By Woolley                                            H.B. No. 3089
         76R5888 DLF-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to long-term care insurance provided  for certain public
 1-3     employees, retirees, and their family members.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter E, Chapter 3, Insurance Code, is
 1-6     amended by adding Article 3.50-2A to read as follows:
 1-7           Art. 3.50-2A. TEXAS EMPLOYEES GROUP LONG-TERM CARE INSURANCE
 1-8     PROGRAM. (a) In this article:
 1-9                 (1)  "Administering firm" means a firm designated by
1-10     the trustee to administer the group long-term care insurance
1-11     program under this article.
1-12                 (2)  "Employee" and "trustee" have the meanings
1-13     assigned by Section 3, Texas Employees Uniform Group Insurance
1-14     Benefits Act (Article 3.50-2, Vernon's Texas Insurance Code).
1-15           (b)  The trustee shall establish a group long-term care
1-16     insurance program to provide long-term care insurance coverage for:
1-17                 (1)  an employee, including a retired employee;
1-18                 (2)  a spouse of an employee, including a retired
1-19     employee;
1-20                 (3)  a parent or grandparent of an employee, including
1-21     a retired employee; and
1-22                 (4)  the parent of a spouse of an employee, including a
1-23     retired employee.
1-24           (c)  The trustee shall select an administering firm to
 2-1     administer the program under contract to the trustee. The
 2-2     administering firm shall bill each program participant directly for
 2-3     premiums and any other program cost and the program participant is
 2-4     responsible for the required payment. The premiums and program cost
 2-5     may not be deducted from an employee's monthly compensation or a
 2-6     retired employee's annuity.
 2-7           (d)  The group long-term care insurance program is not part
 2-8     of the group coverages offered under the Texas Employees Uniform
 2-9     Group Insurance Benefits Act (Article 3.50-2, Vernon's Texas
2-10     Insurance Code) and the state may not contribute any part of the
2-11     premiums for coverage offered under this article.
2-12           (e)  The trustee may adopt rules as necessary to implement
2-13     this article, including rules specifying the coverage to be offered
2-14     under the group  long-term insurance program.
2-15           SECTION 2.  Subchapter E, Chapter 3, Insurance Code, is
2-16     amended by adding Article 3.50-4A to read as follows:
2-17           Art. 3.50-4A.  TEXAS PUBLIC SCHOOL EMPLOYEES GROUP LONG-TERM
2-18     CARE INSURANCE PROGRAM.  (a)  In this article:
2-19                 (1)  "Administering firm" means a firm designated by
2-20     the trustee to administer the group long-term care insurance
2-21     program under this article.
2-22                 (2)  "Active employee," "retiree," "surviving spouse,"
2-23     and "trustee" have the meanings assigned by Section 2, Article
2-24     3.50-4, Insurance Code.
2-25           (b)  The trustee shall establish a group long-term care
2-26     insurance program to provide long-term care insurance coverage for:
2-27                 (1)  an active employee or retiree;
 3-1                 (2)  a spouse of an active employee or retiree,
 3-2     including a surviving spouse;
 3-3                 (3)  a parent or grandparent of an active employee or
 3-4     retiree; and
 3-5                 (4)  the parent of a spouse of an employee or retiree,
 3-6     including the parent of a surviving spouse.
 3-7           (c)  The trustee shall select an administering firm to
 3-8     administer the program under contract to the trustee. The
 3-9     administering firm shall bill each program participant directly for
3-10     premiums and any other program cost and the program participant is
3-11     responsible for the required payment.
3-12           (d)  The group long-term care insurance program is not part
3-13     of the group coverages offered under Article 3.50-4, Insurance
3-14     Code, and the state may not contribute any part of the premiums for
3-15     coverage offered under this article.
3-16           (e)  The trustee may adopt rules as necessary to implement
3-17     this article, including rules specifying the coverage to be offered
3-18     under the group long-term insurance program.
3-19           SECTION 3.  (a)  The trustee of the Texas Employees Uniform
3-20     Group Insurance Benefits  Program shall implement the group
3-21     long-term care insurance program required by Article 3.50-2A,
3-22     Insurance Code, as added by this Act, not later than January 1,
3-23     2000. The trustee may consult with The Texas A&M University System
3-24     with respect to development and implementation of the program.
3-25           (b)  The trustee of the Texas Public School Employees Group
3-26     Insurance Program shall implement the group long-term care
3-27     insurance program required by Article 3.50-4A, Insurance Code, as
 4-1     added by this Act, not later than January 1, 2000.  The trustee may
 4-2     consult with The Texas A&M University System with respect to
 4-3     development and implementation of the program.
 4-4           SECTION 4.  The importance of this legislation and the
 4-5     crowded condition of the calendars in both houses create an
 4-6     emergency and an imperative public necessity that the
 4-7     constitutional rule requiring bills to be read on three several
 4-8     days in each house be suspended, and this rule is hereby suspended,
 4-9     and that this Act take effect and be in force from and after its
4-10     passage, and it is so enacted.