BILL ANALYSIS
C.S.S.B. 22
By: Zaffirini
Health and Human Services
4-2-95
Committee Report (Substituted)
BACKGROUND
Almost every state in the nation is pursuing some type of welfare
reform. Most strive to encourage work by reducing penalties on
earnings, to enforce parental responsibilities, to alter rules that
penalize two-parent families, to simplify the delivery of benefits,
to create jobs for welfare recipients, and to improve access to
child and health care.
S.B. 22 is based on Partnership for Independence, a report on
welfare reform completed by the comptroller. The comptroller
conducted extensive research with national experts and consultants
in order to reflect the direction of welfare reform both in
Washington, D.C., and in state capitals across the country.
PURPOSE
As proposed, C.S.S.B. 22 makes provisions for increasing employment
services and assistance, the reduction of dependence on state
assistance, the reduction of public assistance fraud and error,
increasing federal funding for specific assistance programs, and
requiring proof of immunization for children applicants for state
assistance, all in order to assist welfare recipients in achieving
independence.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is granted
to the Texas Department of Human Services under SECTIONS 1.03 and
5.01 (Sections 31.0126(a) and 31.031(e), Human Resources Code) of
this bill.
SECTION BY SECTION ANALYSIS
ARTICLE 1. WORK REQUIREMENTS
SECTION 1.01. ASSISTANCE PRIORITY IS WORK. Amends Section 31.001,
Human Resources Code, as follows:
Sec. 31.001. AID TO FAMILIES WITH DEPENDENT CHILDREN. (a)
Requires the Texas Department of Human Services (DHS) to give
first priority to assisting an adult recipient, or unemployed
applicant for financial assistance and services, in finding
and retaining a job.
(b) Requires DHS to give each adult recipient a copy of a
bill of responsibilities that defines the responsibilities
of the state and the recipient and that encourages personal
responsibility.
(c) Prohibits DHS from withholding benefits or otherwise
penalizing a recipient who fails to meet the
responsibilities under Subsection (b) or who fails to
participate in training, education, or other programs, if
the support services necessary to meet those
responsibilities or to participate in training, education,
or other programs are not provided to that recipient.
SECTION 1.02. CHILD CARE WORK EXEMPTION. Amends Chapter 31A,
Human Resources Code, by adding Section 31.0123, as follows:
Sec. 31.0123. EXEMPTION FROM JOBS TRAINING PROGRAM. Requires
DHS to exempt a caretaker of a dependent child younger than
one year of age from participation in a JOBS component.
SECTION 1.03. EMPLOYMENT PROGRAMS. (a) Amends Chapter 31A, Human
Resources Code, by adding Section 31.0126, as follows:
Sec. 31.0126. EMPLOYMENT PROGRAMS. (a) Requires DHS to
develop, by rule, certain programs to assist recipients in
finding and retaining employment.
(b) Requires DHS to develop these programs in accordance
with federal law as part of the job opportunities and
basic skills (JOBS) training program under the federal
Social Security Act.
(c) Sets forth guidelines for DHS in adopting rules.
(d) Authorizes a local workforce development board to
implement one or more programs prescribed by this section
in a workforce development area.
(e) Requires DHS to submit a waiver application or renewal
waiver application that a federal agency may require
before implementation of a program.
(f) Defines "local workforce development board."
(b) Repealer: Section 31.0125, Human Resources Code (Community
Work Experience Program).
SECTION 1.04. DETERMINATION OF MAXIMUM ALLOWABLE RESOURCES.
Amends Sections 31.032(b) and (c), Human Resources Code, as
follows:
(b) Requires DHS, in determining maximum allowable resources
for the purposes of assistance eligibility, to follow federal
regulations governing such resources under the food stamp
program, 7 C.F.R. Part 273.
(c) Makes nonsubstantive changes.
SECTION 1.05. DEMONSTRATION PROJECTS; FUND. Amends Article
5190.7a, V.T.C.S. (Workforce and Economic Competitiveness Act), by
adding Sections 4.055-4.057, as follows:
Sec. 4.055. DEMONSTRATION PROJECTS. (a) Defines "board" and
"workforce development agency."
(b) Authorizes each local workforce development board
(board) to establish and operate localized programs to
expand education, training, and employment in the workforce
development area, and to design creative programs that fit
the area's unique characteristics and needs.
