HBA-CCH H.B. 2631 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2631
By: Wohlgemuth
Human Services
3/18/2001
Introduced



BACKGROUND AND PURPOSE 

In 1996, the United States Congress passed the Personal Responsibility and
Work Opportunity Reconciliation Act (PRWORA) which required states to
transition welfare recipients into the workforce. In compliance with
PRWORA, Texas has gained national recognition for its welfare-to-work
initiatives. However, Texas needs to continue to encourage personal
responsibility while also developing better ways to support families,
including two-parent families.  Many states have implemented programs with
greater support for two-parent families, yet Texas continues to require
both parents to work or participate in employment activities in order to be
eligible for benefits.  House Bill 2631 modifies personal responsibility
requirements and eligibility criteria for the financial assistance program. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the Texas Department of Human Services
in SECTION 1 (Section 31.0031, Human Resources Code), SECTION 3 (Section
31.00323, Human Resources Code), and SECTION 5 (Section 31.0136 and
31.0038) of this bill. 

ANALYSIS

House Bill 2631 amends the Human Resources Code to require the Texas
Department of Human Services (DHS) to adopt rules governing sanctions and
penalties for the family of a person who fails to comply with the
responsibility agreement required of adults who receive financial
assistance (Section 31.0031).  The bill requires DHS, on a recipient's
first-time failure or refusal to comply with the responsibility agreement,
to reduce the amount of financial assistance provided for each adult person
in the family who is not in compliance for a period of two months or until
each adult member of the family complies, whichever is later.  On a
person's second failure or refusal to comply with the responsibility
agreement DHS is required to terminate the total amount of financial
assistance provided for the person and the person's family in accordance
with applicable law.  If DHS terminates the total amount of financial
assistance provided for a person and the person's family, the person and
the person's family are ineligible for subsequent financial assistance for
a period of six months from the date of the termination of benefits.  If a
recipient fails or refuses to comply with DHS and the Office of the
Attorney General in establishing the paternity of the recipient's dependent
child, the bill requires DHS to terminate a recipient's assistance on the
recommendation of the Attorney General's office (Secs. 31.00321 and
31.00322). 

Before termination of all services and if all sanctions or penalties are
imposed, DHS is required to conduct a case review to determine the reasons
for the violation of the responsibility agreement and to support services
that will enable the person or the member of the person's family to comply
with the requirements. The bill requires a DHS representative to conduct
the case review in person at the recipient's residence (Sec. 31.00331). 

The bill provides that a person is permanently ineligible for financial
assistance if the person is convicted of a felony that involves the
possession, use, manufacture, or distribution of a controlled substance
while receiving financial assistance.  DHS shall require a recipient of
financial assistance to notify DHS if the  recipient is or has been
convicted of a felony involving a controlled substance.  A person convicted
for the first time of a felony involving a controlled substance remains
eligible for financial assistance if the person has completed any sentence
of confinement in connection with the conviction, complies with the terms
and conditions of any parole or community supervision, and has completed or
is participating in a drug rehabilitation, counseling, or support program.
The bill requires DHS to adopt rules as necessary to implement these
provisions.  These provisions do not affect the eligibility for financial
assistance of any other member of the household (Sec. 31.0322). 

If an adult recipient of financial assistance who participates in the Job
Opportunities and Basic Skills Program finds employment, DHS is prohibited
from considering any earned income received by the recipient that would
disqualify the recipient from assistance during the recipient's first six
months of employment.  In adopting rules for this provision, DHS is
required to ensure that this provision applies only to recipients who have
an income in an amount that does not exceed the maximum gross income limit
set by DHS (Sec. 31.0038). 

DHS shall require, to the maximum extent allowed by federal law, an adult
receiving financial assistance during any one-month period to work or
participate in an employment activity authorized under federal law. The
bill requires DHS to modify the responsibility agreement to comply with
this provision (Sec. 31.011). 

The bill requires DHS to allow a two-parent family to satisfy the work
requirements through the participation of the primary wage earner in a work
or employment activity or through the combined participation of both the
primary and secondary wage-earners in work or employment activities (Sec.
31.014). 

DHS shall require a teen noncustodial parent of a child for whom financial
assistance is granted to participate in parenting skills training, money
management classes, and community service work.  The bill requires DHS to
determine activities that satisfy these requirements (Sec.31.0136). 

The bill increases the motor vehicle allowance and provides that, for a
vehicle that will not be used to satisfy work requirements, DHS shall
exclude from the applicant's available resources $10,000 of the applicant's
ownership interest in a primary vehicle and $5,000 for a secondary vehicle.
For  vehicles that will be used to satisfy work requirements, DHS shall
exclude $18,000 of the applicant's combined ownership interest in a primary
and secondary vehicle (Sec. 31.032). 

EFFECTIVE DATE

September 1, 2001.