Texas 2023 - 88th Regular

Texas House Bill HB4053 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1	By: Johnson of Dallas (Senate Sponsor - Hughes) H.B. No. 4053
2	2	(In the Senate - Received from the House May 3, 2023;
3	3	May 5, 2023, read first time and referred to Committee on State
4	4	Affairs; May 19, 2023, reported favorably by the following vote:
5	5	Yeas 8, Nays 1; May 19, 2023, sent to printer.)
6	6	Click here to see the committee vote
7	7
8	8
9	9	A BILL TO BE ENTITLED
10	10	AN ACT
11	11	relating to the contents of the personal financial statement filed
12	12	by public officers and candidates.
13	13	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14	14	SECTION 1. Section 572.022(c), Government Code, is amended
15	15	to read as follows:
16	16	(c) The individual filing the statement shall report a
17	17	description of real property by reporting:
18	18	(1) the street address, if available, or the number of
19	19	lots or number of acres, as applicable, in each county, and the name
20	20	of the county, if the street address is not available; and
21	21	(2) the names of all persons retaining an interest in
22	22	the property, excluding:
23	23	(A) an interest that is a severed mineral
24	24	interest; and
25	25	(B) the name of a person with an interest in the
26	26	property that holds a mortgage on the property that is otherwise
27	27	required to be reported in the statement.
28	28	SECTION 2. Section 572.023, Government Code, is amended by
29	29	amending Subsection (b) and adding Subsections (b-1), (h), (i), and
30	30	(j) to read as follows:
31	31	(b) The account of financial activity consists of:
32	32	(1) a list of all sources of occupational income,
33	33	identified by employer, or if self-employed, by the nature of the
34	34	occupation, including identification of a person or other
35	35	organization from which the individual or a business in which the
36	36	individual has a substantial interest received a fee as a retainer
37	37	for a claim on future services in case of need, as distinguished
38	38	from a fee for services on a matter specified at the time of
39	39	contracting for or receiving the fee, if professional or
40	40	occupational services are not actually performed during the
41	41	reporting period equal to or in excess of the amount of the
42	42	retainer[, and the category of the amount of the fee];
43	43	(2) identification by name and the category of the
44	44	value [number] of shares of stock of any business entity held or
45	45	acquired, except as provided by Subsection (j)[, and if sold, the
46	46	category of the amount of net gain or loss realized from the sale];
47	47	(3) a list of all bonds, notes, and other commercial
48	48	paper held or acquired, except as provided by Subsection (j)[, and
49	49	if sold, the category of the amount of net gain or loss realized
50	50	from the sale];
51	51	(4) identification of each source and the category of
52	52	the amount of income in excess of $500 derived from each source from
53	53	interest, dividends, royalties, and rents;
54	54	(5) identification of each guarantor of a loan and
55	55	identification of each person or financial institution to whom a
56	56	personal note or notes or lease agreement for a total financial
57	57	liability in excess of $1,000 existed at any time during the year
58	58	and the category of the amount of the liability;
59	59	(6) identification by description of all beneficial
60	60	interests in real property and business entities held or acquired[,
61	61	and if sold, the category of the amount of the net gain or loss
62	62	realized from the sale];
63	63	(7) identification of a person or other organization
64	64	from which the individual or the individual's spouse or dependent
65	65	children received a gift of anything of value in excess of $250 and
66	66	a description of each gift, except:
67	67	(A) a gift received from an individual related to
68	68	the individual at any time within the second degree by
69	69	consanguinity or affinity, as determined under Subchapter B,
70	70	Chapter 573;
71	71	(B) a political contribution that was reported as
72	72	required by Chapter 254, Election Code; and
73	73	(C) an expenditure required to be reported by a
74	74	person required to be registered under Chapter 305;
75	75	(8) identification of the source and the category of
76	76	the amount of all income received as beneficiary of a trust, other
77	77	than a blind trust that complies with Subsection (c), and
78	78	identification of each trust asset, if known to the beneficiary,
79	79	from which income was received by the beneficiary in excess of $500;
80	80	(9) identification[:
81	81	[(A) by description of a corporation, firm,
82	82	partnership, limited partnership, limited liability partnership,
83	83	professional corporation, professional association, joint venture,
84	84	or other business association in which five percent or more of the
