1 | 1 | | 84R9309 NC-D |
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2 | 2 | | By: Taylor of Collin S.B. No. 1653 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to the regulation of owners, operators, employees, and |
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8 | 8 | | independent contractors of sexually oriented businesses to reduce |
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9 | 9 | | risks to public and occupational health and to prevent human |
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10 | 10 | | trafficking; requiring an occupational license; imposing fees; |
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11 | 11 | | providing civil penalties; creating a criminal offense. |
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12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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13 | 13 | | SECTION 1. The legislature finds that: |
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14 | 14 | | (1) human trafficking is an affront to the rights and |
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15 | 15 | | liberties of free people and an anathema to the living principles |
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16 | 16 | | enshrined within the United States Constitution and the Texas |
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17 | 17 | | Constitution; |
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18 | 18 | | (2) human trafficking is a form of modern-day slavery, |
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19 | 19 | | where human beings are traded for sexual exploitation or forced |
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20 | 20 | | labor; |
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21 | 21 | | (3) the moral problem of human trafficking exists in |
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22 | 22 | | Texas, where the United States Department of Justice identified the |
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23 | 23 | | Interstate 10 corridor as the number one human trafficking route in |
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24 | 24 | | the United States, with as many as one out of four victims passing |
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25 | 25 | | through Texas; |
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26 | 26 | | (4) human trafficking in Texas has been known to occur |
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27 | 27 | | in strip clubs, spas, massage parlors, modeling studios, and adult |
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28 | 28 | | theaters; |
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29 | 29 | | (5) the Internet and other technologies are being used |
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30 | 30 | | to facilitate human trafficking; |
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31 | 31 | | (6) demand for commercial sex fuels the criminal |
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32 | 32 | | enterprise of human trafficking; |
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33 | 33 | | (7) human trafficking in Texas involves the |
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34 | 34 | | disproportionate exploitation of children; and |
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35 | 35 | | (8) the legislature has a justified interest in |
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36 | 36 | | leveraging the full power of the state toward the curtailment and |
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37 | 37 | | eradication of practices enabling human trafficking. |
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38 | 38 | | SECTION 2. Subtitle D, Title 13, Occupations Code, is |
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39 | 39 | | amended by adding Chapter 2159 to read as follows: |
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40 | 40 | | CHAPTER 2159. SEXUALLY ORIENTED BUSINESSES |
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41 | 41 | | SUBCHAPTER A. GENERAL PROVISIONS |
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42 | 42 | | Sec. 2159.001. DEFINITIONS. In this chapter: |
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43 | 43 | | (1) "Commission" means the Public Safety Commission. |
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44 | 44 | | (2) "Department" means the Department of Public |
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45 | 45 | | Safety. |
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46 | 46 | | (3) "License holder" means a person who holds a |
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47 | 47 | | license issued under this chapter. |
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48 | 48 | | (4) "Sexually oriented business" has the meaning |
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49 | 49 | | assigned by Section 243.002, Local Government Code. |
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50 | 50 | | Sec. 2159.002. ADMINISTRATION BY DEPARTMENT OF PUBLIC |
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51 | 51 | | SAFETY. The department shall administer this chapter. |
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52 | 52 | | Sec. 2159.003. MUNICIPAL AND COUNTY REGULATION. This |
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53 | 53 | | chapter is in addition to any municipal or county regulation. To |
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54 | 54 | | the extent of a conflict between this chapter and a municipal or |
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55 | 55 | | county regulation, this chapter controls. |
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56 | 56 | | Sec. 2159.004. EXEMPTIONS. (a) This chapter does not apply |
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57 | 57 | | to: |
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58 | 58 | | (1) a business operated by or employing a licensed |
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59 | 59 | | psychologist, licensed physical therapist, licensed massage |
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60 | 60 | | therapist, licensed vocational nurse, registered nurse, licensed |
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61 | 61 | | athletic trainer, licensed cosmetologist, or licensed barber |
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62 | 62 | | engaged only in performing the normal and customary functions |
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63 | 63 | | authorized under the license; |
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64 | 64 | | (2) a business operated by or employing a licensed |
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65 | 65 | | physician or licensed chiropractor engaged in practicing the |
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66 | 66 | | healing arts; |
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67 | 67 | | (3) a retail establishment whose principal business is |
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68 | 68 | | the offering of wearing apparel for sale to customers and that does |
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69 | 69 | | not exhibit merchandise on live models; |
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70 | 70 | | (4) an activity conducted or sponsored: |
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71 | 71 | | (A) by a proprietary school licensed by this |
