HBA-DMD S.B. 525 76(R) BILL ANALYSIS Office of House Bill AnalysisS.B. 525 By: Luna State, Federal, & International Relations 4/26/1999 Engrossed BACKGROUND AND PURPOSE Under current law, there is a significant difference between benefits awarded to a member of a state military force who provides service for the United States and one who provides service only to the state. Full benefits are given by the federal government while Texas awards lesser benefits. Attention was called to this matter by an 1998 accident involving a member of the Texas State Guard while on duty. S.B. 525 prohibits a private employer from terminating the employment of a permanent employee who is a member of the state military forces because the employee is ordered to authorized training or duty by proper authority. This bill entitles an employee to return to the same employment held when ordered to training or duty and prohibits the employee from being subjected to loss of time, efficiency rating, vacation time, or any benefit of employment during or because of the absence. It includes allowances as a benefit that a member of the state military forces is entitled to when performing training or other duty. S.B. 525 also authorizes the adjutant general to use public funds to purchase an insurance policy or annuity contract. 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 Section 431.006, Government Code, as follows: Sec. 431.006. New Title: REEMPLOYMENT OF PERSON CALLED TO TRAINING OR DUTY. Prohibits a private employer from terminating the employment of a permanent employee who is a member of the state military forces because the employee is ordered to authorized training or duty, rather than active duty, by proper authority, rather than by proper authority during an emergency within the state. Provides that the employee is entitled to return to the same employment held when ordered to training or duty, rather than active duty, and is prohibited from being subjected to loss of time, efficiency rating, vacation time, or any benefit of employment during or because of the absence. Makes conforming changes. SECTION 2. Amends Section 431.082(c), Government Code, to include allowances as a benefit that a member of the state military forces is entitled to when performing training or other duty. Makes conforming changes. SECTION 3. Amends Section 431.104, Government Code, as follows: Sec. 431.104. New Title: COMPENSATION FOR DEATH OR DISABILITY. (a) Entitles a member of the state military forces who is killed or disabled while engaged in authorized training or duty, rather than whose disability incurred in the line of duty is permanent, to receive compensation under Chapter 501 (Workers' Compensation Insurance Coverage for State Employees, Including Employees Under the Direction or Control of the Board of Regents of Texas Tech University), Labor Code, rather than receive compensation based on the person's percentage of total disability. Deletes the provision specifying that compensation is received by the member of the state military forces after payment under Section 431.102 (Medical Care), Government Code, has ceased and in addition to payment and allowance under Section 431.103 (Pay and Allowance), Government Code. Deletes the provision prohibiting the compensation for disability incurred in the line of military duty from exceeding $440 a month plus 12 and one-half percent of the basic pay of the grade or rank that the person held. (b) Authorizes the adjutant general, in cooperation with the State Office of Risk Management, to use available public funds to purchase an insurance policy or annuity contract from any insurance or annuity company authorized to do business in this state as the adjutant general considers necessary to carry out this section. Sets forth that this subsection expires September 1, 2001. Deletes text requiring a board of officers to determine a person's percentage of disability and award compensation for the disability. SECTION 4. Amends Subchapter C, Chapter 408, Labor Code, by adding Section 408.0445, as follows: Sec. 408.0445. AVERAGE WEEKLY WAGE FOR MEMBERS OF THE STATE MILITARY FORCES. Sets forth the average weekly wage of a member of the state military forces as defined by Section 431.001 (Definitions), Government Code, who is engaged in authorized training or duty, for the purposes of computing income benefits or death benefits under Section 431.104, Government Code. SECTION 5. Amends Section 501.001(5), Labor Code, to modify the definition of "employee." SECTION 6. Amends Section 501.002, Labor Code, by adding Subsection (e), to provide that the adjutant general is considered the employer of a member of the state military forces while engaged in authorized training or duty, for the purposes of this chapter and Chapter 451 (Discrimination Prohibited), Labor Code. SECTION 7. Amends Section 501.024, Labor Code, to remove a member of the state military forces as a person who is excluded from coverage as an employee under this chapter. Makes conforming changes. SECTION 8. Repealer: Sections 431.102 (Medical Care), 431.103 (Pay and Allowance), 431.105 (Compensation for Death), and 431.106 (Administration by Adjutant General), Government Code. SECTION 9. (a) Effective date: September 1, 1999. (b) Provides that the change in law made by this Act to Subchapter G (Disability or Death in the Line of Military Duty), Chapter 431 (State Militia), Government Code, applies only to an injury or death of a member of the state military forces occurring on or after August 15, 1998, and to compensation payable on or after the effective date of this Act. (c) Provides that the change in law made by this Act to Sections 501.001 and 501.024, Labor Code, applies to a compensable injury sustained by a member of the state military forces on or after August 15, 1998. For purposes of complying with the procedural requirements to establish a claim for compensation under the workers' compensation laws by a member of the state military forces who sustains a compensable injury before the effective date of this Act, the member's compensable injury is considered to have been sustained on the effective date of this Act. (d) Provides that compensation paid or payable for an injury or death of a member of the state military forces while engaged in authorized training or duty occurring before August 15, 1998, and compensation paid or payable before the effective date of this Act for any injury or death of a member of the state military forces while engaged in authorized training or duty are governed by the law as it existed on the effective date, and the former law is continued in effect for that purpose. SECTION 10.Emergency clause.