Texas 2023 - 88th Regular

Texas House Bill HB4859 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	88R8266 KKR-F
2	2	By: Shine H.B. No. 4859
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to discontinuing group self-insurance coverage and
8	8	dissolving the Texas self-insurance group guaranty fund and trust
9	9	fund under the Texas Workers' Compensation Act.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Subchapter B, Chapter 407A, Labor Code, is
12	12	amended by adding Section 407A.0521 to read as follows:
13	13	Sec. 407A.0521. NEW CERTIFICATES OF APPROVAL PROHIBITED.
14	14	(a) Notwithstanding Section 407A.052, the commissioner may not
15	15	issue a certificate of approval to a proposed group on or after
16	16	September 1, 2023.
17	17	(b) The commissioner may amend a certificate of approval
18	18	issued to a group before September 1, 2023.
19	19	SECTION 2. Subchapter J, Chapter 407A, Labor Code, is
20	20	amended by adding Section 407A.4561 to read as follows:
21	21	Sec. 407A.4561. REVISED PLAN OF OPERATION: WIND DOWN. (a)
22	22	In this section, "qualified group" means a group that:
23	23	(1) holds a current certificate of approval under this
24	24	chapter; and
25	25	(2) has not been determined by the commissioner to be
26	26	insolvent under Section 407A.355.
27	27	(b) The board shall submit to the commissioner for approval
28	28	a revised plan of operation to wind down and dissolve the guaranty
29	29	fund and trust fund. The plan must include:
30	30	(1) steps for:
31	31	(A) distributing any remaining money in the
32	32	guaranty fund and trust fund to qualified groups; and
33	33	(B) notifying interested parties; and
34	34	(2) an estimated timeline for the wind down.
35	35	(c) The commissioner shall approve the board's revised plan
36	36	of operation if the commissioner determines that the plan
37	37	sufficiently describes the actions the board will take to wind down
38	38	and dissolve the guaranty fund and trust fund.
39	39	(d) The board shall:
40	40	(1) implement the revised plan of operation approved
41	41	under Subsection (b); and
42	42	(2) provide written notice to the commissioner of the
43	43	completion of the wind down not later than the 30th day after the
44	44	date of completion.
45	45	(e) Not later than the 30th day after the date the
46	46	commissioner receives the board's notice under Subsection (d), the
47	47	commissioner shall determine whether the guaranty fund has met its
48	48	obligations under the approved revised plan of operation. If the
49	49	commissioner determines that the guaranty fund met the fund's
50	50	obligations, the commissioner shall issue an order requiring the
51	51	distribution of any remaining money in the guaranty fund and trust
52	52	fund to qualified groups.
53	53	(f) On the 30th day after the date the commissioner issues
54	54	the order under Subsection (e):
55	55	(1) the guaranty fund and the trust fund are
56	56	dissolved; and
57	57	(2) the board is abolished.
58	58	SECTION 3. Not later than December 1, 2023, the board of
59	59	directors of the Texas self-insurance group guaranty fund shall
60	60	submit the revised plan of operation to the commissioner of
61	61	insurance required by Section 407A.4561, Labor Code, as added by
62	62	this Act.
63	63	SECTION 4. This Act takes effect September 1, 2023.