Texas 2011 82nd Regular

Texas House Bill HB3168 House Committee Report / Bill

Filed 02/01/2025

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                    82R23499 MCK-F
 By: Callegari, Cain H.B. No. 3168
 Substitute the following for H.B. No. 3168:
 By:  Zedler C.S.H.B. No. 3168


 A BILL TO BE ENTITLED
 AN ACT
 relating to state personnel and other human resources matters and
 the disposition of certain state property.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 ARTICLE 1.  STATE EMPLOYEE FURLOUGHS AND COMPENSATION
 SECTION 1.01.  Section 658.007, Government Code, is amended
 by adding Subsection (c) to read as follows:
 (c)  Notwithstanding other law or terms of contract, an
 institution of higher education may establish a mandatory employee
 furlough or work reduction program as necessary to increase
 efficiency, reduce the cost of operations, or otherwise address the
 financial condition of the institution. While a furlough or work
 reduction program is in effect, the terms and conditions of the
 program apply notwithstanding other law. The terms and conditions
 of the program may address the eligibility of an employee for and
 contributions for benefits under Chapter 1551 or 1601, Insurance
 Code, as applicable.
 SECTION 1.02.  Chapter 658, Government Code, is amended by
 adding Section 658.011 to read as follows:
 Sec. 658.011.  INVOLUNTARY FURLOUGH PROGRAM. (a) In this
 section, "state agency" means a board, commission, office,
 department, or other agency in the executive, judicial, or
 legislative branch of state government. The term does not include
 an institution of higher education as defined by Section 61.003,
 Education Code.
 (b)  On approval of the governing body of the state agency,
 the executive director of a state agency may require an employee of
 the state agency to participate in an involuntary furlough program
 without pay in order to balance the state agency's budget.
 (c)  The state agency implementing an involuntary furlough
 program under this section shall reduce an employee's compensation
 in an amount equal to the number of hours the employee is furloughed
 times the employee's hourly rate or equivalent hourly rate as
 provided by Section 659.085.
 (d)  Except as provided by Subsection (g), a state employee
 may not use vacation, sick, or any other paid leave while the
 employee is on an unpaid furlough.
 (e)  An unpaid furlough under this section does not
 constitute a break in service for the state employee.
 (f)  A state employee who is on unpaid furlough continues to
 accrue:
 (1)  state service credit for purposes of longevity
 pay;
 (2)  vacation leave; and
 (3)  sick leave.
 (g)  A state employee on an unpaid furlough that exceeds one
 month in length may continue to accrue service credit with the
 Employees Retirement System of Texas or Teacher Retirement System
 of Texas by receiving state pay during each month of the unpaid
 furlough in an amount equal to the employee's contribution to the
 retirement system under Section 815.402 or 825.403, as appropriate.
 The employee may use any combination of paid leave, including state
 compensatory leave, overtime leave under the federal Fair Labor
 Standards Act of 1938 (29 U.S.C. Section 201 et seq.), sick leave,
 or annual leave to qualify for the state pay.
 SECTION 1.03.  Section 659.043, Government Code, is amended
 by adding Subsection (c) to read as follows:
 (c)  Notwithstanding Subsections (a)(1) and (2), an employee
 participating in an involuntary furlough program under Section
 658.011 who is otherwise eligible for longevity pay is entitled to
 longevity pay.
 SECTION 1.04.  Subchapter K, Chapter 659, Government Code,
 is amended by adding Section 659.264 to read as follows:
 Sec. 659.264.  CERTAIN SALARY REDUCTIONS AT INSTITUTIONS OF
 HIGHER EDUCATION. Notwithstanding other law or terms of contract,
 subject solely to procedures and rules adopted by the governing
 board, an institution of higher education may establish a program
 of temporary or permanent salary reductions as necessary to reduce
 the cost of operations or otherwise address the financial condition
 of the institution.
