Texas 2019 - 86th Regular

Texas House Bill HB466 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	86R15120 SOS-D
2		-	By: Hernandez, Krause, Raney, Blanco H.B. No. 466
3		-	Substitute the following for H.B. No. 466:
4		-	By: Walle C.S.H.B. No. 466
	1	+	86R589 SRS-D
	2	+	By: Hernandez H.B. No. 466
5	3
6	4
7	5		A BILL TO BE ENTITLED
8	6		AN ACT
9		-	relating to ~~a prohibition on~~ the ~~use~~ of student loan default or
10		-	~~breach of a~~ student loan repayment or scholarship contract as a
11		-	~~ground for refusal~~ to ~~grant or renew an occupational license or~~
12		-	~~other disciplinary action in relation to an~~ occupational license.
	7	+	relating to the abolition of student loan default or breach of a
	8	+	student loan repayment or scholarship contract as a ground for
	9	+	nonrenewal or other disciplinary action in relation to a
	10	+	professional or occupational license.
13	11		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14		-	SECTION 1. The heading to Chapter 56, Occupations Code, is
15		-	amended to read as follows:
16		-	CHAPTER 56. DISCIPLINARY ACTION AGAINST RECIPIENTS OF STUDENT
17		-	FINANCIAL ASSISTANCE PROHIBITED
18		-	SECTION 2. Sections 56.001(3), (4), (5), and (6),
19		-	Occupations Code, are amended to read as follows:
20		-	(3) "Licensing authority" means a department,
21		-	commission, board, office, or other agency of the state or of a
22		-	political subdivision of the state that issues a license.
23		-	(4) "Scholarship contract" means an agreement by this
24		-	state, an agency of this state, a political subdivision of this
25		-	state, or the United States to make a grant to a person to support
26		-	the person while attending a public or private institution of
27		-	higher education or other postsecondary educational establishment
28		-	in exchange for the person's agreement to perform a service
29		-	obligation.
30		-	(5) "Student loan" means a loan made to a person by a
31		-	public or private entity to support the person while attending a
32		-	public or private institution of higher education or other
33		-	postsecondary educational establishment [that is:
34		-	[(A) owed to this state, an agency of this state,
35		-	or the United States; or
36		-	[(B) guaranteed by this state, an agency of this
37		-	state, or the United States].
38		-	(6) "Student loan repayment contract" means an
39		-	agreement by this state, an agency of this state, a political
40		-	subdivision of this state, or the United States to repay all or part
41		-	of a person's student loan in exchange for the person's agreement to
42		-	perform a service obligation.
43		-	SECTION 3. Section 56.003, Occupations Code, is amended to
	12	+	SECTION 1. Section 157.015(g), Finance Code, is amended to
44	13		read as follows:
45		-	Sec. 56.003. DISCIPLINARY [AUTHORITY TO TAKE] ACTION IN
46		-	EVENT OF DEFAULT OR BREACH PROHIBITED. A [On receipt of information
47		-	from an administering entity that a person has defaulted on a
48		-	student loan or has breached a student loan repayment contract or
49		-	scholarship contract by failing to perform the person's service
50		-	obligation under the contract, a] licensing authority may not take
51		-	disciplinary action against a person based on the person's default
52		-	on a student loan or breach of a student loan repayment contract or
53		-	scholarship contract, including by:
54		-	(1) denying [deny] the person's application for a
55		-	license or license renewal;
56		-	(2) suspending [suspend] the person's license; or
57		-	(3) taking [take] other disciplinary action against
58		-	the person.
59		-	SECTION 4. Sections 157.015(f) and (g), Finance Code, are
60		-	amended to read as follows:
61		-	(f) The commissioner may deny the renewal application for a
62		-	residential mortgage loan originator license for the same reasons
63		-	and grounds on which the commissioner could have denied an original
64		-	application for a license, other than on the basis of the person's
65		-	default on a student loan.
66	14		(g) The commissioner may deny the renewal application for a
67	15		residential mortgage loan originator license if:
68	16		(1) the person seeking the renewal of the residential
69	17		mortgage loan originator license is in violation of this chapter,
70	18		Chapter 156, or Chapter 180, an applicable rule adopted under this
71	19		chapter, Chapter 156, or Chapter 180, or any order previously
72	20		issued to the person by the commissioner;
73	21		(2) the person seeking renewal of the residential
74	22		mortgage loan originator license is in default in the payment of any
75	23		administrative penalty, fee, charge, or other indebtedness owed
76	24		under this title; or
77	25		(3) [the person seeking the renewal of the residential
78	26		mortgage loan originator license is in default on a student loan
79	27		administered by the Texas Guaranteed Student Loan Corporation,
80	28		under Section 57.491, Education Code; or
81	29		[(4)] during the current term of the license, the
82		-	commissioner becomes aware of any fact, other than the person's
83		-	default on a student loan, that would have been grounds for denial
84		-	of an original license if the fact had been known by the
85		-	commissioner on the date the license was granted.
86		-	SECTION 5. Section 180.055(d), Finance Code, is amended to
87		-	read as follows:
88		-	(d) For purposes of Subsection (a)(3), an individual is
89		-	considered not to be financially responsible if the individual has
90		-	shown a lack of regard in managing the individual's own financial
91		-	affairs or condition. A determination that an individual has not
92		-	shown financial responsibility may not be based on the individual's
93		-	default on a student loan, but may include:
94		-	(1) an outstanding judgment against the individual,
95		-	other than a judgment imposed solely as a result of medical
96		-	expenses;
97		-	(2) an outstanding tax lien or other governmental
98		-	liens and filings;
99		-	(3) a foreclosure during the three-year period
100		-	preceding the date of the license application; and
101		-	(4) a pattern of seriously delinquent accounts, other
102		-	than student loan accounts, during the three-year period preceding
103		-	the date of the application.
