SRC-MAX H.B. 707 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 707
By: Hamric (Galloway)
Intergovernmental Relations
4-18-97
Engrossed


DIGEST 

Currently, Texas law requires county employees' request for payroll
deductions for the payment of insurance premiums to be in writing, and
prohibits payroll deductions for the purpose of paying insurance premiums
from exceeding the amount stated in the request. Generally, the amount
deducted usually varies each year due to insurance rate increases, which
causes county employees to annually submit written requests for payroll
deductions. This bill allows counties to notify employees about insurance
premium rate increases in the county's benefit plan without requiring the
employee to annually file individual paperwork. 

PURPOSE

As proposed, H.B. 707 sets forth provisions regarding payroll deductions
for insurance premiums paid by certain employees. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 155.062, Local Government Code, to delete
provisions requiring a request for an insurance deduction to be in
writing.  Provides that the request remains in effect until the county
officer authorized to administer the insurance deductions (officer)
receives a notice of change, rather than a written notice of revocation
signed by the official or employee.  Prohibits an insurance deduction from
exceeding the amount stated in the request plus the amount of any change
in applicable insurance premiums imposed after the date the request for
deduction is submitted. Requires the officer to provide written notice of
the change to each affected employee in certain circumstances.  Requires
the notice to be provided before the change takes place.   

SECTION 2. Effective date:  September 1, 1997.  
  Makes application of this Act prospective.

SECTION 3. Emergency clause.