 SECTION 1.05.  Section 811.001(7), Government Code, is
 amended to read as follows:
 (7)  "Compensation" means the base salary of a person;
 amounts that would otherwise qualify as compensation but are not
 received directly by a person pursuant to a good faith, voluntary,
 written salary reduction agreement in order to finance payments to
 a deferred compensation or tax sheltered annuity program
 specifically authorized by state law or to finance benefit options
 under a cafeteria plan qualifying under Section 125 of the Internal
 Revenue Code of 1986 (26 U.S.C. Section 125); longevity and
 hazardous duty pay; nonmonetary compensation, the value of which
 is determined by the retirement system; amounts by which a person's
 salary is reduced under a salary reduction agreement authorized by
 Chapter 610; amounts by which a person's salary is reduced under an
 involuntary furlough program under Section 658.011; and the benefit
 replacement pay a person earns under Subchapter H, Chapter 659, [as
 added by Chapter 417, Acts of the 74th Legislature, 1995,] except
 for the benefit replacement pay a person earns as a result of a
 payment made under Subchapter B, C, or D, Chapter 661. The term
 excludes overtime pay and a cleaning or clothing allowance.
 SECTION 1.06.  Subchapter C, Chapter 1551, Insurance Code,
 is amended by adding Section 1551.1015 to read as follows:
 Sec. 1551.1015.  INVOLUNTARY FURLOUGH PROGRAM. An
 individual is eligible to participate in the group benefits program
 if the individual would otherwise be eligible to participate in the
 program under this subchapter except that the individual is not
 receiving compensation for service because the individual is
 participating in an involuntary furlough program under Section
 658.011, Government Code.
 SECTION 1.07.  Section 1551.319, Insurance Code, is amended
 by adding Subsection (g) to read as follows:
 (g)  For purposes of determining whether an individual is a
 full-time or part-time employee under this section, any reduction
 in the employee's hours that results from the employee's
 participation in an involuntary furlough program under Section
 658.011, Government Code, may not be considered.
 SECTION 1.08.  Subchapter G, Chapter 1551, Insurance Code,
 is amended by adding Section 1551.325 to read as follows:
 Sec. 1551.325.  CONTRIBUTIONS AND PAYMENTS FROM CERTAIN
 EMPLOYEES. (a)  An employee participating in an involuntary
 furlough program under Section 658.011, Government Code, for a
 period of a month or more shall make the contributions required for
 the coverage selected by the employee, including any amount of a
 salary reduction agreement under a cafeteria plan, as required by
 the trustee.
 (b)  The employee is entitled to receive compensation for any
 combination of paid leave, including state compensatory leave,
 overtime leave under the federal Fair Labor Standards Act of 1938
 (29 U.S.C. Section 201 et seq.), sick leave, or annual leave, to the
 extent necessary to make the required contribution.
 ARTICLE 2.  STATE PERSONNEL AND OTHER STATE HUMAN RESOURCES MATTERS
 SECTION 2.01.  Section 670.002, Government Code, is amended
 to read as follows:
 Sec. 670.002.  HUMAN RESOURCES STAFFING FOR LARGE STATE
 AGENCIES. A state agency with 500 or more full-time equivalent
 employees shall adjust the agency's human resources staff to
 achieve a human resources employee-to-staff ratio of not more than
 one human resources employee for every 100 [85] staff members.
 SECTION 2.02.  Section 670.003, Government Code, is amended
 to read as follows:
 Sec. 670.003.  HUMAN RESOURCES STAFFING FOR [MEDIUM-SIZED
 AND] SMALL STATE AGENCIES; OUTSOURCING. [(a)] The State Council on
 Competitive Government shall:
 (1)  perform a review to determine the
 cost-effectiveness of consolidating the human resources functions
 of or contracting with private entities to perform the human
 resources functions of all state agencies that employ 100 or fewer
 [than 500] full-time equivalent employees;
 (2)  implement the findings of the review, including
 contracting for human resources functions on behalf of small state
 agencies, as necessary; and
 (3)  review the human resources functions of small
 state agencies at least once every five years or as determined
 necessary based on the terms of a contract entered into to implement
 this section.
 [(b)     If the council determines that contracting with
 private entities is cost-effective, the council shall issue a
 request for proposals for vendors to perform the human resources
 functions of the agencies.
 [(c)     The council shall determine which human resources
 functions are subject to the contract and which functions the
 agency may select to perform itself.
