Texas 2023 - 88th Regular

Texas House Bill HB2459 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	H.B. No. 2459
2	2
3	3
4	4	AN ACT
5	5	relating to the administration of violations and administrative
6	6	penalties of the employment of children.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Sections 51.033 and 51.034, Labor Code, are
9	9	repealed.
10	10	SECTION 2. Subchapter D, Chapter 51, Labor Code, is amended
11	11	by adding Sections 51.033 through 51.039 to read as follows:
12	12	Sec. 51.033. ADMINISTRATIVE PENALTY. (a) If a child labor
13	13	investigator determines that a person who employs a child, or
14	14	individual restricted by Section 51.016(b), has violated this
15	15	chapter or a rule adopted under this chapter, the investigator may
16	16	assess an administrative penalty against that person as provided by
17	17	this subchapter.
18	18	(b) The penalty for a violation may be in an amount not to
19	19	exceed $10,000.
20	20	(c) The amount of the penalty shall be based on:
21	21	(1) the seriousness of the violation, including the
22	22	nature, circumstances, extent, and gravity of any prohibited acts;
23	23	(2) the history of previous violations;
24	24	(3) the amount necessary to deter future violations;
25	25	(4) efforts to correct the violation; and
26	26	(5) any other matter that justice may require.
27	27	Sec. 51.034. PRELIMINARY DETERMINATION ORDER. (a) If,
28	28	after examination of a possible violation and the facts relating to
29	29	that possible violation, the child labor investigator determines
30	30	that a violation has occurred, the child labor investigator shall
31	31	issue a preliminary determination order to the person charged with
32	32	the violation.
33	33	(b) The preliminary determination order shall state the
34	34	facts on which the preliminary determination order is based, the
35	35	occurrence of a violation, the fact that an administrative penalty
36	36	is to be imposed, and the amount of the penalty.
37	37	(c) The preliminary determination order must inform the
38	38	person that the person has a right to a hearing on the occurrence of
39	39	the violation, the amount of the penalty, or both the occurrence of
40	40	the violation and the amount of the penalty.
41	41	(d) The child labor investigator shall mail notice of the
42	42	preliminary determination order to the person's last known address,
43	43	as reflected by commission records.
44	44	Sec. 51.0341. ESTABLISHMENT OF CHILD LABOR APPEAL
45	45	TRIBUNALS. (a) The commission shall establish one or more
46	46	impartial child labor appeal tribunals to hear and decide disputed
47	47	preliminary determination orders if the commission determines that
48	48	establishment of those tribunals is necessary to ensure prompt
49	49	disposal of child labor cases on appeal.
50	50	(b) Each child labor appeal tribunal shall be composed of a
51	51	salaried examiner appointed by the commission.
52	52	Sec. 51.0342. REDETERMINATION BY CHILD LABOR INVESTIGATOR.
53	53	(a) If the child labor investigator discovers an error in
54	54	connection with a preliminary determination order or discovers
55	55	additional information not previously available, the child labor
56	56	investigator, within the period specified in Section 51.035, may
57	57	reconsider and reissue the preliminary determination order. An
58	58	investigator's reissued preliminary determination order voids and
59	59	replaces the order requiring correction.
60	60	(b) A reissued preliminary determination order becomes
61	61	final unless a party files an appeal from the reissued preliminary
62	62	determination order within the period specified in Section 51.035.
63	63	The period to request an appeal shall begin on the date the examiner
64	64	mails the reissued preliminary determination order.
65	65	(c) Notwithstanding Subsection (a) of this section, if a
66	66	child labor investigator mails a preliminary determination order to
67	67	a person's incorrect address solely because of the child labor
68	68	investigator's own error, the child labor investigator may reissue
69	69	a preliminary determination order to the party's correct address at
70	70	any time.
71	71	Sec. 51.035. REQUEST FOR HEARING ON PRELIMINARY ORDER. (a)
72	72	A person may request a hearing before a child labor appeal tribunal
73	73	to appeal a preliminary determination order made under Section
74	74	51.034.
75	75	(b) The request for hearing must be made in writing not
76	76	later than the 21st day after the date the child labor investigator
77	77	mails the notice of the preliminary determination order.
78	78	Sec. 51.0351. PRELIMINARY ORDER FINAL IF HEARING NOT
79	79	REQUESTED. If the person does not request a hearing to appeal a
80	80	preliminary determination order within the period prescribed by
81	81	Section 51.035, the order becomes the final order of the commission
82	82	for all purposes, and the person is not entitled to judicial review
83	83	of the order under this subchapter.
84	84	Sec. 51.0352. PAYMENT REQUIRED IF HEARING NOT REQUESTED. A
85	85	person that does not request a hearing within the period prescribed
86	86	by Section 51.035 to appeal a preliminary determination order shall
87	87	pay the penalty amount ordered to the commission not later than the
88	88	21st day after the date the commission mails notice of the order.
89	89	Sec. 51.0353. NOTICE; TIME FOR HEARING. (a) A notice
90	90	regarding an administrative hearing conducted under this
91	91	subchapter must be mailed by the child labor appeal tribunal not
92	92	later than the 21st day after the date a request for the hearing is
93	93	received by the commission.
