Bill Text: TX HB3661 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to the collection and publication of information regarding the use of environmental, social, or governance scores by certain financial institutions.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2023-03-16 - Referred to Pensions, Investments & Financial Services [HB3661 Detail]
Download: Texas-2023-HB3661-Introduced.html
| 88R8206 JES-D | ||
| By: Leo-Wilson | H.B. No. 3661 | |
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| relating to the collection and publication of information regarding | ||
| the use of environmental, social, or governance scores by certain | ||
| financial institutions. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subtitle Z, Title 3, Finance Code, is amended by | ||
| adding Chapter 272 to read as follows: | ||
| CHAPTER 272. REPORTING REQUIREMENTS RELATING TO USE OF | ||
| ENVIRONMENTAL, SOCIAL, OR GOVERNANCE SCORES | ||
| Sec. 272.001. DEFINITIONS. In this chapter: | ||
| (1) "Environmental, social, or governance score" | ||
| means a score that is based on measuring a customer's exposure to | ||
| long-term environmental, social, and governance risks. | ||
| (2) "Financial institution" means: | ||
| (A) a bank chartered under state law, including | ||
| Chapter 32; | ||
| (B) a savings and loan association chartered | ||
| under Chapter 62; | ||
| (C) a state savings bank chartered under Chapter | ||
| 92; | ||
| (D) a credit union chartered under Chapter 122; | ||
| or | ||
| (E) a trust company chartered under the laws of | ||
| this state. | ||
| Sec. 272.002. COLLECTION OF INFORMATION FROM FINANCIAL | ||
| INSTITUTIONS REGARDING USE OF ENVIRONMENTAL, SOCIAL, OR GOVERNANCE | ||
| SCORES. (a) A financial institution shall provide nonconfidential | ||
| information regarding the institution's policies for the use of | ||
| environmental, social, or governance scores to the finance | ||
| commission in the form and manner prescribed by the commission, | ||
| including whether an environmental, social, or governance score | ||
| affects the institution's determination of whether to make a loan | ||
| or other extension of credit to a customer. | ||
| (b) A financial institution shall provide updated | ||
| information to the commission under this section if the institution | ||
| substantively changes the institution's policies regarding | ||
| environmental, social, or governance scores. | ||
| Sec. 272.003. TRANSFER TO COMPTROLLER. The finance | ||
| commission shall provide information collected under this chapter | ||
| to the comptroller in the form and manner prescribed by the | ||
| comptroller. | ||
| Sec. 272.004. RULES. The finance commission may adopt | ||
| rules to implement this section. | ||
| SECTION 2. Subchapter B, Chapter 403, Government Code, is | ||
| amended by adding Section 403.0146 to read as follows: | ||
| Sec. 403.0146. PUBLICATION OF INFORMATION REGARDING USE OF | ||
| ENVIRONMENTAL, SOCIAL, OR GOVERNANCE SCORES. (a) In this section, | ||
| "environmental, social, or governance score" and "financial | ||
| institution" have the meanings assigned by Section 272.001, Finance | ||
| Code. | ||
| (b) The comptroller shall publish on the comptroller's | ||
| Internet website information regarding the use of environmental, | ||
| social, or governance scores by financial institutions in this | ||
| state using information collected under Chapter 272, Finance Code. | ||
| The information published must: | ||
| (1) include a list of each financial institution that | ||
| has committed to not using environmental, social, or governance | ||
| scores in lending in this state; and | ||
| (2) be written in language intended to be easily | ||
| understood by consumers. | ||
| SECTION 3. This Act takes effect September 1, 2023. | ||
