemization of each passenger vehicle the
42-14    agency purchased, including the make, model, purchase price,
42-15    assigned type of use, and fuel efficiency as expressed by the
42-16    manufacturer's fuel efficiency rating;
42-17                (11)  a schedule, applicable to state agencies
42-18    determined by the Legislative Budget Board, detailing total
42-19    expenditures by or on behalf of the agency for:
42-20                      (A)  employee benefits, including social
42-21    security, health insurance, retirement contributions, benefit
42-22    replacement pay, and workers' and unemployment compensation
42-23    payments;
42-24                      (B)  bond debt service; and
42-25                      (C)  payments for general governmental services
42-26    as determined by the comptroller, including services of the
 43-1    comptroller, the attorney general, the General Services Commission,
 43-2    the Department of Information Resources, and the state auditor;
 43-3                (12)  for an institution of higher education, the total
 43-4    amount of lump-sum vacation and compensatory leave payments made to
 43-5    employees who separated from state service during the fiscal year;
 43-6                (13)  the name and job title of each state officer or
 43-7    employee authorized to use a state-owned or state-leased vehicle
 43-8    and the reasons for the authorization, in accordance with Section
 43-9    2113.013; and
43-10                (14)  a report of expenditures made for each commodity
43-11    or service identified under Section 2155.448, including:
43-12                      (A)  the total amount spent on those commodities
43-13    and services;
43-14                      (B)  the total amount spent for commodities and
43-15    services purchased that accomplish the same purpose; and
43-16                      (C)  the total amount spent for all other
43-17    recycled, remanufactured, or environmentally sensitive commodities
43-18    or services, itemized by type of commodity or service.
43-19          (d)  In this section:
43-20                (1)  "Annual report" means the annual report required
43-21    by this section.
43-22                (2)  "Appropriated money" means money appropriated by
43-23    the legislature under the General Appropriations Act or other law.
43-24                (3)  "Appropriation item" includes an item listed in
43-25    the General Appropriations Act under an informational listing of
43-26    appropriated funds.
 44-1          SECTION 29.  Section 2101.012(b), Government Code, is amended
 44-2    to read as follows:
 44-3          (b)  The procedures must:
 44-4                (1)  comply with generally accepted accounting
 44-5    principles as established by the Governmental Accounting Standards
 44-6    Board and the American Institute of Certified Public Accountants or
 44-7    their successors; and
 44-8                (2)  include the requirements for compliance with the
 44-9    federal Single Audit Act of 1984 and Office of Management and
44-10    Budget Circular A-133 [A-128] and any subsequent changes or
44-11    amendments that will fulfill the audit requirements for a statewide
44-12    single audit[; and]
44-13                [(3)  to provide for maximum consistency with the
44-14    national reporting system for higher education, incorporate insofar
44-15    as possible the provisions of the financial accounting and
44-16    reporting manual published by the National Association of College
44-17    and University Business Officers].
44-18          SECTION 30.  Section 2103.004, Government Code, is amended to
44-19    read as follows:
44-20          Sec. 2103.004.  WARRANTS AND ELECTRONIC FUNDS TRANSFERS.
44-21    (a)  A warrant may not be drawn or an electronic funds transfer
44-22    initiated until:
44-23                (1)  the state agency from whose appropriated or
44-24    unappropriated funds the warrant or electronic funds transfer is
44-25    payable has submitted a voucher to the comptroller;
44-26                (2)  the state agency has approved the voucher in
 45-1    accordance with this chapter; and
 45-2                (3)  the comptroller has audited and approved the
 45-3    voucher as required by law.
 45-4          (b)  A state agency's approval of a voucher includes the
 45-5    agency's approval of any interest that must be paid at the same
 45-6    time the principal amount is paid to a vendor under Chapter 2251.
 45-7    In this subsection, "state agency" has the meaning assigned by
 45-8    Section 2251.001.
 45-9          SECTION 31.  Section 2107.008, Government Code, is amended to
45-10    read as follows:
45-11          Sec. 2107.008.  PAYMENTS TO DEBTORS OR DELINQUENTS
45-12    PROHIBITED.  (a)  Except as provided by this section, a state
45-13    agency, as a ministerial duty, may not use funds in or outside the
45-14    state treasury to pay a person if[: (1)] Section 403.055 prohibits
45-15    the comptroller from issuing a warrant or initiating an electronic
45-16    funds transfer to the person [; or (2)].
45-17          (b)  Except as provided by this section, a state agency may
45-18    refuse to use funds in or outside the state treasury to pay a
45-19    person if the person is indebted to the state or has a tax
45-20    delinquency[,] and the agency is responsible for collecting that
45-21    indebtedness or delinquency[, and].  This subsection applies only
45-22    if Section 403.055 does not prohibit the comptroller from issuing a
45-23    warrant or initiating an electronic funds transfer to the person.
45-24          (c) [(b)]  A state agency may not pay the assignee of a
45-25    person that the agency may not pay under Subsection (a) [(a)(1)] if
45-26    Section 403.055 prohibits the comptroller from issuing a warrant or
 46-1    initiating an electronic funds transfer to the assignee.  The
 46-2    agency may refuse to [not] pay the assignee of a person that the
 46-3    agency may refuse to [not] pay under subsection (b) [(a)(2)] if the
 46-4    assignment became effective after the person became indebted to the
 46-5    state or incurred a tax delinquency.
 46-6          (d) [(c)]  A state agency that Subsection (a) prohibits from
 46-7    making a payment to a person also is prohibited from paying any
 46-8    part of that payment to:
 46-9                (1)  the person's estate;
46-10                (2)  the distributees of the person's estate; or
46-11                (3)  the person's surviving spouse.
46-12          (e)  A state agency that may refuse to make a payment to a
46-13    person under Subsection (b) also may refuse to make any part of
46-14    that payment to:
46-15                (1)  the person's estate;
46-16                (2)  the distributees of the person's estate; or
46-17                (3)  the person's surviving spouse.
46-18          (f) [(d)]  This section neither prohibits [does not prohibit]
46-19    a state agency from paying nor authorizes a state agency to refuse
46-20    to pay a person [subject to Subsection (a)(2)] or the person's
46-21    assignee if the agency determines that the person is complying with
46-22    an installment payment agreement or similar agreement between the
46-23    agency and that person to pay or eliminate the debt or delinquency.
46-24          (g) [(e)]  The comptroller may not reimburse a state agency
46-25    for a payment that the comptroller determines was made in violation
46-26    of Subsection (a) [this section].
 47-1          (h) [(f)]  Subsection (b) [(a)(2)] does not authorize
 47-2    [prohibit] a state agency to refuse to pay [from paying]:
 47-3                (1)  the compensation of a state officer or employee;
 47-4    or
 47-5                (2)  the remuneration of an individual if the
 47-6    remuneration is being paid by a private person through the agency.
 47-7          (i) [(g)]  Subsection (b) [(a)(2)] does not authorize
 47-8    [prohibit] a state agency to refuse to make [from making] a payment
 47-9    if:
47-10                (1)  the payment would be made in whole or in part with
47-11    money paid to the state by the United States; and
47-12                (2)  the agency determines that federal law:
47-13                      (A)  requires the payment to be made; or
47-14                      (B)  conditions the state's receipt of the money
47-15    on the payment being made.
47-16          (j) [(h)]  A state agency may not refuse to make a payment
47-17    under Subsection (b) [(a)(2)] before the agency has provided the
47-18    person with an opportunity to exercise any due process or other
47-19    constitutional or statutory protection that must be accommodated
47-20    before the agency or the state may begin a collection action or
47-21    procedure.
47-22          (k)  Subsection (a) does not prohibit a state agency from
47-23    making a payment if each state agency that properly reported the
47-24    person to the comptroller under Section 403.055(f) consents to the
47-25    payment.
47-26          (l) [(i)]  This section does not apply to the extent that
 48-1    Section 57.482, Education Code, applies.