(c) Requires a board that designs a program to submit a
written proposal for approval to the workforce development
agency (agency). Requires the agency to approve any program
that meets specific requirements.
(d) Requires a board to implement and administer a program
approved by the agency as a local demonstration project, and
to report to the agency quarterly regarding the
administration and effectiveness of the project in serving
the needs of the community.
(e) Requires a board to submit proposed program changes to
the agency in writing. Requires the agency to approve the
changes before their adoption and implementation.
Sec. 4.056. CERTAIN PROGRAMS FOR AFDC RECIPIENTS. (a)
Requires each board to adopt programs to enhance the ability
of recipients, who are eligible to participate in the JOBS
training program, to obtain and retain gainful employment.
Requires the agency to provide technical assistance to the
board in adopting programs.
(b) Requires the board to consider the programs established
under Section 31.0126, Human Resources Code, in adopting
programs under this section, and authorizes the board to
adapt a program to more effectively serve recipient needs.
(c) Requires the agency to approve a board adopted program
before the board can implement the program.
(d) Defines "JOBS training program."
Sec. 4.057. REVOLVING FUND ACCOUNT. (a) Establishes a
special revolving fund account, the local workforce
development board demonstration project account, in the state
treasury to be used only for specific purposes.
(b) Sets forth the contents of the account.
(c) Requires money drawn from the account to be paid back to
the account as certain funds become available.
(d) Provides that Sections 403.094 and 403.095, Government
Code, do not apply to the account.
SECTION 1.06. EMPLOYMENT OPPORTUNITIES FOR PERSONS WITH
DISABILITIES. (a) Amends Chapter 121, Human Resources Code, by
adding Sections 121.0014 and 121.0015, as follows:
Sec. 121.0014. VISION STATEMENT. (a) Provides the text of
a statement of vision to be adopted by the Health and Human
Services Commission, each health and human services agency,
and each state agency administering a workforce development
program.
(b) Defines "health and human services agency."
Sec. 121.0015. INTERAGENCY WORK GROUP. Creates an
interagency work group to implement the action plan adopted
at the 1994 Supported Employment Summit, and sets forth
guidelines for its composition and function.
(b) Requires the comptroller, not later than November 15,
1996, to submit a report to the governor and legislature
describing the progress toward implementing the action plan,
and to notify the legislature and certain standing committees
of the filing report.
SECTION 1.07. WORK INCENTIVES. Amends Chapter 533.008, Health and
Safety Code, by amending the section heading and Subsection (a),
and by adding Subsection (e), as follows:
Sec. 533.008. New heading: EMPLOYMENT OPPORTUNITIES FOR
INDIVIDUALS WITH MENTAL ILLNESS AND MENTAL RETARDATION. (a)
Requires each Texas Department of Mental Health and Mental
Retardation (MHMR) facility and community center to assess the
feasibility of converting certain positions into employment
opportunities for certain individuals, rather than patients
and clients, with mental illness and mental retardation.
(e) Requires each MHMR facility and community center to
ensure that designated staff have certain training related
to the Social Security Administration.
SECTION 1.08. CONTRACTING FOR SUPPLEMENTAL SECURITY INCOME (SSI).
Amends Section 533.034, Health and Safety Code, as follows:
(a) Created from existing text.
(b) Requires MHMR to ensure that services to clients of local
mental health and mental retardation authorities include a
provision requiring the local authority to train counselors to
work with the Supplemental Security Income (SSI) program to
fund supported employment, determine each client's eligibility
for work incentives and SSI, and provide clients and their
families with information on those federal programs.
SECTION 1.09. COMPETITIVE EMPLOYMENT. (a) Amends Section
21.510(e), Education Code, to require the individual transition
plan, of a student at least 16 years of age enrolled in a special
education program, to include a goal of competitive employment.
(b) Makes Section 21.510(e), Education Code, applicable to an
individual transition plan developed for each school year
beginning with the 1995-1996 school year.
(c) Requires the Central Education Agency (CEA) to study the
possible effects of amending Section 21.510, Education Code,
to require development of individual transition plans for
children at least 14 years of age. Requires CEA, not later
than November 15, 1996, to submit its report to the governor
and legislature.
