TITLE 1. ADMINISTRATION
PART 2. TEXAS ETHICS COMMISSION
CHAPTER 22. RESTRICTIONS ON CONTRIBUTIONS AND EXPENDITURES
1 TAC §§22.1, 22.7, 22.9, 22.17, 22.19, 22.23, 22.29, 22.37The Texas Ethics Commission (the TEC) proposes amendments to Texas Ethics Commission Rules in Chapter 22 (relating to Restrictions on Contributions and Expenditures). Specifically, the TEC proposes amendments to §22.1 regarding Certain Campaign Treasurer Appointments Required Before Political Activity Begins, §22.7 regarding Contribution from out-of-State Committee, §22.9 regarding Cash Contributions Exceeding $100 Prohibited, §22.17 regarding Prohibition on Personal Use of Political Contributions, §22.19 regarding General Restrictions on Reimbursement of Personal Funds, §22.23 regarding Restrictions on Certain Payments, §22.29 regarding Activity After Death or Incapacity of Candidate or Officeholder, and §22.37 regarding Virtual Currency Contributions.
This proposal, along with the contemporaneous proposal of the repeal of certain other rules in Chapter 22, amends the rules regarding restrictions on contributions and expenditures.
State law requires state agencies to "review and consider for readoption each of its rules … not later than the fourth anniversary of the date on which the rule takes effect and every four years after that date." Tex. Gov't Code §2001.039. The law further requires agencies to "readopt, readopt with amendments, or repeal a rule as the result of reviewing the rule under this section." Id.
The TEC is continuing its comprehensive review with a review of the TEC's rules regarding restrictions on contributions and expenditures, which are codified in Chapter 22. The repeal of some rules and adoption of amendments to other rules seek to shorten, simplify, and reorganize the rules to eliminate surplusage and improve clarity on these restrictions.
Amanda Arriaga, General Counsel, has determined that for the first five-year period the proposed amended rules are in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the proposed amended rules.
The General Counsel has also determined that for each year of the first five years the proposed amended rules are in effect, the public benefit will be consistency and clarity in the Commission's rules regarding sworn complaint procedures. There will not be an effect on small businesses, microbusinesses or rural communities. There is no anticipated economic cost to persons who are required to comply with the proposed amended rules.
The General Counsel has determined that during the first five years that the proposed amended rules are in effect, they will not: create or eliminate a government program; require the creation of new employee positions or the elimination of existing employee positions; require an increase in future legislative appropriations to the agency; require an increase or decrease in fees paid to the agency; expand, limit, or repeal an existing regulation; create a new regulation; increase or decrease the number of individuals subject to the rules' applicability; or positively or adversely affect this state's economy.
The Commission invites comments on the proposed amended rules from any member of the public. A written statement should be emailed to public_comment@ethics.state.tx.us, or mailed or delivered to James Tinley, Executive Director, Texas Ethics Commission, P.O. Box 12070, Austin, Texas 78711-2070. A person who wants to offer spoken comments to the Commission concerning the proposed amended rules may do so at any Commission meeting during the agenda item relating to the proposed amended rules. Information concerning the date, time, and location of Commission meetings is available by telephoning (512) 463-5800 or on the Commission's website at www.ethics.state.tx.us.
The amended rules are proposed under Texas Government Code §571.062, which authorizes the Commission to adopt rules to administer Title 15 of the Election Code and Chapter 571 of the Government Code.
The proposed amended rules affect Title 15 of the Election Code.
§22.1.
[(a)]
A candidate or officeholder [An individual] must file a campaign treasurer appointment with the proper authority upon becoming a candidate before accepting a campaign contribution or making or authorizing a campaign expenditure.
[(1) An officeholder may accept an officeholder contribution and make or authorize an officeholder expenditure without a campaign treasurer appointment on file.]
[(2) An officeholder who does not have a campaign treasurer appointment on file may not accept a campaign contribution or make or authorize a campaign expenditure.]
[(b) A political committee may not accept political contributions exceeding the amount specified for making political contributions or making or authorizing political expenditures in Tex. Elec. Code §253.031(b), as amended by Figure 1 in 1 TAC §18.31 without filing a campaign treasurer appointment with the appropriate filing authority.]
[(c) Unless the committee's campaign treasurer appointment was filed not later than the 30th day before the appropriate election day, a political committee may not knowingly make or authorize campaign contributions or campaign expenditures exceeding the amount specified in Tex. Elec. Code §253.031(b), as amended by Figure 1 in 1 TAC §18.31 to support or oppose a candidate in a primary or general election for the following:]
[(1) a statewide office;]
[(2) a seat in the state legislature;]
[(3) a seat on the State Board of Education;]
[(4) a multi-county district office; or]
[(5) a judicial district office filled by voters of only one county.]
[(d) This section does not apply to the county executive committee of a political party except as provided in Chapter 20, Subchapter I of this title (relating to Rules Applicable to a Political Party's County Executive Committee).]
§22.7.
[(a) For each reporting period during which a candidate, officeholder, or political committee accepts a contribution or contributions from an out-of-state political committee totaling more than the amount specified in Tex. Elec. Code §253.032(a), as amended by Figure 1 in 1 TAC §18.31, the candidate, officeholder, or political committee must comply with subsections (b) and (c) of this section.]
