Amend CSHB 1, Article IX, Sec. 62, by adding a new subsection after the end of Subsection (b) on Page IX-68: (c) To further foster, support, and reward outstanding performance, ongoing productivity improvements and innovative improvement programs, and to retain key high performing employees, qualified state agencies may expend amounts necessary from funds appropriated in this Act for the purposes of enhancing compensation for employees who directly contributed to such improvements. To be eligible for this provision, an agency must: (1) Achieve or exceed targets for 80% of the established key performance measures for fiscal year 1996 as reflected in the "Summary Assessment of Agency Performance: Fiscal Year 1996" produced by the Legislative Budget Board and submitted to the 75th Texas Legislature; and, (2) Have an unqualified certification for at least 70% of its performance measures by the State Auditor's Office as reflected in the "Summary Assessment of Agency Performance: Fiscal Year 1996" produced by the Legislative Budget Board and submitted to the 75th Texas Legislature. If an agency has not been subject to this review, then the most recent certification review will apply. (3) File a report with the Legislative Budget Board, Governor's Office of Budget and Planning, House Appropriations Committee, and Senate Finance Committee describing the success of the innovative program and criteria used to assess the improvements. In addition, sixty days prior to implementation, qualified agencies are required to file a report with the Legislative Budget Board, Governor's Office of Budget and Planning, House Appropriations Committee, and Senate Finance Committee describing in detail how they intend to use this flexibility to further the goals of this section.