Money’s Remittance Bill Puts A 5% Fee On Transfers Abroad

The text as introduced · 538 words

89R13531 MLH-D

By: Money
H.B. No. 4364

A BILL TO BE ENTITLED

AN ACT

relating to the collection of remittance transfer fees for use in

enhancing border security; authorizing a fee; providing a civil

penalty.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subtitle Z, Title 3, Finance Code, is amended by

adding Chapter 282 to read as follows:

CHAPTER 282. REMITTANCE TRANSFER FEE

Sec. 282.001. DEFINITIONS. In this chapter:

(1) "Remittance transfer" has the meaning assigned by

Section 4A.108, Business & Commerce Code.

(2) "Remittance transfer provider" means a financial

institution or other person that provides a remittance transfer for

a consumer in the normal course of the person's or financial

institution's business.

Sec. 282.002. REMITTANCE TRANSFER FEE. (a) A remittance

transfer provider who provides a remittance transfer to a recipient

located outside of the United States shall collect from the

consumer who made the transfer a fee in an amount equal to five

percent of the amount of the remittance transfer.

(b) The fees collected under Subsection (a) shall be

remitted to the comptroller for deposit in the border security

enhancement fund under Subchapter W, Chapter 411, Government Code.

Sec. 282.003. CIVIL PENALTY. (a) A remittance transfer

provider who knowingly fails to collect a fee in violation of

Section 282.002(a) shall be liable to this state for a civil penalty

in an amount not to exceed the greater of:

(1) $500,000; or

(2) twice the amount of the remittance transfer for

which the provider failed to collect the fee.

(b) The attorney general may file suit to collect the

penalty.

SECTION 2. Chapter 411, Government Code, is amended by

adding Subchapter W to read as follows:

SUBCHAPTER W. BORDER SECURITY ENHANCEMENT

Sec. 411.801. DEFINITION. In this subchapter, "fund" means

the border security enhancement fund.

Sec. 411.802. BORDER SECURITY ENHANCEMENT FUND. (a) The

border security enhancement fund is a special fund in the state

treasury outside the general revenue fund to be administered by the

department under this subchapter and rules adopted by the

commission under this subchapter.

(b) The fund consists of money collected under Chapter 282,

Finance Code, for deposit to the credit of the fund.

Sec. 411.803. FUND INTEREST. The comptroller shall deposit

to the credit of the economic stabilization fund the interest and

other earnings made on the balance of the border security

enhancement fund.

Sec. 411.804. USE OF FUND. Money in the fund may be

appropriated to the department only for the following activities

for the purposes of preventing illegal entry into the United States

of aliens without official approval of an appropriate federal

governmental authority, terrorists, instruments of terrorism, and

contraband, including narcotics and other controlled substances:

(1) employing and training:

(A) border security personnel; and

(B) officers and staff employed in enforcement

and removal operations; and

(2) planning, designing, constructing, and

maintaining along this state's international border:

(A) barriers and related infrastructure; and

(B) detention facilities for aliens without

lawful immigration status.

Sec. 411.805. CONTRACTS AND AGREEMENTS. The department may

enter into contracts and agreements as necessary to implement this

subchapter.

Sec. 411.806. ADOPTION OF RULES. The commission shall

adopt rules necessary to implement this subchapter.

SECTION 3. This Act takes effect September 1, 2025.