By:  Carriker                                          S.B. No. 584
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to benefits for state employees.
    1-2        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-3        SECTION 1.  Article 6813g, Vernon's Texas Civil Statutes, is
    1-4  amended to read as follows:
    1-5        Art. 6813g.  Deductions for supplemental benefits for state
    1-6  employees.
    1-7        Sec. 1.  Definitions.  In this article "state agency" means a
    1-8  department, commission, board, office, or other agency of any
    1-9  branch of state government, including an institution of higher
   1-10  education as defined by Section 61.003, Education Code.
   1-11        Sec. 2.  Deduction authorized.  In addition to deductions for
   1-12  coverage under the Texas Employees Uniform Group Insurance Benefits
   1-13  Act (Article 3.50-2, Vernon's Texas Insurance Code) or other law,
   1-14  an employee of a state agency may authorize in writing a deduction
   1-15  each pay period from the employee's salary or wage payment for
   1-16  coverage of the employee under a supplemental optional benefits
   1-17  program, including a program of permanent life insurance,
   1-18  catastrophic illness insurance, disability insurance, or prepaid
   1-19  legal services, that may be made if the program has been approved
   1-20  by the Employees Retirement System of Texas under Section 3 of this
   1-21  article.  An employee may also authorize a deduction for payment to
   1-22  a credit union to be credited to a share or deposit account of that
   1-23  employee.  The written authorization must direct the comptroller
    2-1  or, if applicable, the appropriate financial officer of an
    2-2  institution of higher education to transfer the withheld funds to
    2-3  the program designated by the employee.  The comptroller or
    2-4  financial officer shall comply with the direction.
    2-5        Sec. 3.  Eligible program.  The Employees Retirement System
    2-6  of Texas shall designate supplemental benefit programs that are
    2-7  eligible to receive deductions under Section 2 of this article and
    2-8  that promote the interests of the state and state agency employees.
    2-9  No designation is necessary for credit union deductions.
   2-10        Sec. 4.  Form; duration.  (a)  The payroll deduction must be
   2-11  accomplished in a form and manner prescribed by the comptroller or
   2-12  the appropriate financial officer of an institution of higher
   2-13  education.
   2-14        (b)  The employee or the employee's designee may change or
   2-15  revoke the deduction authorization by delivering written notice of
   2-16  the change or revocation to the comptroller or financial officer,
   2-17  as appropriate.  The authorization is effective until the date the
   2-18  comptroller or financial officer receives the notice.  The notice
   2-19  must be given in a form and manner prescribed by the comptroller or
   2-20  financial officer.
   2-21        Sec. 5.  Voluntary participation. Participation by employees
   2-22  in the program authorized by this article is voluntary.
   2-23        Sec. 6.  Administrative fee. The state may withhold from the
   2-24  employee's salary or wage payment an administrative fee for making
   2-25  the deduction under this article.  The fee may not exceed the
    3-1  actual administrative cost of making the deduction or the highest
    3-2  fee charged by the state for making a similar deduction, whichever
    3-3  amount is less.
    3-4        SECTION 2.  The importance of this legislation and the
    3-5  crowded condition of the calendars in both houses create an
    3-6  emergency and an imperative public necessity that the
    3-7  constitutional rule requiring bills to be read on three several
    3-8  days in each house be suspended, and this rule is hereby suspended,
    3-9  and that this Act take effect and be in force from and after its
   3-10  passage, and it is so enacted.