[(b) The candidate, officeholder, or political committee covered by subsection (a) of this section must first obtain from the out-of-state committee one of the following documents before accepting the contribution that causes the total received from the out-of-state committee to exceed the amount specified in Tex. Elec. Code §253.032(a), as amended by Figure 1 in 1 TAC §18.31 during the reporting period:]
[(1) a written statement, certified by an officer of the out-of-state political committee, listing the full name and address of each person who contributed more than the amount specified in Tex. Elec. Code §253.032(a)(1), as amended by Figure 1 in 1 TAC §18.31 to the out-of-state political committee during the 12 months immediately preceding the date of the contribution; or]
[(2) a copy of the out-of-state political committee's statement of organization filed as required by law with the Federal Election Commission and certified by an officer of the out-of-state committee.]
[(c) The document obtained pursuant to subsection (b) of this section shall be included as part of the report that covers the reporting period in which the candidate, officeholder, or political committee accepted the contribution that caused the total accepted from the out-of-state committee to exceed the amount specified in Tex. Elec. Code §253.032(e), as amended by Figure 1 in 1 TAC §18.31.]
(a) [(d)] A candidate, officeholder, or political committee that:
(1)
receives contributions covered by §253.032(a) of the Election Code [subsection (a) of this section] from the same out-of-state committee in successive reporting periods; and
(2)
complies with §253.032(a)(2) of the Election Code [subsection (b)(2) of this section] before accepting the first contribution triggering §253.032(a) [triggering subsection (a) of this section], may comply with §253.032(e) [subsection (c) of this section] in successive reporting periods by submitting a copy of the certified document obtained before accepting the first contribution triggering §253.032(a), [subsection (a) of this section,] rather than by obtaining and submitting an original certified document for each reporting period, provided the document has not been amended since the last submission.
(b) [(e)] A candidate, officeholder, or political committee that accepts a contribution or contributions totaling the amount specified in Tex. Elec. Code §253.032(e), as amended by Figure 1 in 1 TAC §18.31 or less from an out-of-state political committee shall include as part of the report covering the reporting period in which the contribution or contributions are accepted either:
(1) a copy of the out-of-state committee's statement of organization filed as required by law with the Federal Election Commission and certified by an officer of the out-of-state committee; or
(2) the following information:
(A) the full name of the committee, and, if the name is an acronym, the words the acronym represents;
(B) the address of the committee;
(C) the telephone number of the committee;
(D) the name of the person appointing the campaign treasurer; and
(E) the following information for the individual appointed campaign treasurer and assistant campaign treasurer:
(i) the individual's full name;
(ii) the individual's residence or business street address; and
(iii) the individual's telephone number.
[(f) This section does not apply to a contribution from an out-of-state political committee if the committee filed a campaign treasurer appointment with the commission before making the contribution.]
§22.9.
[(a)]
For the purposes of §253.033 of the Election Code, "cash" is defined as paper currency and coinage. [A candidate, officeholder, or specific-purpose committee may not knowingly accept political contributions in cash that in the aggregate exceed $100 from a contributor in a reporting period.]
[(b) Checks are not considered cash for purposes of this section.]
§22.17.
[(a) A person who accepts a political contribution as a candidate or officeholder may not convert the contribution to personal use. This subsection applies only to political contributions accepted on or after September 1, 1983.]
[(b) A specific-purpose committee that accepts a political contribution may not convert the contribution to the personal use of a candidate, officeholder, or former candidate or officeholder. This prohibition applies only to political contributions accepted on or after September 1, 1987.]
[(c) The prohibitions set out in subsections (a) and (b) of this section apply to the use of an asset purchased with political contributions and to the use of any interest or other income earned on political contributions.]
[(d) "Personal use" means a use that primarily furthers individual or family purposes not connected with the performance of duties or activities as a candidate for or holder of a public office. In addition to the exceptions listed in §253.035(d) of the Election Code, it does not include:]
[(1) payments made to defray ordinary and necessary expenses incurred in connection with activities as a candidate or in connection with the performance of duties or activities as a public officeholder, including payment of rent, utility, and other reasonable housing or household expenses incurred in maintaining a residence in Travis County by members of the legislature who do not normally reside in Travis County, but excluding payments prohibited pursuant to §22.15 of this title (relating to Prohibition on Payments Made to Purchase Real Property);]
[(2) payments of federal income taxes due on interest and other income earned on political contributions;]
[(3) use of contributions for defending a criminal action or prosecuting or defending a civil action brought by or against the individual in his or her status as a candidate or officeholder;]
[(4) use of contributions for participating in an election contest or participating in a civil action to determine an individual's eligibility to be a candidate for, or elected or appointed to, a public office in this state;]
[(5) an expenditure for a purpose listed in §20.289 of this title (relating to Disposition of Unexpended Contributions);]
[(6) payment of travel expenses of a candidate's spouse or any other person if the spouse or other person is campaigning for candidate; or]
[(7) payment of travel expenses of an officeholder's spouse or any other person if the other person's travel is in connection with the performance of duties or activities as a public officeholder.]
[(e)]
An asset purchased with political contributions is not converted to personal use if the political contributions are fully reimbursed during the reporting period in which the use occurred in an amount that reasonably reflects the fair market value of the use.
§22.19.
(a) If a candidate makes political expenditures from the candidate's personal funds, he or she may reimburse those personal funds from political contributions only if the expenditure is reported and the candidate states his or her intent to reimburse personal funds consistent with title 15 and this chapter.
