BILL ANALYSIS Senate Research Center S.B. 746 89R4655 KFF-F By: Zaffirini Jurisprudence 3/17/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT During the interim, the Texas Real Estate and Probate Institute made several guardianship recommendations to address issues such as delays in serving citations, conflicts of interest, and procedural inefficiencies that put vulnerable persons at risk. Under current law, sheriffs must serve guardianship citations, causing delays, and persons with adverse interests can still contest guardianships, leading to conflicts. S.B. 746 would allow private process servers to expedite citations, prevent those with adverse interests from participating, clarify the courts' authority to appoint guardians ad litem, and require court approval for changes to financial plans. These reforms would streamline the process, enhance protections for persons under guardianship, and reduce legal complications. As proposed, S.B. 746 amends current law relating to guardianship matters. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 1002.013, Estates Code, to redefine "guardian ad litem." SECTION 2. Amends Section 1051.103, Estates Code, by adding Subsection (a-1) to authorize a private process server, in addition to the method of service prescribed by Subsection (a) (relating to requiring a sheriff or other officer to personally serve citation to appear and answer an application for guardianship on certain persons), to personally serve citation to appear and answer application for temporary guardianship on a proposed ward. SECTION 3. Amends Section 1054.051(a), Estates Code, to authorize the judge to appoint a guardian ad litem to represent the interests of an incapacitated person or proposed ward in a guardianship proceeding. SECTION 4. Amends Section 1054.054(b), Estates Code, to make a conforming change. SECTION 5. Amends Section 1054.056(a), Estates Code, to make a conforming change. SECTION 6. Amends Section 1055.001(b), Estates Code, as follows: (b) Prohibits a person who has an interest that is adverse to a proposed ward or incapacitated person from: (1) filing an application to create a guardianship or for the appointment of a guardian for the proposed ward or incapacitated person; (2) makes no changes to this subdivision; (3)-(4) makes nonsubstantive changes to these subdivisions; or (5) filing a motion or complaint to request the removal of a guardian or contest the request for removal of a guardian. SECTION 7. Amends Subchapter D, Chapter 1151, Estates Code, by adding Section 1151.156, as follows: Sec. 1151.156. DUTY TO PRESERVE WARD'S ESTATE PLAN. (a) Requires the guardian of the estate who on appointment has actual knowledge of the existence of the ward's estate plan to preserve, to the extent reasonably possible, the plan, including probate and nonprobate planning, if preserving the plan is consistent with the ward's best interest based on all relevant factors, including the value and nature of the ward's estate; the ward's foreseeable obligations and need for maintenance; minimization of income, estate, inheritance, or other taxes payable out of the ward's estate; and eligibility for resources reasonably available to the ward, including government benefits available under state or federal law. (b) Requires the guardian of the estate to obtain court approval before: (1) changing or canceling the ward's beneficiary designation under an account, contract, or another arrangement that authorizes designation of a beneficiary in existence when the guardian was appointed, including an insurance or annuity contract, a qualified or nonqualified retirement plan, and an employment agreement, such as a deferred compensation agreement; (2) changing or canceling the designated payee under the ward's payable or transfer on death account in existence when the guardian was appointed; or (3) closing an account described by Subdivision (1) or (2). (c) Authorizes the guardian of the estate to request the court's permission to restore the designated beneficiary described by Subsection (b)(1) or designated payee described by Subsection (b)(2) if the beneficiary or payee, as applicable, was canceled or required to be canceled due to closure of the ward's account. Authorizes the court, on receipt of the request, to grant to the guardian's request and grant the guardian authority to execute the beneficiary designation form or payable or transfer on death form required by the financial institution or other entity. SECTION 8. Amends Section 1163.051, Estates Code, by adding Subsections (d) and (e), as follows: (d) Requires the court, if the court approves the annual account, to enter an order to that effect. (e) Requires the court, if the court does not approve the annual account, to enter an order to that effect and require the guardian of the estate to file another annual account within a period prescribed by the order, which may not be later than the 20th day after the date the order is entered. SECTION 9. Amends Section 1163.104, Estates Code, by amending Subsection (a) and adding Subsection (a-1), as follows: (a) Requires the court, if the judge is satisfied that the facts stated in the annual report filed by a guardian of a person are true, to approve the report and enter an order to that effect. (a-1) Requires the court, if the court does not approve the annual report, to enter an order to that effect and require the guardian of the person to file another annual report within a period prescribed by the order, which is prohibited from being later than the 20th day after the date the order is entered. SECTION 10. Makes application of Sections 1051.103 (Service of Citation for Application for Guardianship), 1054.051 (Appointment of Guardian Ad Litem in Guardianship Proceeding), 1054.054 (Duties), 1054.056 (Immunity), 1055.001 (Standing to Commence or Contest Proceeding), 1163.051 (Filing and Consideration of Annual Account), and 1163.104 (Approval of Report), Estates Code, as amended by this Act, prospective. SECTION 11. Makes application of Section 1151.156, Estates Code, as added by this Act, prospective. SECTION 12. Effective date: September 1, 2025.
