By Harris                                              S.B. No. 793
          Substitute the following for S.B. No. 793:
          By Van de Putte                                    C.S.S.B. No. 793
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the enforcement of certain child support and medical
    1-3  support obligations.
    1-6        SECTION 1.01.  Chapter 231, Family Code, is amended by adding
    1-7  Section 231.0011 to read as follows:
   1-10  attorney general, as the Title IV-D agency for the state of Texas
   1-11  shall have final approval authority on any contract or proposal for
   1-12  delivery of IV-D services under this section, and in coordination
   1-13  with the Texas Judicial Council, the Office of Court
   1-14  Administration, the federal Office of Child Support Enforcement,
   1-15  state, county and local officials, shall develop and implement a
   1-16  statewide system for child support and medical support enforcement,
   1-17  employing federal, state, local and private resources to:
   1-18              (1)  unify child support registry functions;
   1-19              (2)  record and track all child support orders entered
   1-20  in the state;
   1-21              (3)  establish an automated enforcement process which
   1-22  will use delinquency monitoring, billing and other enforcement
   1-23  techniques to ensure the payment of current support;
   1-24              (4)  incorporate existing enforcement resources into
    2-1  the system to obtain  maximum benefit from state and federal
    2-2  funding; and
    2-3              (5)  ensure accountability for all participants in the
    2-4  process, including state, county and local officials, private
    2-5  contractors, and the judiciary.
    2-6        (b)  The attorney general shall convene a workgroup to
    2-7  determine a process and develop a time-table for implementation of
    2-8  a unified registry system, and to identify any barriers to
    2-9  completion of the project.  The workgroup shall include
   2-10  representatives of the judiciary, district clerks and domestic
   2-11  relations Offices, as well as other interested agencies,
   2-12  organizations and individuals.  The workgroup shall report the
   2-13  results of its deliberations to the governor, lieutenant governor,
   2-14  speaker of the house of representatives and the attorney general on
   2-15  or before January 15, 1996.
   2-16        (c)  The attorney general shall, in cooperation with the
   2-17  workgroup established by this section, develop technical standards
   2-18  for participation in the unified child support system, including
   2-19  standard required data elements for effective monitoring of child
   2-20  support and medical support orders, and for the imposition of
   2-21  interest on delinquent child support.
   2-22        (d)  Counties and other providers of child support services
   2-23  shall be required, as a condition of participation in the unified
   2-24  system, to enter into a contract with the attorney general and
   2-25  comply with all federal requirements for the Title IV-D program,
   2-26  and to maintain at least the current level of funding for
   2-27  activities which are proposed to be included in the integrated
    3-1  child support system.
    3-2        (e)  The attorney general shall identify federal
    3-3  requirements, apply for necessary federal waivers, and provide
    3-4  technical system requirements and other information concerning
    3-5  participation in the system to counties and other providers of
    3-6  child support services, not later than January 15, 1996.  Counties
    3-7  shall notify the attorney general of existing resources and options
    3-8  for participation not later than May 1, 1996.
    3-9        (f)  Not later than June 1, 1996, the attorney general shall
   3-10  produce a procurement and implementation plan for hardware and
   3-11  software necessary to implement in phases a unified statewide
   3-12  registry and enforcement system.
   3-13        (g)  Effective January 15, 1996, the attorney general may
   3-14  contract with any county meeting technical system requirements
   3-15  necessary to comply with federal law for provision of Title IV-D
   3-16  services in that county.  All new cases in which support orders are
   3-17  entered in such county after the effective date of a monitoring
   3-18  contract shall be Title IV-D cases.  Any other case in the county,
   3-19  subject to federal requirements and the agreement of the county and
   3-20  the attorney general, may be included as a Title IV-D case.  Any
   3-21  obligee under a support order may refuse Title IV-D enforcement
   3-22  services unless required to accept such services pursuant to other
   3-23  law.
   3-24        (h)  Counties participating in the unified enforcement system
   3-25  shall monitor all child support registry cases and upon delinquency
   3-26  may, subject to the approval of the Title IV-D agency, provide
   3-27  enforcement services through:
    4-1              (1)  direct provision of services by county personnel;
    4-2              (2)  subcontracting all or portions of the services to
    4-3  private entities or attorneys; or
    4-4              (3)  such other methods as may be approved by the Title
    4-5  IV-D agency.
    4-6        (i)  The attorney general shall undertake a least-cost review
    4-7  of its child support operations and shall use the information
    4-8  developed in such review to determine what, if any, contribution of
    4-9  program funds generated through other Title IV-D activities should
   4-10  be made to the participating counties.  The attorney general, in
   4-11  cooperation with the counties and the federal Office of Child
   4-12  Support Enforcement shall develop a cost allocation methodology to
   4-13  assist the counties in identifying county contributions which may
   4-14  qualify for federal financial participation.
   4-15        (j)  The attorney general may phase in the integrated child
   4-16  support registry and enforcement system, and the requirement to
   4-17  implement the system shall be contingent upon the receipt of
   4-18  locally generated funds and federal reimbursement; "locally
   4-19  generated funds" include, but are not limited to, funds contributed
   4-20  by counties and cities.
   4-21        (k)  The attorney general shall adopt rules to implement this
   4-22  section.
   4-23        SECTION 1.02.  Sections 231.109(b) and (d), Family Code, are
   4-24  amended to read as follows:
   4-25        (b)  The Title IV-D agency may contract with private
   4-26  attorneys, other private entities, or political subdivisions of the
   4-27  state to provide services in Title IV-D cases <represent this state
    5-1  or another state in an action brought under the authority of
    5-2  federal law and this chapter>.
    5-3        (d)  An attorney employed to provide Title IV-D services <by
    5-4  the Title IV-D agency or as otherwise provided by this chapter>
    5-5  represents the interest of the state and not the interest of any
    5-6  other party.  The provision of services by an attorney under this
    5-7  chapter does not create an attorney-client relationship between the
    5-8  attorney and any other party.  The agency shall, at the time an
    5-9  application for child support services is made, inform the
   5-10  applicant that neither the Title IV-D agency nor any attorney who
   5-11  provides services under this chapter is the applicant's attorney
   5-12  and that the attorney providing services under this chapter does
   5-13  not provide legal representation to the applicant.
   5-14        SECTION 1.03.  Chapter 231, Family Code, is amended by adding
   5-15  Section 231.113 to read as follows:
   5-17  ASSISTANCE CASES.  To the extent possible, the Title IV-D agency
   5-18  shall enforce a child support obligation in a case involving a
   5-19  child who receives financial assistance under Chapter 31, Human
   5-20  Resources Code, not later than the first anniversary of the date
   5-21  the agency receives from the Texas Department of Human Services the
   5-22  information the department is required to provide to assist in the
   5-23  enforcement of that obligation.
   5-24        SECTION 1.04.  Section 231.202, Family Code, is amended to
   5-25  read as follows:
   5-26        Sec. 231.202.  AUTHORIZED COSTS AND FEES IN TITLE IV-D CASES.
   5-27  In a Title IV-D case filed under this title, the Title IV-D agency
    6-1  shall pay:
    6-2              (1)  filing fees and fees for issuance and service of
    6-3  process as provided by Chapter 110 of this code and by Sections
    6-4  51.317, 51.318(b)(2), and 51.319(4), Government Code;
    6-5              (2)  fees for transfer as provided by Chapter 110;
    6-6              (3)  fees for the issuance and delivery of orders and
    6-7  writs of income withholding in the amounts provided by Chapter 110;
    6-8  and
    6-9              (4)  a fee of $45 for each item of process to each
   6-10  individual on whom service is required, including service by
   6-11  certified or registered mail, to be paid to a sheriff, constable,
   6-12  or clerk whenever service of process is required<; and>
   6-13              <(5)  mileage costs incurred by a sheriff or constable
   6-14  when traveling out of the county to execute an outstanding warrant
   6-15  or capias, to be reimbursed at a rate not to exceed the rate
   6-16  provided for mileage incurred by state employees in the General
   6-17  Appropriations Act>.
   6-18        SECTION 1.05.  Section 231.209, Family Code, is amended to
   6-19  read as follows:
   6-21  SUBCHAPTER.  Without regard to this subchapter and specifically
   6-22  Section 231.205, the Title IV-D agency may pay the costs for:
   6-23              (1)  the services of an official court reporter for the
   6-24  preparation of statements of facts; <and>
   6-25              (2)  the costs for the publication of citation served
   6-26  by publication; and
   6-27              (3)  mileage or other reasonable travel costs incurred
    7-1  by a sheriff or constable when traveling out of the county to
    7-2  execute an outstanding warrant or capias, to be reimbursed at a
    7-3  rate not to exceed the rate provided for mileage or other costs
    7-4  incurred by state employees in the General Appropriations Act.
    7-5        SECTION 1.06.  Section 231.304, Family Code, is amended by
    7-6  amending Subsections (b) and (h), and adding Subsections (j), (k),
    7-7  (l), and (m) to read as follows:
    7-8        (b)  The Title IV-D agency, the Department of Human Services,
    7-9  the Workers' Compensation Commission and the Texas Employment
   7-10  Commission shall create and develop a voluntary ENHR program to
   7-11  provide a means for employers to assist in the state's efforts to
   7-12  prevent fraud in the welfare, workers' compensation and
   7-13  unemployment insurance programs, locate absent parents who owe
   7-14  child support and collect support from those parents, by reporting
   7-15  information concerning newly hired and rehired employees directly
   7-16  to a centralized state database <the child support enforcement
   7-17  program>.   In order to encourage use of the ENHR program, employer
   7-18  reporting requirements shall be simplified and standardized.
   7-19        (h)  Subject to approval of the agencies involved and any
   7-20  requirements of federal law, the centralized database shall make
   7-21  the information on <For> each employee reported under the ENHR
   7-22  program available for:
   7-23              (1)  purposes directly connected with the
   7-24  administration of a plan or program for unemployment benefits,
   7-25  workers' compensation benefits, child support, or public
   7-26  assistance;
   7-27              (2)  an investigation or a civil or criminal
    8-1  prosecution relating to the administration of such plan or program;
    8-2  or
    8-3              (3)  the administration of any other Federal or
    8-4  Federally assisted program which provides assistance, in cash or in
    8-5  kind, or services, directly to individuals on the basis of need
    8-6  <the Title IV-D agency shall retain the information only if the
    8-7  agency is responsible for establishing, enforcing, or collecting a
    8-8  support obligation or debt of the employee or reporting to a court,
    8-9  domestic relations office, or a friend of the court the location of
   8-10  a parent who is denying possession of or access to a person with a
   8-11  valid possession order.  If the agency does not have any of those
   8-12  responsibilities, the agency shall not create a record regarding
   8-13  the employee and the information contained in the notice shall be
   8-14  promptly destroyed.>
   8-15        (j)  An employer participating in the ENHR program is
   8-16  strongly encouraged to report information about health insurance
   8-17  coverage available through the employer in which a dependent child
   8-18  may be enrolled under Section 14.061, Family Code.
   8-19        (k)  To expand the ENHR program, the Title IV-D agency shall
   8-20  work closely with the Texas Employment Commission, the Texas
   8-21  Workers' Compensation Commission, the comptroller, the Texas
   8-22  Department of Commerce, the secretary of state, and employer
   8-23  groups.  Efforts to expand the program shall include:
   8-24              (1)  regularly sending to employers solicitations for
   8-25  participation in the program and promotional information about the
   8-26  program that includes information on:
   8-27                    (A)  the program's impact on child support and
    9-1  medical support enforcement;
    9-2                    (B)  savings in public assistance payments
    9-3  attributable to the program;
    9-4                    (C)  benefits to employers and taxpayers of the
    9-5  fraud prevention aspects of the program;
    9-6                    (D)  participation requirements; and
    9-7                    (E)  awards available for business participation;
    9-8  and
    9-9              (2)  developing a public awareness program that:
   9-10                    (A)  stresses the importance of securing
   9-11  financial support for all children; and
   9-12                    (B)  informs the public about the ENHR program.
   9-13        (l)  The affected agencies may pool resources, develop a cost
   9-14  allocation plan, determine the most cost-effective means of
   9-15  establishing and funding the required database, and issue rules,
   9-16  solicit bids, or enter into contracts to carry out the purposes of
   9-17  this section.
   9-18        (m)  The affected agencies shall implement the plan to create
   9-19  the ENHR database, if cost-effective, using existing funding and
   9-20  considering savings and revenue gains that may result from the use
   9-21  of such system.
   9-22        SECTION 1.07.  Chapter 231, Family Code, is amended by adding
   9-23  Section 231.305 to read as follows:
   9-26  agency and the Texas Department of Human Services by rule shall
   9-27  adopt a memorandum of understanding governing the establishment and
   10-1  enforcement of court-ordered child support in cases involving
   10-2  children who receive financial assistance under Chapter 31, Human
   10-3  Resources Code.  The memorandum shall require the agency and the
   10-4  department to:
   10-5              (1)  develop procedures to ensure that the information
   10-6  the department is required to collect to establish and enforce
   10-7  child support:
   10-8                    (A)  is collected from the person applying to
   10-9  receive the financial assistance at the time the application is
  10-10  filed;
  10-11                    (B)  is accurate and complete when the department
  10-12  forwards the information to the agency; and
  10-13                    (C)  is not information previously reported to
  10-14  the agency;
  10-15              (2)  develop procedures to ensure that the agency does
  10-16  not duplicate the efforts of the department in gathering necessary
  10-17  information;
  10-18              (3)  clarify each agency's responsibilities in the
  10-19  establishment and enforcement of child support; and
  10-20              (4)  develop guidelines for use by eligibility workers
  10-21  and child support enforcement officers in obtaining from an
  10-22  applicant the information required to establish and enforce child
  10-23  support for that child.
  10-24        (b)  The Title IV-D agency and the Texas Department of Human
  10-25  Services semiannually shall review and renew or modify the
  10-26  memorandum as necessary.
   11-1                          SUPPORT OBLIGATIONS
   11-2        SECTION 2.01.  Section 101.005, Family Code, is amended to
   11-3  read as follows:
   11-4        Sec. 101.005.  CHILD SUPPORT REVIEW OFFICER.  "Child support
   11-5  review officer" means an individual designated and trained by a
   11-6  child support agency to conduct reviews under this title <who has
   11-7  received family law mediation training>.
   11-8        SECTION 2.02.  Section 102.007, Family Code, is amended to
   11-9  read as follows:
  11-10        Sec. 102.007.  STANDING OF TITLE IV-D AGENCY.  In providing
  11-11  services authorized by Chapter 231, the Title IV-D agency or a
  11-12  political subdivision contracting with the attorney general to
  11-13  provide Title IV-D services under this title may file a child
  11-14  support action authorized under this title, including a suit for
  11-15  modification or a motion for enforcement.
  11-16        SECTION 2.03.  Chapter 231, Family Code, is amended by adding
  11-17  Section 231.306 to read as follows:
  11-19  COLLECTION BY THE TITLE IV-D AGENCY.  (a)  On the installation of
  11-20  an automated child support enforcement system, the Title IV-D
  11-21  agency is strongly encouraged to:
  11-22              (1)  maximize the collection of medical support; and
  11-23              (2)  establish cash medical support orders for children
  11-24  eligible for medical assistance under the state Medicaid program
  11-25  for whom private insurance coverage is not available.
  11-26        (b)  In this section, "medical support" has the meaning
  11-27  assigned by Section 101.020.
   12-1        SECTION 2.04.  Subchapter E, Chapter 231, Family Code, is
   12-2  amended to read as follows:
   12-4                      ENFORCE SUPPORT OBLIGATIONS
   12-5        Sec. 231.401.  Purpose.  The purpose of the child support
   12-6  review process authorized by this subchapter is to provide child
   12-7  support agencies an opportunity to resolve routine child support
   12-8  actions through <negotiation,> agreement of the parties<,> or
   12-9  uncontested orders.
  12-10        Sec. 231.402.  AGREEMENTS ENCOURAGED.  To the extent
  12-11  permitted by this subchapter, child support agencies shall make the
  12-12  child support review process understandable to all parties and
  12-13  shall encourage agreements <through mediation>.
  12-14        Sec. 231.403.  Bilingual Forms Required.  A notice or other
  12-15  form used to implement the child support review process shall be
  12-16  printed in both Spanish and English.
  12-17        Sec. 231.404.  INTERPRETER REQUIRED.  If a party
  12-18  participating in a negotiation conference does not speak English or
  12-19  is hearing impaired, the child support agency shall provide for
  12-20  interpreter services at no charge to the parties.
  12-21        Sec. 231.405.  Initiating Child Support Review.  <(a)  A
  12-22  child support agency may review and assess the financial resources
  12-23  of a child's parent or of a person presumed or alleged to be the
  12-24  child's father from whom child support is requested to determine
  12-25  the resources that are available for the support of the child and
  12-26  to determine what action is appropriate.>
  12-27        <(b)>  An administrative action under this subchapter may be
   13-1  initiated by issuing a notice of child support review to each party
   13-2  entitled to notice <the parents and to the presumed or alleged
   13-3  father of a child>.
   13-5  (a)  The notice of child support review must:
   13-6              (1)  describe the procedure for a child support review;
   13-7              (2)  inform the recipient that the recipient <is not
   13-8  required to participate in the child support review and> may be
   13-9  represented by legal counsel during the review process or at a
  13-10  court hearing;
  13-11              (3)  inform the recipient that the recipient may refuse
  13-12  to participate or cease participation in the child support review
  13-13  process, but that the refusal by the recipient to participate will
  13-14  not prevent the completion of the process or the filing of a child
  13-15  support review order <during any stage of the review but that the
  13-16  review will continue to completion and that afterward the recipient
  13-17  may request a court hearing>;
  13-18              (4)  include an affidavit of financial resources; and
  13-19              (5)  include a request that the recipient designate, on
  13-20  a form provided by the child support agency, an address for mailing
  13-21  any additional notice to the recipient.
  13-22        (b)  In addition to the information required by Subsection
  13-23  (a), the notice of child support review must inform the recipient
  13-24  that:
  13-25              (1)  the information requested on the form must be
  13-26  returned to the child support agency not later than the 15th day
  13-27  after the date the notice is received or delivered; and
   14-1              (2)  if the requested information is not returned as
   14-2  required, the child support agency:
   14-3                    (A)  may proceed with the review using the
   14-4  information that is available to the agency; and
   14-5                    (B)  may file a legal action without further
   14-6  notice to the recipient, except as otherwise required by law.
   14-7        Sec. 231.407.  Notice by Mail.  (a)  A notice required in an
   14-8  administrative action under this subchapter must be delivered or
   14-9  served by first class mail or certified mail on each party entitled
  14-10  to citation or notice as provided by Chapter 102.
  14-11        (b)  <If notice is served by mail, three days must be added
  14-12  to the time in which the person is required to respond.>
  14-13        <(c)>  This section does not apply to notice required on
  14-14  filing of a child support review order or to later judicial
  14-15  actions.
  14-16        Sec. 231.408.  Administrative Subpoena in Child Support
  14-17  Review.  (a)  In a child support review under this subchapter, a
  14-18  child support agency may issue an administrative subpoena to <a
  14-19  parent, a person presumed or alleged to be the father of a child
  14-20  for whom support is requested, or> any individual or organization
  14-21  believed to have information on the financial resources of the
  14-22  parent or presumed or alleged father.
  14-23        (b)  A court may compel compliance with an administrative
  14-24  subpoena and award attorney's fees and costs to a child support
  14-25  agency enforcing an administrative subpoena on proof that an
  14-26  individual or organization failed to comply with the subpoena
  14-27  without good cause.
   15-2  CONFERENCE.  (a)  The child support agency may schedule a
   15-3  negotiation conference without a request from a party.
   15-4        (b)  The child support agency shall schedule a negotiation
   15-5  conference on the timely request of a party <person who completes
   15-6  and returns an affidavit of financial resources>.
   15-7        (c)  A negotiation conference, or any part of a negotiation
   15-8  conference, may be conducted by telephone conference call or by
   15-9  video conference as well as in person.  The negotiation conference
  15-10  may be adjourned for a reasonable time to permit mediation of
  15-11  issues that cannot be resolved by the parties and the child support
  15-12  agency.
  15-14  REQUIRED.  <(a)  A child support review or negotiation conference
  15-15  under this subchapter shall be conducted not later than the 45th
  15-16  day after the date all notices of child support review have been
  15-17  sent to the parties to the action.>
  15-18        <(b)>  All parties entitled to notice of the negotiation
  15-19  conference shall be notified of the date, time, and place of the
  15-20  negotiation conference not later than the 10th day before the date
  15-21  of the negotiation conference.
  15-23  REQUIRED.  A negotiation conference may be rescheduled or adjourned
  15-24  on the request of any party at the discretion of the child support
  15-25  review officer.  All parties must be given notice of the
  15-26  rescheduling not later than the third day before the date of the
  15-27  rescheduled negotiation conference.
   16-1        Sec. 231.412.  INFORMATION REQUIRED TO BE PROVIDED AT
   16-2  NEGOTIATION CONFERENCE.  At the beginning of the negotiation
   16-3  conference, the child support review officer shall review with the
   16-4  <inform all> parties participating in the conference information
   16-5  provided in the notice of child support review and inform the
   16-6  parties <in attendance> that:
   16-7              (1)  the purpose of the negotiation conference is to
   16-8  provide an opportunity <attempt> to reach an agreement on a
   16-9  <regarding> child support order <payments>;
  16-10              (2)  <a party does not have to participate in the
  16-11  negotiation conference and may request a court hearing;>
  16-12              <(3)  a party may be represented by an attorney chosen
  16-13  by the party;>
  16-14              <(4)  the parties may stop participating in the
  16-15  negotiation conference at any time but that the child support
  16-16  review will continue until completed, and, if a child support
  16-17  review order is issued, a party may request a court hearing;>
  16-18              <(5)>  if the parties reach an agreement, the review
  16-19  officer will prepare an agreed review order <for the parties'
  16-20  signatures>;
  16-21              (3) <(6)>  a party does not have to sign a review order
  16-22  prepared by the child support review officer; and
  16-23              (4) <(7)  even though> a party <signs an agreed review
  16-24  order, the party> may request a court hearing at any time before
  16-25  the 20th day after the date a petition for confirmation of the
  16-26  order is filed <child support review order is confirmed by a
  16-27  court>.
