Highlights of the 80th Legislative Session How Did It Impact Human Resources

1
Highlights of the 80th Legislative SessionHow
Did It Impact Human Resources?

• Texas State Human Resources AssociationJuly 17,
  2007
• Christine Bailey, CCP, GRP and
• Stacey Robbins McClure, MBA, PHRState Auditors
  Office

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Legislative Statistics
Source Texas Legislative Service, Telicon, June
5, 2007, Unofficial Session Recap.
Session ended May 28, 2007 Last day for
Governor veto June 17, 2007
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General Appropriations Act

• Article IX Revision to States Classification
  Plan (Plan).
• 83 Reallocations
• 64 New Jobs
• 58 Deletions
• 122 Title Changes
• Classification Plan for 2008-2009 includes 835
  individual job classifications.

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General Appropriation Act

• Article IX Revision to the Classification Plan
  for Fiscal Years 2008 and 2009 (continued)
• New Classification Series 16 classifications
• Boiler Inspector (2 levels Salary Groups B12
  and B13)
• District Engineer (2 levels Salary Groups B21
  and B22)
• Dorm Supervisor (1 level Salary Group B09)
• Information Technology Auditor (2 levels Salary
  Groups B15 and B17)
• Information Technology Security Analyst (2 levels
  Salary Groups B14 and B16)
• Project Manager (2 levels Salary Groups B15 and
  B17)
• Psychiatric Nursing Aide/Assistant (5 levels
  Salary Groups A05, A06, A08, A09, and A11)

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General Appropriations Act

• Agency Resources for Classification Plan for
  Fiscal Years 2008 and 2009
• Conversion Manual includes
• Mapping of All Changes
• Automatic Conversions
• New Classification Titles
• Classification Deletions
• Reallocations
• Classification Title Changes
• Frequently Asked Questions
• Job Descriptions includes revisions to over 450
  classifications
• Revised Listing of Job Classifications with ONET
  and SOC codes

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General Appropriations Act

• Article IX State Agency Employees
• Pay Increases Contingent upon Office of the
  Comptroller of Public Accounts Certification.
• 2 percent increase, with 50 minimum on
  September 1, 2007.
• 2 percent increase, with 50 minimum on
  September 1, 2008.
• Revised Law Enforcement Salary Schedule.
• Does not include institutions of higher
  education, but it does include Texas A M
  service agencies.

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Agency Responsibilities

• Review employees to ensure proper classification
  of work.
• Choose occupationally-specific job
  classifications versus general jobs (for example,
  Human Resources Specialist vs. Program
  Specialist).
• Identify employees for new classifications.
• Review employees to ensure proper level of work.
• Entry
• Generally, this level requires little or no
  previous training or experience. Work is usually
  performed under close supervision.
• Journey
• Generally, this level requires previous training
  or experience and specific skills. Work is
  usually performed under moderate supervision.
• Senior
• Generally, this level requires a high level of
  responsibility, training, experience, and
  competence. Work is usually performed under
  minimal supervision.
• Update and/or create functional job descriptions
  for your own agencies.

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Timeline for Changes
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General Appropriations Act

• Article IX Sec. 19.68. Review of Background
  Check Procedures
• All state agencies currently conducting
  background checks will report on their procedures
  to the State Auditors Office (SAO), the Texas
  Department of Licensing and Regulation (TDLR),
  the DPS (Department of Public Safety) and the
  Legislative Budget Board (LBB) by November 1,
  2007.
• The SAO will complete a review of all agencies
  conducting background checks.
• DPS will report to the Eighty-first Legislature
  on the availability of background check
  information.

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General Appropriations Act

• Article I
• Employees Retirement System (ERS)
• Maintains current health insurance benefit
  contribution rates.
• No change in retirement contributions or
  benefits.
• Article III
• Teacher Retirement System (TRS)
• Both the TRS and Optional Retirement Program
  state contribution rates are increased from 6.0
  percent to 6.58 percent.
• Funding for Higher Education Group Insurance is
  increased to bring the states contribution rate
  closer to that for general state employees.

