79R369 KSD-D

By:  Madla                                                        S.B. No. 998

relating to contracts with local workforce development boards. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 2308.264(e), Government Code, is amended to read as follows: (e) In consultation with local workforce development boards, the Texas Workforce Commission by rule shall establish contracting guidelines for boards under this section, including guidelines designed to: (1) ensure that each independent contractor that contracts to provide one-stop workforce services under this section has sufficient insurance, bonding, and liability coverage for the overall financial security of one-stop workforce services funds and operations; (2) prevent potential conflicts of interest between boards and entities that contract with boards under this section; [and] (3) ensure that if a board acts as a fiscal agent for an entity that contracts with the board to provide one-stop workforce services, the board does not deliver the services or determine eligibility for the services; and (4) ensure that an entity that contracts with a board under this section may use, display, and advertise the entity's name when providing workforce services for the board. SECTION 2. The Texas Workforce Commission shall adopt rules as required by Section 2308.264(e)(4), Government Code, as added by this Act, as soon as practicable after the effective date of this Act. Rules adopted by the Texas Workforce Commission under Section 2308.264(e)(4), Government Code, as added by this Act, apply to any existing contract for one-stop workforce services. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2005.