By: Jackson S.B. No. 1749 99S0823/1 A BILL TO BE ENTITLED AN ACT 1-1 relating to participation in the Texas Employees Uniform Group 1-2 Insurance Benefits Act by certain former members of the governing 1-3 bodies of community/junior colleges. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subdivision (5), Subsection (a), Section 3, Texas 1-6 Employees Uniform Group Insurance Benefits Act (Article 3.50-2, 1-7 Vernon's Texas Insurance Code), is amended to read as follows: 1-8 (5)(A) "Employee" shall mean any appointive or 1-9 elective officer or employee in the service of the State of Texas, 1-10 including an employee of an institution of higher education: 1-11 (i) who is retired or retires and is an 1-12 annuitant under the jurisdiction of the Employees Retirement System 1-13 of Texas, pursuant to Subtitle B, D, or E; 1-14 (ii) who is retired or retires and is an 1-15 annuitant under the jurisdiction of the Teacher Retirement System 1-16 of Texas, pursuant to Subtitle C, Title 8, Government Code, or 1-17 pursuant to Chapter 803, Government Code, and whose last employment 1-18 with the state prior to retirement, including employment by a 1-19 public community/junior college, was as an employee of a department 1-20 whose employees are authorized to participate in the Texas 1-21 employees uniform group insurance program; 1-22 (iii) who is retired or retires and is an 1-23 annuitant under the optional retirement program established by 1-24 Chapter 830, Government Code, if the person's last state employment 2-1 before retirement, including employment by a public 2-2 community/junior college, was as an employee of a department whose 2-3 employees are authorized to participate in the Texas employees 2-4 uniform group insurance program, and if the person either: 2-5 (a) would have been 2-6 eligible to retire and receive a service retirement annuity from 2-7 the Teacher Retirement System of Texas or the Employees Retirement 2-8 System of Texas had the person not elected to participate in the 2-9 optional retirement program; or 2-10 (b) is disabled as 2-11 determined by the Employees Retirement System of Texas; 2-12 (iv) who receives compensation for 2-13 services rendered to the State of Texas, other than an employee of 2-14 an institution of higher education described by this subdivision, 2-15 on a warrant issued pursuant to a payroll certified by a department 2-16 or by an elected or duly appointed officer of this state; 2-17 (v) who receives payment for the 2-18 performance of personal services on a warrant issued pursuant to a 2-19 payroll certified by a department and drawn by the comptroller upon 2-20 the State Treasury against appropriations made by the Texas 2-21 Legislature from any state funds or against any trust funds held by 2-22 the comptroller or who is paid from funds of an official budget of 2-23 a state department, rather than from funds of the General 2-24 Appropriations Act; 2-25 (vi) who is appointed, subject to 2-26 confirmation of the senate, as a member of a board or commission 3-1 with administrative responsibility over a statutory agency having 3-2 statewide jurisdiction whose employees are covered by this Act; 3-3 (vii) who is a member of the governing 3-4 body of an institution of higher education, as that term is defined 3-5 by this Act, or who was a member of the governing body of a public 3-6 community/junior college who rendered at least 10 continuous years 3-7 of service and who is at least 55 years of age; 3-8 (viii) who is a member of the State Board 3-9 of Education; 3-10 (ix) who receives compensation for 3-11 services rendered to an institution of higher education on a 3-12 warrant or check issued pursuant to a payroll certified by an 3-13 institution of higher education or by an elected or duly appointed 3-14 officer of this state, and who is eligible for participation in the 3-15 Teacher Retirement System of Texas; or 3-16 (x) who receives compensation for services 3-17 rendered to an institution of higher education as provided by this 3-18 subdivision but is not permitted to be a member of the Teacher 3-19 Retirement System of Texas because the person is solely employed by 3-20 an institution of higher education that as a condition of 3-21 employment requires the person to be enrolled as a student in an 3-22 institution of higher education in graduate-level courses and who 3-23 is employed by the institution at least 20 hours a week. 3-24 (B) Persons performing personal services for the 3-25 State of Texas as independent contractors shall never be considered 3-26 employees of the state for purposes of this Act. 4-1 SECTION 2. Subsection (b), Section 15, Texas Employees 4-2 Uniform Group Insurance Benefits Act (Article 3.50-2, Vernon's 4-3 Texas Insurance Code), is amended to read as follows: 4-4 (b) The state shall contribute to the cost of each 4-5 employee's individual and dependent group coverages the amounts 4-6 appropriated for the coverages in the General Appropriations Act. 4-7 The governing board of each state department and institution of 4-8 higher education participating in the program established under 4-9 this Act shall pay the trustee a like amount for each employee's 4-10 individual or dependent group coverages for their employees who 4-11 are, and retirees who were, compensated from funds not appropriated 4-12 in the General Appropriations Act. The departments and 4-13 institutions shall include the required contributions from funds 4-14 not appropriated in the General Appropriations Act in their annual 4-15 operating budgets. Each state department and institution of higher 4-16 education participating in the program shall assure current 4-17 participant coverages based on the records of the trustee, make 4-18 timely payments of amounts due the trustee from all fund sources 4-19 under the control of the department or institution, and reconcile 4-20 trustee and agency records of coverages and payments monthly. 4-21 There is hereby allocated to the trustee, in accordance with the 4-22 provisions of this Act, from the several funds from which employees 4-23 receive their respective salaries, a sum equal to the total of all 4-24 employer contributions computed in accordance with the provisions 4-25 of this Act and the rules and regulations of the trustee 4-26 promulgated pursuant thereto. In the event that a public 5-1 community/junior college elects to continue the health benefits of 5-2 a former member of the governing body of the institution who 5-3 rendered at least 10 continuous years of service and is at least 55 5-4 years of age, the required contributions shall be paid from funds 5-5 under the control of the institution or from the personal funds of 5-6 the former member, but in no event shall the required contributions 5-7 be paid by the state. 5-8 SECTION 3. This Act takes effect September 1, 1999. 5-9 SECTION 4. The importance of this legislation and the 5-10 crowded condition of the calendars in both houses create an 5-11 emergency and an imperative public necessity that the 5-12 constitutional rule requiring bills to be read on three several 5-13 days in each house be suspended, and this rule is hereby suspended.