SECTION 1.10. TEEN-JOBS PILOT PROGRAM. (a) Requires CEA to guide
the establishment of pilot programs which encourage teenage parents
to stay in school and advance toward independence.
(b) Authorizes the program to include certain services.
(c) Requires CEA to report to the governor and the 75th
Legislature regarding the effectiveness of the program.
(d) Provides that this section expires January 1, 1999.
SECTION 1.11. PILOT PROGRAM TO ASSIST AFDC CLIENTS IN ACHIEVING
SELF-SUFFICIENCY. (a) Requires DHS to establish a pilot program to
help families become self-sufficient by extending the period of
supported employment.
(b) Requires DHS, if it chooses to extend transitional
benefits for 24 months, to determine the most cost-effective
method of purchasing medical coverage for participants.
(c) Requires DHS to report to the governor and the 75th and
76th Legislatures.
(d) Defines "fill-the-gap budgeting."
(e) Provides that this section expires September 1, 1999.
SECTION 1.12. APPLICATION DATE. Makes this article applicable
only to a person who receives financial assistance on or after
September 1, 1995.
ARTICLE 2. REDUCING DEPENDENCE ON STATE ASSISTANCE
SECTION 2.01. ADULT LEARNING LABS FOR AFDC CLIENTS. Amends
Chapter 11A, Education Code, by adding Section 11.2093, as follows:
Sec. 11.2093. EDUCATE TEXAS PROGRAM. (a) Creates the Educate
Texas Program (ETP) to provide adult education services to
clients of Aid to Families with Dependent Children (AFDC) who
are referred to the program under Section 31.0124, Human
Resources Code.
(b) Requires CEA, the Texas Higher Education Coordinating
Board, and the state agency responsible for job training,
employment, and workforce development to develop jointly a
system of adult education learning laboratories in public
schools, community colleges, and other publicly owned
facilities under this program to provide certain emergency
services to a person eligible to receive AFDC.
SECTION 2.02. ELIGIBILITY FOR ADULT LEARNING LABS. Amends Chapter
31A, Human Resources Code, by adding Section 31.0124, as follows:
Sec. 31.0124. REFERRAL TO EDUCATIONAL PROGRAMS. Requires DHS
to determine whether a person is eligible for adult education
services under Section 11.2093, Education Code, and to refer
the person to the appropriate education service.
SECTION 2.03. ADULT LITERACY AND LEARNING PROGRAMS. Amends
Chapter 88, Education Code, by adding Subchapter G, as follows:
SUBCHAPTER G. TEXAS CENTER FOR ADULT LITERACY AND LEARNING
Sec. 88.541. DUTIES OF TEXAS CENTER FOR ADULT LITERACY AND
LEARNING. (a) Requires the Texas Center for Adult Literacy
and Learning (center) at Texas A&M University to evaluate
recorded materials for use in providing adult literacy
instruction and to publish, and encourage the use of, a
guide describing and evaluating those materials.
(b) Requires the center to develop voluntary standards for
materials used in adult education programs. Requires the
center to organize an advisory group and encourage the
participation of major providers of adult literacy
programs in this state. Requires the Texas Department of
Criminal Justice to designate an employee to participate
in the initial development of the standards.
(c) Requires the center to develop materials to track
student progress.
(d) Requires the center to develop and update distribution
materials describing the need for adult literacy and
education services and encouraging qualified persons to
support or assist these programs.
SECTION 2.04. LITERACY: ENGLISH AS A SECOND LANGUAGE. Amends
Chapter 13B, Education Code, by adding Section 13.044, as follows:
Sec. 13.044. ADULT LITERACY AND ENGLISH AS A SECOND LANGUAGE
CURRICULUM. (a) Requires each general academic training
institution that conducts an approved teacher education
program to include a unit introducing students to the
fundamentals of teaching adult literacy and English as a
second language courses.
(b) Authorizes the institution, if it operates a center for
professional development and technology, to provide
opportunities for internships and other field-based training
and experience in teaching adult literacy or English as a
second language.
SECTION 2.05. AFDC RECIPIENTS ELIGIBLE FOR FEDERAL PROGRAMS. (a)
Amends Article 4413(502), V.T.C.S., by adding Section 22, as
follows:
Sec. 22. AFDC RECIPIENTS ELIGIBLE FOR FEDERAL PROGRAMS. (a)
Requires the Health and Human Services Commission (HHSC) to
assist recipients of financial assistance under Chapter 31,
Human Resources Code, who are eligible for assistance under
federal programs to apply for benefits under those programs.