104		-	SECTION 6. Sections 466.155(a) and (g), Government Code,
	30	+	commissioner becomes aware of any fact, other than default on a
	31	+	student loan administered by the Texas Guaranteed Student Loan
	32	+	Corporation, that would have been grounds for denial of an original
	33	+	license if the fact had been known by the commissioner on the date
	34	+	the license was granted.
	35	+	SECTION 2. Sections 466.155(a) and (g), Government Code,
105	36		are amended to read as follows:
106	37		(a) After a hearing, the director shall deny an application
107	38		for a license or the commission shall suspend or revoke a license if
108	39		the director or commission, as applicable, finds that the applicant
109	40		or sales agent:
110	41		(1) is an individual who:
111	42		(A) has been convicted of a felony, criminal
112	43		fraud, gambling or a gambling-related offense, or a misdemeanor
113	44		involving moral turpitude, if less than 10 years has elapsed since
114	45		the termination of the sentence, parole, mandatory supervision, or
115	46		probation served for the offense;
116	47		(B) is or has been a professional gambler;
117	48		(C) is married to an individual:
118	49		(i) described in Paragraph (A) or (B); or
119	50		(ii) who is currently delinquent in the
120	51		payment of any state tax;
121	52		(D) is an officer or employee of the commission
122	53		or a lottery operator; or
123	54		(E) is a spouse, child, brother, sister, or
124	55		parent residing as a member of the same household in the principal
125	56		place of residence of a person described by Paragraph (D);
126	57		(2) is not an individual, and an individual described
127	58		in Subdivision (1):
128	59		(A) is an officer or director of the applicant or
129	60		sales agent;
130	61		(B) holds more than 10 percent of the stock in the
131	62		applicant or sales agent;
132	63		(C) holds an equitable interest greater than 10
133	64		percent in the applicant or sales agent;
134	65		(D) is a creditor of the applicant or sales agent
135	66		who holds more than 10 percent of the applicant's or sales agent's
136	67		outstanding debt;
137	68		(E) is the owner or lessee of a business that the
138	69		applicant or sales agent conducts or through which the applicant
139	70		will conduct a ticket sales agency;
140	71		(F) shares or will share in the profits, other
141	72		than stock dividends, of the applicant or sales agent; or
142	73		(G) participates in managing the affairs of the
143	74		applicant or sales agent;
144	75		(3) has been finally determined to be[:
145	76		[(A)] delinquent in the payment of a tax or other
146	77		money collected by the comptroller, the Texas Workforce Commission,
147	78		or the Texas Alcoholic Beverage Commission;
148	79		[(B) in default on a loan made under Chapter 52,
149	80		Education Code; or
150	81		[(C) in default on a loan guaranteed under
151	82		Chapter 57, Education Code;]
152	83		(4) is a person whose location for the sales agency is:
153	84		(A) a location licensed for games of bingo under
154	85		Chapter 2001, Occupations Code;
155	86		(B) on land that is owned by:
156	87		(i) this state; or
157	88		(ii) a political subdivision of this state
158	89		and on which is located a public primary or secondary school, an
159	90		institution of higher education, or an agency of the state; or
160	91		(C) a location for which a person holds a wine and
161	92		beer retailer's permit, mixed beverage permit, mixed beverage late
162	93		hours permit, private club registration permit, or private club
163	94		late hours permit issued under Chapter 25, 28, 29, 32, or 33,
164	95		Alcoholic Beverage Code, other than a location for which a person
165	96		holds a wine and beer retailer's permit issued under Chapter 25,
166	97		Alcoholic Beverage Code, that derives less than 30 percent of the
167	98		location's gross receipts from the sale or service of alcoholic
168	99		beverages; or
169	100		(5) has violated this chapter or a rule adopted under
170	101		this chapter.
171	102		(g) For purposes of Subsection (a)(3), the comptroller,
172	103		Texas Workforce Commission, and Texas Alcoholic Beverage
173	104		Commission[, Texas Higher Education Coordinating Board, and Texas
174	105		Guaranteed Student Loan Corporation] shall each provide the
175	106		executive director with a report of persons who have been finally
176	107		determined to be delinquent in the payment of any money owed to or
177	108		collected by that agency. The commission shall adopt rules
178	109		regarding the form and frequency of reports under this subsection.
179		-	SECTION 7. The following laws are repealed:
	110	+	SECTION 3. The following laws are repealed:
180	111		(1) Section 57.491, Education Code;
181	112		(2) Section 82.022(c), Government Code;
182	113		(3) Section 154.110(e), Government Code; and
183		-	(4) Sections 56.001(1), 56.002, 56.004, 56.005, and
184		-	56.006, Occupations Code.
185		-	SECTION 8. A disciplinary action proceeding under Chapter
186		-	56, Occupations Code, that was initiated before the effective date
187		-	of this Act and that is pending on the effective date of this Act is
188		-	terminated on that date.
189		-	SECTION 9. This Act takes effect immediately if it receives
	114	+	(4) Chapter 56, Occupations Code.
	115	+	SECTION 4. This Act takes effect immediately if it receives
190	116		a vote of two-thirds of all the members elected to each house, as
191	117		provided by Section 39, Article III, Texas Constitution. If this
192	118		Act does not receive the vote necessary for immediate effect, this
193	119		Act takes effect September 1, 2019.