By: Watson  S.B. No. 1916
         (In the Senate - Filed March 13, 2015; March 25, 2015, read
  first time and referred to Committee on Business and Commerce;
  May 6, 2015, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 7, Nays 0; May 6, 2015, sent
  to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1916 By:  Taylor of Galveston
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the escheat of United States savings bonds.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 74, Property Code, is amended by adding
  Subchapter G-1 to read as follows:
  SUBCHAPTER G-1. ESCHEAT OF UNITED STATES SAVINGS BONDS
         Sec. 74.651.  DEFINITION.  In this subchapter, "United
  States savings bond" means property, tangible or intangible, in the
  form of a savings bond issued by the United States Treasury whether
  in paper form, electronic form, or paperless form, including all
  proceeds of the savings bond.
         Sec. 74.652.  ELIGIBILITY TO ESCHEAT TO STATE.  
  Notwithstanding any other law, a United States savings bond that is
  presumed abandoned under this title, including a savings bond in
  the possession of the comptroller or a lost, stolen, or destroyed
  savings bond registered to a person with a last known address in the
  state, is eligible to escheat to the state if the savings bond has
  remained:
               (1)  unredeemed for at least three years after the date
  of maturity; and
               (2)  unclaimed for at least three years after being
  presumed abandoned.
         Sec. 74.653.  CIVIL ACTION FOR ESCHEAT.  (a)  Except as
  provided by this subsection, not later than the 180th day after the
  date a United States savings bond becomes eligible to escheat to the
  state under Section 74.652, if a claim has not been filed under this
  chapter for the savings bond, the comptroller shall commence a
  civil action in a district court in Travis County or in any other
  court of competent jurisdiction for a determination that the
  savings bond has escheated to the state. The comptroller may
  postpone bringing the action until sufficient United States savings
  bonds have accumulated in the comptroller's custody to justify the
  expense of the proceedings.
         (b)  Citation in the action shall be by publication in
  accordance with the Texas Rules of Civil Procedure.
         (c)  If a claim for the United States savings bond is not
  filed with the court or the court determines that a claimant is not
  entitled to the savings bond, and if the court is satisfied by
  evidence that the comptroller has substantially complied with the
  laws of this state, the court shall enter a judgment that the
  savings bond has escheated to the state.  If the savings bond
  escheats to the state, all property rights and legal title to and
  ownership of the savings bond and proceeds of the savings bond,
  including all rights, powers, and privileges of survivorship of any
  owner, co-owner, or beneficiary, vest solely in the state.
         Sec. 74.654.  REDEMPTION OF ESCHEATED SAVINGS BOND.  (a)  If
  the court enters a judgment that a United States savings bond has
  escheated to the state under Section 74.653, the comptroller shall
  redeem the savings bond.
         (b)  The comptroller shall first pay all costs incident to
  the collection and recovery of the proceeds from the proceeds of the
  bond and shall promptly deposit the remaining proceeds in the
  general revenue fund.
         Sec. 74.655.  CLAIM AFTER ESCHEAT.  (a)  After a court has
  entered a judgment that a United States savings bond has escheated
  to the state under Section 74.653, a person may file a claim for the
  savings bond or proceeds from the savings bond with the
  comptroller. If the claimant provides sufficient proof of the
  validity of the claim, the comptroller may, in the comptroller's
  sole discretion, pay the claim less any expenses and costs that the
  state incurred in securing full title to and ownership of the
  savings bond or proceeds from the savings bond.
         (b)  If a payment has been made to a claimant under this
  section, an action may not be maintained by any other claimant
  against the state or any officer of the state for the savings bond
  or proceeds from the savings bond or on account of the payment.
         SECTION 2.  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, 2015.
 
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