HBA-DMD H.B. 2342 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2342 By: Culberson State Affairs 4/6/1999 Introduced BACKGROUND AND PURPOSE H.B. 2342 requires the Private Sector Prison Industries Oversight Authority (authority) to require that inmate employees at each private sector prison industries program be paid at a wage computed by the authority. This bill deletes the provision that a construction project contract must contain the prevailing wage for mechanics, laborers, and other persons employed in the project. It also deletes the requirement of the Tarrant County Commissioners Court to set the prevailing wage in the amount set for all construction projects involving the expenditure of county funds. H.B. 2342 deletes the provision prohibiting the Texas Workforce Commission from contracting with an organization that does not pay the prevailing wage rate for the particular job. This bill also repeals certain sections and chapters relating to prevailing wage rates, the awarding of grants, and the conditions where bonds can be spent to cover the construction of buildings, improvements, or facilities. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority previously delegated to the Private Sector Prison Industries Oversight Authority is modified in SECTION 1 (Section 497.058, Government Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 497.058, Government Code, as follows: Sec. 497.058. New Title: EMPLOYEE WAGE. Requires the Private Sector Prison Industries Oversight Authority (authority), by rule, to require that inmate employees at each private sector prison industries program be paid at a wage, rather than not less than the prevailing wage as, computed by the authority. Deletes Subsection (b) relating to the computations of the prevailing wage and type and location of work. Makes conforming and nonsubstantive changes. SECTION 2. Amends Section 281.052(c), Health and Safety Code, to delete the provision that a construction project contract must contain the prevailing wage for mechanics, laborers, and other persons employed in the project. Deletes the requirement that the Tarrant County Commissioners Court set the prevailing wage in the amount set for all construction projects involving the expenditure of county funds. SECTION 3. Amends Section 101.023(c), Human Resources Code, to delete the provision prohibiting the Texas Workforce Commission from contracting with an organization that does not pay the prevailing wage rate for the particular job. Makes a conforming change. SECTION 4. Amends Section 174.021, Local Government Code, as follows: Sec. 174.021. New Title: EQUIVALENT WORKING CONDITIONS REQUIRED. Requires a political subdivision that employs fire fighters, police officers, or both, to provide those employees with conditions, rather than with compensation and other conditions, of employment that are: (1) substantially equivalent to the conditions, rather than substantially equal to compensation and other conditions, of employment that occur, rather than prevail, in comparable employment in the private sector; and (2) based on private sector conditions, rather than based on prevailing private sector compensation and conditions, of employment in other jobs, rather than employment in the labor market area in other jobs, that require the same or similar skills, ability, and training and may be performed under the same or similar conditions. SECTION 5. Repealer: Section 481.155(d) (relating to the situations in which a grant is prohibited from being awarded), Government Code. Repealer: Chapter 2258 (Prevailing Wage Rates), Government Code. Repealer: Section 263.053(d) (relating to situations in which a construction contract is authorized to be awarded), Local Government Code. Repealer: Section 2(e), Article 1269j-5.3, V.T.C.S. (relating to the conditions in which bonds can be spent to cover the construction of buildings, improvements, or facilities). SECTION 6.Effective date: September 1, 1999. Makes application of this Act prospective. SECTION 7.Emergency clause.