94	94	(b) As soon as practicable, but not later than the 45th day
95	95	after the date a notice is mailed under Subsection (a), the tribunal
96	96	shall conduct the hearing.
97	97	Sec. 51.0354. HEARING PROCEDURES. (a) A hearing conducted
98	98	under this subchapter is subject to the rules and hearings
99	99	procedures used by the commission in the determination of a claim
100	100	for unemployment compensation benefits.
101	101	(b) The hearing is not subject to Chapter 2001, Government
102	102	Code.
103	103	Sec. 51.0355. CONSIDERATION OF PRELIMINARY DETERMINATION
104	104	ORDER. The child labor appeal tribunal may modify, affirm, or
105	105	rescind a preliminary determination order.
106	106	Sec. 51.0356. ORDER AFTER HEARING. After a hearing, the
107	107	child labor appeal tribunal shall enter a written order for the
108	108	payment of any penalty the child labor appeal tribunal assesses.
109	109	Sec. 51.036. NOTICE AND FINALITY OF ORDER. (a) The child
110	110	labor appeal tribunal shall mail to each party to the appeal notice
111	111	of:
112	112	(1) the decision;
113	113	(2) the violation; and
114	114	(3) the amount of any penalty assessed.
115	115	(b) The notice shall be mailed to a party's last known
116	116	address, as shown by commission records.
117	117	(c) The order of the child labor appeal tribunal becomes
118	118	final 14 days after the date on which it is mailed unless reopened
119	119	by the child labor tribunal or a party to the decision initiates a
120	120	further appeal to the commission as provided by this subchapter.
121	121	Sec. 51.0361. REMOVAL OR TRANSFER OF CLAIM PENDING BEFORE
122	122	CHILD LABOR APPEAL TRIBUNAL. (a) The commission by order may
123	123	remove to itself or transfer to another child labor appeal tribunal
124	124	the proceedings pending before a child labor appeal tribunal.
125	125	(b) The commission promptly shall mail to the parties to the
126	126	proceedings a notice of the order under Subsection (a).
127	127	(c) A quorum of the commission shall hear a proceeding
128	128	removed to the commission under Subsection (a).
129	129	Sec. 51.0362. COMMISSION REVIEW OF CHILD LABOR APPEAL
130	130	TRIBUNAL ORDER. The commission may:
131	131	(1) on its own motion:
132	132	(A) affirm, modify, or set aside an order issued
133	133	under Section 51.036 on the basis of the evidence previously
134	134	submitted in the case; or
135	135	(B) direct the taking of additional evidence; or
136	136	(2) permit any of the parties affected by the order to
137	137	initiate a further appeal before the commission.
138	138	Sec. 51.0363. NOTICE OF COMMISSION ACTION. (a) The
139	139	commission shall mail to each party to the appeal under Section
140	140	51.0362 notice of:
141	141	(1) the commission's decision;
142	142	(2) the violation;
143	143	(3) the amount of any penalty assessed; and
144	144	(4) the person's right to judicial review of the order.
145	145	(b) The notice shall be mailed to a party's last known
146	146	address, as shown by commission records.
147	147	Sec. 51.0364. FINALITY OF COMMISSION ORDER. An order of the
148	148	commission becomes final 14 days after the date the order is mailed
149	149	unless before that date:
150	150	(1) the commission by order reopens the appeal; or
151	151	(2) a party to the appeal files a written motion for
152	152	rehearing.
153	153	Sec. 51.037. JUDICIAL REVIEW. (a) A person who has
154	154	exhausted the person's administrative remedies under this chapter,
155	155	other than a motion for rehearing, may bring a suit to appeal the
156	156	order.
157	157	(b) The suit must be filed not later than the 30th day after
158	158	the date the final order is mailed.
159	159	(c) The commission must be made a defendant in the suit.
160	160	(d) The suit must be brought in the county of the person's
161	161	residence. If the person is not a resident of this state, the suit
162	162	must be brought in the county in this state in which the person has
163	163	its principal place of business.
164	164	(e) Judicial review of the order of the commission is in the
165	165	manner applied to an appeal from a final decision under Subtitle A,
166	166	Title 4. The standard of review is under the substantial evidence
167	167	rule.
168	168	(f) If the court sustains the occurrence of the violation,
169	169	the court may uphold or reduce the amount of the penalty and order
170	170	the person to pay the full or reduced amount of the penalty. If the
171	171	court does not sustain the occurrence of the violation, the court
172	172	shall order that a penalty is not owed.
173	173	Sec. 51.038. PAYMENT TO COMMISSION; ESCROW PENDING REVIEW.
174	174	(a) Not later than the 30th day after the date a commission order
175	175	becomes final, the person required to pay a penalty shall:
176	176	(1) pay the amount to the commission; or
177	177	(2) if the person files a petition for judicial review
178	178	in a court of competent jurisdiction contesting the final order,
179	179	send the amount to the commission for deposit in an
180	180	interest-bearing escrow account.