 48-2          (m) [(j)]  This section applies to a payment only if the
 48-3    comptroller is not responsible under Section 404.046, 404.069, or
 48-4    2103.003 for issuing a warrant or initiating an electronic funds
 48-5    transfer to make the payment.
 48-6          (n)  [(k)]  In [Notwithstanding Section 2107.001, in] this
 48-7    section:
 48-8                (1)  "Compensation," ["Compensation," "state agency,"]
 48-9    "state officer or employee," and "tax delinquency" have the
48-10    meanings assigned by Section 403.055.
48-11                (2)  "State agency" has the meaning assigned by Section
48-12    403.055, notwithstanding Section 2107.001(2).
48-13          SECTION 32.  Section 2110.001, Government Code, is amended to
48-14    read as follows:
48-15          Sec. 2110.001.  DEFINITION.  In this chapter, "advisory
48-16    committee" means a committee, council, commission, task force, or
48-17    other entity with multiple members [in the executive branch of
48-18    state government] that[:]
48-19                [(1)  is not a state agency;]
48-20                [(2)  is created by or under state law; and]
48-21                [(3)]  has as its primary function advising a state
48-22    agency in the executive branch of state government.
48-23          SECTION 33.  Chapter 2110, Government Code, is amended by
48-24    adding Sections 2110.0011 and 2110.0012, to read as follows:
48-25          Sec. 2110.0011.  APPLICABILITY OF THIS CHAPTER.  This chapter
48-26    applies unless and to the extent:
 49-1                (1)  another state law specifically says that this
 49-2    chapter does not apply; or
 49-3                (2)  a federal law or regulation:
 49-4                      (A)  imposes an unconditional requirement that
 49-5    irreconcilably conflicts with this chapter; or
 49-6                      (B)  imposes a condition on the state's
 49-7    eligibility to receive money from the federal government that
 49-8    irreconcilably conflicts with this chapter.
 49-9          Sec. 2110.0012.  ESTABLISHMENT OF ADVISORY COMMITTEES.  For
49-10    the purposes of this chapter, a state agency has established an
49-11    advisory committee if:
49-12                (1)  state or federal law has specifically created the
49-13    committee to advise the agency; or
49-14                (2)  the agency has created the committee to advise the
49-15    agency under state or federal law.
49-16          SECTION 34.  Section 2110.002, Government Code, is amended to
49-17    read as follows:
49-18          Sec. 2110.002.  COMPOSITION OF ADVISORY COMMITTEES.  (a)  An
49-19    [Notwithstanding other law, an] advisory committee must be composed
49-20    of a reasonable number of members not to exceed 24.
49-21          (b)  The composition of an advisory [the] committee that
49-22    advises a state agency regarding an industry or occupation
49-23    regulated or directly affected by the agency must [also] provide a
49-24    balanced representation between:
49-25                (1)  the industry or occupation [industries or
49-26    occupations regulated or directly affected by the advised state
 50-1    agency]; and
 50-2                (2)  consumers of services provided [either] by the
 50-3    [advised state] agency, [or] industry, [by industries] or
 50-4    occupation [occupations regulated by the agency].
 50-5          [(b)  This section does not apply to an advisory committee if
 50-6    the committee must be composed in a manner inconsistent with this
 50-7    section under federal law or for federal funding purposes.]
 50-8          SECTION 35.  Section 2110.003(a), Government Code, is amended
 50-9    to read as follows:
50-10          (a)  An advisory committee shall select from among its
50-11    members a presiding officer[, unless a different procedure for
50-12    selecting the presiding officer is prescribed by other law].
50-13          SECTION 36.  Section 2110.004, Government Code, is amended to
50-14    read as follows:
50-15          Sec. 2110.004.  REIMBURSEMENT OF MEMBERS' EXPENSES;
50-16    APPROPRIATIONS PROCESS.  (a)  The money appropriated by the General
50-17    Appropriations Act may be expended to pay or reimburse a
50-18    [Notwithstanding other law, the manner and amount of reimbursement
50-19    for expenses, including] travel or other expense [expenses, of
50-20    members] incurred by a member of an advisory committee [may be
50-21    prescribed] only if:
50-22                (1)  [by] the General Appropriations Act specifically
50-23    provides that the money may be expended for this purpose; or
50-24                (2)  a [through the] budget execution order
50-25    specifically providing for the payment or reimbursement is adopted
50-26    [process] under Chapter 317, except as provided in Subsections (b)
 51-1    - (e) [if the advisory committee is created after it is practicable
 51-2    to address the existence of the committee in the General
 51-3    Appropriations Act].
 51-4          (b)  Not subject to the requirement in Chapter 317 for
 51-5    publication in the Texas Register is:
 51-6                (1)  a proposed budget execution order under Subsection
 51-7    (a)(2);
 51-8                (2)  an adopted budget execution order under Subsection
 51-9    (a)(2); or
51-10                (3)  the approval or rejection of a contingent budget
51-11    execution order under Subsection (a)(2).
51-12          (c)  If a person proposes a budget execution order under
51-13    Subsection (a)(2), the person proposing the order shall notify the
51-14    other person about the proposal.  If the other person rejects the
51-15    proposed order, the order does not take effect.  If the other
51-16    person does not reject the proposed order, the person may adopt
51-17    either the proposed order or a contingent order for changing the
51-18    proposed order.  The proposed order expires if the other person
51-19    does not adopt the order or a contingent order before the 31st day
51-20    after the date the person receives notification of the proposed
51-21    order.  If a person adopts a contingent order, the person adopting
51-22    the order shall notify the other person about the order.  A
51-23    contingent order expires if the person proposing the budget
51-24    execution order does not approve the contingent order before the
51-25    31st day after the date the other person received notification of
51-26    the proposed budget execution order.  In this subsection, "person"
 52-1    means the governor or the Legislative Budget Board.
 52-2          (d)  The Legislative Budget Board may designate the board's
 52-3    executive director to propose or adopt any order described in
 52-4    Subsection (c).  If the board designates the executive director,
 52-5    the board shall adopt appropriate criteria for the executive
 52-6    director to use when considering whether to propose or adopt an
 52-7    order.
 52-8          (e)  The governor may designate an employee of the governor
 52-9    to propose or adopt an order described in Subsection (c).  If the
52-10    governor designates an employee, the governor shall adopt
52-11    appropriate criteria for the employee to use when considering
52-12    whether to propose or adopt an order.
52-13          (f) [(b)]  A state agency [that is advised by an advisory
52-14    committee must] may request the legislature to include in the
52-15    General Appropriations Act a provision described in Subsection
52-16    (a)(1).  A state agency may request the Legislative Budget Board or
52-17    the governor to propose or adopt an order described in Subsection
52-18    (c) [authority to reimburse the expenses of members of the
52-19    committee through the appropriations or budget execution process,
52-20    as appropriate, if the agency determines that the expenses of
52-21    committee members should be reimbursed].  A [The] request under
52-22    this subsection must:
52-23                (1)  identify the costs related to the advisory
52-24    committee's existence, including the cost of agency staff time
52-25    spent in support of the committee's activities;
52-26                (2)  state the reasons the advisory committee should
 53-1    continue in existence; and
 53-2                (3)  identify any other advisory committees established
 53-3    by [created to advise] the agency that should be consolidated or
 53-4    abolished.
 53-5          (g) [(c)]  As part of the appropriations and budget execution
 53-6    process, the governor and the Legislative Budget Board shall
 53-7    jointly identify advisory committees that should be abolished.  The
 53-8    comptroller may recommend to the governor and the Legislative
 53-9    Budget Board that an advisory committee [should] be abolished.
53-10          (h) [(d)]  The General Appropriations Act may provide for
53-11    reimbursing the expenses of members of certain advisory committees
53-12    without providing for reimbursing the expenses of members of other
53-13    advisory committees.
53-14          (i)  If an expense payment or reimbursement is authorized
53-15    under this section, the amount of the payment or reimbursement is
53-16    the amount prescribed under the law outside this chapter that
53-17    applies to the committee.
