78R8988 KCR-D
By: Whitmire S.B. No. 1349
A BILL TO BE ENTITLED
AN ACT
relating to the participation of community supervision and
corrections department employees, retired employees, and
dependents of employees and retired employees in the group benefits
program for state employees.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE 1. PARTICIPATION BY COMMUNITY SUPERVISION AND CORRECTIONS
DEPARTMENTS IN GROUP BENEFITS PROGRAM FOR STATE EMPLOYEES
SECTION 1.01. Section 1551.002, Insurance Code, as
effective June 1, 2003, is amended to read as follows:
Sec. 1551.002. PURPOSES. The purposes of this chapter are
to:
(1) provide uniformity in life, accident, and health
benefit coverages for all state officers and employees and their
dependents;
(2) enable the state to attract and retain competent
and able employees by providing employees and their dependents with
life, accident, and health benefit coverages at least equal to
those commonly provided in private industry;
(3) foster, promote, and encourage employment by and
service to the state as a career profession for individuals of high
standards of competence and ability;
(4) recognize and protect the state's investment in
each permanent employee by promoting and preserving economic
security and good health among employees and their dependents;
(5) foster and develop high standards of
employer-employee relationships between the state and its
employees; [and]
(6) recognize the long and faithful service and
dedication of state officers and employees and encourage them to
remain in state service until eligible for retirement by providing
health benefits for them and their dependents; and
(7) recognize the service to the state by employees
and retired employees of community supervision and corrections
departments by extending to them and their dependents the same
life, accident, and health benefit coverages as those provided
under this chapter to state employees, retired state employees, and
their dependents.
SECTION 1.02. Section 1551.111(c), Insurance Code, as
effective June 1, 2003, is amended to read as follows:
(c) Except as provided by Section 1551.114, participation
[Participation] in the group benefits program does not extend to:
(1) the governing body of either system;
(2) a municipality or subdivision participating in
either system; or
(3) a trustee, officer, or employee, or a dependent of
a trustee, officer, or employee, of a participating municipality or
subdivision.
SECTION 1.03. Subchapter C, Chapter 1551, Insurance Code,
as effective June 1, 2003, is amended by adding Section 1551.114 to
read as follows:
Sec. 1551.114. PARTICIPATION BY COMMUNITY SUPERVISION AND
CORRECTIONS DEPARTMENTS. (a) In this section, "employee of a
community supervision and corrections department" means an
employee of a department established under Chapter 76, Government
Code.
(b) An employee or retired employee of a community
supervision and corrections department shall be treated as an
employee or annuitant, as applicable, for purposes of this chapter
only as provided by this section.
(c) A community supervision and corrections department of
this state participates in the group benefits program administered
by the board of trustees under this chapter. Participation under
this section is limited to:
(1) active employees of a community supervision and
corrections department;
(2) retired employees of a community supervision and
corrections department who retire on or after September 1, 2004,
and who:
(A) have been employed by one or more community
supervision and corrections departments for a total of at least 10
years of creditable service; and
(B) meet all the requirements for retirement
benefits prescribed by the Texas County and District Retirement
System; and
(3) eligible dependents of the active employees and
retired employees described by Subdivisions (1) and (2).
(d) Each full-time active employee of a community
supervision and corrections department is automatically covered by
the basic coverage for employees unless the employee specifically
waives coverage or unless the employee is expelled from the
program. Each part-time active employee of a community supervision
and corrections department is eligible to participate in the group
benefits program on application in the manner provided by the board
of trustees, unless the employee has been expelled from the
program. Each community supervision and corrections department
shall notify each of its part-time employees of the employee's
eligibility for participation.
(e) An active employee described by Subsection (d) is not
eligible to receive a state contribution under Subchapter G for
premiums. The community justice assistance division of the Texas
Department of Criminal Justice is responsible for payment of the
contributions for each of a department's participating active
employees and the employees' dependents that the state would make
under Subchapter G if the employees were state employees. Each
covered active employee shall pay that portion of the cost of group
coverages selected by the employee that exceeds the amount of
division contributions.
(f) A retired employee is eligible to participate in the
group benefits program on application to the board of trustees. On
application, a retired employee is automatically covered by the
basic coverage for annuitants unless the retired employee
specifically waives coverage or unless the retired employee is
expelled from the program. A retired employee is not eligible to
receive a state contribution under Subchapter G for premiums. The
community justice assistance division of the Texas Department of
Criminal Justice is responsible for payment of the contributions
for each of a department's retired employees and the retired
employees' participating dependents that the state would make under
Subchapter G if the retired employees were retired state employees.
