By Greenberg                                          H.B. No. 3007
         76R8994 DLF-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to health benefits plan coverage for children of certain
 1-3     employees paid by state appropriated money.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  The Texas Employees Uniform Group Insurance
 1-6     Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code) is
 1-7     amended by adding Section 14A to read as follows:
 1-8           Sec. 14A.  COVERAGE FOR DEPENDENT CHILDREN OF CERTAIN
 1-9     EMPLOYEES.  (a)  Subject to any applicable limit in the General
1-10     Appropriations Act, the trustee shall use money appropriated for
1-11     employer contributions to fund basic coverage for a child who:
1-12                 (1)  is a dependent of an employee;
1-13                 (2)  is younger than 18 years of age;
1-14                 (3)  has a family income of less than 200 percent of
1-15     poverty level according to the poverty index prepared by the
1-16     federal Office of Management and Budget; and
1-17                 (4)  is not eligible for the state Medicaid program.
1-18           (b)  Notwithstanding Section 14(d) of this Act, the employee
1-19     may not be required to contribute any amount towards coverage
1-20     provided under Subsection (a) of this section.
1-21           (c)  The trustee shall identify employees who may be eligible
1-22     for dependent child coverage under Subsection (a) and notify the
1-23     employee that:
1-24                 (1)  the employee may be eligible for dependent child
 2-1     coverage under Subsection (a) of this section; and
 2-2                 (2)  the employee may apply for the coverage as
 2-3     provided by Subsection (d).
 2-4           (d)  An employee who desires dependent child coverage under
 2-5     this section shall apply to the Texas Department of Human Services
 2-6     or other agency designated by the Health and Human Services
 2-7     Commission to perform eligibility screening under this section.
 2-8     The eligibility screening shall be coordinated with eligibility
 2-9     screening for the state Medicaid program.  The agency that performs
2-10     the eligibility screening shall certify to the trustee in writing
2-11     whether a child is eligible for dependent child coverage under
2-12     Subsection (a) of this section.
2-13           (e)  The trustee shall ensure that, under any contract
2-14     implementing the basic coverage under this Act, a determination
2-15     that a dependent child is eligible for coverage under Subsection
2-16     (a) of this section is a change in status that entitles the
2-17     employee to enroll the child in the coverage without regard to any
2-18     enrollment period requirement that would otherwise be applicable.
2-19           SECTION 2.  Section 15(b), Texas Employees Uniform Group
2-20     Insurance Benefits Act (Article 3.50-2, Vernon's Texas Insurance
2-21     Code), is amended to read as follows:
2-22           (b)  The state shall contribute to the cost of each
2-23     employee's individual and dependent group coverages the amounts
2-24     appropriated for the coverages in the General Appropriations Act.
2-25     The state may contribute a greater amount for coverage for
2-26     dependent children described by Section 14A(a) of this Act than the
2-27     state contributes for group coverages for other dependent children.
 3-1     The governing board of each state department and institution of
 3-2     higher education participating in the program established under
 3-3     this Act shall pay the trustee a like amount for each employee's
 3-4     individual or dependent group coverages for their employees who
 3-5     are, and retirees who were, compensated from funds not appropriated
 3-6     in the General Appropriations Act.  The departments and
 3-7     institutions shall include the required contributions from funds
 3-8     not appropriated in the General Appropriations Act in their annual
 3-9     operating budgets.  Each state department and institution of higher
3-10     education participating in the program shall assure current
3-11     participant coverages based on the records of the trustee, make
3-12     timely payments of amounts due the trustee from all fund sources
3-13     under the control of the department or institution, and reconcile
3-14     trustee and agency records of coverages and payments monthly.
3-15     There is hereby allocated to the trustee, in accordance with the
3-16     provisions of this Act, from the several funds from which employees
3-17     receive their respective salaries, a sum equal to the total of all
3-18     employer contributions computed in accordance with the provisions
3-19     of this Act and the rules and regulations of the trustee
3-20     promulgated pursuant thereto.