53-18          (j) [(e)]  This section does not apply to an advisory
53-19    committee the services of which are determined by the governing
53-20    board of a retirement system trust fund to be necessary for the
53-21    performance of the governing board's fiduciary duties under the
53-22    state constitution.
53-23          SECTION 37.  Section 2110.005, Government Code, is amended to
53-24    read as follows:
53-25          Sec. 2110.005.  AGENCY-DEVELOPED STATEMENT OF PURPOSE;
53-26    REPORTING REQUIREMENTS.  A state agency that establishes [is
 54-1    advised by] an advisory committee shall by rule [adopt rules that]:
 54-2                (1)  state the purpose and tasks of the committee; and
 54-3                (2)  describe [the task of the committee and] the
 54-4    manner in which the committee will report to the agency.
 54-5          SECTION 38.  Section 2110.006, Government Code, is amended to
 54-6    read as follows:
 54-7          Sec. 2110.006.  AGENCY EVALUATION OF COMMITTEE COSTS AND
 54-8    EFFECTIVENESS.  A state agency that has established [is advised by]
 54-9    an advisory committee shall evaluate annually:
54-10                (1)  the committee's work;
54-11                (2)  the committee's usefulness; and
54-12                (3)  the costs related to the committee's existence,
54-13    including the cost of agency staff time spent in support of the
54-14    committee's activities.
54-15          SECTION 39.  Section 2110.007, Government Code, is amended to
54-16    read as follows:
54-17          Sec. 2110.007.  REPORT TO THE LEGISLATIVE BUDGET BOARD.  A
54-18    state agency that has established [is advised by] an advisory
54-19    committee shall report to the Legislative Budget Board the
54-20    information developed in the evaluation required by Section
54-21    2110.006.  The agency shall file the report biennially in
54-22    connection with the agency's request for appropriations.
54-23          SECTION 40.  Section 2110.008, Government Code, is amended to
54-24    read as follows:
54-25          Sec. 2110.008.  DURATION OF ADVISORY COMMITTEES.  (a)  A
54-26    state agency that has established [is advised by] an advisory
 55-1    committee may designate [shall establish by rule] the [a] date on
 55-2    which the committee will automatically be abolished.  The
 55-3    designation must be by rule.  The [advisory] committee may continue
 55-4    in existence after that date only if the [governing body of the]
 55-5    agency amends the rule to provide for a different abolishment date
 55-6    [affirmatively votes to continue the committee in existence].
 55-7          (b)  Unless the state agency that establishes an [An]
 55-8    advisory committee designates a different date under Subsection
 55-9    (a), the committee is automatically abolished on the later of:
55-10                (1)  September 1, 2005; or
55-11                (2)  the fourth anniversary of the date of its creation
55-12    [unless the governing body of the agency establishes a different
55-13    date under Subsection (a)].
55-14          (c)  An advisory committee that state or federal law has
55-15    specifically created as described in Section 2110.0012(1) is
55-16    considered for the purpose of Subsection (b)(2) to have been
55-17    created on the effective date of that law unless the law
55-18    specifically provides for a different date of creation.
55-19          (d) [(c)]  This section does not apply to an advisory
55-20    committee that has a specific duration prescribed by statute.
55-21          SECTION 41.  Section 2113.001, Government Code, as added by
55-22    Section 4, Chapter 1498, Acts of the 76th Legislature, Regular
55-23    Session, 1999, is reenacted and amended to read as follows:
55-24          Sec. 2113.001.  DEFINITIONS.  Except as provided in this
55-25    chapter, in [In] this chapter:
55-26                (1)  "Appropriated money" means money appropriated by
 56-1    the legislature through the General Appropriations Act or other
 56-2    law.
 56-3                (2)  "State agency" means:
 56-4                      (A)  a department, commission, board, office, or
 56-5    other entity in the executive branch of state government;
 56-6                      (B)  the supreme court, the court of criminal
 56-7    appeals, another entity in the judicial branch of state government
 56-8    with statewide authority, or a court of appeals; or
 56-9                      (C)  a university system or an institution of
56-10    higher education as defined by Section 61.003, Education Code,
56-11    except that a public junior college is excluded from the meaning of
56-12    the term in all of Subchapter C except Section 2113.101 and all of
56-13    Subchapter D except Section 2113.205 [and all of Subchapter C
56-14    except Section 2113.101].
56-15          SECTION 42.  Section 2113.013(b), Government Code, is amended
56-16    to read as follows:
56-17          (b)  The administrative head of a state agency may authorize
56-18    an officer or employee to use a state-owned or state-leased motor
56-19    vehicle to commute to and from work when the administrative head
56-20    determines that the use may be necessary to ensure that vital
56-21    agency functions are performed.  The name and job title of each
56-22    individual authorized under this subsection, and the reasons for
56-23    the authorization, must be included in the [annual] report required
56-24    by Section 2101.0115 [law].
56-25          SECTION 43.  Section 2113.205, Government Code, is reenacted
56-26    and amended to read as follows:
 57-1          Sec. 2113.205.  CERTAIN EXPENDITURES INVOLVING MULTIPLE [TWO]
 57-2    FISCAL YEARS.  (a)  Except as provided in this subsection, a [The
 57-3    comptroller shall adopt rules to permit] state agency may [agencies
 57-4    to] use money  appropriated for a particular fiscal year to pay
 57-5    expenses related to conducting or attending a seminar or a
 57-6    conference [seminars and  conferences] only to the extent it occurs
 57-7    [that will not occur] during that year.  To the extent
 57-8    cost-effective to do so, a state agency may use money appropriated
 57-9    for a particular fiscal year to pay expenses related to conducting
57-10    or attending a seminar or conference that will occur partly or
57-11    entirely during a different [until the next] fiscal year [in
57-12    circumstances when it is cost-effective to do so].
57-13          (b)  A [The comptroller also shall adopt rules to permit]
57-14    state agency may [agencies to] use money appropriated for a
57-15    particular fiscal year to pay the entire cost or amount of
57-16    [expenses for items such as] a periodical subscription,
57-17    [subscriptions and monthly utility] a maintenance contract, a post
57-18    office box rental, insurance, or a surety or honesty bond,
57-19    regardless of whether it covers more than one [charges in
57-20    circumstances when the billing or subscription period extends to
57-21    the next] fiscal year.
57-22          (c)  A state agency may use money appropriated for a
57-23    particular fiscal year to pay for a utility service provided during
57-24    that fiscal year and September of the next fiscal year.
57-25          (d)  The comptroller may establish procedures and adopt rules
57-26    to administer this section.
 58-1          (e)  In this section:
 58-2                (1)  "Institution of higher education" has the meaning
 58-3    assigned by Section 61.003, Education Code.
 58-4                (2)  "State agency" means:
 58-5                      (A)  a department, commission, board, office, or
 58-6    other entity in the executive branch of state government, including
 58-7    an institution of higher education as defined by Section 61.003,
 58-8    Education Code;
 58-9                      (B)  the supreme court, the court of criminal
58-10    appeals, another entity in the judicial branch of state government
58-11    with statewide authority, or a court of appeals; or
58-12                      (C)  the legislature or another entity in the
58-13    legislative branch of state government with statewide authority.
58-14                (3)  "Utility service" means:
58-15                      (A)  the furnishing of electricity, water, or
58-16    natural gas;
58-17                      (B)  a telecommunications service, a wastewater
58-18    treatment service, or a waste disposal service; or
58-19                      (C)  any similar commodity or service that the
58-20    comptroller considers to be a utility service.
58-21          SECTION 44.  Section 2155.004, Government Code, is amended to
58-22    read as follows:
58-23          Sec. 2155.004.  CERTAIN BIDS AND CONTRACTS PROHIBITED.
58-24    (a)  A state agency may not accept a bid or award a contract that
58-25    includes proposed financial participation by a person who received
58-26    compensation from the agency to participate in preparing the
 59-1    specifications or request for proposals on which the bid or
 59-2    contract is based.
