SRC-MKV H.B. 476 77(R) BILL ANALYSIS Senate Research Center H.B. 476 77R8429 KLA-DBy: Naishtat (Zaffirini) Health & Human Services 5/5/2001 Engrossed DIGEST AND PURPOSE Current law mandates that recipients of Temporary Assistance for Needy Families (TANF) attempt to locate employment. Local workforce development boards (board) are responsible for contracting with community organizations and businesses to provide employment placement services. The accountability measures attached to a board's funding reward placement of applicants into jobs, but not necessarily placement into higher wage jobs. H.B. 476 directs the Texas Workforce Commission to develop accountability measures and provide incentives for the placement and retention of TANF recipients in jobs which provide wages and hours of work adequate to lift the participants to self-sufficiency. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Texas Workforce Commission in SECTION 1 (Sections 302.009 and 302.010, Labor Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 302A, Labor Code, by adding Sections 302.009, 302.010, and 302.011, as follows: Sec. 302.009. JOB PLACEMENT INCENTIVE PROGRAM. (a) Requires the Texas Workforce Commission (commission) by rule to develop a job placement incentive program under which persons with whom local workforce development boards contract for employment services under Chapter 2308 (Workforce and Economic Competitiveness Act), Government Code, are provided incentives for placing recipients of financial assistance participating in employment programs under Chapter 31 (Financial Assistance and Service Programs), Human Resources Code, in higher-wage jobs, as determined by the commission. (b) Requires the commission to perform certain duties in developing guidelines for the job placement incentive program. (c) Requires the commission to administer the job placement incentive program through the local workforce development boards. (d) Requires a local workforce development board that provides a monetary incentive under the job placement incentive program to a person with whom the board contracts for employment services to require the person to use the money for expenses relating to education, training, and support services necessary to prepare, place, and maintain recipients of financial assistance in jobs paying wages that allow those recipients to attain self-sufficiency. Sec. 302.010. POSTEMPLOYMENT SERVICES GUIDELINES. (a) Requires the commission by rule to develop guidelines under which local workforce development boards provide postemployment services to a recipient of financial assistance participating in an employment program under Chapter 31, Human Resources Code. (b) Requires the commission, in developing the guidelines, to consider the difficulties the recipient is likely to encounter in acquiring additional education and training after becoming employed. (c) Requires the commission to assist local workforce development boards in meeting the guidelines by providing information about model programs and best practices, including employer involvement in past employment services. (d) Requires the commission to involve representatives of local workforce development boards and other appropriate organizations in developing the guidelines and identifying model programs and best practices. Sec. 302.011. POSTEMPLOYMENT CASE MANAGEMENT. Requires the commission to encourage local workforce development boards to provide postemployment case management services for recipients of financial assistance who participate in employment programs under Chapter 31, Human Resources Code, and have, in comparison to other recipients, higher levels of barriers to employment. SECTION 2. Requires that, subject to the appropriation of funds for that purpose, the Texas Workforce Commission develop the job placement incentive program required by Section 302.009, Labor Code, as added by this Act, and the postemployment services guidelines required by Section 302.010, Labor Code, as added by this Act, not later than January 1, 2002. SECTION 3. Requires a state agency affected by a provision of this Act to request a waiver or authorization and authorizes the agency to delay implementing that provision until the waiver or authorization is granted, if the agency determines before implementing any provision of this Act that a waiver or authorization from a federal agency is necessary. SECTION 4. Effective date: September 1, 2001.