SRC-LBB H.B. 1020 78(R) BILL ANALYSIS Senate Research Center H.B. 1020 78R2252 JMM-DBy: Villarreal (Zaffirini) Business & Commerce 5/18/2003 Engrossed DIGEST AND PURPOSE Making dependent care benefits affordable for working parents may eliminate their dependence on publicly-funded services. The provision of these benefits yields tax benefits to the employers, and such companies experience lower levels of turnover and absenteeism compared to employers that do not offer similar benefits. H.B. 1020 requires the Work and Family Policies Clearinghouse to encourage employers to provide dependent care benefits to their employees. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 81, Labor Code, by adding Section 81.0046, as follows: Sec. 81.0046. PROMOTION OF EMPLOYEE DEPENDENT CARE BENEFITS. Requires the Work and Family Policies Clearinghouse, in providing technical assistance and information under this chapter, to encourage employers to provide employee dependent care benefits by: (1) promoting the economic benefits realized by employers who provide dependent care benefits, including decreased absenteeism and turnover rates, greater productivity, and federal and state tax incentives; (2) advertising the availability of federal and state tax incentives for employee dependent care benefits; (3) providing technical assistance to employers who establish employee dependent care benefit programs, including assistance in obtaining federal and state tax incentives; and (4) providing technical assistance and managerial support to dependent care providers, including mentoring, establishing cooperatives to pool resources for employee benefits, and assisting with human resources and payroll functions. SECTION 2. Effective date: upon passage or September 1, 2003.