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72 | 72 | | state or a state-supported junior college or institution of higher |
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73 | 73 | | education; or |
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74 | 74 | | (B) by a private institution of higher education |
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75 | 75 | | that maintains or operates educational programs in which credits |
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76 | 76 | | are transferable to a state-supported junior college or institution |
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77 | 77 | | of higher education; |
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78 | 78 | | (5) a person licensed as an occupational therapist |
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79 | 79 | | under Chapter 454; |
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80 | 80 | | (6) a person who is providing a repair, maintenance, |
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81 | 81 | | air conditioning, or delivery service on the premises of a sexually |
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82 | 82 | | oriented business; or |
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83 | 83 | | (7) a nonsexual nudist camp. |
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84 | 84 | | (b) An activity conducted or sponsored by an entity |
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85 | 85 | | identified in Subsection (a)(4): |
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86 | 86 | | (1) must be in a structure that does not have a sign or |
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87 | 87 | | other advertising visible from the exterior of the structure |
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88 | 88 | | indicating that a nude person is available for viewing; |
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89 | 89 | | (2) must require that, to participate in the activity |
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90 | 90 | | or conduct of a class, a student must enroll in the class at least |
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91 | 91 | | three days in advance of the class; and |
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92 | 92 | | (3) may not have more than one nude model on the |
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93 | 93 | | premises at any time. |
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94 | 94 | | SUBCHAPTER B. POWERS AND DUTIES |
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95 | 95 | | Sec. 2159.051. FEES. (a) The department shall set fees in |
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96 | 96 | | an amount sufficient to cover the cost of administering this |
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97 | 97 | | chapter. |
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98 | 98 | | (b) The department shall reimburse sheriff's departments |
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99 | 99 | | for the cost of processing license applications and issuing license |
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100 | 100 | | cards or certificates under this chapter. |
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101 | 101 | | Sec. 2159.052. RULES. (a) The commission shall adopt rules |
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102 | 102 | | necessary to administer and enforce this chapter. |
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103 | 103 | | (b) Rules adopted under this section must: |
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104 | 104 | | (1) seek to identify and prevent human trafficking |
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105 | 105 | | through sexually oriented businesses; and |
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106 | 106 | | (2) establish public and occupational health |
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107 | 107 | | standards for sexually oriented businesses that may relate to: |
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108 | 108 | | (A) the supervision of public health and |
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109 | 109 | | occupational health risks at all times during the operation of a |
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110 | 110 | | sexually oriented business; |
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111 | 111 | | (B) the proper safeguards for sanitation, public |
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112 | 112 | | health, and occupational health in the operation of a sexually |
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113 | 113 | | oriented business or in the conduct of an employee on the premises |
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114 | 114 | | of a sexually oriented business; and |
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115 | 115 | | (C) the inspection of a sexually oriented |
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116 | 116 | | business for public health risks, occupational health risks, and |
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117 | 117 | | other violations of this chapter. |
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118 | 118 | | Sec. 2159.053. RECORDS DISCLOSURE; CONFIDENTIALITY. (a) |
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119 | 119 | | The department shall disclose to a law enforcement agency |
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120 | 120 | | information contained in the department's files and records |
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121 | 121 | | regarding whether a named individual is licensed under this |
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122 | 122 | | chapter. |
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123 | 123 | | (b) Except as otherwise provided by this section, all |
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124 | 124 | | records maintained under this chapter regarding an applicant or |
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125 | 125 | | license holder are confidential and are not subject to mandatory |
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126 | 126 | | disclosure under Chapter 552, Government Code, except that an |
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127 | 127 | | applicant or license holder may be furnished a copy of disclosable |
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128 | 128 | | records regarding that applicant or license holder on request and |
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129 | 129 | | the payment of a reasonable fee. |
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130 | 130 | | Sec. 2159.054. HUMAN TRAFFICKING EDUCATIONAL COURSE. (a) |
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131 | 131 | | The commission by rule shall establish the content of and approval |
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132 | 132 | | requirements for the human trafficking educational course an |
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133 | 133 | | applicant is required to take to be eligible for a license under |
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134 | 134 | | Section 2159.105. |
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135 | 135 | | (b) In adopting the rules, the commission shall establish a |
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136 | 136 | | task force to collaborate with nonprofit organizations designated |
