H.R. No. 1850R E S O L U T I O N BE IT RESOLVED by the House of Representatives of the State of Texas, 78th Legislature, Regular Session, 2003, That House Rule 13, Section 9(a) be suspended in part as provided by House Rule Section 9(f) to enable the conference committee appointed to resolve the differences on House Bill No. 3442, relating to certain expenditures and charges of certain governmental entities, to consider and take action on the following matters: (1) House Rule 13, Sections 9(a)(3) and (4), are suspended to permit the committee to add additional text not included in either the house or senate version of the bill, consisting of the following new section to read as follows: SECTION 14. IMPOSITION OF CERTAIN FEES. (a) Subchapter B, Chapter 1052, Occupations Code, is amended by adding Section 1052.0541 to read as follows: Sec. 1052.0541. FEE INCREASE. (a) The fee for the issuance of a certificate of registration under this chapter and the fee for the renewal of a certificate of registration under this chapter is increased by $200. (b) Of each fee increase collected, $50 shall be deposited in the foundation school fund and $150 shall be deposited in the general revenue fund. (b) Subchapter B, Chapter 1053, Occupations Code, is amended by adding Section 1053.0521 to read as follows: Sec. 1053.0521. FEE INCREASE. (a) The fee for the issuance of a certificate of registration under this chapter and the fee for the renewal of a certificate of registration under this chapter is increased by $200. (b) Of each fee increase collected, $50 shall be deposited in the foundation school fund and $150 shall be deposited in the general revenue fund. (c) Subchapter D, Chapter 1071, Occupations Code, is amended by adding Section 1071.1521 to read as follows: Sec. 1071.1521. FEE INCREASE. (a) The fee for the issuance of a certificate of registration to a registered professional land surveyor under this chapter and the fee for the renewal of a certificate of registration for a registered professional land surveyor under this chapter is increased by $200. (b) Of each fee increase collected, $50 shall be deposited in the foundation school fund and $150 shall be deposited in the general revenue fund. (c) This section does not apply to state agency employees who are employed by the state as land surveyors. (d) Subchapter B, Chapter 1152, Occupations Code, is amended by adding Section 1152.053 to read as follows: Sec. 1152.053. FEE INCREASE. (a) The fee for the registration of a person under this chapter and the fee for the renewal of a registration under this chapter is increased by $200. (b) Of each fee increase collected, $50 shall be deposited in the foundation school fund and $150 shall be deposited in the general revenue fund. (e) The change in law made by this section applies only to the issuance or renewal of a certificate of registration under Chapter 1052, 1053, or 1071, Occupations Code, or the issuance or renewal of a registration under Chapter 1152, Occupations Code, on or after the effective date of this article. A certificate of registration or registration issued or renewed before the effective date of this section is governed by the law in effect on the date of the issuance or renewal, and the former law is continued in effect for that purpose. Explanation: The added text is necessary to increase fees for landscape architects, interior designers, land surveyors, and property tax consultants by $200, of which $50 would be deposited in the foundation school fund and $150 would be deposited in the general revenue fund. (2) House Rule 13, Sections 9(a)(3) and (4), are suspended to permit the committee to add additional text not included in either the house or senate version of the bill, consisting of the following new section to read as follows: SECTION 15. STATE AGENCY HUMAN RESOURCES STAFFING AND FUNCTIONS. (a) Subtitle B, Title 6, Government Code, is amended by adding Chapter 670 to read as follows:CHAPTER 670. HUMAN RESOURCES STAFFING AND FUNCTIONS Sec. 670.001. DEFINITIONS. In this chapter: (1) "Human resources employee" does not include an employee whose primary job function is enforcement of Title VI or Title VII of the Civil Rights Act of 1964. (2) "State agency" means a department, commission, board, office, authority, council, or other governmental entity in the executive branch of government that is created by the constitution or a statute of this state and has authority not limited to a geographical portion of the state. The term does not include a university system or institution of higher education as defined by Section 61.003, Education Code. Sec. 670.002. HUMAN RESOURCES STAFFING FOR LARGE STATE AGENCIES. A state agency with 500 or more full-time equivalent employees shall adjust the agency's human resources staff to achieve a human resources employee-to-staff ratio of not more than one human resources employee for every 85 staff members. Sec. 670.003. HUMAN RESOURCES STAFFING FOR MEDIUM-SIZED AND SMALL STATE AGENCIES; OUTSOURCING. (a) The State Council on Competitive Government shall determine the cost-effectiveness of consolidating the human resources functions of or contracting with private entities to perform the human resources functions of state agencies that employ fewer than 500 full-time equivalent employees. (b) If the council determines that contracting with private entities is cost-effective, the council shall issue a request for proposals for vendors to perform the human resources functions of the agencies. (c) The council shall determine which human resources functions are subject to the contract and which functions the agency may select to perform itself. (d) Each agency shall pay for the contracts for human resources functions out of the agency's human resources budget. (b) Not later than January 1, 2004, each state agency with 500 or more full-time equivalent employees shall comply with the human resources employee-to-staff ratio requirements in Section 670.002, Government Code, as added by this section. (c) Not later than January 1, 2004, the State Council on Competitive Government shall conduct an initial feasibility study to determine the cost-effectiveness of consolidating the human resources functions of or contracting with private entities to perform human resources functions of state agencies under Section 670.003, Government Code, as added by this section. Explanation: The added text is necessary to restrict agencies with 500 or more full-time equivalent employees from having human resources staffing that exceeds one for each 85 employees after January 1, 2004, and to allow for a feasibility study to determine the cost effectiveness of