 59-3          [(b)  A state agency may not accept a bid or award a contract
 59-4    to any individual not residing in this state or business entity not
 59-5    incorporated in or whose principal domicile is not in this state
 59-6    unless the individual or business entity:]
 59-7                [(1)  holds a permit issued by the comptroller to
 59-8    collect or remit all state and local sales and use taxes that
 59-9    become due and owing as a result of the individual's or entity's
59-10    business in this state; or]
59-11                [(2)  certifies that it does not sell tangible personal
59-12    property or services that are subject to the state and local sales
59-13    and use tax.]
59-14          (b) [(c)]  A bid or award subject to the requirements of this
59-15    section must include the following statement:
59-16          "Under Section 2155.004, Government Code, the vendor
59-17    certifies that the individual or business entity named in this bid
59-18    or contract is not ineligible to receive the specified contract and
59-19    acknowledges that this contract may be terminated and payment
59-20    withheld if this certification is inaccurate."
59-21          (c) [(d)]  If a state agency determines that an individual or
59-22    business entity holding a state contract was ineligible to have the
59-23    contract accepted or awarded under Subsection (a) [or (b)], the
59-24    state agency may immediately terminate the contract without further
59-25    obligation to the vendor.
59-26          [(e)  If the certification required under Subsection (b)(2)
 60-1    is shown to be false, the vendor is liable to the state for
 60-2    attorney's fees, the costs necessary to complete the contract,
 60-3    including the cost of advertising and awarding a second contract,
 60-4    and any other damages provided by law or contract.]
 60-5          (d) [(f)]  This section does not create a cause of action to
 60-6    contest a bid or award of a state contract.
 60-7          [(g)  In the absence of a certification by the vendor under
 60-8    Subsection (b)(2), the purchasing state agency shall determine if a
 60-9    prospective vendor holds a permit for the collection and remission
60-10    of state and local sales and use taxes.]
60-11          (e) [(h)]  This section does not prohibit a bidder or
60-12    contract participant from providing free technical assistance to a
60-13    state agency.
60-14          SECTION 45.  Section 2155.448(c), Government Code, is amended
60-15    to read as follows:
60-16          (c)  A state agency shall include [report] in the [its annual
60-17    financial] report[,] required by Section 2101.0115, and in an
60-18    annual report to the commission at a date and in a manner and form
60-19    prescribed by the commission, the expenditures made during the
60-20    preceding state fiscal year for each of the commodities or services
60-21    identified under Subsection (a).  The report must at a minimum
60-22    identify the total amount spent on those commodities and services
60-23    and the total amount spent for commodities and services purchased
60-24    that accomplish the same purpose.  State [Additionally, state]
60-25    agencies shall include in the reports [report] the amount spent for
60-26    all other recycled, remanufactured, and environmentally sensitive
 61-1    commodities and services by type of commodity and service [as
 61-2    prescribed by the commission].
 61-3          SECTION 46.  Section 2166.402, Government Code, is amended to
 61-4    read as follows:
 61-5          Sec. 2166.402.  ENERGY CONSERVATION STANDARDS FOR ENTITIES
 61-6    OTHERWISE EXCLUDED FROM CHAPTER.  (a)  The governing body of a
 61-7    state agency, commission, or institution that is exempt from this
 61-8    chapter under Section 2166.003 shall adopt and publish energy
 61-9    conservation design standards as provided by Section 447.004 for a
61-10    new building under the entity's authority.  The standards must be:
61-11                (1)  consistent with those adopted by the commission
61-12    for other state buildings; and
61-13                (2)  prepared in cooperation and consultation with the
61-14    state energy conservation office [management center] of the
61-15    comptroller [governor's office].
61-16          (b)  The state energy conservation office [management center]
61-17    of the comptroller [governor's office] shall assist a governing
61-18    body of a state agency, commission, or institution subject to
61-19    Subsection (a) in preparing energy conservation standards by
61-20    providing technical assistance and advice.
61-21          SECTION 47.  Section 2175.242(c), Government Code, is amended
61-22    to read as follows:
61-23          (c)  This subchapter does not affect Section 403.273, which
61-24    provides for the deletion from state property accounting records of
61-25    a state agency's missing property [on the state auditor's
61-26    authorization].
 62-1          SECTION 48.  Section 2251.001, Government Code, is amended to
 62-2    read as follows:
 62-3          Sec. 2251.001.  DEFINITIONS.  Except as otherwise provided in
 62-4    this chapter, in [In] this chapter:
 62-5                (1)  "Distribution date" means:
 62-6                      (A)  if no payment law prohibits the comptroller
 62-7    from issuing the warrant, the date the comptroller makes a warrant
 62-8    available:
 62-9                            (i)  for mailing directly to its payee
62-10    under Section 2155.382(c); or
62-11                            (ii)  to the state agency that requested
62-12    issuance of the warrant;
62-13                      (B)  if no payment law prohibits the comptroller
62-14    from initiating the transfer, the date the comptroller initiates an
62-15    electronic funds transfer;
62-16                      (C)  if a payment law prohibits the comptroller
62-17    from issuing the warrant, the date the comptroller would have made
62-18    a warrant available, in the absence of the payment law:
62-19                            (i)  for mailing directly to its payee
62-20    under Section 2155.382(c); or
62-21                            (ii)  to the state agency that requested
62-22    issuance of the warrant; or
62-23                      (D)  if a payment law prohibits the comptroller
62-24    from initiating an electronic funds transfer, the date the
62-25    comptroller would have made the warrant prepared under Section
62-26    403.0552(b) available, in the absence of the payment law:
 63-1                            (i)  for mailing directly to its payee
 63-2    under Section 2155.382(c); or
 63-3                            (ii)  to the state agency that requested
 63-4    initiation of the transfer.
 63-5                (2) [(1)]  "Goods" includes supplies, materials, or
 63-6    equipment.
 63-7                (3) [(2)]  "Governmental entity" means a state agency
 63-8    or political subdivision of this state.
 63-9                (4) [(3)]  "Payment" means money owed to a vendor.
63-10                (5)  "Payment law" means:
63-11                      (A)  Section 57.48 or 57.482, Education Code;
63-12                      (B)  Section 231.007, Family Code;
63-13                      (C)  Section 403.055 or 2107.008; or
63-14                      (D)  any similar statute.
63-15                (6) [(4)]  "Political subdivision" means:
63-16                      (A)  a county;
63-17                      (B)  a municipality;
63-18                      (C)  a public school district; or
63-19                      (D)  a special-purpose district or authority.
63-20                (7) [(5)]  "Service" includes gas and water utility
63-21    service.
63-22                (8) [(6)]  "State agency" means:
63-23                      (A)  a board, commission, department, office, or
63-24    other agency in the executive branch of state government that is
63-25    created by the constitution or a statute of this state, including a
63-26    river authority and an institution of higher education as defined
 64-1    by Section 61.003, Education Code;
 64-2                      (B)  the legislature or a legislative agency; or
 64-3                      (C)  the Supreme Court of Texas, the Court of
 64-4    Criminal Appeals of Texas, a court of appeals, a state judicial
 64-5    agency, or the State Bar of Texas.
 64-6                (9) [(7)]  "Subcontractor" means a person who contracts
 64-7    with a vendor to work or contribute toward completing work for a
 64-8    governmental entity.  The term does not include a state agency.
 64-9    The term includes an officer or employee of a state agency when the
64-10    officer or employee contracts with a vendor in a private capacity.
64-11                (10) [(8)]  "Vendor" means a person who supplies goods
64-12    or a service [services] to a governmental entity or another person
64-13    directed by the entity.  The term does not include a state agency,
64-14    except for Texas Correctional Industries.  The term includes [Texas
64-15    Correctional Industries] an officer or employee of a state agency
64-16    when acting in a private capacity to supply goods or a service.
