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Senate B&C met the morning of May 18 to discuss a full schedule. This report covers all 51 bills in the schedule. The witness list for this meeting can be found here, and the archive of this meeting can be found here

 

This report is intended to give you an overview and highlight of the discussions on the various topics taken up. It is not a verbatim transcript of the discussions but is based upon what was audible or understandable to the observer and the desire to get details out as quickly as possible with few errors or omissions.

 

Pending Business:

HB 692 (8-0) Reported to the full senate

HB 872 (8-0) Reported to local and uncontested

HB 1565 CS (8-0) Reported to local and uncontested

HB 2305 (8-0) Reported to the full senate

HB 3583 (8-0) Reported to local and uncontested

 

Agenda:

HB 428 (King, K) Relating to health benefit plan coverage for ovarian cancer testing and screening.

  • Laid out by Zaffirini

Left Pending

 

HB 3617 (Anchia) Relating to certain qualifications and requirements for residential mortgage loan companies.

  • Zaffirini – CS established mortgage program to assist qualified state non-profit organizations

Left Pending

 

HB 3618 (Oliverson) Relating to the comptroller’s rulemaking authority under the Insurance Code.

  • Zaffirini – cleanup bill that eliminates requirement comptrollers need to consult commissioner about traveler’s insurance

Left Pending

 

HB 3745 (Capriglione) Relating to prohibitions in connection with the online sale of goods.

  • Zaffirini – cannot use a bot to bypass sale
  • CS – agreed upon language between buyers and sellers
  • Includes exceptions from sellers and buyers

Left Pending

 

HB 4016 (Kuempel) Relating to operating agreements between holders of a distiller’s and rectifier’s permit and certain alcoholic beverage permit holders.

  • Zaffirini – Bill pertains to the packaging, labeling and distribution of spirits

Left Pending

 

HB 4477 (Thompson, S) Relating to the financial exploitation of certain vulnerable adults.

  • Eliminates requirement that financial institution must report suspected financial exploitation by a vulnerable adult before adult protective services may request a hold
  • Hold must expire 10 days after

Left Pending

 

HB 1518 (Dutton) Relating to the hours for selling alcoholic beverages in certain establishments.

  • Seliger – Allows hotel bar located inside hotel to sell alcohol to its guest at anytime

Left Pending

 

HB 2879 (Landgraf) Relating to notice required in connection with possessory liens on certain motor vehicles.

  • Seliger – Amends current law to alter foreclosures vehicle process 6,000 lbs. or higher
  • Replacing parts or repairing larger vehicles takes longer

Left Pending

 

HB 3897 (Thompson, S) Relating to fees levied by municipalities and counties for alcoholic beverage permits and licenses.

  • Birdwell – Last session passed sunset beverage code
  • TABC is now responsible of setting licenses by rule rather than by statute
  • Historically a bit of each fee has gone to local governments, but sunset bill failed to cover the allocation of two newly created permits
  • CS authorizes allocation necessary to keep local governments hole
  • Puts governments into same financial position they were in before sunset bill

Left Pending

 

HB 2274 (Johnson, A) Relating to the extension or amendment of deed restrictions in certain older subdivisions.

  • Huffman – Original bill removed some deed restrictions for certain older deeds
  • CS makes technical change that ensures condo owners association is not superseded by Voluntary Property Owner’s Association

Left Pending

 

HB 3408 (Goldman) Relating to the regulation of motor fuel metering devices and motor fuel quality.

  • Alvarado – Bill is TDLR motor and motoring quality cleanup
  • CS – Clarifies that compressed natural gas and liquified natural gas may be sold by the pound gallon rather than the wieght with national regulations

Left Pending

 

HB 3271 (Ordaz,P) Relating to establishing loan programs to assist certain micro-businesses by increasing access to capital, authorizing fees.

  • Blanco – Applies to business with 20 or less employees
  • CS – Expands existing capital access program administers for state to be able access plans and distribute more

Left Pending

 

HB 1560 (Goldman) Relating to the continuation and functions of the TDRA

  • Buckingham – TDLR sunset bill
  • Enacts Sunset Recommendations to Texas licensing and registration
  • CS: will continue TDR for 12 years
  • Eliminates licensing of polygraph examiner reduces duplicate licenses
  • Allows bill to better align with best practice
  • Transfers Texas funding of racing to TDLR
  • Streamlines driver safety and driver practice education
  • Removes requirements that TDLR must study regulation of driver training and submit report by January 2022
  • Barber and cosmetology schools must hire license people to teach

 

