HBA-RBT H.B. 756 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 756 By: Hartnett Business & Industry 3/17/1999 Introduced BACKGROUND AND PURPOSE The Texas Non-Profit Corporation Act allows meetings of directors and members to be held by telephone or similar communications equipment if all participants can hear each other. H.B. 756 allows these meetings to be held by means of video conferencing or the Internet. Expanding meeting options will allow nonprofit corporations to save costs by utilizing new technology. Traditional face-to-face meetings will not be replaced, but the need for such meetings will be reduced and emergency meetings can be held at relatively low cost. 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 Article 9.11, Article 1396-9.11, V.T.C.S., (Texas Non-Profit Corporation Act), as follows: Art. 9.11. New title: MEETINGS BY TELEPHONE CONFERENCE OR OTHER REMOTE COMMUNICATION TECHNOLOGY. Deletes "telephone" from existing title. Authorizes meetings by means of an electronic communications system for members of a nonprofit corporation, members of the board of directors of a nonprofit corporation, or members of any committee designated by a board of directors, including videoconferencing technology or the Internet, provided each member entitled to participate consents to the meeting being held by means of that system and the system allows each member to communicate concurrently with each other participant. Creates Paragraph B from existing text. Makes conforming and nonsubstantive changes. SECTION 2. Emergency clause. Effective date: upon passage.