SRC-DPW S.B. 355 76(R)BILL ANALYSIS


Senate Research CenterS.B. 355
By: Harris
State Affairs
6/25/1999
Enrolled


DIGEST 

The Texas Incentive and Productivity Commission (TIPC) was created in 1989.
Currently, the TIPC administers the State Employee Incentive Program and
the Productivity Bonus Program.  These programs provide a system for
rewarding employee initiative in improving efficiency.  As a result of its
review of the TIPC, the Sunset Advisory Commission recommended continuation
of the TIPC and several statutory modifications. 

PURPOSE

As enrolled, S.B. 355 establishes criteria for membership in the Texas
Incentive and Productivity Commission and establishes rules and guidelines
for the operation of an award for productive suggestions. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 2108.003, Government Code, by amending
Subsections (a) and (d) and adding Subsection (e), to include a
governor-designated chief administrative officer (CAO), that employs fewer
than 1,000 full-time employees and a governor-designated CAO that employs
more than 1,000 employees, in the Texas Incentive and Productivity
Commission (commission).  Provides that terms for CAOs run for two years
and expire February 1, with one CAO's  term expiring in evennumbered years
and the other expiring in odd-numbered years.   Adds standard language
developed by the Sunset Advisory Commission regarding appointments to the
commission.  Deletes a provision including the agency administrator of the
Texas Employment Commission as a member of the commission. 

SECTION 2. Amends Chapter 2108A, Government Code, by adding Sections
2108.0035 and 2108.0036, to add standard language developed by the Sunset
Advisory Commission regarding the eligibility for commission membership or
employment.  Adds standard language developed by the Sunset Advisory
Commission regarding the removal of a member.  

SECTION 3. Amends Section 2108.005, Government Code, to delete a provision
authorizing the commission to designate separate division directors for the
state employee incentive and productivity bonus programs. 

SECTION 4. Amends Section 2108.007, Government Code, to provide that the
Texas Incentive and Productivity Commission is subject to Chapter 35, Texas
Sunset Act, the commission is abolished and this chapter expires September
1, 2003. 

SECTION 5. Amends Chapter 2108A, Government Code, by adding Sections
2108.008 through 2108.012, to add standard language developed by the Sunset
Advisory Commission regarding personnel matters, an equal employment
opportunity statement, public testimony, complaints, and training.   

SECTION 6. Amends Section 2108.021, Government Code, by adding Subdivision
(8), to define "state employee group."   

SECTION 7. Amends Sections 2108.023(a) - (c), Government Code, to delete a
provision authorizing  the comptroller to transfer funds.  Makes conforming
and nonsubstantive changes. 

SECTION 8. Amends Chapter 2108B, Government Code, by adding Sections
2108.0235 and 2108.0236, as follows: 

Sec. 2108.0235. RECOGNITION AWARD.  Authorizes the commission to grant an
award of $50 for improvements in energy conservation and customer service,
to an eligible state employee not otherwise eligible for a bonus.  Requires
the approval of the award by members of the commission.  Prohibits the
staff from approving the award.  Limits the number of awards given to 150
each state fiscal year. 

Sec. 2108.0236. STATE EMPLOYEE GROUPS.  Authorizes state employees to
submit suggestions as a group.  Provides that a state employee group is
eligible for a bonus for suggestions resulting in increased revenue or
savings amounting to 10 percent of the first-year net savings and not to
exceed $5,000 per member.  Requires the commission to divide the bonus
evenly among members of the group. 

SECTION 9. Amends Section 2108.024, Government Code, as follows:

Sec. 2108.024. New heading:  EMPLOYEE ELIGIBILITY TO PARTICIPATE.
Prohibits certain employees of the commission from participating in the
incentive program. 

SECTION 10. Amends Section 2108.026(b), Government Code, to provide that
employees are not eligible for the award if the suggestions involves the
delayed hiring of employees by the agency. 

SECTION 11. Amends Section 2108.027, Government Code, to provide that the
first suggestion received from two or more state employee groups is
eligible for consideration.  Authorizes the equal division of the bonus if
the same suggestions are received the same day by different employees
working in different locations.  Limits to three the number of employees
who may submit a joint suggestion. 

SECTION 12. Amends Section 2108.037, Government Code, as follows: 

Sec. 2108.037. New heading: RETENTION OF FUNDS.  Requires the commission
and the affected agency to certify to the comptroller the amount of savings
or increased revenues attributable to an implemented suggestion.
Authorizes the affected agency to retain funds from increased savings or
revenues, a portion of which is to be used in awarding bonuses.  Deletes a
provision regarding the transferring of monies from funds affected by the
savings or increased revenues.  Deletes a provision regarding guidelines
for transferring of funds by the comptroller.  
SECTION 13.Repealer: Section 2108.038, Government Code (Special Fund).
  Repealer: Chapter 2108C, Government Code (Productivity Bonus Program).

SECTION 14. (a) Effective date: September 1, 1999.  

(b) Requires the governor to designate a CAO of an agency with fewer than
1,000 employees to a term expiring February 1, 2000, and a CAO of an agency
with more than 1,000 employees to a term expiring February 1, 2001. 

(c) Abolishes the productivity bonus program, except for provisions that
existed prior to their repeal, on or before August 1, 1999. 

SECTION 15. Emergency clause.