Bill Text: TX HB3682 | 2015-2016 | 84th Legislature | Engrossed

---

Bill Title: Relating to the categorization and resolution of violations of laws enforced by the Texas Ethics Commission.

Sponsorship: Partisan Bill (Republican 1)

Status: (Engrossed - Dead) 2015-05-13 - Referred to State Affairs [HB3682 Detail]

Download: Texas-2015-HB3682-Engrossed.html

---

84R20836 EES-F
By: Geren H.B. No. 3682

A BILL TO BE ENTITLED
AN ACT
relating to the categorization and resolution of violations of laws
enforced by the Texas Ethics Commission.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 571.073, Government Code, is amended to
read as follows:
Sec. 571.073. REPORT. On or before December 31 of each
even-numbered year, the commission shall report to the governor and
legislature. The report must include:
(1) each advisory opinion issued by the commission
under Subchapter D in the preceding two years;
(2) a summary of commission activities in the
preceding two years, including:
(A) the number of sworn complaints filed with the
commission;
(B) the number of sworn complaints dismissed for
noncompliance with statutory form requirements;
(C) the number of sworn complaints dismissed for
lack of jurisdiction;
(D) the number of sworn complaints dismissed
after a finding of no credible evidence of a violation;
(E) the number of sworn complaints dismissed
after a finding of a lack of sufficient evidence to determine
whether a violation within the jurisdiction of the commission has
occurred;
(F) the number of sworn complaints resolved by
the commission through an agreed decision [order];
(G) the number of sworn complaints in which the
commission issued a decision [an order] finding a violation and the
resulting penalties, if any; and
(H) the number and amount of civil penalties
imposed for failure to timely file a statement or report, the number
and amount of those civil penalties fully paid, the number and
amount of those civil penalties partially paid, and the number and
amount of those civil penalties no part of which has been paid, for
each of the following category of statements and reports, listed
separately:
(i) financial statements required to be
filed under Chapter 572;
(ii) political contribution and
expenditure reports required to be filed under Section 254.063,
254.093, 254.123, 254.153, or 254.157, Election Code;
(iii) political contribution and
expenditure reports required to be filed under Section 254.064(b),
254.124(b), or 254.154(b), Election Code;
(iv) political contribution and
expenditure reports required to be filed under Section 254.064(c),
254.124(c), or 254.154(c), Election Code;
(v) political contribution and expenditure
reports required to be filed under Section 254.038 or 254.039,
Election Code; and
(vi) political contribution and
expenditure reports required to be filed under Section 254.0391,
Election Code; and
(3) recommendations for any necessary statutory
changes.
SECTION 2. Section 571.076, Government Code, is amended to
read as follows:
Sec. 571.076. CONTRACT FOR ADMINISTRATION. The commission
may contract with persons to administer and carry out this chapter
and rules, standards, [and] orders, and decisions adopted under
this chapter, excluding any enforcement authority.
SECTION 3. Section 571.1211, Government Code, is amended to
read as follows:
Sec. 571.1211. DEFINITIONS. In this subchapter, "campaign
[:
[(1) "Campaign] communication" and "political
advertising" have the meanings assigned by Section 251.001,
Election Code.
[(2) "Category One violation" means a violation of a
law within jurisdiction of the commission as to which it is
generally not difficult to ascertain whether the violation occurred
or did not occur, including:
[(A) the failure by a person required to file a
statement or report to:
[(i) file the required statement or report
in a manner that complies with applicable requirements; or
[(ii) timely file the required statement or
report;
[(B) a violation of Section 255.001, Election
Code;
[(C) a misrepresentation in political
advertising or a campaign communication relating to the office held
by a person in violation of Section 255.006, Election Code;
[(D) a failure to include in any written
political advertising intended to be seen from a road the
right-of-way notice in violation of Section 255.007, Election Code;
or
[(E) a failure to timely respond to a written
notice under Section 571.123(b).
[(3) "Category Two violation" means a violation of a
law within the jurisdiction of the commission that is not a Category
One violation.]
SECTION 4. Subchapter E, Chapter 571, Government Code, is
amended by adding Section 571.1213 to read as follows:
Sec. 571.1213. CATEGORIZATION OF VIOLATIONS. (a) The
commission staff shall categorize, in ascending order of
seriousness, each violation of law alleged in a sworn complaint or
on a motion of the commission as:
(1) a technical, clerical, or de minimis violation;
(2) an administrative or filing violation; or
(3) a more serious violation.
(b) The commission shall adopt rules defining what
violations of law are included in each category of violation.
SECTION 5. Subchapter E, Chapter 571, Government Code, is
amended by adding Section 571.1214 to read as follows:
Sec. 571.1214. RESOLUTION OF VIOLATIONS. (a) The
commission staff and the commission shall resolve a sworn complaint
or motion in the form corresponding to the most serious category of
violation alleged in the complaint or motion as provided in this
section.
(b) A complaint or motion alleging a technical, clerical, or
de minimis violation must be resolved in a letter of
acknowledgment.
(c) A complaint or motion alleging an administrative or
filing violation must be resolved in a notice of administrative or
filing error.
(d) A complaint or motion alleging a more serious violation
must be resolved in a notice of violation.
SECTION 6. Section 571.124(e), Government Code, is amended
to read as follows:
(e) If the executive director determines that the
commission has jurisdiction, the notice under Section 571.123(b)
must include:
(1) a statement that the commission has jurisdiction
over the violation of law alleged in the complaint;
(2) a statement of whether the complaint will be
processed as a technical, clerical, or de minimis violation, an
administrative or filing violation, or a more serious violation
[Category One violation or a Category Two violation, subject to
reconsideration as provided for by Section 571.1212];
