By: Cyrier H.B. No. 1575 A BILL TO BE ENTITLED AN ACT relating to certain provisions applicable to state agencies subject to review by the Sunset Advisory Commission. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 325, Government Code, is amended by designating Sections 325.001 through 325.025 as Subchapter A and adding a subchapter heading to read as follows: SUBCHAPTER A. SUNSET ADVISORY COMMISSION AND SUNSET REVIEW PROCESS SECTION 2. Chapter 325, Government Code, is amended by adding Subchapter B to read as follows: SUBCHAPTER B. GENERAL PROVISIONS FOR STATE AGENCIES Sec. 325.051. APPLICABILITY; CONFLICTS. (a) Except as provided by Subsection (b), this subchapter applies to a state agency in the executive branch of state government that is subject to review by the commission under this chapter. (b) This subchapter does not apply to: (1) an advisory committee as defined by Section 2110.001; (2) a river authority listed in Section 325.025; (3) an entity subject to a one time review by the commission; (4) a division of a state agency that is reviewed independently of the state agency as a whole; (5) a state agency that does not have a policymaking body but is governed by a single elected or appointed officer; (6) an office of inspector general, ombudsman, or counsel; or (7) the following state agencies: (A) the Cancer Prevention and Research Institute of Texas; (B) the Texas Economic Development and Tourism Office; (C) the Electric Reliability Council of Texas; (D) state employee charitable campaign policy committee; (E) the Texas Health Services Authority; (F) the State Preservation Board; (G) the Office of State-Federal Relations; (H) the Texas Windstorm Insurance Association; or (I) the Texas Low-Level Radioactive Waste Disposal Compact Commission. (c) To the extent of any conflict between this subchapter and any law relating to a state agency subject to review by the commission under this chapter, this subchapter controls. Sec. 325.052. PUBLIC MEMBERSHIP ON STATE AGENCY POLICYMAKING BODY. A person may not be a public member of the policymaking body of a state agency if the person or the person's spouse: (1) is registered, certified, or licensed by a regulatory agency in a field regulated by the state agency; (2) is employed by or participates in the management of a business entity or other organization regulated by or receiving money from the state agency; (3) owns or controls, directly or indirectly, more than a 10 percent interest in a business entity or other organization regulated by or receiving money from the state agency; or (4) uses or receives a substantial amount of tangible goods, services, or money from the state agency other than compensation or reimbursement authorized by law for the state agency's policymaking body membership, attendance, or expenses. Sec. 325.053. PROVISIONS RELATING TO CONFLICTS OF INTEREST. (a) In this section, "Texas trade association" means a cooperative and voluntarily joined statewide association of business or professional competitors in this state designed to assist its members and its industry or profession in dealing with mutual business or professional problems and in promoting their common interest. (b) A person may not be a member of the policymaking body of a state agency and may not be an employee of the state agency employed in a "bona fide executive, administrative, or professional capacity," as that phrase is used for purposes of establishing an exemption to the overtime provisions of the federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.) if: (1) the person is an officer, employee, or paid consultant of a Texas trade association in a field regulated by the state agency; or (2) the person's spouse is an officer, manager, or paid consultant of a Texas trade association in a field regulated by the state agency. (c) A person may not be a member of a state agency's policymaking body or act as the general counsel to the state agency's policymaking body or the state agency if the person is required to register as a lobbyist under Chapter 305 because of the person's activities for compensation on behalf of a profession related to the operation of the state agency. Sec. 325.054. GOVERNOR DESIGNATES PRESIDING OFFICER. The governor shall designate a member of a state agency's policymaking body as the presiding officer of the policymaking body to serve in that capacity at the pleasure of the governor. Sec. 325.055. GROUNDS FOR REMOVAL OF MEMBERS FROM POLICYMAKING BODIES. (a) It is a ground for removal from a state agency's policymaking body that a member: (1) does not have at the time of taking office the qualifications required by law to be a member of the policymaking body; (2) does not maintain during service on the policymaking body the qualifications required by law to be a member of the policymaking body; (3) is ineligible for membership on the policymaking body under law, including provisions relating to public membership, conflicts of interest, and lobbying; (4) cannot, because of illness or disability, discharge the member's duties for a substantial part of the member's term; or (5) is absent from more than half of the regularly scheduled meetings of the policymaking body that the member is eligible to attend during a calendar year without an excuse approved by a majority vote of the policymaking body. (b) The validity of an action of a state agency's policymaking body is not affected by the fact that it is taken when a ground for removal of a member of the policymaking body exists. (c) If the executive head of a state agency has knowledge that a potential ground for removal exists, the executive head shall notify the presiding officer of the state agency's policymaking body of the potential ground. The presiding officer shall then notify the governor and the attorney general that a potential ground for removal exists. If the potential ground for removal involves the presiding officer, the executive head shall notify the next highest ranking officer of the policymaking body, who shall then notify the governor and the attorney general that a potential ground for removal exists. Sec. 325.056. TRAINING FOR MEMBERS OF POLICYMAKING BODIES. (a) A person who is appointed to and qualifies for office as a member of the policymaking body of a state agency may not vote, deliberate, or be counted as a member in attendance at a meeting of the policymaking body until the person completes a training program that complies with this section. (b) The training program must provide the person with information regarding: (1) the law governing the state agency's operations; (2) the programs, functions, rules, and budget of the state agency; (3) the scope of and limitations on the rulemaking authority of the policymaking body; (4) the results of the most recent formal audit of the state agency; (5) the requirements of: (A) laws relating to open meetings, public information, administrative procedure, and disclosure of conflicts of interest; and (B) other laws applicable to members of a state agency policymaking body in performing their duties; and (6) any applicable ethics policies adopted by the state agency or the Texas Ethics Commission. (c) A person appointed to the state agency's policymaking body is entitled to reimbursement, as provided by the General Appropriations Act, for the travel expenses incurred in attending the training program regardless of whether the attendance at the program occurs before or after the person qualifies for office. (d) The executive head of the state agency shall create a training manual that includes the information required by Subsection (b). The executive head shall distribute a copy of the training manual annually to each member of the policymaking body. Each member of the policymaking body shall sign and submit to the executive head a statement acknowledging that the member received and reviewed the training manual. Sec. 325.057. POLICIES TO SEPARATE POLICYMAKING AND STAFF FUNCTIONS. The policymaking body of a state agency shall develop and implement policies that clearly separate the policymaking responsibilities of the policymaking body and the management responsibilities of the executive head and the staff of the state agency. Sec. 325.058. PUBLIC TESTIMONY AT MEETINGS OF POLICYMAKING BODIES. The policymaking body of a state agency shall develop and implement policies that provide the public with a reasonable opportunity to appear before the policymaking body and to speak on any issue under the jurisdiction of the state agency. Sec. 325.059. COMPLAINT INFORMATION REQUIREMENTS. (a) A state agency shall maintain a system to promptly and efficiently act on complaints filed with the state agency. The state agency shall maintain information about parties to and the subject matter of the complaint and a summary of the results of the review or investigation of the complaint and the disposition of the complaint. (b) The state agency shall make information available describing its procedures for complaint investigation and resolution. (c) The state agency shall periodically notify the complaint parties of the status of the complaint until final disposition unless the notice would jeopardize the investigation. SECTION 3. This Act takes effect September 1, 2021.