1-1 By: Barrientos S.B. No. 784
1-2 (In the Senate - Filed February 26, 1997; March 3, 1997, read
1-3 first time and referred to Committee on State Affairs;
1-4 April 8, 1997, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 13, Nays 0; April 8, 1997,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 784 By: Cain
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the Texas Incentive and Productivity Commission.
1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12 SECTION 1. Section 2108.003, Government Code, is amended by
1-13 amending Subsection (a) and adding Subsection (e) to read as
1-14 follows:
1-15 (a) The commission is composed of:
1-16 (1) the governor;
1-17 (2) the lieutenant governor;
1-18 (3) the comptroller;
1-19 (4) a state agency executive director appointed by the
1-20 governor [the state treasurer];
1-21 (5) another state agency executive director appointed
1-22 by the governor from an agency that has actively participated in
1-23 one or both of the commission's programs [the agency administrator
1-24 of the Texas Employment Commission];
1-25 (6) the chairman of the Texas Higher Education
1-26 Coordinating Board or the chairman's designee; and
1-27 (7) three public members appointed by the governor who
1-28 have experience in the administration of bonus, incentive, or
1-29 related programs used in private industry.
1-30 (e) The appointed executive director members serve two-year
1-31 terms, with the term of one member expiring February 1 of each
1-32 even-numbered year and the term of one member expiring February 1
1-33 of each odd-numbered year.
1-34 SECTION 2. Subsection (b), Section 2108.004, Government
1-35 Code, is amended to read as follows:
1-36 (b) The commission may adopt rules to carry out this chapter
1-37 and to provide for the efficient operation of the state employee
1-38 incentive program and the productivity bonus program.
1-39 SECTION 3. Subchapter A, Chapter 2108, Government Code, is
1-40 amended by adding Sections 2108.008, 2108.009, and 2108.010 to read
1-41 as follows:
1-42 Sec. 2108.008. MONEY FOR OPERATION OF COMMISSION. (a) The
1-43 legislature shall appropriate money for the operation of the
1-44 commission by providing that each state agency shall pay an amount
1-45 of money to the commission out of the agency's appropriation. The
1-46 amount paid to the commission out of each agency's appropriation
1-47 is computed by multiplying an amount set by appropriation times the
1-48 number of employees employed by the agency.
1-49 (b) Each state agency shall make its payment to the
1-50 commission in the manner prescribed by the appropriation.
1-51 Sec. 2108.009. LEGISLATIVE APPROPRIATIONS REQUESTS. Each
1-52 state agency that is eligible to participate in the state employee
1-53 incentive program or the productivity bonus program shall include
1-54 in the agency's legislative appropriation request performance
1-55 measures for the number of employee suggestions submitted and
1-56 approved.
1-57 Sec. 2108.010. REFERENCES TO PROGRAMS. The commission may
1-58 refer to the incentive program and to the productivity bonus
1-59 program by different names and may authorize a state agency to
1-60 refer to the programs by different names.
1-61 SECTION 4. Section 2108.022, Government Code, is amended by
1-62 adding Subsection (c) to read as follows:
1-63 (c) The commission by rule may prescribe procedures that
1-64 allow the commission and state agencies to communicate by facsimile
2-1 or on-line transmission of information. The commission may allow a
2-2 state employee to submit an eligible suggestion to the commission
2-3 by transmitting it on-line, without requiring the employee to sign
2-4 the suggestion.
2-5 SECTION 5. Subsection (a), Section 2108.026, Government
2-6 Code, is amended to read as follows:
2-7 (a) To be eligible for consideration under the incentive
2-8 program an employee suggestion must:
2-9 (1) be given to the agency coordinator;
2-10 (2) be in writing and in the form the commission
2-11 prescribes;
2-12 (3) be signed by the employee, except as provided by
2-13 Section 2108.022(c);
2-14 (4) propose a reasonable implementation method; and
2-15 (5) describe the type of cost savings or other benefit
2-16 the employee foresees if the suggestion is adopted.
2-17 SECTION 6. Subsection (c), Section 2108.029, Government
2-18 Code, is amended to read as follows:
2-19 (c) The commission shall adopt rules to govern the
2-20 redetermination process. An agency coordinator shall give each
2-21 employee who makes a suggestion information about [a copy of] the
2-22 commission rules relating to redeterminations or reevaluations.
2-23 SECTION 7. Section 2108.037, Government Code, is amended to
2-24 read as follows:
2-25 Sec. 2108.037. FUNDS TRANSFER; AGENCY INCENTIVE REINVESTMENT
2-26 ACCOUNTS. (a) The comptroller shall transfer the amount certified
2-27 by the commission and the affected agency as the actual or
2-28 projected savings or increased revenues attributable to an
2-29 implemented suggestion from a fund affected by the savings or
2-30 increased revenues.
2-31 (b) The comptroller shall transfer the amount certified
2-32 under Subsection (a) into an incentive reinvestment account the
2-33 comptroller creates for each participating state agency. Money in
2-34 a state agency's incentive reinvestment account may be appropriated
2-35 only:
2-36 (1) to the agency for the purpose of paying bonuses
2-37 granted by the commission under this subchapter to an eligible
2-38 employee of the agency;
2-39 (2) to the agency for the purpose of training the
2-40 agency's employees; or
2-41 (3) to the agency or another appropriate entity for
2-42 the purpose of capital expenditures made by or for the agency that
2-43 may reasonably be expected to increase productivity at the agency
2-44 [as follows:]
2-45 [(1) 40 percent to the fund from which the original
2-46 appropriation to the affected fund was made;]
2-47 [(2) 40 percent to an appropriate fund from which the
2-48 affected agency may award merit pay increases to individuals in the
2-49 agency; and]
2-50 [(3) 20 percent to the special fund established for
2-51 the commission under Section 2108.038].
2-52 (c) If increased productivity attributable to an implemented
2-53 suggestion results in savings or increased revenues that can be
2-54 computed as provided by Section 2108.023(c) but that will not
2-55 permit the affected agency to transfer or to have an unexpended
2-56 balance of appropriated money, the commission and the affected
2-57 agency shall certify the amount of actual or projected savings or
2-58 increased revenues that are attributable to the suggestion, and the
2-59 comptroller shall transfer the [20 percent of that] amount of the
2-60 bonus granted by the commission to the employee making the
2-61 suggestion from a fund affected by the savings or increased
2-62 revenues to the state agency's incentive reinvestment account for
2-63 payment to the employee [special fund established under Section
2-64 2108.038].
2-65 SECTION 8. Subdivision (3), Section 2108.101, Government
2-66 Code, is amended to read as follows:
2-67 (3) "State agency" means a department, commission,
2-68 board, office, or other agency in the executive or judicial branch
2-69 of state government that is created under the constitution or a
3-1 statute of this state[, but does not include:]
3-2 [(A) the office of the governor; or]
3-3 [(B) an institution of higher education, as
3-4 defined by Section 61.003, Education Code].
3-5 SECTION 9. Section 2108.104, Government Code, is amended by
3-6 adding Subsection (d) to read as follows:
3-7 (d) The commission may delegate to commission staff the
3-8 authority to award a productivity bonus under this subchapter if
3-9 the bonus is awarded based on the implementation of a plan that the
3-10 commission has approved. The staff shall inform the commission of
3-11 productivity bonuses the staff awards under delegated authority.
3-12 SECTION 10. Subsections (a) and (c), Section 2108.106,
3-13 Government Code, are amended to read as follows:
3-14 (a) The commission shall award eligible employees of an
3-15 agency or division an amount not to exceed 25 percent of the amount
3-16 of savings certified by the agency or division and approved by the
3-17 commission [in the agency's or division's productivity bonus
3-18 account]. The awarded amount shall be distributed in equal shares
3-19 to the eligible current employees of the agency or division. A
3-20 bonus awarded to an individual employee may not exceed $1,000.
3-21 (c) An appointed or elected official [employee] is
3-22 ineligible to receive an award [eligible] under this section [if
3-23 the employee:]
3-24 [(1) is an hourly, part-time, or temporary employee;]
3-25 [(2) is a classified employee under Chapter 654; or]
3-26 [(3) performs functions equivalent to functions
3-27 performed by a classified employee in another state agency].
3-28 SECTION 11. Section 2108.107, Government Code, is amended to
3-29 read as follows:
3-30 Sec. 2108.107. TRANSFER [AWARD] TO [STATE] AGENCY
3-31 PRODUCTIVITY REINVESTMENT ACCOUNT [OR DIVISION]. If the commission
3-32 awards a productivity bonus to a state agency or division of a
3-33 state agency, the comptroller shall transfer the amount of savings
3-34 certified by the agency or division and approved by the commission
3-35 from a fund affected by the savings into a productivity
3-36 reinvestment account the comptroller creates for each participating
3-37 state agency. Money in a state agency's productivity reinvestment
3-38 account may be appropriated only:
3-39 (1) to the agency for the purpose of paying bonuses
3-40 awarded by the commission under this subchapter to an eligible
3-41 employee of the agency;
3-42 (2) to the agency for the purpose of training the
3-43 agency's employees; or
3-44 (3) to the agency or another appropriate entity for
3-45 the purpose of capital expenditures made by or for the agency that
3-46 may reasonably be expected to increase productivity at the agency
3-47 [balance in the agency's or division's productivity bonus account,
3-48 as appropriate, shall be distributed as follows:]
3-49 [(1) one-third shall be appropriated to the agency for
3-50 use by the agency's administration to promote agency productivity
3-51 during the subsequent fiscal year; and]
3-52 [(2) two-thirds shall be credited to the fund from
3-53 which the original agency or division appropriation was made].
3-54 SECTION 12. Subsection (a), Section 2108.108, Government
3-55 Code, is amended to read as follows:
3-56 (a) As soon as possible after an agency certifies savings
3-57 under the program, [At the end of a fiscal year] the commission
3-58 shall compare the expenditures of a state agency or division that
3-59 participates in the productivity bonus program for the fiscal year
3-60 with the agency's or division's appropriation for that fiscal year
3-61 or, if appropriate, the amount attributable to that year. The
3-62 commission shall determine the amount by which the agency or
3-63 division has reduced its cost of operations during the fiscal year.
3-64 SECTION 13. Sections 2108.038 and 2108.109, Government Code,
3-65 are repealed.
3-66 SECTION 14. The comptroller shall transfer any money in a
3-67 state agency's productivity bonus account into a productivity
3-68 reinvestment account created for the agency. The comptroller shall
3-69 transfer any money in the productivity bonus account of the Texas
4-1 Incentive and Productivity Commission into the undedicated portion
4-2 of the general revenue fund.
4-3 SECTION 15. As soon as possible after the effective date of
4-4 this Act, the governor shall appoint one executive director member
4-5 to the Texas Incentive and Productivity Commission for a term
4-6 expiring February 1, 1999, and one executive director member to the
4-7 commission for a term expiring February 1, 2000.
4-8 SECTION 16. This Act takes effect September 1, 1997.
4-9 SECTION 17. The importance of this legislation and the
4-10 crowded condition of the calendars in both houses create an
4-11 emergency and an imperative public necessity that the
4-12 constitutional rule requiring bills to be read on three several
4-13 days in each house be suspended, and this rule is hereby suspended.
4-14 * * * * *