64-17          SECTION 49.  Section 2251.002(a), Government Code, is amended
64-18    to read as follows:
64-19          (a)  This chapter does not apply to a payment made by a
64-20    governmental entity, vendor, or subcontractor if:
64-21                (1)  there is a bona fide dispute between the political
64-22    subdivision and a vendor, contractor, subcontractor, or supplier
64-23    about the goods delivered or the service [services] performed that
64-24    causes the payment to be late;
64-25                (2)  there is a bona fide dispute between a vendor and
64-26    a subcontractor or between a subcontractor and its supplier about
 65-1    the goods delivered or the service [services] performed that causes
 65-2    the payment to be late;
 65-3                (3)  the terms of a federal contract, grant,
 65-4    regulation, or statute prevent the governmental entity from making
 65-5    a timely payment with federal funds; or
 65-6                (4)  the invoice is not mailed to the person to whom it
 65-7    is addressed in strict accordance with any instruction on the
 65-8    purchase order relating to the payment.
 65-9          SECTION 50.  Section 2251.003, Government Code, is amended to
65-10    read as follows:
65-11          Sec. 2251.003.  RULES.  The General Services Commission shall
65-12    establish procedures and adopt rules to administer [implement] this
65-13    chapter, except that the commission may not establish a procedure
65-14    or adopt a rule that conflicts with a procedure established or a
65-15    rule adopted by the comptroller under Section 2251.026(h).
65-16          SECTION 51.  Section 2251.021, Government Code, is amended by
65-17    amending Subsection (a) and adding Subsection (d), to read as
65-18    follows:
65-19          (a)  Except as provided by Subsection (b), a payment by a
65-20    governmental entity under a contract executed on or after September
65-21    1, 1987, is overdue on the 31st day after the later of:
65-22                (1)  the date the governmental entity receives the
65-23    goods under the contract;
65-24                (2)  the date the performance of the service under the
65-25    contract is completed; or
65-26                (3)  the date the governmental entity receives an
 66-1    invoice for the goods or service [services].
 66-2          (d)  For the purposes of this section, the renewal,
 66-3    amendment, or extension of a contract is considered to be the
 66-4    execution of a new contract.
 66-5          SECTION 52.  Section 2251.025, Government Code, is amended by
 66-6    amending Subsections (a) and (c) and adding Subsection (d), to read
 66-7    as follows:
 66-8          (a)  A payment begins to accrue interest on the date the
 66-9    payment becomes [is] overdue.
66-10          (c)  Interest on an overdue payment stops accruing on the
66-11    date the governmental entity or vendor mails or electronically
66-12    transmits the payment.  In this subsection, "governmental entity"
66-13    does not include a state agency.
66-14          (d)  This subsection applies only if the comptroller is not
66-15    responsible for issuing a warrant or initiating an electronic funds
66-16    transfer to pay the principal amount owed by a state agency to a
66-17    vendor.  The accrual of interest on an overdue payment to the
66-18    vendor:
66-19                (1)  stops on the date the agency mails or
66-20    electronically transmits the payment; and
66-21                (2)  is not suspended during any period that a payment
66-22    law prohibits the agency from paying the vendor.
66-23          SECTION 53.  Section 2251.025, Government Code, is amended by
66-24    amending Subsection (b) and adding Subsection (f), to read as
66-25    follows:
66-26          (b)  Except as provided in Subsection (f), interest accrues
 67-1    on an [An] overdue payment [bears interest] at the rate of one
 67-2    percent each month.
 67-3          (f)  The amount of interest that accrues on an overdue
 67-4    payment by a state agency under this chapter is the lesser of the
 67-5    amount determined under:
 67-6                (1)  the applicable contract between the agency and the
 67-7    vendor; and
 67-8                (2)  Subsections (a), (b), (d), and (e).
 67-9          SECTION 54.  (a) Section 2251.025, Government Code, is
67-10    amended by adding Subsection (e), to read as follows:
67-11          (e)  This subsection applies only if the comptroller is
67-12    responsible for issuing a warrant or initiating an electronic funds
67-13    transfer to pay the principal amount owed by a state agency to a
67-14    vendor.  Interest on an overdue payment to the vendor:
67-15                (1)  stops accruing on its distribution date; and
67-16                (2)  does not accrue at all if, on the date the
67-17    comptroller would issue a warrant or initiate an electronic funds
67-18    transfer to make the payment, a payment law prohibits the
67-19    comptroller from issuing the warrant or initiating the transfer.
67-20          (b)  The addition of Subsection (e) to Section 2251.025,
67-21    Government Code, by Subsection (a) of this section is intended to
67-22    more closely reflect existing law and does not imply that the law
67-23    as it existed before the effective date of this section is
67-24    substantively different from the law as it exists on and after the
67-25    effective date of this section.
67-26          (c)  If Section 55(a) of this Act takes effect on the same
 68-1    date that this section would take effect, this section has no
 68-2    effect.
 68-3          SECTION 55.  (a) Effective on the date determined under
 68-4    Subsection (b) of this section, Section 2251.025, Government Code,
 68-5    is amended by adding Subsection (e), to read as follows:
 68-6          (e)  This subsection applies only if the comptroller is
 68-7    responsible for issuing a warrant or initiating an electronic funds
 68-8    transfer to pay the principal amount owed by a state agency to a
 68-9    vendor.  Interest on an overdue payment to the vendor:
68-10                (1)  stops accruing on its distribution date; and
68-11                (2)  is not suspended during any period that a payment
68-12    law prohibits the comptroller from issuing the warrant or
68-13    initiating the transfer.
68-14          (b)  The changes in law made by Subsection (a) of this
68-15    section take effect on the date the comptroller files a
68-16    certification with the secretary of state that the comptroller has
68-17    completed modifications to the uniform statewide accounting system
68-18    to enable compliance with Section 2251.025(e), Government Code, as
68-19    added by Subsection (a) of this section.  The secretary of state
68-20    shall publish in the Texas Register the certification filed by the
68-21    comptroller under this subsection.
68-22          SECTION 56.  Section 2251.026, Government Code, is amended to
68-23    read as follows:
68-24          Sec. 2251.026.  PAYMENT OF INTEREST BY STATE AGENCY.  (a)  A
68-25    [If the warrant for a payment the originating] state agency [owes
68-26    is not mailed or electronically transmitted before the payment is
 69-1    overdue, the agency is liable for an] shall pay from funds
 69-2    appropriated or otherwise available to the agency any interest
 69-3    [payment] that accrues on an overdue payment under this chapter.
 69-4    The interest must be paid at the same time the principal amount is
 69-5    paid.
 69-6          (b)  The comptroller shall issue a warrant or initiate an
 69-7    electronic funds transfer on behalf of a state agency to pay any
 69-8    interest that the agency must pay under Subsection (a), if the
 69-9    comptroller is responsible for issuing a warrant or initiating an
69-10    electronic funds transfer to pay the principal amount on behalf of
69-11    the agency.
69-12          (c)[(b)]  The comptroller shall [compute] determine the
69-13    amount of interest that accrues [imposed] on [the] an overdue
69-14    payment by a state agency under this chapter if:
69-15                (1)  the comptroller is responsible for issuing a
69-16    warrant or initiating an electronic funds transfer to pay the
69-17    principal amount on behalf of the agency; and
69-18                (2)  the amount of interest is not determined under
69-19    Section 2251.025(f)(1).
69-20          (d) [c]  [The comptroller shall pay the interest at the time
69-21    payment is made on the principal.]  A state agency shall determine
69-22    the amount of interest that accrues on an overdue payment by the
69-23    agency under this chapter if:
69-24                (1)  the comptroller is not responsible for issuing a
69-25    warrant or initiating an electronic funds transfer to pay the
69-26    principal amount on behalf of the agency;
 70-1                (2)  the amount of interest is determined under Section
 70-2    2251.025(f)(1); or
 70-3                (3)  both Subdivisions (1) and (2) apply.
 70-4          [(d)  The comptroller shall submit the interest payment with
 70-5    the net amount due for goods and services.]
 70-6          (e)  Neither the [The] comptroller nor a [and the] state
 70-7    agency may [not] require a vendor to request payment of the
 70-8    interest that accrues under this chapter before [petition, bill, or
 70-9    wait an additional day to receive] the interest is paid to the
70-10    vendor [due].