(b) If an officeholder who does not have a campaign treasurer appointment on file makes political expenditures from the officeholder's personal funds, he or she may reimburse those personal funds from political contributions only if the expenditure is reported and the officeholder states his or her intent to reimburse personal funds consistent with title 15 and this chapter.
(c) A candidate or officeholder may reimburse personal funds from political contributions for the use of personal assets for political purposes provided that the reimbursement is reported as a political expenditure.
(d) A candidate or officeholder who makes political expenditures from his or her personal funds may reimburse those personal funds from political contributions only if:
(1) the expenditures were fully reported as political expenditures on the report covering the period during which the expenditures were made; and
(2) the report disclosing the expenditures indicates that the expenditures were made from the candidate's or officeholder's personal funds and are subject to reimbursement.
(e) A candidate's or officeholder's failure to comply with subsection (d) of this section may not be cured by filing a corrected report after the report deadline has passed.
(f) A candidate or officeholder who has complied with subsection (d) of this section and whose personal funds have been reimbursed from political contributions must report the amount of the reimbursement as a political expenditure in the report covering the period during which the reimbursement was made.
[(g) Section 22.21 of this title (relating to Additional Restrictions on Reimbursement of Personal Funds and Payments on Certain Loans) sets limits on the amount of political expenditures from personal funds that a statewide officeholder may reimburse from political contributions.]
§22.23.
[(a) A candidate or officeholder, or a specific-purpose committee for supporting, opposing, or assisting the candidate or officeholder, may not knowingly make or authorize a payment from a political contribution if the payment is made for personal services rendered by the candidate or officeholder or by the spouse or dependent child of the candidate or officeholder to:]
[(1) a business in which the candidate or officeholder has a participating interest of more than 10%, holds a position on the governing body of the business, or serves as an officer of the business; or]
[(2) the candidate or officeholder or the spouse or dependent child of the candidate or officeholder.]
(a) [(b)] A payment made from a political contribution to a business described by §253.038 of the Election Code [subsection (a) of this section] that is not prohibited by that section [subsection] may not exceed the amount necessary to reimburse the business for actual expenditures made by the business.
(b) [(c)] A discount given by a corporation to conform with subsection (a) [(b)] of this section does not constitute a political contribution from the corporation.
§22.29.
[(a)]
The legal representative of a candidate or officeholder who has died or become incapacitated may accept political contributions and make or authorize expenditures only for the following purposes:
(1) payment of debts or expenses in connection with a campaign or in connection with officeholder duties and activities;
(2) payments to the political party with which the person was affiliated when the person's name last appeared on a ballot;
(3) political contributions to a candidate or political committee;
(4) donations to the Comptroller of Public Accounts for deposit in the state treasury;
(5) refunds of contributions to one or more persons from whom political contributions were received, not to exceed the total amount contributed by each person within the last two years;
(6) donations to a charity recognized by the Internal Revenue Service as tax-exempt;
(7) donations to a public or private post-secondary educational institution or an institution of higher education as defined by the Education Code, §61.003(8) (concerning Definitions), solely for the purpose of assisting or creating a scholarship program; or
(8) payment of federal income taxes due on interest and other income earned on political contributions.
[(b) See §20.67 of this title (relating to Reporting after the Death or Incapacity of a Filer) in regard to reporting requirements after the death or incapacity of a candidate or officeholder.]
§22.37.
(a) Virtual currency contributions are considered "in-kind" contributions.
(b)
A candidate, officeholder, or political committee must report a gain from the sale of virtual currency contributions on the appropriate schedule if the gain exceeds the reporting threshold set by § [Section] 254.031(9) of the Election Code and amended by § [section]18.31 of this title (relating to Adjustments to Reporting Thresholds).
(c) The value of a virtual currency contribution shall be reported as the fair market value of the virtual currency upon receipt.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 10, 2025.
TRD-202503673
Amanda Arriaga
General Counsel
Texas Ethics Commission
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 463-5800
1 TAC §§22.3, 22.6, 22.11, 22.21, 22.27
The Texas Ethics Commission (the TEC) proposes the repeal of certain Texas Ethics Commission Rules in Chapter 22 (relating to Restrictions on Contributions and Expenditures), including §22.3 regarding Disclosure of True Source of Contribution or Expenditure, §22.6 regarding Reporting Direct Campaign Expenditures, §22.11 regarding Prohibition on Contributions during Regular Session, §22.21 regarding Additional Restrictions on Reimbursement of Personal Funds and Payments on Certain Loans, and §22.27 regarding Time Limit on Retaining Unexpended Contributions.
This proposal, along with the contemporaneous proposal of amendments of certain other rules in Chapter 22, amends the rules regarding restrictions on contributions and expenditures.
State law requires state agencies to "review and consider for readoption each of its rules … not later than the fourth anniversary of the date on which the rule takes effect and every four years after that date." Tex. Gov't Code §2001.039. The law further requires agencies to "readopt, readopt with amendments, or repeal a rule as the result of reviewing the rule under this section." Id.
The TEC is continuing its comprehensive review with a review of the TEC's rules regarding restrictions on contributions and expenditures, which are codified in Chapter 22. The repeal of some rules and adoption of amendments to other rules seek to shorten, simplify, and reorganize the rules to eliminate surplusage and improve clarity on these restrictions.
Amanda Arriaga, General Counsel, has determined that for the first five-year period the proposed repealed rules are in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the proposed repealed rules.
The General Counsel has also determined that for each year of the first five years the proposed repealed rules are in effect, the public benefit will be consistency and clarity in the Commission's rules regarding restrictions on contributions and expenditures. There will not be an effect on small businesses, microbusinesses or rural communities. There is no anticipated economic cost to persons who are required to comply with the proposed repealed rules.
The General Counsel has determined that during the first five years that the proposed repealed rules are in effect, they will not: create or eliminate a government program; require the creation of new employee positions or the elimination of existing employee positions; require an increase in future legislative appropriations to the agency; require an increase or decrease in fees paid to the agency; expand, limit, or repeal an existing regulation; create a new regulation; increase or decrease the number of individuals subject to the rules' applicability; or positively or adversely affect this state's economy.
The Commission invites comments on the proposed repealed rules from any member of the public. A written statement should be emailed to public_comment@ethics.state.tx.us, or mailed or delivered to James Tinley, Executive Director, Texas Ethics Commission, P.O. Box 12070, Austin, Texas 78711-2070. A person who wants to offer spoken comments to the Commission concerning the proposed repealed rules may do so at any Commission meeting during the agenda item relating to the proposed repealed rules. Information concerning the date, time, and location of Commission meetings is available by telephoning (512) 463-5800 or on the Commission's website at www.ethics.state.tx.us.
The repealed rules are proposed under Texas Government Code §571.062, which authorizes the Commission to adopt rules to administer Title 15 of the Election Code and Chapter 571 of the Government Code.
The proposed repealed rules affect Title 15 of the Election Code.
§22.3.
§22.6.
§22.11.
§22.21.
§22.27.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 10, 2025.
TRD-202503674
Amanda Arriaga
General Counsel
Texas Ethics Commission
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 463-5800
CHAPTER 24. RESTRICTIONS ON CONTRIBUTIONS AND EXPENDITURES APPLICABLE TO CORPORATIONS AND LABOR ORGANIZATIONS
1 TAC §24.1, §24.17The Texas Ethics Commission (the TEC) proposes amendments to Texas Ethics Commission Rules in Chapter 24 (relating to Restrictions on Contributions and Expenditures Applicable to Corporations and Labor Organizations). Specifically, the TEC proposes amendments to §24.1 regarding Corporations and Certain Associations Covered, and §24.17 regarding Corporate Expenditures for Get-Out-the Vote Campaigns Permitted.
This proposal, along with the contemporaneous proposal of the repeal of one other rule in Chapter 24, amends the rules regarding restrictions on contributions and expenditures that are applicable to corporations and labor organizations.
State law requires state agencies to "review and consider for readoption each of its rules … not later than the fourth anniversary of the date on which the rule takes effect and every four years after that date." Tex. Gov't Code §2001.039. The law further requires agencies to "readopt, readopt with amendments, or repeal a rule as the result of reviewing the rule under this section." Id.
The TEC is continuing its comprehensive review with a review of the TEC's rules regarding restrictions on contributions and expenditures applicable to corporations and labor organizations, which are codified in Chapter 24. The repeal of one rule and adoption of amendments to other rules seek to shorten, simplify, and reorganize the rules to eliminate surplusage and improve clarity on these restrictions.
Amanda Arriaga, General Counsel, has determined that for the first five-year period the proposed amended rules are in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the proposed amended rules.
The General Counsel has also determined that for each year of the first five years the proposed amended rules are in effect, the public benefit will be consistency and clarity in the Commission's rules regarding sworn complaint procedures. There will not be an effect on small businesses, microbusinesses or rural communities. There is no anticipated economic cost to persons who are required to comply with the proposed amended rules.
The General Counsel has determined that during the first five years that the proposed amended rules are in effect, they will not: create or eliminate a government program; require the creation of new employee positions or the elimination of existing employee positions; require an increase in future legislative appropriations to the agency; require an increase or decrease in fees paid to the agency; expand, limit, or repeal an existing regulation; create a new regulation; increase or decrease the number of individuals subject to the rules' applicability; or positively or adversely affect this state's economy.
The Commission invites comments on the proposed amended rules from any member of the public. A written statement should be emailed to public_comment@ethics.state.tx.us, or mailed or delivered to James Tinley, Executive Director, Texas Ethics Commission, P.O. Box 12070, Austin, Texas 78711-2070. A person who wants to offer spoken comments to the Commission concerning the proposed amended rules may do so at any Commission meeting during the agenda item relating to the proposed amended rules. Information concerning the date, time, and location of Commission meetings is available by telephoning (512) 463-5800 or on the Commission's website at www.ethics.state.tx.us.
The amended rules are proposed under Texas Government Code §571.062, which authorizes the Commission to adopt rules to administer Title 15 of the Election Code and Chapter 571 of the Government Code.
The proposed amended rules affect Title 15 of the Election Code.
§24.1.
[(a) This chapter applies to:]
[(1) labor organizations;]
[(2) corporations that are organized under the Texas Business Corporation Act, the Texas For-Profit Corporation Law, the Texas Non-Profit Corporation Act, the Texas Non-Profit Corporation Law, federal law, or the laws of another state or nation; and]
[(3) the following associations, whether incorporated or not, for purposes of this chapter are considered to be corporations covered by this chapter:]
[(A) banks;]
[(B) trust companies;]
[(C) savings and loan associations or companies;]
[(D) insurance companies;]
[(E) reciprocal or interinsurance exchanges;]
[(F) railroad companies;]
[(G) cemetery companies;]
[(H) government-regulated cooperatives;]
[(I) stock companies; and]
[(J) abstract and title insurance companies.]
