By:  Leedom                                            S.B. No. 128
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the Texas Incentive and Productivity Commission.
    1-2        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-3        SECTION 1.  Subsection (e), Section 2.002, Texas Incentive
    1-4  and Productivity Act (Article 6252-29a, Vernon's Texas Civil
    1-5  Statutes), is amended to read as follows:
    1-6        (e)  An employee whose suggestion results in a net annual
    1-7  savings or increase in revenues, including savings or increased
    1-8  revenues that result form increased productivity, of $100 or more
    1-9  is eligible for a bonus of 10 percent of the net savings or revenue
   1-10  increase, up to a maximum award of $5,000.  If the suggestion is
   1-11  submitted by more than one employee, the bonus shall be divided
   1-12  among the employees.  An employee whose suggestion results na net
   1-13  annual savings or increase in revenues of less than $100 is not
   1-14  eligible for a bonus but is eligible for a certificate of
   1-15  appreciation.
   1-16        SECTION 2.  Section 2.004, Texas Incentive and Productivity
   1-17  Act (Article 6252-29a, Vernon's Texas Civil Statutes), is amended
   1-18  to read as follows:
   1-19        Sec. 2.004.  EMPLOYEE ELIGIBILITY.  (a)  Each state employee
   1-20  is eligible to participate in the program except an employee <:>
   1-21              <(1)  who has authority to implement the suggestion
   1-22  being made;>
   1-23              <(2)>  who is on an unpaid leave of absence <;>
    2-1              <(3)  Whose job description includes responsibility for
    2-2  cost analysis, efficiency analysis, savings implementation, or
    2-3  other related programs within the employee's agency;>
    2-4              <(4)  involved in or who has access to agency research
    2-5  and development programs, if that information is used as the basis
    2-6  of the suggestion; or>
    2-7              <(5)  whose job description or routine job duties
    2-8  include developing the type of change in the operations of that
    2-9  agency that is recommended by the suggestion>.
   2-10        (b)  An elected or appointed agency official is not eligible
   2-11  to participate in the program.
   2-12        (c)  The commission shall establish rules governing the
   2-13  qualifications of other state employees.
   2-14        SECTION 3.  Subsection (3), Section 3.001, Texas Incentive
   2-15  and Productivity Act (Article 6252-29a, Vernon's Texas Civil
   2-16  Statutes), is amended by adding Paragraph (C) to read as follows:
   2-17        (3)  "Division" means a unit of a state agency that:
   2-18              (A)  has an identifiable self-contained budget; <or>
   2-19              (B)  maintains its financial records under an
   2-20  accounting system that permits the accurate identification of the
   2-21  expenditures and receipts of the unit; or
   2-22              (C)  consists of a group of employees identified by the
   2-23  agency and approved by the commission.
   2-24        SECTION 4.  Subsection (b), Section 3.002, Texas Incentive
   2-25  and Productivity Act (Article 6252-29a, Vernon's Texas Civil
    3-1  Statutes), is amended to read as follows:
    3-2        (b)  The commission shall act on an agency's plan as early as
    3-3  practicable after receiving it.  The commission may return any plan
    3-4  to the executive director who submits it to request additional
    3-5  information or Clarification of details relating to the plan.  The
    3-6  commission must approve an agency plan before a state agency may
    3-7  apply for a productivity bonus for the agency or a division of the
    3-8  agency.  The commission shall inform the executive director in
    3-9  writing that the plan is approved or rejected not later than the
   3-10  30th day of the open meeting at which the plan is considered
   3-11  <after the date the plan is received>.
   3-12        SECTION 5.  Subsection (c), Section 3.004, Texas Incentive
   3-13  and Productivity Act (Article 6252-29a, Vernon's Texas Civil
   3-14  Statutes) is amended to read as follows:
   3-15        (c)  The commission shall consider as a legitimate savings a
   3-16  reduction in expenditures made possible by:
   3-17              (1)  reductions in overtime for eligible employees;
   3-18              (2)  reductions in <elimination of> consultant fees;
   3-19              (3)  reductions in <elimination of> budgeted positions;
   3-20              (4)  reductions in <elimination of unnecessary> travel;
   3-21              (5)  reductions in <elimination of unnecessary> travel;
   3-22              (6)  reductions in <elimination of> payments for
   3-23  <unnecessary> advertising, membership dues, subscriptions, and
   3-24  other nonessential outlays of state agency or division funds;
   3-25              (7)  increased efficiency in use of energy;
    4-1              (8)  improved office procedures and systems; and
    4-2              (9)  any other practice or device that the commission
    4-3  determines has resulted in verifiable savings.
    4-4        SECTION 6.  Subsection (b), Section 3.007, Texas Incentive
    4-5  and Productivity Act (Article 6252-29a, Vernon's Texas Civil
    4-6  Statutes), is amended to read as follows:
    4-7        (b)  From the funds in the state agency's or division's
    4-8  productivity bonus account, the commission shall award to the
    4-9  eligible employees of the agency or division an amount not to
   4-10  exceed 25 percent of the amount in that account.  The awarded
   4-11  amount shall be divided and distributed in equal shares to the
   4-12  eligible current employees of the agency or division, except that
   4-13  those employees who worked part-time or less than twelve months of
   4-14  the year shall receive only a pro rata share based on the fraction
   4-15  of the year worked.  The commission may grant an agency or
   4-16  division's request not to pay bonuses if a negligible reduction in
   4-17  cost has occurred <distributed in equal share to the eligible
   4-18  current employees of the agency or division>.  A bonus made to any
   4-19  individual employee may not exceed $1,000.  <An eligible employee
   4-20  who worked in the agency or division for less than the full fiscal
   4-21  year or on a part time basis is entitled to a pro rata share based
   4-22  on the fraction of the fiscal year and the average fraction of the
   4-23  work week that the employee worked in the agency or division.>  An
   4-24  eligible employee under this section is an employee who:
   4-25              (1)  is an hourly, part-time, or temporary employee;
    5-1              (2)  is a classified employee under the Position
    5-2  Classification Act of 1961 (Article 6252-11, Vernon's Texas Civil
    5-3  Statutes); or
    5-4              (3)  performs functions that are equivalent to
    5-5  functions performed by a classified employee in other state
    5-6  agencies.
    5-7        SECTION 7.  The importance of this legislation and the
    5-8  crowded condition of the calendars in both houses create an
    5-9  emergency and an imperative public necessity that the
   5-10  constitutional rule requiring bills to be read on three several
   5-11  days in each house be suspended, and this rule is hereby suspended,
   5-12  and that this Act take effect and be in force from and after its
   5-13  passage, and it is so enacted.