HBA-TBM H.B. 3564 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3564 By: Wise Pensions & Investments 3/25/2001 Introduced BACKGROUND AND PURPOSE Under current Texas law, transactions relating to a life or viatical settlement are governed by provisions of The Securities Act that contradict provisions in the federal Securities Exchange Act of 1934. This contradiction causes increases in litigation costs and court congestion. House Bill 3564 exempts transactions relating to a life or viatical settlement from The Securities Act. 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. ANALYSIS House Bill 3564 amends The Securities Act (Act) to provide that a transaction relating to a life or viatical settlement is exempt from the Act. EFFECTIVE DATE September 1, 2001.