83R5770 SCL-F
 
  By: Duncan S.B. No. 635
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the distribution of certain civil penalties and civil
  restitution received by the attorney general.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Section 402.007, Government Code,
  is amended to read as follows:
         Sec. 402.007.  PAYMENT TO TREASURY; ALLOCATION OF CERTAIN
  MONEY RECEIVED BY ATTORNEY GENERAL [PENALTIES].
         SECTION 2.  Section 402.007, Government Code, is amended by
  amending Subsections (b) and (c) and adding Subsections (d) and (e)
  to read as follows:
         (b)  Subject to Subsection (d) [(c)], the comptroller shall
  credit to the judicial fund for programs approved by the supreme
  court that provide basic civil legal services to the indigent the
  net amount of:
               (1)  a civil penalty that is recovered in an action by
  the attorney general in any matter actionable under Subchapter E,
  Chapter 17, Business & Commerce Code, after deducting amounts
  allocated to or retained by the attorney general as authorized by
  law, unless:
                     (A) [(1)]  another law requires that the penalty
  be credited to a different fund or account; or
                     (B) [(2)]  the judgment awarding the penalty
  requires that the penalty be paid to another named recipient; or
               (2)  civil restitution recovered by the attorney
  general in an action brought by the attorney general arising from
  conduct that violates a consumer protection, public health, or
  general welfare law, if the court:
                     (A)  determines that, based on the facts and
  circumstances of the case:
                           (i)  it is impossible or impracticable to
  identify injured parties;
                           (ii)  it is impossible or impracticable to
  determine the degree to which each claimant was injured and
  entitled to recover; or
                           (iii)  the cost of administering a claim
  procedure is prohibitive due to a low probability of recovery for
  each claimant; and
                     (B)  enters a judgment or order that the
  restitution be distributed by the attorney general.
         (c)  Notwithstanding Subsection (b)(2), if a court judgment
  or order specifies that restitution is to be distributed in a manner
  other than the manner provided by this section, the attorney
  general shall distribute that restitution in accordance with the
  court judgment or order. The attorney general shall notify the
  Legislative Budget Board and the court when the distribution of
  restitution under a court judgment or order is complete.
         (d)  The total amount credited to the judicial fund for
  programs approved by the supreme court that provide basic civil
  legal services to the indigent under Subsection (b) may not exceed
  $50 [$10] million per state fiscal biennium.
         (e)  The provisions of this section do not diminish the
  common law authority or other statutory authority of the attorney
  general to seek and obtain cy pres distribution from a court.
         SECTION 3.  The change in law made by this Act applies only
  to a civil penalty or civil restitution that is received by the
  attorney general on or after the effective date of this Act.
         SECTION 4.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2013.