84R15515 T
	By: Taylor of Collin	S.B. No. 19

	A BILL TO BE ENTITLED
	AN ACT
	relating to the ethics of public officers and related requirements;
	creating criminal offenses.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	ARTICLE 1. ANTI-CORRUPTION
	SECTION 1.01.  Article 42.01, Code of Criminal Procedure, is
	amended by adding Section 12 to read as follows:
	Sec. 12.  In addition to the information described by
	Section 1, the judgment should reflect affirmative findings entered
	pursuant to Article 42.0199.
	SECTION 1.02.  Chapter 42, Code of Criminal Procedure, is
	amended by adding Article 42.0199 to read as follows:
	Art. 42.0199.  FINDING REGARDING OFFENSE RELATED TO
	PERFORMANCE OF PUBLIC SERVICE. (a) In the trial of an offense
	described by Section 802.004, Government Code, the judge shall make
	an affirmative finding of fact and enter the affirmative finding in
	the judgment in the case if the judge determines that the offense
	committed was related to the defendant's performance of public
	service as a member of a public retirement system.
	(b)  A judge that makes the affirmative finding described by
	this article shall make the determination and enter the order
	required by Section 802.004(k), Government Code.
	SECTION 1.03.  Subchapter A, Chapter 802, Government Code,
	is amended by adding Section 802.004 to read as follows:
	Sec. 802.004.  CERTAIN EMPLOYEES AND ANNUITANTS INELIGIBLE
	FOR RETIREMENT ANNUITY; RESUMPTION OR RESTORATION OF ELIGIBILITY.
	(a) This section applies only to a person who is a member or an
	annuitant of a public retirement system and holds or has held an
	elective office included in the coverage of that public retirement
	system.
	(b)  To the extent ordered by a court under Subsection (k), a
	person is not eligible to receive a full service retirement annuity
	from a public retirement system if the person is finally convicted
	of an offense that is related to the person's performance of public
	service arising from the person's official duties as an elected
	officer while a member of the retirement system and is a felony.
	(c)  To the extent ordered by a court under Subsection (k),
	the public retirement system shall suspend making full annuity
	payments to a person who is not eligible to receive a full service
	retirement annuity under Subsection (b) on receipt by the
	retirement system of notice and terms of the person's conviction.
	(d)  The public retirement system shall resume making full
	annuity payments if the person made ineligible for a full annuity
	under Subsection (b):
	(1)  is subsequently found to be not guilty of the
	offense; or
	(2)  meets the requirements for innocence under Section
	103.001(a)(2), Civil Practice and Remedies Code.
	(e)  The public retirement system as applicable shall:
	(1)  for a person whose full annuity payments are
	resumed under Subsection (d), reimburse the person for any portion
	of the annuity payments withheld during a period of suspension; or
	(2)  restore the full eligibility of a person convicted
	of an offense described by Subsection (b) to receive a service
	retirement annuity, including the restoration of all service
	credits accrued by the person before the conviction, if the person
	satisfies the condition under Subsection (d)(1) or (2).
	(f)  Except as provided by Subsection (g), a person convicted
	of an offense described by Subsection (b) whose eligibility for a
	service retirement annuity is not fully restored under Subsection
	(e)(2) is eligible to accrue service credit toward a service
	retirement annuity from a public retirement system if the person:
	(1)  was placed on community supervision for the
	offense for which the person was convicted and:
	(A)  successfully completed the period of
	community supervision; and
	(B)  received a discharge and dismissal under
	Section 20, Article 42.12, Code of Criminal Procedure; or
	(2)  was sentenced to serve a term of confinement in a
	penal institution for the offense for which the person was
	convicted and completely discharged the person's sentence,
	including any term of confinement and any period of parole or other
	form of conditional release.
	(g)  In determining a person's eligibility for retirement
	benefits under Subsection (f), a public retirement system may
	include only those service credits that were:
	(1)  accrued by the person before the person's
	conviction for an offense described by Subsection (b) and remaining
	after conviction of the offense; or
	(2)  earned after fulfilling the requirements under
	Subsection (f).
	(h)  Except as provided by Subsection (i), a person who is
	not eligible to receive a full service retirement annuity under
	Subsection (b) is entitled to request and receive a refund of the
	person's retirement annuity contributions, not including any
	interest earned on those contributions. A person who accepts a
	refund under this subsection terminates the person's membership in
	the public retirement system.