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Hot Topics During the Session

• Employee Wellness
• Concealed Handguns
• Ethical Standards
• Veterans Preference
• Deferred Compensation
• Retirement Systems

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Benefits and Insurance

• Deferred Compensation Plan Participation for
  State Employees
• HB 957 by Representative Orr
• Makes participation in the 401(k) plan automatic
  for any new employee hired after January 1, 2008,
  unless the employee elects not to participate.
• Employee contributes a minimum of 1 percent to a
  default investment product selected by the ERS
  Board of Trustees.

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Benefits and Insurance

• Employee Wellness
• HB 1297 by Representative Delisi
• Requires the Department of State Health Services
  to designate a wellness coordinator to develop a
  model wellness program and to assist state
  agencies with wellness initiatives.
• Creates a Worksite Wellness Advisory Board as a
  function of the Department of State Health
  Services (DSHS).
• The board would be composed of representatives
  from areas of government and health
  organizations. DSHS employees would provide
  support to the board.
• The bill would establish a statewide wellness
  coordinator at DSHS. The coordinator would create
• Requires state agencies and institutions to
  designate a wellness liaison with the statewide
  wellness coordinator.

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Benefits and Insurance

• Employee Wellness (continued)
• New Leave Types
• Allows each state agency to have a wellness
  policy that allows each state employee 30 minutes
  to exercise 3 times per week.
• Allows employees to attend on-site wellness
  seminars.
• Allows each state agency to provide 8 hours of
  leave time to employees who complete a health
  risk survey and receive a physical exam.

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Benefits and Insurance

• Supplemental TRICARE Military Health Benefits
• HB 3470 by Representative Delisi
• Reconciles a conflict encountered with
  legislation passed during the 79th Legislative
  session.
• Authorizes ERS to implement a program that
  assists employees using TRICARE health care
  benefits in lieu of state benefits by offering
  access to an enhanced TRICARE benefits package.

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Benefits and Insurance

• Education Benefits Eligibility of Surviving Minor
  Children of Public Employees Killed in the Line
  of Duty
• SB 457 by Senator Watson
• Amends the language of Section 615.0225(a), Texas
  Government Code, to authorize education benefits
  for a child of a public service or law
  enforcement employee killed in the line of duty
  regardless of whether the employee is the
  custodial or noncustodial parent.

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Compensation

• Hazardous Duty Pay
• SB 737 by Senator Williams
• Currently, hazardous duty pay is paid at the rate
  of 10 per month for each year of service and is
  capped at 300 per month. 
• Because hazardous duty pay is capped at 300 per
  month, this means that any employee who puts in
  more than 30 years of service is no longer
  eligible to accrue additional hazardous duty pay
  at the rate of 10 per month.
• This bill removes the cap so that employees with
  tenure may be paid for their years of service.

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Compensation

• Hazardous Duty Pay Department of Criminal
  Justice
• HB 2498 by Representative Gonzalez Toureilles
• Amends Government Code, Section 659.305.
• Provides hazardous duty pay for a full-time
  correctional officer employed by the Department
  of Criminal Justice.
• 12 for each 12-month period of lifetime service
  credit accrued by the employee or 300, whichever
  is less.

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Government

• Standards for Law Enforcement Officers
• HB 12 by Representative Hilderbran
• Adds Government Code, Chapter 614.
• Requires law enforcement agencies to adopt
  physical fitness standards that a law enforcement
  officer must meet to continue employment with the
  agency.
• The standards applied to an officer must directly
  relate to the officer's job duties.
• An officers violation of the standards is just
  cause for dismissal or transfer to a position not
  compensated within Salary Schedule C.
• A law enforcement agency may exempt a law
  enforcement officer from a standard based on the
  facts and circumstances of the individual case,
  including whether an officer was injured in the
  line of duty.

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Government

• Ethical Standards
• HB 590 by Represenatative Delisi
• Provides that state employees shall follow
  certain ethical standards.
• Directs each state agency to adopt a written
  ethics policy consistent with standards laid out
  in the Texas Government Code.
• Requires state agencies to distribute ethics
  policy to new employees within the first three
  days of employment.

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Government

• Financial Accounting and Reporting
• HB 2365 by Representative Truitt
• Allows the State to follow state statutory
  modified accrual standards of accounting as
  described in the bill, if other accounting bases
  conflict with state law.
• The state could account for other post-employment
  benefits (OPEBs) on this statutory basis if
  generally accepted accounting principles (GAAP)
  require accounting on any basis other than
  pay-as-you-go.
• Has the practical impact of exempting those who
  choose the alternate accounting from requirements
  in Governmental Accounting Standards Board (GASB)
  statement 45, and potentially some in GASB
  statement 43. GASB 45 requires governmental
  entities to account for OPEBs, in particular
  retiree health benefits, in a manner similar to
  methods used for pension benefits.

