78R4286 GWK-F

By:  Allen                                                        H.B. No. 1372


A BILL TO BE ENTITLED
AN ACT
relating to the sale of prison articles and products and to the operation of private sector prison industries programs. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 497.022, Government Code, is amended to read as follows: Sec. 497.022. CONTRACTS. The department may contract with: (1) another state, the federal government, a foreign government, or an agency of any of those governments to manufacture for or sell to those governments prison-made articles or products; [or] (2) a nonprofit organization that provides services to the general public and enhances social welfare and the general well-being of the community to manufacture for or sell to that organization prison-made articles or products; or (3) a private school or a visually handicapped person in this state to manufacture Braille textbooks or other instructional aids for the education of visually handicapped persons. SECTION 2. Section 497.058, Government Code, is amended to read as follows: Sec. 497.058. PIECP [PREVAILING] WAGE. (a) The authority by rule shall require that participants at each private sector prison industries program be paid not less than the prison industry enhancement certification program (PIECP) [prevailing] wage as computed by the Texas Workforce Commission [authority], except that: (1) the authority may permit employers to pay a participant the federal minimum wage for the two-month period beginning on the date participation begins; and (2) the minimum wage for participants under the supervision of the Texas Youth Commission, because of the age of the participants and the extensive training component of their employment, is the federal minimum wage. (b) For the purposes of computations required by this section: (1) the PIECP [prevailing] wage is the wage paid by the employer for work of a similar nature in the location in which the work is performed; (2) in the event that the employer has no employees other than those employed under this subchapter performing work of a similar nature within the location, the prevailing wage for work of a similar nature is determined by reference to openings and wages by occupation data collected by the labor market information department of the Texas Workforce Commission; and (3) the location in which work is performed is the local workforce development area in which the work is performed. SECTION 3. Section 497.0581(a), Government Code, is amended to read as follows: (a) The authority by rule shall determine the amount of deductions to be taken from wages received by the participant under this subchapter. The authority may establish deductions for participants under the supervision of the Texas Youth Commission that are different than deductions established for other participants in the program. In determining the amount of deductions under this section, the authority shall ensure that the deductions do not place the private sector prison industries programs in the department in noncompliance with the federal prison enhancement certification program established under 18 U.S.C. Section 1761. SECTION 4. Section 497.059, Government Code, is amended by amending Subsection (b) and adding Subsection (c) to read as follows: (b) The authority shall adopt rules to determine whether a program would cause the loss of existing jobs of a specific type provided by the employer in the location in which the program is to be established [this state]. (c) For the purposes of this section, a program does not result in the loss of existing jobs if, were it not for the program, the jobs would be performed by workers in a foreign country. SECTION 5. Section 502.053, Transportation Code, is amended to read as follows: Sec. 502.053. COST OF MANUFACTURING LICENSE PLATES OR REGISTRATION INSIGNIA. (a) The Texas Department of Transportation shall reimburse the [institutional division of the] Texas Department of Criminal Justice for the cost of manufacturing license plates or registration insignia as the license plates or insignia and the invoice for the license plates or insignia are delivered to the Texas Department of Transportation. (b) When manufacturing is started, the Texas Department of Criminal Justice and the Texas Department of Transportation, after negotiation, [General Services Commission] shall set the price to be paid for each license plate or insignia. The price must be determined from: (1) the cost of metal, paint, and other materials purchased; (2) the inmate maintenance cost per day; (3) overhead expenses; (4) miscellaneous charges; and (5) a previously approved amount of profit for the work. (c) The annual profit received by the [institutional division of the] Texas Department of Criminal Justice from all contracts for the manufacturing of license plates or related manufacturing may not be less than the profit received by the Texas Department of Corrections for manufacturing license plates for use in 1974. SECTION 6. This Act takes effect September 1, 2003.