	(i)  Benefits payable to an alternate payee under Chapter
	804, including a spouse or dependent child, are not affected by a
	person's ineligibility to receive a full service retirement annuity
	under Subsection (b).
	(j)  The governing body of a public retirement system shall
	adopt rules and procedures to implement this section.
	(k)  A court shall:
	(1)  determine and order as applicable for a person
	convicted of an offense described by Subsection (b) the amount by
	which the person's:
	(A)  service retirement annuity payments are to be
	reduced; or
	(B)  accrued service credits are to be reduced;
	and
	(2)  notify the affected public retirement system of
	the terms of a conviction ordered under Subdivision (1).
	ARTICLE 2. TRANSPARENCY AND DISCLOSURE REQUIREMENTS
	SECTION 2.01.  Section 572.023, Government Code, is amended
	by amending Subsection (b) and adding Subsection (e) to read as
	follows:
	(b)  The account of financial activity consists of:
	(1)  a list of all sources of occupational income,
	identified by employer, or if self-employed, by the nature of the
	occupation, including identification of a person or other
	organization from which the individual or a business in which the
	individual has a substantial interest received a fee as a retainer
	for a claim on future services in case of need, as distinguished
	from a fee for services on a matter specified at the time of
	contracting for or receiving the fee, if professional or
	occupational services are not actually performed during the
	reporting period equal to or in excess of the amount of the
	retainer, and the category of the amount of the fee;
	(2)  identification by name and the category of the
	number of shares of stock of any business entity held or acquired,
	and if sold, the category of the amount of net gain or loss realized
	from the sale;
	(3)  a list of all bonds, notes, and other commercial
	paper held or acquired, and if sold, the category of the amount of
	net gain or loss realized from the sale;
	(4)  identification of each source and the category of
	the amount of income in excess of $500 derived from each source from
	interest, dividends, royalties, and rents;
	(5)  identification of each guarantor of a loan and
	identification of each person or financial institution to whom a
	personal note or notes or lease agreement for a total financial
	liability in excess of $1,000 existed at any time during the year
	and the category of the amount of the liability;
	(6)  identification by description of all beneficial
	interests in real property and business entities held or acquired,
	and if sold, the category of the amount of the net gain or loss
	realized from the sale;
	(7)  identification of a person or other organization
	from which the individual or the individual's spouse or dependent
	children received a gift of anything of value in excess of $250 and
	a description of each gift, except:
	(A)  a gift received from an individual related to
	the individual at any time within the second degree by
	consanguinity or affinity, as determined under Subchapter B,
	Chapter 573;
	(B)  a political contribution that was reported as
	required by Chapter 254, Election Code; and
	(C)  an expenditure required to be reported by a
	person required to be registered under Chapter 305;
	(8)  identification of the source and the category of
	the amount of all income received as beneficiary of a trust, other
	than a blind trust that complies with Subsection (c), and
	identification of each trust asset, if known to the beneficiary,
	from which income was received by the beneficiary in excess of $500;
	(9)  identification by description and the category of
	the amount of all assets and liabilities of a corporation, firm,
	partnership, limited partnership, limited liability partnership,
	professional corporation, professional association, joint venture,
	or other business association in which 50 percent or more of the
	outstanding ownership was held, acquired, or sold;
	(10)  a list of all boards of directors of which the
	individual is a member and executive positions that the individual
	holds in corporations, firms, partnerships, limited partnerships,
	limited liability partnerships, professional corporations,
	professional associations, joint ventures, or other business
	associations or proprietorships, stating the name of each
	corporation, firm, partnership, limited partnership, limited
	liability partnership, professional corporation, professional
	association, joint venture, or other business association or
	proprietorship and the position held;
	(11)  identification of any person providing
	transportation, meals, or lodging expenses permitted under Section
	36.07(b), Penal Code, and the amount of those expenses, other than
	expenditures required to be reported under Chapter 305;
	(12)  any corporation, firm, partnership, limited
	partnership, limited liability partnership, professional
	corporation, professional association, joint venture, or other
	business association, excluding a publicly held corporation, in