(a) [(b)] For purposes of this chapter, members of a corporation that does not have stockholders [and members of an association listed in subsection (a)(3) of this section] are considered to be stockholders.
[(c) This chapter does not apply to a political committee that incorporates for liability purposes only in accordance with subsection (d) of this section, provided that the sole principal purpose of the committee is accepting political contributions and making political expenditures.]
(b) [(d)] A political committee may incorporate to limit its liability by providing in its official incorporation documents that it is a political committee that is incorporating for liability purposes only, and that its only principal purpose is to accept political contributions and make political expenditures.
§24.17.
(a) An expenditure to finance a voter registration or get-out-the-vote drive is not a political expenditure if the drive encourages voting in general but does not encourage voting for or against a measure, candidate, officeholder, or political party.
[(b) A corporation or labor organization is permitted to make an expenditure described in subsection (a) of this section.]
(b)
[(c)] A corporate or labor organization expenditure described by subsection (a) of this section is not reportable.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 10, 2025.
TRD-202503675
Amanda Arriaga
General Counsel
Texas Ethics Commission
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 463-5800
1 TAC §24.5
The Texas Ethics Commission (the TEC) proposes the repeal of Texas Ethics Commission Rule 24.5 (regarding Corporate Loans) in Chapter 24 (relating to Restrictions On Contributions And Expenditures Applicable To Corporations And Labor Organizations).
This proposal, along with the contemporaneous proposal of amendments of certain other rules in Chapter 24, amends the rules regarding restrictions on contributions and expenditures that are applicable to corporations and labor organizations.
State law requires state agencies to "review and consider for readoption each of its rules … not later than the fourth anniversary of the date on which the rule takes effect and every four years after that date." Tex. Gov't Code §2001.039. The law further requires agencies to "readopt, readopt with amendments, or repeal a rule as the result of reviewing the rule under this section." Id.
The TEC is continuing its comprehensive review with a review of the TEC's rules regarding restrictions on contributions and expenditures applicable to corporations and labor organizations, which are codified in Chapter 24. The repeal of some rules and adoption of amendments to other rules seek to shorten, simplify, and reorganize the rules to eliminate surplusage and improve clarity on these restrictions.
Amanda Arriaga, General Counsel, has determined that for the first five-year period the proposed repealed rule is in effect, there will be no fiscal implications for state or local government as a result of enforcing or administering the proposed repealed rule.
The General Counsel has also determined that for each year of the first five years the proposed repealed rule is in effect, the public benefit will be consistency and clarity in the Commission's rules regarding restrictions on contributions and expenditures. There will not be an effect on small businesses, microbusinesses or rural communities. There is no anticipated economic cost to persons who are required to comply with the proposed repealed rule.
The General Counsel has determined that during the first five years that the proposed repealed rule is in effect, they will not: create or eliminate a government program; require the creation of new employee positions or the elimination of existing employee positions; require an increase in future legislative appropriations to the agency; require an increase or decrease in fees paid to the agency; expand, limit, or repeal an existing regulation; create a new regulation; increase or decrease the number of individuals subject to the rules' applicability; or positively or adversely affect this state's economy.
The Commission invites comments on the proposed repealed rule from any member of the public. A written statement should be emailed to public_comment@ethics.state.tx.us, or mailed or delivered to James Tinley, Executive Director, Texas Ethics Commission, P.O. Box 12070, Austin, Texas 78711-2070. A person who wants to offer spoken comments to the Commission concerning the proposed repealed rule may do so at any Commission meeting during the agenda item relating to the proposed repealed rule. Information concerning the date, time, and location of Commission meetings is available by telephoning (512) 463-5800 or on the Commission's website at www.ethics.state.tx.us.
The repealed rule is proposed under Texas Government Code §571.062, which authorizes the Commission to adopt rules to administer Title 15 of the Election Code and Chapter 571 of the Government Code.
The proposed repealed rule affects Title 15 of the Election Code.
§24.5.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 10, 2025.
TRD-202503676
Amanda Arriaga
General Counsel
Texas Ethics Commission
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 463-5800
PART 4. OFFICE OF THE SECRETARY OF STATE
CHAPTER 87. NOTARY PUBLIC
The Office of the Secretary of State (Office) proposes to adopt, in Title 1, Part 4, Texas Administrative Code, Chapter 87, new §§87.5, 87.8, and 87.9, concerning the qualification requirements of Texas notary public applicants. The Office proposes to adopt these rules to implement the new education requirements for notaries in Senate Bill 693, enacted by the 89th Legislature, Regular Session, codified at Chapter 406 of the Texas Government Code (SB 693).
The Office further proposes amendments to Chapter 87, §§87.13, 87.14, and 87.20, to clarify that, in accordance with Chapter 406 of the Texas Government Code, an applicant is not qualified to be commissioned as a traditional or online Texas notary public unless the applicant satisfies the mandatory education requirements.
BACKGROUND INFORMATION AND JUSTIFICATION
SB 693, adopted by the 89th Legislature, Regular Session, creates a framework in Chapter 406 of the Texas Government Code to require and provide education for the appointment of a notary public applicant and continuing education for the reappointment of a notary public. The bill took effect on September 1, 2025.
