Amend HB 424 on third reading by adding a new SECTION 2 and 
renumbering the following SECTIONS of the bill as appropriate;
	SECTION 2.  Section 392.038, Local Government Code, is 
amended to read as follows:
	§392.038.  OTHER OFFICERS AND EMPLOYEES OF A MUNICIPAL OR 
COUNTY HOUSING AUTHORITY.  (a)  A municipal or county housing 
authority may employ a secretary, who shall serve as executive 
director, and may employ technical experts and other officers, 
agents, and employees, permanent or temporary, the authority 
considers necessary, except as prohibited in subsection (b).  The 
authority shall determine the qualifications, duties, and 
compensation of the persons employed.
	(b)  A housing authority may not use any money under the 
control of the authority to pay:
		(1)  lobbying expenses incurred by the authority;                      
		(2)  a person that is required to register with the 
Texas Ethics Commission under Chapter 305, Government Code;
		(3)  any partner, employee, employer, relative, 
contractor, consultant, or related entity of a person described by 
Subdivision (2); or
		(4)  a person that has been hired to represent 
associations or other entities for the purpose of affecting the 
outcome of legislation, agency rules, ordinances, or other 
government policies.
	(c)  A person who violates Subsection (a) commits an offense.  
An offense under this section is a Class A misdemeanor.
	(d)  Section 305.026, Government Code, does not apply to a 
housing authority.
	(e)  The restriction imposed by this section is in addition to 
the restriction imposed by Section 556.0055, Government Code.