TITLE 7. BANKING AND SECURITIES

PART 7. STATE SECURITIES BOARD

CHAPTER 115. SECURITIES DEALERS AND AGENTS

The Texas State Securities Board adopts an amendment to §115.18, Special Provisions Relating to Military Applicants, without changes to the proposed text as published in the November 21, 2025, issue of the Texas Register (50 TexReg 7469). The amended rule will not be republished.

The amendment implements House Bill 5629 and Senate Bill 1818 (89th Legislature, Regular Session (2025)) which amend state law relating to occupational licensing and recognition of out-of-state occupational licenses for military service members, military veterans, and military spouses (collectively, "military applicants"). The changes further expedite and simplify the process for military applicants who seek occupational licenses in Texas.

Several changes are made to §115.18 to align with state law requirements. The section is amended to remove certain refund and waiver conditions imposed on military applicants. The time limits for Agency staff to issue registrations or recognitions for military applicants are reduced. The section's provisions relating to recognition of out-of-state licenses are amended to change the documentation requirements and extend the duration of recognition periods for military service members and spouses. A publishing error is corrected, and other changes are made for clarity and consistency.

Subsection (a) is amended to change the definitions for "current registration" and "good standing" to align with amended Texas Occupations Code §55.0042.

Subsection (b)(2) is amended to require Registration staff to register military applicants who have requested expedited review to be registered within five business days of their request for expedited review.

Previously, military applicants who were new to the industry (i.e., those who have not been previously registered in another state) were not eligible for refunds or waivers of initial registration fees or fees for the Texas securities law examination. Subsection (c), which concerns waivers and refunds of fees, is amended to remove those qualifying conditions set forth in (c)(1)(A) and (B). This change slightly increases the number of military applicants who are eligible for and would benefit from the waivers and refund provisions in this section.

The caption for subsection (h) is amended to re-insert the missing word "of" after the word "Recognition" that was recently removed from the official rule text due to a publishing error. Paragraph (1) of subsection (h) is amended to pluralize the word "procedure" for consistency and clarity.

Paragraph (2) of subsection (h) is amended to add language to extend the duration of the recognition period of a military spouse (which is for as long as the military spouse is located in Texas), and to state the duration of the recognition period of a former military spouse (which is for as long as the former military spouse is located in Texas but only until the third anniversary of the recognition date). The three-year limit on the duration of the recognition period for military service members and spouses residing in Texas in the previous rule is removed. This change extends the duration of the "free" recognition period for eligible military applicants who are recognized under this subsection, which consequently results in the waiver or refund of the applicants' annual renewal fees owed during the duration of this recognition period.

Paragraph (4) of subsection (h) concerning Option 2, is amended to align with amended Occupations Code §55.0041, which removed certain requirements for recognition, including a requirement for Registration staff to verify out-of-state licensure good standing, and replaced them with different requirements, including a new requirement for the applicant to submit a notarized affidavit as to licensure good standing status. As a result of this change to Occupations Code §55.0041, the applicant may incur a small economic cost to obtain the required notarization.

Paragraph (4)(C)(ii) of subsection (h) is amended to reduce the number of days that action must be taken on a request for recognition from 30 days to 10 business days.

Paragraph (4)(D) of subsection (h) is amended to make conforming amendments to the renewal of the recognition status.

Finally, new paragraph (4)(E) of subsection (h) is added for clarity and consistency with subsection (b), which relates to expedited review of applications. The new paragraph clarifies that individuals shall be recognized despite having pending or deficient items and would address how deficiencies are to be treated and resolved.

The rule is consistent with and conforms to the applicable military occupational licensing requirements under state law.

No comments were received regarding adoption of the amendment.

The amendment is adopted under the authority of the Texas Government Code, §4002.151, as adopted by HB 4171, 86th Legislature, 2019 Regular Session, effective January 1, 2022. Section 4002.151 provides the Board with the authority to adopt rules as necessary to implement the provisions of the Texas Securities Act, including rules governing registration statements, applications, notices, and reports; defining terms; classifying securities, persons, and matters within its jurisdiction; and prescribing different requirements for different classes. The amendment is also adopted under Chapter 55 of the Texas Occupations Code, as amended by HB 5629, which requires state agencies that issue licenses to adopt rules for the recognition of out-of-state licenses for military applicants, and as amended by SB 1818, which requires state agencies to promptly issue recognitions and licenses to military applicants.

The adoption affects the following sections of the Texas Securities Act, Texas Government Code Chapter 4004, Subchapters B through F, and §§4006.001, 4006.057, and 4007.105.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on March 6, 2026.

