BILL ANALYSIS Senate Research Center H.B. 2964 85R3483 PMO-D By: Meyer; Button (Hancock) Business & Commerce 4/27/2017 Engrossed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Interested parties contend that the law regarding when shares in a mutual fund are presumed abandoned is ambiguous as to when the initial abandonment occurs. H.B. 2964 seeks to resolve this ambiguity. H.B. 2964 amends the Property Code to specify that the three-year period leading to a presumption of abandonment with respect to shares in a mutual fund begins on the later of the date of the last investment in the mutual fund made by or on behalf of the owner or the last payment to the owner or reinvestment by or on behalf of the owner of a dividend from the mutual fund. H.B. 2964 amends current law relating to abandonment of shares of a mutual fund. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter B, Chapter 72, Property Code, by adding Section 72.1011, as follows: Sec. 72.1011. SHARES OF MUTUAL FUND. Provides that the three-year period established by Section 72.101 (Personal Property Presumed Abandoned) with respect to the abandonment of shares in a mutual fund begins on the later of the date of the last investment in the mutual fund made by or on behalf of the owner or the last payment to the owner or reinvestment by or on behalf of the owner of a dividend from the mutual fund. SECTION 2. Effective date: upon passage or September 1, 2017.
BILL ANALYSIS
Senate Research Center H.B. 2964
85R3483 PMO-D By: Meyer; Button (Hancock)
Business & Commerce
4/27/2017
Engrossed
Senate Research Center
H.B. 2964
85R3483 PMO-D
By: Meyer; Button (Hancock)
Business & Commerce
4/27/2017
Engrossed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Interested parties contend that the law regarding when shares in a mutual fund are presumed abandoned is ambiguous as to when the initial abandonment occurs. H.B. 2964 seeks to resolve this ambiguity.
H.B. 2964 amends the Property Code to specify that the three-year period leading to a presumption of abandonment with respect to shares in a mutual fund begins on the later of the date of the last investment in the mutual fund made by or on behalf of the owner or the last payment to the owner or reinvestment by or on behalf of the owner of a dividend from the mutual fund.
H.B. 2964 amends current law relating to abandonment of shares of a mutual fund.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Subchapter B, Chapter 72, Property Code, by adding Section 72.1011, as follows:
Sec. 72.1011. SHARES OF MUTUAL FUND. Provides that the three-year period established by Section 72.101 (Personal Property Presumed Abandoned) with respect to the abandonment of shares in a mutual fund begins on the later of the date of the last investment in the mutual fund made by or on behalf of the owner or the last payment to the owner or reinvestment by or on behalf of the owner of a dividend from the mutual fund.
SECTION 2. Effective date: upon passage or September 1, 2017.