By: Coleman H.B. No. 2607
A BILL TO BE ENTITLED
AN ACT
relating to funding of group coverage programs for certain school
and educational employees and their dependents.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Art. 3.50-7. Texas School Employees Uniform
Group Health Coverage Act, Section 9. Payment of Contributions for
Program, Subsections (a) and (b) are amended to read as follows:
(a) The state shall assist employees of participating
school districts and charter schools in the purchase of group
health coverage under this article by [providing for each covered
employee the amount of $900 each state fiscal year or a greater
amount as provided by the General Appropriations Act.] paying each
fiscal year the full cost of employee only coverage and fifty
percent (50%) of any dependent coverage selected, for each covered
employee. The state cost shall be reduced by the amount of the
participating entity contribution as provided by Article 3.50-9 of
this code. The state contribution shall be distributed through the
school finance formulas under Chapters 41 and 42, Education Code,
as provided by Sections 42.2514 and 42.260, Education Code.
(b) The state shall assist employees of participating
regional education service centers and educational districts
described by Section 2(6)(B) of this article in the purchase of
group health coverage under this article by providing to the
employing service center or educational district, for each covered
employee, the [amount of $900 each state fiscal year or a greater
amount as provided by the General Appropriations Act.] full cost of
employee only coverage and fifty percent (50%) of any dependent
coverage selected, for each covered employee. The state cost shall
be reduced by the amount of the participating entity contribution
as provided by Article 3.50-9 of this code.
SECTION 2. Chapter 42, Subchapter E, Section 42.2514.
Additional State Aid for School Employee Benefits, Subsection (b),
Education Code, is amended to read as follows:
(b) For each school year, a school district, including a
school district that is otherwise ineligible for state aid under
this chapter, or a participating charter school is entitled to
state aid in an amount, as determined by the commissioner, equal to
[the difference, if any, between:] the full cost of employee only
coverage and fifty percent (50%) of any dependent coverage
selected, for each covered employee who participates in a group
health coverage plan provided by or through the district or school,
minus the amount of the participating entity contribution as
provided in Article 3.50-9, Insurance Code.
[(1) the amount determined by multiplying the amount
of $900 or the amount specified in the General Appropriations Act
for that year for purposes of the state contribution under Section
9, Article 3.50-7, Insurance Code, by the number of district or
school employees who participate in a group health coverage plan
provided by or through the district or school; and
[(2) an amount equal to 75 percent of the amount of:
[(A) additional funds to which the district or
school is entitled due to the increase made by H.B. No. 3343, Acts
of the 77th Legislature, Regular Session, 2001, to:
[(i) the equalized wealth level under
Section 41.002; and
[(ii) the guaranteed level of state and
local funds per weighted student per cent of tax effort under
Section 42.302; or
[(B) additional state aid to which the district
is entitled under Section 42.2513.]
SECTION 3. Chapter 42, Subchapter E, Section 42.260. Use of
Certain Funds, Subsection (c) is amended to read as follows:
(c) Notwithstanding any other provision of this code, a
school district or participating charter school may use the
following amount of funds only to pay contributions under a group
health coverage plan for district or school employees[:]; an amount
equal to the full cost of employee only coverage and fifty percent
(50%) of any dependent coverage selected, for each covered
employee.
[(1) an amount equal to 75 percent of the amount
certified for the district or school under Subsection (b); or
[(2) if the following amount is less than the amount
specified by Subdivision (1), the sum of:
[(A) the amount determined by multiplying the
amount of $900 or the amount specified in the General
Appropriations Act for that year for purposes of the state
contribution under Section 9, Article 3.50-7, Insurance Code, by
the number of district or school employees who participate in a
group health coverage plan provided by or through the district or
school; and
[(B) the difference between the amount necessary
for the district or school to comply with Section 3, Article 3.50-9,
Insurance Code, for that school year and the amount the district or
school is required to use to provide health coverage under Section 2
of that article for that year.]
SECTION 4. This Act applies beginning with the 2003-2004
school year.