88R8947 JRR-D
 
  By: Tinderholt H.B. No. 4737
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to prohibiting the acquisition and use of certain unmanned
  aircraft by a governmental entity.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Chapter 423, Government Code, is
  amended to read as follows:
  CHAPTER 423. [USE OF] UNMANNED AIRCRAFT
         SECTION 2.  Chapter 423, Government Code, is amended by
  adding Section 423.010 to read as follows:
         Sec. 423.010.  ACQUISITION OR USE OF CERTAIN FOREIGN
  UNMANNED AIRCRAFT BY GOVERNMENTAL ENTITY PROHIBITED; REPORT. (a)
  In this section:
               (1)  "Company" means a sole proprietorship,
  organization, association, corporation, partnership, joint
  venture, limited partnership, limited liability partnership, or
  limited liability company, including a wholly owned subsidiary,
  majority-owned subsidiary, parent company, or affiliate of those
  entities or business associations, that exists to make a profit.
               (2)  "Governmental entity" means this state, a
  political subdivision of this state, or an agency of this state or a
  political subdivision of this state.
         (b)  Except as otherwise provided by Subsection (d), a
  governmental entity may not acquire or use an unmanned aircraft
  produced by a company that the governmental entity knows or has
  reason to believe is:
               (1)  owned by or the majority of stock or other
  ownership interest of the company is held or controlled by:
                     (A)  individuals who are citizens of China; or
                     (B)  a company or other entity, including a
  government entity, that is owned or controlled by citizens of or is
  directly controlled by the government of China; or
               (2)  headquartered in China.
         (c)  The prohibition described by Subsection (b) applies
  regardless of whether:
               (1)  the company's or its parent company's securities
  are publicly traded; or
               (2)  the company or its parent company is listed on a
  public stock exchange as a Chinese company.
         (d)  A governmental entity that, before September 1, 2023,
  acquired, or entered into a contract or agreement to acquire, an
  unmanned aircraft described by Subsection (b) may continue to use
  the unmanned aircraft after that date, except that for each
  acquisition of an unmanned aircraft that is not prohibited under
  Subsection (b) that occurs on or after September 1, 2023, the
  governmental entity must discontinue use of an unmanned aircraft
  described by Subsection (b).
         (e)  Not later than October 1 of each even-numbered year, a
  governmental entity that continues to use an unmanned aircraft as
  described by Subsection (d) must submit the following information
  for the preceding state fiscal biennium to the Department of Public
  Safety in the form and manner prescribed by the department:
               (1)  the number and percentage of the governmental
  entity's unmanned aircraft that are described by Subsection (b);
               (2)  the number of unmanned aircraft acquired;
               (3)  the number and percentage of unmanned aircraft
  described by Subsection (b) that the governmental entity
  discontinued using; and
               (4)  any other information prescribed by the
  department.
         (f)  Not later than December 1 of each even-numbered year,
  the Department of Public Safety shall submit to the governor, the
  lieutenant governor, and the legislature a report summarizing the
  information received by the department under Subsection (e) for the
  preceding state fiscal biennium.
         SECTION 3.  Section 423.010(b), Government Code, as added by
  this Act:
               (1)  applies to the acquisition of an unmanned aircraft
  on or after the effective date of this Act, except that a contract
  or agreement to purchase or otherwise acquire an unmanned aircraft
  described by that section that is entered into before the effective
  date of this Act is unaffected by this Act; and
               (2)  except as otherwise provided by Section
  423.010(d), as added by this Act, applies to the use of an unmanned
  aircraft on or after the effective date of this Act, regardless of
  whether the unmanned aircraft was acquired before, on, or after the
  effective date of this Act.
         SECTION 4.  This Act takes effect September 1, 2023.