H.B. No. 407




AN ACT

relating to coverage for school district employees under certain 
health benefit plans.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter A, Chapter 1501, Insurance Code, as 
effective April 1, 2005, is amended by adding Section 1501.0095 to 
read as follows:
	Sec. 1501.0095.  SCHOOL DISTRICT EMPLOYEE ELECTION.  (a)  
Notwithstanding any other provision of this chapter, a school 
district employee who is eligible for coverage under a large or 
small employer health benefit plan providing coverage to the school 
district's employees and who is the spouse of another school 
district employee covered under the plan may elect whether to be 
treated under the plan as:
		(1)  an employee; or                                                   
		(2)  the dependent of the other employee.                              
	(b)  The commissioner shall adopt rules under Section 
1501.010 governing the manner in which an election under this 
section must be made.
	SECTION 2.  The change in law made by this Act applies 
beginning with the 2005-2006 school year.
	SECTION 3.  This Act takes effect April 1, 2005, if it 
receives a vote of two-thirds of all the members elected to each 
house, as provided by Section 39, Article III, Texas Constitution. 
If this Act does not receive the vote necessary for effect on that 
date, this Act takes effect September 1, 2005.




______________________________              ______________________________
 
   President of the Senate                               Speaker of the House      

	I certify that H.B. No. 407 was passed by the House on May 13, 
2005, by the following vote:  Yeas 142, Nays 0, 2 present, not 
voting.

                                                  ______________________________
                                                     Chief Clerk of the House   

	I certify that H.B. No. 407 was passed by the Senate on May 
25, 2005, by the following vote:  Yeas 31, Nays 0.

                                                  ______________________________
                                                     Secretary of the Senate    



APPROVED:  _____________________                                            
 
                   Date                                                      




 
          _____________________                                          
 
                 Governor