	which both the individual and a person registered under Chapter 305
	have an interest;
	(13)  identification by name and the category of the
	number of shares of any mutual fund held or acquired, and if sold,
	the category of the amount of net gain or loss realized from the
	sale; [and]
	(14)  identification of each blind trust that complies
	with Subsection (c), including:
	(A)  the category of the fair market value of the
	trust;
	(B)  the date the trust was created;
	(C)  the name and address of the trustee; and
	(D)  a statement signed by the trustee, under
	penalty of perjury, stating that:
	(i)  the trustee has not revealed any
	information to the individual, except information that may be
	disclosed under Subdivision (8); and
	(ii)  to the best of the trustee's knowledge,
	the trust complies with this section; and
	(15)  if the aggregate cost of goods or services sold
	under one or more written contracts described by this subdivision
	exceeds $10,000 in the year covered by the report, identification
	of each written contract, including the name of each party to the
	contract:
	(A)  for the sale of:
	(i)  goods in the amount of $2,500 or more;
	or
	(ii)  services, including professional
	services as defined by Section 2254.002, consulting services as
	defined by Section 2254.021, or legal counsel, in the amount of
	$5,000 or more;
	(B)  to which the individual, the individual's
	spouse, the individual's dependent child, or any business entity of
	which the individual, the individual's spouse, or the individual's
	dependent child has at least a 50 percent ownership interest is a
	party; and
	(C)  with:
	(i)  a governmental entity; or
	(ii)  a person who contracts with a
	governmental entity, to fulfill one or more of the person's
	obligations to the governmental entity under that contract.
	(e)  In this section, "governmental entity" means the state,
	a political subdivision of the state, or an agency or department of
	the state or a political subdivision of the state.
	ARTICLE 3. CONFLICTS OF INTEREST
	SECTION 3.01.  Section 7.103(c), Education Code, is amended
	to read as follows:
	(c)  A person who is required to register as a lobbyist under
	Chapter 305, Government Code, [by virtue of the person's activities
	for compensation in or on behalf of a profession, business, or
	association related to the operation of the board,] may not [serve
	as a member of the board or] act as the general counsel to the board.
	SECTION 3.02.  Section 141.001(a), Election Code, is amended
	to read as follows:
	(a)  To be eligible to be a candidate for, or elected or
	appointed to, a public elective office in this state, a person must:
	(1)  be a United States citizen;
	(2)  be 18 years of age or older on the first day of the
	term to be filled at the election or on the date of appointment, as
	applicable;
	(3)  have not been determined by a final judgment of a
	court exercising probate jurisdiction to be:
	(A)  totally mentally incapacitated; or
	(B)  partially mentally incapacitated without the
	right to vote;
	(4)  have not been finally convicted of a felony from
	which the person has not been pardoned or otherwise released from
	the resulting disabilities;
	(5)  have resided continuously in the state for 12
	months and in the territory from which the office is elected for six
	months immediately preceding the following date:
	(A)  for a candidate whose name is to appear on a
	general primary election ballot, the date of the regular filing
	deadline for a candidate's application for a place on the ballot;
	(B)  for an independent candidate, the date of the
	regular filing deadline for a candidate's application for a place
	on the ballot;
	(C)  for a write-in candidate, the date of the
	election at which the candidate's name is written in;
	(D)  for a party nominee who is nominated by any
	method other than by primary election, the date the nomination is
	made; and
	(E)  for an appointee to an office, the date the
	appointment is made; [and]
	(6)  not be required to be registered as a lobbyist
	under Chapter 305, Government Code; and
	(7)  satisfy any other eligibility requirements
	prescribed by law for the office.
	SECTION 3.03.  Subchapter C, Chapter 572, Government Code,
	is amended by adding Sections 572.062, 572.063, and 572.064 to read
	as follows:
	Sec. 572.062.  FORMER LEGISLATOR: LOBBYING RESTRICTED;
	CRIMINAL OFFENSE. (a) In this section, "administrative action,"
	"communicates directly with," "legislation," "member of the
	executive branch," and "member of the legislative branch" have the
	meanings assigned by Section 305.002.
	(b)  Except as provided by Subsection (c), a former member of
	the legislature may not, before the second anniversary of the date
	the person ceases to be a member, engage in activities that require
	registration under Chapter 305.
	(c)  Subsection (b) does not apply to a former member who
	does not receive compensation other than reimbursement for actual
	expenses for communicating directly with a member of the
	legislative or executive branch to influence legislation or
	administrative action.