(3) the date by which the respondent is required to
respond to the notice;
(4) a copy of the complaint and the rules of procedure
of the commission;
(5) a statement of the rights of the respondent;
(6) a statement inviting the respondent to provide to
the commission any information relevant to the complaint; and
(7) a statement that a failure to timely respond to the
notice will be treated as a separate violation.
SECTION 7. Sections 571.1242(a), (b), (c), and (d),
Government Code, are amended to read as follows:
(a) If the alleged violation is a technical, clerical, or de
minimis [Category One] violation:
(1) the respondent must respond to the notice required
by Section 571.123(b) not later than the 10th business day after the
date the respondent receives the notice; and
(2) if the matter is not resolved by agreement between
the commission and the respondent before the 30th business day
after the date the respondent receives the notice under Section
571.123(b), the commission shall set the matter for a preliminary
review hearing to be held at the next commission meeting for which
notice has not yet been posted.
(b) If the alleged violation is an administrative or filing
violation or a more serious [a Category Two] violation:
(1) the respondent must respond to the notice required
by Section 571.123(b) not later than the 25th business day after the
date the respondent receives the notice under Section 571.123(b);
and
(2) if the matter is not resolved by agreement between
the commission and the respondent before the 75th business day
after the date the respondent receives the notice under Section
571.123(b), the commission shall set the matter for a preliminary
review hearing to be held at the next commission meeting for which
notice has not yet been posted.
(c) A respondent's failure to timely respond as required by
Subsection (a)(1) or (b)(1) is a [Category One] violation.
(d) The response required by Subsection (a) or (b) must
include any challenge the respondent seeks to raise to the
commission's exercise of jurisdiction. In addition, the respondent
may:
(1) acknowledge the occurrence or commission of a
violation;
(2) deny the allegations contained in the complaint
and provide evidence supporting the denial; or
(3) agree to enter into an assurance of voluntary
compliance or other agreed decision [order], which may include an
agreement to immediately cease and desist.
SECTION 8. Section 571.126(a), Government Code, is amended
to read as follows:
(a) As soon as practicable after the completion of a
preliminary review hearing, the commission by vote shall issue a
decision stating:
(1) whether there is credible evidence for the
commission to determine that a violation within the jurisdiction of
the commission has occurred and whether the violation is a
technical, clerical, or de minimis violation, an administrative or
filing violation, or a more serious violation; or
(2) that there is insufficient evidence for the
commission to determine whether a violation within the jurisdiction
of the commission has occurred.
SECTION 9. Section 571.139(c), Government Code, is amended
to read as follows:
(c) Subchapters C through H, Chapter 2001, apply only to a
formal hearing under this subchapter, the resolution of a formal
hearing, and the appeal of a final decision [order] of the
commission, and only to the extent consistent with this chapter.
SECTION 10. Section 571.140(b), Government Code, is amended
to read as follows:
(b) A notice of administrative or filing error or a notice
of violation [An order] issued by the commission after the
completion of a preliminary review or hearing [determining that a
violation other than a technical or de minimis violation has
occurred] is not confidential. A letter of acknowledgment issued
by the commission after the completion of a preliminary review or
hearing is confidential.
SECTION 11. Section 571.141, Government Code, is amended to
read as follows:
Sec. 571.141. AVAILABILITY OF NOTICES OF ADMINISTRATIVE OR
FILING ERROR AND NOTICES OF VIOLATION [COMMISSION ORDERS] ON
INTERNET. (a) As soon as practicable following a preliminary
review, preliminary review hearing, or formal hearing at which the
commission determines that a person has committed a violation
within the commission's jurisdiction, the commission shall make
available on the Internet:
(1) a copy of the notice of administrative or filing
error or notice of violation issued by the commission [commission's
order stating the determination]; or
(2) a summary of the notice [commission's order].
(b) This section does not apply to a letter of
acknowledgment [determination of a violation that is technical or
de minimis].
SECTION 12. Section 571.142(a), Government Code, is amended
to read as follows:
(a) This section applies only to a sworn complaint if:
(1) the complaint was filed after the 30th day before
the date of an election;
(2) the respondent is a candidate in the election; and
(3) the complaint alleges an administrative or filing
[a] violation or a more serious violation [other than a technical or
clerical violation].
SECTION 13. Section 571.173, Government Code, is amended to
read as follows:
Sec. 571.173. CIVIL PENALTY FOR DELAY OR VIOLATION. The
commission may impose a civil penalty of not more than $5,000 or
triple the amount at issue under a law administered and enforced by
the commission, whichever amount is more, for a delay in complying
with a commission order or decision or for a violation of a law
administered and enforced by the commission.
SECTION 14. Section 571.1212, Government Code, is repealed.
SECTION 15. (a) Not later than December 1, 2015, the Texas
Ethics Commission shall adopt any rules necessary to implement the
changes in law made by this Act.
(b) The changes in law made by this Act apply only to a sworn
complaint filed with the Texas Ethics Commission under Section
571.122, Government Code, or a motion adopted by the commission
under Section 571.124(b), Government Code, on or after December 1,
2015. A sworn complaint filed with the Texas Ethics Commission
under Section 571.122, Government Code, or a motion adopted by the
commission under Section 571.124(b), Government Code, before that
date is governed by the law in effect on the date the complaint is
filed or the motion is adopted, and the former law is continued in
effect for that purpose.
SECTION 16. This Act takes effect September 1, 2015.