| 1 | 1 | | 87R6103 EAS-D |
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| 2 | 2 | | By: Krause H.B. No. 1337 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to priority of payment for certain electrical service |
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| 8 | 8 | | claims against the estates of certain decedents. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Section 355.102(b), Estates Code, is amended to |
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| 11 | 11 | | read as follows: |
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| 12 | 12 | | (b) Class 1 claims are composed of funeral expenses, [and] |
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| 13 | 13 | | expenses of the decedent's last illness, including claims for the |
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| 14 | 14 | | cost of electrical service provided to the decedent if the decedent |
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| 15 | 15 | | had been designated as a critical care residential customer, and |
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| 16 | 16 | | claims for reimbursement of funeral [those] expenses and expenses |
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| 17 | 17 | | of the decedent's last illness, for a reasonable amount approved by |
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| 18 | 18 | | the court, not to exceed $15,000 for funeral expenses and $15,000 |
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| 19 | 19 | | for expenses of the decedent's last illness. Any excess shall be |
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| 20 | 20 | | classified and paid as other unsecured claims. |
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| 21 | 21 | | SECTION 2. Section 355.103, Estates Code, is amended to |
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| 22 | 22 | | read as follows: |
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| 23 | 23 | | Sec. 355.103. PRIORITY OF CERTAIN PAYMENTS. When a |
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| 24 | 24 | | personal representative has estate funds in the representative's |
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| 25 | 25 | | possession, the representative shall pay in the following order: |
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| 26 | 26 | | (1) funeral expenses in an amount not to exceed |
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| 27 | 27 | | $15,000 and expenses of the decedent's last illness, including |
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| 28 | 28 | | claims for the cost of electrical service provided to the decedent |
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| 29 | 29 | | if the decedent had been designated as a critical care residential |
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| 30 | 30 | | customer, in an amount not to exceed $15,000; |
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| 31 | 31 | | (2) allowances made to the decedent's surviving spouse |
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| 32 | 32 | | and children, or to either the surviving spouse or children; |
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| 33 | 33 | | (3) expenses of administration and expenses incurred |
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| 34 | 34 | | in preserving, safekeeping, and managing the estate; and |
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| 35 | 35 | | (4) other claims against the estate in the order of the |
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| 36 | 36 | | claims' classifications. |
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| 37 | 37 | | SECTION 3. Sections 355.102(b) and 355.103, Estates Code, |
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| 38 | 38 | | as amended by this Act, apply only to the estate of a decedent who |
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| 39 | 39 | | dies on or after the effective date of this Act. The estate of a |
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| 40 | 40 | | decedent who dies before the effective date of this Act is governed |
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| 41 | 41 | | by the law in effect on the date of the decedent's death, and the |
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| 42 | 42 | | former law is continued in effect for that purpose. |
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| 43 | 43 | | SECTION 4. This Act takes effect September 1, 2021. |
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