Joseph McCarthy, Law Offices of Bill Habern – Against 

  • Works with polygraphs
  • Licensing is needed to keep polygraph industry honest and keep people vetted
  • If anyone is allowed to do polygraphs, it belittles the process and diminishes trust
  • Polygraph catches things that background check doesn’t

 

Sean Braun, Self – Against

  • Not a licensed polygrapher
  • Is a licensed sex offender crime treatment and sexual abuser treatments
  • Section 2.06 will do more harm than good

 

Clayton Wood, Texas Association of Polygraph Examiners – Against

  • Voted unanimously to keep statute in force
  • People blindly trust that examiners know what they’re doing and are professional
  • Any person could buy an instrument on eBay and advertise themselves as a polygrapher
  • Deal with serious matters in law enforcements
  • Bill would remove any and all supervision on sex offenders and make it easy for them to allude parole

 

Bobby Rachel, Texas Association of Law Enforcement Polygraph Investigations – Against

  • According to TDLR there are less than 300 licensed professionals in the state
  • The purpose of examiners is to validate tests
  • Sex offenders will continue to offend and there will be limited way to check
  • California is unable to stop bad examiners because they don’t require licensing

 

Brian Francis, TDLR – On

  • Polygraph examiners are well trained and
  • Thinks that Sunset group examined national certifications and other groups and decided that vetting process could be done by same processing that police use to determine expert witness
  • Nichols – Clarifying that they wouldn’t have to have a license in Texas, but they could get qualified at national level and certified that way
    • Yes
    • APA is well respected and well established if legislation wants to rely on them

 

Rebekah Knapp, Self – Against

  • Family is victim of polygraphs
  • Will have to rely on federally qualified polygraphers since they would not be able to trust the ones in-state
  • Her brother was declared medically incapable of taking polygraphs due to his complex condition
  • Licensee code if removed will allow polygraphers to do what they won’t and they law won’t protect those being tested

 

Jocelyn Dabeau, Self – Against

  • Wants clarification on testing security measures
  • Agrees with homeschoolers that if the word security can’t be removed, then restore parent taught drivers ed to how it was

Left Pending

 

HB 3115 (Shine) Relating to the release of a judgment lien on homestead property.

  • Buckingham – Texas Constitution protects homestead from being foreclosed by a judgement learn
  • Property code 52.0012 to create a means for communicating for all parties interested in the property but did not create way to safely rely of affidavit
  • Bill creates limited period of time that parties can rely on affidavit

Left Pending

 

HB 2595 (Price/Nelson) Relating to a parity complaint portal and educational materials and parity law training regarding benefits for mental health conditions and substance use disorders to be made available through the portal and otherwise; designating October as mental health condition and substance use disorder parity awareness month.

  • Nichols – Bill includes recommendations from the work group

Left Pending

 

HB 3746 (Capriglione/Nelson) Relating to certain notifications required following a breach of security of computerized data.

  • Nichols – AG office must make data breech accessible to the public

Left Pending

 

HB 1268 (Ashby) Relating to the definition of amusement ride for purposes of amusement ride regulation.

  • Nichols – Creates proper definition and regulatory practice in law that carves out vinyl water slides less than 200 ft long and non-inflatable, so they aren’t subject to same inspection and additional insurance
  • There have been no accidents on these slides for more than a decade

Left Pending

 

HB 2267 (Paul) Relating to the sale and purchase of retail fireworks permits from an Internet website.

  • Nichols – State fire marshal can sell retail firework permits online

Left Pending

 

HB 2110 (Morales, C) Relating to the automatic transfer of manufacturer’s warranties on air conditioning systems conveyed with residential real property.

  • Nichols – automatic transfer of AC warranties when house changes ownership

Left Pending

 

HB 1659 (Murphy) Relating to the amendment of a residential subdivision’s declaration to affect certain types of property located in the subdivision.

  • Nichols – protects property rights by adding section about commercial reserves
  • Brings 3 chapters in line with each other
  • CS – changes date to immediate effect
  • HOL could tell owner what the future options were for use

Left Pending

 

HB 2240 (Smithee/Creighton) Relating to the disbursement of funds from a trust fund account by a title insurance company, title insurance agent, or escrow officer.