Each participating retired employee shall pay that portion of the
cost of group coverage selected by the retired employee that
exceeds the amount of division contributions. The retired employee
shall pay contributions required from the retired employee in the
manner prescribed by the board of trustees. Each community
supervision and corrections department shall notify each of its
retired employees of the eligibility for participation and the
costs associated with participation.
(g) All contributions received under this section from the
community justice assistance division of the Texas Department of
Criminal Justice, active employees of community supervision and
corrections departments, and retired employees of community
supervision and corrections departments for basic, optional, and
voluntary coverages under the group benefits program shall be paid
into the employees life, accident, and health insurance and
benefits fund and shall be used by the board of trustees to provide
those coverages as provided by this chapter.
SECTION 1.04. Subchapter G, Chapter 1551, Insurance Code,
as effective June 1, 2003, is amended by adding Sections 1551.321
and 1551.322 to read as follows:
Sec. 1551.321. REQUIRED REPORTS OF COMMUNITY SUPERVISION
AND CORRECTIONS DEPARTMENTS. (a) Not later than June 1 of each
year, a community supervision and corrections department
participating in the group benefits program under Section 1551.114
shall submit to the board of trustees an estimated number of active
employees, retired employees, and dependents of active or retired
employees to be enrolled in the group benefits program for the
following fiscal year.
(b) Each month, a community supervision and corrections
department shall reconcile the department records of requested
participation in the group benefits plan and board of trustees
records of coverage.
Sec. 1551.322. REQUIRED CONTRIBUTIONS BY TEXAS DEPARTMENT
OF CRIMINAL JUSTICE. (a) Not later than August 1 of each year, the
board of trustees shall notify the community justice assistance
division of the Texas Department of Criminal Justice of the
estimated number of community supervision and corrections
department active employees, retired employees, and dependents of
active or retired employees to be covered under the group benefits
program for the following fiscal year.
(b) The community justice assistance division of the Texas
Department of Criminal Justice, on receipt of the notification
described by Subsection (a), shall:
(1) make timely payments of amounts due the board of
trustees; and
(2) reconcile, each month, the board of trustees
records and the division records of coverage and payments.
ARTICLE 2. CONFORMING AMENDMENTS
SECTION 2.01. Section 76.006, Government Code, is amended
by amending Subsections (a) and (c) and adding Subsection (i) to
read as follows:
(a) Except as provided by Subsection (c), department
employees are not state employees. The department shall contract
for all employee benefits with one county served by the department
and designated for that purpose by the district judge or judges. To
the extent that employee benefits are provided by a county under
this subsection, [and] the employees are governed by personnel
policies and benefits equal to personnel policies for and benefits
of other employees of that county. This subsection does not apply
to employee benefits for group insurance and related coverages
provided to employees of a department through the group benefits
program for state employees under Chapter 1551, Insurance Code.
(c) Department employees are state employees for the
purposes of Chapter 104, Civil Practice and Remedies Code, and
Chapter 501, Labor Code. Notwithstanding Subsection (a), a
department employee is eligible to participate in the group
benefits program established under Chapter 1551, Insurance Code, as
provided by Section 1551.114, Insurance Code.
(i) The department shall submit all information required by
Section 1551.321, Insurance Code, in the manner and form prescribed
by the Employees Retirement System of Texas.
SECTION 2.02. Section 509.011, Government Code, is amended
by adding Subsection (a-1) to read as follows:
(a-1) Notwithstanding Subsection (a), the division shall
prepare and submit to the comptroller vouchers for payment to the
Employees Retirement System of Texas for contributions for group
coverage in which a department participates under Section 1551.114,
Insurance Code. Payment of contributions under this subsection
shall be made from the money that the division would otherwise
allocate to a department under Subsection (a).
ARTICLE 3. TRANSITION
SECTION 3.01. (a) The Employees Retirement System of Texas
shall develop a plan for the extension of benefits under the group
benefits program to persons eligible for those benefits under
Section 1551.114, Insurance Code, as added by this Act. The system
may employ persons as necessary to implement this subsection.
(b) Coverage under Section 1551.114, Insurance Code, as
added by this Act, shall become effective September 1, 2004.
SECTION 3.02. The commissioners court of the county
designated for a community supervision and corrections department
under Section 76.006(a), Government Code, as that section existed
before amendment by this Act, shall, not later than September 1,
2004, transfer from the employee benefits program described by that
section all records relating to group insurance and related
coverage of department employees and retired employees, if
applicable, under that program to the Employees Retirement System
of Texas.
SECTION 3.03. (a) This Act takes effect September 1, 2003,
except that Article 2 of this Act takes effect September 1, 2004.
(b) The Employees Retirement System of Texas shall adopt
rules as necessary to implement Section 3.01 of this Act not later
than June 1, 2004.