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A BILL TO BE ENTITLED
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AN ACT
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relating to the oversight of public education, including the |
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creation of the office of inspector general at the Texas Education |
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Agency. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 7, Education Code, is amended by adding |
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Subchapter E to read as follows: |
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SUBCHAPTER E. OFFICE OF INSPECTOR GENERAL |
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Sec. 7.151. DEFINITIONS. In this subchapter: |
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(1) "Fraud" means an intentional deception or |
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misrepresentation made by a person with the knowledge that the |
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deception could result in some unauthorized benefit to that person |
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or some other person. The term includes any act that constitutes |
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fraud under applicable federal or state law. |
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(2) "Office" means the office of inspector general |
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established under this subchapter. |
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Sec. 7.152. OFFICE OF INSPECTOR GENERAL. (a) The office |
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of inspector general is established as a division within the |
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agency. |
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(b) The commissioner shall appoint an inspector general to |
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serve as director of the office. The inspector general serves until |
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removed by the commissioner. |
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Sec. 7.153. GENERAL RESPONSIBILITIES. (a) The office is |
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responsible for the investigation, prevention, and detection of |
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criminal misconduct and wrongdoing and of fraud, waste, and abuse |
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in the administration of public education by: |
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(1) school districts, including school districts |
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described by Section 11.301(a); |
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(2) open-enrollment charter schools; |
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(3) regional education service centers; |
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(4) county systems described by Section 11.301(a); and |
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(5) other local education agencies in this state. |
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(b) The office shall investigate allegations of fraud, |
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waste, and abuse and violations of this code or other law. |
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(c) The office may: |
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(1) conduct criminal, civil, and administrative |
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investigations and initiate reviews of: |
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(A) a school district, including a school |
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district described by Section 11.301(a); |
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(B) an open-enrollment charter school; |
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(C) a regional education service center; |
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(D) a county system described by Section |
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11.301(a); or |
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(E) any other local education agency as |
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considered appropriate by the inspector general; |
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(2) receive and investigate complaints from any source |
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on its own initiative; and |
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(3) conduct special accreditation investigations |
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authorized by the commissioner under Section 39.057(a). |
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(d) The office shall perform all other duties and exercise |
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all other powers granted to the office by this subchapter or another |
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law. |
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Sec. 7.154. GENERAL POWERS. The office has all the powers |
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necessary or appropriate to carry out its responsibilities and |
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functions under this subchapter and other law. |
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Sec. 7.155. SUBPOENAS. (a) The inspector general may |
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issue a subpoena to compel the attendance of a relevant witness at a |
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hearing or deposition under this subchapter or to compel the |
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production, for inspection or copying, of books, papers, records, |
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documents, or other relevant materials, including electronic data, |
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in connection with an investigation, review, hearing, or deposition |
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conducted under this subchapter. |
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(b) A subpoena may be served personally or by certified |
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mail. If a person fails to comply with a subpoena, the inspector |
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general, acting through the attorney general, may file suit to |
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enforce the subpoena in a district court in this state. |
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(c) On finding that good cause exists for issuing the |
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subpoena, the court shall order the person to comply with the |
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subpoena. The court may hold in contempt a person who fails to obey |
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the court order. |
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Sec. 7.156. COOPERATION WITH LAW ENFORCEMENT OFFICIALS AND |
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OTHER ENTITIES. (a) The office may provide information and |
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evidence relating to criminal acts to the State Auditor's Office |
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and appropriate law enforcement officials. |
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(b) The office may refer matters for further civil, |
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criminal, and administrative action to appropriate administrative |
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and prosecutorial agencies, including the attorney general. |
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SECTION 2. Subchapter G, Chapter 11, Education Code, is |
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amended by adding Section 11.305 to read as follows: |
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Sec. 11.305. OVERSIGHT OF CERTAIN ENTITIES. (a) This |
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section only applies to a school district or county system |
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described by Section 11.301(a). |
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(b) Each school district or county system subject to this |
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section shall provide a report to the agency not later than February |
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27 of each year. The annual report must include: |
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(1) a summary of the district's or system's operations |
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for the preceding fiscal year; and |
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(2) the district's or system's audited financial |
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statements for the preceding fiscal year. |
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(c) The commissioner may direct the agency to investigate a |
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school district or county system subject to this section for |