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137 | 137 | | by the department to develop the content for the course. The |
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138 | 138 | | department shall make the course available to applicants through |
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139 | 139 | | the department's Internet website. |
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140 | 140 | | SUBCHAPTER C. LICENSE REQUIREMENTS |
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141 | 141 | | Sec. 2159.101. LICENSE REQUIRED. (a) A person may not own, |
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142 | 142 | | operate, or otherwise engage in a business transaction as an owner |
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143 | 143 | | or operator at a sexually oriented business unless the person holds |
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144 | 144 | | a license under this chapter. |
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145 | 145 | | (b) A person may not employ or hire a person to work at, or |
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146 | 146 | | contract with an independent contractor to work at, a sexually |
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147 | 147 | | oriented business unless the person employed or the independent |
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148 | 148 | | contractor entering into the contract holds a license under this |
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149 | 149 | | chapter. |
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150 | 150 | | (c) A sexually oriented business shall maintain a copy of |
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151 | 151 | | the license of any owner, operator, employee, or independent |
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152 | 152 | | contractor associated with the business for at least 30 days after |
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153 | 153 | | the last day the owner, operator, employee, or independent |
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154 | 154 | | contractor is associated with the business. |
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155 | 155 | | Sec. 2159.102. ISSUANCE OF LICENSE. (a) The department |
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156 | 156 | | shall issue a sexually oriented business license to an applicant |
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157 | 157 | | that meets the requirements of this chapter. The sheriff's |
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158 | 158 | | departments of each county shall assist the department in |
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159 | 159 | | administering the issuance of licenses under this chapter. The |
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160 | 160 | | department shall establish procedures for sheriff's departments to |
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161 | 161 | | accept applications for and to issue license cards or certificates |
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162 | 162 | | issued under this chapter. |
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163 | 163 | | (b) The department may not issue a license under this |
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164 | 164 | | chapter before the fifth day after the date the application for the |
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165 | 165 | | license is submitted to the department. |
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166 | 166 | | (c) The department shall establish separate categories of |
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167 | 167 | | licenses issued under this chapter for: |
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168 | 168 | | (1) an owner or operator of a sexually oriented |
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169 | 169 | | business; and |
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170 | 170 | | (2) an employee of or independent contractor for a |
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171 | 171 | | sexually oriented business. |
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172 | 172 | | (d) A license issued under this chapter is not transferable. |
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173 | 173 | | Sec. 2159.103. FORM OF LICENSE. A license issued to an |
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174 | 174 | | individual under this chapter must be in the form of a card or |
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175 | 175 | | certificate and be capable of being verified as belonging to the |
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176 | 176 | | license holder on inspection by the department or a law enforcement |
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177 | 177 | | agency. |
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178 | 178 | | Sec. 2159.104. LICENSE APPLICATION. (a) A license |
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179 | 179 | | applicant must apply to the department on a form and in the manner |
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180 | 180 | | the department prescribes. A sheriff's department may accept and |
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181 | 181 | | process a license application for the department. |
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182 | 182 | | (b) The application must be accompanied by a nonrefundable |
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183 | 183 | | application fee and any other appropriate fees. |
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184 | 184 | | Sec. 2159.105. ELIGIBILITY FOR LICENSE; INELIGIBILITY DUE |
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185 | 185 | | TO CERTAIN OFFENSES. (a) To be eligible for a license under this |
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186 | 186 | | chapter, an applicant must: |
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187 | 187 | | (1) be at least 18 years of age; |
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188 | 188 | | (2) be a United States citizen or legal resident of the |
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189 | 189 | | United States; |
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190 | 190 | | (3) submit a complete set of fingerprints for purposes |
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191 | 191 | | of obtaining criminal history record information; |
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192 | 192 | | (4) successfully complete a human trafficking |
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193 | 193 | | educational course approved by the department; and |
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194 | 194 | | (5) meet any other requirements approved by the |
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195 | 195 | | department. |
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196 | 196 | | (b) A person is ineligible to be issued a license under this |
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197 | 197 | | chapter if the person has been convicted of: |
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198 | 198 | | (1) an offense under Section 20A.02, Penal Code |
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199 | 199 | | (trafficking of persons); |
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200 | 200 | | (2) an offense under Section 43.25, Penal Code (sexual |
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201 | 201 | | performance by a child); |
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202 | 202 | | (3) prostitution; |
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203 | 203 | | (4) promotion of prostitution; |
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204 | 204 | | (5) aggravated promotion of prostitution; |
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205 | 205 | | (6) compelling prostitution; |
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206 | 206 | | (7) obscenity; |
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207 | 207 | | (8) sale, distribution, or display of harmful material |
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208 | 208 | | to a minor; |
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209 | 209 | | (9) possession of child pornography; |
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210 | 210 | | (10) public lewdness; |
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211 | 211 | | (11) indecent exposure; |
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212 | 212 | | (12) indecency with a child; |
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213 | 213 | | (13) sexual assault or aggravated sexual assault; |
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214 | 214 | | (14) incest, including an offense under Section 25.02, |
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215 | 215 | | Penal Code (prohibited sexual conduct); or |
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216 | 216 | | (15) harboring a runaway child. |
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217 | 217 | | Sec. 2159.106. LICENSE EXPIRATION AND RENEWAL. (a) An |
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218 | 218 | | initial license expires on the 180th day after the date the license |
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219 | 219 | | was issued. The first renewal of an initial license expires on the |
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220 | 220 | | first anniversary of the date the initial license was issued. |
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221 | 221 | | Subsequent renewals of the license expire on the first anniversary |
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222 | 222 | | of the date the license was renewed. |
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223 | 223 | | (b) A person who is otherwise eligible to renew a license |
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224 | 224 | | may renew an unexpired license by paying the required renewal fee to |
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225 | 225 | | the department before the expiration date of the license. A person |
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226 | 226 | | whose license has expired may not engage in activities that require |
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227 | 227 | | a license until the license is renewed. |
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228 | 228 | | (c) A person whose license has been expired for 90 days or |
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229 | 229 | | less may renew the license by paying to the department a renewal fee |
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230 | 230 | | that is equal to 1-1/2 times the normally required renewal fee. |
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231 | 231 | | (d) A person whose license has been expired for more than 90 |
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232 | 232 | | days but less than one year may renew the license by paying to the |
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233 | 233 | | department a renewal fee that is equal to two times the normally |
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234 | 234 | | required renewal fee. |
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235 | 235 | | (e) A person whose license has been expired for one year or |
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236 | 236 | | more may not renew the license. The person may obtain a new license |
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237 | 237 | | by complying with the requirements and procedures for obtaining an |
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238 | 238 | | original license. |
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239 | 239 | | Sec. 2159.107. NOTICE OF RENEWAL. Not later than the 30th |
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240 | 240 | | day before the date a person's license is scheduled to expire, the |
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241 | 241 | | department shall send written notice of the impending expiration to |
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242 | 242 | | the person at the person's last known address according to the |
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243 | 243 | | records of the department. |
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244 | 244 | | Sec. 2159.108. LICENSE AVAILABILITY FOR INSPECTION. (a) |
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245 | 245 | | An owner, operator, employee, or independent contractor licensed |
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246 | 246 | | under this chapter must have the person's license available for |
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247 | 247 | | inspection by the department or a law enforcement agency at the |
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248 | 248 | | premises of the sexually oriented business when conducting business |
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249 | 249 | | or working at the sexually oriented business. |
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250 | 250 | | (b) In a prosecution for a violation under this section, a |
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251 | 251 | | presumption exists that the owner, operator, employee, or |
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252 | 252 | | independent contractor did not have a license issued under this |
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253 | 253 | | chapter if the license is not at the premises of the business as |
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254 | 254 | | required by this section. |
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255 | 255 | | SUBCHAPTER D. LICENSE DENIAL AND DISCIPLINARY PROCEDURES |
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256 | 256 | | Sec. 2159.151. ADMINISTRATIVE SANCTIONS. (a) The |
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257 | 257 | | department shall revoke, suspend, or refuse to issue or renew a |
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258 | 258 | | license or shall reprimand a license holder for a violation of this |
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259 | 259 | | chapter or a rule adopted under this chapter. |
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260 | 260 | | (b) The department may place on probation a person whose |
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261 | 261 | | license is suspended. If a license suspension is probated, the |
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262 | 262 | | department may require the person: |
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263 | 263 | | (1) to report regularly to the department on matters |
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264 | 264 | | that are the basis of the probation; |
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265 | 265 | | (2) to limit business activities to the areas |
