By Allen                                        H.B. No. 1301

      75R2482 GWK-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the oversight of the private sector prison industries

 1-3     program.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Subchapter C, Chapter 497, Government Code, is

 1-6     amended to read as follows:

 1-7     SUBCHAPTER C. PRIVATE SECTOR PRISON INDUSTRIES OVERSIGHT AUTHORITY

 1-8                             [WORK PROGRAM PLAN]

 1-9           Sec. 497.051. PURPOSE; DEFINITION [WORK PROGRAM PLAN].

1-10     (a)  The Private Sector Prison Industries Oversight Authority is

1-11     created to approve, certify, and oversee the operation of private

1-12     sector prison industries programs in the department in compliance

1-13     [shall establish policies for the administration of a conditional

1-14     work program that may employ not more than 500 male and female work

1-15     program residents.  The policies must include a work program

1-16     contract that includes an agreement by the resident to contribute

1-17     from the wages received by the resident for the resident's

1-18     participation in private industry employment a percentage of the

1-19     wages, in accordance with rules adopted by the board to comply]

1-20     with the federal prison enhancement certification program

1-21     established under 18 U.S.C.  Section 1761[, and a percentage of the

1-22     wages for:]

1-23                 [(1)  costs of supervision;]

1-24                 [(2)  restitution to the victim or victims of the

 2-1     resident; and]

 2-2                 [(3)  savings to be retained for the resident in a

 2-3     designated account for the resident's benefit and receipt on

 2-4     release].  The executive director shall provide the authority with

 2-5     clerical and technical support as necessary for the authority to

 2-6     perform duties imposed on the authority by this subchapter and

 2-7     shall ensure that the department implements the policies adopted by

 2-8     the authority that relate to the operation of private sector prison

 2-9     industries programs.

2-10           (b)  In this [This] subchapter, "authority" means the Private

2-11     Sector Prison Industries Oversight Authority [does  not restore in

2-12     whole or in part the civil rights of a work program resident.]

2-13           [(c)  A work program resident employed under this subchapter

2-14     is not subject to workers' compensation laws, and the resident and

2-15     the resident's beneficiaries may not receive compensation under

2-16     those laws, except that a private industry may provide workers'

2-17     compensation benefits to a resident and a resident's beneficiaries

2-18     as necessary to certify a work program operated by the industry as

2-19     a work pilot project described in  18 U.S.C. Section 1761].

2-20           Sec. 497.052.  MEMBERSHIP.  (a)  The authority is composed of

2-21     nine members appointed by the governor:

2-22                 (1)  one of whom is representative of labor;

2-23                 (2)  one of whom is representative of employers;

2-24                 (3)  one of whom is representative of groups advocating

2-25     the rights of victims of criminal offenses;

2-26                 (4)  one of whom is representative of groups advocating

2-27     the rights of inmates;

 3-1                 (5) one of whom is experienced in the field of

 3-2     vocational rehabilitation;

 3-3                 (6)  one of whom is an employer in the private sector

 3-4     prison industries program that is certified as in compliance with

 3-5     the federal prison enhancement certification program established

 3-6     under 18 U.S.C. Section 1761; and

 3-7                 (7)  three of whom are public members.

 3-8           (b)  The governor shall appoint the representative of labor

 3-9     from a list of three persons recommended by a recognized state

3-10     labor federation, except that if the labor federation fails to

3-11     recommend at least three persons, the governor may appoint any wage

3-12     earner of the governor's choice as the labor representative.

3-13           (c)  The following individuals shall serve as ex officio

3-14     members of the authority:

3-15                 (1)  a member of the house of representatives

3-16     designated by the speaker of the house;

3-17                 (2)  a member of the senate designated by the

3-18     lieutenant governor;

3-19                 (3)  the executive director of the Texas Department of

3-20     Criminal Justice or the designee of the executive director; and

3-21                 (4)  the executive director of the Texas Workforce

3-22     Commission or the designee of the executive director.

3-23           Sec. 497.053.  TERMS.  Appointed members of the authority

3-24     serve staggered six-year terms, with three members' terms expiring

3-25     on  February 1 of each odd-numbered year.

3-26           Sec. 497.054.  PRESIDING OFFICER.  The governor shall

3-27     designate the presiding officer from among the members of the

 4-1     authority, and the presiding officer shall serve in that capacity

 4-2     at the pleasure of the governor.

 4-3           Sec. 497.055.  REIMBURSEMENT.  A member of the authority is

 4-4     not entitled to compensation but is entitled to reimbursement of

 4-5     the travel expenses incurred by the member while conducting the

 4-6     business of the authority as provided in the General Appropriations

 4-7     Act.

 4-8           Sec. 497.056.  PRIVATE SECTOR PRISON INDUSTRIES OVERSIGHT

 4-9     ACCOUNT.  (a)  A private sector prison industries program shall

4-10     make an annual payment to the authority in an amount equal to the

4-11     amount of money the program would pay during that year for

4-12     unemployment insurance if the employees of the program were engaged

4-13     in non-prison employment.

4-14           (b)  The authority shall forward fees collected under this

4-15     section to the comptroller.  The comptroller shall deposit the fees

4-16     to the credit of an account in the general revenue fund to be known

4-17     as the private sector prison industries oversight account.  The

4-18     legislature may appropriate funds from the account only for the

4-19     purpose of paying the costs of the authority and the department in

4-20     implementing this subchapter.  At the end of each fiscal year, the

4-21     comptroller shall transfer the excess funds in the account to the

4-22     state treasury to the credit of the crime victims compensation

4-23     fund.

