1-1  By:  Uher (Senate Sponsor - Armbrister)                H.B. No. 723
    1-2        (In the Senate - Received from the House April 21, 1993;
    1-3  April 21, 1993, read first time and referred to Committee on
    1-4  Education; May 6, 1993, reported adversely, with favorable
    1-5  Committee Substitute by the following vote:  Yeas 8, Nays 0;
    1-6  May 6, 1993, sent to printer.)
    1-7                            COMMITTEE VOTE
    1-8                          Yea     Nay      PNV      Absent 
    1-9        Ratliff            x                               
   1-10        Haley              x                               
   1-11        Barrientos                                     x   
   1-12        Bivins             x                               
   1-13        Harris of Tarrant  x                               
   1-14        Luna                                           x   
   1-15        Montford           x                               
   1-16        Shapiro            x                               
   1-17        Sibley             x                               
   1-18        Turner                                         x   
   1-19        Zaffirini          x                               
   1-20  COMMITTEE SUBSTITUTE FOR H.B. No. 723                  By:  Shapiro
   1-21                         A BILL TO BE ENTITLED
   1-22                                AN ACT
   1-23  relating to college and university officer and employee insurance
   1-24  benefits.
   1-25        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-26        SECTION 1.  Section 3(a)(5)(A), Texas Employees Uniform Group
   1-27  Insurance Benefits Act (Article 3.50-2, Vernon's Texas Insurance
   1-28  Code), as amended by Chapter 242, Acts of the 72nd Legislature,
   1-29  Regular Session, 1991, is amended to read as follows:
   1-30                    (A)  "Employee" shall mean any appointive or
   1-31  elective state officer or employee in the service of the State of
   1-32  Texas, including an officer or employee of an institution of higher
   1-33  education:
   1-34                          (i)  who is retired or retires and is an
   1-35  annuitant under the jurisdiction of the Employees Retirement System
   1-36  of Texas, pursuant to Subtitle B, D, or E, or Chapter 803, Title 8,
   1-37  Government Code, who is retired or retires and is an annuitant
   1-38  under the jurisdiction of the Teacher Retirement System of Texas,
   1-39  pursuant to Subtitle C, Title 8, Government Code, whose last
   1-40  employment with the state prior to retirement was as an employee of
   1-41  the Teacher Retirement System of Texas, school districts
   1-42  established within state eleemosynary institutions, the Texas
   1-43  Rehabilitation Commission, the Central Education Agency, the Texas
   1-44  Higher Education Coordinating Board, or an institution of higher
   1-45  education, or who is retired or retires and is an annuitant under
   1-46  the optional retirement program established by Chapter 830,
   1-47  Government Code, if the person's last state employment before
   1-48  retirement, including employment by a public community/junior
   1-49  college, was as an officer or employee of the Texas Higher
   1-50  Education Coordinating Board, or an institution of higher
   1-51  education, and if the person either:
   1-52                                (a)  would have been eligible to
   1-53  retire and receive a service retirement annuity from the Teacher
   1-54  Retirement System of Texas had the person not elected to
   1-55  participate in the optional retirement program; or
   1-56                                (b)  is disabled;
   1-57                          (ii)  who receives his compensation for
   1-58  services rendered to the State of Texas on a warrant issued
   1-59  pursuant to a payroll certified by a department or by an elected or
   1-60  duly appointed officer of this state;
   1-61                          (iii)  who receives payment for the
   1-62  performance of personal services on a warrant issued pursuant to a
   1-63  payroll certified by a department and drawn by the State
   1-64  Comptroller of Public Accounts upon the State Treasurer against
   1-65  appropriations made by the Texas Legislature from any state funds
   1-66  or against any trust funds held by the State Treasurer or who is
   1-67  paid from funds of an official budget of a state department, rather
   1-68  than from funds of the General Appropriations Act;
    2-1                          (iv)  who is appointed, subject to
    2-2  confirmation of the senate, as a member of a board or commission
    2-3  with administrative responsibility over a statutory agency having
    2-4  statewide jurisdiction whose employees are covered by this Act;
    2-5                          (v)  who receives compensation for services
    2-6  rendered to an institution of higher education on a warrant or
    2-7  check issued pursuant to a payroll certified by an institution of
    2-8  higher education or by an elected or duly appointed officer of this
    2-9  state, and who is eligible for participation in the Teacher
   2-10  Retirement System of Texas; <or>
   2-11                          (vi)  who receives compensation for
   2-12  services rendered to an institution of higher education as provided
   2-13  by this subdivision but is not permitted to be a member of the
   2-14  Teacher Retirement System of Texas because the person is solely
   2-15  employed by an institution of higher education that as a condition
   2-16  of employment requires the person to be enrolled as a student in an
   2-17  institution of higher education in graduate-level courses and who
   2-18  is employed by the institution at least 20 hours a week; or
   2-19                          (vii)  who serves as a member of the
   2-20  governing board of an institution of higher education.
