Texas 2017 - 85th 1st C.S.

Texas Senate Bill SB120 Compare Versions

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

Old	New	Differences
1	1	85S12052 KLA-D
2	2	By: Garcia, et al. S.B. No. 120
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to investment prohibitions and divestment requirements
8	8	for certain investments of public money in companies involved in
9	9	the border wall between the United States and Mexico.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 2270.0001, Government Code, as added by
12	12	Chapter 96 (S.B. 253), Acts of the 85th Legislature, Regular
13	13	Session, 2017, is amended by adding Subdivision (1-a) and amending
14	14	Subdivision (9) to read as follows:
15	15	(1-a) "Border wall" means a wall, fence, or other
16	16	barrier on the border between the United States and Mexico.
17	17	(9) "Scrutinized company" means:
18	18	(A) a company that:
19	19	(i) engages in scrutinized business
20	20	operations described by Section 2270.0052; or
21	21	(ii) has been complicit in the Darfur
22	22	genocide during any preceding 20-month period;
23	23	(B) a company that engages in scrutinized
24	24	business operations described by Section 2270.0102; [and]
25	25	(C) a company that engages in scrutinized
26	26	business operations described by Section 2270.0152; and
27	27	(D) a company that engages in scrutinized
28	28	business operations described by Section 2270.0172.
29	29	SECTION 2. Chapter 2270, Government Code, as added by
30	30	Chapter 96 (S.B. 253), Acts of the 85th Legislature, Regular
31	31	Session, 2017, is amended by adding Subchapter D-1 to read as
32	32	follows:
33	33	SUBCHAPTER D-1. GENERAL PROVISIONS RELATING TO INVESTMENTS
34	34	INVOLVING BORDER WALL
35	35	Sec. 2270.0171. DEFINITION. In this subchapter, "business
36	36	operations" means engaging in commerce in any form, including by:
37	37	(1) acquiring, developing, maintaining, owning,
38	38	selling, possessing, leasing, or operating equipment, facilities,
39	39	personnel, products, services, personal property, real property,
40	40	or any other apparatus of business or commerce; or
41	41	(2) planning, constructing, or maintaining a project.
42	42	Sec. 2270.0172. SCRUTINIZED BUSINESS OPERATIONS RELATING
43	43	TO BORDER WALL. A company engages in scrutinized business
44	44	operations relating to the border wall if the company has business
45	45	operations that involve planning, constructing, or maintaining the
46	46	border wall, including by providing:
47	47	(1) supplies, equipment, or other personal property;
48	48	or
49	49	(2) personnel.
50	50	SECTION 3. Sections 2270.0201(a) and (b), Government Code,
51	51	as added by Chapter 96 (S.B. 253), Acts of the 85th Legislature,
52	52	Regular Session, 2017, are amended to read as follows:
53	53	(a) The comptroller shall prepare and maintain a list of all
54	54	scrutinized companies. The list must be categorized according to:
55	55	(1) companies that are scrutinized companies under
56	56	Section 2270.0001(9)(A);
57	57	(2) companies that are scrutinized companies under
58	58	Section 2270.0001(9)(B); [and]
59	59	(3) companies that are scrutinized companies under
60	60	Section 2270.0001(9)(C); and
61	61	(4) companies that are scrutinized companies under
62	62	Section 2270.0001(9)(D).
63	63	(b) In maintaining the list of scrutinized companies under
64	64	Subsection (a), the comptroller may review and rely, as appropriate
65	65	in the comptroller's judgment, on publicly available information
66	66	regarding companies with business operations in Sudan, in Iran,
67	67	[or] with designated foreign terrorist organizations, or relating
68	68	to the border wall, as applicable, including information provided
69	69	by the state, nonprofit organizations, research firms,
70	70	international organizations, and governmental entities.
71	71	SECTION 4. Section 2270.0203, Government Code, as added by
72	72	Chapter 96 (S.B. 253), Acts of the 85th Legislature, Regular
73	73	Session, 2017, is amended to read as follows:
74	74	Sec. 2270.0203. NOTICE TO LISTED COMPANY ENGAGED IN
75	75	INACTIVE BUSINESS OPERATIONS. For each listed company identified
76	76	under Section 2270.0202 that is engaged in only inactive
77	77	scrutinized business operations, the investing entity shall send a
78	78	written notice informing the company of this chapter and
79	79	encouraging the company to continue to refrain from initiating
80	80	active business operations in Sudan, in Iran, [and] with designated
81	81	foreign terrorist organizations, and relating to the border wall
82	82	until it is able to avoid being considered a listed company. The
83	83	investing entity shall continue the correspondence as the entity
84	84	considers necessary, but is not required to initiate correspondence
85	85	more often than semiannually.
86	86	SECTION 5. Section 2270.0204(b), Government Code, as added
87	87	by Chapter 96 (S.B. 253), Acts of the 85th Legislature, Regular
88	88	Session, 2017, is amended to read as follows:
89	89	(b) The notice shall offer the company the opportunity to
90	90	clarify its Sudan-related, Iran-related, [or] designated foreign
91	91	terrorist organization-related, or border wall-related activities,
92	92	as applicable, and shall encourage the company, not later than the
93	93	90th day after the date the company receives notice under this
94	94	section, to either cease all scrutinized business operations as
95	95	described by Sections 2270.0052, 2270.0102, [and] 2270.0152, and
96	96	2270.0172, or convert such operations to inactive business
97	97	operations in order to avoid qualifying for divestment by investing
98	98	entities.
99	99	SECTION 6. Not later than January 1, 2018, the comptroller
100	100	shall:
101	101	(1) prepare an updated list of scrutinized companies
102	102	required by Section 2270.0201, Government Code, as amended by this
103	103	Act, that includes companies that are scrutinized companies
104	104	described by Section 2270.0001(9)(D), Government Code, as added by
105	105	this Act;
106	106	(2) provide the list to each investing entity, as
107	107	defined by Section 2270.0001(7), Government Code; and
108	108	(3) post the list on the comptroller's Internet
109	109	website.
110	110	SECTION 7. This Act takes effect December 1, 2017.