70-11          (f)  The comptroller may require a state agency to submit any
70-12    information the comptroller determines necessary [and timely
70-13    information and adopt rules to administer this section] to
70-14    administer and comply with Subsections (b) and (c).  The
70-15    information must be submitted at the time and in the manner
70-16    required by the comptroller.
70-17          (g)  The comptroller may require a state agency to change its
70-18    accounting systems or procedures as the comptroller determines
70-19    necessary to administer and comply with Subsections (b) and (c).
70-20    Any changes must conform with the comptroller's requirements.
70-21          (h)  The comptroller may establish procedures and adopt rules
70-22    to administer Subsections (b), (c), (f), and (g).
70-23          SECTION 57.  Section 2251.027(c), Government Code, is amended
70-24    to read as follows:
70-25          (c)  The political subdivision shall submit the interest
70-26    payment with the net amount due for the goods or service [and
 71-1    services].
 71-2          SECTION 58.  Section 2251.030(d), Government Code, is
 71-3    reenacted and amended to read as follows:
 71-4          (d)  A state agency, when paying for the goods or service
 71-5    [and services] purchased under an agreement that includes a prompt
 71-6    or early payment discount, shall submit the necessary payment
 71-7    documents or information to the comptroller sufficiently in advance
 71-8    of the prompt or early payment deadline to allow the comptroller or
 71-9    the agency to pay the vendor in time to obtain the discount.
71-10          SECTION 59.  Subchapter Z, Chapter 2252, Government Code, is
71-11    amended by adding Section 2252.902, to read as follows:
71-12          Sec. 2252.902.  CONTRACTING WITH PERSONS WHO HAVE CERTAIN
71-13    DEBTS OR DELINQUENCIES.  (a)  Each state agency shall determine
71-14    whether a payment law prohibits the comptroller from issuing a
71-15    warrant or initiating an electronic funds transfer to a person
71-16    before the agency enters into a written contract with that person.
71-17    The agency shall make this determination not earlier than the
71-18    seventh day before and not later than the date of entering into the
71-19    contract.  The determination must be made in accordance with the
71-20    comptroller's requirements.
71-21          (b)  This subsection applies if the agency determines that a
71-22    payment law prohibits the comptroller from issuing a warrant or
71-23    initiating an electronic funds transfer to the person.  The agency
71-24    may not enter into a written contract with the person unless:
71-25                (1)  the contract requires the agency's payments under
71-26    the contract to be applied directly toward eliminating the person's
 72-1    debt or delinquency; and
 72-2                (2)  the requirement described in Subdivision (1)
 72-3    specifically applies to any debt or delinquency, regardless of when
 72-4    it arises.
 72-5          (c)  The comptroller may determine the order that a person's
 72-6    multiple types of debts or delinquencies are reduced or eliminated
 72-7    under this section.
 72-8          (d)  The comptroller may adopt rules and establish procedures
 72-9    to administer this section.
72-10          (e)  In this section:
72-11                (1)  "Debt or delinquency" means a debt, tax
72-12    delinquency, student loan delinquency, or child support delinquency
72-13    that results in a payment law prohibiting the comptroller from
72-14    issuing a warrant or initiating an electronic funds transfer.
72-15                (2)  "Payment law" means:
72-16                      (A)  Section 57.48, Education Code;
72-17                      (B)  Section 231.007, Family Code;
72-18                      (C)  Section 403.055; or
72-19                      (D)  any similar law that prohibits the
72-20    comptroller from issuing a warrant or initiating an electronic
72-21    funds transfer to a person.
72-22                (3)  "State agency" has the meaning assigned by Section
72-23    403.055.
72-24          SECTION 60.  Section 2305.002(3), Government Code, is amended
72-25    to read as follows:
72-26                (3)  "Energy office" means the state energy
 73-1    conservation office of the comptroller [General Services
 73-2    Commission].
 73-3          SECTION 61.  The heading of Section 2305.011, Government
 73-4    Code, is amended to read as follows:
 73-5          Sec. 2305.011.  ADMINISTRATION BY COMPTROLLER [GENERAL
 73-6    SERVICES COMMISSION] AND ENERGY OFFICE.
 73-7          SECTION 62.  Section 2305.011, Government Code, is amended by
 73-8    adding Subsection (f), to read as follows:
 73-9          (f)  The comptroller may adopt rules as necessary to
73-10    administer the programs prescribed by this chapter.
73-11          SECTION 63.  Section 2305.022, Government Code, is amended to
73-12    read as follows:
73-13          Sec. 2305.022.  USE OF ACCOUNT.  Money in the account may be
73-14    used only by the governor and the comptroller [General Services
73-15    Commission] to implement and operate the programs authorized by
73-16    this chapter.
73-17          SECTION 64.  Section 533.0351(g), Health and Safety Code, is
73-18    amended to read as follows:
73-19          (g)  Except as provided in this subsection, the [The]
73-20    committee is subject to Chapter 2110, Government Code.  The
73-21    [department by rule shall provide, in accordance with Section
73-22    2110.008, Government Code, that the] committee is abolished
73-23    automatically on September 1, 2007, unless the board adopts a rule
73-24    continuing [affirmatively votes to continue] the committee in
73-25    existence beyond that date.
73-26          SECTION 65.  Section 771.071(e), Health and Safety Code, is
 74-1    amended to read as follows:
 74-2          (e)  A local exchange service provider shall collect the fees
 74-3    imposed on its customers under this section.  Not later than the
 74-4    30th day after the last day of the month in which the fees are
 74-5    collected, the local exchange service provider shall deliver the
 74-6    fees to the comptroller [commission].  The comptroller [commission]
 74-7    shall deposit money from the fees to the credit of the 9-1-1
 74-8    services fee account in the general revenue fund.  The comptroller
 74-9    may establish alternative dates for payment of fees under this
74-10    section.
74-11          SECTION 66.  Subsections (b), (c), and (f), Section 771.0711,
74-12    Health and Safety Code, are amended to read as follows:
74-13          (b)  A wireless service provider shall collect the fee in an
74-14    amount equal to 50 cents a month for each wireless
74-15    telecommunications connection from its subscribers and shall pay
74-16    the money collected to the comptroller [commission] not later than
74-17    the 30th day after the last day of the month during which the fees
74-18    were collected.  The comptroller may establish alternative dates
74-19    for payment of fees under this section. The wireless service
74-20    provider may retain an administrative fee of one percent of the
74-21    amount collected.  The comptroller shall deposit the money from the
74-22    fees to the credit of the 9-1-1 services fees account.  Until
74-23    deposited to the credit of the 9-1-1 services fees account [fund]
74-24    as required by Subsection (c), money the comptroller [commission]
74-25    collects under this subsection remains in a trust fund with
74-26    [outside] the state treasury.
 75-1          (c)  Money collected under Subsection (b) may be used only
 75-2    for services related to 9-1-1 services, including automatic number
 75-3    identification and automatic location information services.  Not
 75-4    later than the 15th day [Within 15 days] after the end of the month
 75-5    in which the money is collected [of the date of collection of the
 75-6    money], the commission shall distribute to each emergency
 75-7    communications district that does not participate in the state
 75-8    system a portion of the money that bears the same proportion to the
 75-9    total amount collected that the population of the area served by
75-10    the district bears to the population of the state.  The commission
75-11    shall deposit the remaining money collected under Subsection (b) to
75-12    the 9-1-1 services fee account [fund].
75-13          (f)  A wireless service provider is not required to take
75-14    legal action to enforce the collection of any wireless 9-1-1
75-15    service fee.  The comptroller [commission] may establish collection
75-16    procedures and recover the cost of collection from the subscriber
75-17    liable for the fee.  The comptroller [commission] may institute
75-18    legal proceedings to collect a fee and in those proceedings is
75-19    entitled to recover from the subscriber court costs, attorney's
75-20    fees, and interest on the amount delinquent.  [The interest is
75-21    computed at an annual rate of 12 percent beginning on the date the
75-22    fee becomes due.]
