HBA-NLM H.B. 2877 76(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 2877
By: Maxey
Human Services
10/5/1999
Enrolled

BACKGROUND AND PURPOSE 

The Texas Integrated Enrollment and Services (TIES) project is part of the
state's effort to improve the delivery of critical health, human, and
employment services by integrating eligibility and enrollment functions of
many health and human service agencies. Because TIES is a complex
information technology project, one which widely impacts programs across
health and human services agencies, this project requires oversight and
approval from a variety of federal and state authorities as it is
implemented. 

Prior to the 76th Legislature, the TIES interagency management team
recommended that temporary service retirement options be considered by the
legislature in order to lessen the impact of staff reductions associated
with the implementation of TIES.  Implementation of such options would have
extended the option for employees of the Texas  Department of Human Service
(DHS) and the Texas Workforce Commission (TWC) to add three or five years
to age and service to allow them to meet the total of 80 combined years to
retire because of the elimination of their positions due to privatization
or other reductions in services provided by these agencies.  In addition,
TIES recommended that the option be extended to Texas Department of Health
(TDH) workers who might be impacted by privatization or other reductions in
services provided by TDH.  

H.B. 2877 proposes collocation of TIES and other state eligibility and
enrollment staff with providers of corresponding health, human, and
workforce services.  It authorizes a health and human services agency, with
the approval of certain entities, to sublease office space to a private
service entity or lease office space from a private service entity that
provides publicly funded health, human, or workforce services to enable
agency eligibility and enrollment personnel to work with the provider under
certain provisions.  This bill provides that a state agency is delegated
the authority to enter into a lease or sublease under this section and is
authorized to negotiate the terms of the lease or sublease. This bill also
authorizes a state agency to share business resources with a private
service entity that enters into a lease or sublease agreement with the
agency under this section. 

H.B. 2877 also includes employees of TDH as persons eligible  for the
retirement option if their positions are lost because of privatization or
other reductions in services provided by TDH. However,  the retirement
option is not available to an employee of TDH or DHS who receives a cash
payment under an incentive program implemented by either agency with
respect to certain employees whose positions are eliminated because of
privatization or other reductions in services provided by the agency.
Nevertheless, these people are entitled to receive state contributions
required to provide health coverage for two months after the effective date
of their separation from state service. 

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 Subchapter B, Chapter 531, Government Code, by adding
Sections 531.051 and 531.052, as follows: 

Sec. 531.051.  LEASES AND SUBLEASES OF CERTAIN OFFICE SPACE.  Authorizes a
health and human services agency, with the approval of certain entities, to
sublease office space to a private service entity or lease office space
from a private service entity that  provides publicly funded health, human,
or workforce services to enable agency eligibility and enrollment personnel
to work with the provider under certain provisions.  Provides that
Subchapters D (Lease of Public Grounds)  and E (Lease of Space in
State-Owned Buildings to Private Tenants), Chapter 2165 (State Buildings,
Grounds, Property), do not apply to a state agency that leases or subleases
office space to a private service entity under this section. Provides that
Subchapter B (Procedures for Leasing Space; Lease Contract), Chapter 2167
(Lease of Space for State Agencies), does not apply to a state agency that
leases or subleases office space from a private service entity under this
section.  Provides that a state agency is delegated the authority to enter
into a lease or sublease under this section and is authorized to negotiate
the terms of the lease or sublease. Authorizes a state agency to share
business resources with a private service entity that enters into a lease
or sublease agreement with the agency under this section. 

Sec. 531.052. ASSUMPTION OF LEASES FOR IMPLEMENTATION OF INTEGRATED
ENROLLMENT SERVICES INITIATIVE.  Authorizes a health and human services
agency, with approval of certain entities that administer employment
services programs, to assume a lease from an integrated enrollment services
initiative contractor or subcontractor for the purpose of implementing the
initiative at one development center, one mail center, or 10 or more call
or change centers.  Provides that Subchapter B, Chapter 2167, Government
Code, does not apply to a state agency that assumes a lease from a
contractor or subcontractor under this section. 

 SECTION 2.  Amends Section 814.1041, Government Code, by amending
Subsections (a) and (f) and by adding Subsection (g), as follows: 

(a)  Applies the provisions of this section to employees of the Texas
Department of Health (TDH), among other state agencies, whose positions are
eliminated for specified reasons.  

(f)  Provides that the retirement option under this section is not
available to an employee of TDH or the Texas Department of Human Services
(DHS) who receives a cash payment under an incentive program implemented by
either agency with respect to certain employees whose positions are
eliminated because of privatization or other reductions in services
provided by the agency. 

(g)  Provides that this section applies only to positions eliminated by
privatization or other reductions in workforce before September 1, 2003,
rather than September 1, 1999. Creates this section from existing text. 

SECTION 3. Amends Article 3.50-2, V.T.C.S. (Texas Employees Uniform Group
Insurance Benefits Act), by adding Section 3B, as follows: 

Sec. 3B.  CERTAIN EMPLOYEES MAY ELECT TO PARTICIPATE.  Provides that this
section applies only to a person who separates from state service and
receives a cash payment under an incentive program implemented by DHS or
TDH with respect to certain employees whose positions are eliminated as a
result of privatization or other reductions in services provided by those
agencies. Entitles a person, after the effective date of the person's
separation from state service, to receive state contributions required to
provide health coverage for two months as described.  

SECTION 4.  Effective date: September 1, 1999.

SECTION 5.  Emergency clause.