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266 | 266 | | prescribed by the department; or |
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267 | 267 | | (3) to continue or review professional education until |
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268 | 268 | | the person attains a degree of skill satisfactory to the department |
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269 | 269 | | in those areas that are the basis of the probation. |
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270 | 270 | | Sec. 2159.152. COMPLAINTS. Any person may file a complaint |
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271 | 271 | | with the department alleging a violation of this chapter or a rule |
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272 | 272 | | adopted under this chapter. |
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273 | 273 | | Sec. 2159.153. PROHIBITED ACTIONS. A license holder may |
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274 | 274 | | not: |
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275 | 275 | | (1) obtain a license by means of fraud, |
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276 | 276 | | misrepresentation, or concealment of a material fact; |
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277 | 277 | | (2) sell, barter, or offer to sell or barter a license; |
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278 | 278 | | or |
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279 | 279 | | (3) engage in unprofessional conduct that endangers or |
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280 | 280 | | is likely to endanger the health, welfare, or safety of the public |
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281 | 281 | | as defined by a commission rule. |
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282 | 282 | | Sec. 2159.154. MONITORING OF LICENSE HOLDER; RULES. (a) |
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283 | 283 | | The commission by rule may develop a system for monitoring a license |
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284 | 284 | | holder's compliance with this chapter. |
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285 | 285 | | (b) Rules adopted under this section may include procedures |
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286 | 286 | | to: |
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287 | 287 | | (1) monitor for compliance a license holder who is |
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288 | 288 | | ordered by the department to perform certain acts; and |
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289 | 289 | | (2) identify and monitor license holders who represent |
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290 | 290 | | a risk to the public. |
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291 | 291 | | Sec. 2159.155. LICENSE DENIAL, REVOCATION, OR SUSPENSION |
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292 | 292 | | FOR CRIMINAL CONVICTION. (a) The department may deny a license |
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293 | 293 | | application or request for renewal, or may suspend or revoke a |
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294 | 294 | | license, if the applicant or license holder has been convicted of: |
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295 | 295 | | (1) a felony; or |
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296 | 296 | | (2) a misdemeanor involving: |
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297 | 297 | | (A) prostitution; |
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298 | 298 | | (B) promotion of prostitution; |
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299 | 299 | | (C) obscenity; |
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300 | 300 | | (D) sale, distribution, or display of harmful |
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301 | 301 | | material to a minor; |
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302 | 302 | | (E) public lewdness; |
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303 | 303 | | (F) indecent exposure; or |
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304 | 304 | | (G) harboring a runaway child. |
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305 | 305 | | (b) The department may take action authorized by this |
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306 | 306 | | section: |
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307 | 307 | | (1) after the time for appeal of the person's |
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308 | 308 | | conviction has elapsed; |
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309 | 309 | | (2) after the judgment or conviction has been affirmed |
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310 | 310 | | on appeal; or |
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311 | 311 | | (3) on issuance of an order granting probation and |
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312 | 312 | | suspending the imposition of the person's sentence, without regard |
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313 | 313 | | to whether a subsequent order: |
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314 | 314 | | (A) allows withdrawal of a plea of guilty; |
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315 | 315 | | (B) sets aside a verdict of guilty; or |
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316 | 316 | | (C) dismisses an information or indictment. |
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317 | 317 | | (c) A plea or verdict of guilty or a conviction following a |
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318 | 318 | | plea of nolo contendere is a conviction for purposes of this |
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319 | 319 | | section. |
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320 | 320 | | Sec. 2159.156. SCHEDULE OF SANCTIONS; RULES. The |
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321 | 321 | | department shall use the schedule of sanctions adopted by |
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322 | 322 | | commission rule for any sanction imposed as the result of a hearing |
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323 | 323 | | conducted by the department. |
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324 | 324 | | Sec. 2159.157. REINSTATEMENT. (a) A person may apply for |
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325 | 325 | | reinstatement of a revoked license on or after the first |
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326 | 326 | | anniversary of the date of revocation. |
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327 | 327 | | (b) The department may accept or reject the application. |
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328 | 328 | | Sec. 2159.158. EMERGENCY SUSPENSION. (a) The department |
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329 | 329 | | or a three-member committee of members designated by the department |
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330 | 330 | | shall temporarily suspend the license of a license holder if the |
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331 | 331 | | department or committee determines from the evidence or information |
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332 | 332 | | presented to it that continued practice by the license holder would |
