HBA-LCA, H.B. 1835 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1835
By: Naishtat
Elections
3/15/1999
Introduced



BACKGROUND AND PURPOSE 

In 1991, the 72nd Legislature passed an ethics reform law to limit the
amount of political contributions statewide candidates may use to repay
personal loans to their campaigns.  Under that law, a candidate is still
able to guarantee a bank loan to his or her campaign without a limit on the
amount of political contributions he or she may use to repay that loan.
H.B. 1835 prohibits statewide or judicial candidates from repaying loans
for which the candidate is personally liable with political contributions
in amounts that exceed current limits.  

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 Section 253.042(b), Election Code, to prohibit a
candidate or officeholder from using political contributions, in amounts
that in the aggregate exceed the amount prescribed by Subsection (a), to
repay a loan or extension of credit for which the candidate or officeholder
is personally liable. 

SECTION 2.  Amends Section 253.162, Election Code, as follows:

(b)  Prohibits a judicial candidate or officeholder from using political
contributions to repay a loan, including an extension of credit or
guarantee of a loan, from a relative.  Prohibits a judicial candidate or
officeholder from using political contributions, in amounts that in the
aggregate exceed the amount prescribed by Subsection (a), to repay any
other loan or extension of credit for which the candidate or officeholder
is personally liable. 

(c)  Prohibits the total amount of reimbursements and repayments from
exceeding the amount prescribed by Subsection (a). 

(d)  Requires a person who is both a candidate and an officeholder to repay
loans from political contributions only in one capacity.  Created from
existing text. 

(e)  Redesignated from existing Subsection (d).

SECTION 3.  Makes application of this Act prospective.

SECTION 4.  Emergency clause.