Texas 2019 - 86th Regular

Texas Senate Bill SB296 Compare Versions

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

Old	New	Differences
1	1	86R1163 SRS-D
2	2	By: Buckingham S.B. No. 296
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the abolition of student loan default or breach of a
8	8	student loan repayment or scholarship contract as a ground for
9	9	nonrenewal or other disciplinary action in relation to a
10	10	professional or occupational license and to certain duties of state
11	11	agencies and political subdivisions in relation to delinquent or
12	12	defaulted student loans.
13	13	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14	14	SECTION 1. Section 57.49, Education Code, is amended to
15	15	read as follows:
16	16	Sec. 57.49. COOPERATION OF STATE AGENCIES AND SUBDIVISIONS.
17	17	Each agency and political subdivision of the state shall cooperate
18	18	with the corporation in providing information to the agency's or
19	19	political subdivision's clients concerning student financial aid,
20	20	including information about default prevention. [Each agency and
21	21	political subdivision shall provide information to the corporation
22	22	on request to assist the corporation in curing delinquent loans and
23	23	collecting defaulted loans.]
24	24	SECTION 2. Subchapter C, Chapter 57, Education Code, is
25	25	amended by adding Section 57.492 to read as follows:
26	26	Sec. 57.492. PROHIBITION AGAINST DENIAL OR NONRENEWAL OF
27	27	PROFESSIONAL OR OCCUPATIONAL LICENSE FOR STUDENT LOAN DEFAULT;
28	28	DUTIES OF LICENSING AGENCY. (a) In this section:
29	29	(1) "License" means a certificate or similar form of
30	30	permission issued or renewed by a licensing agency and required by
31	31	law to engage in a profession or occupation.
32	32	(2) "Licensee" means a person to whom a licensing
33	33	agency issues a license.
34	34	(3) "Licensing agency" means a board, commission,
35	35	department, or other agency in the executive branch of state
36	36	government that issues or renews a license.
37	37	(b) A licensing agency may not deny the issuance of a
38	38	license to a person or the renewal of a person's license based
39	39	solely on the default status of the person's student loan
40	40	guaranteed by the corporation.
41	41	(c) A licensing agency shall cooperate with the corporation
42	42	in providing information to a licensee concerning student financial
43	43	aid, including information about loan default prevention.
44	44	(d) A licensing agency is not required to assist the
45	45	corporation in curing delinquent loans or collecting defaulted
46	46	loans, including by providing licensee lists to the corporation.
47	47	SECTION 3. Section 157.015(g), Finance Code, is amended to
48	48	read as follows:
49	49	(g) The commissioner may deny the renewal application for a
50	50	residential mortgage loan originator license if:
51	51	(1) the person seeking the renewal of the residential
52	52	mortgage loan originator license is in violation of this chapter,
53	53	Chapter 156, or Chapter 180, an applicable rule adopted under this
54	54	chapter, Chapter 156, or Chapter 180, or any order previously
55	55	issued to the person by the commissioner;
56	56	(2) the person seeking renewal of the residential
57	57	mortgage loan originator license is in default in the payment of any
58	58	administrative penalty, fee, charge, or other indebtedness owed
59	59	under this title; or
60	60	(3) [the person seeking the renewal of the residential
61	61	mortgage loan originator license is in default on a student loan
62	62	administered by the Texas Guaranteed Student Loan Corporation,
63	63	under Section 57.491, Education Code; or
64	64	[(4)] during the current term of the license, the
65	65	commissioner becomes aware of any fact, other than default on a
66	66	student loan administered by the Texas Guaranteed Student Loan
67	67	Corporation, that would have been grounds for denial of an original
68	68	license if the fact had been known by the commissioner on the date
69	69	the license was granted.
70	70	SECTION 4. Sections 466.155(a) and (g), Government Code,
71	71	are amended to read as follows:
72	72	(a) After a hearing, the director shall deny an application
73	73	for a license or the commission shall suspend or revoke a license if
74	74	the director or commission, as applicable, finds that the applicant