   2-21        SECTION 2.  The Texas Employees Uniform Group Insurance
   2-22  Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code) is
   2-23  amended by adding Section 14B to read as follows:
   2-24        Sec. 14B.  PREMIUM PAYMENTS BY MEMBERS OF GOVERNING BOARD OF
   2-25  INSTITUTION OF HIGHER EDUCATION.  (a)  An active member of the
   2-26  governing board of an institution of higher education is entitled
   2-27  to receive coverage under this Act only if that member pays all
   2-28  premium costs related to that coverage.
   2-29        (b)  The trustee may adopt rules as necessary to implement
   2-30  this section.
   2-31        SECTION 3.  Section 3(a)(4)(A),  Texas State College and
   2-32  University Employees Uniform Insurance Benefits Act (Article
   2-33  3.50-3, Vernon's Texas Insurance Code), is amended to read as
   2-34  follows:
   2-35                    (A)  "Employee" means a member of the governing
   2-36  board of an institution or <shall mean> any person employed by a
   2-37  governing board of an institution:
   2-38                          (i)  who retires under the provisions cited
   2-39  in Subsection (a)(2) of this section;
   2-40                          (ii)  who receives his compensation for
   2-41  services rendered to an institution on a warrant or check issued
   2-42  pursuant to a payroll certified by an institution or by an elected
   2-43  or duly appointed officer of this state, and who is eligible for
   2-44  participation in the Teacher Retirement System of Texas; <or>
   2-45                          (iii)  who receives his compensation for
   2-46  services rendered as provided in this subdivision but is not
   2-47  permitted to be a member of the Teacher Retirement System of Texas
   2-48  because he is solely employed by an institution of higher education
   2-49  that as a condition of employment requires the employee to be
   2-50  enrolled as a student in the institution in graduate-level courses
   2-51  and who is employed at least 20 hours a week; or
   2-52                          (iv)  who serves as a member of the
   2-53  governing board of an institution of higher education.
   2-54        SECTION 4.  The Texas State College and University Employees
   2-55  Uniform Insurance Benefits Act (Article 3.50-3, Vernon's Texas
   2-56  Insurance Code) is amended by adding Section 11A to read as
   2-57  follows:
   2-58        Sec. 11A.  PREMIUM PAYMENTS BY MEMBERS OF GOVERNING BOARD OF
   2-59  INSTITUTION OF HIGHER EDUCATION.  (a)  An active member of the
   2-60  governing board of an institution of higher education is entitled
   2-61  to receive coverage under this Act only if that member pays all
   2-62  premium costs related to that coverage.
   2-63        (b)  Each institution may adopt rules as necessary to
   2-64  implement this section.
   2-65        SECTION 5.  This Act takes effect September 1, 1993, and
   2-66  applies only to a group life, accident, or health insurance plan
   2-67  that is delivered, issued for delivery, or renewed under the Texas
   2-68  Employees Uniform Group Insurance Benefits Act (Article 3.50-2,
   2-69  Vernon's Texas Insurance Code) or the Texas State College and
   2-70  University Employees Uniform Insurance Benefits Act (Article
    3-1  3.50-3, Vernon's Texas Insurance Code), on or after January 1,
    3-2  1994.  A plan that is delivered, issued for delivery, or renewed
    3-3  before January 1, 1994, is governed by the law as it existed
    3-4  immediately before the effective date of this Act, and that law is
    3-5  continued in effect for that purpose.
    3-6        SECTION 6.  The importance of this legislation and the
    3-7  crowded condition of the calendars in both houses create an
    3-8  emergency and an imperative public necessity that the
    3-9  constitutional rule requiring bills to be read on three several
   3-10  days in each house be suspended, and this rule is hereby suspended.
   3-11                               * * * * *
   3-12                                                         Austin,
   3-13  Texas
   3-14                                                         May 6, 1993
   3-15  Hon. Bob Bullock
   3-16  President of the Senate
   3-17  Sir:
   3-18  We, your Committee on Education to which was referred H.B. No. 723,
   3-19  have had the same under consideration, and I am instructed to
   3-20  report it back to the Senate with the recommendation that it do not
   3-21  pass, but that the Committee Substitute adopted in lieu thereof do
   3-22  pass and be printed.
   3-23                                                         Ratliff,
   3-24  Chairman
   3-25                               * * * * *
   3-26                               WITNESSES
   3-27                                                  FOR   AGAINST  ON
   3-28  ___________________________________________________________________
   3-29  Name:  Bill Presnal                                            x
   3-30  Representing:  Texas A&M Univ System Bd of Reg.
   3-31  City:  College Station
   3-32  -------------------------------------------------------------------