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allegations of fraud, waste, or abuse. |
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(d) If, after an investigation described by Subsection (c), |
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the commissioner determines that the school district or county |
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system has engaged in fraud, waste, or abuse, and the district or |
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system does not timely correct the fraud, waste, or abuse to the |
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satisfaction of the commissioner, the commissioner may replace the |
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governing board of the district or system with a board of managers |
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in accordance with Chapter 39A. |
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(e) If a school district or county system subject to this |
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section discovers an instance of fraud, waste, or abuse, the |
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district or system shall report the fraud, waste, or abuse to the |
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agency not later than the 20th day after the date the fraud, waste, |
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or abuse is discovered. |
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(f) If a school district or county system fails to file an |
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annual report required under Subsection (b) or fails to report |
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fraud, waste, or abuse as required under Subsection (e), the |
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commissioner may replace the governing board of the district or |
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system with a board of managers in accordance with Chapter 39A and |
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rules adopted under that chapter. |
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(g) The commissioner may adopt rules as necessary to |
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implement this section. |
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SECTION 3. Section 39.057(a), Education Code, as effective |
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September 1, 2017, is amended to read as follows: |
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(a) The commissioner may authorize special accreditation |
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investigations to be conducted: |
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(1) when excessive numbers of absences of students |
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eligible to be tested on state assessment instruments are |
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determined; |
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(2) when excessive numbers of allowable exemptions |
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from the required state assessment instruments are determined; |
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(3) in response to complaints submitted to the agency |
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with respect to alleged violations of civil rights or other |
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requirements imposed on the state by federal law or court order; |
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(4) in response to established compliance reviews of |
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the district's financial accounting practices and state and federal |
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program requirements; |
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(5) when extraordinary numbers of student placements |
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in disciplinary alternative education programs, other than |
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placements under Sections 37.006 and 37.007, are determined; |
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(6) in response to an allegation involving a conflict |
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between members of the board of trustees or between the board and |
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the district administration if it appears that the conflict |
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involves a violation of a role or duty of the board members or the |
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administration clearly defined by this code; |
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(7) when excessive numbers of students in special |
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education programs under Subchapter A, Chapter 29, are assessed |
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through assessment instruments developed or adopted under Section |
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39.023(b); |
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(8) in response to an allegation regarding or an |
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analysis using a statistical method result indicating a possible |
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violation of an assessment instrument security procedure |
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established under Section 39.0301, including for the purpose of |
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investigating or auditing a school district under that section; |
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(9) when a significant pattern of decreased academic |
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performance has developed as a result of the promotion in the |
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preceding two school years of students who did not perform |
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satisfactorily as determined by the commissioner under Section |
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39.0241(a) on assessment instruments administered under Section |
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39.023(a), (c), or (l); |
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(10) when excessive numbers of students eligible to |
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enroll fail to complete an Algebra II course or any other advanced |
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course as determined by the commissioner; |
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(11) when resource allocation practices as evaluated |
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under Section 39.0821 indicate a potential for significant |
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improvement in resource allocation; |
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(12) when a disproportionate number of students of a |
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particular demographic group is graduating with a particular |
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endorsement under Section 28.025(c-1); |
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(13) when an excessive number of students is |
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graduating with a particular endorsement under Section |
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28.025(c-1); |
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(14) in response to a complaint submitted to the |
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agency with respect to alleged inaccurate data that is reported |
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through the Public Education Information Management System (PEIMS) |
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or through other reports required by state or federal law or rule or |
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court order and that is used by the agency to make a determination |
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relating to public school accountability, including accreditation, |
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under this chapter; |
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(15) when a school district for any reason fails to |
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produce, at the request of the agency, evidence or an investigation |
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report relating to an educator who is under investigation by the |
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State Board for Educator Certification; [or] |
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(16) by the office of inspector general for the |
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purpose of investigating allegations of fraud, waste, and abuse in |
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the administration of public education; or |
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(17) as the commissioner otherwise determines |
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necessary. |
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SECTION 4. This Act takes effect December 1, 2017. |