   17-2  (a)  A child support agency may use any information obtained by the
   17-3  agency from the parties or any other source and shall apply the
   17-4  child support guidelines provided by this code to determine the
   17-5  appropriate amount of child support.
   17-6        (b)  If the child support agency determines that the support
   17-7  amount in an existing child support order is not in substantial
   17-8  compliance with the guidelines, the child support agency shall
   17-9  issue an appropriate child support review order, including a review
  17-10  order that has the effect of modifying an existing order for child
  17-11  support without the necessity of filing a motion to modify.
  17-12        Sec. 231.414.  Record Not Required.  (a)  For the purposes of
  17-13  this subchapter, documentary evidence relied on by the child
  17-14  support review officer, including an <written> affidavit of a
  17-15  party, together with <the written findings, and> the child support
  17-16  review order is <from a negotiation conference are> a sufficient
  17-17  record of the proceedings.
  17-18        (b)  A child support agency is not required to make any other
  17-19  record or transcript of the negotiation conference.
  17-22  negotiation conference does not result in agreement by all parties
  17-23  to the <an agreed> child support review order, the review officer
  17-24  shall promptly issue and sign a final decision in the form of a
  17-25  child support review order<,> or a determination that a child
  17-26  support review order should not be issued, not later than the fifth
  17-27  day after the date of the negotiation conference.
   18-1        (b)  If <On the day that a child support review order is
   18-2  issued or> a determination is made that a child support order will
   18-3  not be issued, each party to a child support review proceeding
   18-4  shall be furnished immediately by hand delivery or by mail <a copy
   18-5  of the order or> notice of the determination.
   18-6        Sec. 231.416.  VACATING CHILD SUPPORT REVIEW ORDER.  (a)  The
   18-7  review officer may vacate a child support review order on the
   18-8  officer's own motion at any time before the order is filed with the
   18-9  court.
  18-10        (b)  A new negotiation conference, with notice to all
  18-11  parties, may <shall> be scheduled or the officer may make a
  18-12  determination that a child support review order should not be
  18-13  issued and give notice of that determination as provided by this
  18-14  subchapter <to take place not later than the 10th day after the
  18-15  date the child support review order was vacated>.
  18-16        Sec. 231.417.  CONTENTS OF CHILD SUPPORT REVIEW ORDER.
  18-17  (a)  An agreed child support review order must contain all
  18-18  provisions that are appropriate for an order under this title.
  18-19        (b)  A child support review order that is not agreed to must
  18-20  include child support and medical support provisions, including a
  18-21  determination of arrearages or retroactive support.
  18-22        (c)  A child support review order providing for the
  18-23  enforcement of an order may not contain a provision that imposes
  18-24  incarceration or a fine or contains a finding of contempt.
  18-25        (d)  A child support review order that establishes or
  18-26  modifies an amount of previously ordered support must include the
  18-27  findings required by Section 154.130.
   19-1        (e)  A child support review order that is not agreed to by
   19-2  all the parties may specify and reserve for the court at the
   19-3  confirmation hearing unresolved issues relating to conservatorship
   19-4  or possession of a child.
   19-6  REVIEW ORDER.  If a negotiation conference results in an agreement
   19-7  <by all parties>, the <a> child support review order must be signed
   19-8  by each party who agrees to the order, must contain the provisions
   19-9  required by Section 231.417, <all parties to the action> and, as to
  19-10  each party in agreement with the order, must contain:
  19-11              (1)  a waiver by the <each> party of the right to
  19-12  service <and> of process, <the right to> a court hearing and the
  19-13  making of a record on the petition for confirmation;
  19-14              (2)  the mailing address of the <each> party; and
  19-15              (3)  the following statement printed on the order in
  19-16  boldface or in all capital letters:
   20-5        CONTEMPT OF COURT."
   20-6        Sec. 231.419.  FILING OF PETITION FOR CONFIRMATION.  (a)  The
   20-7  child support agency shall file a petition for confirmation with
   20-8  the clerk of the court having continuing jurisdiction of the child
   20-9  who is the subject of the order.
  20-10        (b)  If there is not a court of continuing jurisdiction, the
  20-11  child support agency shall file the petition for confirmation with
  20-12  the clerk of a court having jurisdiction under this title.
  20-13        Sec. 231.420.  CONTENTS OF PETITION FOR CONFIRMATION;
  20-15  for confirmation shall must include the final child support review
  20-16  order as an attachment to the petition.
  20-17        (b)  Documentary evidence relied on by the child support
  20-18  agency, including, if applicable, a <verified written report of a
  20-19  paternity testing expert concerning the results of paternity
  20-20  testing conducted in the case or a> statement of paternity or a
  20-21  written report of a parentage testing expert, shall be filed with
  20-22  the clerk as exhibits to the petition, but are not required to be
  20-23  served on the parties.  The petition must identify the exhibits
  20-24  that are filed with the clerk.
  20-25        Sec. 231.421.  DUTIES OF CLERK OF COURT.  (a)  On the filing
  20-26  of a petition for confirmation, the clerk of court shall endorse on
  20-27  the petition the date and time that the petition is filed <and sign
   21-1  the endorsement>.
   21-2        (b)  If the petition is for an original action, the clerk
   21-3  shall endorse the appropriate court and cause number on the
   21-4  petition.
   21-5        (c)  If the petition is to confirm an agreed child support
   21-6  review order under this subchapter, the child support agency
   21-7  <clerk> shall mail to each party that agreed to the order, at the
   21-8  address shown on the order, a copy of the petition with <and
   21-9  written notice of the filing of the petition that states> the
  21-10  court, filing date, and cause number of the case.  The clerk shall
  21-11  note on the docket that the notice was mailed.  The child support
  21-12  agency shall file a certificate of service showing the date of the
  21-13  mailing to each party.
  21-14        (d)  The <If the petition is to confirm an order other than
  21-15  an agreed order, the> clerk shall issue service of citation,
  21-16  including a copy of the petition and the child support review
  21-17  order, to each party entitled to service who has not waived
  21-18  service.
  21-19        (e)  A clerk of a district court is entitled to collect in a
  21-20  child support review case the fees authorized in a Title IV-D case
  21-21  by this chapter <a fee for:>
  21-22              <(1)  the filing of a petition under this section as
  21-23  provided by Section 51.317(b)(1), Government Code;>
  21-24              <(2)  the issuance of notice or process as provided by
  21-25  Section 51.317(b)(4), Government Code; and>
  21-26              <(3)  service of notice or citation as provided by
  21-27  Section 51.319(4), Government Code, or as otherwise provided by
   22-1  law>.
   22-2        Sec. 231.422.  FORM TO REQUEST A COURT HEARING.  (a)  A court
   22-3  shall consider any responsive pleading that is intended as an
   22-4  objection to confirmation of a child support review order,
   22-5  including a general denial, as a request for a court hearing.
