89R27440 MZM-F     By: Zwiener H.B. No. 5182     Substitute the following for H.B. No. 5182:     By:  King C.S.H.B. No. 5182       A BILL TO BE ENTITLED   AN ACT   relating to the provision of legal services for, and to the   collection and deposit of, civil penalties imposed by and other   obligations owed to the Texas Ethics Commission.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 402.0212, Government Code, is amended by   adding Subsection (g) to read as follows:          (g)  This section does not apply to the Texas Ethics   Commission.          SECTION 2.  Subchapter C, Chapter 571, Government Code, is   amended by adding Sections 571.080 and 571.081 to read as follows:          Sec. 571.080.  USE OF APPROPRIATED MONEY TO RETAIN OUTSIDE   COUNSEL. Notwithstanding any other law, the commission:                (1)  may use appropriated money to contract with   outside legal counsel for the purpose of collecting a civil penalty   the commission imposes; and                (2)  is not required to request or obtain approval from   the attorney general before contracting with outside legal counsel   under Subdivision (1).          Sec. 571.081.  DEPOSIT OF CIVIL PENALTIES TO GENERAL REVENUE   FUND. (a) The comptroller shall deposit to the credit of the   general revenue fund the proceeds from a civil penalty collected   for a violation of a law the commission administers and enforces and   that is not paid voluntarily.          (b)  Money the comptroller deposits to the credit of the   general revenue fund under this section may only be appropriated to   the commission for the purpose of collecting civil penalties for a   violation of a law the commission administers and enforces.          SECTION 3.  Section 2107.003, Government Code, is amended by   amending Subsections (a), (d), (e), (g), (h), and (i) and adding   Subsections (k) and (l) to read as follows:          (a)  Except as provided by Subsection (c), [or] (c-1), (k),   or (l), a state agency shall refer an uncollected and delinquent   obligation that meets the referral guidelines established by the   attorney general to the attorney general for further collection   efforts.  The state agency must refer the obligation on or before   the 90th day after the date the obligation becomes past due or   delinquent.          (d)  The agency contracting under Subsection (b), [or] (c),   (k), or (l) is entitled to recover from the obligor, in addition to   the amount of the obligation, reasonable costs incurred in   undertaking the collection, including the costs of a contract under   this section, in an amount not to exceed 30 percent of the total   amount of the obligation.          (e)  A person awarded a contract under Subsection (b), (c),   [or] (c-1), (k), or (l) may not file suit or otherwise pursue   judicial action to collect the obligation owed in a court of this   state or another state on behalf of the contracting state agency.          (g)  The contracting state agency may provide a person   contracting under Subsection (b), (c), [or] (c-1), (k), or (l) any   information, including confidential information, that the agency   is not prohibited from sharing with another state or with the United   States and that is:                (1)  in the custody of the agency owed the obligation;   and                (2)  necessary to the collection of the obligation.          (h)  A person acting under a contract formed under Subsection   (b), (c), [or] (c-1), (k), or (l) and each employee or agent of that   person is subject to all statutory prohibitions against the   wrongful disclosure of confidential information that the   contracting state agency and its employees are subject to.  A   contractor's employee is subject to the same penalties for wrongful   disclosure of confidential information as would apply to the   employees of the contracting agency.          (i)  The contracting agency shall require a person who   contracts under Subsection (b), (c), [or] (c-1), (k), or (l) to   obtain and maintain insurance adequate to provide reasonable   coverage for damages negligently, recklessly, or intentionally   caused by the contractor or the contractor's employee or agent in   the course of collecting an obligation under the contract.          (k)  The Texas Ethics Commission may employ, retain, or   contract with a person other than a full-time state employee to   collect delinquent obligations owed to the commission in the   commission's official capacity. The commission may use money   appropriated to the commission for the purpose of enforcing laws   administered and enforced by the commission to employ, retain, or   contract with a person under this subsection. A person contracted   under this subsection is entitled to a collection fee, as provided   under the contract, in an amount not to exceed 30 percent of the   full amount of the obligation collected.          (l)  The Texas Ethics Commission may contract with one or   more persons to collect delinquent obligations that have been   referred to the attorney general if the attorney general has   returned the matter to the commission after exhausting all   reasonable efforts or has not taken action to collect the   obligation before the sixth month after the date the attorney   general received the referral. A person contracted under this   subsection is entitled to a collection fee equal to 30 percent of   the full amount of the obligation collected.          SECTION 4.  This Act takes effect September 1, 2025.