1-1 AN ACT
1-2 relating to use of financial assistance granted to persons with
1-3 dependent children.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter B, Chapter 31, Human Resources Code,
1-6 is amended by adding Section 31.0355 to read as follows:
1-7 Sec. 31.0355. USE OF FINANCIAL ASSISTANCE. (a) Financial
1-8 assistance granted to a person under this chapter may be used only
1-9 to purchase goods and services that are considered essential and
1-10 necessary for the welfare of the family, including food, clothing,
1-11 housing, utilities, child care, and incidentals such as
1-12 transportation and medicine or medical supplies or equipment not
1-13 covered by Medicaid. The department by rule shall define what
1-14 constitutes essential and necessary goods and services for purposes
1-15 of this subsection.
1-16 (b) If a recipient of financial assistance who receives the
1-17 assistance by electronic benefits transfer to an account is
1-18 authorized to make a cash withdrawal from the account through a
1-19 provider of the goods or services described by Subsection (a), the
1-20 recipient may make the cash withdrawal only at the customer service
1-21 department of the provider and not at the provider's point-of-sale
1-22 terminal.
1-23 (c) The department shall encourage housing authorities,
1-24 utility companies, public transportation companies, and other
2-1 nonfood retailers to accept payment for goods and services
2-2 described by Subsection (a) through the state's electronic benefits
2-3 transfer (EBT) system.
2-4 (d) To determine the feasibility of using the EBT system to
2-5 accept payment for goods and services described by Subsection (a),
2-6 the department shall conduct a pilot project in which utility
2-7 companies, housing agencies, and other retailers use the EBT system
2-8 to accept payment for medicine, medical supplies, and medical
2-9 equipment not covered by Medicaid and other goods and services
2-10 described by Subsection (a). The cost of the point-of-sale (POS)
2-11 devices in the pilot project shall not be a state expense, except
2-12 for POS devices located in retail businesses that sell medicine or
2-13 medical supplies or medical equipment. The department shall work
2-14 in conjunction with the office of client transportation services of
2-15 the Health and Human Services Commission to determine if EBT
2-16 transportation applications are feasible.
2-17 (e) If the department determines that the pilot projects
2-18 show that use of the EBT system is feasible and useful for the
2-19 businesses and clients participating in the pilot project, the
2-20 department shall promote the use of the EBT system to appropriate
2-21 businesses statewide with the goal of securing the participation of
2-22 all those businesses in using the EBT system to accept payment for
2-23 goods and services described by Subsection (a).
2-24 (f) The department shall evaluate the pilot project and
2-25 report to the 76th Legislature on the effectiveness of the pilot
2-26 project not later than January 15, 1999.
2-27 SECTION 2. This Act takes effect September 1, 1997.
3-1 SECTION 3. The importance of this legislation and the
3-2 crowded condition of the calendars in both houses create an
3-3 emergency and an imperative public necessity that the
3-4 constitutional rule requiring bills to be read on three several
3-5 days in each house be suspended, and this rule is hereby suspended.
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1439 was passed by the House on May
5, 1997, by a non-record vote.
_______________________________
Chief Clerk of the House
I certify that H.B. No. 1439 was passed by the Senate on May
21, 1997, by a viva-voce vote.
_______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor