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AN ACT
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relating to the authority of physicians and physician assistants to |
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form certain entities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter B, Chapter 22, Business Organizations |
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Code, is amended by adding Section 22.0561 to read as follows: |
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Sec. 22.0561. CORPORATIONS FORMED BY PHYSICIANS AND |
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PHYSICIAN ASSISTANTS. (a) Physicians licensed under Subtitle B, |
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Title 3, Occupations Code, and physician assistants licensed under |
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Chapter 204, Occupations Code, may form a corporation to perform a |
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professional service that falls within the scope of practice of |
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those practitioners and consists of: |
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(1) carrying out research in the public interest in |
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medical science, medical economics, public health, sociology, or a |
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related field; |
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(2) supporting medical education in medical schools |
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through grants or scholarships; |
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(3) developing the capabilities of individuals or |
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institutions studying, teaching, or practicing medicine or acting |
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as a physician assistant; |
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(4) delivering health care to the public; or |
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(5) instructing the public regarding medical science, |
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public health, hygiene, or a related matter. |
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(b) A physician assistant may not be an officer of the |
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corporation. |
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(c) A physician assistant may not contract with or employ a |
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physician to be a supervising physician of the physician assistant |
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or of any physician in the corporation. |
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(d) The authority of each practitioner is limited by the |
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scope of practice of the respective practitioner. An organizer of |
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the entity must be a physician and ensure that a physician or |
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physicians control and manage the entity. |
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(e) Nothing in this section may be construed to allow the |
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practice of medicine by someone not licensed as a physician under |
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Subtitle B, Title 3, Occupations Code, or to allow a person not |
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licensed as a physician to direct the activities of a physician in |
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the practice of medicine. |
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(f) A physician assistant or combination of physician |
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assistants may have only a minority ownership interest in an entity |
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created under this section. The ownership interest of an individual |
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physician assistant may not equal or exceed the ownership interest |
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of any individual physician owner. A physician assistant or |
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combination of physician assistants may not interfere with the |
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practice of medicine by a physician owner or the supervision of |
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physician assistants by a physician owner. |
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(g) The Texas Medical Board and the Texas Physician |
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Assistant Board continue to exercise regulatory authority over |
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their respective license holders according to applicable law. To |
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the extent of a conflict between Subtitle B, Title 3, Occupations |
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Code, and Chapter 204, Occupations Code, or any rules adopted under |
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those statutes, Subtitle B, Title 3, or a rule adopted under that |
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subtitle controls. |
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SECTION 2. Subchapter B, Chapter 152, Business |
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Organizations Code, is amended by adding Section 152.0551 to read |
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as follows: |
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Sec. 152.0551. PARTNERSHIPS FORMED BY PHYSICIANS AND |
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PHYSICIAN ASSISTANTS. (a) Physicians licensed under Subtitle B, |
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Title 3, Occupations Code, and physician assistants licensed under |
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Chapter 204, Occupations Code, may create a partnership to perform |
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a professional service that falls within the scope of practice of |
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those practitioners. |
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(b) A physician assistant may not be a general partner or |
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participate in the management of the partnership. |
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(c) A physician assistant may not contract with or employ a |
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physician to be a supervising physician of the physician assistant |
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or of any physician in the partnership. |
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(d) The authority of each practitioner is limited by the |
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scope of practice of the respective practitioner. An organizer of |
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the entity must be a physician and ensure that a physician or |
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physicians control and manage the entity. |
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(e) Nothing in this section may be construed to allow the |
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practice of medicine by someone not licensed as a physician under |
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Subtitle B, Title 3, Occupations Code, or to allow a person not |
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licensed as a physician to direct the activities of a physician in |
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the practice of medicine. |
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(f) A physician assistant or combination of physician |
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assistants may have only a minority ownership interest in an entity |
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created under this section. The ownership interest of an individual |
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physician assistant may not equal or exceed the ownership interest |
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of any individual physician owner. A physician assistant or |
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combination of physician assistants may not interfere with the |
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practice of medicine by a physician owner or the supervision of |
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physician assistants by a physician owner. |
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(g) The Texas Medical Board and the Texas Physician |
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Assistant Board continue to exercise regulatory authority over |
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their respective license holders according to applicable law. To |