 [(d)     Each agency shall pay for the contracts for human
 resources functions out of the agency's human resources budget.]
 SECTION 2.03.  Chapter 670, Government Code, is amended by
 adding Section 670.004 to read as follows:
 Sec. 670.004.  HUMAN RESOURCES STAFFING FOR MEDIUM-SIZED
 STATE AGENCIES; OUTSOURCING. (a) A state agency with fewer than 500
 full-time equivalent employees but more than 100 full-time
 equivalent employees shall:
 (1)  adjust the agency's human resources staff to
 achieve a human resources employee-to-staff ratio of not more than
 one human resources employee for every 100 staff members; or
 (2)  request the State Council on Competitive
 Government to perform a review to determine the cost-effectiveness
 of consolidating the human resources functions of, or contracting
 with private entities to perform the human resources functions of,
 the agency.
 (b)  If, based on the review performed under Subsection
 (a)(2), the State Council on Competitive Government determines that
 the agency should contract with a private entity to perform the
 human resources functions, the agency shall work with the State
 Council on Competitive Government to contract for performance of
 the agency's human resources functions.
 ARTICLE 3. SURPLUS AND SALVAGE PROPERTY
 SECTION 3.01.  Section 2175.002, Government Code, is amended
 to read as follows:
 Sec. 2175.002.  ADMINISTRATION OF CHAPTER. The commission
 shall dispose of surplus and salvage property. The commission's
 surplus and salvage property division shall administer this
 chapter.
 SECTION 3.02.  Section 2175.065, Government Code, is amended
 by amending Subsection (a) and adding Subsections (c) and (d) to
 read as follows:
 (a)  The commission may authorize a state agency to dispose
 of surplus or salvage property if the agency demonstrates to the
 commission its ability to dispose of the property under this
 chapter [Subchapters C and E] in a manner that results in cost
 savings to the state, under commission rules adopted under this
 chapter.
 (c)  If a state agency disposes of property under this
 section, the agency shall report the disposal to the commission.
 The report must include:
 (1)  a description of the disposed property;
 (2)  the reasons for the disposal;
 (3)  if the property is sold, the price for the disposed
 property; and
 (4)  the recipient of the disposed property.
 (d)  If the commission determines that a state agency
 violated a law or rule, the commission shall report the violation to
 the Legislative Budget Board.
 SECTION 3.03.  The heading to Subchapter D, Chapter 2175,
 Government Code, is amended to read as follows:
 SUBCHAPTER D.  DISPOSITION OF SURPLUS OR SALVAGE PROPERTY [BY
 COMMISSION]
 SECTION 3.04.  Section 2175.181, Government Code, is amended
 to read as follows:
 Sec. 2175.181.  APPLICABILITY. [(a) This subchapter
 applies only to surplus and salvage property located in:
 [(1)  Travis County;
 [(2)     a county in which federal surplus property is
 warehoused by the commission under Subchapter G; or
 [(3)     a county for which the commission determines that
 it is cost-effective to follow the procedures created under this
 subchapter and informs affected state agencies of that
 determination.
 [(b)]  This subchapter applies [does not apply] to a state
 agency delegated the authority to dispose of surplus or salvage
 property under Section 2175.065.
 SECTION 3.05.  Section 2175.182, Government Code, is amended
 to read as follows:
 Sec. 2175.182.  STATE AGENCY NOTICE TO COMMISSION AND
 TRANSFER OF PROPERTY [TO COMMISSION]. (a) A state agency that
 determines it has [The commission is responsible for the disposal
 of] surplus or salvage property shall notify the commission about
 the property to determine the method of disposal [under this
 subchapter].  The commission may take physical possession of the
 property.
 (b)  Based on the condition of the property, the commission,
 in conjunction with the state agency, shall determine whether the
 property is:
 (1)  surplus property that should be offered for
 transfer under Section 2175.184 or sold to the public; or
 (2)  salvage property.
 (c)  After the commission makes the determination under
 Subsection (b), the [The] commission shall direct the state agency
 to inform the comptroller's office of the property's kind, number,
 location, condition, original cost or value, and date of
 acquisition.
