HBA-AMW H.B. 578 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 578
By: Solomons
State Affairs
3/1/2001
Introduced



BACKGROUND AND PURPOSE 

The 76th Legislature authorized the Electronic Government Task Force to
create the TexasOnline Internet portal to provide a single point of access
to electronic government services in Texas for citizens and businesses.
Through TexasOnline, Texas citizens have online access to such services as
the Texas Tomorrow Fund and online applications for Texas public
universities.  In addition, residents of certain counties may renew their
vehicle registration.  Many Texas businesses also have online access to
filing and payment of sales taxes, license renewal, and Texas Natural
Resource Conservation Commission event registration.  TexasOnline continues
to work with state and local governments to add services for people and
businesses in Texas.  House Bill 578 creates the Texas Online Commission to
implement the Texas Online Project as a continuation and expansion of the
services provided by the TexasOnline Internet portal.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the Texas Online Commission and the
governing board of the Department of Information Resources in SECTION 1
(Section 2054.263, Government Code) of this bill. 

ANALYSIS

House Bill 578 amends the Government Code to create the Texas Online
Commission as a state agency (Sec. 2054.253).  The bill requires the Texas
Online Commission (commission) to implement a Texas Online Project
(project) that establishes a common electronic system using the Internet
through which state agencies and local governments can electronically:  

 _send documents to members of the public and persons who are regulated by
a state agency or local government;  
 
 _receive applications for licenses and permits and other documents for
filing from members of the public and persons who are regulated by a state
agency or local government that can be electronically signed by the member
of the public or regulated person; and 
 
 _receive required payments from members of the public and persons who are
regulated by a state agency or local government (Sec. 2054.252). 
 
This project is a continuation and expansion of the demonstration project
on electronic transactions between state or local government and members of
the public (SECTION 4). 

The bill establishes the composition of the commission, sets forth the
terms of commission membership, and provides that the member of the
commission representing the Department of Information Resources
(department) is the presiding officer (Secs. 2054.254, 2054.255, and
2054.256).   The bill also requires the officers and other entities
responsible for making appointments to make their initial appointments not
later than October 31, 2001, and requires the governor to designate the
initial terms of all appointees so  that members terms expire on certain
dates.  The bill sets forth provisions regarding the first meeting and
meeting schedule of the commission, reimbursement of expenses, and training
for members of the commission (Secs. 2054.257, 2054.258, 2054.259, and
SECTION 5).   

H.B. 578 sets forth the reporting requirements for and the general powers
and duties of the commission (Sec. 2054.260 and 2054.261).  The bill
establishes provisions requiring the commission to assist and coordinate
with other governmental entities regarding the project and electronic
government initiatives (Sec. 2054.262).   

The bill requires the commission to prepare rules regarding operation of
the project for consideration by the governing board of the department
(board) and authorizes the board to adopt such rules (Sec. 2054.263).  The
bill requires the commission to adopt an icon, symbol, brand, seal, or
other identifying device to represent the project, and authorizes the
commission to request and accept a gift, donation, or grant from any person
(Secs. 2054.264 and 2054.267). 

H.B. 578 requires the department to create a division in the department to
assist the commission in implementing its powers and duties, including
providing personnel to the commission (Sec. 2054.265).  The bill requires
the commission to develop and implement policies that clearly separate the
policymaking responsibilities of the commission and the management
responsibilities of the division (Sec. 2054.266). 

H.B. 578 requires a state agency to consider using the project for agency
services provided on the Internet that require security.   The bill
requires a state agency that chooses to use the project to comply with the
rules adopted by the department.  If a state agency chooses not to use the
project, the bill provides that the agency must provide proof to the
commission that the services used by the agency are at least equivalent to,
and at equal or lower costs than, those services that the project could
provide.  The bill also requires the commission to prescribe the
documentation required.  The bill authorizes a state agency or local
government that uses the project to charge a fee to recover the actual
costs reasonably incurred by the entity because of the project (Sec.
2054.111).  The bill also requires each state agency to review its
requirements for forms, data collection, and notarization when planning to
deliver a service through the Internet, to determine the appropriate level
of authentication (Sec. 2054.112). 

The bill also extends from September 1, 2001, to November 1, 2001, the
abolishment date for the task force assessing the feasibility of certain
electronic transactions between state or local government and members of
the public (Sec. 2054.062). 

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001.