1-1                                   AN ACT
 1-2     relating to payment of unemployment compensation tax contributions
 1-3     by certain employers engaged in agriculture.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 204.007, Labor Code, is amended to read
 1-6     as follows:
 1-7           Sec. 204.007.  SPECIAL RATE; CERTAIN EMPLOYERS ENGAGED IN
 1-8     AGRICULTURE [RATE--COTTON GINNING EMPLOYER].  (a)  This section
 1-9     applies to an [An] employer identified by the commission as
1-10     classified in the manual as:
1-11                 (1)  Number 115114, crop preparation services for
1-12     market; or
1-13                 (2)  Number 115111 [0724], cotton ginning.
1-14           (b)  An employer subject to this section shall[, may elect
1-15     to] pay a contribution at the lowest of the following rates:
1-16                 (1)  [a total fixed rate of] five and four-tenths
1-17     percent;
1-18                 (2)  [instead of paying a contribution computed on:]
1-19                 [(1)]  the general tax rate applicable to that
1-20     employer, with the deficit tax rate and replenishment tax rate; or
1-21                 (3) [(2)]  any other tax rate applicable to that
1-22     employer under this subtitle.
1-23           [(b)  An employer must notify the commission of an election
1-24     under this section in writing not later than December 31 preceding
 2-1     the year for which the election is made.]
 2-2           SECTION 2.  This Act takes effect September 1, 2001.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 1757 was passed by the House on May
         5, 2001, by a non-record vote; and that the House concurred in
         Senate amendments to H.B. No. 1757 on May 24, 2001, by a non-record
         vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 1757 was passed by the Senate, with
         amendments, on May 16, 2001, by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor