Texas 2017 - 85th Regular

Texas House Bill HB2473 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	85R27711 TJB-F
2	1		By: Davis of Harris H.B. No. 2473
3		-	Substitute the following for H.B. No. 2473:
4		-	By: Davis of Harris C.S.H.B. No. 2473
5	2
6	3
7	4		A BILL TO BE ENTITLED
8	5		AN ACT
9	6		relating to the disclosure of gifts by vendors to certain local
10	7		government officers and of certain relationships with local
11	8		government officers; creating a criminal offense.
12	9		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	10		SECTION 1. Subtitle C, Title 5, Local Government Code, is
14	11		amended by adding Chapter 176A to read as follows:
15	12		CHAPTER 176A. DISCLOSURE OF GIFTS TO CERTAIN LOCAL GOVERNMENT
16	13		OFFICERS
17	14		Sec. 176A.001. DEFINITIONS. In this chapter:
18	15		(1) "Agent," "commission," "contract," "family
19	16		member," "goods," "local governmental entity," and "services" have
20	17		the meanings assigned by Section 176.001.
21	18		(2) "Entertainment" includes transportation to,
22	19		lodging for, and attendance at a function, event, or performance
23	20		that:
24	21		(A) a local government officer accepts as the
25	22		guest of a vendor; and
26	23		(B) is not required to be reported by a vendor
27	24		under law other than under this chapter.
28	25		(3) "Gift" means a benefit, including entertainment,
29	26		offered by a vendor and accepted by a local government officer. The
30	27		term does not include:
31	28		(A) a benefit offered based on kinship or a
32	29		personal, professional, or business relationship independent of
33	30		the official status of the local government officer accepting the
34	31		benefit;
35	32		(B) food or beverages accepted by a local
36	33		government officer as the guest of a vendor; or
37	34		(C) a political contribution as defined by
38	35		Section 251.001, Election Code.
39	36		(4) "Local government officer" means:
40	37		(A) a member of the governing body of a local
41	38		governmental entity; or
42	39		(B) a director, superintendent, administrator,
43	40		president, or other executive officer of a local governmental
44	41		entity who exercises discretion in the planning, recommending,
45	42		selecting, or contracting of a vendor.
46	43		(5) "Vendor" means a person or agent of the person who
47	44		enters or seeks to enter into a contract with a local governmental
48	45		entity for the provision of goods or services.
49	46		Sec. 176A.002. VENDOR DISCLOSURE FORM REQUIRED. (a) Not
50	47		later than the 15th day of the first month of each calendar quarter,
51	48		a vendor shall submit a completed disclosure form created by the
52	49		commission to a local governmental entity if the vendor:
53	50		(1) has a contract or is seeking to enter into a
54	51		contract with the local governmental entity; and
55	52		(2) has given one or more gifts during the preceding
56	53		calendar quarter with an aggregate value of more than $100 to:
57	54		(A) a local government officer of the local
58	55		governmental entity; or
59	56		(B) a family member of a local government officer
60	57		of the local governmental entity.
61	58		(b) A disclosure form submitted by a vendor under this
62	59		section must include:
63	60		(1) a statement that the vendor:
64	61		(A) has a contract or is seeking to enter into a
65	62		contract with the local governmental entity; and
66	63		(B) has given one or more gifts during the
67	64		preceding calendar quarter with an aggregate value of more than
68	65		$100 to:
69	66		(i) a local government officer of the local
70	67		governmental entity; or
71	68		(ii) a family member of a local government
72	69		officer of the local governmental entity; and
73	70		(2) the dollar amount of the gift or gifts described by
74	71		Subdivision (1)(B) given to a local government officer or a family
75	72		member of a local government officer, stated as a total amount for
76	73		each officer and family member that accepted a gift from the vendor.
77	74		(c) For purposes of this section:
78	75		(1) the value or dollar amount of a gift for which a
79	76		receipt is issued, other than an admission ticket to an event, is
80	77		the price paid by the vendor for the gift; and
81	78		(2) the value or dollar amount of a gift that is an
82	79		admission ticket to an event is:
83	80		(A) the price printed on the admission ticket; or
84	81		(B) the initial price paid to the first seller of
85	82		the admission ticket if the price is not printed on the ticket.
86	83		(d) This section does not apply to a gift given by a vendor
87	84		directly as part of the vendor's sponsorship of or contribution to
88	85		an event that benefits:
89	86		(1) an organization that is exempt from federal income
90	87		taxation under Section 501(a), Internal Revenue Code of 1986, by
91	88		being listed as an exempt entity under Section 501(c) of that code;
92	89		or
93	90		(2) a political committee as defined by Section
94	91		251.001, Election Code.
	92	+	(e) This section does not require the disclosure of a gift
	93	+	made by a vendor who is a candidate or officeholder if the gift is
	94	+	reported under Title 15, Election Code.
95	95		Sec. 176A.003. OFFENSE. (a) A vendor commits an offense if
96	96		the vendor:
97	97		(1) is required to submit a completed disclosure form
98	98		under Section 176A.002; and
99	99		(2) knowingly fails to submit the completed disclosure
100	100		form to the appropriate local governmental entity before the 15th
101	101		day of the first month of the calendar quarter following the
102	102		calendar quarter in which the form was required to be submitted
103	103		under Section 176A.002.
104	104		(b) An offense under this section is a Class C misdemeanor.
105	105		Sec. 176A.004. COMMISSION ADVISORY OPINION. (a) The
106	106		commission may prepare a written advisory opinion answering the
107	107		request of a person subject to this chapter for an advisory opinion
108	108		about the application of this chapter to the person regarding a
109	109		specified existing or hypothetical factual situation.
110	110		(b) A request for an advisory opinion must be made in
111	111		writing to the commission.
112	112		(c) If the commission prepares an advisory opinion under
113	113		this section, Sections 571.093, 571.096, and 571.097, Government
114	114		Code, apply to the request and advisory opinion in the same manner
115	115		as those sections apply to a request or advisory opinion issued
116	116		under Section 571.091 of that code.
117	117		Sec. 176A.005. COMMISSION RULES. (a) The commission shall
118	118		adopt rules necessary to implement this chapter.
119	119		(b) The commission by rule shall prescribe the disclosure
120	120		form required to be submitted under Section 176A.002.
121	121		SECTION 2. Sections 176.003(a) and (e), Local Government
122	122		Code, are amended to read as follows:
123	123		(a) A local government officer shall file a conflicts
124	124		disclosure statement with respect to a vendor if:
125	125		(1) the vendor enters into a contract with the local
126	126		governmental entity [or the local governmental entity is
127	127		considering entering into a contract with the vendor]; and
128	128		(2) the vendor:
129	129		(A) has an employment or other business
130	130		relationship with the local government officer or a family member
131	131		of the officer that results in the officer or family member
132	132		receiving taxable income, other than investment income, that
133	133		exceeds $2,500 during the 12-month period preceding the date that
134	134		the officer becomes aware that[:
135	135		[(i)] a contract between the local
136	136		governmental entity and vendor has been executed; or
137	137		[(ii) the local governmental entity is
138	138		considering entering into a contract with the vendor;]
139	139		(B) [has given to the local government officer or
140	140		a family member of the officer one or more gifts that have an
141	141		aggregate value of more than $100 in the 12-month period preceding
142	142		the date the officer becomes aware that:
143	143		[(i) a contract between the local
144	144		governmental entity and vendor has been executed; or
145	145		[(ii) the local governmental entity is
146	146		considering entering into a contract with the vendor; or
147	147		[(C)] has a family relationship with the local
148	148		government officer.
149	149		(e) The commission shall adopt the conflicts disclosure
150	150		statement for local government officers for use under this
151	151		section. The conflicts disclosure statement must include:
152	152		(1) a requirement that each local government officer
153	153		disclose[:
154	154		[(A)] an employment or other business
155	155		relationship described by Subsection (a)(2)(A), including the
156	156		nature and extent of the relationship[; and
157	157		[(B) gifts accepted by the local government
158	158		officer and any family member of the officer from a vendor during
159	159		the 12-month period described by Subsection (a)(2)(B) if the
160	160		aggregate value of the gifts accepted by the officer or a family
161	161		member from that vendor exceeds $100];
162	162		(2) an acknowledgment from the local government
163	163		officer that:
164	164		(A) the disclosure applies to each family member
165	165		of the officer; and
166	166		(B) the statement covers the 12-month period
167	167		described by Subsection (a)(2)(A) [(a)(2)(B)]; and
168	168		(3) the signature of the local government officer
169	169		acknowledging that the statement is made under oath under penalty
170	170		of perjury.