   22-6        (b)  The <A> child support agency shall:
   22-7              (1)  <attach a copy of a form to request a court
   22-8  hearing to each party's copy of the petition for confirmation of a
   22-9  child support review order;>
  22-10              <(2)>  make available to each clerk of court copies of
  22-11  the form to request a court hearing; and
  22-12              (2) <(3)>  provide the form to request a court hearing
  22-13  to a party to the child support review proceeding on request.
  22-14        (c)  The clerk shall furnish the form to a party to a
  22-15  proceeding under this subchapter on the request of the party.
  22-16        Sec. 231.423.  TIME TO REQUEST A COURT HEARING<; HEARING SUA
  22-17  SPONTE>.  <(a)>  A party may file a request for a court hearing not
  22-18  later than the 20th day after the date the petition for
  22-19  confirmation of a child support review order is served or mailed as
  22-20  provided by this subchapter <an agreed administrative order is
  22-21  filed or not later than the Monday following the 20th day after the
  22-22  date the party received service of citation in a case involving the
  22-23  confirmation of any other type of order>.
  22-24        <(b)  If the court finds that confirmation of a child support
  22-25  review order without a hearing would not be in the best interests
  22-26  of a child who is the subject of the order, the court may schedule
  22-27  a hearing.  The order setting the hearing on the confirmation of
   23-1  the order shall state the court's specific reasons for conducting
   23-2  the hearing.>
   23-3        Sec. 231.424.  CONFIRMATION WITHOUT HEARING.  Not later than
   23-4  the 30th day after the date a petition for confirmation that
   23-5  includes waivers by all parties is filed or after the date of
   23-6  service is made on the last party required to be served for a
   23-7  petition for confirmation that does not include waivers, whichever
   23-8  is later, the court shall confirm the child support review order by
   23-9  signing an order of confirmation unless a party has filed a timely
  23-10  request for hearing or the court has scheduled a hearing.
  23-11        Sec. 231.425.  EFFECT OF REQUEST FOR HEARING; PLEADING.
  23-12  (a)  A request for hearing or an order setting a hearing on
  23-13  confirmation stays confirmation of the order pending the hearing.
  23-14        (b)  At a hearing on confirmation, all issues in the child
  23-15  support review order shall be heard in a trial de novo.
  23-16        (c)  The petition for confirmation and the child support
  23-17  review order constitute a sufficient pleading by the child support
  23-18  agency for relief on any issue addressed in the petition and order.
  23-19        (d)  The request for hearing may limit the scope of the de
  23-20  novo hearing by specifying the issues that are in dispute.
  23-21        Sec. 231.426.  TIME FOR COURT HEARING.  A court shall hold a
  23-22  hearing on the confirmation of a child support review order not
  23-23  later than the 30th day after the date the <court determines that a
  23-24  hearing should be held or the> last party to be served files a
  23-25  timely request for a court hearing.
  23-27  ORDER.  (a)  After the hearing on the confirmation of a child
   24-1  support review order, the court shall:
   24-2              (1)  if the court finds that the order should be
   24-3  confirmed, immediately sign a confirmation order and enter the
   24-4  order as an order of the court;
   24-5              (2)  if the court finds that the relief granted in the
   24-6  child support review order is inappropriate, sign an appropriate
   24-7  order at the conclusion of the hearing or as soon after the
   24-8  conclusion of the hearing as is practical and enter the order as an
   24-9  order of the court; or
  24-10              (3)  if the court finds that all relief should be
  24-11  denied, enter an order that denies relief and includes specific
  24-12  findings explaining the reasons that relief is denied.
  24-13        (b)  On the signing of a confirmation order by the judge of
  24-14  the court, the child support review order becomes a final order
  24-15  <judgment> of the court.
  24-18  parentage <paternity> of a child has not been established <by court
  24-19  order>, the notice of child support review served on the parties
  24-20  must include an allegation that the recipient <alleged father> is a
  24-21  <the> biological parent <father> of the child.  The notice shall
  24-22  inform the parties that the alleged father of the child may sign a
  24-23  statement of paternity and that any party may request that
  24-24  scientifically accepted parentage <paternity> testing be conducted
  24-25  to assist in determining the identities of <whether the alleged
  24-26  father is> the child's parents <father>.
  24-27        (b)  A negotiation conference shall be conducted to resolve
   25-1  any issues of support in an action in which all parties agree as to
   25-2  <that the alleged father is> the child's parentage <biological
   25-3  father>.
   25-4        (c)  If a party denies parentage <that the alleged father is
   25-5  the child's biological father or, in the case of a presumed father,
   25-6  if either party files a verified denial of paternity>, the child
   25-7  support agency may schedule parentage <paternity> testing.  If
   25-8  either party fails or refuses to participate in administrative
   25-9  parentage testing, the child support agency may file a child
  25-10  support review order with a request for court-ordered parentage
  25-11  testing.  The court shall follow the procedures and may impose the
  25-12  sanctions provided by this code to obtain compliance with the
  25-13  parentage testing order.  The court shall confirm the child support
  25-14  review order as a temporary or final order of the court only after
  25-15  an opportunity for parentage testing has been provided.
  25-16        (d)  If parentage <paternity> testing does not exclude the
  25-17  alleged parent and <father from being the child's father and a
  25-18  party continues to deny that the alleged father is the child's
  25-19  biological father, the child support agency may schedule a
  25-20  negotiation conference as provided by this subchapter.  If> the
  25-21  results of a verified written report of a parentage <paternity>
  25-22  testing expert meet the requirements of Chapter 160 for issuing a
  25-23  temporary order, the child support agency may issue a child support
  25-24  review order.
  25-25        (e)  If the results of parentage <paternity> testing exclude
  25-26  an <the> alleged parent <or presumed father> from being the
  25-27  biological parent <father> of the child, the child support agency
   26-1  shall issue a child support review order that declares that the
   26-2  excluded person <alleged or presumed father> is not a parent <the
   26-3  father> of the child.
   26-4        (f)  Any party may file a petition for confirmation of a
   26-5  child support review order issued under this section.
   26-7  The child support review process under this chapter is not governed
   26-8  by the administrative procedure law, Chapter 2001, Government Code.
   26-9        Sec. 231.430.  EXPIRATION OF SUBCHAPTER.  This subchapter
  26-10  expires September 1, 1997.
  26-11        Sec. 231.431.  STUDY OF CHILD SUPPORT REVIEW PROCESS.  The
  26-12  attorney general as the Title IV-D agency shall conduct a study to
  26-13  determine and compare the cost of child support enforcement through
  26-14  use of the child support review process authorized by this
  26-15  subchapter and the cost of child support enforcement by the
  26-16  attorney general through use of other enforcement mechanisms
  26-17  available under this chapter.  The attorney general shall report
  26-18  the results of this study to the governor and the legislature not
  26-19  later than September 1, 1996, and shall include in the report
  26-20  recommendations regarding statutory amendments for improving
  26-21  judicial and administrative processes for child support
  26-22  enforcement.  This section expires September 2, 1996.
  26-23        SECTION 2.05.  Section 71.035(a), Government Code, is amended
  26-24  to read as follows:
  26-25        (a)  The council shall gather judicial statistics and other
  26-26  pertinent information from the several state judges and other court
  26-27  officials of this state.  In addition, the council shall implement
   27-1  a monthly tracking system to ensure accountability for counties and
   27-2  courts which participate in the statewide integrated system for
   27-3  child support and medical support enforcement established under
   27-4  Section 231.0011, Family Code.  As a duty of office, the district
   27-5  clerks and county clerks serving the affected courts shall report
   27-6  monthly such information as may be required by the council,
   27-7  including, at a minimum, the time required to enforce cases from
   27-8  date of delinquency, from date of filing, and from date of service
   27-9  until date of disposition.  Such information as is necessary to
  27-10  complete the report and not directly within the control of the
  27-11  district or county clerk, such as date of delinquency, shall be
  27-12  provided to the clerk by the child support registry or by the
  27-13  enforcement agency providing Title IV-D enforcement services in the
  27-14  court.  The monthly report shall be transmitted to the Office of
  27-15  Court Administration no later than the 20th day of the month
  27-16  following the month reported, in such form as may be prescribed by
  27-17  the Office of Court Administration, which may include electronic
  27-18  data transfer.  Copies of such reports shall be maintained in the
  27-19  office of the appropriate district or county clerk for a period of
  27-20  at least two years, and shall be available to the public for
  27-21  inspection and reproduction.
  27-25  general shall establish a work group to monitor the progress toward
  27-26  implementation of the integrated statewide system established by
  27-27  Section 1.01 of this Bill, and determine the effect of that effort
   28-1  as it relates to:
   28-2              (1)  maximizing federal assistance for county-based
   28-3  child support collection efforts;
   28-4              (2)  replacing the existing state child support
   28-5  enforcement application system with an automatic enforcement system
   28-6  that does not require an applicant to file a complaint.
   28-7        (b)  The work group established by this Act shall report its
   28-8  findings and recommendations to the attorney general and shall
   28-9  notify the governor, the comptroller and the legislature of the
  28-10  filing of the report not later than September 1, 1996, and annually
  28-11  thereafter.
  28-13  ASSISTANCE.  (a)  The attorney general as the Title IV-D agency and
  28-14  the Texas Department of Health shall negotiate an agreement
  28-15  regarding the payment by the department of a cash incentive to the
  28-16  agency for each child eligible for medical assistance under the
  28-17  state Medicaid program that the agency causes to be enrolled in a
  28-18  private health insurance plan, and for payment of a portion of the
  28-19  state share of costs recovered or saved as a result of the efforts
  28-20  of the agency.
  28-21        (b)  The attorney general and the Texas Department of Health
  28-22  shall report to the legislature the results of negotiations
  28-23  conducted under this section not later than October 1, 1996.
  28-24        SECTION 3.03.  STUDY ON MEDICAL SUPPORT.  (a)  The attorney
  28-25  general, the state Medicaid administrator and the Insurance
  28-26  Commission shall initiate a study regarding establishment of a
  28-27  health insurance purchasing alliance to purchase insurance coverage
   29-1  for children for whom a child support obligation is established or
   29-2  enforced under Part D of Title IV of the federal Social Security
   29-3  Act (42 U.S.C. Section 651 et seq.).
   29-4        (b)  Not later than October 1, 1996, the attorney general,
   29-5  the state Medicaid administrator and the Insurance Commission shall
   29-6  prepare and file a report summarizing the results of the study
   29-7  required by this section and shall give notice of filing the report
   29-8  to the:
   29-9              (1)  governor;
  29-10              (2)  lieutenant governor;
  29-11              (3)  speaker of the house of representatives;
  29-12              (4)  attorney general; and
  29-13              (5)  commissioner of health and human services.
  29-15  SUPPORT ENFORCEMENT.  (a)  The Office of the Attorney General is
  29-16  strongly encouraged to expand the cost-effective use of private
  29-17  contractors to perform Title IV-D program functions.
  29-18        (b)  The Office of the Attorney General shall, not later than
  29-19  July 1, 1996, perform a cost analysis such as that used by the
  29-20  Council on Competitive Government, for a standardized comparison of
  29-21  similar activities performed by private firms and the Office of the
  29-22  Attorney General.  If Office of the Attorney General costs for
  29-23  identified activities of the Title IV-D agency are higher than the
  29-24  private contractors' and the contractor could deliver services as
  29-25  effectively as the Title IV-D agency, the agency may consider a
  29-26  contractor to perform the activities.  This section does not limit
  29-27  the authority of the Title IV-D agency to contract for services.
   30-1        (c)  The attorney general shall coordinate with the Council
   30-2  on Competitive Government, and may employ private consultants to
   30-3  develop the methodology and evaluate the activities being
   30-4  considered for privatization.
   30-5        (d)  The attorney general shall report the results of the
   30-6  efforts made under this section, and notify the governor, the
   30-7  comptroller and the legislature of the filing of the report not
   30-8  later than December 1, 1996.
   30-9                     ARTICLE 4.  HEALTH INSURANCE
  30-10        SECTION 4.01.  Chapter 3, Insurance Code, is amended by
  30-11  adding Subchapter J to read as follows:
  30-12                 SUBCHAPTER J.  MEDICAL CHILD SUPPORT
  30-13        Art. 3.96-1.  DEFINITIONS.  In this subchapter:
  30-14              (1)  "Child" has the meaning assigned by Section
  30-15  101.003(a) and (b), Family Code.
  30-16              (2)  "Child support agency" has the meaning assigned by
  30-17  Section 101.004, Family Code.
  30-18              (3)  "Custodial parent" means:
  30-19                    (A)  a managing conservator of a child or a
  30-20  possessory conservator of a child who is a parent of the child; or
  30-21                    (B)  a guardian of the person of a child, or
  30-22  another custodian of a child if the guardian or custodian is
  30-23  designated by a court or administrative agency of this or another
  30-24  state.
  30-25              (4)  "Health insurer" means any insurance company,
  30-26  group hospital service corporation, or health maintenance
  30-27  organization that delivers or issues for delivery an individual,
   31-1  group, blanket, or franchise insurance policy or insurance
   31-2  agreement, a group hospital service contract, or an evidence of
   31-3  coverage that provides benefits for medical or surgical expenses
   31-4  incurred as a result of an accident or sickness.
   31-5              (5)  "Insurer" means:
   31-6                    (A)  a health insurer;
   31-7                    (B)  a governmental entity subject to:
   31-8                          (i)  Article 3.51-1, 3.51-2, 3.51-4,
   31-9  3.51-5, or 3.51-5A of this code; or
  31-10                          (ii)  Section 1, Chapter 123, Acts of the
  31-11  60th Legislature, Regular Session, 1967 (Article 3.51-3, Vernon's
  31-12  Texas Insurance Code);
  31-13                    (C)  a multiple employer welfare arrangement, as
  31-14  that term is defined by Article 3.95-1 of this code; or
  31-15                    (D)  a group health plan, as defined by Section
  31-16  607(1), Employee Retirement Income Security Act of 1974 (29 U.S.C.
  31-17  Section 1167).
  31-18              (6)  "Medical assistance" means medical assistance
  31-19  under the state Medicaid program.
  31-20        Art. 3.96-2.  DENIAL OF ENROLLMENT PROHIBITED.  An insurer
  31-21  may not deny enrollment of a child under the health insurance
  31-22  coverage of the child's parent on the ground that the child:
  31-23              (1)  has a preexisting condition;
  31-24              (2)  was born out of wedlock;
  31-25              (3)  is not claimed as a dependent on the parent's
  31-26  federal income tax return;
  31-27              (4)  does not reside with the parent or in the
   32-1  insurer's service area; or
   32-2              (5)  is or has been an applicant for or recipient of
   32-3  medical assistance.
   32-4        Art. 3.96-3.  ENROLLMENT REQUIRED.  (a)  If a parent eligible
   32-5  for dependent health coverage through an insurer is required by a
   32-6  court or administrative order to provide health coverage for a
   32-7  child, the insurer shall permit the parent to enroll the child
   32-8  without regard to any enrollment period restriction.
   32-9        (b)  If a parent eligible for dependent health coverage
  32-10  through an insurer is required by a court or administrative order
  32-11  to provide health coverage for a child and fails to apply to obtain
  32-12  the health insurance coverage for the child, the insurer shall
  32-13  enroll the child on application of a custodial parent of the child,
  32-14  a child support agency having a duty to collect or enforce support
  32-15  for the child, or the child.
  32-16        Art. 3.96-4.  CANCELLATION OR NONRENEWAL PROHIBITED.  (a)  An
  32-17  insurer may not cancel or refuse to renew insurance coverage of a
  32-18  child entitled to enrollment or enrolled under this subchapter
  32-19  unless satisfactory written evidence is filed with the insurer that
  32-20  shows that:
  32-21              (1)  the court order or administrative order that
  32-22  required the coverage is no longer in effect; or
  32-23              (2)  the child is enrolled in comparable health
  32-24  insurance coverage or will be enrolled in comparable coverage that
  32-25  will take effect not later than the effective date of the
  32-26  cancellation or nonrenewal.
  32-27        (b)  As used in this section, "a child entitled to enrollment
   33-1  or enrolled under this subchapter" does not include a child as to
   33-2  whom eligibility has terminated because the parent eligible for
   33-3  dependent health coverage is no longer eligible for such coverage.
   33-5  CONVERSION COVERAGE.  If dependent health coverage being terminated
   33-6  pursuant to Art. 3.96-4(b) contains provisions for the continuation
   33-7  or conversion of such coverage for the child, the insurer shall
   33-8  notify the custodial parent and the child support agency of the
   33-9  costs and other requirements for extending or converting such
  33-10  coverage, and shall enroll or continue enrollment of the child on
  33-11  application of a parent of the child, a child support agency or the
  33-12  child.
  33-14  TO STATE AGENCY; INFORMATION.  (a)  An insurer may not impose
  33-15  requirements on a state agency that has been assigned the rights of
  33-16  an individual eligible for medical assistance and covered for
  33-17  health benefits from the insurer that are different from the
  33-18  requirements applicable to an agent or assignee of any other
  33-19  covered individual.
  33-20        (b)  An insurer shall provide to a state agency providing
  33-21  medical assistance, or to a child support agency enforcing medical
  33-22  support, information as necessary to facilitate reimbursement of
  33-23  medical services provided to or paid on behalf of a child.
  33-25  (a)  If a child receives health insurance coverage through the
  33-26  insurer of a parent of the child, that insurer must provide
  33-27  information and documents to each custodial parent or an adult
   34-1  child as necessary for the child to obtain benefits through that
   34-2  coverage, including:
   34-3              (1)  the name of the insurer;
   34-4              (2)  the number of the policy;
   34-5              (3)  a copy of the policy and schedule of benefits;
   34-6              (4)  a health insurance membership card;
   34-7              (5)  claim forms; and
   34-8              (6)  any other information or document necessary to
   34-9  submit a claim in accordance with the insurer's policies and
  34-10  procedures.
  34-11        (b)  The insurer shall permit a custodial parent, a health
  34-12  care provider, adult child, or a state agency that has been
  34-13  assigned medical support rights to submit claims for covered
  34-14  services without the approval of the insured parent.
  34-15        (c)  The insurer shall make payments on covered claims
  34-16  submitted in accordance with this article directly to the custodial
  34-17  parent, health care provider, adult child, or state agency making
  34-18  the claim.
  34-19        Art. 3.96-8.  SERVICE AREA RESTRICTIONS PROHIBITED.  An
  34-20  insurer may not enforce otherwise applicable provisions that would
  34-21  deny, limit, or reduce payment for claims for a covered child who
  34-22  lives outside the insurer's coverage territory but inside the
  34-23  United States.
  34-24        Art. 3.96-9.  PENALTIES; REMEDIES.  An insurer that violates
  34-25  this subchapter is subject to the same penalties, and an injured
  34-26  party has the same rights and remedies, as those provided by
  34-27  Section 16, Article 21.21, of this code.
   35-1        Art. 3.96-10.  RULES.  The commissioner shall adopt
   35-2  reasonable rules as necessary to implement this subchapter and the
   35-3  requirements of 42 U.S.C.  Section 1396a(a)(60), including rules
   35-4  defining acts that constitute unfair or deceptive practices under
   35-5  Section 13, Article 21.21, of this code.
   35-6        SECTION 4.02.  Section 101.012, Family Code, is amended to
   35-7  read as follows:
   35-8        Sec. 101.012.  EMPLOYER.  "Employer" means a person,
   35-9  corporation, partnership, workers' compensation insurance carrier,
  35-10  governmental entity, and the United States, and includes, for
  35-11  purposes of enrolling dependents in a group health insurance plan,
  35-12  a union, trade association, or other similar organization.
  35-13        SECTION 4.03.  Section 154.184, Family Code, is amended to
  35-14  read as follows:
  35-15        Sec. 154.184.  EFFECT OF ORDER.  (a)  Receipt of <For
  35-16  purposes of enrolling a child in a health insurance program under
  35-17  this subchapter,> a medical support order requiring that health
  35-18  insurance be provided for a child shall be considered a change in
  35-19  the family circumstances of the employee or member, for health
  35-20  insurance purposes, <covered person> equivalent to the birth or
  35-21  adoption of a child <by the covered person>.
  35-22        (b)  <On receipt of the order by the employer, the> The child
  35-23  shall be automatically enrolled for the first 31 days after the
  35-24  receipt of the order by the employer on the same terms and
  35-25  conditions as apply to any other <a> dependent child.
  35-26        (c)  <On receipt of the order by the employer, t> The
  35-27  employer shall notify the insurer of the automatic enrollment.
   36-1        (d)  During the 31-day period, the employer and insurer shall
   36-2  complete all necessary forms and procedures to make the enrollment
   36-3  permanent, or shall report in accordance with this subchapter the
   36-4  reasons the coverage cannot be made permanent <policyholder shall
   36-5  apply for coverage for the child in accordance with the medical
   36-6  support order>.
   36-7        SECTION 4.04.  Section 154.186, Family Code, is amended to
   36-8  read as follows:
   36-9        Sec. 154.186.  NOTICE TO EMPLOYER.  The obligee, obligor, or
  36-10  a child support agency <local domestic relations office, or Title
  36-11  IV-D agency> may send a <certified> copy of the order requiring an
  36-12  employee to provide health insurance coverage for a <the> child to
  36-13  the employer <by certified mail, return receipt requested.  The
  36-14  order is binding on the employer on receipt>.
  36-15        SECTION 4.05.  Section 154.187, Family Code, is amended by
  36-16  amending Subsections (a) and (c), and by adding new Subsection (g)
  36-17  to read as follows:
  36-18        (a)  An order to an employer directing that health insurance
  36-19  coverage be provided to a child of an employee or member is binding
  36-20  on the employer on receipt.  If the employee or member is eligible
  36-21  for dependent health coverage for the child, the <On receipt of an
  36-22  order directing that health insurance coverage be extended to a
  36-23  child of an employee, an> employer shall immediately enroll the
  36-24  child in a health insurance plan <available to the employee.  If
  36-25  the employer is not able to immediately enroll the child, the
  36-26  employer shall enroll the child at the next available enrollment
  36-27  period as a dependent of the employee>.  If dependent coverage is
   37-1  not available to the employee or member through the employer's
   37-2  health insurance plan, or the employer <is responsible for
   37-3  providing notice of this fact but> is not responsible or otherwise
   37-4  liable for providing such coverage, but shall provide notice to the
   37-5  sender in accordance with subsection (c) of this section.
