Relating to the urban scholarship; enforcement and authorizing penalties.
Relating to the urban scholarship; enforcement and authorizing
penalties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 74.3012, Property Code, is amending by
amending Subsections (a) and (b) and adding Subsection (h) to read
as follows:
(a) Notwithstanding and in addition to any other provision
of this chapter or other law, a local exchange company shall [may]
deliver reported money to a scholarship fund for urban students
instead of delivering the money to the comptroller as prescribed by
Section 74.301.
(b) A local exchange company shall [may] deliver the money
under this section only to a scholarship fund established by one or
more local exchange companies in this state to enable needy
students from urban areas to attend college, technical school, or
another postsecondary educational institution.
(c) A local exchange company shall file with the comptroller
a verification of money delivered under this section that complies
with Section 74.302.
(h) A local exchange company is subject to Subchapter H for
failure to comply with this Section.
SECTION 2. Section 74.706, Property Code, is amended to
read as follows:
(a) A penalty equal to five percent of the value of the
property due shall be imposed on a holder who fails to pay or
deliver property within the time prescribed by this chapter. If a
holder fails to pay or deliver property before the 31st day after
the date the property is due, an additional penalty equal to five
percent of the value of the property due shall be imposed.
(b) A penalty equal to ten percent of the property due per day
shall be imposed on a holder who fails to pay or deliver property
under Section 74.3012 within the time prescribed by this Chapter.
(c)[(b)] For purposes of Subsections (a) and (b)
[Subsection (a)], “holder” does not include a local governmental
entity or an officer or employee of a local governmental entity who
is performing the officer’s or employee’s official duties for the
local governmental entity.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.