As enacted by SB 693, Chapter 406 of the Texas Government Code requires the Office to adopt rules necessary to establish education requirements for appointment and continuing education requirements for reappointment as a notary public not later than January 1, 2026.
Texas Government Code §406.023(d)(1) specifies that the Office may not require a person to complete more than two hours of education for appointment or two hours of continuing education for reappointment as a notary public. Texas Government Code §406.023(d)(2) directs the Office to establish and offer education and continuing education courses and allows the Office to charge a reasonable fee for those courses. Texas Government Code §406.023(d)(3) directs the Office to require that the education and continuing education course hours required for appointment or reappointment as a notary public may only be completed through a course established and offered by the Office. In addition, Texas Government Code §406.023(d)(4) prohibits the Office from requiring a person appointed as a notary public before September 1, 2025 to complete education requirements required for initial appointment as a notary public on or after that date. SB 693 also established that the successful completion of a notary education course or continuing education course is now a mandatory qualification for commissioning as a Texas notary public or renewal of an existing Texas notary public commission under Texas Government Code §406.006 and Texas Government Code §406.011.
The purpose of these new rules under Chapter 87 (Notary Public) is to provide information regarding the education requirements for persons applying for or renewing a Texas notary public commission in accordance with SB 693. The changes will apply to notary public appointment and reappointment applications submitted to the Office on or after January 1, 2026.
SECTION-BY-SECTION SUMMARY
Proposed §87.5 establishes a reasonable fee of $50.00 to take the initial notary education course or the continuing notary education course. This fee will cover the development, implementation, and continuous improvement of the Office's notary education platform.
Proposed §87.8 implements the required notary education training and provides information regarding the education course that applicants must successfully complete to be commissioned as Texas notaries public, as required by Texas Government Code §406.023. This section establishes the percentage of questions that an applicant must answer correctly to pass the education course. In addition, this section designates the time period that applicants have to complete the education course and sets limits on how many times an applicant can take the education course in a three-month period.
Proposed §87.9 implements the required notary continuing education training and provides information regarding the continuing education course that applicants must successfully complete to renew their commissions as Texas notaries public, as required by Texas Government Code §406.023. This section establishes the percentage of questions that a notary must answer correctly to pass the continuing education course. In addition, this section designates the time period that notaries have to complete the continuing education course and sets limits on how many times a notary can take the continuing education course in a three-month period.
Proposed amended §87.13 adds subsections (a)(2)(E) and (a)(2)(F) to clarify that a person is not qualified to be commissioned as a traditional Texas notary public unless they satisfy the mandatory education requirement and pay for the education course.
Proposed amended §87.14 adds subsections (a)(2)(D) and (a)(2)(E) to clarify that a person is not qualified to be commissioned as an online Texas notary public unless they satisfy the mandatory education requirement and pay for the education course.
Proposed amended §87.20 adds subsections (e)(2)(D) and (e)(2)(E) to clarify that a person is not qualified to be commissioned as a Texas notary public without bond unless they satisfy the mandatory education requirement and pay for the education course.
FISCAL NOTE
SB 693 authorizes the Office to charge a reasonable fee for the mandatory education and continuing education courses. The proposed rules set the fee at $50.00 for the initial education and continuing education courses. The fee amount is comparable to examination fees charged by other state agencies, including the $50.00 examination fee applicable to certain insurance professionals (28 TAC §19.802). The proposed new rules do not impose any additional costs on a notary public applicant seeking to obtain or renew a commission.
Michael Powell, Director of the Office's Business & Government Filings Division, has determined that for each year of the first five years that the proposed new sections will be in effect, there will be no fiscal implications for state or local governments as a result of enforcing or administering the proposed rules. In addition, the Office does not anticipate that enforcing or administering the proposed rules will result in any reductions in costs or in any additional costs to the Office, the state, or local governments. The Office also does not anticipate that there will be any loss or increase in revenue to the Office, the state, or local governments as a result of enforcing or administering the proposed rules.
PUBLIC BENEFIT
Mr. Powell has determined that for each year of the first five years that the proposed new sections will be in effect, the public benefit expected as a result of adopting the proposed rules will be clarity with respect to the Office's application of Texas Government Code §406.023. The proposed new rules will benefit the public by providing information regarding the Office's commissioning of notaries public in accordance with Chapter 406 of the Texas Government Code. The rules will also provide guidance to notary applicants regarding the education requirements established under Texas Government Code §406.023 for initial commissioning or renewal under Texas Government Code §406.006 and Texas Government Code §406.011.
ECONOMIC COSTS TO PERSONS AND IMPACT ON LOCAL EMPLOYMENT
There are no anticipated economic costs to persons required to comply with the proposed new rules. There is a fee imposed on applicants seeking to qualify for a notary public commission or to renew their existing notary public commission pursuant to Texas Government Code §406.023. However, the Office's proposed new rules do not impose any additional costs on such persons. There is no effect on local economy for the first five years that the proposed new rules will be in effect; therefore, no local employment impact statement is required under Texas Government Code §§2001.022 and 2001.024(a)(6).
FISCAL IMPACT ON SMALL BUSINESSES, MICRO-BUSINESSES, AND RURAL COMMUNITIES
The proposed new rules will have no direct adverse economic impact on small businesses, micro-businesses, or rural communities. Accordingly, the preparation of an economic impact statement and a regulatory flexibility analysis, as specified in Texas Government Code §2006.002, is not required.