Authorizes HHSC to delegate this responsibility to a health
and human services agency under Section 19, contract with a
local unit of government, or use another cost-effective
measure to assist financial assistance recipients who are
eligible for federal programs.
(b) Requires HHSC to organize a planning group involving
DHS, CEA, and TRC to improve workload coordination and to
assist the consultant in certain ways.
(b) Requires the planning group, not later than January 15,
1997, to submit to the legislature and governor a report on
the progress of the state in transferring recipients of
state assistance to federal programs.
SECTION 2.06. FEDERAL TAX CREDIT. Amends Chapter 403B, Government
Code, by adding Section 403.024, as follows:
Sec. 403.024. FEDERAL EARNED INCOME TAX CREDIT. (a) Makes
the comptroller's office the lead state agency in promoting
awareness of the federal earned income tax credit program for
working families.
(b) Requires the comptroller to recruit other state agencies
and the governor's office to participate in a coordinated
campaign to increase awareness of the federal tax program.
SECTION 2.07. PILOT PROGRAM: TIME-LIMITED BENEFITS. Requires and
sets forth guidelines concerning the establishment by DHS of a
time-limited benefits pilot program that limits the amount of time
a person can receive financial assistance under Chapter 31, Human
Resources Code. Requires DHS to submit a report concerning the
effectiveness of the pilot program to the governor and the 75th,
76th, and 77th Legislatures. Provides that this section expires
September 1, 2001.
SECTION 2.08. PILOT PROGRAM: EMERGENCY ASSISTANCE FOR FAMILIES IN
A CRISIS. Requires and sets forth guidelines for the establishment
by DHS of an emergency assistance pilot program to support families
in a crisis. Requires DHS to report to the governor and 75th and
76th Legislatures regarding the program's success in helping
families in a crisis avoid becoming AFDC clients. Provides that
this section expires September 1, 1999.
SECTION 2.09. PILOT PROGRAM: SAVINGS ACCOUNTS FOR AFDC RECIPIENTS.
Requires and sets forth guidelines for the establishment by DHS of
a pilot program to create individual development accounts for
individuals who receive financial assistance under Chapter 31,
Human Resources Code, to encourage recipients to achieve self-sufficiency. Requires DHS to report to the governor and the 75th
and 76th Legislatures regarding the success of the program.
Provides that this section expires September 1, 1999.
SECTION 2.10. WORK HISTORY AND 100-HOUR RULE WAIVER. Requires
DHS, not later than December 1, 1995, to reapply for a federal
waiver to eliminate the work history and 100-hour rules for two-parent families and to enable DHS to fully implement Section
31.014, Human Resources Code.
SECTION 2.11. APPLICATION DATE. Makes this article applicable
only to a person receiving assistance under Chapter 31, Human
Resources Code, on or after September 1, 1995.
ARTICLE 3. REDUCING FRAUD AND ERROR
SECTION 3.01. PUBLIC ASSISTANCE FRAUD OVERSIGHT TASK FORCE.
Amends Chapter 21, Human Resources Code, by adding Section 21.0145,
as follows:
Sec. 21.0145. PUBLIC ASSISTANCE FRAUD OVERSIGHT TASK FORCE.
(a) Creates the Public Assistance Fraud Oversight Task Force
(task force) to advise and assist DHS and DHS' office of the
inspector general in improving the efficiency of fraud
investigations and collections.
(b) Sets forth the composition of the task force.
(c) Provides that the comptroller or comptroller's designee
serves as the presiding officer of the task force.
Authorizes the task force to elect other necessary officers.
(d) Requires the task force to meet at least once each
fiscal quarter at the call of the presiding officer.
(e) Makes the appointing agency responsible for the expenses
of a member's service, and provides that members receive no
additional compensation for service.
(f) Requires DHS' office of the inspector general, at least
once each fiscal quarter, to provide the task force with
specific information,
SECTION 3.02. FRAUD PREVENTION. (a) Amends Chapter 22, Human
Resources Code, by adding Section 22.027, as follows:
Sec. 22.027. FRAUD PREVENTION. (a) Requires DHS' office of
the inspector general to compile and disseminate information
relating to fraud prevention and post-fraud referrals.
