83R12115 YDB-F By: Van de Putte S.B. No. 1737 A BILL TO BE ENTITLED AN ACT relating to employment, higher education, and state purchasing programs for veterans. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. This Act may be cited as the Veterans' Employment and Business Opportunity Act. SECTION 2. Section 657.001, Government Code, is amended to read as follows: Sec. 657.001. DEFINITIONS. In this chapter: (1) "Disabled veteran" means a veteran who is classified as disabled by the United States Department of Veterans Affairs or its successor or the branch of the service in which the veteran served and whose disability is service connected. ["Established service-connected disability" means a disability that has been or may be established by official records.] (2) "State agency" means a board, commission, council, committee, department, office, agency, or other governmental entity in the executive, legislative, or judicial branch of state government, including an institution of higher education as defined by Section 61.003, Education Code. (3) "Veteran" has the meaning assigned by Section 2308.251. ["Public entity" means a public department, commission, board, or agency.] SECTION 3. Section 657.002, Government Code, is amended to read as follows: Sec. 657.002. INDIVIDUALS QUALIFIED FOR [ENTITLED TO] VETERAN'S EMPLOYMENT PREFERENCE. The following individuals qualify [(a) A veteran qualifies] for a veteran's employment preference [if the veteran]: (1) a veteran [served in the military for not less than 90 consecutive days during a national emergency declared in accordance with federal law or was discharged from military service for an established service-connected disability]; (2) a [was honorably discharged from military service; and [(3) is competent. [(b) A] veteran's surviving spouse who has not remarried, if the veteran was killed while on active duty; and (3) [or] an orphan of a veteran [qualifies for a veteran's employment preference] if[: [(1)] the veteran was killed while on active duty[; [(2) the veteran served in the military for not less than 90 consecutive days during a national emergency declared in accordance with federal law; and [(3) the spouse or orphan is competent]. [(c) In this section, "veteran" means an individual who served in the army, navy, air force, marine corps, or coast guard of the United States or in an auxiliary service of one of those branches of the armed forces.] SECTION 4. Sections 657.003(a), (c), and (d), Government Code, are amended to read as follows: (a) An individual who qualifies for a veteran's employment preference is entitled to a preference in employment with or appointment to a state agency [public entity or for a public work of this state] over other applicants for the same position [who do not have a greater qualification]. (c) If a state agency [public entity or public work of this state] requires a competitive examination under a merit system or civil service plan for selecting or promoting employees, an individual entitled to a veteran's employment preference who otherwise is qualified for that position and who has received at least the minimum required score for the test is entitled to have a service credit of 10 points added to the test score. A disabled veteran [An individual who has an established service-connected disability] is entitled to have a service credit of five additional points added to the individual's test score. (d) An individual entitled to a veteran's employment preference is not disqualified from holding a position with a state agency [public entity or public work of this state] because of age or an established service-connected disability if the age or disability does not make the individual incompetent to perform the duties of the position. SECTION 5. Section 657.004, Government Code, is amended to read as follows: Sec. 657.004. VETERAN'S PREFERENCE REQUIRED FOR STATE AGENCIES [PUBLIC ENTITIES AND PUBLIC WORKS]. (a) A state agency [An individual whose duty is to appoint or employ individuals for a public entity or public work of this state] shall give preference in hiring to individuals entitled to a veteran's employment preference until [so that] at least 40 percent of the employees of the state agency [public entity or public work] are selected from individuals given that preference. (b) Unless an insufficient number of individuals entitled to a veteran's employment preference apply for an open agency position, a state agency [A public entity or public work] that does not have 40 percent of its employees who are entitled to the veteran's employment preference shall for each announced open position at the agency interview the greater of: (1) one individual entitled to a veteran's employment preference; or (2) a number of [, in filling vacancies, give preferences to] individuals entitled to a veteran's employment preference equal to 20 percent of the total number of individuals interviewed for the position [until it does have at least 40 percent of its employees who are entitled to the preference]. (c) A state agency may designate an open position as a veterans position and accept applications for the position only from individuals eligible for [(b) A public entity or public work shall, when possible, give 10 percent of] the preferences granted under this chapter. (d) A state agency with more than 500 full-time equivalent positions shall designate an individual from the agency to serve as a veterans liaison within the agency [to qualified veterans discharged from the armed services of the United States within the preceding 18 months]. [(c) A public entity or public work that has at least 40 percent of its employees who are entitled to the preference is exempt from the requirements of Section 657.005.] SECTION 6. Chapter 657, Government Code, is amended by adding Section 657.0045 to read as follows: Sec. 657.0045. IMMEDIATE HIRING OF INDIVIDUAL ENTITLED TO VETERAN'S PREFERENCE. Notwithstanding any other law, a state agency that has not reached the employment percentage required under Section 657.004 may hire for an open position within the agency an individual entitled to a veteran's employment preference under that section without announcing or advertising the position if the agency: (1) uses the Texas Workforce Commission's employment Internet website to identify an individual who qualifies for a veteran's employment preference under this chapter; and (2) determines the individual meets the qualifications required for the position. SECTION 7. Sections 657.006, 