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Government

• Financial Accounting and Reporting
• HB 2365 by Representative Truitt
• Requires state systems to inform its members
  about the extent of the systems commitments
  regarding other post-employment benefits.
• Notice must include whether the other
  post-employment benefits are limited by funding
  obligations or whether the funding obligations
  extend throughout the life of the member.
• This information must be disclosed on the
  systems Web site.

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Government

• Public Information
• HB 2564 by Representative Hancock
• Allows a governmental body to set a limit on the
  amount of time it would spend copying or
  providing information for inspection at no
  charge.
• The time limit may not be less than 36 hours for
  one requestor during one fiscal year.
• Requires that each time a governmental body
  complies with a request without charging for
  personnel time, it must provide the requestor
  with a statement showing the number of personnel
  hours spent complying with the request and the
  cumulative amount spent during the applicable
  fiscal year.

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Government

• Enterprise Resource Planning
• HB 3106 by Representative Isett
• Amends and transfers the responsibility for
  enterprise resource planning from the Department
  of Information Resources' Electronic Government
  Program Management Office to the Comptroller of
  Public Accounts (Comptroller).
• Also requires the Comptroller to ensure that the
  uniform statewide accounting project includes
  enterprise resource planning and allows the
  Comptroller to require state agencies to modify,
  delay, or stop the implementation of individual
  enterprise resource planning systems, or to
  replace or modify their internal enterprise
  resource management planning systems to provide
  uniformity.

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Government

• Identification Cards Issued to Peace Officers
• HB 3613 by Representative Thomas
• Requires a law enforcement agency or other
  governmental entity that appoints or employs a
  peace officer or reserve peace officer to issue
  an identification card to its full-time and
  part-time peace officers and reserve officers.
• Stipulates what information must be included on
  the ID card, that there must be an expiration
  date, and that the cards must be tamperproof. As
  part of the stipulations, the card must include a
  phone number that is operational 24 hours a day,
  seven days a week that a person may call to
  verify the validity of the identification card.
• Includes procedures for lost or stolen ID cards.

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Government

• Relating to the Calculation of Deadlines under
  the Public Information Law
• SB 175 by Senator Wentworth
• Various current statutes, including the Public
  Information Act, use a variety of terms
  referencing a day in which a person is generally
  required to work. This variation in terms can, at
  times, cause complications to arise in the
  calculation of certain deadlines.
• This bill clarifies that the term "business day"
  is to be used to calculate certain deadlines and
  makes conforming changes to other sections
  currently using the term "working day."

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Government

• Travel Reimbursement
• SB 1310 by Senator Wentworth
• Requires state agencies to process travel
  reimbursement requests within 45 days of
  submission if the expenses are not in dispute.
• Requires state agencies to reimburse state
  employees for reimbursable travel expenses within
  30 days of a resolution of a dispute.

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Leave

• Amateur Radio Operator Leave
• SB 11 by Senator Carona
• Adds Section 661.919 to Texas Government Code
• A state employee who holds an amateur radio
  station license issued by the Federal
  Communications Commission may be granted leave
  not to exceed 10 days each fiscal year to
  participate in specialized disaster relief
  services without a deduction in salary or loss of
  vacation time, sick leave, earned overtime
  credit, or state compensatory time if the leave
  is taken
• (1)  With the authorization of the employee's
  supervisor and
• (2)  With the approval of the Governor.
• The number of amateur radio operators who are
  eligible for this leave may not exceed 350 state
  employees at any one time during a state fiscal
  year.
• The division of emergency management in the
  governor's office shall coordinate the
  establishment and maintenance of the list of
  eligible employees.

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Leave

• Military Leave Eligibility
• SB 11 by Carona
• Member of a state of federally authorized Urban
  Search and Rescue Team.
• Adds this group to list of employee entitled to a
  paid leave of absence from the person's duties on
  a day on which the person is engaged in
  authorized training or duty ordered or authorized
  by proper authority for not more than 15 workdays
  in a federal fiscal year. During a leave of
  absence the person may not be subjected to loss
  of time, efficiency rating, personal time, sick
  leave, or vacation leave.
• These employees are also entitled to be restored
  to the positions that they held when ordered to
  duty upon return.

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Military

• Tuition Exemption for Children of Certain
  Military Personnel
• HB 125 by Representative Delisi
• The State of Texas currently grants an exemption
  for tuition and certain fees for Texas veterans
  who attend college under Chapter 54 of the Texas
  Education Code. The children of a member of the
  military killed while serving are eligible to
  obtain the same educational benefit. 
• This bill extends this benefit to the children of
  military personnel who become totally disabled in
  the line of duty.

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Military

• Adoption of Refund Policy for Students Called to
  Active Military Service
• SB 309 by Senator Van de Putte
• Currently, a student can receive a refund from a
  university or college when called to active
  military service. However, career and vocational
  schools are not required to give a refund to a
  student called to active military service.
• This bill
• Requires career schools and colleges to refund
  tuition and fees to a student who withdraws from
  the institution as a result of being called to
  active military service.
• Authorizes the student to choose to take an
  incomplete and re-enroll at no additional cost
  within 12 months of finishing military service.
• Authorizes a student to receive an appropriate
  final grade or credit if an instructor determines
  that the student has completed a substantial
  portion of the course.

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Military

• Reemployment Rights of Certain Members of the
  National Guard
• SB 311 by Senator Van de Putte
• Current law, as provided by the Uniformed
  Services Employment and Reemployment Rights Act
  (USERRA), protects the jobs of reserve and guard
  members who are deployed to active duty.  Under
  this law, the State must ensure the reemployment
  rights of Texas guard members who work in Texas. 
  However, USERRA does not extend those
  reemployment rights to persons who serve in the
  military forces of another state and work in
  Texas.
• This bill allows Texas employees to retain their
  jobs in Texas while serving in the military
  forces of another state. 

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Military

• Exemption from Tuition and Mandatory Fees for
  Texas National Guard Members
• SB 685 by Senator Van de Putte
• Currently the Texas National Guard Tuition
  Assistance Program (TAP) provides an exemption
  from the payment of tuition to an institution of
  higher education. 
• This bill exempts mandatory fees, in addition to
  tuition, for members of the Texas Military Forces
  attending institutions of higher education for up
  to 12 credit hours per semester through TAP.

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Retirement - TRS

• Continuation and Functions of Teacher Retirement
  System (TRS)
• HB 2427 by Representative Truitt
• Grants TRS a greater range of oversight tools to
  adequately protect investments made by public
  education employees in 403(b) products.
• Requires TRS to provide equal access to
  retirement counseling services across the state.
• Restructures TRS's disability retirement benefit
  program to ensure the protection of Pension Trust
  Fund assets.

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Retirement

• Transfer of TexaSaver 457 Plan Administered by
  the Employees Retirement System to a 457 Plan
  Created by an Institution of Higher Education
• HB 3322 by Representative Truitt
• Facilitates the plan-to-plan transfer authorized
  by federal law such that the assets of the
  TexaSaver Program that belong to University of
  Texas (UT) System employees are transferred to
  the UT Systems Section 457 plan.

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Retirement

• Investment Authority of the Teacher Retirement
  System
• SB 1447 by Senator Duncan
• Authorizes TRS to buy and sell certain
  investments and other instruments used by pension
  funds only to efficiently manage and reduce the
  risk of the overall investment portfolio.
• Allows delegation of investment authority to and
  contracting with private professional investment
  managers of not more than 30 percent of the fund.

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Retirement - TRS

• Teacher Retirement System Funding and Benefits
• SB 1846 by Senator Duncan
• Allows TRS to require that the rate of
  contribution to the TRS retirement trust fund by
  active members be increased up to 6.58 percent if
  a supplemental benefit payment is authorized by
  the legislature and TRS determines that, after
  paying the supplemental benefit payment, the
  funding period of the pension trust fund would
  exceed 30 years by one or more years.
• Stipulates that the state contribution rate may
  not be lower than the active member contribution
  rate and that the state contribution rate shall
  be 6.58 percent for the 2008-09 biennium.
• Exempts school districts from return-to-work
  retiree employer surcharge payments for retirees
  who retired before September 1, 2005.
• Directs TRS to make a one-time supplemental
  benefit payment to eligible annuitants in
  September 2007.

