Subcommittee on Consumer Credit Laws 
                              Tuesday, April 25, 2000 
           9:30 a.m. or upon adjournment of the Subcommittee on Private  
                             Sector Business Financing 
                                   Senate Chamber 
         Pursuant to a notice posted in accordance with Senate Rule  
         11.18, a public hearing of the Senate Committee on Economic  
         Development, Subcommittee on Consumer Credit Laws, was held on  
         Tuesday, April 25, 2000, in the Senate Chamber at Austin, Texas. 
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator John Carona, Chairman            
         Senator Troy Fraser 
         Senator David Sibley                     
         Chairman Carona called the meeting to order at 10:15 a.m. upon  
         adjournment of the Private Sector Business Financing  
         Subcommittee hearing.  The following business was transacted. 
         The Chairman called the first invited witness, Leslie Pettijohn,  
         Consumer Credit Commissioner, who presented an update of  
         information on the subject of payday lending which she had  
         discussed at the subcommittee's first meeting.  Ms. Pettijohn  
         provided material to the members regarding recommended rules on  
         payday loans under existing usury statutes, and responded to  
         members' questions.  
         Following Ms. Pettijohn's testimony, Chairman Carona called a  
         panel of invited witnesses to testify before the subcommittee on  
         the effect of the federal Financial Services Modernization Act  
         on consumer credit laws in Texas.  The following panelists  
         presented their oral and written testimony and responded to  
         members' questions: 
              Everette Jobe, General Counsel for the Texas Department of  
              Jose Montemayor, Commissioner, Texas Department of  
              Robert Power, Texas Financial Services Association 
              Karen Neeley, Independent Bankers Association of Texas 
         Upon completion of the panelists' testimony, Chairman Carona  
         advised that the final report will be issued by June 1, 2000. 
         There being no further business, at 11:25 a.m. Chairman Carona  
         moved that the subcommittee be adjourned. Without objection, it  
         was so ordered.   
         Senator John Carona, Chairman 
         Barbara Henderson, Clerk