TRD-202601113

Cristi Ramón Ochoa

Deputy Securities Commissioner

State Securities Board

Effective date: March 26, 2026

Proposal publication date: November 21, 2025

For further information, please call: (512) 305-8303

CHAPTER 116. INVESTMENT ADVISERS AND INVESTMENT ADVISER REPRESENTATIVES

The Texas State Securities Board adopts an amendment to §116.18, Special Provisions Relating to Military Applicants, without changes to the proposed text as published in the November 21, 2025, issue of the Texas Register (50 TexReg 7472). The amended rule will not be republished.

The amendment implements House Bill 5629 and Senate Bill 1818 (89th Legislature, Regular Session (2025)) which amend state law relating to occupational licensing and recognition of out-of-state occupational licenses for military service members, military veterans, and military spouses (collectively, "military applicants"). The changes further expedite and simplify the process for military applicants who seek occupational licenses in Texas.

Several changes are made to §116.18 to align with state law requirements. The section is amended to remove certain refund and waiver conditions imposed on military applicants. The time limits for Agency staff to issue registrations or recognitions for military applicants are reduced. The section's provisions relating to recognition of out-of-state licenses are amended to change the documentation requirements and extend the duration of recognition periods for military service members and spouses. Other changes are made for clarity and consistency.

Subsection (a) is amended to change the definitions for "current registration" and "good standing" to align with amended Texas Occupations Code §55.0042.

Subsection (b)(2) is amended to require Registration staff to register military applicants who have requested expedited review to be registered within five business days of their request for expedited review.

Previously, military applicants who were new to the industry (i.e., those who have not been previously registered in another state) were not eligible for refunds or waivers of initial registration fees or fees for the Texas securities law examination. Subsection (c), which concerns waivers and refunds of fees, is amended to remove those qualifying conditions set forth in (c)(1)(A) and (B). This change slightly increases the number of military applicants who are eligible for and would benefit from the waivers and refund provisions in this section.

Paragraph (1) of subsection (h) is amended to pluralize the word "procedure" for consistency and clarity.

Paragraph (2) of subsection (h) is amended to add language to extend the duration of the recognition period of a military spouse (which is for as long as the military spouse is located in Texas), and to state the duration of the recognition period of a former military spouse (which is for as long as the former military spouse is located in Texas but only until the third anniversary of the recognition date). The three-year limit on the duration of the recognition period for military service members and spouses residing in Texas in the previous rule is removed. This change extends the duration of the "free" recognition period for eligible military applicants who are recognized under this subsection, which consequently results in the waiver or refund of the applicants' annual renewal fees owed during the duration of this recognition period.

Paragraph (4) of subsection (h) concerning Option 2, is amended to align with amended Occupations Code §55.0041, which removed certain requirements for recognition, including a requirement for Registration staff to verify out-of-state licensure good standing, and replaced them with different requirements, including a new requirement for the applicant to submit a notarized affidavit as to licensure good standing status. As a result of this change to Occupations Code §55.0041, the applicant may incur a small economic cost to obtain the required notarization.

Paragraph (4)(C)(ii) of subsection (h) is amended to reduce the number of days that action must be taken on a request for recognition from 30 days to 10 business days.

Paragraph (4)(D) of subsection (h) is amended to make conforming amendments to the renewal of the recognition status.

Finally, new paragraph (4)(E) of subsection (h) is added for clarity and consistency with subsection (b), which relates to expedited review of applications. The new paragraph clarifies that individuals shall be recognized despite having pending or deficient items and would address how deficiencies are to be treated and resolved.

The rule is consistent with and conforms to the applicable military occupational licensing requirements under state law.

No comments were received regarding adoption of the amendment.

The amendment is adopted under the authority of the Texas Government Code, §4002.151, as adopted by HB 4171, 86th Legislature, 2019 Regular Session, effective January 1, 2022. Section 4002.151 provides the Board with the authority to adopt rules as necessary to implement the provisions of the Texas Securities Act, including rules governing registration statements, applications, notices, and reports; defining terms; classifying securities, persons, and matters within its jurisdiction; and prescribing different requirements for different classes. The amendment is also adopted under Chapter 55 of the Texas Occupations Code, as amended by HB 5629, which requires state agencies that issue licenses to adopt rules for the recognition of out-of-state licenses for military applicants, and as amended by SB 1818, which requires state agencies to promptly issue recognitions and licenses to military applicants.

The adoption affects the following sections of the Texas Securities Act, Texas Government Code Chapter 4004, Subchapters B through F, and §§4006.001, 4006.057, and 4007.105.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on March 6, 2026.

TRD-202601114

Cristi Ramón Ochoa

Deputy Securities Commissioner

State Securities Board

Effective date: March 26, 2026

Proposal publication date: November 21, 2025

For further information, please call: (512) 305-8303

CHAPTER 133. FORMS

The Texas State Securities Board adopts the repeal of two rules, concerning forms adopted by reference. Specifically, the State Securities Board adopts the repeal of §133.19, a form concerning Waiver or Refund Request by a Military Applicant; and §133.23, a form concerning Request for Recognition of Out-Of-State License or Registration Pursuant to Occupations Code §55.0041, without changes to the proposed text as published in the November 21, 2025, issue of the Texas Register (50 TexReg 7475). The repealed rules will not be republished.