85	85	outstanding ownership was held, acquired, or sold; and
86	86	[(B)] by description and the category of the
87	87	amount of all assets and liabilities of a corporation, firm,
88	88	partnership, limited partnership, limited liability partnership,
89	89	professional corporation, professional association, joint venture,
90	90	or other business association in which 50 percent or more of the
91	91	outstanding ownership was held, acquired, or sold;
92	92	(10) a list of all boards of directors of which the
93	93	individual is a member and from which the individual receives
94	94	compensation and executive positions, only if the executive
95	95	position held is president, vice president, secretary, treasurer,
96	96	or chairman, that the individual holds in corporations, firms,
97	97	partnerships, limited partnerships, limited liability
98	98	partnerships, professional corporations, professional
99	99	associations, joint ventures, or other business associations or
100	100	proprietorships, stating the name of each corporation, firm,
101	101	partnership, limited partnership, limited liability partnership,
102	102	professional corporation, professional association, joint venture,
103	103	or other business association or proprietorship and the position
104	104	held;
105	105	(11) identification of any person providing
106	106	transportation, meals, or lodging expenses permitted under Section
107	107	36.07(b), Penal Code, and the amount of those expenses, other than
108	108	expenditures required to be reported under Chapter 305;
109	109	(12) any corporation, firm, partnership, limited
110	110	partnership, limited liability partnership, professional
111	111	corporation, professional association, joint venture, or other
112	112	business association, excluding a publicly held corporation, in
113	113	which both the individual and a person registered under Chapter 305
114	114	have an interest;
115	115	(13) identification by name and the category of the
116	116	value [number] of shares of any mutual fund held or acquired, except
117	117	as provided by Subsection (j)[, and if sold, the category of the
118	118	amount of net gain or loss realized from the sale];
119	119	(14) identification of each blind trust that complies
120	120	with Subsection (c), including:
121	121	(A) [the category of the fair market value of the
122	122	trust;
123	123	[(B)] the date the trust was created;
124	124	(B) [(C)] the name and address of the trustee;
125	125	and
126	126	(C) [(D)] a statement signed by the trustee,
127	127	under penalty of perjury, stating that:
128	128	(i) the trustee has not revealed any
129	129	information to the individual, except information that may be
130	130	disclosed under Subdivision (8); and
131	131	(ii) to the best of the trustee's knowledge,
132	132	the trust complies with this section;
133	133	(15) if the aggregate cost of goods or services sold
134	134	under one or more written contracts described by this subdivision
135	135	exceeds $10,000 in the year covered by the report, identification
136	136	of each written contract, including the name of each party to the
137	137	contract:
138	138	(A) for the sale of goods or services in the
139	139	amount of $2,500 or more;
140	140	(B) to which the individual, the individual's
141	141	spouse, the individual's dependent child, or any business entity of
142	142	which the individual, the individual's spouse, or the individual's
143	143	dependent child, independently or in conjunction with one or more
144	144	persons described by this subsection, has at least a 50 percent
145	145	ownership interest is a party; and
146	146	(C) with:
147	147	(i) a governmental entity; or
148	148	(ii) a person who contracts with a
149	149	governmental entity, if the individual or entity described by
150	150	Paragraph (B) performs work arising out of the contract,
151	151	subcontract, or agreement between the person and the governmental
152	152	entity for a fee; and
153	153	(16) if the individual is a member of the legislature
154	154	and provides bond counsel services to an issuer, as defined by
155	155	Section 1201.002(1), identification of the following for each
156	156	issuance for which the individual served as bond counsel:
157	157	(A) the amount of the issuance;
158	158	(B) the name of the issuer;
159	159	(C) the date of the issuance;
160	160	(D) the amount of fees paid to the individual,
161	161	and whether the amount is:
162	162	(i) less than $5,000;
163	163	(ii) at least $5,000 but less than $10,000;
164	164	(iii) at least $10,000 but less than
165	165	$25,000; or
166	166	(iv) $25,000 or more; and
167	167	(E) the amount of fees paid to the individual's
168	168	firm, if applicable, and whether the amount is:
169	169	(i) less than $5,000;
170	170	(ii) at least $5,000 but less than $10,000;
171	171	(iii) at least $10,000 but less than
172	172	$25,000; or
173	173	(iv) $25,000 or more.
