Overall Vote Recommendation

Yes

Principle Criteria

Free Enterprise

Property Rights

Personal Responsibility

Limited Government

Individual Liberty

Digest

SB 693 seeks to enhance the integrity and accountability of notaries public in Texas. The bill amends several sections of the Texas Government Code related to the qualification and oversight of notaries and introduces a new criminal offense aimed at curbing fraudulent notarizations, especially in real estate transactions.

A key provision of the bill is the requirement that individuals seeking to become notaries public must now complete an education course, as specified under Section 406.023. This formal training ensures that notaries are better prepared to perform their duties within the bounds of Texas law, minimizing errors and potential abuses. Additionally, SB 693 expands the definition of "good cause" for the suspension or revocation of a notary commission to include the failure to maintain proper records, reinforcing administrative accountability.

The most significant addition is the creation of a new criminal offense under Section 406.0091, which makes it illegal for a notary public to knowingly notarize a document when the individual did not personally appear before them. This offense is classified as a Class A misdemeanor and escalates to a state jail felony if the notarized document relates to the transfer of real property. An affirmative defense is provided if the signer presented seemingly valid proof of identity, recognizing the complexities of identity fraud.

Overall, SB 693 aims to deter fraudulent notarization practices while enhancing the professionalism and trust in notaries public—an essential function in Texas’s legal and commercial systems.

The differences between the originally filed version and the Committee Substitute of SB 693 illustrate a significant broadening of legislative intent and regulatory scope. The original bill focused solely on addressing a specific form of notarial fraud—namely, the use of a notary seal or counterfeit seal on a fraudulent document. It proposed a new section (406.027) in the Government Code that would criminalize affixing such a seal to a document presumed fraudulent and attempting to file it with various judicial clerks. The offense was classified as a Class A misdemeanor and aimed narrowly at deterring document fraud through misuse of official seals.

In contrast, the Committee Substitute reimagines SB 693 as a more comprehensive reform of notarial practices in Texas. It amends existing sections of the Government Code to implement new qualification requirements, including mandatory education for all prospective notaries. It also strengthens disciplinary provisions by expanding the definition of "good cause" for suspension or revocation to include failure to maintain required records. Most notably, it establishes a new criminal offense for notarizing a document without the signer being physically present—a practice that, if the document concerns real estate, escalates the charge from a misdemeanor to a state jail felony.

This evolution from a narrowly tailored criminal statute to a broader regulatory bill reflects a legislative intent not just to punish bad actors but also to raise professional standards and enhance trust in the notarial system. The committee substitute emphasizes education, accountability, and the protection of property rights, especially in the high-stakes context of real estate transactions. By doing so, it shifts the bill's focus from reactive enforcement to proactive prevention.

Author (1)

Royce West

Sponsor (4)

Rafael Anchia

Joseph Moody

Oscar Longoria

Michael Schofield

Contact the Author

Sen. Royce West

Capitol Phone:

(512) 463-0123

Capitol Office:

CAP 1E.5

E-Mail:

[email protected]

Visit Official Website

Fiscal Notes

According to the Legislative Budget Board (LBB), SB 693 would result in a net negative impact of approximately $1.96 million to General Revenue over the 2026–2027 biennium. These costs arise mainly from the Secretary of State's responsibilities to implement and manage the education program and respond to increased compliance demands.

To implement the mandated education requirement, the Secretary of State (SOS) plans to develop an online Learning Management System (LMS), estimated at a one-time cost of $400,000. Additionally, the SOS anticipates increased administrative demand, requiring eight new full-time employees, including program specialists to manage increased inquiries and investigators to handle a likely rise in notary-related enforcement actions. Personnel-related expenses are estimated at over $500,000 annually, with some additional start-up costs in the first year.

While the bill introduces a new criminal offense, the Office of Court Administration does not anticipate a significant fiscal impact on the court system, nor are substantial correctional costs expected. The fiscal note further indicates that any local government impact related to enforcement or prosecution would be minimal. Overall, while the bill carries measurable implementation costs, these are primarily frontloaded and concentrated within the operations of the Secretary of State.

Vote Recommendation Notes

The Committee Substitute for SB 693 reflects a comprehensive and carefully balanced effort to address the growing threat of deed fraud and abuse in the notarization process, particularly related to real property. As outlined in the bill analysis, the primary intent is to enhance protections for property owners by creating new educational standards for notaries and establishing criminal penalties for misconduct. This legislative action is a response to the alarming trend of forged documents being used to unlawfully transfer ownership of property—crimes that can deeply affect victims' financial and personal stability.

By requiring up to two hours of state-managed continuing education for notaries, the bill promotes professional competency while ensuring that the education is both accessible and affordable. The prohibition on private vendors and the centralization of training through the Secretary of State ensures consistency in quality and reduces the risk of exploitation. Additionally, the creation of a new Class A misdemeanor—and a state jail felony when involving real property—creates a strong deterrent against notarizations without the required personal appearance, a key safeguard against fraudulent transactions.

From a liberty principle perspective, SB 693 strongly supports private property rights, personal responsibility, and limited government. It imposes accountability standards on notaries without creating broad new regulatory frameworks. It also advances individual liberty by protecting individuals from fraudulent property seizures and free enterprise by ensuring the integrity of notarized transactions, which are foundational to many private agreements and commercial exchanges.

Despite modest fiscal costs for implementation—primarily for developing a learning management system and adding staff to handle increased inquiries and enforcement—the bill’s benefits to legal integrity and property protections far outweigh the financial impact. It is a measured and effective response to a pressing issue in Texas's civil and criminal justice. Accordingly, Texas Policy Research recommends that lawmakers vote YES on SB 693.

Individual Liberty: The bill enhances individual liberty by protecting Texans from fraudulent notarizations that could compromise their legal and property rights—particularly in real estate. Requiring that signers personally appear before a notary helps ensure that individuals are knowingly and willingly entering into contracts or legal agreements. This provision safeguards autonomy and informed consent in legal transactions, preserving the integrity of individuals' choices and protections under the law.
Personal Responsibility: The bill underscores the importance of personal responsibility for notaries public by mandating formal education and establishing clear legal consequences for misconduct. Notaries are entrusted with a public duty, and SB 693 requires them to understand and adhere to legal standards—backed by potential penalties if they act negligently or fraudulently. This reinforces accountability and aligns with a core tenet of a free society: that individuals must be held responsible for their professional and legal obligations.
Free Enterprise: While the bill introduces new training requirements, it ultimately supports free enterprise by enhancing the trustworthiness of notarized transactions—a key component in business, lending, and property exchanges. By reducing the risk of fraud, particularly in real estate, the bill creates a more secure environment for commerce. It ensures that notarized documents maintain legal credibility, which benefits buyers, sellers, and financial institutions alike.
Private Property Rights: This principle is perhaps the most directly impacted and strengthened by the bill. SB 693 is specifically aimed at preventing fraudulent real estate transactions, which often involve forged or improperly notarized documents. By criminalizing notarizations performed without a personal appearance—especially when tied to property transfers—the bill fortifies individuals' rights to control and protect their property from unlawful seizure or sale.
Limited Government: The bill exercises restraint by targeting specific problems—deed fraud and notarial misconduct—without expanding government authority into unrelated areas. It limits the Secretary of State's rulemaking power by capping the required training at two hours and prohibiting the use of private vendors, ensuring consistency without enabling unnecessary bureaucracy. This maintains a narrow, well-defined role for the state in overseeing notaries, consistent with the principle of limited government.

Related Legislation

View Bill Text and Status