75-23          SECTION 67.  Subsections (b), (c), and (f), Section 771.072,
75-24    Health and Safety Code, are amended to read as follows:
75-25          (b)  The amount of the surcharge may not exceed one and
75-26    three-tenths [1-3/10] of one percent of the charges for intrastate
 76-1    long-distance service, as defined by the commission.
 76-2          (c)  Except as provided by Section 771.073(f), an intrastate
 76-3    long-distance service provider shall collect the surcharge imposed
 76-4    on its customers under this section and shall deliver the
 76-5    surcharges to the comptroller [commission] not later than the date
 76-6    specified by the comptroller.  If the comptroller does not specify
 76-7    a date, the provider shall deliver the surcharges to the
 76-8    comptroller not later than the 30th day after the last day of the
 76-9    month in which the surcharges are collected.
76-10          (f)  The comptroller [commission] shall deposit the
76-11    surcharges and any prior balances in accounts [an account] in the
76-12    general revenue fund in the state treasury until they are allocated
76-13    to regional planning commissions, other 9-1-1 jurisdictions, and
76-14    regional poison control centers in accordance with this section.
76-15    From those accounts [that account], the amount necessary for the
76-16    commission to fund approved plans of regional planning commissions
76-17    and regional poison control centers and to carry out its duties
76-18    under this chapter shall be appropriated to the commission.
76-19    Section 403.095, Government Code, does not apply to an [the]
76-20    account established by this subsection.
76-21          SECTION 68.  Sections 771.073(b)-(c), Health and Safety Code,
76-22    are amended to read as follows:
76-23          (b)  A business service user that provides residential
76-24    facilities and owns or leases a private telephone switch used to
76-25    provide telephone service to facility residents shall collect the
76-26    9-1-1 emergency service fee and transmit the fees monthly to the
 77-1    comptroller [commission].  A business service user that does not
 77-2    collect and remit the 9-1-1 emergency service fee as required is
 77-3    subject to a civil cause of action.  A court may award to the
 77-4    comptroller [commission] court costs, attorney's fees, and interest
 77-5    on the amount delinquent [at an annual rate of 12 percent], to be
 77-6    paid by the nonpaying business service user.  A certificate of
 77-7    [sworn affidavit by] the comptroller [commission] specifying the
 77-8    unremitted fees is prima facie evidence that the fees were not
 77-9    remitted and of the amount of the unremitted fees.
77-10          (c)  The comptroller [commission] may establish collection
77-11    procedures and recover the cost of collection from the customer
77-12    liable for the fee or surcharge.  The comptroller [commission] may
77-13    institute legal proceedings to collect a fee or surcharge and in
77-14    those proceedings is entitled to recover from the customer court
77-15    costs, attorney's fees, and an interest on the amount delinquent.
77-16    [The interest is computed at an annual rate of 12 percent beginning
77-17    on the date the fee or surcharge becomes due.]
77-18          SECTION 69.  Section 771.074, Health and Safety Code, is
77-19    amended to read as follows:
77-20          Sec. 771.074.  EXEMPTION.  A fee or surcharge authorized by
77-21    this subchapter, Chapter 772, or a home-rule municipality may not
77-22    be imposed or collected from the state or the federal government.
77-23          SECTION 70.  Section 771.076(a), Health and Safety Code, is
77-24    amended to read as follows:
77-25          (a)  The commission or an employee of the commission may
77-26    notify the comptroller of any irregularity that may indicate that
 78-1    an audit of a service provider collecting a fee or surcharge under
 78-2    this chapter is warranted.  The comptroller also may audit a
 78-3    service provider at the comptroller's discretion, without first
 78-4    receiving a notification from the commission or an employee of the
 78-5    commission.  The commission may require at its own expense that an
 78-6    audit be conducted of a public agency receiving money under this
 78-7    chapter.
 78-8          SECTION 71.  Section 771.077, Health and Safety Code, is
 78-9    amended to read as follows:
78-10          Sec. 771.077.  COLLECTION OF FEES AND SURCHARGES.  (a)  The
78-11    comptroller may [by rule shall] establish collection procedures to
78-12    collect past due amounts and may recover the costs of collection
78-13    from a service provider or business service user that fails to
78-14    timely deliver the fees and the equalization surcharge to the
78-15    comptroller [commission].  Subtitles A and B, Title 2, Tax Code,
78-16    apply to the administration and collection of amounts by the
78-17    comptroller under this subchapter.
78-18          (b)  The comptroller may [by rule shall] establish procedures
78-19    to be used by the commission to notify the comptroller of a service
78-20    provider's or business service user's failure to timely deliver the
78-21    fees or surcharges.
78-22          [(c)  In addition to amounts collected under Subsection (a),
78-23    after notice and an opportunity for a hearing, the comptroller may
78-24    assess a late penalty against a service provider who fails to
78-25    timely deliver the fees or surcharges.  The late penalty is in an
78-26    amount not to exceed $100 a day for each day that the fees or
 79-1    surcharges are late.]
 79-2          (c) [(d)]  The comptroller shall deposit amounts received as
 79-3    costs of collection in the general fund.
 79-4          (d) [(e)]  The comptroller shall:
 79-5                (1)  remit to the commission money collected under this
 79-6    section for fees provided by Section 771.0711 and associated late
 79-7    penalties;
 79-8                (2)  deposit to the 9-1-1 services fee fund any money
 79-9    collected under this section for fees provided by Section 771.071
79-10    and associated late penalties; and
79-11                (3)  deposit to the account as authorized by Section
79-12    771.072 any money collected under this section for fees provided by
79-13    Section 771.072 and associated late penalties.
79-14          (e) [(f)]  The commission shall:
79-15                (1)  deposit or distribute the money remitted under
79-16    Subsection (d)(1) [(e)(1)] as Section 771.0711 provides for fees
79-17    received under that section; and
79-18                (2)  distribute the money remitted under Subsection
79-19    (d)(2) [(e)(2)] and appropriated to the commission under contracts
79-20    as provided by Section 771.078(b)(1).
79-21          SECTION 72.  Section 111.064, Tax Code, is amended by adding
79-22    Subsection (f), to read as follows:
79-23          (f)  A local revenue fund is not subject to Subsections
79-24    (a)-(c).  In this subsection, "local revenue fund" includes a court
79-25    cost, a fee, a fine, or a similar charge collected by a
79-26    municipality, a county, or a court of this state and remitted to
 80-1    the comptroller.
 80-2          SECTION 73.  Section 156.154(c), Tax Code, is amended to read
 80-3    as follows:
 80-4          (c)  A claim for a refund may be filed only for each fiscal
 80-5    year [calendar] quarter for all reimbursements accrued during that
 80-6    quarter.
 80-7          SECTION 74.  Subchapter R, Chapter 171, Tax Code, is amended
 80-8    by adding Section 171.837, to read as follows:
 80-9          Sec. 171.837.  BIENNIAL REPORT BY THE COMPTROLLER.
80-10    (a)  Before the beginning of each regular session of the
80-11    legislature, the comptroller shall submit to the governor, the
80-12    lieutenant governor, and the speaker of the house of
80-13    representatives a report stating:
80-14                (1)  the total amount of qualifying expenditures
80-15    incurred by corporations that claim a credit under this subchapter;
80-16                (2)  the total amount of credits applied against the
80-17    tax under this chapter and the amount of unused credits, including:
80-18                      (A)  the total amount of franchise tax due by
80-19    corporations claiming a credit under this subchapter before and
80-20    after the application of the credit;
80-21                      (B)  the average percentage reduction in
80-22    franchise tax due by corporations claiming a credit under this
80-23    subchapter;
80-24                      (C)  the percentage of tax credits that were
80-25    awarded to corporations with fewer than 100 employees; and
80-26                      (D)  the two-digit standard industrial
 81-1    classification of corporations claiming a credit under this
 81-2    subchapter;
 81-3                (3)  the geographical distribution of qualifying
 81-4    expenditures giving rise to a credit authorized by this subchapter;
 81-5                (4)  the impact of the credit authorized by this
 81-6    subchapter on promoting economic development in this state; and
 81-7                (5)  the impact of the credit authorized by this
 81-8    chapter on state tax revenues.
