Texas 2015 - 84th Regular

Texas Senate Bill SB1141 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	84R10683 LED-F
2	2	By: Watson S.B. No. 1141
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the establishment and administration of the qualified
8	8	ABLE program; granting authority to impose a fee.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Title 11, Human Resources Code, is amended by
11	11	adding Chapter 162 to read as follows:
12	12	CHAPTER 162. QUALIFIED ABLE PROGRAM
13	13	Sec. 162.001. DEFINITIONS. In this chapter:
14	14	(1) "ABLE account" means an achieving a better life
15	15	experience (ABLE) account established under the qualified ABLE
16	16	program for the purpose of funding qualified disability expenses of
17	17	a designated beneficiary.
18	18	(2) "Designated beneficiary" means an individual with
19	19	a disability whose qualified disability expenses are expected to be
20	20	paid from an ABLE account.
21	21	(3) "Financial institution" means a bank, trust
22	22	company, savings and loan association, credit union,
23	23	broker-dealer, mutual fund, insurance company, or other similar
24	24	financial institution authorized to transact business in this
25	25	state.
26	26	(4) "Qualified ABLE program" and "qualified
27	27	disability expenses" have the meanings assigned to those terms by
28	28	Section 529A, Internal Revenue Code of 1986.
29	29	Sec. 162.002. QUALIFIED ABLE PROGRAM; POWERS AND DUTIES OF
30	30	COMPTROLLER. (a) The comptroller shall establish and administer
31	31	the qualified ABLE program in accordance with this chapter. The
32	32	comptroller shall take all actions required to keep the plan in
33	33	compliance with this chapter and to ensure that the plan qualifies
34	34	as a qualified ABLE program under Section 529A, Internal Revenue
35	35	Code of 1986.
36	36	(b) The comptroller has the powers necessary or proper to
37	37	carry out this chapter. The comptroller may:
38	38	(1) adopt rules to implement this chapter;
39	39	(2) enter into contracts and other necessary
40	40	instruments;
41	41	(3) solicit and accept gifts, grants, loans, and other
42	42	aid from any source or participate in any other way in any
43	43	government program to carry out this chapter;
44	44	(4) impose administrative fees and charge fees and
45	45	expenses to the ABLE accounts held under the program or to persons
46	46	who establish or own ABLE accounts;
47	47	(5) make reports; and
48	48	(6) retain financial institutions to serve as plan
49	49	managers, employees, experts, and consultants.
50	50	Sec. 162.003. OPERATION OF PROGRAM; ACCOUNTS HELD IN TRUST.
51	51	(a) The comptroller shall administer the qualified ABLE program to
52	52	enable individuals to save private funds for the purpose of
53	53	supporting an individual with a disability by establishing an ABLE
54	54	account in the program.
55	55	(b) Money contributed to an ABLE account and earnings on the
56	56	account are held in trust by the comptroller for the sole benefit of
57	57	the account owner and designated beneficiary.
58	58	Sec. 162.004. SELECTION OF FINANCIAL INSTITUTION AS PLAN
59	59	MANAGER. The comptroller may contract with one or more financial
60	60	institutions to serve as plan manager and to invest the money in
61	61	ABLE accounts in the same manner as provided under Subchapter G,
62	62	Chapter 54, Education Code.
63	63	Sec. 162.005. ADMINISTRATION OF ACCOUNTS. (a) The
64	64	comptroller or plan manager shall provide separate accounting for
65	65	each ABLE account.
66	66	(b) A savings trust account may not be:
67	67	(1) assigned for the benefit of creditors;
68	68	(2) used as security or collateral for any loan; or
69	69	(3) otherwise subject to alienation, sale, transfer,
70	70	assignment, pledge, encumbrance, or charge.
71	71	Sec. 162.006. ABLE ACCOUNT. (a) A person may establish an
72	72	ABLE account under this chapter and make contributions to the
73	73	account for the purpose of supporting a designated beneficiary.
74	74	(b) Except as provided by Subsection (c) or as otherwise
75	75	permitted by Section 529A, Internal Revenue Code of 1986, the
76	76	designated beneficiary of an ABLE account is the owner of the
77	77	account.
78	78	(c) If the designated beneficiary of an ABLE account is
79	79	younger than 18 years of age or a ward with respect to whom a
80	80	guardian of the estate has been appointed, the parent or guardian of
81	81	the designated beneficiary is the owner of the account.
82	82	(d) The designated beneficiary of an ABLE account must be a
83	83	resident of this state. The comptroller shall determine the
84	84	residence of the designated beneficiary.
85	85	Sec. 162.007. CONTRIBUTIONS. Any person may make
86	86	contributions to the ABLE account to meet the qualified disability
87	87	expenses of the designated beneficiary of the account, in
88	88	accordance with this chapter and Section 529A, Internal Revenue
89	89	Code of 1986.
90	90	SECTION 2. As soon as practicable after the effective date
91	91	of this Act, the comptroller shall adopt the rules necessary to
92	92	implement the change in law made by this Act.
93	93	SECTION 3. If before implementing any provision of this Act
94	94	a state agency determines that a waiver or authorization from a
95	95	federal agency is necessary for implementation of that provision,
96	96	the agency affected by the provision shall request the waiver or
97	97	authorization and may delay implementing that provision until the
98	98	waiver or authorization is granted.
99	99	SECTION 4. This Act takes effect immediately if it receives
100	100	a vote of two-thirds of all the members elected to each house, as
101	101	provided by Section 39, Article III, Texas Constitution. If this
102	102	Act does not receive the vote necessary for immediate effect, this
103	103	Act takes effect September 1, 2015.