1-1  By:  Holzheauser (Senate Sponsor - Parker)            H.B. No. 2134
    1-2        (In the Senate - Received from the House May 12, 1993;
    1-3  May 13, 1993, read first time and referred to Committee on State
    1-4  Affairs; May 24, 1993, reported adversely, with favorable Committee
    1-5  Substitute by the following vote:  Yeas 11, Nays 0; May 24, 1993,
    1-6  sent to printer.)
    1-7                            COMMITTEE VOTE
    1-8                          Yea     Nay      PNV      Absent 
    1-9        Harris of Dallas   x                               
   1-10        Rosson             x                               
   1-11        Carriker           x                               
   1-12        Henderson          x                               
   1-13        Leedom             x                               
   1-14        Lucio              x                               
   1-15        Luna               x                               
   1-16        Nelson             x                               
   1-17        Patterson          x                               
   1-18        Shelley            x                               
   1-19        Sibley             x                               
   1-20        West                                          x    
   1-21        Whitmire                                      x    
   1-22  COMMITTEE SUBSTITUTE FOR H.B. No. 2134                By:  Carriker
   1-23                         A BILL TO BE ENTITLED
   1-24                                AN ACT
   1-25  relating to payroll deductions for employees of state agencies;
   1-26  making an appropriation.
   1-28        SECTION 1.  Title 117, Revised Statutes, is amended by adding
   1-29  Article 6813h to read as follows:
   1-31  ACCOUNT
   1-32        Sec. 1.  DEFINITION.  In this article, "state agency" has the
   1-33  meaning assigned by Section 1, Article 6813g, Revised Statutes.
   1-34        Sec. 2.  DEDUCTION AUTHORIZED.  In addition to other
   1-35  deductions authorized by state or federal law, an employee of a
   1-36  state agency may authorize in writing a deduction each pay period
   1-37  from the employee's salary or wage payment for payment to a credit
   1-38  union to be credited to an account of that employee.  The written
   1-39  authorization must direct the comptroller or, if applicable, the
   1-40  appropriate financial officer of an institution of higher education
   1-41  to transfer the withheld funds to the credit union for deposit to
   1-42  the credit of the account designated by the employee.  The
   1-43  comptroller or financial officer shall comply with the direction.
   1-44        Sec. 3.  FORM; DURATION.  (a)  The payroll deduction must be
   1-45  accomplished in a form and manner prescribed by the comptroller or
   1-46  the appropriate financial officer of an institution of higher
   1-47  education.
   1-48        (b)  The employee or the employee's designee may change or
   1-49  revoke the deduction authorization by delivering written notice of
   1-50  the change or revocation to the comptroller or financial officer of
   1-51  an institution of higher education, as appropriate.  The
   1-52  authorization is effective until the date the comptroller or
   1-53  financial officer receives the notice.  The notice must be given in
   1-54  a form and manner prescribed by the comptroller or financial
   1-55  officer.
   1-56        Sec. 4.  ADMINISTRATIVE FEE.  (a)  The state may withhold
   1-57  from the employee's salary or wage payment an administrative fee
   1-58  for making the deduction under this article.  The comptroller shall
   1-59  set the fee in an amount that does not exceed the lesser of:
   1-60              (1)  the actual administrative costs of the comptroller
   1-61  and the employing state agency for making the deduction; or
   1-62              (2)  the highest fee charged by the state for making a
   1-63  similar deduction.
   1-64        (b)  The state shall appropriate the fees withheld under
   1-65  Subsection (a) to the comptroller and the employing state agencies
   1-66  in proportion to the cost incurred by each under this article.
   1-67        (c)  An institution of higher education that is authorized to
   1-68  operate a payroll system reimbursable from the state treasury may
    2-1  withhold from the employee's salary or wage payment and retain an
    2-2  administrative fee for making the deduction under this article.
    2-3  The fee may not exceed the institution's actual administrative cost
    2-4  of making the deduction or the highest fee charged for making a
    2-5  similar deduction.
    2-6        SECTION 2.  The comptroller and the appropriate financial
    2-7  officer of each institution of higher education shall adopt rules
    2-8  prescribing the form and manner of implementing the credit union
    2-9  payroll deduction program authorized by Article 6813h, Revised
   2-10  Statutes, as added by this Act, not later than January 1, 1994, and
   2-11  shall implement their respective programs on the date the rules are
   2-12  adopted.
   2-13        SECTION 3.  In addition to other amounts appropriated to the
   2-14  comptroller or an employing state agency for the fiscal biennium
   2-15  beginning September 1, 1993, the administrative fees authorized by
   2-16  Section 4(a), Article 6813h, Revised Statutes, as added by this
   2-17  Act, are appropriated to the comptroller and the employing state
   2-18  agencies in the proportions provided by that section for the fiscal
   2-19  biennium beginning September 1, 1993, to administer that article.
   2-20        SECTION 4.  The importance of this legislation and the
   2-21  crowded condition of the calendars in both houses create an
   2-22  emergency and an imperative public necessity that the
   2-23  constitutional rule requiring bills to be read on three several
   2-24  days in each house be suspended, and this rule is hereby suspended,
   2-25  and that this Act take effect and be in force from and after its
   2-26  passage, and it is so enacted.
   2-27                               * * * * *
   2-28                                                         Austin,
   2-29  Texas
   2-30                                                         May 24, 1993
   2-31  Hon. Bob Bullock
   2-32  President of the Senate
   2-33  Sir:
   2-34  We, your Committee on State Affairs to which was referred H.B. No.
   2-35  2134, have had the same under consideration, and I am instructed to
   2-36  report it back to the Senate with the recommendation that it do not
   2-37  pass, but that the Committee Substitute adopted in lieu thereof do
   2-38  pass and be printed.
   2-39                                                         Harris of
   2-40  Dallas, Chairman
   2-41                               * * * * *
   2-42                               WITNESSES
   2-43                                                  FOR   AGAINST  ON
   2-44  ___________________________________________________________________
   2-45  Name:  Jeff Huffman                              x
   2-46  Representing:  Tx Credit Union League
   2-47  City:  Dallas
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