657.007, 657.008, 657.009, and 657.010, Government Code, are amended to read as follows: Sec. 657.006. FEDERAL LAW AND GRANTS. To the extent that this chapter conflicts with federal law or a limitation provided by a federal grant to a state agency [public entity], this chapter shall be construed to operate in harmony with the federal law or limitation of the federal grant. Sec. 657.007. PREFERENCE APPLICABLE TO REDUCTION IN WORKFORCE. (a) An individual entitled to a hiring preference under this chapter is also entitled to a preference in retaining employment if the state agency [public entity] that employs the individual reduces its workforce. (b) The preference granted under this section applies only to the extent that a reduction in workforce by an employing state agency [public entity] involves other employees of a similar type or classification. Sec. 657.008. REPORTING REQUIREMENTS. (a) A state agency [public entity] shall file quarterly with the comptroller a report that states: (1) the percentage of the total number of employees hired by the agency [entity] during the reporting period who are persons entitled to a preference under this chapter; (2) the percentage of the total number of the agency's [entity's] employees who are persons entitled to a preference under this chapter; and (3) the number of complaints filed with the governing body of the agency [entity] under Section 657.010 during that quarter and the number of those complaints resolved by the governing body. (b) Not later than December 1 of each year, the [The] comptroller shall file [annually] with the legislature a report that compiles and analyzes information that the comptroller receives from state agencies [public entities] under Subsection (a). Sec. 657.009. STATE AGENCIES [PUBLIC ENTITIES] TO LIST POSITIONS WITH TEXAS WORKFORCE COMMISSION. (a) A state agency [public entity] shall provide to the Texas Workforce Commission, under rules adopted under this section by the commission, information regarding an open position that is subject to the hiring preference required by this chapter. (b) The Texas Workforce Commission shall make available to the public the information provided by a state agency [public entity] under Subsection (a). (c) To promote the purposes of this chapter, the Texas Workforce Commission shall adopt rules under this section that facilitate the exchange of employment information between state agencies [public entities] and individuals entitled to a preference under this chapter. (d) The Texas Workforce Commission shall adopt forms and procedures necessary to administer this section. Sec. 657.010. COMPLAINT REGARDING EMPLOYMENT DECISION OF STATE AGENCY [PUBLIC ENTITY OR PUBLIC WORK]. (a) An individual entitled to a veteran's employment preference under this chapter who is aggrieved by a decision of a state agency [public entity or public work of this state] to which this chapter applies relating to hiring the individual, or relating to retaining the individual if the state agency [entity or work] reduces its workforce, may appeal the decision by filing a written complaint with the governing body of the state agency [public entity or public work] under this section. (b) The governing body of a state agency [public entity or public work] that receives a written complaint under Subsection (a) shall respond to the complaint not later than the 15th business day after the date the governing body receives the complaint. The governing body may render a different hiring decision than the decision that is the subject of the complaint if the governing body determines that the veteran's preference was not applied. SECTION 8. Section 122.002, Human Resources Code, is amended by amending Subdivisions (3) and (5) and adding Subdivision (6) to read as follows: (3) "Community rehabilitation program" means a government or nonprofit private program or a service-disabled veteran-owned business that is operated under criteria established by the council and under which persons with severe disabilities or service-disabled veterans produce products or perform services for compensation. (5) "Disability" means a mental or physical impairment, including blindness, that impedes a person who is seeking, entering, or maintaining gainful employment. The term includes a disability of a service-disabled veteran. (6) "Service-disabled veteran" has the meaning assigned by Section 2155.444(c), Government Code. SECTION 9. Section 302.0031, Labor Code, is amended by amending Subsection (b) and adding Subsection (g) to read as follows: (b) The commission shall establish and administer the College Credit for Heroes [demonstration] program to identify, develop, and support methods to maximize academic or workforce education credit awarded by institutions of higher education to veterans and military servicemembers for military experience, education, and training obtained during military service in order to expedite the entry of veterans and military servicemembers into the workforce. (g) Not later than November 1 of each year, the commission, after consultation with the Texas Higher Education Coordinating Board, shall report to the legislature and the governor on: (1) the results of any grants awarded under this section; (2) the best practices for veterans and military servicemembers to achieve maximum academic or workforce education credit at institutions of higher education for military experience, education, and training obtained during military service; (3) measures needed to facilitate the award of academic or workforce education credit by institutions of higher education for military experience, education, and training obtained during military service; and (4) other related measures needed to facilitate the entry of trained, qualified veterans and military servicemembers into the workforce. SECTION 10. The following sections are repealed: (1) Sections 657.003(b) and (e), Government Code; and (2) Section 657.005, Government Code. SECTION 11. The changes in law made by this Act to Chapter 657, Government Code, apply only to an open position with a state agency for which the state agency begins accepting applications on or after the effective date of this Act. An open position with a state agency for which the state agency begins accepting applications before the effective date of this Act is governed by the law in effect on the date the state agency began accepting applications, and the former law is continued in effect for that purpose. SECTION 12. This Act takes effect September 1, 2013.