Texas 2023 - 88th Regular

Texas Senate Bill SB895

Filed
2/14/23  
Out of Senate Committee
3/27/23  
Voted on by Senate
3/30/23  
Out of House Committee
4/28/23  
Voted on by House
5/16/23  
Governor Action
5/29/23  

Caption

Relating to the regulation of money services businesses; creating a criminal offense; creating administrative penalties; authorizing the imposition of a fee.

Impact

The enactment of SB 895 will replace the existing Chapter 151 of the Finance Code with a new Chapter 152, addressing multiple aspects of money services including licensing, reporting requirements, and consumer protections. This transition is intended to consolidate regulations and ensure that businesses comply with updated practices related to money transmission, aimed at reducing the risks of fraud, money laundering, and other financial crimes. By doing so, the bill reinforces consumer protections and aims to enhance industry accountability.

Summary

Senate Bill 895, known as the Money Services Modernization Act, aims to update and streamline the regulation of money services businesses in Texas. Originally enacted in 2005, the laws governing money transmission have become outdated due to significant advancements in the industry. The bill seeks to align Texas law with a standardized set of national standards, thereby providing a clearer regulatory framework for money transmitters operating within the state. This effort is also supported by the Texas Department of Banking, which requires modern regulations to effectively supervise this expanding sector.

Sentiment

The sentiment surrounding SB 895 is largely positive, especially among stakeholders within the financial services community. Proponents argue that the bill will facilitate the growth of money services businesses by providing a more consistent and predictable regulatory environment. In contrast, some concerns were raised about the potential for increased costs related to compliance and the regulatory burden on smaller businesses. Overall, however, there has been a general consensus on the necessity of modernization.

Contention

One notable point of contention during discussions of SB 895 was the inclusion of provisions that will not allow for the creation of a centralized bank digital currency, clarifying that such measures were not within the scope of the bill. Furthermore, while most stakeholders have welcomed the updates, some advocates raised concerns regarding potential administrative fees and how this might affect consumer costs. However, the bill's supporters believe that by streamlining regulations, it will foster a more competitive environment ultimately benefiting consumers.

Companion Bills

TX HB3573

Identical Relating to modernizing the regulation of money services businesses.

Previously Filed As

TX HB3833

Relating to the regulation of money services businesses.

TX SB2130

Relating to the regulation of certain transactions and activities involving the provision of veterinary services; authorizing civil penalties; creating criminal offenses.

TX SB699

Relating to the licensing and regulation of inpatient rehabilitation facilities; imposing fees; providing civil and administrative penalties; creating criminal offenses.

TX HB3310

Relating to the authority of certain counties to adopt noise regulations; creating a criminal offense; authorizing fees.

TX HB270

Relating to disasters, including the regulation of social media platforms, disaster relief organizations, and disaster volunteers; creating criminal offenses; increasing criminal penalties; authorizing a fee.

TX SB2846

Relating to the control of disease in wildlife; creating criminal offenses; authorizing an administrative penalty.

TX HB3979

Relating to the licensing and regulation of naturopathic physicians; requiring an occupational license; authorizing fees; providing penalties; creating a criminal offense.

TX SB1698

Relating to the sale of certain e-cigarettes in this state and a directory of e-cigarette manufacturers and their products; authorizing fees; authorizing administrative and civil penalties; creating a criminal offense.

TX HB3772

Relating to the sale of certain e-cigarettes in this state and a directory of e-cigarette manufacturers and their products; authorizing fees; authorizing administrative and civil penalties; creating a criminal offense.

TX SB2922

Relating to the issuance and regulation of an oil-backed stablecoin; authorizing a fee; authorizing an administrative penalty.

Similar Bills

No similar bills found.