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333 | 333 | | constitute a continuing and imminent threat to the public health or |
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334 | 334 | | welfare. |
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335 | 335 | | (b) A license may be suspended under this section without |
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336 | 336 | | notice or hearing on the complaint if: |
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337 | 337 | | (1) action is taken to initiate proceedings for a |
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338 | 338 | | hearing before the State Office of Administrative Hearings |
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339 | 339 | | simultaneously with the temporary suspension; and |
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340 | 340 | | (2) a hearing is held as soon as practicable under this |
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341 | 341 | | chapter and Chapter 2001, Government Code. |
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342 | 342 | | (c) The State Office of Administrative Hearings shall hold a |
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343 | 343 | | preliminary hearing not later than the 14th day after the date of |
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344 | 344 | | the temporary suspension to determine if there is probable cause to |
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345 | 345 | | believe that a continuing and imminent threat to the public health |
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346 | 346 | | or welfare still exists. A final hearing on the matter shall be |
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347 | 347 | | held not later than the 61st day after the date of the temporary |
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348 | 348 | | suspension. |
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349 | 349 | | SUBCHAPTER E. PENALTIES AND OTHER ENFORCEMENT PROCEDURES |
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350 | 350 | | Sec. 2159.201. INJUNCTION. The department may apply to a |
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351 | 351 | | district court in any county for an injunction or another order to |
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352 | 352 | | restrain the violation of this chapter by a person other than a |
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353 | 353 | | license holder under this chapter. |
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354 | 354 | | Sec. 2159.202. CRIMINAL OFFENSES. (a) A person commits an |
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355 | 355 | | offense if the person violates Section 2159.101. |
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356 | 356 | | (b) A person commits an offense if the person: |
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357 | 357 | | (1) works as an employee or independent contractor for |
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358 | 358 | | a sexually oriented business; and |
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359 | 359 | | (2) does not have a license issued under this chapter. |
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360 | 360 | | (c) An offense under Subsection (a) is a Class A |
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361 | 361 | | misdemeanor. An offense under Subsection (b) is a Class C |
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362 | 362 | | misdemeanor. |
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363 | 363 | | (d) On a finding by a justice or municipal court that an |
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364 | 364 | | individual has committed an offense under Subsection (b), the court |
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365 | 365 | | has jurisdiction to enter an order, in lieu of a fine, that requires |
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366 | 366 | | the individual to perform community service for a nonprofit |
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367 | 367 | | organization. |
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368 | 368 | | (e) A justice or municipal court shall dismiss the complaint |
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369 | 369 | | against an individual alleging that the individual committed an |
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370 | 370 | | offense under Subsection (b) if the court finds that the |
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371 | 371 | | individual has successfully complied with the conditions imposed on |
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372 | 372 | | the individual by the court under Subsection (d). |
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373 | 373 | | Sec. 2159.203. CIVIL PENALTY. (a) A person who violates |
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374 | 374 | | Section 2159.101 is liable to the state for a civil penalty in an |
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375 | 375 | | amount not to exceed $1,000 for each violation. Each day a |
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376 | 376 | | violation occurs is a separate violation. |
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377 | 377 | | (b) The attorney general, a district attorney, or a county |
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378 | 378 | | attorney may institute an action to recover a civil penalty under |
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379 | 379 | | this section. Venue for the action is a district court in Travis |
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380 | 380 | | County or the county in which the person who is alleged to have |
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381 | 381 | | violated Section 2159.101 resides. |
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382 | 382 | | (c) If the attorney general institutes an action under this |
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383 | 383 | | section, a civil penalty recovered in the action shall be deposited |
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384 | 384 | | in the state treasury to the credit of the general revenue fund. If |
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385 | 385 | | a district or county attorney institutes the action, the penalty |
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386 | 386 | | shall be deposited to the credit of the county's general fund. |
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387 | 387 | | SUBCHAPTER F. ADMINISTRATIVE PENALTY |
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388 | 388 | | Sec. 2159.251. IMPOSITION OF ADMINISTRATIVE PENALTY. The |
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389 | 389 | | department may impose an administrative penalty on a person |
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390 | 390 | | licensed under this chapter who violates Section 2159.101 or a rule |
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391 | 391 | | or order adopted under that section. |
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392 | 392 | | Sec. 2159.252. AMOUNT OF ADMINISTRATIVE PENALTY. (a) The |
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393 | 393 | | amount of the administrative penalty may not be less than $500 or |
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394 | 394 | | more than $20,000 for each violation. Each day a violation |
