By Maxey                                        H.B. No. 2217

      75R2847 MCK-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to preventing fraud by using data matching projects and

 1-3     creating the state directory of new hires.

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

 1-5           SECTION 1.  Section 22.029, Human Resources Code, is amended

 1-6     by amending Subsection (a) and adding Subsection (f) to read as

 1-7     follows:

 1-8           (a)  In order to enhance the state's ability to detect and

 1-9     prevent fraud in the payment of claims under federal and state

1-10     entitlement programs, the Health and Human Services Commission

1-11     shall [may] implement a data matching project as described by

1-12     Subsection (b).

1-13           (f)  The Health and Human Services Commission, the Texas

1-14     Department of Insurance, the Texas Workers' Compensation

1-15     Commission, and all health care professional licensing agencies

1-16     shall participate in a data matching project under this section.

1-17           SECTION 2.  Chapter 231, Family Code, is amended by adding

1-18     Subchapter F to read as follows:

1-19                 SUBCHAPTER F.  STATE DIRECTORY OF NEW HIRES

1-20           Sec. 231.501.  DEFINITIONS.  In this subchapter:

1-21                 (1)  "Employee" means an individual who is an employee

1-22     within the meaning of Chapter 24 of the Internal Revenue Code of

1-23     1986 (26 U.S.C. Section 3401(c)).  The term does not include an

1-24     employee of a state agency performing intelligence or

 2-1     counterintelligence functions if the head of the agency has

 2-2     determined that reporting employee information under this

 2-3     subchapter could endanger the safety of the employee or compromise

 2-4     an ongoing investigation or intelligence activity.

 2-5                 (2)  "Employer" has the meaning given that term by

 2-6     Section 3401(d) of the Internal Revenue Code of 1986 (26 U.S.C.

 2-7     Section 3401(d)) and includes a governmental entity and labor

 2-8     organization, as that term is identified in Section 2(5) of the

 2-9     National Labor Relations Act (29 U.S.C. Section 152(5)), including

2-10     an entity, also known as a "hiring hall," used by the labor

2-11     organization and an employer to carry out requirements of an

2-12     agreement between the organization and an employer described in

2-13     Section  8(f)(3) of that Act (29 U.S.C. Section 158(f)(3)).

2-14           Sec. 231.502.  DEVELOPMENT OF DIRECTORY.  In cooperation with

2-15     the Texas Workforce Commission, the Texas Department of Human

2-16     Resources, and the Texas Workers' Compensation Commission, the

2-17     Title IV-D agency shall develop and operate a state directory to

2-18     which employers in the state shall report each newly hired or

2-19     rehired employee in accordance with the requirements of 42 U.S.C.

2-20     Section 653a.

2-21           Sec. 231.503.  CONTRACTING AUTHORITY.  The Title IV-D agency

2-22     may enter into cooperative agreements and contracts as necessary to

2-23     create and operate the directory authorized under this subchapter.

2-24           Sec. 231.504.  OPERATION OF DIRECTORY.  The Title IV-D agency

2-25     by rule shall establish procedures for reporting employee

2-26     information and for operating a state directory of new hires

2-27     meeting the requirements of federal law.

 3-1           SECTION 3.  Subchapter D, Chapter 301, Labor Code, is amended

 3-2     by adding Section 301.067 to read as follows:

 3-3           Sec. 301.067.  INFORMATION SHARING WITH WORKERS' COMPENSATION

 3-4     COMMISSION.  The commission shall develop a program to share

 3-5     information with the Texas Workers' Compensation Commission to

 3-6     improve each agency's effectiveness.

 3-7           SECTION 4.  Section 231.304, Family Code, is repealed on

 3-8     October 1, 1997.

 3-9           SECTION 5.  This Act takes effect September 1, 1997, except

3-10     that the requirement that an employer report a newly hired or

3-11     rehired employee to the state directory of new hires under

3-12     Subchapter F, Chapter 231, Family Code, as added by this Act, takes

3-13     effect October 1, 1997.

3-14           SECTION 6.  The importance of this legislation and the

3-15     crowded condition of the calendars in both houses create an

3-16     emergency and an imperative public necessity that the

3-17     constitutional rule requiring bills to be read on three several

3-18     days in each house be suspended, and this rule is hereby suspended.