 81-9          (b)  The final report issued prior to the expiration of this
81-10    subchapter shall include historical information on the credit
81-11    authorized by this subchapter.
81-12          (c)  The comptroller may not include in the report
81-13    information that is confidential by law.
81-14          (d)  For the purposes of this section, the comptroller may
81-15    require a corporation that claims a credit under this subchapter to
81-16    submit:
81-17                (1)  information, on a form provided by the
81-18    comptroller, on the location of the corporation's qualifying
81-19    expenditures; and
81-20                (2)  any other information the comptroller deems
81-21    necessary.
81-22          SECTION 75.  Chapter 56, Utilities Code, is amended to
81-23    conform more closely to the law from which it was derived by adding
81-24    Section 56.113, to read as follows:
81-25          Sec. 56.113.  ADVISORY COMMITTEE COMPENSATION AND EXPENSES.
81-26    A member of the advisory committee serves without compensation but
 82-1    is entitled to reimbursement at rates established for state
 82-2    employees for travel and per diem incurred in the performance of
 82-3    the member's official duties.
 82-4          SECTION 76.  (a)  The following laws are repealed:
 82-5                (1)  Article 2.45, Texas Business Corporation Act;
 82-6                (2)  Section 403.055(h), Government Code, as added by
 82-7    Section 1, Chapter 583, Acts of the 76th Legislature, Regular
 82-8    Session, 1999;
 82-9                (3)  Sections 659.062 and 659.063, Government Code;
82-10                (4)  Section 2251.002(c), Government Code;
82-11                (5)  Section 1701.156(c), Occupations Code;
82-12                (6)  Section 8.03(b), Chapter 62, Acts of the 76th
82-13    Legislature, Regular Session, 1999;
82-14                (7)  Section 48(e), Chapter 268, Acts of the 73rd
82-15    Legislature, Regular Session, 1993; and
82-16                (8)  Section 2(b), Chapter 57, Acts of the 70th
82-17    Legislature, 2nd Called Session, 1987.
82-18          (b)  The repeal of Section 2251.002(c), Government Code, by
82-19    Subsection (a)(4) of this section is intended to repeal a law that
82-20    became obsolete on the date the provision to which Section
82-21    2251.002(c) refers was repealed by Section 12, Chapter 660, Acts of
82-22    the 73rd Legislature, Regular Session, 1993.
82-23          SECTION 77.  Section 8 of this Act reenacts Section 403.027,
82-24    Government Code, to ensure that Section 403.027 remains in effect
82-25    after repeal of the Act that added Section 403.027 to the law.
82-26    Section 76, Chapter 1035, Acts of the 75th Legislature, Regular
 83-1    Session, 1997, added both Section 403.027 and a duplicative version
 83-2    of Section 403.026, Government Code, to the law, effective June 19,
 83-3    1997.  Section 8.03(a), Chapter 62, Acts of the 76th Legislature,
 83-4    Regular Session, 1999, repealed the duplicative version of Section
 83-5    403.026, effective September 1, 1999.  Section 8.03(b) of that Act
 83-6    repealed Section 76, effective September 1, 1999.  The repeal of
 83-7    Section 76 created unintended ambiguity about whether Section
 83-8    403.027 remained in effect on and after the effective date of
 83-9    Section 8.03(b).
83-10          SECTION 78.  (a)  The changes in law by Sections 20, 21, 24,
83-11    and 76(3), (7)-(8) of this Act apply only to longevity pay or
83-12    hazardous duty pay that is earned on or after September 1, 2001.
83-13    Longevity pay or hazardous duty pay that is earned before that date
83-14    is governed by the law in effect on the date the pay is earned, and
83-15    the prior law is continued in effect for this purpose.
83-16          (b)  The changes in law by Section 23 of this Act apply only
83-17    to a temporary assignment that takes effect on or after September
83-18    1, 2001.  A temporary assignment that takes effect before that date
83-19    is governed by the law in effect on the date the temporary
83-20    assignment takes effect, and the prior law is continued in effect
83-21    for this purpose.
83-22          (c)  The changes to Section 660.203, Government Code, by
83-23    Section 25 of this Act apply only to a meal or lodging expense
83-24    incurred on or after September 1, 2001.  A meal or lodging expense
83-25    incurred before that date is governed by the law in effect on the
83-26    date the meal or lodging expense is incurred, and the prior law is
 84-1    continued in effect for this purpose.
 84-2          SECTION 79.  (a)  The changes in law made by Sections 51 and
 84-3    53 of this Act apply only to a payment that becomes overdue under
 84-4    Chapter 2251, Government Code, on or after the effective date of
 84-5    those sections.  A payment that becomes overdue under Chapter 2251,
 84-6    Government Code, before that date is governed by Sections 2251.021
 84-7    and 2251.025, Government Code, as they exist on the date the
 84-8    payment becomes overdue, and the prior law is continued in effect
 84-9    for this purpose.
84-10          (b)  The changes in law made by Section 54 of this Act apply
84-11    only to a payment whose distribution date is at least one day after
84-12    the effective date of those changes.  A payment whose distribution
84-13    date is on or before the effective date of those changes is
84-14    governed by the law in effect on the date the payment becomes
84-15    overdue under Chapter 2251, Government Code, and the prior law is
84-16    continued in effect for this purpose.
84-17          (c)  The changes in law made by Section 55 of this Act apply
84-18    only to a payment whose distribution date is at least one day after
84-19    the effective date of those changes.  A payment whose distribution
84-20    date is on or before the effective date of those changes is
84-21    governed by the law in effect on the date the payment becomes
84-22    overdue under Chapter 2251, Government Code, and the prior law is
84-23    continued in effect for this purpose.
84-24          (d)  In this section, "payment" and "distribution date" have
84-25    the meanings assigned by Section 2251.001, Government Code, as
84-26    amended by Section 48 of this Act.
 85-1          SECTION 80.  (a)  Except as provided by Subsections (b)-(g)
 85-2    of this section:
 85-3                (1)  this Act takes effect immediately if it receives a
 85-4    vote of two-thirds of all the members elected to each house, as
 85-5    provided by Section 39, Article III, Texas Constitution; and
 85-6                (2)  if this Act does not receive the vote necessary
 85-7    for immediate effect, this Act takes effect on the 91st day after
 85-8    the last day of the legislative session.
 85-9          (b)  This subsection and Section 1 of this Act take effect on
85-10    the date the Uniform Electronic Transactions Act takes effect, if
85-11    that Act is codified in Chapter 43, Business & Commerce Code, and
85-12    becomes law under S.B. No. 393, H.B. No. 1201, or another bill
85-13    enacted by the 77th Legislature, Regular Session, 2001.  This
85-14    subsection and Section 1 of this Act do  not take effect if the
85-15    Uniform Electronic Transactions Act is not codified or does not
85-16    become law as described in this subsection.
85-17          (c)  This subsection and Sections 2, 5, 6, 11, 12(b), 13,
85-18    18-29, 32-40, 42, 45, 64, 73, 75, 76(3), (5), (7)-(8), and 78 of
85-19    this Act take effect September 1, 2001.
85-20          (d)  This subsection and Section 72 of this Act take effect
85-21    October 1, 2001.
85-22          (e)  This subsection and Sections 65-71 of this Act take
85-23    effect January 1, 2002.
85-24          (f)  The changes in law made by Section 55(a) of this Act
85-25    take effect according to Section 55(b) of this Act.
85-26          (g)  Section 79(c) of this Act takes effect on the date that
 86-1    the changes in law made by Section 55(a) of this Act take effect.
 86-2          SECTION 81.  The constitutional rule requiring bills to be
 86-3    read on three several days in each house is hereby suspended.