By Hupp                                                H.B. No. 978

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the eligibility of certain higher education employees

 1-3     to participate in group programs under the Texas Employees Uniform

 1-4     Group Insurance Benefits Act.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  The Texas Employees Uniform Group Insurance

 1-7     Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code) is

 1-8     amended by adding Section 13C to read as follows:

 1-9           Sec. 13C.  CERTAIN EMPLOYEES INELIGIBLE.  (a) An employee of

1-10     a public community/junior college who is employed  to perform

1-11     services  outside of this state is not eligible to participate in

1-12     the group programs provided under this Act, unless the college

1-13     elects, in accordance with procedures adopted by the trustee, to

1-14     permit those employees to participate in those programs.

1-15           (b)  For purposes of this section, an employee is employed to

1-16     perform services outside of this state if 75 percent or more of the

1-17     services performed by the employee are performed outside of this

1-18     state.

1-19           SECTION 2.  Section 13(c), Texas Employees Uniform Group

1-20     Insurance Benefits Act (Article 3.50-2, Vernon's Texas Insurance

1-21     Code), is amended to read as follows:

1-22           (c)  Unless expelled from the program under Section 13A of

1-23     this Act or ineligible for the program under Section 13C of this

1-24     Act, each part-time employee and each employee of an institution of

 2-1     higher education who is described by Section 3(a)(5)(A)(x)

 2-2     [3(a)(5)(A)(viii)] of this Act is eligible for participation in the

 2-3     group programs provided under this Act upon execution of

 2-4     appropriate payroll deduction authorization for the required

 2-5     payment of premiums.  An institution of higher education shall, at

 2-6     the time of employment, notify each employee of the institution who

 2-7     is described by Section 3(a)(5)(A)(x) [3(a)(5)(A)(viii)] of this

 2-8     Act of the employee's eligibility to participate in the group

 2-9     programs provided under this Act.

2-10           SECTION 3.  (a)  This Act takes effect September 1, 1997.

2-11           (b)  This Act applies only to participation of an employee of

2-12     a public community/junior college in group programs under the Texas

2-13     Employees Uniform Group Insurance Benefits Act (Article 3.50-2,

2-14     Vernon's Texas Insurance Code) who is newly hired by the college on

2-15     or after September 1, 1997.

2-16           (c)  The participation of an employee described by Section

2-17     13C, Texas Employees Uniform Group Insurance Benefits Act (Article

2-18     3.50-2, Vernon's Texas Insurance Code), as added by this Act, and

2-19     who is an employee of the college on August 31, 1997, is governed

2-20     by the law as it existed immediately before the effective date of

2-21     this Act, and that law is continued in effect for that purpose.

2-22           SECTION 4.  The importance of this legislation and the

2-23     crowded condition of the calendars in both houses create an

2-24     emergency and an imperative public necessity that the

2-25     constitutional rule requiring bills to be read on three several

2-26     days in each house be suspended, and this rule is hereby suspended.