3-21           SECTION 3.  The Texas State College and University Employees
3-22     Uniform Insurance Benefits Act (Article 3.50-3, Vernon's Texas
3-23     Insurance Code) is amended by adding Section 17A to read as
3-24     follows:
3-25           Sec. 17A.  COVERAGE FOR DEPENDENT CHILDREN OF CERTAIN
3-26     EMPLOYEES.  (a)  Subject to any applicable limit in the General
3-27     Appropriations Act, an institution shall use money appropriated for
 4-1     employer contributions to fund basic coverage for a child who:
 4-2                 (1)  is a dependent of an employee;
 4-3                 (2)  is younger than 18 years of age;
 4-4                 (3)  has a family income of less than 200 percent of
 4-5     poverty level according to the poverty index prepared by the
 4-6     federal Office of Management and Budget; and
 4-7                 (4)  is not eligible for the state Medicaid program.
 4-8           (b)  Notwithstanding Section 17 of this Act, the employee may
 4-9     not be required to contribute any amount towards coverage provided
4-10     under Subsection (a) of this section.
4-11           (c)  The institution shall identify employees who may be
4-12     eligible for dependent child coverage under Subsection (a) and
4-13     notify the employee that:
4-14                 (1)  the employee may be eligible for dependent child
4-15     coverage under Subsection (a) of this section; and
4-16                 (2)  the employee may apply for the coverage as
4-17     provided by Subsection (d).
4-18           (d)  An employee who desires dependent child coverage under
4-19     this section shall apply to the Texas Department of Human Services
4-20     or other agency designated by the Health and Human Services
4-21     Commission to perform eligibility screening under this section. The
4-22     eligibility screening shall be coordinated with eligibility
4-23     screening for the state Medicaid program. The agency that performs
4-24     the eligibility screening shall certify to the institution in
4-25     writing whether a child is eligible for dependent child coverage
4-26     under Subsection (a) of this section.
4-27           (e)  An institution shall ensure that, under any contract
 5-1     implementing the basic coverage under this Act, a determination
 5-2     that a dependent child  is eligible for coverage under Subsection
 5-3     (a) of this section is a change in status that entitles the
 5-4     employee to enroll the child in the coverage without regard to any
 5-5     enrollment period requirement that would otherwise be applicable.
 5-6           SECTION 4.  Section 13, Texas State College and University
 5-7     Employees  Uniform Insurance Benefits Act (Article 3.50-3, Vernon's
 5-8     Texas Insurance Code), is amended to read as follows:
 5-9           Sec. 13.  EMPLOYER CONTRIBUTIONS. (a) Certification shall be
5-10     submitted on  or before the first day of November next preceding
5-11     each regular session of the legislature;  the institutions and
5-12     agencies covered under the provisions of this Act shall certify to
5-13     the Legislative Budget Board and budget division of the Governor's
5-14     Budget and Planning Office the amount necessary to pay employer
5-15     contributions for each active and retired employee from the
5-16     effective date of this Act.
5-17           (b)  The state may contribute a greater amount for coverage
5-18     for dependent children of employees described by Section 17A(a) of
5-19     this Act than the state contributes for group coverages for other
5-20     dependent children.
5-21           (c)  The Legislative Budget Board and the Governor's Budget
5-22     and Planning Office will establish procedures to insure that
5-23     eligible institutions request appropriate funds to support this
5-24     program and shall present appropriate budget recommendations to the
5-25     legislature.
5-26           (d)  The Teacher Retirement System of Texas, Optional
5-27     Retirement Program carriers, and Employees Retirement System of
 6-1     Texas shall furnish each institution such information as may be
 6-2     deemed necessary by the institution to provide retired employees
 6-3     with the coverages and employer contributions provided under the
 6-4     Act.
 6-5           SECTION 5.  The importance of this legislation and the
 6-6     crowded condition of the calendars in both houses create an
 6-7     emergency and an imperative public necessity that the
 6-8     constitutional rule requiring bills to be read on three several
 6-9     days in each house be suspended, and this rule is hereby suspended,
6-10     and that this Act take effect and be in force from and after its
6-11     passage, and it is so enacted.