GOVERNMENT GROWTH IMPACT STATEMENT
Pursuant to Texas Government Code §2001.0221, the Office provides the following government growth impact statement for the proposed rules. For each year of the first five years that the proposed new rules will be in effect, the Office has determined the following:
(1) the proposed rules will not create or eliminate a government program;
(2) implementation of the proposed rules will not require the creation of new employee positions or the elimination of existing employee positions;
(3) implementation of the proposed rules will not require an increase or decrease in future legislative appropriations to the Office;
(4) the proposed rules specify a fee that must be paid by a notary public applicant to complete a mandatory education course or continuing education course, as authorized by Texas Government Code §406.023(d)(2), and will not require an increase or decrease in any other fees paid to the Office;
(5) the proposed rules are new rules and therefore create new regulations;
(6) the proposed rules will not expand, limit, or repeal an existing regulation;
(7) the proposed rules will not increase or decrease the number of individuals subject to the rules' applicability; and
(8) the proposed rules will not positively or adversely affect the state's economy.
REQUEST FOR PUBLIC COMMENTS
Comments or questions on the proposed rules may be submitted in writing and directed to Adam Bitter, General Counsel, Office of the Secretary of State, P.O. Box 12887, Austin, Texas 78711-2887, or by e-mail to generalcounsel@sos.texas.gov. Comments will be accepted for thirty (30) days from the date of publication of the proposed rules in the Texas Register. Comments should be organized in a manner consistent with the organization of the proposed rules.
SUBCHAPTER
A.
STATUTORY AUTHORITY
The proposed new rules are authorized by Texas Government Code §406.023 and Texas Government Code §2001.004(1). Texas Government Code §406.023 authorizes the Office to adopt rules necessary to implement the notary public education requirements in Chapter 406 of the Texas Government Code. Texas Government Code §2001.004 requires a state agency to adopt rules of practice stating the nature and requirements of formal and informal procedures.
CROSS REFERENCE TO STATUTE
The proposed new rules implement Chapter 406 of the Texas Government Code. No other statute, code, or article is affected by the proposed rules.
§87.5.
(a) The nonrefundable fee for the notary education course is $50.00.
(b) The nonrefundable fee for the notary continuing education course is $50.00.
(c) An applicant must pay a separate notary education course fee or notary continuing education course fee each time the applicant takes a course.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 14, 2025.
TRD-202503703
Adam Bitter
General Counsel
Office of the Secretary of State
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 475-2813
SUBCHAPTER
B.
The proposed new rules are authorized by Texas Government Code §406.023 and Texas Government Code §2001.004(1). Texas Government Code §406.023 authorizes the Office to adopt rules necessary to implement the notary public education requirements in Chapter 406 of the Texas Government Code. Texas Government Code §2001.004 requires a state agency to adopt rules of practice stating the nature and requirements of formal and informal procedures.
CROSS REFERENCE TO STATUTE
The proposed new rules implement Chapter 406 of the Texas Government Code. No other statute, code, or article is affected by the proposed rules.
§87.8.
(a) An applicant must fulfill the education requirement under Texas Government Code §406.006 before the applicant may apply for appointment as a Texas notary public.
(b) To fulfill the education requirement, an applicant must first pay the notary education course fee specified in §87.5(a) of this title (relating to Notary Education Fees).
(c) After payment of the required notary education course fee, an applicant must take a notary education course that does not exceed two hours and has been established by the secretary of state. The applicant must successfully answer a minimum of 80% of questions presented to the applicant during the education course.
(1) If an applicant is applying for a traditional notary public commission, the applicant fulfills the education requirement by taking a notary education course and successfully answering questions on traditional notary subject matter.
(2) If an applicant is also applying for an online notary public commission, the applicant fulfills the education requirement by taking a notary education course and successfully answering questions on online notary public subject matter.
(d) An applicant must take the notary education course on or before the 60th day after the date on which the secretary of state receives the course fee from the applicant. Failure to take the education course within 60 days will result in forfeiture of the course fee, and any completion of the course after the 60-day period has expired will not fulfill the education requirement. The applicant must pay a new fee to reattempt the notary education course.
(e) An applicant may not complete a notary education course more than 3 times in a 3-month period to fulfill the education requirement.
§87.9.
(a) A Texas notary public must fulfill the continuing education requirement under Texas Government Code §406.011 before the notary public may apply for reappointment as a Texas notary public.
(b) To fulfill the continuing education requirement, a notary public must first pay the notary continuing education course fee specified in §87.5(b) of this title (relating to Notary Education Fees).
(c) After payment of the required notary continuing education course fee, a notary public must take a continuing education course that does not exceed two hours and has been established by the secretary of state. The notary public must successfully answer a minimum of 80% of questions presented to the notary during the continuing education course.
(1) If an applicant is applying for the renewal of a traditional notary public commission, the applicant fulfills the continuing education requirement by taking a notary continuing education course and successfully answering questions on traditional notary subject matter.
(2) If an applicant is also applying for the renewal of an online notary public commission, the applicant fulfills the continuing education requirement by taking a notary continuing education course and successfully answering questions on online notary public subject matter.
(d) A notary public must take the notary continuing education course on or before the 60th day after the date on which the secretary of state receives the course fee from the notary. Failure to take the continuing education course within 60 days will result in forfeiture of the course fee, and any completion of the course after the 60-day period has expired will not fulfill the continuing education requirement. The notary public must pay a new fee to reattempt the notary continuing education course.