174	174	(b-1) Notwithstanding Section 572.022 and for the purpose
175	175	of reporting an amount in a financial statement by category under
176	176	Subsection (b), an individual required to file the statement shall
177	177	report whether the amount is:
178	178	(1) less than $25,000; or
179	179	(2) $25,000 or more.
180	180	(h) For purposes of Subsection (b)(9):
181	181	(1) "Asset" means a separate business entity, cash, or
182	182	real and personal property.
183	183	(2) "Liability" means a note, line of credit, lien, or
184	184	corporate lease.
185	185	(i) In prescribing the form and reporting requirements for a
186	186	financial statement filed under this chapter, the commission shall
187	187	ensure redundancies in reporting are reduced by combining, as
188	188	appropriate, reporting categories and limiting the need to report
189	189	information multiple times.
190	190	(j) For purposes of Subsections (b)(2), (3), and (13), an
191	191	individual whose financial activity described by those
192	192	subdivisions is managed by a disinterested third party is not
193	193	required to report that information if the individual submits with
194	194	the financial statement a sworn statement that:
195	195	(1) includes the name and address of the third party;
196	196	and
197	197	(2) is signed by the third party under penalty of
198	198	perjury affirming that the third party manages the relevant assets
199	199	without the individual's input as to holding or acquiring specific
200	200	assets.
201	201	SECTION 3. Section 572.024, Government Code, is amended to
202	202	read as follows:
203	203	Sec. 572.024. INFORMATION ABOUT SERVICES FOR LOBBYISTS OR
204	204	LOBBYIST EMPLOYERS. A state officer who receives a fee for services
205	205	rendered by the officer to or on behalf of a person required to be
206	206	registered under Chapter 305, or to or on behalf of a person or
207	207	entity that the officer actually knows directly compensates or
208	208	reimburses a person required to be registered under Chapter 305,
209	209	shall report on the financial statement:
210	210	(1) the name of each person or entity for which the
211	211	services were rendered; and
212	212	(2) whether the [category of the] amount of each fee
213	213	is:
214	214	(A) less than $25,000; or
215	215	(B) $25,000 or more.
216	216	SECTION 4. Section 572.025, Government Code, is amended to
217	217	read as follows:
218	218	Sec. 572.025. INFORMATION ABOUT LEGISLATORS'
219	219	REPRESENTATION BEFORE EXECUTIVE STATE AGENCIES. A member of the
220	220	legislature who represents another person for compensation before
221	221	an executive state agency shall report on the financial statement:
222	222	(1) the name of the agency;
223	223	(2) the person represented by the member; and
224	224	(3) whether the [category of the] amount of
225	225	compensation received by the member for that representation is:
226	226	(A) less than $25,000; or
227	227	(B) $25,000 or more.
228	228	SECTION 5. Section 572.022(b), Government Code, is
229	229	repealed.
230	230	SECTION 6. The changes in law made by this Act apply only to
231	231	a financial statement filed under Subchapter B, Chapter 572,
232	232	Government Code, on or after the effective date of this Act. A
233	233	financial statement filed before the effective date of this Act is
234	234	governed by the law in effect on the date of filing, and the former
235	235	law is continued in effect for that purpose.
236	236	SECTION 7. This Act takes effect September 1, 2023.
237	237	* * * * *