BILL ANALYSIS

 

 

                                                                                                                                             H.B. 365

                                                                                                                                         By: Chisum

                                                                                             Licensing & Administrative Procedures

                                                                                                       Committee Report (Unamended)

 

 

 

BACKGROUND AND PURPOSE

 

Current law requires that auctions for charitable purposes be conducted by an auctioneer who receives no compensation.  Since auctioneers are licensed, this limits the pool of available people who are able to donate their time.  In addition, the term "charitable or nonprofit organization" used in current law needs to be clarified.

 

HB 365 will allow a person to conduct an auction for charitable, religious, or civic organizations  without having to be an auctioneer.  The measure also clarifies the type of organizations that are exempt from regulation.

 

 

RULEMAKING AUTHORITY

 

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. 

 

ANALYSIS

 

SECTION 1.   Amends Section 1802.002 (3) of the Occupations Code to clarify that the Section does not apply to religious, or civic organizations, including a tax exempt organization under Section 501(c) of the Internal Revenue Code of 1986, or organized as a nonprofit entity, if the person conducting the auction receives no compensation.

 

SECTION 2.   This Act takes effect immediately, or, if the Act does not receive the necessary vote, the Act takes effect September 1, 2007.

 

 

EFFECTIVE DATE

 

Immediately, or, if the Act does not receive the necessary vote, the Act takes effect September 1, 2007.