By Oliveira, Maxey, Naishtat, Greenberg               H.B. No. 2915

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to retirement benefits for certain state employees whose

 1-3     state jobs are lost as a result of contracts to provide services

 1-4     previously provided by the state and to benefits under the

 1-5     contracts.

 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-7           SECTION 1.  Subchapter B, Chapter 814, Government Code, is

 1-8     amended by adding Section 814.1041 to read as follows:

 1-9           Sec. 814.1041.  SERVICE RETIREMENT ELIGIBILITY AND BENEFITS

1-10     FOR TEXAS WORKFORCE COMMISSION EMPLOYEES.  (a)  In an area in which

1-11     a local workforce development board has been certified and a local

1-12     plan approved by the governor that provides for services that have

1-13     been previously provided by employees of the Texas Workforce

1-14     Commission to be provided through a career development center

1-15     operated by a private contractor, a member of the retirement system

1-16     who is employed by the Texas Workforce Commission and whose state

1-17     employment will end as a result of the implementation of the plan

1-18     may make an election under Subsection (b) or (c) if eligible under

1-19     the applicable section.

1-20           (b)  A member described by Subsection (a) who meets minimum

1-21     age and service requirements for service retirement under Section

1-22     814.104 may elect to apply for service retirement and receive a

1-23     standard or optional service retirement annuity otherwise payable

1-24     under this subtitle, except that the percentage value of each year

 2-1     of service credit in the employee class of membership is 2.25

 2-2     percent.

 2-3           (c)  A member described by Subsection (a) who does not meet

 2-4     minimum age and service requirements for service retirement under

 2-5     Section 814.104 but who has at least 15 years of service credit in

 2-6     the employee class of membership may file an election with the

 2-7     retirement system to allow the member to retire when the member

 2-8     meets minimum age and service requirements for service retirement

 2-9     under that section  and receive a standard or optional service

2-10     retirement annuity otherwise payable under this subtitle, except

2-11     that the percentage value of each year of service credit in the

2-12     employee class is the lesser of 2.25 percent or the percentage in

2-13     effect at the time of the member's future retirement.

2-14           (d)  In this section:

2-15                 (1)  "Career development center" means the center

2-16     described by Section 2308.312.

2-17                 (2)  "Local workforce development board" means a board

2-18     established under Chapter 2308 to implement a local workforce

2-19     development plan.

2-20           SECTION 2.  Section 2308.264, Government Code, is amended by

2-21     adding Subsection (e) to read as follows:

2-22           (e)  A board that contracts with a private entity to perform

2-23     services required to be provided at a career development center

2-24     under Section 2308.312 shall require as a term of the contract that

2-25     employees of the entity employed under the contract be entitled to

2-26     receive compensation and employee benefits comparable to those of

2-27     state employees.  In this subsection, for purposes of

 3-1     comparability, "employee benefits" includes, in the aggregate,

 3-2     compensation, a retirement program, health insurance benefits, and

 3-3     vacation and sick leave.

 3-4           SECTION 3.  Section 2308.264(e), Government Code, as added by

 3-5     this Act, applies only to a contract to provide services that were

 3-6     previously provided by the state that is entered into on or after

 3-7     the effective date of this Act.

 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.