HB 4 (Capriglione) Relating to the regulation of the collection, use, processing, and treatment of consumers’ personal data by certain business entities; imposing a civil penalty 

  • HB 4 would add certain restrictions to the sale and processing of personal consumer data and would only apply to small businesses 
  • The bill would not apply to: State agencies and political subdivisions, financial institutions or data subject to financial regulations, nonprofits, or institutions of higher education 
  • Bill would give consumers the right to request certain information of the controller, and would require the controller to respond to the consumer request no later than 45 days after the request was made; if the request was denied the controller would be required to inform the consumer why the request was denied and how to appeal 
  • The AG would have exclusive authority over enforcement of the bill’s provisions and would be required to post on the AG’s website the responsibilities of controllers and the processors as well as consumer’s rights and a way for consumers to submit complaints 
  • HB 4 passed both chambers and is heading to the Governor’s desk

HB 18 Relating to the protection of minors from harmful, deceptive, or unfair trade practices in connection with the use of certain digital services and electronic devices, including the use and transfer of electronic devices to students by a public school

  • The bill would require digital service providers to register the age of all users. The bill establishes rules for digital service providers regarding their duties relating to known minors, including the duty to prevent harm, create parental tools, and prevent certain targeted advertising
  • The bill would entitle verified parents of known minors using digital services to supervise and manage their minor’s use of, and personal identifying information collected by, the digital service provider
  • Article 3 of the bill would create rules regarding the standards for electronic devices and software applications used by school districts
  • Article 4 of the bill would direct a joint committee of the Legislature to conduct a study on the effects of media on minors
  • HB 18 passed out of both chambers and is now heading to the Governor’s desk

HB 584 (Capriglione) Relating to the development of a state information technology credential offered by public junior colleges or public technical institutes to address shortages in the state information resources workforce

  • Bill would allow DIR to enter into an agreement with a public junior college or public technical institution to offer a program leading to a state information technology credential and include a one-year apprenticeship
  • Bill would require the programs to be approved by the Higher Education Coordinating Board
  • Bill would allow for an IT credential program that was not fully funded through tuition or other money available for that purpose to be paid for with any money available to DIR
  • HB 584 passed out of both chambers and is now heading to the Governor’s desk

SB 821 (Nichols) Relating to the review by the Sunset Advisory Commission of the sale of personal data by state agencies

  • SB 821 requires the Sunset Advisory Commission to determine whether the agency sells personal data the agency possesses
  • The bill requires the commission to determine the following if the agency does sell personal data: to whom the data is sold, the purpose for which the data is sold, the amount the agency receives for the sale of data, and the law that authorizes the state agency to sell the personal data
  • SB 823 passed both chambers and is heading to the Governor’s desk 

SB 2105 (Johnson) Relating to the registration of and certain other requirements relating to data brokers; providing a civil penalty and authorizing a fee

  • SB 2105 requires a data broker that maintains a website or mobile application to post a conspicuous notice on the website or application that meets the criteria
  • Bill requires a data broker to register with the secretary of the state by filing a registration statement and paying a registration fee of $300
  • Bill requires the secretary of state to establish and maintain on its website a searchable, central registry of data brokers registered with the secretary of state
  • Bill establishes that a data broker conducting business in Texas has a duty to protect personal data held by that broker
  • Bill makes a data broker that violates the bill’s notice or registration requirements liable to the state for a civil penalty
  • Bill applies to a data broker that in a 12-month period derives more than 50% of their revenue from processing or transferring personal data that they did not collect directly from the individuals or derives revenue from processing or transferring the personal data of more than 50k individuals that they did not collect form the individuals
  • SB 2105 passed both chambers and is heading to the Governor’s desk


Artificial Intelligence

HB 2060 (Capriglione) Relating to the creation of the artificial intelligence advisory council

  • HB 2060 establishes the Artificial Intelligence Advisory Council to study and monitor the use of AI systems by state agencies in Texas
  • The council is composed of seven members: 4 appointed by the governor, 1 by the speaker, 1 by the Lt. Governor, and the executive director of DIR
  • HB 2060 passed both chambers and is heading to the Governor’s desk


Social Media 

SB 1602 (Hughes) Relating to venue and choice of law for certain actions involving censorship by social media platforms

  • Would require actions against social media platforms established in Civil Practice and Remedies Code ch. 143A to be brought and maintained in a court in Texas, in which the law of the state would apply
  • SB 1602 was signed by the Governor and is effective on September 1

SB 1893 (Birdwell) Relating to prohibiting the use of certain social media applications and services on devices owned or leased by governmental entities

  • A governmental entity shall adopt a policy prohibiting the installation or use of a “covered application” on any device owned or leased by the governmental entity 
  • Covered application is defined as TikTok or any successor application or a social media application specified by Governor’s proclamation 
  • Bill requires DIR to publish annually and maintain on its publicly accessible website a list of the identified applications
  • Bill requires DIR and DPS to jointly develop a policy for state agencies to use in developing their own policies and requires each state agency to adopt their policy no later than the 60th day after the policy is made available 
  • SB 1893 passed both chambers and is heading to the Governor’s desk