181	181	(b) When the judgment of the court becomes final, the court
182	182	shall proceed under this subsection. If the person paid the amount
183	183	of the penalty and if that amount is reduced or is not upheld by the
184	184	court, the court shall order that the appropriate amount plus
185	185	accrued interest be remitted to the person. The rate of the
186	186	interest is the rate charged on loans to depository institutions by
187	187	the New York Federal Reserve Bank, and the interest shall be paid
188	188	for the period beginning on the date the penalty was paid and ending
189	189	on the date the penalty is remitted.
190	190	Sec. 51.0385. DEPOSIT OF PENALTY. A penalty collected
191	191	under this section shall be remitted to the comptroller for deposit
192	192	in the general revenue fund.
193	193	Sec. 51.039. INJUNCTION: ATTORNEY GENERAL'S ACTION. The
194	194	attorney general may seek injunctive relief in district court
195	195	against an employer who repeatedly violates the requirements
196	196	established by this chapter relating to the employment of children.
197	197	SECTION 3. Section 301.0015, Labor Code, is amended to read
198	198	as follows:
199	199	Sec. 301.0015. GUIDELINES REGARDING FUNCTIONS OF
200	200	COMMISSION AND STAFF. (a) In administering its functions under
201	201	this title or another law, the commission shall limit its
202	202	activities to:
203	203	(1) setting commission policies, including policies
204	204	that clearly separate the policymaking responsibilities of the
205	205	commission and the management responsibilities of the executive
206	206	director and commission staff;
207	207	(2) giving general direction to the executive director
208	208	regarding the implementation of the commission's policies, and
209	209	holding the executive director accountable for implementing the
210	210	policies;
211	211	(3) approving the commission's budget recommendation
212	212	to the legislature;
213	213	(4) reviewing under Subchapter D, Chapter 212, the
214	214	decision of an appeal tribunal regarding unemployment
215	215	compensation;
216	216	(5) reviewing under Subchapter D, Chapter 61, the
217	217	decision of a wage claim appeal tribunal regarding a wage claim;
218	218	(6) adopting rules necessary to administer the
219	219	commission's policies, including rules necessary for the
220	220	administration of this title and rules governing required reports,
221	221	procedures, and orders;
222	222	(7) responding to questions and comments that are
223	223	directed to the commission by the executive director and that
224	224	relate to setting or clarifying commission policies or relate to
225	225	other matters of general interest to the commission; [and]
226	226	(8) requesting information from commission staff; and
227	227	(9) reviewing under Subchapter D, Chapter 51, the
228	228	decision of a child labor appeal tribunal regarding a child labor
229	229	violation and/or an administrative penalty.
230	230	(b) Except as provided by Subsection (c), the commission may
231	231	conduct the activities listed in Subsection (a) only when acting as
232	232	a governmental body.
233	233	(c) The commission, acting as a governmental body, or an
234	234	individual member of the commission may conduct the activities
235	235	listed in Subsections (a)(7) and (8).
236	236	(d) In administering its functions under this title or
237	237	another law, the commission, acting as a governmental body, or an
238	238	individual member of the commission may not:
239	239	(1) direct the day-to-day operations of the executive
240	240	director or other commission staff; or
241	241	(2) establish the details for the implementation of
242	242	commission policies or direct the executive director or other
243	243	commission staff about those details.
244	244	SECTION 4. Section 301.006, Labor Code, is amended to read
245	245	as follows:
246	246	Sec. 301.006. CHAIR. (a) The governor shall designate the
247	247	chair of the commission from among the members of the commission.
248	248	The chair shall serve in that capacity at the pleasure of the
249	249	governor for a two-year term. The governor may redesignate the same
250	250	member to serve consecutive terms.
251	251	(b) Notwithstanding Subsection (a), the member of the
252	252	commission who represents the public shall serve as chair:
253	253	(1) when the commission acts under:
254	254	(A) Chapter 21;
255	255	(B) Subchapter D, Chapter 61;
256	256	(C) Subchapter D, Chapter 212; [or]
257	257	(D) Chapter 301, Property Code; or
258	258	(E) Subchapter D, Chapter 51; and
259	259	(2) in commission hearings involving unemployment
260	260	insurance issues regarding tax coverage, contributions, or
261	261	reimbursements.
262	262	SECTION 5. The change in law made by this Act applies only
263	263	to a preliminary determination order issued on or after the
264	264	effective date of this Act. A preliminary determination order
265	265	issued before that date is governed by the law in effect on the date
266	266	that the preliminary determination order was issued, and the former
267	267	law is continued in effect for that purpose.
268	268	SECTION 6. This Act takes effect September 1, 2023.
269	269	______________________________ ______________________________
270	270	President of the Senate Speaker of the House
271	271	I certify that H.B. No. 2459 was passed by the House on April
272	272	26, 2023, by the following vote: Yeas 128, Nays 19, 1 present, not
273	273	voting.
274	274	______________________________
275	275	Chief Clerk of the House
276	276	I certify that H.B. No. 2459 was passed by the Senate on May
277	277	17, 2023, by the following vote: Yeas 31, Nays 0.
278	278	______________________________
279	279	Secretary of the Senate
280	280	APPROVED: _____________________
281	281	Date
282	282	_____________________
283	283	Governor