HBA-DMD H.B. 2377 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2377 By: Burnam State Affairs 3/30/1999 Introduced BACKGROUND AND PURPOSE When the minimum wage is low, the burden of the working poor on public assistance programs increases. Some state employees who work full-time still rely on public assistance to make ends meet. H.B. 2377 requires a state or local governmental entity (entity) to pay to a public employee a wage that is no less than the minimum hourly wage described by this bill or the federal minimum hourly wage, whichever rate is greater. This bill requires an entity to pay a public employee a minimum hourly wage that is not less than the average weekly salary divided by 40, and sets forth the process for calculating a minimum hourly wage. It also requires an entity to adopt a salary schedule no later than October 1, 1999. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subtitle A, Title 6, Government Code, by adding Chapter 618, as follows: CHAPTER 618. MINIMUM WAGE FOR PUBLIC EMPLOYEES Sec. 618.001. DEFINITIONS. Defines "fair market rent," "fair market rent area," and "local governmental entity" in this chapter. Sec. 618.002. EXEMPTION. Sets forth that this chapter does not apply to a public employee whose salary is set by the Texas Constitution. Sec. 618.003. PAYMENT OF MINIMUM WAGE. Requires a state or local governmental entity (entity) to pay to a public employee a wage that is no less than the minimum hourly wage described by Section 618.004, or the federal minimum hourly wage, whichever rate is greater. Sec. 618.004. CALCULATION OF MINIMUM WAGE. Requires an entity to pay a public employee a minimum hourly wage that is not less than the average weekly salary divided by 40. Sets forth the process for calculating a minimum hourly wage. SECTION 2. Requires an entity to adopt a salary schedule in accordance with Chapter 618, Government Code, as added by this Act, no later than October 1, 1999. Requires an entity to implement a salary schedule on the first day of the entity's first fiscal year that begins after the effective date of this Act. SECTION 3.Emergency clause. Effective date: upon passage.