 SECTION 3.06.  Section 2175.1825, Government Code, is
 amended to read as follows:
 Sec. 2175.1825.  ADVERTISING ON COMPTROLLER WEBSITE;
 COMMISSION ACCESS. (a) Not later than the second day after the date
 the comptroller receives notice from a state agency [the
 commission] under Section 2175.182(c), the comptroller shall
 advertise the property's kind, number, location, and condition on
 the comptroller's website.
 (b)  The comptroller shall provide the commission access to
 all records in the state property accounting system related to
 surplus and salvage property.
 SECTION 3.07.  Section 2175.183, Government Code, is amended
 to read as follows:
 Sec. 2175.183.  COMMISSION NOTICE TO OTHER ENTITIES. The
 [On taking responsibility for surplus property under this
 subchapter, the] commission shall inform other state agencies,
 political subdivisions, and assistance organizations of the
 comptroller's website that lists surplus property that is available
 for sale.
 SECTION 3.08.  Section 2175.184, Government Code, is amended
 to read as follows:
 Sec. 2175.184.  DIRECT TRANSFER. During the 10 business
 days after the date the property is posted on the comptroller's
 website, a state agency, political subdivision, or assistance
 organization shall [may] coordinate with the commission for a
 transfer of the property at a price established by the commission
 [in cooperation with the transferring agency]. A transfer to a
 state agency has priority over any other transfer during this
 period.
 SECTION 3.09.  Section 2175.186(a), Government Code, is
 amended to read as follows:
 (a)  If a disposition of a state agency's surplus property is
 not made under Section 2175.184, the commission shall sell the
 property by competitive bid, auction, or direct sale to the public,
 including a sale using an Internet auction site. The commission may
 contract with a private vendor to assist with disposition.
 SECTION 3.10.  Section 2175.189, Government Code, is amended
 to read as follows:
 Sec. 2175.189.  ADVERTISEMENT OF SALE. If the value of an
 item or a lot of property to be sold is estimated to be more than
 $25,000 [$5,000], the commission shall advertise the sale at least
 once in at least one newspaper of general circulation in the
 vicinity in which the property is located.
 SECTION 3.11.  Section 2175.191(a), Government Code, is
 amended to read as follows:
 (a)  Proceeds from the sale of surplus or salvage property,
 less the cost of advertising the sale, the cost of selling the
 surplus or salvage property, including the cost of auctioneer
 services or assistance from a private vendor, and the amount of the
 fee collected under Section 2175.188, shall be deposited to the
 credit of the general revenue fund of the state treasury.
 SECTION 3.12.  Section 2175.302, Government Code, is amended
 to read as follows:
 Sec. 2175.302.  EXCEPTION FOR ELEEMOSYNARY INSTITUTIONS.
 Except as provided by Section 2175.905 [2175.128(b)], this chapter
 does not apply to the disposition of surplus or salvage property by
 a state eleemosynary institution.
 SECTION 3.13.  Section 2175.904, Government Code, is amended
 by amending Subsections (a) and (c) and adding Subsection (d) to
 read as follows:
 (a)  The commission shall establish a program for the sale of
 gambling equipment received from a city, from a commissioners court
 under Section 263.152(a)(5), Local Government Code, or from a
 state agency under this chapter.
 (c)  Proceeds from the sale of gambling equipment, less the
 costs of the sale, including costs of advertising, storage,
 shipping, and auctioneer or broker services, and the amount of the
 fee collected under Section 2175.188 [2175.131], shall be divided
 according to an agreement between the commission and the city or the
 commissioners court that provided the equipment for sale.  The
 agreement must provide that:
 (1)  not less than 50 percent of the net proceeds be
 remitted to the city or the commissioners court; and
 (2)  the remainder of the net proceeds retained by the
 commission be deposited to the credit of the general revenue fund.
 (d)  Proceeds from the sale of gambling equipment received
 from a state agency, less the costs of the sale, including costs of
 advertising, storage, shipping, and auctioneer or broker services,
 and the amount of the fee collected under Section 2175.188, shall be
 deposited to the credit of the general revenue fund of the state
 treasury in accordance with state law.
