| 1 | 1 | | By: J. Davis of Harris (Senate Sponsor - Watson) H.B. No. 2015 |
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| 2 | 2 | | (In the Senate - Received from the House May 6, 2013; |
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| 3 | 3 | | May 7, 2013, read first time and referred to Committee on Economic |
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| 4 | 4 | | Development; May 16, 2013, reported favorably by the following |
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| 5 | 5 | | vote: Yeas 5, Nays 0; May 16, 2013, sent to printer.) |
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| 6 | 6 | | |
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| 7 | 7 | | |
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| 8 | 8 | | A BILL TO BE ENTITLED |
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| 9 | 9 | | AN ACT |
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| 10 | 10 | | relating to the proper classification of workers performing |
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| 11 | 11 | | services in connection with governmental contracts; providing a |
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| 12 | 12 | | penalty. |
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| 13 | 13 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 14 | 14 | | SECTION 1. Chapter 214, Labor Code, is amended by adding |
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| 15 | 15 | | Section 214.008 to read as follows: |
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| 16 | 16 | | Sec. 214.008. MISCLASSIFICATION OF CERTAIN WORKERS; |
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| 17 | 17 | | PENALTY. (a) A person who contracts with a governmental entity to |
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| 18 | 18 | | provide a service as defined by Section 2155.001, Government Code, |
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| 19 | 19 | | shall properly classify, as an employee or independent contractor |
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| 20 | 20 | | in accordance with Chapter 201, any individual the person directly |
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| 21 | 21 | | retains and compensates for services performed in connection with |
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| 22 | 22 | | the contract. |
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| 23 | 23 | | (b) In this subsection, "subcontractor" means a person |
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| 24 | 24 | | directly retained and compensated by a person who contracts with a |
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| 25 | 25 | | governmental entity to provide a service as defined by Section |
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| 26 | 26 | | 2155.001, Government Code. A subcontractor shall properly |
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| 27 | 27 | | classify, as an employee or independent contractor in accordance |
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| 28 | 28 | | with Chapter 201, any individual the subcontractor directly retains |
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| 29 | 29 | | and compensates for services performed in connection with the |
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| 30 | 30 | | contract for which the subcontractor is retained. |
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| 31 | 31 | | (c) A person who fails to properly classify an individual as |
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| 32 | 32 | | required by Subsection (a) or (b) shall pay to the commission a |
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| 33 | 33 | | penalty equal to $200 for each individual that the person has not |
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| 34 | 34 | | properly classified. |
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| 35 | 35 | | (d) The commission may not take action to collect a penalty |
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| 36 | 36 | | under this section from a person after the third anniversary of the |
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| 37 | 37 | | date on which the violation occurred. |
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| 38 | 38 | | SECTION 2. This Act takes effect January 1, 2014. |
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| 39 | 39 | | * * * * * |
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