SRC-DBM C.S.S.B. 1374 76(R)    BILL ANALYSIS


Senate Research CenterC.S.S.B. 1374
76R12327  KLA-DBy: Shapleigh
Human Services
4/14/1999
Committee Report (Substituted)


DIGEST 

Currently, Texas requires local communities to raise a portion of the
federal Child Care and Development Fund for matching purposes, regardless
of a community's economic status.  Although some communities are able to
raise the child care matching funds, this policy penalizes poor communities
which have difficulty raising the amount of matching funds required by the
state.  C.S.S.B. 1374 would authorize the Texas Workforce Commission to
require, request, or accept from a political subdivision matching or other
local funds or any other local incentives to make the most efficient use of
the child care and development fund administered by the commission in
making adjustments for satisfying federal requirements. 

PURPOSE

As proposed, C.S.S.B. 1374 regulates the local matching fund requirement in
terms of the use of the child care and development fund in a political
subdivision that consists of all or a portion of  an economically
disadvantaged county. 

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 Chapter 302D, Labor Code, by adding Section 302.064, as
follows: 

Sec. 302.064.  RELIEF FROM LOCAL MATCHING FUNDS REQUIREMENT.  (a)  Defines
"economically disadvantaged county." 

(b)  Authorizes the Texas Workforce Commission (commission), except as
provided by Subsection (c), to require, request, or accept from a local
workforce development area, matching or other local funds or any other
local incentives to make the most efficient use of the child care and
development fund administered by the commission. 

(c)  Prohibits the commission from considering the absence or value of
local incentives provided under Subsection (b) beyond the minimum local
matching funds when evaluating a proposal for the use of childcare and
development funds in a local workforce development area in which at least
half of the counties that constitute the area are economically
disadvantaged counties. Requires the commission to adjust the minimum local
matching funds requirement after evaluating the local workforce development
area's  effort and ability to meet the requirement.  
(d)  Authorizes the commission, when making an adjustment under Subsection
(c)(2), to use any other available resources to help satisfy a federal
requirement. 

(e) Requires the commission to report annually to the governor, the
lieutenant governor, and the speaker of the house of representatives
regarding the use of matching funds, local incentives, and the commission's
ability to ensure that local workforce development areas in which at least
half of the counties that constitute the area are economically
disadvantaged counties have equal ability to compete for funding through
the child care and development fund with local workforce development areas
in which at least half of the counties that constitute the area are
economically disadvantaged counties.   

 SECTION 2.Effective date: September 1, 1999.

SECTION 3.Emergency clause.

SUMMARY OF COMMITTEE CHANGES

SECTION 1.

Amends Section 302.064, Labor Code, to authorize the commission, except as
provided by Subsection (c), to require, request, or accept from a local
workforce development area, rather than political subdivision, matching or
other local funds or any other local incentives to make the most efficient
use of the child care and development fund administered by the commission.
Prohibits the commission from considering the absence or value of local
incentives provided under Subsection (b) beyond the minimum local matching
funds when evaluating a proposal for the use of childcare and development
funds in a local workforce development area in which at least half of the
counties that constitute the area are economically disadvantaged counties,
rather than a political subdivision.  Requires the commission to adjust the
minimum local matching funds requirement after evaluating the local
workforce development area's  effort and ability, rather than political
subdivision's effort and ability, to meet the requirement.  Requires the
commission to report annually to the governor, the lieutenant governor, and
the speaker of the house of representatives regarding the use of matching
funds, local incentives, and the commission's ability to ensure that local
workforce development areas in which at least half of the counties that
constitute the area are economically disadvantaged counties, rather than
political subdivisions located in economically disadvantaged counties, have
equal ability to compete for funding through the child care and development
fund with local workforce development areas in which at least half of the
counties that constitute the area are economically disadvantaged counties,
rather than political subdivisions in counties that are not economically
disadvantaged.