Texas House Bill HB881

Texas 2015 - 84th Regular

Caption

Relating to outsourcing a service performed by a health and human services agency to a private commercial contractor.

Impact

Should HB 881 be enacted, it would significantly impact the manner in which state agencies engage with private contractors. By imposing stringent requirements for cost effectiveness and operational comparisons, the bill seeks to protect state employees’ jobs and ensure taxpayers are not burdened with unnecessary expenses. Additionally, the bill emphasizes accountability by requiring that the performance of private contractors is subject to audits, thus promoting transparency in the operations of outsourced services within Texas's health and human services sector.

Summary

House Bill 881 aims to regulate the outsourcing of services performed by health and human services agencies to private commercial contractors. The bill stipulates that any outsourcing arrangement, which results in the loss of 100 or more state employee positions or has a contract value of $10 million or more, must be preceded by a comprehensive cost analysis. This analysis will compare the costs incurred by state agencies in performing these services against the costs of outsourcing them. The bill mandates that health agencies thoroughly assess their current operational costs, including indirect expenses and performance evaluations, to ensure decisions regarding outsourcing are financially justified.

Contention

While supporters argue that HB 881 will lead to efficient spending of public funds and safeguard jobs within state agencies, detractors may view the bill as an unnecessary barrier to efficient outsourcing. Opponents might argue that the requirements could complicate and hinder timely access to vital services that could be more effectively managed by the private sector. The tension between public service offerings and privatization efforts is likely to be a central point of contention among lawmakers and stakeholders in this discussion.