89R4614 JAM-F
 
  By: Sparks S.B. No. 399
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to a biennial audit of the effectiveness and efficiencies
  of state services provided to homeless individuals.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 321, Government Code, is amended by
  adding Section 321.0139 to read as follows:
         Sec. 321.0139.  AUDIT OF HOMELESSNESS SERVICES. (a) In each
  even-numbered year, the State Auditor shall require an audit to be
  conducted regarding the effectiveness and efficiency of all
  homelessness services that are provided by the state agencies
  identified under Subsections (e) and (f).
         (a-1)  Notwithstanding Subsection (a), 2028 is the first
  year that an audit is required to be conducted under this section.
  This subsection expires January 1, 2029.
         (b)  Not later than March 1 of the year in which an audit is
  required under this section, the State Auditor shall engage an
  independent external auditor to conduct the audit. The external
  auditor may not be under the direction of any agency subject to the
  audit under this section.
         (c)  The State Auditor shall supervise the external auditor
  to ensure that the audit is conducted in accordance with the
  requirements of this section.
         (d)  The audit shall:
               (1)  examine all state resources used in providing
  services to homeless individuals, including financial resources,
  employees, and infrastructure;
               (2)  according to the purposes of and activities funded
  by the agencies identified under Subsections (e) and (f), their
  programs, and participating community service providers, assess
  the effectiveness and efficiency of the agencies, programs, and
  providers in helping homeless individuals advance toward
  self-sufficiency, including an assessment of the percentage of
  beneficiaries:
                     (A)  who maintain housing for at least 12 months
  after placement in the housing, disaggregated according to the
  primary payor for the housing and including payors other than the
  beneficiary;
                     (B)  whose children are enrolled in school or
  other educational programs;
                     (C)  if eligible, who:
                           (i)  participate in at least 20 hours per
  week of paid employment, including paid apprenticeships;
                           (ii)  are engaged in occupational or
  vocational training programs; and
                           (iii)  earn a living wage, as defined by the
  applicable local workforce development board;
                     (D)  who are ineligible to participate in at least
  20 hours per week of paid employment described by Paragraph (C)(i),
  disaggregated by the reason for ineligibility;
                     (E)  with mental health needs, who engage in
  ongoing mental health care services;
                     (F)  with addiction or substance use disorders,
  who engage in ongoing treatment services;
                     (G)  with a history of involvement with the
  criminal justice system that continued during the 12-month period
  following the provision of the applicable services; and
                     (H)  with a history of involvement with the
  criminal justice system that ceased during the 12-month period
  following the provision of the applicable services;
               (3)  make recommendations for:
                     (A)  eliminating poorly performing programs,
  services, and functions;
                     (B)  ending contractual or funding relationships
  with poorly performing community service providers; 
                     (C)  consolidating duplicative or overlapping
  programs, services, and functions; and
                     (D)  reallocating state resources to ensure that
  the outcomes in relation to the criteria described by Subdivision
  (2) are achieved in the most effective and economical manner; and
               (4)  based on the effectiveness at achieving the
  outcomes described by Subdivision (2), rate each applicable agency,
  program, or community service provider as "unsatisfactory,"
  "satisfactory," or "exemplary."
         (e)  The following agencies must be included in the audit:
               (1)  the Texas Department of Housing and Community
  Affairs;
               (2)  the Health and Human Services Commission;
               (3)  the Department of Family and Protective Services;
               (4)  the Texas Education Agency;
               (5)  the Texas Workforce Commission;
               (6)  the Texas Veterans Commission; and
               (7)  the Texas Department of Criminal Justice.
         (f)  In addition to the agencies listed in Subsection (e),
  the State Auditor may select other state agencies for inclusion in
  the audit.
         (g)  The external auditor must:
               (1)  complete the audit not later than the 90th day
  after the date the auditor is engaged; and 
               (2)  present its results and recommendations to the
  State Auditor and the heads of the agencies subject to the audit.
         (h)  Not later than November 1 of the year in which an audit
  is completed under this section, the State Auditor shall prepare
  and submit to the governor, the speaker of the house of
  representatives, the lieutenant governor, and the Legislative
  Budget Board a report regarding the audit and recommendations for
  improvement in the agencies, programs, and community service
  providers assessed by the State Auditor.
         (i)  The full audit and State Auditor's report must be
  published on the State Auditor's Internet website.
         (j)  The audit shall be paid for by using existing resources
  allocated for the purpose of auditing the agencies identified under
  Subsections (e) and (f).
         SECTION 2.  This Act takes effect September 1, 2025.