MINUTES

 

SENATE COMMITTEE ON GOVERNMENT ORGANIZATION

Monday, March 30, 2009

1:30 p.m. or upon adjournment

Betty King Committee Room

 

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Pursuant to a notice posted in accordance with Senate Rule 11.18, a public hearing of the Senate Committee on Government Organization was held on Monday, March 30, 2009, in the Betty King Committee Room at Austin, Texas.

 

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MEMBERS PRESENT:		MEMBERS ABSENT:
Senator Rodney Ellis Senator Glenn Hegar Senator Joan Huffman Senator Eddie Lucio, Jr. Senator Jane Nelson Senator Steve Ogden Senator John Whitmire		None

 

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The chair called the meeting to order at 4:40 p.m.  The following business was transacted: 

 

The chair laid out SB 1270 and recognized the author, Senator Shapleigh, to explain the bill. Witnesses testifying and registering on the bill are shown on the attached list. The chair moved that the public testimony be closed; without objection, it was so ordered.  Upon arrival of a quorum, Senator Hegar moved that SB 1270 be reported favorably to the Senate with the recommendation that it do pass and be printed.  The motion carried with a record vote of 6 ayes, 0 nay, 0 present not voting, and 1 absent. Senator Hegar moved that the bill be recommended for placement on the Local & Uncontested Calendar; without objection, it was so ordered. 

 

The chair laid out SB 1264 and recognized Senator Shapleigh, in the absence of the author, to explain the bill. Senator Nelson sent up a committee substitute; the chair recognized Senator Shapleigh to explain the difference between the committee substitute and the senate bill as filed. Senator Nelson sent up Committee Amendment 1; the chair recognized Senator Shapleigh to explain the committee amendment. Witnesses testifying and registering on the bill are shown on the attached list. The chair moved that the public testimony be closed; without objection, it was so ordered. Upon arrival of a quorum, Senator Hegar moved adoption of the committee substitute; without objection, it was so ordered.  Senator Hegar moved adoption of the committee amendment; without objection it was so ordered. Senator Hegar requested unanimous consent to roll the amendment into the committee substitute; without objection, it was so ordered.  Senator Hegar then moved that the new committee substitute be adopted; without objection, it was so ordered.  Senator Hegar moved that SB 1264 do not pass but that CSSB 1264 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, 0 nay, 0 present not voting, and 1 absent. Senator Hegar moved that the bill be recommended for placement on the Local & Uncontested Calendar; without objection, it was so ordered. 

 

The clerk called roll, there was a quorum present.

 

The chair laid out SB 1051 and recognized Senator Hegar, in the absence of the author, to explain the bill. Witnesses testifying and registering on the bill are shown on the attached list.

The chair moved that the public testimony be closed; without objection, it was so ordered. Senator Hegar moved that SB 1051 be reported favorably to the Senate with the recommendation that it do pass and be printed.  The motion carried with a record vote of 6 ayes, 0 nay, 0 present not voting, and 1 absent. Senator Hegar moved that the bill be recommended for placement on the Local & Uncontested Calendar; without objection, it was so ordered. 

 

The chair laid out SB 1110 and recognized Senator Nelson, in the absence of the author, to explain the bill. Senator Nelson sent up a committee substitute; the chair recognized Senator Nelson to explain the difference between the committee substitute and the senate bill as filed.  Senator Hegar moved adoption of the committee substitute; without objection, it was so ordered.  Witnesses testifying and registering on the bill are shown on the attached list. The chair moved that the public testimony be closed; without objection, it was so ordered. Senator Hegar moved that SB 1110 do not pass but that CSSB 1110 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, 0 nay, 0 present not voting, and 1 absent. Senator Hegar moved that the bill be recommended for placement on the Local & Uncontested Calendar; without objection, it was so ordered. 

 

At 5:13 p.m. Senator Ellis moved that the committee stand at ease until 5:20 p.m.

 

At 5:34 p.m. Senator Ellis reconvened the committee.

 

The chair laid out as a matter of pending business CSSB 1007 and recognized the author, Senator Hegar, to explain the bill. The chair moved that public testimony be re-opened; without objection it was so ordered. Witnesses testifying and registering on the bill are shown on the attached list. The chair moved that the public testimony be closed; without objection, it was so ordered.    

 

Senator Lucio was recognized to discuss committee amendment 1 (credit score ban) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Ellis intends to offer as a floor amendment to CSSB 1007. Amendment 1 was withdrawn.