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395 | 395 | | continues or occurs is a separate violation for the purpose of |
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396 | 396 | | imposing a penalty. |
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397 | 397 | | (b) The amount shall be based on: |
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398 | 398 | | (1) the seriousness of the violation, including the |
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399 | 399 | | nature, circumstances, extent, and gravity of the violation; |
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400 | 400 | | (2) the economic harm caused by the violation; |
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401 | 401 | | (3) the history of previous violations; |
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402 | 402 | | (4) the amount necessary to deter a future violation; |
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403 | 403 | | (5) the risk to public health or occupational health |
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404 | 404 | | posed by the violation; |
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405 | 405 | | (6) efforts to correct the violation; and |
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406 | 406 | | (7) any other matter that justice may require. |
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407 | 407 | | Sec. 2159.253. REPORT AND NOTICE OF VIOLATION AND PENALTY. |
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408 | 408 | | (a) If the department determines that a violation of Section |
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409 | 409 | | 2159.101 occurred, the department may issue a report stating: |
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410 | 410 | | (1) the facts on which the determination is based; and |
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411 | 411 | | (2) the department's recommendation on the imposition |
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412 | 412 | | of an administrative penalty, including a recommendation on the |
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413 | 413 | | amount of the penalty. |
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414 | 414 | | (b) Not later than the 14th day after the date the report is |
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415 | 415 | | issued, the department shall give written notice of the report to |
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416 | 416 | | the person. The notice must: |
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417 | 417 | | (1) include a brief summary of the alleged violation; |
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418 | 418 | | (2) state the amount of the recommended administrative |
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419 | 419 | | penalty; and |
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420 | 420 | | (3) inform the person of the person's right to a |
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421 | 421 | | hearing on the occurrence of the violation, the amount of the |
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422 | 422 | | penalty, or both. |
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423 | 423 | | Sec. 2159.254. PENALTY TO BE PAID OR HEARING REQUESTED. (a) |
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424 | 424 | | Not later than the 10th day after the date the person receives the |
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425 | 425 | | notice, the person in writing may: |
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426 | 426 | | (1) accept the determination and recommended |
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427 | 427 | | administrative penalty of the department; or |
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428 | 428 | | (2) make a request for a hearing on the occurrence of |
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429 | 429 | | the violation, the amount of the penalty, or both. |
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430 | 430 | | (b) If the person accepts the determination and recommended |
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431 | 431 | | penalty of the department, the department by order shall approve |
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432 | 432 | | the determination and impose the recommended penalty. |
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433 | 433 | | Sec. 2159.255. HEARING. (a) If the person requests a |
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434 | 434 | | hearing or fails to respond to the notice within the period |
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435 | 435 | | prescribed by Section 2159.254(a), the department shall set a |
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436 | 436 | | hearing and give written notice of the hearing to the person. |
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437 | 437 | | (b) An administrative law judge of the State Office of |
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438 | 438 | | Administrative Hearings shall hold the hearing. |
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439 | 439 | | (c) The administrative law judge shall make findings of fact |
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440 | 440 | | and conclusions of law and promptly issue to the department a |
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441 | 441 | | proposal for a decision about the occurrence of the violation and |
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442 | 442 | | the amount of a proposed administrative penalty. |
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443 | 443 | | Sec. 2159.256. DECISION BY DEPARTMENT. (a) Based on the |
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444 | 444 | | findings of fact, conclusions of law, and proposal for decision, |
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445 | 445 | | the department by order may determine that: |
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446 | 446 | | (1) a violation occurred and impose an administrative |
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447 | 447 | | penalty; or |
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448 | 448 | | (2) a violation did not occur. |
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449 | 449 | | (b) The notice of the department's order given to the person |
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450 | 450 | | must include a statement of the right of the person to judicial |
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451 | 451 | | review of the order. |
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452 | 452 | | Sec. 2159.257. OPTIONS FOLLOWING DECISION: PAY OR APPEAL. |
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453 | 453 | | (a) Not later than the 30th day after the date the department's |
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454 | 454 | | order becomes final, the person shall: |
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455 | 455 | | (1) pay the administrative penalty; or |
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456 | 456 | | (2) file a petition for judicial review contesting the |
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457 | 457 | | occurrence of the violation, the amount of the penalty, or both. |
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458 | 458 | | (b) A person who files a petition for judicial review within |
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459 | 459 | | the period prescribed by Subsection (a) may: |
