By Gutierrez                                          H.B. No. 3510
         77R7402 JSA-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the coverage of certain adjunct faculty members of
 1-3     certain institutions of higher education under the Texas Employees
 1-4     Uniform Group Insurance Benefits Act.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1. Section 3(a)(5)(A), Texas Employees Uniform Group
 1-7     Insurance Benefits Act (Article 3.50-2, Vernon's Texas Insurance
 1-8     Code), is amended to read as follows:
 1-9                       (A)  "Employee" shall mean any appointive or
1-10     elective officer or employee in the service of the State of Texas,
1-11     including an employee of an institution of higher education:
1-12                             (i)  who is retired or retires and is an
1-13     annuitant under the jurisdiction of the Employees Retirement System
1-14     of Texas, pursuant to Subtitle B, D, or E;
1-15                             (ii)  who is retired or retires and is an
1-16     annuitant under the jurisdiction of the Teacher Retirement System
1-17     of Texas, pursuant to Subtitle C, Title 8, Government Code, or
1-18     pursuant to Chapter 803, Government Code, and whose last employment
1-19     with the state prior to retirement, including employment by a
1-20     public community/junior college, was as an employee of a department
1-21     whose employees are authorized to participate in the Texas
1-22     employees uniform group insurance program;
1-23                             (iii)  who is retired or retires and is an
1-24     annuitant under the optional retirement program established by
 2-1     Chapter 830, Government Code, if the person's last state employment
 2-2     before retirement, including employment by a public
 2-3     community/junior college, was as an employee of a department whose
 2-4     employees are authorized to participate in the Texas employees
 2-5     uniform group insurance program, and if the person either:
 2-6                                   (a)  would have been eligible to
 2-7     retire and receive a service retirement annuity from the Teacher
 2-8     Retirement System of Texas or the Employees Retirement System of
 2-9     Texas had the person not elected to participate in the optional
2-10     retirement program; or
2-11                                   (b)  is disabled as determined by the
2-12     Employees Retirement System of Texas;
2-13                             (iv)  who receives compensation for
2-14     services rendered to the State of Texas, other than an employee of
2-15     an institution of higher education described by this subdivision,
2-16     on a warrant issued pursuant to a payroll certified by a department
2-17     or by an elected or duly appointed officer of this state;
2-18                             (v)  who receives payment for the
2-19     performance of personal services on a warrant issued pursuant to a
2-20     payroll certified by a department and drawn by the comptroller upon
2-21     the State Treasury against appropriations made by the Texas
2-22     Legislature from any state funds or against any trust funds held by
2-23     the comptroller or who is paid from funds of an official budget of
2-24     a state department, rather than from funds of the General
2-25     Appropriations Act;
2-26                             (vi)  who is appointed, subject to
2-27     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;
 3-6                             (viii) who is a member of the State Board
 3-7     of Education;
 3-8                             (ix)  who receives compensation for
 3-9     services rendered to an institution of higher education on a
3-10     warrant or check issued pursuant to a payroll certified by an
3-11     institution of higher education or by an elected or duly appointed
3-12     officer of this state, and who is eligible for participation in the
3-13     Teacher Retirement System of Texas;  [or]
3-14                             (x)  who receives compensation for services
3-15     rendered to an institution of higher education as provided by this
3-16     subdivision but is not permitted to be a member of the Teacher
3-17     Retirement System of Texas because the person is solely employed by
3-18     an institution of higher education that as a condition of
3-19     employment requires the person to be enrolled as a student in an
3-20     institution of higher education in graduate-level courses and who
3-21     is employed by the institution at least 20 hours a week; or
3-22                             (xi)  who receives compensation for
3-23     services rendered to a public community/junior college as an
3-24     adjunct faculty member who teaches not less than six semester
3-25     credit hours per semester or term and who has been employed as a
3-26     faculty member of the same public community/junior college for the
3-27     preceding five years.
 4-1           SECTION 2. (a)  The board of trustees of the Employees
 4-2     Retirement System of Texas shall include coverage under the Texas
 4-3     Employees Uniform Group Insurance Benefits Act for individuals who
 4-4     become eligible for that coverage by the change in law made by this
 4-5     Act, in an insurance policy, contract, or evidence of coverage
 4-6     delivered, issued for delivery, or renewed on or after January 1,
 4-7     2002.
 4-8           (b)  A policy, contract, or evidence of coverage delivered,
 4-9     issued for delivery, or renewed before January 1, 2002, is not
4-10     required to include coverage under the Texas Employees Uniform
4-11     Group Insurance Benefits Act for individuals who become eligible
4-12     for that coverage by the change in law made by this Act, except
4-13     that the board of trustees of the Employees Retirement System of
4-14     Texas may include coverage under the Texas Employees Uniform Group
4-15     Insurance Benefits Act for individuals who become eligible for that
4-16     coverage by the change in law made by this Act in an insurance
4-17     policy, contract, or evidence of coverage delivered, issued for
4-18     delivery, or renewed before January 1, 2002, if the board of
4-19     trustees determines that coverage can be reasonably included.
4-20           SECTION 3.  This Act takes effect immediately if it receives
4-21     a vote of two-thirds of all the members elected to each house, as
4-22     provided by Section 39, Article III, Texas Constitution.  If this
4-23     Act does not receive the vote necessary for immediate effect, this
4-24     Act takes effect September 1, 2001.