By: Truan, West S.B. No. 215 A BILL TO BE ENTITLED AN ACT 1-1 relating to the establishment of a self-employment assistance 1-2 program. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Subtitle B, Title 4, Labor Code, is amended by 1-5 adding Chapter 303 to read as follows: 1-6 CHAPTER 303. SELF-EMPLOYMENT ASSISTANCE PROGRAM 1-7 Sec. 303.001. DEFINITIONS. In this chapter: 1-8 (1) "Commission" means the Texas Employment 1-9 Commission. 1-10 (2) "Regular benefits" means benefits payable under 1-11 Subtitle A and benefits payable to federal civilian employees and 1-12 former members of the United States Armed Forces under 5 U.S.C. 1-13 Chapter 85. The term does not include additional or extended 1-14 benefits. 1-15 (3) "Self-employment assistance activities" means 1-16 activities approved by the commission, including entrepreneurial 1-17 training, business counseling, and technical assistance, in which 1-18 an individual identified under this chapter participates for the 1-19 purpose of establishing a business and becoming self-employed. 1-20 (4) "Self-employment assistance allowance" means an 1-21 allowance payable under this chapter to an individual participating 1-22 in self-employment assistance activities. 1-23 Sec. 303.002. ELIGIBILITY FOR SELF-EMPLOYMENT ASSISTANCE 1-24 ALLOWANCE. (a) An individual is eligible to receive a 2-1 self-employment assistance allowance if the individual: 2-2 (1) is eligible to receive regular benefits or would 2-3 be eligible to receive regular benefits but for a disqualification 2-4 otherwise applicable under Section 207.021(a)(4) or Section 2-5 207.047(a); 2-6 (2) is identified by a profiling system established by 2-7 the commission as an individual likely to exhaust regular benefits; 2-8 (3) applies to participate in a program of 2-9 self-employment assistance activities not later than the 60th day 2-10 after the date the individual initially applied for regular 2-11 benefits and provides the information required by the commission 2-12 for that participation; and 2-13 (4) has, on the date of application under Subdivision 2-14 (3): 2-15 (A) a balance of regular benefits equal to not 2-16 less than 18 times the individual's weekly benefit amount; and 2-17 (B) not less than 18 weeks remaining in the 2-18 individual's benefit year. 2-19 (b) The commission shall pay a self-employment assistance 2-20 allowance, subject to the limitation imposed under Section 303.005, 2-21 to an eligible individual who: 2-22 (1) has been accepted into a program approved by the 2-23 commission that provides self-employment assistance activities; 2-24 (2) is participating in self-employment assistance 2-25 activities; 2-26 (3) is actively engaged on a full-time basis in 2-27 activities, which may include training, related to establishing a 3-1 business and becoming self-employed; 3-2 (4) files a weekly claim with the commission for the 3-3 self-employment assistance allowance; and 3-4 (5) provides information required by the commission, 3-5 including a log of self-employment activities in which the 3-6 individual has participated. 3-7 (c) Except as otherwise provided by this section, a 3-8 self-employment assistance allowance is payable to an individual at 3-9 the same interval and is subject to the same terms and conditions 3-10 as regular benefits. 3-11 (d) Income from self-employment earned by an individual is 3-12 not required to be reported and may not be considered by the 3-13 commission for the purposes of Section 207.003. 3-14 (e) An individual who meets the requirements of this section 3-15 is unemployed for the purposes of Subtitle A. 3-16 Sec. 303.003. DISQUALIFICATION. An individual who fails to 3-17 participate in self-employment assistance activities or who fails 3-18 to actively engage on a full-time basis in activities, including 3-19 training, related to establishing a business and becoming 3-20 self-employed is disqualified from the self-employment assistance 3-21 allowance for the benefit period during which the disqualification 3-22 occurs. 3-23 Sec. 303.004. AMOUNT OF SELF-EMPLOYMENT ASSISTANCE 3-24 ALLOWANCE. (a) The weekly amount payable under this chapter to an 3-25 eligible individual is equal to the weekly benefit amount for 3-26 regular benefits otherwise payable to the individual under Section 3-27 207.002. 4-1 (b) The total of the allowance paid under this section and 4-2 the regular benefits paid under Subtitle A with respect to an 4-3 individual's benefit year may not exceed the maximum amount 4-4 established under Section 207.005. 4-5 Sec. 303.005. LIMITATION ON SCOPE OF PROGRAM. (a) The 4-6 number of individuals who receive a self-employment assistance 4-7 allowance under this chapter at any time may not exceed five 4-8 percent of the total number of individuals receiving regular 4-9 benefits under Subtitle A. 4-10 (b) The commission shall adopt rules as necessary to enforce 4-11 this section. 4-12 (c) The commission shall be authorized to enter into 4-13 interagency agreements with other state agencies to facilitate the 4-14 goals of this program. Those goals include technical assistance as 4-15 well as assistance with accessing capital, bonding, or any other 4-16 needs necessary for small business success. 4-17 Sec. 303.006. PROGRAM FINANCING. Self-employment assistance 4-18 allowances paid under this chapter shall be charged to employers in 4-19 the same manner provided under Subtitle A for the charging of 4-20 regular benefits. 4-21 Sec. 303.007. RULES; COMMISSION DUTIES. (a) The commission 4-22 may adopt rules to implement this chapter, including rules relating 4-23 to: 4-24 (1) criteria for the approval of programs that provide 4-25 self-employment assistance activities; 4-26 (2) eligibility for acceptance in and standards for 4-27 participation in a program; and 5-1 (3) the review and appeal process for a determination 5-2 of individual eligibility for a self-employment assistance 5-3 allowance. 5-4 (b) The commission shall develop a profiling system to 5-5 identify individuals likely to exhaust regular benefits who may be 5-6 eligible to participate in a program of self-employment assistance 5-7 activities under this chapter. 5-8 Sec. 303.008. PROGRAM APPROVAL. In approving a program that 5-9 provides self-employment assistance activities, the commission 5-10 shall attempt to identify and give priority treatment to existing 5-11 training programs. 5-12 SECTION 2. (a) This Act takes effect September 1, 1995, and 5-13 applies only to weeks beginning after that date or weeks beginning 5-14 after the date the United States Department of Labor approves a 5-15 plan required by that department, whichever date is later. 5-16 (b) This Act expires at the end of the week preceding the 5-17 date federal law no longer authorizes a self-employment assistance 5-18 program, unless that date is a Saturday, in which case this Act 5-19 expires on that date. 5-20 (c) Notwithstanding Subsection (b) of this section, this Act 5-21 expires December 8, 1998. 5-22 SECTION 3. The importance of this legislation and the 5-23 crowded condition of the calendars in both houses create an 5-24 emergency and an imperative public necessity that the 5-25 constitutional rule requiring bills to be read on three several 5-26 days in each house be suspended, and this rule is hereby suspended.