(b) Requires DHS to publicize successful fraud
prosecutions and establish and promote a toll-free hotline
for reporting suspected fraud in DHS programs.
(c) Requires DHS to establish an interstate information
sharing agreement with certain states to prevent a person
from receiving public assistance simultaneously from more
than one state. Requires the agreement to provide for
sharing information necessary to identify an applicant or
recipient.
(d) Requires DHS to verify automobile information used as
criteria for eligibility and establish a computerized
matching system to prevent an incarcerated individual from
receiving public assistance benefits illegally.
(b) Requires DHS to evaluate the costs and benefits of the
five-day time limit prescribed for the investigation of fraud
referrals and to consider lowering the criteria for acceptance
of post-fraud referrals.
(c) Requires DHS to require each department office to apply
the new criteria, if DHS lowers the criteria for accepting
post-fraud referrals.
SECTION 3.03. PREVENTING FRAUD THROUGH CERTIFICATE OF TITLE.
Amends Article 6687-1, V.T.C.S. (Certificate of Title Act), by
adding Section 27a to require the Department of Public Safety
(DPS), in a county in which DPS' automated registration and title
system has been implemented, to require an individual applying for
a certificate of title to give the applicant's social security
number; and requires DPS to enter the number in DPS' electronic
database but may not print the number on the certificate of title.
SECTION 3.04. PREVENTING FRAUD THROUGH VEHICLE REGISTRATION
DATABASE. Amends Article 6675a-17A, V.T.C.S., by amending
Subsection (b) and adding Subsection (c), as follows:
(b) Provides that this section does not apply to the release
of information to an official of a political subdivision of
the state if the official is requesting the information to
determine eligibility for a state public assistance program.
(c) Requires the Texas Department of Transportation to provide
a dedicated line to its registration record database for
determination by other state agencies of eligibility for a
state public assistance program.
SECTION 3.05. TASK FORCE: ELECTRONIC BENEFITS TRANSFERS. Amends
Article 4413(502), V.T.C.S., by adding Section 10B, as follows:
Sec. 10B. INTERAGENCY TASK FORCE ON ELECTRONIC BENEFITS
TRANSFERS. (a) Creates an interagency task force to advise
and assist HHSC in adding new benefit programs to the
statewide electronic benefits transfer (EBT) system.
(b) Sets forth the composition of the task force.
(c)-(f) Set forth guidelines for the functioning of the task
force.
(g)-(h) Set forth duties of the task force and specific
considerations in determining which programs can be added to
the state's EBT system.
SECTION 3.06. ERROR-RATE REDUCTION. (a) Amends Chapter 22, Human
Resources Code, by adding Sections 22.025 and 22.026, as follows:
Sec. 22.025. ERROR-RATE REDUCTION. (a) Requires DHS to set
progressive goals for improving its error rates in the AFDC
and food stamp programs and to develop a specific schedule
to meet those goals.
(b) Requires DHS to prepare a quarterly report detailing
DHS' progress in reaching its goals.
(c) Requires DHS to include in its employee evaluation
process a rating system that emphasizes error-rate
reduction and workload.
(d) Requires DHS to take appropriate disciplinary action
against management and other staff if a region has a
higher than average error rate that is not reduced in a
reasonable period.
Sec. 22.026. REDUCTION OF CLIENT FRAUD. Requires DHS to
ensure that errors attributed to client fraud are
appropriate and to take immediate action to limit client
fraud.
(b) Requires DHS, not later than November 1, 1995, to develop
a concentrated and effective plan for the city of Houston
region to reduce DHS' error rates in the AFDC and food stamp
programs.
(c) Requires DHS to make the first progress report not later
than September 1, 1995.
SECTION 3.07. MODIFICATION OF SCREENING AND SERVICE DELIVERY
REQUIREMENTS. Amends Section 33.002, Human Resources Code, by
adding Subsection (g), to authorize DHS to modify one-day screening
and service delivery requirements if DHS determines that
modification is necessary to achieve a state error rate equal to or
below the national average.
