89R3440 JBD-F
By: Vasut H.B. No. 1659
A BILL TO BE ENTITLED
AN ACT
relating to the payment of employment compensation to state
employees.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 659.081, Government Code, is amended to
read as follows:
Sec. 659.081. STATE OFFICERS: PAYMENT ONCE A MONTH. Except
as provided by [this subchapter or] the General Appropriations Act,
annual salaries for state officers [and employees] shall be paid
once a month.
SECTION 2. Section 659.082, Government Code, is amended to
read as follows:
Sec. 659.082. STATE EMPLOYEES: PAYMENT TWICE A MONTH.
Except as provided by the General Appropriations Act, annual
salaries for state employees shall [(a) An employee is entitled to]
be paid [employment compensation] twice a month [if:
[(1) the employee is employed by:
[(A) the Texas Department of Mental Health and
Mental Retardation;
[(B) the Texas Department of Transportation;
[(C) the Texas Department of Human Services;
[(D) the Texas Workforce Commission;
[(E) the Department of Public Safety; or
[(F) any other state agency designated by the
comptroller;
[(2) the employee holds a classified position under the
state's position classification plan;
[(3) the employee's position is classified below salary
group A12 under classification salary Schedule A in the General
Appropriations Act;
[(4) the employing state agency satisfies the
comptroller's requirements relating to the payment of compensation
twice a month; and
[(5) at least 30 percent of the eligible employees of
the agency choose to be paid twice a month].
[(b) Employees of an institution of higher education as
defined by Section 61.003, Education Code, may be paid twice a month
at the election of the employing institution of higher education.]
SECTION 3. Sections 659.083(a) and (b), Government Code,
are amended to read as follows:
(a) The [Except as provided by Subsection (b), the]
comptroller may not pay the salary of a state officer [or employee]
before the first working day of the month following the payroll
period.
(b) The comptroller may not pay the salary of a state
employee before [shall pay an employee who is paid twice a month
under Section 659.082 on]:
(1) the first working day of the month following the
payroll period that covers the last half of the preceding month; and
(2) the 15th day of the month or the first working day
after the 15th for the payroll period that covers the first half of
the month.
SECTION 4. Section 659.084, Government Code, is amended to
read as follows:
Sec. 659.084. ELECTRONIC FUNDS TRANSFER. Salaries for
state officers and employees [paid once a month] shall be paid
through electronic funds transfer under Section 403.016 unless paid
on warrant as permitted under that section.
SECTION 5. Section 659.085(d), Government Code, is amended
to read as follows:
(d) An agency that may contract with its employees for
employment for less than a 12-month period may make equal [monthly]
salary payments under the contract during the contract period or
during the fiscal year in accordance with the General
Appropriations Act and equitable rules adopted by the comptroller,
provided that the salary payments are made twice a month to the
employees.
SECTION 6. Section 825.405(c), Government Code, is amended
to read as follows:
(c) Monthly, employers shall:
(1) report to the retirement system in a form
prescribed by the system a certification of the total amount of
salary paid above the statutory minimum salary and the total amount
of employer contributions due under this section for the [payroll]
period covered by the report; and
(2) retain information, as determined by the
retirement system, sufficient to allow administration of this
section, including information for each employee showing the
applicable minimum salary as well as aggregate annual compensation.
SECTION 7. Section 825.407(c), Government Code, is amended
to read as follows:
(c) The designated disbursing officer of each general
academic teaching institution and the designated disbursing
officer of each medical and dental unit shall:
(1) submit to the retirement system, at a time and in
the manner prescribed by the retirement system, a monthly report
containing a certification of the total amount of salary paid from
noneducational and general funds and the total amount of employer
contributions due under this section for the [payroll] period
covered by the report; and
(2) maintain and retain the following information:
(A) the name of each member employed by the
institution or unit who, for the [most recent payroll] period
covered by the report, was paid wholly or partly from
noneducational and general funds;
(B) the amount of the employee's salary for the
[most recent payroll] period covered by the report that was paid
from noneducational and general funds; and
(C) any other information the retirement system
determines is necessary to administer this section.
SECTION 8. Section 825.4071(c), Government Code, is amended
to read as follows:
(c) The designated disbursing officer of each public junior
college and each public junior college district shall:
(1) submit to the retirement system, at a time and in
the manner prescribed by the retirement system, a monthly report
containing a certification that includes:
(A) the total amount of compensation paid;
(B) the total amount of employer contributions
due under this section for the [payroll] period covered by the
report; and
(C) any other information the retirement system
determines is necessary to administer this section; and
(2) maintain and retain the following information:
(A) the name of each member employed by the
public junior college or public junior college district;
(B) the amount of the member's salary for the
[most recent payroll] period covered by the report;
(C) whether the member is a qualifying employee
under Section 825.404(a-1)(1); and
(D) any other information the retirement system
determines is necessary to administer this section.
SECTION 9. A state agency may adopt rules to implement this
Act.
SECTION 10. The changes in law made by this Act apply only
to the payment of compensation to a state employee for services
provided by the employee on or after September 1, 2025. The payment
of compensation to a state employee for services provided by the
employee before September 1, 2025, is governed by the law in effect
on the date the employee provided the services, and the former law
is continued in effect for that purpose.
SECTION 11. This Act takes effect September 1, 2025.