(e) A notary public may not complete a notary continuing education course more than 3 times in a 3-month period to fulfill the continuing education requirement.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 14, 2025.
TRD-202503704
Adam Bitter
General Counsel
Office of the Secretary of State
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 475-2813
1 TAC §87.13, §87.14
STATUTORY AUTHORITY
The proposed amendments are authorized by Texas Government Code §406.023 and Texas Government Code §2001.004(1). Texas Government Code §406.023 authorizes the Office to adopt rules necessary to implement the notary public education requirements in Chapter 406 of the Texas Government Code. Texas Government Code §2001.004 requires a state agency to adopt rules of practice stating the nature and requirements of formal and informal procedures.
CROSS REFERENCE TO STATUTE
The proposed new rules implement Chapter 406 of the Texas Government Code. No other statute, code, or article is affected by the proposed rules.
§87.13.
(a) The secretary of state shall issue a traditional notary public commission to a qualified applicant. An applicant is qualified if:
(1) the applicant meets the eligibility requirements stated in §87.10 of this title (relating to Eligibility to Hold the Office of Notary Public);
(2) the applicant submits:
(A) a properly completed and executed application;
(B) the bond as provided in §406.010, Government Code, if required;
(C) the statement of officer required by article XVI, §1 Texas Constitution;
(D)
payment to the secretary of state of fees required by §406.007, Government Code; [and]
(E) proof that the applicant has successfully completed the notary education course required by §406.006(6), Government Code; and
(F) proof of payment of the notary education course fee under §87.5 of this title (relating to Notary Education Fees); and
(3) no good cause exists for rejecting the application.
(b) The secretary of state shall not commission an applicant if the applicant had a prior application rejected or a commission revoked due to a finding of ineligibility or good cause and the reason for ineligibility or grounds for good cause continues to exist.
(c) When all conditions for qualification have been met, the application shall be approved and filed. The secretary of state shall cause a commission to be issued and sent to each traditional notary public who has qualified. A commission is effective as of the date of qualification.
§87.14.
(a) The secretary of state shall issue an online notary public commission to a qualified applicant. An applicant is qualified if:
(1) the applicant meets the eligibility requirements stated in §87.11 of this title (relating to Eligibility to be Commissioned as an Online Notary Public);
(2) the applicant submits:
(A) a properly completed and executed application;
(B) the statement of officer required by article XVI, §1 Texas Constitution;
(C)
payment to the secretary of state the application fee of $50; [and]
(D) proof that the applicant has successfully completed the notary education course required by §406.006(6), Government Code; and
(E) proof of payment of the notary education course fee under §87.5 of this title (relating to Notary Education Fees); and
(3) no good cause exists for rejecting the application.
(b) The secretary of state shall not commission an applicant if the applicant had a prior application rejected or a commission revoked due to a finding of ineligibility or good cause and the reason for ineligibility or grounds for good cause continues to exist.
(c) When all conditions for qualification have been met, the application shall be approved and filed. The secretary of state shall cause a commission to be issued and sent to each online notary public who has qualified. A commission is effective as of the date of qualification and shall expire on the same date as applicant's corresponding traditional notary public commission.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 14, 2025.
TRD-202503705
Adam Bitter
General Counsel
Office of the Secretary of State
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 475-2813
SUBCHAPTER
C.
STATUTORY AUTHORITY
The proposed amendment is authorized by Texas Government Code §406.023 and Texas Government Code §2001.004(1). Texas Government Code §406.023 authorizes the Office to adopt rules necessary to implement the notary public education requirements in Chapter 406 of the Texas Government Code. Texas Government Code §2001.004 requires a state agency to adopt rules of practice stating the nature and requirements of formal and informal procedures.
CROSS REFERENCE TO STATUTE
The proposed new rules implement Chapter 406 of the Texas Government Code. No other statute, code, or article is affected by the proposed rules.
§87.20.
(a) An applicant who is an officer or employee of a state agency is not required to provide a surety bond. For the purpose of this chapter, "state agency" has the meaning assigned by §2052.101, Government Code.
(b) An applicant who is an officer or employee of a state agency and does not provide a surety bond must complete the traditional notary public application entitled "Application for Appointment as a Notary Public Without Bond" (Form 2301-NB).
(c) The State Agency employing the applicant must submit the completed application to the State Office of Risk Management.
(d) The State Office of Risk Management shall complete the verification certificate on the application and forward the completed application to the Office of the Secretary of State for processing.
(e) The secretary of state shall commission the applicant if:
(1) the applicant meets the eligibility requirements stated in §87.10 of this title (relating to Eligibility to Hold the Office of Notary Public);
(2) the applicant submits:
(A) a properly completed and executed application verified by the State Office of Risk Management;
(B) the statement of officer required by article XVI, §1 Texas Constitution;
(C)
the payment of fees required by §406.007(a)(2) and §406.007(b), Government Code; [and]
(D) proof that the applicant has successfully completed the notary education course required by §406.006(6), Government Code; and
(E) proof of payment of the notary education course fee under §87.5 of this title (relating to Notary Education Fees); and
(3) no good cause exists for rejecting the application.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 14, 2025.
TRD-202503706
Adam Bitter
General Counsel
Office of the Secretary of State
Earliest possible date of adoption: November 23, 2025
For further information, please call: (512) 475-2813