2013S0537-1 03/06/13 By: Smithee H.B. No. 3699 A BILL TO BE ENTITLED AN ACT relating to employer participation in the Healthy Texas Program. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subsection (a), Section 1508.051, Insurance Code, is amended to read as follows: (a) A small employer may participate in the program if: (1) during the 6-month [12-month] period immediately preceding the date of application for a qualifying health benefit plan, the small employer does not offer employees group health benefits on an expense-reimbursed or prepaid basis; and (2) at least 25 [30] percent of the small employer's eligible employees receive annual wages from the employer in an amount that is equal to or less than 300 percent of the poverty guidelines for an individual, as defined and updated annually by the United States Department of Health and Human Services. SECTION 2. Subsection (a), Section 1508.052, Insurance Code, is amended to read as follows: (a) The commissioner by rule may adjust the 6-month [12-month] period described by Section 1508.051(a)(1) to a 12-month [an 18-month] period if the commissioner determines that the 6-month [12-month] period is insufficient to prevent inappropriate substitution of other health benefit plans for qualifying health benefit plan coverage under this chapter. SECTION 3. The commissioner of insurance shall adopt any rules necessary to implement the change in law made by this Act not later than October 1, 2013. SECTION 4. This Act takes effect September 1, 2013.