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460 | 460 | | (1) stay enforcement of the penalty by: |
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461 | 461 | | (A) paying the penalty to the court for placement |
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462 | 462 | | in an escrow account; or |
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463 | 463 | | (B) giving the court a supersedeas bond approved |
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464 | 464 | | by the court that: |
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465 | 465 | | (i) is for the amount of the penalty; and |
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466 | 466 | | (ii) is effective until all judicial review |
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467 | 467 | | of the department's order is final; or |
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468 | 468 | | (2) request the court to stay enforcement of the |
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469 | 469 | | penalty by: |
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470 | 470 | | (A) filing with the court a sworn affidavit |
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471 | 471 | | stating that the person is financially unable to pay the penalty and |
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472 | 472 | | is financially unable to give the supersedeas bond; and |
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473 | 473 | | (B) giving a copy of the affidavit to the |
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474 | 474 | | department by certified mail. |
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475 | 475 | | (c) If the department receives a copy of an affidavit under |
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476 | 476 | | Subsection (b)(2), the department may file with the court, not |
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477 | 477 | | later than the fifth day after the date the copy is received, a |
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478 | 478 | | contest to the affidavit. |
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479 | 479 | | (d) The court shall hold a hearing on the facts alleged in |
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480 | 480 | | the affidavit as soon as practicable and shall stay the enforcement |
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481 | 481 | | of the penalty on finding that the alleged facts are true. The |
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482 | 482 | | person who files an affidavit has the burden of proving that the |
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483 | 483 | | person is financially unable to pay the penalty and to give a |
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484 | 484 | | supersedeas bond. |
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485 | 485 | | Sec. 2159.258. COLLECTION OF PENALTY. (a) If the person |
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486 | 486 | | does not pay the administrative penalty and the enforcement of the |
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487 | 487 | | penalty is not stayed, the penalty may be collected. |
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488 | 488 | | (b) The attorney general may sue to collect the penalty. |
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489 | 489 | | Sec. 2159.259. DETERMINATION BY COURT. (a) If the court |
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490 | 490 | | sustains the determination that a violation occurred, the court may |
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491 | 491 | | uphold or reduce the amount of the administrative penalty and order |
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492 | 492 | | the person to pay the full or reduced amount of the penalty. |
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493 | 493 | | (b) If the court does not sustain the finding that a |
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494 | 494 | | violation occurred, the court shall order that a penalty is not |
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495 | 495 | | owed. |
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496 | 496 | | Sec. 2159.260. REMITTANCE OF PENALTY AND INTEREST. (a) If |
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497 | 497 | | the person paid the administrative penalty and if the amount of the |
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498 | 498 | | penalty is reduced or the penalty is not upheld by the court, the |
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499 | 499 | | court shall order, when the court's judgment becomes final, that |
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500 | 500 | | the appropriate amount plus accrued interest be remitted to the |
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501 | 501 | | person. |
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502 | 502 | | (b) The interest accrues at the rate charged on loans to |
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503 | 503 | | depository institutions by the New York Federal Reserve Bank. |
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504 | 504 | | (c) The interest shall be paid for the period beginning on |
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505 | 505 | | the date the penalty is paid and ending on the date the penalty is |
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506 | 506 | | remitted. |
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507 | 507 | | (d) If the person gave a supersedeas bond and the penalty is |
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508 | 508 | | not upheld by the court, the court shall order, when the court's |
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509 | 509 | | judgment becomes final, the release of the bond. |
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510 | 510 | | (e) If the person gave a supersedeas bond and the amount of |
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511 | 511 | | the penalty is reduced, the court shall order the release of the |
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512 | 512 | | bond after the person pays the reduced amount. |
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513 | 513 | | SECTION 3. Not later than February 1, 2016, the Public |
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514 | 514 | | Safety Commission shall adopt rules and the Department of Public |
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515 | 515 | | Safety shall set fees, prescribe forms, and approve the human |
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516 | 516 | | trafficking educational course necessary to implement Chapter |
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517 | 517 | | 2159, Occupations Code, as added by this Act. |
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518 | 518 | | SECTION 4. (a) Except as required by Subsection (b) of this |
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519 | 519 | | section, this Act takes effect September 1, 2015. |
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520 | 520 | | (b) Section 2159.101 and Subchapters D, E, and F, Chapter |
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521 | 521 | | 2159, Occupations Code, as added by this Act, take effect September |
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522 | 522 | | 1, 2016. |
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