MINUTES SENATE COMMITTEE ON BUSINESS & COMMERCE Thursday, March 20, 2003 8:00 a.m. Betty King Committee Hearing Room, 2E.20 ***** Pursuant to a notice posted in accordance with Senate Rule 11.18, a public hearing of the Senate Committee on Business & Commerce was held on Thursday, March 20, 2003, in the Betty King Committee Hearing Room, 2E.20, at Austin, Texas. ***** MEMBERS PRESENT: MEMBERS ABSENT: Senator Troy Fraser, Chairman None Senator Kip Averitt, Vice Chairman Senator Kenneth Armbrister Senator Kim Brimer Senator Craig Estes Senator Mike Jackson Senator Eddie Lucio, Jr. Senator Leticia Van de Putte Senator Tommy Williams ***** The Chairman called the meeting to order at 8:20 a.m. There being a quorum present, the following business was transacted: At 8:22 a.m. Chairman Fraser advised that the committee would recess for the Governor's Prayer Service and would reconvene thereafter; there being no objection, it was so ordered. At 9:25 a.m. the committee reconvened. The Chairman laid out SB 14, pending in committee, and recognized the bill author, Senator Jackson. A proposed committee substitute had been laid out and discussed at the previous hearing and members had been requested to file amendments to the proposed committee substitute on Wednesday, March 19. The committee would vote on the amendments at this hearing. Senator Van de Putte sent up Committee Amendment 1. The Chairman called Jose Montemayor, Commissioner, Texas Department of Insurance, and Philip Presley, also representing Texas Department of Insurance, to respond to members' questions throughout the hearing. Senator Van de Putte moved adoption of Committee Amendment 1. The motion failed by a record vote of 4 ayes, 5 nays, 0 present not voting, and 0 absent. At 9:58 a.m. the Chairman moved that the committee stand recessed until 45 minutes after adjournment of the Senate; without objection, it was ordered. At 1:10 p.m. the committee reconvened. Senator Averitt sent up Committee Amendment 2; the amendment was withdrawn. Senator Averitt sent up Committee Amendment 3; the amendment was withdrawn. However, later Senator Averitt sent Committee Amendment 3 back up and moved adoption. The motion passed by a record vote of 5 ayes, 3 nays, 0 present not voting, and 1 absent. The Chairman advised that Senator Armbrister would send up Committee Amendment 4 when he returned to the hearing. When Senator Armbrister returned, he withdrew the amendment. Senator Lucio sent up Committee Amendment 5 and moved adoption. The motion failed by a record vote of 2 ayes, 6 nays, 0 present not voting, and 1 absent. Senator Averitt sent up Committee Amendment 6; the amendment was withdrawn. Senator Averitt sent up Committee Amendment 7 and moved adoption; without objection, the amendment was adopted. Senator Lucio sent up Committee Amendment 8 and moved adoption. The motion failed by a record vote of 2 ayes, 7 nays, 0 present not voting, and 0 absent. Senator Averitt sent up Committee Amendment 9 and moved adoption; without objection, the amendment was adopted. Senator Averitt sent up Committee Amendment 10. Senator Fraser offered an amendment to Committee Amendment 10; Senator Jackson moved adoption; without objection, the amendment and the amendment to the amendment were adopted. Senator Williams sent up Committee Amendment 11 and moved adoption; without objection, the amendment was adopted. There was no action taken on Committee Amendment 12. Senator Williams sent up Committee Amendment 13 and moved adoption; without objection, the amendment was adopted. Senator Armbrister sent up Committee Amendment 14; the amendment was withdrawn. Senator Averitt sent up Committee Amendment 15; the amendment was withdrawn. Committee Amendment 15B by Senator Fraser was withdrawn. Senator Van de Putte sent up Committee Amendment 16; the amendment was withdrawn. Senator Armbrister sent up a replacement to Committee Amendment 16A and moved adoption; without objection the amendment as replaced was adopted. There was no action taken on Committee Amendment 17. Senator Van de Putte sent up Committee Amendment 18 and moved adoption. The motion failed by a record vote of 3 ayes, 6 nays, 0 present not voting, and 0 