89R1192 RDS-D
By: Goodwin H.B. No. 4598
A BILL TO BE ENTITLED
AN ACT
relating to imposing an employer contribution to support the
subsidized child care services program administered by the Texas
Workforce Commission.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 301, Labor Code, is amended by adding
Subchapter L to read as follows:
SUBCHAPTER L. EMPLOYER CONTRIBUTION FOR SUBSIDIZED CHILD CARE
SERVICES PROGRAM
Sec. 301.201. DEFINITIONS. In this subchapter:
(1) "Employee" means an individual who performs
services for an employer for compensation under a contract for
hire, whether express or implied. The term does not include an
independent contractor.
(2) "Employer" means a person that employs one or more
employees.
Sec. 301.202. RULES. The commission shall adopt rules as
necessary to implement this subchapter.
Sec. 301.203. EMPLOYER CONTRIBUTION. (a) Except as
provided by Subsection (d), an employer shall pay a contribution on
wages paid during a calendar year. The contribution shall be paid to
the commission in accordance with rules adopted by the commission.
(b) An employer's contribution under Subsection (a) is an
amount equal to 0.15 percent of all wages paid by the employer
during the calendar year.
(c) An employer may not deduct any part of a contribution
under this section from the wages of an employee.
(d) This section does not apply to an employer that, in
accordance with rules adopted by the commission, provides
self-funded child care services to all dependents of each employee
who would otherwise be eligible to receive subsidized child care
under the commission's subsidized child care services program.
Sec. 301.204. ADMINISTRATION OF CONTRIBUTIONS. (a) On
receipt of contributions under Section 301.203, the commission
shall forward the contributions to the comptroller.
(b) The comptroller shall deposit employer contributions
received under this subchapter to the credit of an account in the
general revenue fund administered by the comptroller. Money in the
account may be appropriated only to the commission for the purpose
of administering the commission's subsidized child care services
program.
(c) The commission may use a reasonable amount, not to
exceed five percent, of the money appropriated under Subsection (b)
to pay administrative costs associated with administering the
employer contributions paid to the commission under this
subchapter.
SECTION 2. Not later than December 1, 2025, the Texas
Workforce Commission shall adopt rules necessary to implement
Subchapter L, Chapter 301, Labor Code, as added by this Act.
SECTION 3. Section 301.203, Labor Code, as added by this
Act, applies only to wages paid on or after January 1, 2026.
SECTION 4. This Act takes effect September 1, 2025.