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Retirement

• Determination of Compensation Under the Teacher
  Retirement System
• SB 1877 by Senator Averitt
• Adds the relevant parts of amounts received for
  awards for student achievement, educator
  excellence, and mentoring programs and all salary
  amounts designated as health care supplementation
  to the definition of salary and wages required
  to be reported and deducted for member
  contributions to the TRS and to credit in benefit
  computations.

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Unemployment Compensation

• Operation of the Unemployment Compensation System
  and Computation of an Individual's Benefits
• HB 2120 by Deshotel
• Includes provisions allowing the Texas Workforce
  Commission to use wages ordered paid by a final
  order of the Commission when calculating benefit
  payment amounts.
• Modifies the section of the law that defines
  wages used to calculate an individual's benefit
  amounts.
• Conforms state law to newly issued federal
  unemployment compensation confidentiality
  regulations.

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Veterans Preference

• Appeal by a Veteran of Certain Adverse Employment
  Decisions
• HB 1275 by Representative McClendon
• Authorizes veterans entitled to employment
  preferences under Chapter 657, Texas Government
  Code, who are aggrieved by an employment
  decision, to appeal such decision by filing a
  written complaint with the governing body of the
  public entity.
• The governing body shall respond to the complaint
  not later than the 15th business day after the
  date the governing body receives the complaint.

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Workers Compensation

• Relates to Workers' Compensation Medical Benefits
  for Certain Prosthetic or Orthotic Devices
• SB 458 by Watson
• Currently, artificial limbs are not treated by
  all workers' compensation carriers as a physical
  structure of the body.
• Therefore, an accident resulting in a broken leg
  would be treatable under workers' compensation,
  but the same accident causing injury to an
  artificial leg would not cover repair or
  replacement of the artificial leg.
• Ensures workers' compensation carriers treat
  artificial limbs as natural limbs.

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Workers Compensation

• Reporting Requirements Regarding Workers'
  Compensation Claims
• SB 471 by Senator Brimer
• Requires the collection of workers' compensation
  data through rule instead of statute and removes
  specific data elements and reporting requirements
  in statute.

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Workers Compensation

• Relates to Claims for certain Medical Benefits,
  Death Benefits, and Burial Benefits.
• HB 724 by Representative Solomons
• Provides a new appeal process for certain
  workers' compensation medical disputes.
• Allows a party in a medical dispute to request an
  administrative hearing as the first stage of an
  appeal.
• Adds surviving parents to the list of
  beneficiaries eligible for death benefits in
  workers' compensation cases.
• Expands the recovery rights to include an
  accident or health insurance carrier that has
  paid for health care for a workers' compensation
  injury and establishes a process for a health
  care insurer to pursue reimbursement for workers'
  compensation health care services from the
  workers compensation insurance carrier.

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Workers Compensation

• Timely submissions of a claim for payment by a
  workers' compensation health care provider
• HB 1005 by Representative Giddings
• Provides that a health care provider of workers'
  compensation health care services does not
  forfeit his or her right to reimbursement if the
  claim for payment is timely filed, but
  erroneously filed with the wrong insurer.
• Allows extension of the deadline by agreement of
  the parties or in catastrophic situations.

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Workers Compensation

• Relates to Doctor Licensing Requirements for Peer
  Review, Utilization, and Retrospective Review of
  Medical Decisions Regarding Workers' Compensation
  Claims.
• HB 1006 by Representative Giddings
• Provides that a utilization review agent must use
  doctors licensed in this state to perform reviews
  of health care services.
• Provides that a health care provider charge for
  providing medical information to a utilization
  review agency be no more than the cost of copying
  records regarding a workers' compensation claim,
  as set by rules adopted by the commissioner of
  workers' compensation.

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Tracking Legislation

• Information about passed legislation can be found
  at Texas Legislature Online.
• Web Address http//www.capitol.state.tx.us/
• This site allows you to
• Obtain list of bills.
• Determine which bills passed.
• View the text of bills.
• Find out when a bill becomes effective.

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Questions

• For additional information contact
• Christine Bailey at (512-936-9628
• E-Mail cbailey_at_sao.state.tx.us
• Stacey McClure at [phone]
• E-mail smcclure_at_sao.state.tx.us