  • Nichols – laid out bill
  • CS – Contains original purpose of legislation but HCH transaction must be a bank-to-bank transfer or deposit to a suppository institution

 

James Freis, Market integrity Solutions – Against

  • Inconsistent with TX insurance code provision for good funds
  • HCH can only be initiated by 2 groups and follow rules
  • Transactions originating from consumer account are subject to certain protections that include recall, which cannot be changed by contract or state law
  • Any HCH will run the risk that they can be called back and put title insurance company at risk

 

Ashley Cook, Self -Against

  • HCH transactions don’t work for real estate purchases
  • Typical duration is 30 days for transactions, but consumer can pull back up to 60 days
  • This means that closing is not secure
  • Other payment methods that are better, safer, and more compliant

 

Kevin Reese, Ernest LLC – For

  • US code prohibits HCH transactions from being revoked for any reason except for mistake
  • Only recourse it to correct to original amount
  • Bill was crafted with Texas Land Title association to have HCH transactions available for same day withdrawals like checks
  • Expands consumer options and protects consumer

 

Wayne Norton, Self – Against

  • The way HCH is set up will have non-regulated transaction of funds
  • There are HCH blocks for a reason

 

Greg Lyssy, Self and Mission Title San Antonio – Against

  • Department of insurance has rules on what constitutes good funds
  • Department of insurance should look at these revoke issues to determine good funds
  • Thinks bill needs more study

 

Rick Altizer, CEO of Ernest – For

  • ACH is good funds in Texas and good funds in every state
  • Allows irrevocable ACH options for homebuyers in Texas
  • Consistent with federal law and regulations
  • Any banker that meets requirement of TLTA can do it
  • Doesn’t take away consumer right or consumer error
  • If it is not an error, it cannot be revoked

Left Pending

 

HB 1526 (Kuempel) Relating to cemeteries in certain municipalities.

  • Campbell – bill allows 2 counties to create new cemeteries

Left Pending

 

HB 2199 (Parker/Paxton)

Relating to the establishment of the digital identity work group.

  • Nichols – Develops work groups that identifies digital identity

 

Lee Bratcher, Texas Blockchain Council – For

  • Texas needs to develop a group on digital identity to understand federal requirements

Left Pending

 

HB 2743 (Metcalf/Paxton) Relating to the salary of certain employees who transfer within a state agency.

  • Nichols – amends government code that creates annual salary rate
  • Allows them to create a rate if it is appropriate and meets requirements

Left Pending

 

HB 3045 (Hull/Paxton) Relating to financial regulation of certain life, health, and accident insurers and health maintenance organizations.

  • Nichols – relates to regulatory relief for departments biannual report
  • Membership protects policy owner for insolvencies

Left Pending

 

HB 3374 (Pacheco/Paxton) Relating to the requirement to compare and verify signatures when renting a motor vehicle.

  • Nichols – Bill modernizes so you don’t have to do in person signatures

Left Pending

 

HB 3849 (Slawson/Paxton) Relating to the requirements for the regulation of state trust companies.

  • Nichols – currently state law does require judiciary qualification for officers or directors of trust companies
  • Bill changes that
  • cross references other property owned by trust companies

Left Pending

 

HB 3850 (Slawson/Paxton) Relating to the regulation of state banks

  • Nichols – Establishes banks investment in subsidiary only allowed under federal deposit
  • Also provides authority for cease and assist letters to be sent to current or past employees or directors of state banks

Left Pending

 

HB 4153 (Sanford/Paxton) Relating to the filing of an annual audit report by a title insurance company, title insurance agent, or direct operation.

  • Nichols – Stems from Texas department of insurance
  • Removes requirements that annual audits be submitted by mail, permits electronic submission

Left Pending

 

HB 4474 (Parker/Paxton) Relating to the control of virtual currency and the rights of purchasers who obtain control of virtual currency for purposes of the Uniform Commercial Code.

  • Nichols – refers to digital currency
  • Texas does not recognize virtual currency as legal tender
  • Adopts virtual currencies standards and statues
  • Helps people be aware of their rights on virtual currencies
  • Helps resolve disputes

 

Joseph Kelly, CEO of Unchained Capitol – For

  • Bill codifies business practices

 

Christopher Calicott, Financial Services Committee – For

  • Bill addresses business need by bringing clarity
  • Increases investment in Texas
  • Creates jobs

Left Pending

 

HB 900 (Huberty/Springer) Relating to the liability of a landlord for damages resulting from the execution of a writ of possession in an eviction suit.

  • Nichols – Amends Section 24.0061 of property code by adding section that landlord is not responsible for the damages done onto the tenant during a rid of possession by an officer
  • Applies only to execution during an eviction suit filed effective after this bill

 

Christina Rosales, Texas Houser’s – Against

  • Renters have few rights and little property
  • Property code is skewed towards owners

 

Left Pending

 

HB 3571 (Bonnen/Springer) Relating to the regulation of security measures by a property owners’ association.

