88R8206 JES-D
 
  By: Leo-Wilson H.B. No. 3661
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the collection and publication of information regarding
  the use of environmental, social, or governance scores by certain
  financial institutions.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle Z, Title 3, Finance Code, is amended by
  adding Chapter 272 to read as follows:
  CHAPTER 272. REPORTING REQUIREMENTS RELATING TO USE OF
  ENVIRONMENTAL, SOCIAL, OR GOVERNANCE SCORES
         Sec. 272.001.  DEFINITIONS. In this chapter:
               (1)  "Environmental, social, or governance score"
  means a score that is based on measuring a customer's exposure to
  long-term environmental, social, and governance risks.
               (2)  "Financial institution" means:
                     (A)  a bank chartered under state law, including
  Chapter 32;
                     (B)  a savings and loan association chartered
  under Chapter 62;
                     (C)  a state savings bank chartered under Chapter
  92;
                     (D)  a credit union chartered under Chapter 122;
  or
                     (E)  a trust company chartered under the laws of
  this state.
         Sec. 272.002.  COLLECTION OF INFORMATION FROM FINANCIAL
  INSTITUTIONS REGARDING USE OF ENVIRONMENTAL, SOCIAL, OR GOVERNANCE
  SCORES. (a) A financial institution shall provide nonconfidential
  information regarding the institution's policies for the use of
  environmental, social, or governance scores to the finance
  commission in the form and manner prescribed by the commission,
  including whether an environmental, social, or governance score
  affects the institution's determination of whether to make a loan
  or other extension of credit to a customer.
         (b)  A financial institution shall provide updated
  information to the commission under this section if the institution
  substantively changes the institution's policies regarding
  environmental, social, or governance scores.
         Sec. 272.003.  TRANSFER TO COMPTROLLER. The finance
  commission shall provide information collected under this chapter
  to the comptroller in the form and manner prescribed by the
  comptroller.
         Sec. 272.004.  RULES. The finance commission may adopt
  rules to implement this section.
         SECTION 2.  Subchapter B, Chapter 403, Government Code, is
  amended by adding Section 403.0146 to read as follows:
         Sec. 403.0146.  PUBLICATION OF INFORMATION REGARDING USE OF
  ENVIRONMENTAL, SOCIAL, OR GOVERNANCE SCORES. (a) In this section,
  "environmental, social, or governance score" and "financial
  institution" have the meanings assigned by Section 272.001, Finance
  Code.
         (b)  The comptroller shall publish on the comptroller's
  Internet website information regarding the use of environmental,
  social, or governance scores by financial institutions in this
  state using information collected under Chapter 272, Finance Code.
  The information published must:
               (1)  include a list of each financial institution that
  has committed to not using environmental, social, or governance
  scores in lending in this state; and
               (2)  be written in language intended to be easily
  understood by consumers.
         SECTION 3.  This Act takes effect September 1, 2023.