absent. Senator Van de Putte sent up Committee Amendment 19; the amendment was withdrawn. Senator Williams sent up Committee Amendment 20 and moved adoption; without objection, the amendment was adopted. Senator Brimer sent up Committee Amendment 21 and moved adoption; without objection, the amendment was adopted. Senator Averitt assumed the chair. Senator Fraser sent up Committee Amendment 22; the Chairman moved adoption. Without objection, the amendment was adopted. Senator Fraser resumed the chair. Senator Averitt sent up Committee Amendment 23; the amendment as withdrawn. Senator Van de Putte sent up Committee Amendment 24 and moved adoption. The motion failed by a record vote of 3 ayes, 5 nays, 0 present not voting, and 1 absent. Senator Averitt sent up Committee Amendment 25; Senator Van de Putte moved adoption; without objection, the amendment was adopted. Senator Averitt sent up Committee Amendment 26; the amendment was withdrawn. Senator Averitt sent up Committee Amendment 27; the amendment was withdrawn. Senator Brimer sent up Committee Amendment 28; the amendment was withdrawn. Senator Lucio sent up Committee Amendment 29 and moved adoption. The motion failed by a record vote of 2 ayes, 5 nays, 0 present not voting, and 2 absent. There was no action taken on Committee Amendment 30. Senator Averitt sent up Committee Amendment 31; Senator Jackson sent up an amendment to Committee Amendment 31 and moved adoption; without objection, the amendment and amendment to the SENATE COMMITTEE ON BUSINESS & COMMERCE Minutes Thursday, March 20, 2003 page 4 amendment were adopted. Senator Williams sent up Committee Amendment 32 and an amendment to the amendment; the amendment and the amendment to the amendment were withdrawn. Senator Averitt sent up Committee Amendment 33 and moved adoption; without objection, the amendment was adopted. Senator Fraser sent up Committee Amendment 34 and moved adoption; without objection, the amendment was adopted. Committee Amendments 35 and 36 were withdrawn. Senator Averitt sent up Committee Amendment 37 and moved adoption; without objection, the amendment was adopted. Senator Fraser sent up Committee Amendment 37A and moved adoption; without objection, the amendment was adopted. Senator Brimer sent up Committee Amendment 38 and moved adoption; without objection, the amendment was adopted. Senator Fraser sent up Committee Amendment 39 and moved adoption; without objection, the amendment was adopted. Committee Amendment 40 was withdrawn. Senator Armbrister sent up a replacement to Committee Amendment 40A and moved adoption; without objection, the replacement for the amendment was adopted. Senator Averitt sent up Committee Amendment 41 and moved adoption; without objection, the amendment was adopted. Senator Fraser sent up Committee Amendment 42 and moved adoption; without objection, the amendment was adopted. Senator Van de Putte sent up Committee Amendment 43 and moved adoption; without objection, the amendment was adopted. Senator Van de Putte sent up Committee Amendment 44 and moved adoption. The motion failed by a record vote of 2 ayes, 6 nays, 0 present not voting, and 1 absent. Senator Jackson requested unanimous consent to incorporate the adopted amendments into the proposed committee substitute; without objection, it was so ordered. Senator Jackson then moved that the new committee substitute be adopted; without objection, it was so ordered. Senator Jackson moved that SB 14 do not pass but that CSSB 14 be reported back to the Senate with the recommendation that it do pass and be printed. The motion carried with a record vote of 6 ayes, 2 nays, 1 present not voting, and 0 absent. SENATE COMMITTEE ON BUSINESS & COMMERCE Minutes Thursday, March 20, 2003 page 5 Chairman Fraser moved that the bills shown below be laid on the table subject to call; without objection, it was so ordered. SB 91 SB 99 SB 109 SB 130 SB 131 SB 400 There being no further business, at 6:30 p.m. the Chairman moved that the Committee stand recessed subject to the call of the chairman. Without objection, it was so ordered. ____________________________ Senator Troy Fraser, Chairman ____________________________ Barbara Henderson, Clerk