78R2032 MTB-D
By:  Villarreal                                                   H.B. No. 1018
A BILL TO BE ENTITLED
AN ACT
relating to a purchasing preference for vendors that provide 
employee dependent care benefits.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter H, Chapter 2155, Government Code, is 
amended by adding Section 2155.451 to read as follows:
	Sec. 2155.451.  PREFERENCE FOR VENDORS RECEIVING FAMILY 
FRIENDLY DESIGNATION. (a)  The commission and state agencies shall 
give preference to goods or services of a vendor that receives a 
family friendly designation from the Texas Workforce Commission if:
		(1)  the goods or services meet specifications 
regarding quantity and quality;  and
		(2)  the cost of the good or service does not exceed the 
cost of other similar goods or services that are produced by a 
vendor that does not receive a family friendly designation from the 
Texas Workforce Commission.
	(b)  Notwithstanding Subsection (a), during the state fiscal 
biennium that begins September 1, 2003, the commission and state 
agencies shall give preference to goods or services of a vendor that 
participates in a dependent care benefits assessment conducted by 
an employer dependent care coalition and develops a plan for 
improving employee dependent care benefits in accordance with 
Subsection (e) if:
		(1)  the goods or services meet specifications 
regarding quantity and quality;  and
		(2)  the cost of the good or service does not exceed the 
cost of other similar goods or services that are produced by a 
vendor that does not participate in a dependent care benefits 
assessment by an employer dependent care coalition or develop a 
plan for improving employee dependent care benefits in accordance 
with Subsection (e).
	(c)  This subsection and Subsection (b) expire September 1, 
2005.     
	(d)  Notwithstanding Subsection (a), during the state fiscal 
biennium that begins September 1, 2005, the commission and state 
agencies shall give preference to goods or services of a vendor that 
implements the plan for improving employee dependent care benefits 
that was developed as part of an assessment by an employer dependent 
care coalition in accordance with Subsection (e) if:
		(1)  the goods or services meet specifications 
regarding quantity and quality;  and
		(2)  the cost of the good or service does not exceed the 
cost of other similar goods or services that are produced by a 
vendor that does not implement a plan for improving employee 
dependent care benefits that was developed as part of an assessment 
by an employer dependent care coalition in accordance with 
Subsection (e).
	(e)  For the purposes of Subsections (b) and (d), the 
employer dependent care coalition:
		(1)  must be working under a contract with the Texas 
Workforce Commission;  and
		(2)  is responsible for certifying, as applicable, 
that:             
			(A)  the coalition has assessed the dependent care 
benefits of an employer;
			(B)  the employer has developed a plan for 
improving employee dependent care benefits as part of its 
participation in the assessment by the coalition;  and
			(C)  the employer is implementing the plan.                           
	(f)  This subsection and Subsections (d) and (e) expire 
September 1, 2007.
	SECTION 2.  Subchapter Z, Chapter 271, Local Government 
Code, is amended by adding Section 271.907 to read as follows:
	Sec. 271.907.  PREFERENCE FOR VENDORS RECEIVING FAMILY 
FRIENDLY DESIGNATION. (a)  In this section, "local government" 
means a county, municipality, special district, school district, 
junior college district, or other political subdivision of the 
state.
	(b)  A local government shall give preference to goods or 
services of a vendor that receives a family friendly designation 
from the Texas Workforce Commission if:
		(1)  the goods or services meet specifications 
regarding quantity and quality;  and
		(2)  the cost of the good or service does not exceed the 
cost of other similar goods or services that are produced by a 
vendor that does not receive a family friendly designation from the 
Texas Workforce Commission.
	(c)  Notwithstanding Subsection (b), during the state fiscal 
biennium that begins September 1, 2003, a local government shall 
give preference to goods or services of a vendor that participates 
in a dependent care benefits assessment conducted by an employer 
dependent care coalition and develops a plan for improving employee 
dependent care benefits in accordance with Subsection (e) if:
		(1)  the goods or services meet specifications 
regarding quantity and quality;  and
		(2)  the cost of the good or service does not exceed the 
cost of other similar goods or services that are produced by a 
vendor that does not participate in a dependent care benefits 
assessment by an employer dependent care coalition or develop a 
plan for improving employee dependent care benefits in accordance 
with Subsection (e).
	(d)  This subsection and Subsection (c) expire September 1, 
2005.     
	(e)  Notwithstanding Subsection (b), during the state fiscal 
biennium that begins September 1, 2005, a local government shall 
give preference to goods or services of a vendor that implements the 
plan for improving employee dependent care benefits that was 
developed as part of an assessment by an employer dependent care 
coalition in accordance with Subsection (e) if:
		(1)  the goods or services meet specifications 
regarding quantity and quality;  and
		(2)  the cost of the good or service does not exceed the 
cost of other similar goods or services that are produced by a 
vendor that does not implement a plan for improving employee 
dependent care benefits that was developed as part of an assessment 
by an employer dependent care coalition in accordance with 
Subsection (e).
	(f)  For the purposes of Subsections (c) and (e), the 
employer dependent care coalition:
		(1)  must be working under a contract with the Texas 
Workforce Commission;  and
		(2)  is responsible for certifying, as applicable, 
that:             
			(A)  the coalition has assessed the dependent care 
benefits of an employer;
			(B)  the employer has developed a plan for 
improving employee dependent care benefits as part of its 
participation in the assessment by the coalition;  and
			(C)  the employer is implementing the plan.                           
	(g)  This subsection and Subsections (e) and (f) expire 
September 1, 2007.
	SECTION 3.  Chapter 81, Labor Code, is amended by adding 
Section 81.010 to read as follows:
	Sec. 81.010.  FAMILY FRIENDLY DESIGNATION.  (a)  In this 
section, "family friendly," means the provision of dependent care 
benefits and the adoption of policies relating to dependent care 
that have a value to employees that is appropriate to the size and 
nature of an employer's operations, as determined by commission 
rule.
	(b)  The commission, in consultation with employer dependent 
care coalitions, shall by rule develop a rating system for 
employers to determine the degree to which the employer is family 
friendly.  In developing the system, the commission shall take into 
consideration the different sizes and kinds of businesses.
	(c)  Only employers that receive the highest rating under the 
system developed under Subsection (b) qualify for a family friendly 
designation.
	(d)  The commission shall publish on its website a list 
showing each employer that currently holds a family friendly 
designation.
	(e)  A governmental entity shall use the information 
published under Subsection (d) to evaluate bids for goods and 
services.  A governmental entity may rely on information published 
under Subsection (d) to meet the requirements of Section 2155.451, 
Government Code, and Section 271.907, Local Government Code.
	SECTION 4.  This Act takes effect September 1, 2003.