4-24           (c)  The authority by rule shall adopt a method for

4-25     determining the amount of the fee owed by an industry under this

4-26     section and  a schedule for the payment of fees under this section.

4-27           Sec. 497.057.  RULES.  The authority shall adopt rules as

 5-1     necessary to ensure that the private sector prison industries

 5-2     program authorized by this subchapter is in compliance with the

 5-3     federal prison enhancement certification program established under

 5-4     18 U.S.C. 1761.

 5-5           Sec. 497.058.  PREVAILING WAGE.  (a)  The authority by rule

 5-6     shall require that inmate employees at each private sector prison

 5-7     industries program are paid not less than the prevailing wage as

 5-8     computed by the authority, except that the authority may permit

 5-9     employers to pay an employee the  minimum wage for the two-month

5-10     period beginning on the date employment begins.

5-11           (b)  For the purposes of computations required by this

5-12     section:

5-13                 (1)  the  prevailing wage is the wage paid for work of

5-14     a similar nature in the location  in which the work is performed;

5-15                 (2)  work of a similar nature is determined by openings

5-16     and wages by occupation data collected by the economic research and

5-17     analysis department of the Texas Workforce Commission; and

5-18                 (3)  the location in which work is performed is the

5-19     council of government region in which the work is performed.

5-20           Sec. 497.059.  LIMITING IMPACT ON NON-PRISON INDUSTRY.  The

5-21     authority may not grant initial certification to a private sector

5-22     prison industries program if the authority determines that the

5-23     operation of the program would result in the loss of existing jobs

5-24     provided by the employer in this state.

5-25           Sec. 497.060.  WORKERS' COMPENSATION.  The authority by rule

5-26     shall require private sector prison industries program employers to

5-27     meet or exceed all federal requirements for providing compensation

 6-1     to inmates  injured while working.

 6-2           Sec. 497.061.  RECIDIVISM STUDIES.  The authority, with the

 6-3     cooperation of the Criminal Justice Policy Council, shall gather

 6-4     data to determine whether participation in a private sector prison

 6-5     industries program is a factor that reduces recidivism among

 6-6     inmates.

 6-7           Sec. 497.062.  LIMITATION ON NUMBER OF PARTICIPANTS.  The

 6-8     authority may  certify any number of private sector prison

 6-9     industries programs that meet or exceed the requirements of federal

6-10     law and the rules of the authority, but in no event may the

6-11     authority permit more than 3,000 inmates to participate in the

6-12     program at any one time.

6-13           SECTION 2.  Section 8A, Article 42.18, Code of Criminal

6-14     Procedure, is amended by adding Subsection (g) to read as follows:

6-15           (g)  In determining under Subsection (b) whether to require

6-16     an inmate to reside in a county in which the inmate has a verified

6-17     job offer, if the employer making the job offer states to the panel

6-18     that the job offer results from the inmate's participation in a

6-19     private sector prison industries program under Subchapter C,

6-20     Chapter 497, Government Code, the panel shall require the inmate to

6-21     reside in the county in which the job offer exists, unless to do so

6-22     would pose a threat to the life or safety of a victim of the

6-23     defendant's offense, a witness in the case, or any other person.

6-24           SECTION 3.  (a)  The initial appointments of the members of

6-25     the Private Sector Prison Industries Oversight Authority, as

6-26     required by Section 497.052, Government Code, as added by this Act,

6-27     are as provided by this  section.  On or before November 1, 1997,

 7-1     the governor shall request of recognized state and local labor

 7-2     federations a list of three individuals, as described by Section

 7-3     497.052(b).  On or before January 1, 1998, the governor shall

 7-4     appoint the initial authority members.  Of the initial public

 7-5     members, the  governor shall appoint one to serve a term expiring

 7-6     February 1, 1999, one to serve a term expiring February 1, 2001,

 7-7     and one to serve a term expiring February 1, 2003, and of the

 7-8     nonpublic members, the governor shall appoint two to serve terms

 7-9     expiring February 1, 1999, two to serve  terms expiring February 1,

7-10     2001, and two to serve terms expiring February 1, 2003.  On

7-11     expiration of those terms, the term of a member of the authority is

7-12     six years, as provided by Section 497.053, Government Code.

7-13           (b)  The Private Sector Prison Industries Oversight Authority

7-14     by March 1, 1998, shall adopt the rules that the authority is

7-15     required to adopt under Subchapter C, Chapter 497, Government Code,

7-16     as amended by this Act.

7-17           SECTION 4.  On January 1, 1998, the powers, duties, and

7-18     obligations of the Texas Department of Criminal Justice to oversee

7-19     the private sector prison industries program authorized by

7-20     Subchapter C, Chapter 497, Government Code, are transferred to the

7-21     Private Sector Prison Industries Oversight Authority, as are any

7-22     funds appropriated to the department for oversight of the program.

7-23     On transfer of oversight authority and appropriated funds, the

7-24     remaining duties of the department in regard to the program are as

7-25     described by Subchapter C, Chapter 497, as amended by this Act.

7-26           SECTION 5.  This Act takes effect September 1, 1997.

7-27           SECTION 6.  The importance of this legislation and the

 8-1     crowded condition of the calendars in both houses create an

 8-2     emergency and an imperative public necessity that the

 8-3     constitutional rule requiring bills to be read on three several

 8-4     days in each house be suspended, and this rule is hereby suspended.