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the extent of a conflict between Subtitle B, Title 3, Occupations |
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Code, and Chapter 204, Occupations Code, or any rules adopted under |
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those statutes, Subtitle B, Title 3, or a rule adopted under that |
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subtitle controls. |
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SECTION 3. Section 301.012, Business Organizations Code, is |
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amended by adding Subsections (a-1), (a-2), (a-3), (a-4), (a-5), |
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(a-6), and (a-7) to read as follows: |
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(a-1) Persons licensed as physicians under Subtitle B, |
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Title 3, Occupations Code, and persons licensed as physician |
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assistants under Chapter 204, Occupations Code, may form and own a |
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professional association or a professional limited liability |
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company to perform professional services that fall within the scope |
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of practice of those practitioners. |
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(a-2) A physician assistant may not be an officer in the |
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professional association or limited liability company. |
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(a-3) A physician assistant may not contract with or employ |
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a physician to be a supervising physician of the physician |
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assistant or of any physician in the professional association or |
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limited liability company. |
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(a-4) The authority of each practitioner is limited by the |
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scope of practice of the respective practitioner. An organizer of |
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the entity must be a physician and ensure that a physician or |
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physicians control and manage the entity. |
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(a-5) Nothing in this section may be construed to allow the |
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practice of medicine by someone not licensed as a physician under |
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Subtitle B, Title 3, Occupations Code, or to allow a person not |
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licensed as a physician to direct the activities of a physician in |
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the practice of medicine. |
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(a-6) A physician assistant or combination of physician |
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assistants may have only a minority ownership interest in an entity |
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created under this section. The ownership interest of an individual |
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physician assistant may not equal or exceed the ownership interest |
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of any individual physician owner. A physician assistant or |
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combination of physician assistants may not interfere with the |
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practice of medicine by a physician owner or the supervision of |
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physician assistants by a physician owner. |
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(a-7) The Texas Medical Board and the Texas Physician |
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Assistant Board continue to exercise regulatory authority over |
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their respective license holders according to applicable law. To |
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the extent of a conflict between Subtitle B, Title 3, Occupations |
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Code, and Chapter 204, Occupations Code, or any rules adopted under |
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those statutes, Subtitle B, Title 3, or a rule adopted under that |
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subtitle controls. |
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SECTION 4. Subchapter B, Chapter 162, Occupations Code, is |
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amended by adding Section 162.053 to read as follows: |
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Sec. 162.053. JOINTLY OWNED ENTITIES WITH PHYSICIAN |
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ASSISTANTS. (a) A physician who jointly owns an entity with a |
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physician assistant shall report annually to the board the |
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ownership interest and other information required by board rule. |
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(b) The board shall assess a fee for processing each report |
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required by Subsection (a). |
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(c) A report filed under Subsection (a) is public |
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information for purposes of Chapter 552, Government Code. |
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SECTION 5. Subchapter E, Chapter 204, Occupations Code, is |
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amended by adding Section 204.209 to read as follows: |
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Sec. 204.209. JOINTLY OWNED ENTITIES WITH PHYSICIANS. (a) |
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A physician assistant who jointly owns an entity with a physician |
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shall report annually to the physician assistant board the |
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ownership interest and other information required by physician |
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assistant board rule. |
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(b) The physician assistant board shall assess a fee for |
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processing each report required by Subsection (a). |
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(c) A report filed under Subsection (a) is public |
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information for purposes of Chapter 552, Government Code. |
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SECTION 6. The restrictions on ownership interests in |
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Sections 22.0561, 152.0551, and 301.012, Business Organizations |
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Code, apply to an ownership interest acquired on or after the |
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effective date of this Act. An ownership interest acquired before |
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the effective date of this Act is governed by the law in effect at |
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the time the interest was acquired, and the former law is continued |
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in effect for that purpose. |
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SECTION 7. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2011. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I certify that H.B. No. 2098 was passed by the House on May |
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10, 2011, by the following vote: Yeas 144, Nays 0, 2 present, not |
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voting. |
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______________________________ |
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Chief Clerk of the House |
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I certify that H.B. No. 2098 was passed by the Senate on May |
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24, 2011, by the following vote: Yeas 29, Nays 2. |
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______________________________ |
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Secretary of the Senate |
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APPROVED: _____________________ |
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Date |
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_____________________ |
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Governor |