75	75	or sales agent:
76	76	(1) is an individual who:
77	77	(A) has been convicted of a felony, criminal
78	78	fraud, gambling or a gambling-related offense, or a misdemeanor
79	79	involving moral turpitude, if less than 10 years has elapsed since
80	80	the termination of the sentence, parole, mandatory supervision, or
81	81	probation served for the offense;
82	82	(B) is or has been a professional gambler;
83	83	(C) is married to an individual:
84	84	(i) described in Paragraph (A) or (B); or
85	85	(ii) who is currently delinquent in the
86	86	payment of any state tax;
87	87	(D) is an officer or employee of the commission
88	88	or a lottery operator; or
89	89	(E) is a spouse, child, brother, sister, or
90	90	parent residing as a member of the same household in the principal
91	91	place of residence of a person described by Paragraph (D);
92	92	(2) is not an individual, and an individual described
93	93	in Subdivision (1):
94	94	(A) is an officer or director of the applicant or
95	95	sales agent;
96	96	(B) holds more than 10 percent of the stock in the
97	97	applicant or sales agent;
98	98	(C) holds an equitable interest greater than 10
99	99	percent in the applicant or sales agent;
100	100	(D) is a creditor of the applicant or sales agent
101	101	who holds more than 10 percent of the applicant's or sales agent's
102	102	outstanding debt;
103	103	(E) is the owner or lessee of a business that the
104	104	applicant or sales agent conducts or through which the applicant
105	105	will conduct a ticket sales agency;
106	106	(F) shares or will share in the profits, other
107	107	than stock dividends, of the applicant or sales agent; or
108	108	(G) participates in managing the affairs of the
109	109	applicant or sales agent;
110	110	(3) has been finally determined to be[:
111	111	[(A)] delinquent in the payment of a tax or other
112	112	money collected by the comptroller, the Texas Workforce Commission,
113	113	or the Texas Alcoholic Beverage Commission;
114	114	[(B) in default on a loan made under Chapter 52,
115	115	Education Code; or
116	116	[(C) in default on a loan guaranteed under
117	117	Chapter 57, Education Code;]
118	118	(4) is a person whose location for the sales agency is:
119	119	(A) a location licensed for games of bingo under
120	120	Chapter 2001, Occupations Code;
121	121	(B) on land that is owned by:
122	122	(i) this state; or
123	123	(ii) a political subdivision of this state
124	124	and on which is located a public primary or secondary school, an
125	125	institution of higher education, or an agency of the state; or
126	126	(C) a location for which a person holds a wine and
127	127	beer retailer's permit, mixed beverage permit, mixed beverage late
128	128	hours permit, private club registration permit, or private club
129	129	late hours permit issued under Chapter 25, 28, 29, 32, or 33,
130	130	Alcoholic Beverage Code, other than a location for which a person
131	131	holds a wine and beer retailer's permit issued under Chapter 25,
132	132	Alcoholic Beverage Code, that derives less than 30 percent of the
133	133	location's gross receipts from the sale or service of alcoholic
134	134	beverages; or
135	135	(5) has violated this chapter or a rule adopted under
136	136	this chapter.
137	137	(g) For purposes of Subsection (a)(3), the comptroller,
138	138	Texas Workforce Commission, and Texas Alcoholic Beverage
139	139	Commission[, Texas Higher Education Coordinating Board, and Texas
140	140	Guaranteed Student Loan Corporation] shall each provide the
141	141	executive director with a report of persons who have been finally
142	142	determined to be delinquent in the payment of any money owed to or
143	143	collected by that agency. The commission shall adopt rules
144	144	regarding the form and frequency of reports under this subsection.
145	145	SECTION 5. The following laws are repealed:
146	146	(1) Section 57.491, Education Code;
147	147	(2) Section 82.022(c), Government Code;
148	148	(3) Section 154.110(e), Government Code; and
149	149	(4) Chapter 56, Occupations Code.
150	150	SECTION 6. This Act takes effect immediately if it receives
151	151	a vote of two-thirds of all the members elected to each house, as
152	152	provided by Section 39, Article III, Texas Constitution. If this
153	153	Act does not receive the vote necessary for immediate effect, this
154	154	Act takes effect September 1, 2019.