SRC-PNG S.B. 13 76(R) BILL ANALYSIS Senate Research Center S.B. 13 76R1109 CLG-DBy: Zaffirini Human Services 4/9/1999 As Filed DIGEST Currently, in Texas, a consideration for determining eligibility for Temporary Assistance for Needy Families (TANF) is whether income is earned. Under the current program, recipients lose eligibility for cash and Medicaid when starting a 20 hour per week job. This bill allows recipients to retain up to 90 percent of their earnings without losing TANF benefits for the first four months of employment, thereby reducing recidivism rates and easing their transition into work. PURPOSE As proposed, S.B. 13 requires the Department of Human Services to not consider income earned by certain recipients of Temporary Assistance for Needy Families benefits for eligibility determination purposes. RULEMAKING AUTHORITY Rulemaking authority is granted to the Department of Human Services in SECTION 1 (Section 31.0038, Human Resources Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 31, Human Resources Code, by adding Section 31.0038, as follows: Sec. 31.0038. EARNED INCOME DISREGARDS FOR EMPLOYMENT. Requires the Texas Department of Human Services (DHS) to disregard, for the first four months of employment, a significant portion of any earned income, not to exceed 90 percent, received by an adult recipient of financial assistance who becomes employed while receiving the assistance for the purposes of determining certain eligibility requirements. Grants rulemaking authority to DHS regarding requirements for eligibility determination. SECTION 2. Requires DHS to request a waiver or authorization and authorizes DHS to delay any provision of this Act if a state agency determines a waiver or authorization from a federal agency is necessary for implementation. SECTION 3. Makes application of this Act prospective. SECTION 4. Effective date: September 1, 1999. SECTION 5. Emergency clause.