HBA-LCA H.B. 3739 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3739
By: Greenberg
Public Education
4/9/1999
Introduced



BACKGROUND AND PURPOSE 

Current law does not require consultants, advisors, brokers, or other
persons providing services for the permanent school fund to file
expenditure reports.  H.B. 3739 requires the State Board of Education
(board) to adopt a policy requiring the filing of expenditure reports by
such persons, for expenditures of more than $50 made on behalf of a board
member, the commissioner of education, a Texas Education Agency employee,
or a nonprofit corporation providing services under Section 43.006,
Education Code (Investment Management).  This requirement was recommended
by the State Auditor's Office, and is modeled after ethics requirements
currently in place for the Teacher Retirement System. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 43, Education Code, by adding Section 43.0031,
as follows: 

Sec. 43.0031.  PERMANENT SCHOOL FUND ETHICS POLICY.  Requires the State
Board of Education (board), in addition to other requirements provided by
law, to adopt and enforce an ethics policy.  Provides that the policy
requires certain specified persons providing services to the board relating
to the management or investment of the permanent school fund file a regular
report with the board that details any expenditure of more than $50 made on
behalf of a board member, the commissioner of education, an employee of the
Texas Education Agency, or a nonprofit corporation providing services under
Section 43.006, Education Code (Investment Management). 

SECTION 2.  Effective date: September 1, 1999.

SECTION 3.  Emergency clause.