	(d)  A former member who violates this section commits an
	offense. An offense under this section is a Class A misdemeanor.
	Sec. 572.063.  CERTAIN REFERRALS FOR LEGAL SERVICES
	PROHIBITED; CRIMINAL OFFENSE. (a) A member of the legislature or
	an executive officer elected in a statewide election who is a member
	of the State Bar of Texas or who is licensed to practice law in
	another state or a United States territory may not make or receive
	any referral for legal services for monetary compensation or any
	other benefit.
	(b)  A person commits an offense if the person violates this
	section. An offense under this section is a Class B misdemeanor.
	Sec. 572.064.  REPRESENTATION BY LEGISLATORS REGARDING
	PUBLIC SECURITIES ISSUANCES PROHIBITED; CRIMINAL OFFENSE. (a) A
	member of the legislature may not for compensation provide bond
	counsel services for an issuer, as defined by Section 1201.002(1),
	including by providing contractual services authorized by Section
	1201.027 to an issuer.
	(b)  A member of the legislature commits an offense if the
	member violates this section. An offense under this subsection is a
	Class A misdemeanor.
	SECTION 3.04.  Chapter 601, Government Code, is amended by
	adding Section 601.011 to read as follows:
	Sec. 601.011.  ELECTED OFFICER MAY NOT BE REGISTERED
	LOBBYIST. (a) A person may not qualify for a public elective
	office if the person is required to be registered as a lobbyist
	under Chapter 305.
	(b)  Subsection (a) does not apply to an office for which the
	federal or state constitution prescribes exclusive qualification
	requirements.
	SECTION 3.05.  Section 1201.027, Government Code, is amended
	by adding Subsection (e) to read as follows:
	(e)  An issuer may not select or contract with a member of the
	legislature to provide legal services necessary in connection with
	the issuer's issuance of public securities.
	ARTICLE 4.  TRANSITIONS; EFFECTIVE DATE
	SECTION 4.01.  Section 12, Article 42.01, Code of Criminal
	Procedure, and Article 42.0199, Code of Criminal Procedure, as
	added by this Act, apply only to a judgment of conviction entered on
	or after the effective date of this Act.
	SECTION 4.02.  Section 802.004, Government Code, as added by
	this Act, applies only to an offense committed on or after the
	effective date of this Act. An offense committed before the
	effective date of this Act is governed by the law in effect on the
	date the offense was committed, and the former law is continued in
	effect for that purpose. For purposes of this section, an offense
	was committed before the effective date of this Act if any element
	of the offense occurred before that date.
	SECTION 4.03.  Section 572.023, Government Code, as amended
	by this Act, applies only to a financial statement filed under
	Subchapter B, Chapter 572, Government Code, as amended by this Act,
	on or after January 1, 2017. A financial statement filed before
	January 1, 2017, is governed by the law in effect on the date of
	filing, and the former law is continued in effect for that purpose.
	SECTION 4.04.  Section 572.062, Government Code, as added by
	this Act, applies only to a member of the legislature who ceases to
	be a member on or after the effective date of this Act.
	SECTION 4.05.  Section 572.063, Government Code, as added by
	this Act, applies only to conduct that occurred on or after the
	effective date of this Act. Conduct that occurred before the
	effective date of this Act is governed by the law in effect on the
	date the conduct occurred, and the former law is continued in effect
	for that purpose.
	SECTION 4.06.  Sections 572.064 and 1201.027(e), Government
	Code, as added by this Act, apply only to services rendered on or
	after the effective date of this Act. Services rendered before the
	effective date of this Act are governed by the law in effect on the
	date the services were rendered, and the former law is continued in
	effect for that purpose.
	SECTION 4.07.  The changes in law made by this Act in
	amending Section 7.103(c), Education Code, and Section 141.001(a),
	Election Code, and in adding Section 601.011, Government Code,
	apply only to the eligibility and qualification requirements for a
	candidate or officer whose term of office will begin on or after the
	effective date of this Act. The eligibility and qualification
	requirements for a candidate or officer whose term of office will
	begin before the effective date of this Act are governed by the law
	in effect immediately before the effective date of this Act, and the
	former law is continued in effect for that purpose.
	SECTION 4.08.  This Act takes effect September 1, 2015.