The repealed forms have been replaced with new forms being concurrently adopted to correspond with amendments to §115.18 and §116.18, which have been concurrently adopted to implement House Bill 5629 and Senate Bill 1818 (89th Legislature, Regular Session (2025)) which amended state law relating to occupational licensing and recognition of out-of-state occupational licenses for military service members, military veterans, and military spouses (collectively, "military applicants"). The changes further expedited and simplified the process for military applicants who seek occupational licenses in Texas.

The two existing forms have been eliminated so they can be replaced with two new forms that comply with statutory requirements. Concurrent with this adopted repeal is the adoption of new forms §133.19 and §133.23.

No comments were received regarding adoption of the repeals.

The repeals are adopted under the authority of the Texas Government Code, §4002.151, as adopted by HB 4171, 86th Legislature, 2019 Regular Session, effective January 1, 2022. Section 4002.151 provides the Board with the authority to adopt rules as necessary to implement the provisions of the Texas Securities Act, including rules governing registration statements, applications, notices, and reports; defining terms; classifying securities, persons, and matters within its jurisdiction; and prescribing different requirements for different classes. The repeals are also adopted under Chapter 55 of the Texas Occupations Code, as amended by HB 5629, which requires state agencies that issue licenses to adopt rules for the recognition of out-of-state licenses for military applicants, and as amended by SB 1818, which requires state agencies to promptly issue recognitions and licenses to military applicants.

The repeals affect the following sections of the Texas Securities Act, Texas Government Code Chapter 4004, Subchapters B through F, and §§4006.001, 4006.057, and 4007.105.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on March 6, 2026.

TRD-202601116

Cristi Ramón Ochoa

Deputy Securities Commissioner

State Securities Board

Effective date: March 26, 2026

Proposal publication date: November 21, 2025

For further information, please call: (512) 305-8303

The Texas State Securities Board adopts two new rules, concerning forms adopted by reference, without changes to the proposed text as published in the November 21, 2025, issue of the Texas Register (50 TexReg 7476). Specifically, the Texas State Securities Board adopts new §133.19, which adopts by reference a form concerning Waiver or Refund Request by a Military Applicant; and new §133.23, which adopts by reference a form concerning Request for Recognition of Out-Of-State License or Registration Pursuant to Occupations Code §55.0041. The new rules will not be republished.

The new sections adopt by reference forms that reflect amendments to §115.18 and §116.18, which have been concurrently adopted to implement House Bill 5629 and Senate Bill 1818 (89th Legislature, Regular Session (2025)) which amended state law relating to occupational licensing and recognition of out-of-state occupational licenses for military service members, military veterans, and military spouses (collectively, "military applicants"). The changes further expedite and simplify the process for military applicants who seek occupational licenses in Texas.

New Form 133.19 performs the same function as the existing form, but certain requirements for waiver or refund eligibility are removed to implement the requirements of Occupations Code §55.009 as amended by HB 5629.

New Form 133.23 performs the same function as the existing form but requires the applicant to provide a notarized affidavit as to the applicant's good standing status in another jurisdiction as well as to require military orders, in lieu of providing proof of Texas residency and a military identification card, and, as applicable, a marriage license.

Eligible military applicants can complete the forms adopted by reference to either obtain a waiver or refund or to practice securities business in Texas without being registered. Concurrent with this adoption is the repeal of existing forms §133.19 and §133.23.

No comments were received regarding adoption of the new rules.

The new rules are adopted under the authority of the Texas Government Code, §4002.151, as adopted by HB 4171, 86th Legislature, 2019 Regular Session, effective January 1, 2022. Section 4002.151 provides the Board with the authority to adopt rules as necessary to implement the provisions of the Texas Securities Act, including rules governing registration statements, applications, notices, and reports; defining terms; classifying securities, persons, and matters within its jurisdiction; and prescribing different requirements for different classes. The new rules are also adopted under Chapter 55 of the Texas Occupations Code, as amended by HB 5629, which requires state agencies that issue licenses to adopt rules for the recognition of out-of-state licenses for military applicants, and as amended by SB 1818, which requires state agencies to promptly issue recognitions and licenses to military applicants.

The new rules affect the following sections of the Texas Securities Act, Texas Government Code Chapter 4004, Subchapters B through F, and §§4006.001, 4006.057, and 4007.105.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on March 6, 2026.

TRD-202601115

Cristi Ramón Ochoa

Deputy Securities Commissioner

State Securities Board

Effective date: March 26, 2026

Proposal publication date: November 21, 2025

For further information, please call: (512) 305-8303