By Smithee                                            H.B. No. 1704
         77R1956 PB-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the establishment and operation of a task force to
 1-3     examine issues regarding expansion of the provision of health
 1-4     benefits to employees of small businesses.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  DEFINITIONS.  In this Act:
 1-7                 (1)  "Commissioner" means the commissioner of
 1-8     insurance.
 1-9                 (2)  "Department" means the Texas Department of
1-10     Insurance.
1-11                 (3)  "Small business" means a business entity that
1-12     employs at least two but fewer than 50 employees.
1-13                 (4)  "Task force" means the small business health
1-14     benefits task force established under this Act.
1-15           SECTION 2.  TASK FORCE; MEMBERSHIP; QUALIFICATIONS. (a)  The
1-16     small business health benefits task force is established to make
1-17     recommendations to the legislature with respect to improving the
1-18     availability of group and individual health benefits coverage to
1-19     employees of small businesses in this state.
1-20           (b)  The task force is composed of:
1-21                 (1)  two members appointed by the governor;
1-22                 (2)  two members appointed by the speaker of the house
1-23     of representatives; and
1-24                 (3)  two members appointed by the lieutenant governor.
 2-1           (c)  Each member of the task force must have demonstrated
 2-2     experience in the field of health insurance or managed care.
 2-3           SECTION 3.  POWERS AND DUTIES OF TASK FORCE. (a)  The task
 2-4     force shall examine state and federal laws and rules regarding the
 2-5     provision of health benefits to employees and identify changes to
 2-6     law that would result in the extension of health benefits to more
 2-7     employees of small businesses in this state.  In particular, the
 2-8     task force shall examine the operation of:
 2-9                 (1)  small employer health benefit plans established
2-10     under Chapter 26, Insurance Code; and
2-11                 (2)  the Texas Health Insurance Risk Pool established
2-12     under Article 3.77, Insurance Code.
2-13           (b)  The department shall provide administrative support and
2-14     services to the task force.
2-15           SECTION 4.  REPORT. (a)  Not later than September 1, 2002,
2-16     the task force shall recommend to the department the changes
2-17     identified under Section 3 of this Act.
2-18           (b)  Not later than December 1, 2002, the commissioner shall
2-19     submit to the governor, lieutenant governor, and speaker of the
2-20     house of representatives a written report concerning the
2-21     recommendations of the task force.  The report shall include:
2-22                 (1)  a plan for implementation of the recommendations
2-23     of the task force, if appropriate;
2-24                 (2)  recommendations for memorializing the Congress of
2-25     the United States to request changes to federal laws or
2-26     regulations; and
2-27                 (3)  recommendations for legislation that the task
 3-1     force considers necessary to implement the recommendations of the
 3-2     task force.
 3-3           SECTION 5.  EXPIRATION.  This Act expires and the task force
 3-4     is abolished June 1, 2003.