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A BILL TO BE ENTITLED
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AN ACT
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relating to a discount on workers' compensation insurance premiums |
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for employers who elect to implement substance abuse testing of |
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employees. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle A, Title 5, Labor Code, is amended by |
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adding Chapter 420 to read as follows: |
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CHAPTER 420. SUBSTANCE ABUSE TESTING |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 420.001. DEFINITIONS. In this chapter: |
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(1) "Employee" means a person who works for salary, |
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wages, or other remuneration for an employer. The term includes a |
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part-time or leased employee. |
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(2) "Employer" means a person who employs one or more |
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employees. |
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(3) "Job applicant" means a person who has applied for |
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a position of employment and has been offered employment subject to |
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passing a substance abuse test. The term includes a person who has |
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begun work pending the results of the substance abuse test. |
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(4) "Post-accident testing" means substance abuse |
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testing of an employee who is involved in an accident that occurs |
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during the time the employee is performing work for the employer. |
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(5) "Substance" means alcohol or other drugs. |
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(6) "Substance abuse test" means any chemical, |
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biological, or physical instrumental analysis administered to |
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determine the presence or absence of alcohol or other drugs or their |
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metabolites. |
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Sec. 420.002. APPLICABILITY OF CHAPTER. (a) This chapter |
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does not require an employer to conduct substance abuse testing of |
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employees. |
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(b) An employer may establish policies that are |
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supplemental to and not inconsistent with this chapter. |
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(c) This chapter does not prevent the negotiation of |
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collective bargaining agreements that provide greater protection |
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to employees than the protections provided by this chapter and may |
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not be construed to limit the rights, privileges, or remedies of any |
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employee or collective bargaining representative under any other |
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state or federal law or regulation or under any collective |
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bargaining agreement or employment contract. |
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(d) This chapter does not prevent an employer from requiring |
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or performing medical examinations of employees as permitted by law |
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or from conducting medical screenings to monitor exposure to toxic |
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or other harmful substances in the workplace if those examinations |
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or screenings are not used to avoid the requirements of this |
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chapter. |
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(e) This chapter does not prevent an employer from adopting |
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rules related to the possession or use of a controlled substance by |
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an employee, including rules relating to the consequences of a |
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conviction for a related offense, or from taking an action based on |
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a violation of those rules, including termination of the |
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employment. |
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(f) This chapter does not restrict an employer's authority |
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to prohibit the use or possession of alcohol or other drugs during |
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work hours. |
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(g) This chapter may not be construed to prevent an employer |
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from establishing reasonable work rules relating to employee |
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manufacture, sale, distribution, possession, or use of alcohol or |
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other drugs, including convictions for drug-related offenses, and |
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taking action based on a violation of any of those rules. |
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Sec. 420.003. CERTIFICATION PROGRAM. (a) An employer who |
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elects to obtain workers' compensation insurance coverage may apply |
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for certification of a drug-free workplace under this section. |
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(b) The division shall issue a certificate to each employer |
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determined by the division, after an investigation by the division, |
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to have implemented the following: |
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(1) a written policy statement explaining the |
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employer's policies on alcohol and drug abuse as applicable to |
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employees and job applicants; |
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(2) substance abuse testing for job applicants after |
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an offer of employment; |
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(3) random substance abuse testing of employees; and |
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(4) post-accident substance abuse testing of |
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employees. |
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(c) A certificate issued under this section is valid for one |
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year from the date of issuance and may be renewed by the employer on |
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application to the commission and reinvestigation by the division. |
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SECTION 2. Chapter 2053, Insurance Code, is amended by |
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adding Subchapter G to read as follows: |
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SUBCHAPTER G. DRUG-FREE WORKPLACE |
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Sec. 2053.301. WORKERS' COMPENSATION INSURANCE PREMIUM |
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DISCOUNT FOR EMPLOYERS WITH DRUG-FREE WORKPLACE. (a) In this |
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section, "insurer" means a stock company, mutual company, |
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reciprocal, interinsurance exchange, Lloyd's plan, or other entity |
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authorized to write workers' compensation insurance in this state. |
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The term includes the Texas Mutual Insurance Company. |
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(b) This section applies to an employer who holds a |
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certificate of a drug-free workplace issued by the division of |
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workers' compensation of the department under Section 420.003, |
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Labor Code. |
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(c) The commissioner by rule shall adopt a plan under which |
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each insurer shall grant a discount to an employer subject to |
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Subsection (b) who obtains workers' compensation insurance |
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coverage from that insurer and applies for the discount in the |
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manner prescribed by the commissioner. The insurer shall grant a |
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discount in a percentage set by the commissioner by rule on the |
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amount of the employer's workers' compensation premium. The |
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percentage set by the commissioner must be not greater than five |
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percent. |
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(d) A discount established under this section is valid for |
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the term of the policy or contract of insurance. On renewal of the |
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policy or contract, the employer must reapply for the discount in |
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the manner prescribed by the commissioner. |
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(e) A discount under this section is in addition to any |
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other premium discount to which the employer is eligible under this |
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code. |
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SECTION 3. This Act takes effect September 1, 2007. |