 

Senator Ogden was recognized to discuss committee amendment 2 (worker's compensation) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Odgen intends to offer as a floor amendment to CSSB 1007.  Amendment 2 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 3 (standardized forms) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Lucio intends to offer as a floor amendment to CSSB 1007. Amendment 3 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 4 (allowance of rate difference for weather related factors) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Lucio intends to offer as a floor amendment to CSSB 1007.  Amendment 4 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 5 (inclusion of fraternal benefit society; early withdrawal) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Lucio intends to offer as a floor amendment to CSSB 1007. Amendment 5 was withdrawn.  

 

Senator Lucio was recognized to discuss committee amendment 6 (mandatory rule authorizing a discount for certain certified homes) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator West intends to offer as a floor amendment to CSSB 1007. Amendment 6 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 7 (mandatory discount for vehicles equipped with tracking systems) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator West intends to offer as a floor amendment to CSSB 1007. Amendment 7 was withdrawn.  

 

Senator Lucio was recognized to discuss committee amendment 8 (assignment of rate standards) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator West intends to offer as a floor amendment to CSSB 1007. Amendment 8 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 9 (complaint resolution process) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Watson intends to offer as a floor amendment to CSSB 1007. Amendment 9 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 10 (statewide offer of coverage) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Davis intends to offer as a floor amendment to CSSB 1007. Amendment 10 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 11 (data mining) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Davis intends to offer as a floor amendment to CSSB 1007.  Amendment 11 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 12 (file and use) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Davis intends to offer as a floor amendment to CSSB 1007.  Amendment 12 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 13 (bad faith cancellation) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Davis intends to offer as a floor amendment to CSSB 1007.  Amendment 13 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 14 (refunds to excessive rates) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Davis intends to offer as a floor amendment to CSSB 1007.  Amendment 14 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 15 (medical loss ratio) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Davis intends to offer as a floor amendment to CSSB 1007. Amendment 15 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 16 (study on impact of changing participation levels) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Watson intends to offer as a floor amendment to CSSB 1007. Amendment 16 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 17 (expansion of small employers eligible employees to participate in health benefit plan) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Watson intends to offer as a floor amendment to CSSB 1007. Amendment 17 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 18 (insurance fact labels) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Watson intends to offer as a floor amendment to CSSB 1007. Amendment 18 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 19 (orally administered anticancer medication) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Watson intends to offer as a floor amendment to CSSB 1007.  Amendment 19 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 20 (standardized forms, prior approval) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Shapleigh intends to offer as a floor amendment to CSSB 1007. Amendment 20 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 21 (sunset date change to 2013) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Watson intends to offer as a floor amendment to CSSB 1007. Amendment 21 was withdrawn.

 

Senator Whitmire was recognized to discuss committee amendment 22 (4% to 2%) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Whitmire intends to offer as a floor amendment to CSSB 1007. Amendment 22 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 23 (prior approval) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Hinojosa intends to offer as a floor amendment to CSSB 1007. Amendment 23 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 24 (prohibition on use of educational attainment for underwriting) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Van de Putte intends to offer as a floor amendment to CSSB 1007. Amendment 24 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 25 (regulation of secondary market PPO's)  to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Van de Putte intends to offer as a floor amendment to CSSB 1007. Amendment 25 was withdrawn.

 

Senator Lucio was recognized to discuss committee amendment 26 (standardized forms) to CSSB 1007, relating to the continuation and operation of the Texas Department of Insurance and the operation of certain insurance programs; imposing administrative penalties, that Senator Van de Putte intends to offer as a floor amendment to CSSB 1007. Amendment 26 was withdrawn.

 

Senator Hegar sent up committee amendment 27 (TWIA alignments) for Senator Fraser and moved adoption; without objection, the amendment was adopted. 

 

Senator Hegar requested unanimous consent to roll committee amendment 27 into the committee substitute that was previously adopted; without objection, it was so ordered. Senator Hegar then moved that the new committee substitute be adopted; without objection, it was so ordered. Senator Hegar moved that SB 1007 do not pass but that CSSB 1007 be reported back to the Senate with the recommendation that it do pass and be printed. The motion carried with a record vote of 7 ayes, 0 nay, 0 present not voting, and 0 absent. 

 

At 7:01 p.m. Senator Ellis moved that the committee stand recessed; without objection, it was so ordered. 

 

 

 

 

 

 

 

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Senator Rodney Ellis, Chair

 

 

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Mattie Murray, Clerk