171	171		SECTION 3. Sections 176.006(a) and (a-1), Local Government
172	172		Code, are amended to read as follows:
173	173		(a) A vendor shall file a completed conflict of interest
174	174		questionnaire if the vendor has [a business relationship with a
175	175		local governmental entity and]:
176	176		(1) [has] an employment or other business relationship
177	177		with a local government officer of that local governmental entity,
178	178		or a family member of the officer, described by Section
179	179		176.003(a)(2)(A); or
180	180		(2) [has given a local government officer of that
181	181		local governmental entity, or a family member of the officer, one or
182	182		more gifts with the aggregate value specified by Section
183	183		176.003(a)(2)(B), excluding any gift described by Section
184	184		176.003(a-1); or
185	185		[(3) has] a family relationship with a local
186	186		government officer of that local governmental entity.
187	187		(a-1) The completed conflict of interest questionnaire must
188	188		be filed with the appropriate records administrator not later than
189	189		the seventh business day after the later of:
190	190		(1) the date that the vendor:
191	191		(A) begins discussions or negotiations to enter
192	192		into a contract with the local governmental entity; or
193	193		(B) submits to the local governmental entity an
194	194		application, response to a request for proposals or bids,
195	195		correspondence, or another writing related to a potential contract
196	196		with the local governmental entity; or
197	197		(2) the date the vendor becomes aware:
198	198		(A) of an employment or other business
199	199		relationship with a local government officer, or a family member of
200	200		the officer, described by Subsection (a); or
201	201		(B) [that the vendor has given one or more gifts
202	202		described by Subsection (a); or
203	203		[(C)] of a family relationship with a local
204	204		government officer.
205	205		SECTION 4. The following provisions of the Local Government
206	206		Code are repealed:
207	207		(1) Section 176.001(2-b);
208	208		(2) Sections 176.003(a-1) and (a-2);
209	209		(3) Section 176.006(i); and
210	210		(4) Section 176.013(e).
211	211		SECTION 5. The Texas Ethics Commission shall adopt rules
212	212		necessary to implement Chapter 176A, Local Government Code, as
213	213		added by this Act, and shall prescribe the disclosure form required
214	214		to be submitted under that chapter as soon as practicable after the
215	215		effective date of this Act, but not later than January 1, 2018.
216	216		SECTION 6. (a) Except as provided by Subsection (b) of this
217	217		section, the changes in law made by this Act to Chapter 176, Local
218	218		Government Code, as amended by this Act, apply only to an event
219	219		requiring disclosure that occurs on or after the effective date of
220	220		this Act. An event requiring disclosure that occurs before the
221	221		effective date of this Act is governed by the law applicable to the
222	222		event immediately before the effective date of this Act, and the
223	223		former law is continued in effect for that purpose.
224	224		(b) The change in law made by this Act by the repeal of
225	225		Section 176.006(i), Local Government Code, applies only to a
226	226		contract that is entered into on or after the effective date of this
227	227		Act. A contract entered into before the effective date of this Act
228	228		is governed by the law as it existed immediately before the
229	229		effective date of this Act, and that law is continued in effect for
230	230		that purpose.
231	231		SECTION 7. Chapter 176A, Local Government Code, as added by
232	232		this Act, applies only to an event requiring disclosure that occurs
233	233		on or after January 1, 2018.
234	234		SECTION 8. This Act takes effect immediately if it receives
235	235		a vote of two-thirds of all the members elected to each house, as
236	236		provided by Section 39, Article III, Texas Constitution. If this
237	237		Act does not receive the vote necessary for immediate effect, this
238	238		Act takes effect September 1, 2017.