   37-6        (c)  An employer who has received an order under this
   37-7  subchapter shall provide to the sender, by first class mail not
   37-8  later than the 30th day after the date the employer receives the
   37-9  order, a statement that the child:
  37-10              (1)  has been enrolled in a health insurance plan; or
  37-11              (2)  <will be enrolled in a health insurance plan at
  37-12  the next available enrollment period and provide the expected date
  37-13  of such enrollment; or>
  37-14              <(3)>  cannot be enrolled in a health insurance plan and
  37-15  provide the reason why coverage cannot be provided.
  37-16        (g)  An employer who fails to enroll a child, fails to
  37-17  withhold or remit premiums or cash medical support, or
  37-18  discriminates in hiring or employment on the basis of a medical
  37-19  support order shall be subject to the penalties and fines in
  37-20  Subchapter C, Chapter 158.
  37-21        SECTION 4.06.  Section 154.192, Family Code, is amended to
  37-22  read as follows:
  37-23        Sec. 154.192.  <HEALTH MAINTENANCE ORGANIZATION.  This
  37-24  subchapter does not require a health maintenance organization to
  37-25  provide coverage to a child who resides outside the geographic
  37-27  FOR CHILD.  (a)  Unless the employee or member ceases to be
   38-1  eligible for dependent coverage, or the employer has eliminated
   38-2  dependent health coverage for all of the employer's employees or
   38-3  members, the employer may not cancel or eliminate coverage of a
   38-4  child enrolled under this subchapter until the employer is provided
   38-5  satisfactory written evidence that:
   38-6              (1)  the court order or administrative order requiring
   38-7  the coverage is no longer in effect; or
   38-8              (2)  the child is enrolled in comparable health
   38-9  insurance coverage or will be enrolled in comparable coverage that
  38-10  will take effect not later than the effective date of the
  38-11  cancellation or elimination of the employer's coverage.
  38-12        SECTION 4.07.  Section 158.206(a), Family Code, is amended to
  38-13  read as follows:
  38-14        (a)  An employer receiving an order or writ of withholding,
  38-15  including an order directing that health insurance be provided to a
  38-16  child, who complies with the order or writ is not liable to the
  38-17  obligor for the amount of income withheld and paid as provided in
  38-18  the order or writ.
  38-20        SECTION 5.01.  (a)  This Act takes effect September 1, 1995.
  38-21        (b)  Subchapter J, Chapter 3, Insurance Code, as added by
  38-22  Section 4.01 of this Act applies only to an insurance policy or
  38-23  evidence of coverage that is delivered, issued for delivery, or
  38-24  renewed on or after January 1, 1996.  A policy or evidence of
  38-25  coverage that is delivered, issued for delivery, or renewed before
  38-26  January 1, 1996, is governed by the law as it existed immediately
  38-27  before the effective date of this Act, and that law is continued in
   39-1  effect for that purpose.
   39-2        (c)  The Office of the Attorney General may exercise the
   39-3  contracting authority granted in Section 231.0011, Family Code, as
   39-4  added by Section 1.01 of this Act to provide for a phased
   39-5  implementation of the state wide system, and shall implement the
   39-6  system to the extent that locally generated funds and federal
   39-7  reimbursement related to such funds are sufficient to pay for
   39-8  implementation.
   39-9        (d)  The Office of Court Administration of the Texas Judicial
  39-10  System may phase in the monthly report required by Section 71.035,
  39-11  Government Code, as amended by Section 2.05 of this Act to
  39-12  correspond with the phased implementation of the statewide
  39-13  integrated system for child support enforcement described in
  39-14  Section 231.0011, Family Code, as added by Section 1.01 of this
  39-15  Act.
  39-16        (e)  If before implementing any provision of this Act, the
  39-17  attorney general, the Texas Department of Health, the Texas
  39-18  Department of Human Services, or another affected agency determines
  39-19  that a waiver or authorization from a federal agency is necessary
  39-20  for implementation of that provision, the affected agency shall
  39-21  promptly apply for a waiver, and the provision shall take effect
  39-22  when necessary waivers have been granted.  A copy of each waiver
  39-23  request shall be provided to the governor, the lieutenant governor
  39-24  and the speaker of the house of representatives.
  39-25        (f)  For the purpose of implementing the integrated system
  39-26  established by Section 231.0011, Family Code, as added by Section
  39-27  1.01 and Section 71.035, Government Code, as amended by Section
   40-1  2.05 of this Act, all funds received from the federal government as
   40-2  reimbursement for expenses directly related to the integrated
   40-3  system, including the federal match for locally generated funds,
   40-4  shall be in excess of any amount appropriated to the attorney
   40-5  general by other Acts of the 74th Legislature, and are hereby
   40-6  appropriated to the attorney general for the fiscal years ending
   40-7  August 31, 1996 and August 31, 1997.
   40-8        SECTION 5.02.  Not later than December 1, 1996, the attorney
   40-9  general shall report to the legislature an estimate of the cost
  40-10  savings to the state and effectiveness of the expansion of child
  40-11  support enforcement services and of privatization efforts.
  40-12        SECTION 5.03.  (a)  The Office of the Attorney General, in
  40-13  conjunction with the Texas Department of Human Services, shall
  40-14  develop and implement a plan to assign a representative to work
  40-15  with department eligibility workers in department offices or
  40-16  facilities that are located in the same geographic region as
  40-17  offices or facilities of the attorney general.  The plan shall:
  40-18              (1)  include a schedule for implementation; and
  40-19              (2)  provide that the Office of the Attorney General
  40-20  may make a work assignment under this subsection only if the
  40-21  anticipated increased collection of child support for public
  40-22  assistance cases is greater than the cost of placing the
  40-23  representative in a department office or facility.
  40-24        (b)  Not later than October 1, 1995, the attorney general
  40-25  shall complete the plan required by this section and send notice of
  40-26  filing the completed plan to the governor, the lieutenant governor,
  40-27  and the speaker of the house of representatives.
   41-1        (c)  The attorney general and the Texas Department of Human
   41-2  Services shall prepare the initial memorandum of understanding
   41-3  required by Section 1.07 of Act, not later than December 1, 1995.
   41-4        SECTION 5.04.  The change in law made to Subchapter E,
   41-5  Chapter 231, Family Code, as amended by this Act, applies only to a
   41-6  child support review for which notice is given on or after the
   41-7  effective date of this Act.  A child support review for which
   41-8  notice is given before that date is governed by the law in effect
   41-9  at the time notice was given, and the former law is continued in
  41-10  effect for that purpose.
  41-11        SECTION 5.05.  (a)  Section 3.01 of this Act expires on
  41-12  September 2, 1997.
  41-13        (b)  Subsection (b) of Section 3.02, and 3.03 of this Act
  41-14  expire January 1, 1997.
  41-15        SECTION 5.06.  The importance of this legislation and the
  41-16  crowded condition of the calendars in both houses create an
  41-17  emergency and an imperative public necessity that the
  41-18  constitutional rule requiring bills to be read on three several
  41-19  days in each house be suspended, and this rule is hereby suspended.