SECTION 3.08. ELECTRONIC IMAGING PILOT PROGRAM. Requires DHS to
develop, by rule, a 36-month pilot program in Harris County to
prevent welfare fraud by using fingerprint-imaging of applicants
for and recipients of assistance. Requires DHS to report quarterly
to the governor and legislature on the status and progress of the
program. Requires DHS to establish the program not later than
January 1, 1996.
ARTICLE 4. INCREASING FEDERAL FUNDING
SECTION 4.01. FEDERAL FUNDING: MENTAL HEALTH SERVICES. Amends
Chapter 533B, Health and Safety Code, by adding Section 533.046, as
follows:
Sec. 533.046. FEDERAL FUNDING FOR MENTAL HEALTH SERVICES FOR
CHILDREN AND FAMILIES. (a) Requires the Texas Department of
Mental Health and Mental Retardation to enter into an
interagency agreement with DHS to amend the eligibility
requirements of the state's emergency assistance plan, in
order to include mental health emergencies, and to prescribe
the procedures for agencies in delegating the administration
of mental health emergency assistance.
(b) Sets forth requirements for the interagency agreement.
(c) Requires DHS to allocate 66 percent of federal funds
received under this section to local mental health and
mental retardation authorities.
SECTION 4.02. FEDERAL FUNDING: CHEMICAL DEPENDENCY SERVICES. (a)
Amends Article 4413(502), V.T.C.S., by adding Section 10A, as
follows:
Sec. 10A. FEDERAL FUNDING FOR CHEMICAL DEPENDENCY SERVICES.
Requires HHSC to amend, in coordination with the Texas
Commission on Alcohol and Drug Abuse and DHS, requirements
of the state's emergency assistance plan under the federal
Social Security Act to include either a child or a
significant adult in a child's family who needs chemical
dependency treatment.
(b) Requires the Texas Department on Alcohol and Drug Abuse to
continue to study the feasibility of amending the state's
Medicaid plan to include chemical dependency treatment as an
allowable service.
SECTION 4.03. FEDERAL FUNDS; FOSTER CARE. (a) Amends Article
4413(503), V.T.C.S., by adding Section 12A, as follows:
Sec. 12A. FEDERAL FUNDING FOR CERTAIN CHILDREN. (a)
Requires the Department of Protective and Regulatory Services
(DPRS) to classify each child in the conservatorship of the
state and placed in the home of a relative as a "child in
foster care" for the purposes of Medicaid eligibility only.
Provides that a "child in foster care" is not automatically
eligible to receive foster care payments because of that
classification.
(b) Requires DPRS to ensure that each time study used for
allocating costs identifies all costs incurred on behalf of
the child, if the child's case plan clearly indicates that
foster care is the planned arrangement for the child.
(c) Requires DPRS to claim, at the highest rate authorized
by federal law, federal financial participation under the
federal Social Security Act for all nonrecurring adoption
expenses. Requires DPRS to include all charges from state
attorneys and state courts and any applicable overhead.
Authorizes DPRS to claim the expenses as either
administrative or training expenses, depending on which
results in a higher federal match.
(b) Requires DPRS to file an adjustment to its previous
quarterly claims.
(c) Requires DPRS to request a waiver from the two-year
limitation on the period in which the state can file certain
claims.
ARTICLE 5. IMMUNIZATIONS
SECTION 5.01. IMMUNIZATIONS FOR CHILDREN. Amends Section 31.031,
Human Resources Code, by adding Subsections (c), (d), and (e), as
follows:
(c) Requires DHS to require the applicant to provide proof
that each child for whom the applicant will receive assistance
has been immunized, is currently receiving an immunization
series, or is exempted under Section 161.004(d), Health and
Safety Code.
(d) Requires an applicant, who cannot provide proof when
applying, to provide the proof not later than the 180th day
after the date DHS determines the applicant is eligible for
assistance.
(e) Requires DHS, by rule, to provide sanctions for failure to
comply with Subsection (c) or (d).
ARTICLE 6. WAIVER; EFFECTIVE DATE; EMERGENCY
SECTION 6.01. WAIVER. Requires a state agency, if it determines
that a waiver or authorization from a federal agency is necessary
for implementation, to request the waiver or authorization, and
authorizes DHS to delay implementation until either is granted.
SECTION 6.02. Effective date: September 1, 1995.
SECTION 6.03. Emergency clause.