88R8206 JES-D
By: Leo-Wilson H.B. No. 3661
A BILL TO BE ENTITLED
AN ACT
relating to the collection and publication of information regarding
the use of environmental, social, or governance scores by certain
financial institutions.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle Z, Title 3, Finance Code, is amended by
adding Chapter 272 to read as follows:
CHAPTER 272. REPORTING REQUIREMENTS RELATING TO USE OF
ENVIRONMENTAL, SOCIAL, OR GOVERNANCE SCORES
Sec. 272.001. DEFINITIONS. In this chapter:
(1) "Environmental, social, or governance score"
means a score that is based on measuring a customer's exposure to
long-term environmental, social, and governance risks.
(2) "Financial institution" means:
(A) a bank chartered under state law, including
Chapter 32;
(B) a savings and loan association chartered
under Chapter 62;
(C) a state savings bank chartered under Chapter
92;
(D) a credit union chartered under Chapter 122;
or
(E) a trust company chartered under the laws of
this state.
Sec. 272.002. COLLECTION OF INFORMATION FROM FINANCIAL
INSTITUTIONS REGARDING USE OF ENVIRONMENTAL, SOCIAL, OR GOVERNANCE
SCORES. (a) A financial institution shall provide nonconfidential
information regarding the institution's policies for the use of
environmental, social, or governance scores to the finance
commission in the form and manner prescribed by the commission,
including whether an environmental, social, or governance score
affects the institution's determination of whether to make a loan
or other extension of credit to a customer.
(b) A financial institution shall provide updated
information to the commission under this section if the institution
substantively changes the institution's policies regarding
environmental, social, or governance scores.
Sec. 272.003. TRANSFER TO COMPTROLLER. The finance
commission shall provide information collected under this chapter
to the comptroller in the form and manner prescribed by the
comptroller.
Sec. 272.004. RULES. The finance commission may adopt
rules to implement this section.
SECTION 2. Subchapter B, Chapter 403, Government Code, is
amended by adding Section 403.0146 to read as follows:
Sec. 403.0146. PUBLICATION OF INFORMATION REGARDING USE OF
ENVIRONMENTAL, SOCIAL, OR GOVERNANCE SCORES. (a) In this section,
"environmental, social, or governance score" and "financial
institution" have the meanings assigned by Section 272.001, Finance
Code.
(b) The comptroller shall publish on the comptroller's
Internet website information regarding the use of environmental,
social, or governance scores by financial institutions in this
state using information collected under Chapter 272, Finance Code.
The information published must:
(1) include a list of each financial institution that
has committed to not using environmental, social, or governance
scores in lending in this state; and
(2) be written in language intended to be easily
understood by consumers.
SECTION 3. This Act takes effect September 1, 2023.