 SECTION 3.14.  Subchapter Z, Chapter 2175, Government Code,
 is amended by adding Sections 2175.905 and 2175.906 to read as
 follows:
 Sec. 2175.905.  DISPOSITION OF DATA PROCESSING EQUIPMENT.
 (a) If a disposition of a state agency's surplus or salvage data
 processing equipment is not made under Section 2175.184, the state
 agency shall transfer the equipment to:
 (1)  a school district or open-enrollment charter
 school in this state under Subchapter C, Chapter 32, Education
 Code;
 (2)  an assistance organization specified by the school
 district; or
 (3)  the Texas Department of Criminal Justice.
 (b)  If a disposition of the surplus or salvage data
 processing equipment of a state eleemosynary institution or an
 institution or agency of higher education is not made under other
 law, the institution or agency shall transfer the equipment to:
 (1)  a school district or open-enrollment charter
 school in this state under Subchapter C, Chapter 32, Education
 Code;
 (2)  an assistance organization specified by the school
 district; or
 (3)  the Texas Department of Criminal Justice.
 (c)  The state eleemosynary institution or institution or
 agency of higher education or other state agency may not collect a
 fee or other reimbursement from the district, the school, the
 assistance organization, or the Texas Department of Criminal
 Justice for the surplus or salvage data processing equipment
 transferred under this section.
 Sec. 2175.906.  ABOLISHED ENTITIES. The commission shall
 take custody, as surplus property, of the property and other assets
 of a state agency or advisory committee abolished in accordance
 with Chapter 325 unless the legislature designates another
 appropriate governmental entity to take custody of the property and
 assets.
 SECTION 3.15.  Section 32.102(a), Education Code, is amended
 to read as follows:
 (a)  As provided by this subchapter, a school district or
 open-enrollment charter school may transfer to a student enrolled
 in the district or school:
 (1)  any data processing equipment donated to the
 district or school, including equipment donated by:
 (A)  a private donor; or
 (B)  a state eleemosynary institution or a state
 agency under Section 2175.905 [2175.128], Government Code;
 (2)  any equipment purchased by the district or school,
 to the extent consistent with Section 32.105; and
 (3)  any surplus or salvage equipment owned by the
 district or school.
 SECTION 3.16.  Section 325.017(e), Government Code, is
 amended to read as follows:
 (e)  Unless the governor designates an appropriate state
 agency as prescribed by Subsection (f), [property and] records in
 the custody of an abolished state agency or advisory committee on
 September 1 of the even-numbered year after abolishment shall be
 transferred to the comptroller.  If the governor designates an
 appropriate state agency, the [property and] records shall be
 transferred to the designated state agency.
 SECTION 3.17.  Section 201.001(a), Insurance Code, is
 amended to read as follows:
 (a)  The Texas Department of Insurance operating account is
 an account in the general revenue fund. The account includes the
 following:
 (1)  taxes and fees received by the commissioner or
 comptroller that are required by this code to be deposited to the
 credit of the account; and
 (2)  money or credits received by the department or
 commissioner from sales, reimbursements, and fees authorized by law
 other than this code, including money or credits received from:
 (A)  charges for providing copies of public
 information under Chapter 552, Government Code;
 (B)  the disposition of surplus or salvage
 property under [Subchapters C and D,] Chapter 2175, Government
 Code;
 (C)  the sale of publications and other printed
 material under Section 2052.301, Government Code;
 (D)  miscellaneous transactions and sources under
 Section 403.011 or 403.012, Government Code;
 (E)  charges for postage spent to serve legal
 process under Section 17.025, Civil Practice and Remedies Code;
 (F)  the comptroller involving warrants for which
 payment is barred under Chapter 404, Government Code;
 (G)  sales or reimbursements authorized by the
 General Appropriations Act; and
 (H)  the sale of property purchased with money
 from the account or a predecessor fund or account.
 SECTION 3.18.  Subchapter C, Chapter 2175, Government Code,
 is repealed.
 ARTICLE 4. EFFECTIVE DATE
 SECTION 4.01.  This Act takes effect September 1, 2011.