SRC-JLB S.B. 141 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 141
78R523 JRD-DBy: Ellis, Rodney
Jurisprudence
3/17/2003
As Filed


DIGEST AND PURPOSE 

Currently, legal barriers prevent or protect information sharing related
to corporate fraud investigations. As proposed, S.B. 141 allows the Board
of Accountancy, the Office of the Attorney General, the State Securities
Board, the Texas Department of Insurance, and the Public Utility
Commission to share information on corporate fraud investigations, while
maintaining current law with respect to the confidentiality of corporate
documents. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 555, Government Code, by adding Subchapter C, as
follows: 

 SUBCHAPTER C. SHARING CONFIDENTIAL INFORMATION

Sec. 555.051.  INFORMATION SHARING AMONG CERTAIN AGENCIES. (a) Provides
that this section applies only to information held by or for the office of
the attorney general, the Texas Department of Insurance, the Texas State
Board of Public Accountancy, the Public Utility Commission of Texas, or
the State Securities Board that relates to a person who is licensed or
otherwise regulated by any of those agencies. 
 
(b)  Authorizes each agency listed above upon request to share
confidential information or information restricted by law with one or more
of the other listed agencies for investigative purposes.  Provides that
any shared confidential information remains confidential, and legal
restrictions on access to the information remain in effect. 
  
(c)  Requires a state agency that receives shared information to keep the
information secure and limit access to the information within the agency
to agency personnel who need access.  Sets forth the purpose for which a
state agency may disclose said information to another agency listed in
Subsection (a). 

SECTION 2.  Amends the heading to Chapter 555, Government Code, to read as
follows: 

CHAPTER 555. STATE AGENCY RECORDS RELATING TO LICENSE HOLDERS OR OTHER
REGULATED PERSONS 
 
SECTION 3.  Effective date: upon passage or September 1, 2003.