By Maxey H.B. No. 2125 75R12332 KKA-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to creation of a pilot program to establish individual 1-3 development accounts for certain recipients of financial 1-4 assistance. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Subchapter D, Chapter 301, Labor Code, is amended 1-7 by adding Section 301.067 to read as follows: 1-8 Sec. 301.067. PILOT PROGRAM: INDIVIDUAL DEVELOPMENT 1-9 ACCOUNTS FOR CERTAIN EMPLOYEES. (a) The commission by rule shall 1-10 establish and implement a pilot program under which an individual 1-11 development account is established for a recipient of financial 1-12 assistance under Chapter 31, Human Resources Code, who is employed 1-13 by a person in the private sector through a subsidized employment 1-14 program established under Section 31.0126(a)(5), Human Resources 1-15 Code. 1-16 (b) The commission may establish and administer an account 1-17 for a recipient under this section or may contract with a nonprofit 1-18 organization or financial institution to establish and administer 1-19 the account in accordance with commission rules. 1-20 (c) The commission shall encourage the following to match 1-21 deposits made by a recipient of financial assistance to an account 1-22 established under this section: 1-23 (1) private employers, including persons in the 1-24 private sector who employ one or more recipients through a 2-1 subsidized employment program established under Section 2-2 31.0126(a)(5), Human Resources Code; 2-3 (2) community groups; and 2-4 (3) financial institutions. 2-5 (d) Expenditures from a recipient's individual development 2-6 account established under this section while the recipient is 2-7 receiving financial assistance are limited to educational and 2-8 medical expenses, work-related expenses, including expenses of a 2-9 self-employment enterprise, and housing or moving expenses for the 2-10 recipient and a person who is a member of the AFDC-certified group. 2-11 (e) Not later than December 1 of 1998 and 2000, the 2-12 commission shall submit a report to the governor and the members of 2-13 the legislature regarding the status of the pilot program. 2-14 (f) This section expires September 1, 2001. 2-15 SECTION 2. Subchapter B, Chapter 31, Human Resources Code, 2-16 is amended by adding Section 31.0321 to read as follows: 2-17 Sec. 31.0321. EXCLUSION OF CERTAIN INCOME AND RESOURCES. 2-18 (a) Except as provided by Subsection (b), the department may not 2-19 consider money contributed to a recipient's individual development 2-20 account under a pilot program by an employer, community group, or 2-21 financial institution as income or the balance of the account as a 2-22 resource in determining whether the recipient meets household 2-23 income and resource requirements for eligibility for financial 2-24 assistance. 2-25 (b) After consulting with the Texas Workforce Commission, 2-26 the department by rule may place limits on the amount of money not 2-27 considered as income or as a resource under Subsection (a). 3-1 (c) This section expires September 1, 2001. 3-2 SECTION 3. If, before implementing any provision of this 3-3 Act, a state agency determines that a waiver or authorization from 3-4 a federal agency is necessary for implementation, the state agency 3-5 shall request the waiver or authorization and may delay 3-6 implementing that provision until the waiver or authorization is 3-7 granted. 3-8 SECTION 4. The importance of this legislation and the 3-9 crowded condition of the calendars in both houses create an 3-10 emergency and an imperative public necessity that the 3-11 constitutional rule requiring bills to be read on three several 3-12 days in each house be suspended, and this rule is hereby suspended, 3-13 and that this Act take effect and be in force from and after its 3-14 passage, and it is so enacted.