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79R5759 CLG-D

By:  Brown of Kaufman                                             H.B. No. 3319



A BILL TO BE ENTITLED

AN ACT

relating to the imposition of a fee for a currency transmission sent 
to a destination outside this state.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 278.001, Finance Code, is amended to 
read as follows:    
	Sec. 278.001.  DEFINITIONS.  Except as otherwise provided by 
Subchapter B or D, in [In] this chapter:
		(1)  "Currency" has the meaning assigned by Section 
153.001.                
		(2)  "Currency transmission business" means engaging 
in or offering currency transmission as a service or for profit. 
[The term does not include:
			[(A)  a federally insured financial institution, 
as defined by Section 201.101, that is organized under the laws of 
this state, another state, or the United States; or
			[(B)  a title insurance company or title insurance 
agent, as defined by Article 9.02, Insurance Code.]
		(3)  "Currency transmission" means receiving currency 
or an instrument payable in currency in order to transmit the 
currency or its equivalent by wire, computer modem, facsimile, 
physical transport, or any other means or through the use of a 
financial intermediary, the Federal Reserve System, or another 
funds transfer network.
		(4)  "Fee" does not include revenue that a currency 
transmission business generates in connection with a currency 
transmission in the conversion of a currency of one government into 
the currency of another government.
	SECTION 2.  Subchapter B, Chapter 278, Finance Code, is 
amended by adding Section 278.054 to read as follows:
	Sec. 278.054.  APPLICABILITY.  For purposes of this 
subchapter, "currency transmission business" does not include:
		(1)  a federally insured financial institution, as 
defined by Section 201.101, that is organized under the laws of this 
state, another state, or the United States; or
		(2)  a title insurance company or title insurance 
agent, as defined by Article 9.02, Insurance Code.
	SECTION 3.  Section 278.101(a), Finance Code, is amended to 
read as follows: 
	(a)  A person who knowingly violates Subchapter B [this 
chapter] is liable to the state for a civil penalty in an amount not 
to exceed $1,000 for each violation.  The attorney general or the 
prosecuting attorney in the county in which the violation occurs 
may bring:
		(1)  a suit to recover the civil penalty imposed under 
this section; and    
		(2)  an action in the name of the state to restrain or 
enjoin a person from violating Subchapter B [this chapter].
	SECTION 4.  Chapter 278, Finance Code, is amended by adding 
Subchapter D to read as follows:

SUBCHAPTER D.  CURRENCY TRANSMISSION FEE
	Sec. 278.151.  DEFINITIONS.  In this subchapter:                        
		(1)  "Currency transmission" has the meaning assigned 
by Section 153.001.
		(2)  "Currency transmission business" means a person 
engaging in currency transmission as a service or for profit.
	Sec. 278.152.  FEE ON CERTAIN CURRENCY TRANSMISSIONS. (a)  A 
person that engages in currency transmission must impose a fee on 
currency transmission destined from this state to a destination 
outside this state.  The amount of the fee is one percent of the 
total amount sent by currency transmission to a destination outside 
this state.
	(b)  A currency transmission business shall remit the fee 
imposed by this section to the comptroller each quarter in the 
manner prescribed by the comptroller for deposit to the credit of 
the indigent health care support account under Section 64.002, 
Health and Safety Code.
	(c)  The comptroller shall adopt any necessary rules for the 
administration, payment, collection, and enforcement of the fee 
imposed by this section.
	SECTION 5.  Chapter 64, Health and Safety Code, is amended by 
adding Section 64.002 to read as follows:
	Sec. 64.002.  INDIGENT HEALTH CARE SUPPORT ACCOUNT.  The 
indigent health care support account is an account in the general 
revenue fund.  Money in the account may be appropriated only to the 
Health and Human Services Commission to provide funding for 
indigent health care and other health care services to needy 
residents of this state.
	SECTION 6.  The fees imposed under Subchapter D, Chapter 
278, Finance Code, as added by this Act, apply only to currency 
transmissions that occur on or after October 1, 2005.
	SECTION 7.  Not later than October 1, 2005, the comptroller 
shall adopt rules as necessary to implement Subchapter D, Finance 
Code, as added by this Act.
	SECTION 8.  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 September 1, 2005.