BILL ANALYSIS
Senate Research Center S.B. 746
89R4655 KFF-F By: Zaffirini
Jurisprudence
3/17/2025
As Filed
Senate Research Center
S.B. 746
89R4655 KFF-F
By: Zaffirini
Jurisprudence
3/17/2025
As Filed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
During the interim, the Texas Real Estate and Probate Institute made several guardianship recommendations to address issues such as delays in serving citations, conflicts of interest, and procedural inefficiencies that put vulnerable persons at risk. Under current law, sheriffs must serve guardianship citations, causing delays, and persons with adverse interests can still contest guardianships, leading to conflicts. S.B. 746 would allow private process servers to expedite citations, prevent those with adverse interests from participating, clarify the courts' authority to appoint guardians ad litem, and require court approval for changes to financial plans. These reforms would streamline the process, enhance protections for persons under guardianship, and reduce legal complications.
As proposed, S.B. 746 amends current law relating to guardianship matters.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 1002.013, Estates Code, to redefine "guardian ad litem."
SECTION 2. Amends Section 1051.103, Estates Code, by adding Subsection (a-1) to authorize a private process server, in addition to the method of service prescribed by Subsection (a) (relating to requiring a sheriff or other officer to personally serve citation to appear and answer an application for guardianship on certain persons), to personally serve citation to appear and answer application for temporary guardianship on a proposed ward.
SECTION 3. Amends Section 1054.051(a), Estates Code, to authorize the judge to appoint a guardian ad litem to represent the interests of an incapacitated person or proposed ward in a guardianship proceeding.
SECTION 4. Amends Section 1054.054(b), Estates Code, to make a conforming change.
SECTION 5. Amends Section 1054.056(a), Estates Code, to make a conforming change.
SECTION 6. Amends Section 1055.001(b), Estates Code, as follows:
(b) Prohibits a person who has an interest that is adverse to a proposed ward or incapacitated person from:
(1) filing an application to create a guardianship or for the appointment of a guardian for the proposed ward or incapacitated person;
(2) makes no changes to this subdivision;
(3)-(4) makes nonsubstantive changes to these subdivisions; or
(5) filing a motion or complaint to request the removal of a guardian or contest the request for removal of a guardian.
SECTION 7. Amends Subchapter D, Chapter 1151, Estates Code, by adding Section 1151.156, as follows:
Sec. 1151.156. DUTY TO PRESERVE WARD'S ESTATE PLAN. (a) Requires the guardian of the estate who on appointment has actual knowledge of the existence of the ward's estate plan to preserve, to the extent reasonably possible, the plan, including probate and nonprobate planning, if preserving the plan is consistent with the ward's best interest based on all relevant factors, including the value and nature of the ward's estate; the ward's foreseeable obligations and need for maintenance; minimization of income, estate, inheritance, or other taxes payable out of the ward's estate; and eligibility for resources reasonably available to the ward, including government benefits available under state or federal law.
(b) Requires the guardian of the estate to obtain court approval before:
(1) changing or canceling the ward's beneficiary designation under an account, contract, or another arrangement that authorizes designation of a beneficiary in existence when the guardian was appointed, including an insurance or annuity contract, a qualified or nonqualified retirement plan, and an employment agreement, such as a deferred compensation agreement;
(2) changing or canceling the designated payee under the ward's payable or transfer on death account in existence when the guardian was appointed; or
(3) closing an account described by Subdivision (1) or (2).
(c) Authorizes the guardian of the estate to request the court's permission to restore the designated beneficiary described by Subsection (b)(1) or designated payee described by Subsection (b)(2) if the beneficiary or payee, as applicable, was canceled or required to be canceled due to closure of the ward's account. Authorizes the court, on receipt of the request, to grant to the guardian's request and grant the guardian authority to execute the beneficiary designation form or payable or transfer on death form required by the financial institution or other entity.
SECTION 8. Amends Section 1163.051, Estates Code, by adding Subsections (d) and (e), as follows:
(d) Requires the court, if the court approves the annual account, to enter an order to that effect.
(e) Requires the court, if the court does not approve the annual account, to enter an order to that effect and require the guardian of the estate to file another annual account within a period prescribed by the order, which may not be later than the 20th day after the date the order is entered.
SECTION 9. Amends Section 1163.104, Estates Code, by amending Subsection (a) and adding Subsection (a-1), as follows:
(a) Requires the court, if the judge is satisfied that the facts stated in the annual report filed by a guardian of a person are true, to approve the report and enter an order to that effect.
(a-1) Requires the court, if the court does not approve the annual report, to enter an order to that effect and require the guardian of the person to file another annual report within a period prescribed by the order, which is prohibited from being later than the 20th day after the date the order is entered.
SECTION 10. Makes application of Sections 1051.103 (Service of Citation for Application for Guardianship), 1054.051 (Appointment of Guardian Ad Litem in Guardianship Proceeding), 1054.054 (Duties), 1054.056 (Immunity), 1055.001 (Standing to Commence or Contest Proceeding), 1163.051 (Filing and Consideration of Annual Account), and 1163.104 (Approval of Report), Estates Code, as amended by this Act, prospective.
SECTION 11. Makes application of Section 1151.156, Estates Code, as added by this Act, prospective.
SECTION 12. Effective date: September 1, 2025.