LSL H.B. 587 75(R) BILL ANALYSIS PUBLIC HEALTH H.B. 587 By: Hunter 4-9-97 Committee Report (Unamended) BACKGROUND The Texas Council Risk Management Fund Board (TCRMF) has requested that certain statutory amendments be made to clarify the ability of community centers to take advantage of the cost savings and advantages of "pooling" their employee group benefits programs under Chapter 172 of the Local Government Code. Clarifying that community centers are "political subdivisions" under Chapter 172 will increase the ability of these entities to pool their employee benefits programs. This will improve benefit plans, lower costs, and improve employee morale who work at community centers. Clarifying that community centers are "local governments" will help increase their ability to pool their employee group benefits programs, as well as support the existing product lines of the TCRMF. The TCRMF has saved community centers millions of dollars during its eight year existence, both in actual hard costs and through its loss prevention services. PURPOSE HB 587 expands the definition of a community center in order to improve their abilities to function and provide for their employees. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 534.001(c), Health and Safety Code, to broaden the definition of a community center by adding "a local government" to Chapter 1084, Acts of the 70th Legislature, Regular Session, 1987 (Article 715c, Vernon's Texas Civil Statutes) regarding centers pooling employee group benefit programs; and adding "a political subdivision" to Chapter 172, Local Government Code, regarding Texas political subdivisions uniform group benefits. SECTION 2. Establishes the effective date of this Act to be September 1, 1997. SECTION 3. Emergency Clause.