78S40173 KCR-D

By:  Wentworth                                                    S.B. No. 13 



A BILL TO BE ENTITLED

AN ACT

relating to title insurance obtained for certain commercial 
transactions.   
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Chapter 9, Insurance Code, is amended by adding 
Article 9.60 to read as follows:
	Art. 9.60.  WAIVER BY COMMISSIONER FOR CERTAIN LARGE 
COMMERCIAL TRANSACTIONS.  (a)  In this article, "large commercial 
transaction" means a commercial transaction that is valued at $200 
million or more.
	(b)  The commissioner, on application and after notice and 
hearing, may waive any requirement imposed under this chapter that 
relates to title insurance obtained for a large commercial 
transaction that is:
		(1)  intended to promote the establishment of a 
manufacturing or industrial facility that is owned by a business 
entity that, at the time of the transaction, does not own any 
manufacturing or industrial facilities in this state; and
		(2)  identified by the executive director of the Texas 
Economic Development and Tourism Office as a transaction that will 
significantly benefit this state's economy.
	(c)  The commissioner, not later than the 20th day after the 
date the commissioner receives an application under Subsection (b), 
shall:
		(1)  hold the requested hearing; and                                   
		(2)  grant or deny the requested waiver and issue any 
order necessary to implement the waiver.
	(d)  This article expires April 1, 2005.                                
	SECTION 2.  Chapter 2501, Insurance Code, as effective April 
1, 2005, is amended by adding Section 2501.008 to read as follows:
	Sec. 2501.008.  WAIVER BY COMMISSIONER FOR CERTAIN LARGE 
COMMERCIAL TRANSACTIONS.  (a)  In this section, "large commercial 
transaction" means a commercial transaction that is valued at $200 
million or more.
	(b)  The commissioner, on application and after notice and 
hearing, may waive any requirement imposed under this title that 
relates to title insurance obtained for a large commercial 
transaction that is:
		(1)  intended to promote the establishment of a 
manufacturing or industrial facility that is owned by a business 
entity that, at the time of the transaction, does not own any 
manufacturing or industrial facilities in this state; and
		(2)  identified by the executive director of the Texas 
Economic Development and Tourism Office as a transaction that will 
significantly benefit this state's economy.
	(c)  The commissioner, not later than the 20th day after the 
date the commissioner receives an application under Subsection (b), 
shall:
		(1)  hold the requested hearing; and                                   
		(2)  grant or deny the requested waiver and issue any 
order necessary to implement the waiver.
	SECTION 3.  (a)  The legislature validates any waiver that 
is:               
		(1)  described by Article 9.60(b) or Section 
2501.008(b), Insurance Code; and
		(2)  granted by the commissioner of insurance before 
the effective date of this Act.
	(b)  A waiver validated under this section is validated 
effective as of the date that it was granted.
	(c)  This section does not apply to any matter that on the 
effective date of this Act:
		(1)  is involved in litigation, if the litigation 
ultimately results in the matter being held invalid by a final 
judgment of a court of competent jurisdiction; or
		(2)  has been held invalid by a court of competent 
jurisdiction.            
	SECTION 4.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect on the 91st day after the last day of the 
legislative session.