consolidating or contracting out for state agencies' human resources functions. (3) House Rule 13, Sections 9(a)(3) and (4), are suspended to permit the committee to add additional text not included in either the house or senate version of the bill, consisting of the following new section to read as follows: SECTION 16. AGENCY STAFFING AND PRODUCTIVITY. (a) Effective September 1, 2003, Section 651.004, Government Code, is amended by adding Subsections (c-1) and (d) to read as follows: (c-1) A state agency in the executive branch of state government that employs more than 100 full-time equivalent employees may not, after March 31, 2004, employ more than one full-time equivalent employee in a management position for every eight full-time equivalent employees that the agency employs in nonmanagerial staff positions. This subsection expires September 1, 2005. (d) A state agency that believes that the minimum management-to-staff ratios required by this section are inappropriate for that agency may appeal to the Legislative Budget Board. The Legislative Budget Board by rule shall adopt appeal procedures. (b) Effective September 1, 2004, Section 651.004, Government Code, is amended by adding Subsection (c-2) to read as follows: (c-2) A state agency in the executive branch of state government that employs more than 100 full-time equivalent employees may not, after August 31, 2005, employ more than one full-time equivalent employee in a management position for every nine full-time equivalent employees that the agency employs in nonmanagerial staff positions. This subsection expires September 1, 2006. (c) Effective September 1, 2005, Section 651.004, Government Code, is amended by adding Subsection (c-3) to read as follows: (c-3) A state agency in the executive branch of state government that employs more than 100 full-time equivalent employees may not, after August 31, 2006, employ more than one full-time equivalent employee in a management position for every 10 full-time equivalent employees that the agency employs in nonmanagerial staff positions. This subsection expires September 1, 2007. (d) Effective September 1, 2006, Section 651.004, Government Code, is amended by adding Subsection (c) to read as follows: (c) A state agency in the executive branch of state government that employs more than 100 full-time equivalent employees may not employ more than one full-time equivalent employee in a management position for every 11 full-time equivalent employees that the agency employs in nonmanagerial staff positions. (e) A state agency in the executive branch of government shall achieve the management-to-staff ratio required by Subsection (c), Section 651.004, Government Code, as added by this section, not later than August 31, 2007. (f) Subchapter K, Chapter 659, Government Code, is amended by adding Section 659.262 to read as follows: Sec. 659.262. ADDITIONAL COMPENSATION FOR CERTAIN CLASSIFIED STATE EMPLOYEES. (a) In this section, "state agency" means an agency of any branch of state government that employs individuals who are classified under Chapter 654. (b) To enhance the recruitment of competent personnel for certain classified employee positions, a state agency may provide to a state employee, at the time of the employee's hiring for a classified position, additional compensation in the form of a one-time recruitment payment not to exceed $5,000. If the employee discontinues employment with the state agency for any reason less than three months after the date of receiving the recruitment payment, the employee shall refund to the state agency the full amount of the recruitment payment. If the employee discontinues employment with the state agency for any reason three months or longer but less than 12 months after the date of receiving the recruitment payment, the employee shall refund to the state agency an amount computed by: (1) subtracting from 12 months the number of complete calendar months the employee worked after the date of receiving the recruitment payment; (2) dividing the number of months computed under Subdivision (1) by 12 months; and (3) multiplying the fraction computed under Subdivision (2) by the amount of the recruitment payment. (c) To enhance the retention of employees who are employed in certain classified positions that are identified by the chief administrator of a state agency as essential for the state agency's operations, a state agency may enter into a deferred compensation contract with a classified employee to provide to the employee a one-time additional compensation payment not to exceed $5,000 to be added to the employee's salary payment the month after the conclusion of the 12-month period of service under the deferred compensation contract. (d) To be eligible to enter into a contract for deferred compensation under Subsection (c), a state employee must have already completed at least 12 months of service in a classified position. (e) The chief administrator of a state agency shall determine whether additional compensation is necessary under this section on a case-by-case basis, considering: (1) the criticality of the employee position in the operations of the state agency; (2) evidence of high turnover rates among employees filling the position or an extended period during which the position is or has in the past been vacant; (3) evidence of a shortage of employees qualified to fill the position or a shortage of qualified applicants; and (4) other relevant factors. (f) Before an agency provides or enters into a contract to provide additional compensation to an employee under this section, the chief administrator of the state agency must certify to the comptroller in writing the reasons why the additional compensation is necessary. (g) Additional compensation paid to an employee under this section is specifically exempted from any limitation on salary or salary increases prescribed by this chapter. (g) Subsection (b), Section 656.048, Government Code, is repealed. Explanation: The added text is necessary to restrict agencies with more than 100 full-time equivalent employees from having more than one manager for every 11 non-managerial full-time equivalent employees after August 31, 2006. The added text also provides for a phase-in period between March 31, 2004, and August 31, 2006. The added text also provides for additional compensation to certain state employees in the form of a one-time recruitment or retention payment not to exceed $5,000. Pickett ______________________________ Speaker of the House I certify that H.R. No. 1850 was adopted by the House on June 1, 2003, by a non-record vote. ______________________________ Chief Clerk of the House