  • Nichols – amends property code that prohibits prevents property owner owning, building adopting security measures and fencing
  • Homeowners association can still regulate type of fencing
  • CS – Clarifies types of security measures

Left Pending

 

HB 2237 (Burrows) Relating to mechanic’s, contractor’s, or materialman’s liens.

  • Johnson – Bill consolidates and simplifies
  • Complying without needing to hire an attorney
  • Stature of limitations to be extended up to 2 years if agreed upon by parties
  • Improves language on filing a suit
  • CS – Changes section 53 that allows certain lien notices
  • Changes language regarding the limitation’s period all agreed to by parties

 

Fred Wilshusen, Texas Construction Association – For

  • Has been involved in this process for 8 years
  • Thinks it’s well researched and a good bill

Left Pending

 

HB 3616 (Johnson, A) Relating to the regulation of massage therapy.

  • Johnson – pertains to the denial of massage therapy licenses on case-by-case basis
  • Current law only allows denial for a few listed reasons

Left Pending

 

HB 3215 (Geren/Hughes) Relating to energy efficiency building standards.

  • Nichols – updates performance path created in 2015 with latest standard, NC301

 

James Rodriguez, Home Builders Association – For

  • Updates performance paths for 1-2 bedroom homes to gold standard
  • Gives homeowners more options for meeting green standards

 

Cyrus Reed, Texas Lone Star Chapter of the Sierra Club – On

  • Were against the bill as originally filed, but amendments on floor changed that
  • Thinks it could be improved, but not opposed anymore
  • Thinks current bill is too flexible because it extends sunset date
  • Appreciates that the bill updates the standards
  • 2031 is too far, would prefer a sooner date like 2028

 

Kenneth Flippen, US Green Building Council – Against

  • Bill is well intention but poorly designed
  • There are anti-competitive and contradictory elements
  • Picks less efficient builders as winners
  • Bill was put together by only 2 of the stakeholders of 2015 bill
  • More of the stake holders need to be involved in this
  • Code should be updated with an alternative path with coinciding dates

Left Pending

 

HB 113 (Oliverson) Relating to peer-to-peer car sharing programs.

  • Nichols – Ensures consumer safety by these companies having to assume liability

Left Pending 

 

HB 1753 (Oliverson) Relating to certain required reports under the Texas workers’ compensation system.

  • Nichols – Will save division 200,000 dollars biennium
  • Evaluate impact of 2005 legislative impact

Left Pending

 

HB 2063 (Ordaz) Relating to the establishment of a state employee family leave pool.

  • Nichols – Is similar to current sick leave pool

Left Pending

 

HB 2205 (Romero/Schwertner) Relating to applicability of the International Swimming Pool and Spa Code to certain pools, spas, and other swimming areas.

  • Nichols – Clarifies past legislation on pools and spas
  • One set of rules for business to follow ion health and safety protocols
  • CS – Was created by pool and spa coalition to address minor concerns

Left Pending

 

HB 2483 (King, P) Relating to utility facilities for restoring electric service after a widespread power outage.

  • Hancock – tools to deal with outages lasting longer than 8 hours
  • Clarifies that companies may lease not own mechanisms for emergency situations

 

Jason Ryan, Center Point Energy, Encore, Texas New Mexico Power Company – For

  • Spoke in favor of bill

Left Pending

 

HB 2581 (Kacal) Relating to civil works projects and other construction projects of governmental entities.

  • Hancock – requires disclosure scoring methodology and bill evaluations
  • price projections to be at least 50% of all selected material

Left Pending

 

HB 2857 (Frullo) Relating to certain information regarding taxpayers subject to an audit that is provided to members of the public.

  • Hancock – Current law requires person who obtains information to wait 6 days before solicitation
  • Bill has controller provide information 20 days after audit has been sent to business
  • CS – Changes from 14 to 20 days

 

Dino Marcaccio, Texas Tax Group – Against

  • Supports the CS
  • Suggests change of 14 days to 10 days for comptroller to disclose
  • Thinks there is a need for sales tax addressing in Texas
  • Language in bill requires comptrollers to produce new data everyday which will be costly

Left Pending

 

HB 2911 (White) Relating to next generation 9-1-1 service; increasing a fee.

  • Hancock – CS upgrades 911 infrastructure to up to date
  • Bill allows local 911 entities to increase wireless call charges
  • Federal stimulus money to cover initial infrastructure
  • 911 went down during the storm, which is an issue they want to resolve

 

Shayne Woodard, Texas 911 Alliance – For

  • Thing they support is funding next generation infrastructure

Left Pending

 

HB 3388 (Thompson, E) Relating to information regarding state agency vehicle fleets.

  • Hancock – Provides exemption for reporting of Texas Fleet management to state agencies with fleets with more than 2800 vehicles

Left Pending

 

HB 3752 (Frank) Relating to the offering of health benefits by subsidiaries of the TMIC.

  • Hancock – CS directs Texas mutual to report on their findings especially on offering coverage high-risk individuals
  • Does not allow any policy or subsidiary to issue plan or benefit before September 2023

 

Blake Hutson, AARP Texas – Against

  • Concern about expansion of health plan that doesn’t meet need of Texas
  • Bill allows Texas Mutual to issue health plans that don’t cover preexisting conditions
  • CS creates provisions for after next session to revisit
  • Requests that we study it and have it move forward next session rather than stop it

 

Charles Miller, Texas 2036 – For

  • Allows Texas Mutual to offer alternative health benefit plans for people ACA left behind
  • ACA

 

Ryan Brannon, Association of Responsible Workers Compensation– On

  • Have issue with current draft
  • Need study don’t by a third party not Texas Mutual

Left Pending

 

HB 3923 (Oliverson) Relating to multiple employer welfare arrangements.

  • Hancock – aligns state law with federal
  • Allows business who have been operating less than 2 years and self-employed to enter into these arrangements

 

David Balot, Texas Public Policy Foundation – On

  • By increasing number of participants where association qualifies as large group levels playing field
  • Many states have made similar changes to MIWAs
  • HPs are subject to ACA coverage departments – they cannot deny person coverage because of preexisting condition
  • Hancock – Have tried to increase options for consumers this session

Left Pending

 

HB 4210 (Paul) Relating to the authority of entities regulated by the Texas Department of Insurance to conduct business electronically.

  • Hancock – Changes the default communication to electronic between insurance and insured
  • CS – clarifies that bill does not conflict with uniform electric translation act

Left Pending

 

HB 4294 (Metcalf) Relating to the organization and efficient operation of the legislative branch of state government through joint entities.

  • Hancock – CS – is the biannual housekeeping bill
  • Each body is responsible for paying for the expensive of their own committees
  • Transfer of money to different agencies to cover expenses
  • CS – removes sections 2-5 about board meetings during disasters

Left Pending

 

HB 1589 (Davis) Relating to paid leave for public officers and employees engaged in certain military service.

  • Menendez – Entitles to paid leave for no more than 15 days a year, but does not apply when they are called to active duty during an emergency
  • Example of Abbott calling emergency in 2017 after hurricane
  • Expands paid leave from 15 to 25 days if person is called to active duty during an emergency

Left Pending

 

HB 3510 (Lambert/Menéndez) Relating to work from remote locations by certain employees of certain entities licensed by the Office of Consumer Credit Commissioner.

  • Menendez – Seeks to expand flexibility beyond pandemic to allow employee to work remotely while still being able to offer the same services to the public

Left Pending

 

HB 1818 (Patterson) Relating to the source of dogs and cats sold by pet stores; providing a civil penalty.

  • Menendez – requires sellers to disclose sources, age and health of dog and cats sold
  • CS – adds qualified breeders to which stores can get puppies
  • Adds to USDA licensed breeders if they meet qualifications

 

Evan Bohl, Animal Welfare and Rescue Society – For

  • Thankful that this has been brough to the state level

 

Jaime Trueba, Petland – For

  • Spoke in favor of bill and CS

 

Vanessa Gagney, National Animal Interest Alliance – Against

  • Asks committee to consider unintended questions
  • Bill will create black market of sales of animals
  • Bill is unamerican
  • Law should ensure stores operate responsibly

 

Elizabeth Kunzelman, Petland Inc – For

  • Want to see clarification in reference to breeder classification and broker certification

 

Rick Briscoe, Self and Open Carry Texas – Opposition

  • Haven’t read CS
  • Think bill is exercise of prohibitory power of power of regulation
  • Thinks bill resembles PETA and prevents people from picking their own companion animals
  • Bill violates freedom of choice

 

Phil Watson, Texans for Pets – Against

  • Demand for quality sporting dogs stays hi
  • Bill will exacerbate black market and internet scams
  • Menendez – Have you read CS?
    • No
    • Hancock – CS brings it in compliance with state law

 

Jason Duhamel, Texas Puppy Store – Against

  • All their dogs are checked for everything and have all their vaccinations and bloodline/paperwork
  • Demand for puppies had not and will not slow down
  • If bill passes, brick and mortar dog sellers will go out of business and people will be selling dogs in parking lots or just put them on the streets
  • Hancock – Encourages him to read the CS as other store owners are in support

Left Pending