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A BILL TO BE ENTITLED
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AN ACT
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relating to personnel, employment, and other human resources  | 
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functions of the Health and Human Services Commission and health  | 
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and human services agencies. | 
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       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
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       SECTION 1.  Section 531.0055, Government Code, is amended by  | 
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amending Subsections (e) and (f) and adding Subsections (f-1) and  | 
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(f-2) to read as follows: | 
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       (e)  Notwithstanding any other law, the executive  | 
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commissioner shall adopt rules and policies for the operation of  | 
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and provision of health and human services by the health and human  | 
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services agencies.  In addition, the executive commissioner, as  | 
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necessary to perform the functions described by Subsections (b),  | 
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(c), and (d) in implementation of applicable policies established  | 
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for an agency by the executive commissioner, shall: | 
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             (1)  subject to Subsection (f-1), manage and direct the  | 
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operations of each health and human services agency; | 
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             (2)  supervise and direct the activities of each agency  | 
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director;  and | 
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             (3)  be responsible for the administrative supervision  | 
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of the internal audit program for all health and human services  | 
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agencies, including: | 
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                   (A)  selecting the director of internal audit; | 
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                   (B)  ensuring that the director of internal audit  | 
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reports directly to the executive commissioner;  and | 
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                   (C)  ensuring the independence of the internal  | 
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audit function. | 
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       (f)  Except as provided by Subsection (f-1), the [The]  | 
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operational authority and responsibility of the executive  | 
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commissioner for purposes of Subsection (e) at each health and  | 
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human services agency includes authority over and responsibility  | 
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for the: | 
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             (1)  management of the daily operations of the agency,  | 
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including the organization and management of the agency and agency  | 
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operating procedures; | 
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             (2)  allocation of resources within the agency,  | 
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including use of federal funds received by the agency; | 
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             (3)  [personnel and employment policies;
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             [(4)]  contracting, purchasing, and related policies,  | 
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subject to this chapter and other laws relating to contracting and  | 
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purchasing by a state agency; | 
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             (4) [(5)]  information resources systems used by the  | 
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agency; | 
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             (5) [(6)]  location of agency facilities;  and | 
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             (6) [(7)]  coordination of agency activities with  | 
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activities of other state agencies, including other health and  | 
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human services agencies. | 
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       (f-1)  The executive commissioner has authority over and  | 
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responsibility for personnel and employment policies and human  | 
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resources functions at the commission, but does not have authority  | 
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over or responsibility for those policies and functions with  | 
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respect to the health and human services agencies, notwithstanding  | 
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any other law.  The commissioners of each of those agencies shall  | 
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make recommendations to the executive commissioner regarding any  | 
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personnel or employment policies with respect to which rulemaking  | 
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is necessary, and the executive commissioner shall adopt rules to  | 
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implement those recommendations. | 
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       (f-2)  The executive commissioner may not contract with a  | 
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private entity to perform any human resources functions for the  | 
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commission or the health and human services agencies. | 
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       SECTION 2.  Section 1001.052, Health and Safety Code, is  | 
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amended by amending Subsection (b) and adding Subsection (e) to  | 
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read as follows: | 
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       (b)  The [executive] commissioner shall prepare and the  | 
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executive commissioner by rule shall adopt personnel standards as  | 
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provided by Section 531.0055(f-1), Government Code. | 
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       (e)  The commissioner shall establish a human resources  | 
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division within the department.  The division is responsible for  | 
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personnel, recruiting, hiring, and other human resources  | 
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functions.  The division shall assist the commissioner in  | 
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developing policies and procedures related to recruitment, hiring,  | 
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and other human resources functions that are in compliance with  | 
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state and federal law. | 
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       SECTION 3.  Section 40.032, Human Resources Code, is amended  | 
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by adding Subsections (h) and (i) to read as follows: | 
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       (h)  The commissioner shall prepare and the executive  | 
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commissioner by rule shall adopt personnel standards as provided by  | 
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Section 531.0055(f-1), Government Code. | 
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       (i)  The commissioner shall establish a human resources  | 
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division within the department.  The division is responsible for  | 
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personnel, recruiting, hiring, and other human resources  | 
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functions.  The division shall assist the commissioner in  | 
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developing policies and procedures related to recruitment, hiring,  | 
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and other human resources functions that are in compliance with  | 
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state and federal law. | 
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       SECTION 4.  Section 117.052, Human Resources Code, is  | 
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amended by amending Subsection (b) and adding Subsection (e) to  | 
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read as follows: | 
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       (b)  The [executive] commissioner shall prepare and the  | 
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executive commissioner by rule shall adopt personnel standards as  | 
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			 | 
provided by Section 531.0055(f-1), Government Code. | 
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       (e)  The commissioner shall establish a human resources  | 
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			 | 
division within the department.  The division is responsible for  | 
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			 | 
personnel, recruiting, hiring, and other human resources  | 
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			 | 
functions.  The division shall assist the commissioner in  | 
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			 | 
developing policies and procedures related to recruitment, hiring,  | 
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			 | 
and other human resources functions that are in compliance with  | 
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state and federal law. | 
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       SECTION 5.  Section 161.052, Human Resources Code, is  | 
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amended by amending Subsection (b) and adding Subsection (e) to  | 
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read as follows: | 
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       (b)  The [executive] commissioner shall prepare and the  | 
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			 | 
executive commissioner by rule shall adopt personnel standards as  | 
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			 | 
provided by Section 531.0055(f-1), Government Code. | 
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       (e)  The commissioner shall establish a human resources  | 
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			 | 
division within the department.  The division is responsible for  | 
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			 | 
personnel, recruiting, hiring, and other human resources  | 
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			 | 
functions.  The division shall assist the commissioner in  | 
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			 | 
developing policies and procedures related to recruitment, hiring,  | 
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			 | 
and other human resources functions that are in compliance with  | 
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state and federal law. | 
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       SECTION 6.  On and after the effective date of this Act, the  | 
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executive commissioner of the Health and Human Services Commission  | 
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may not enter into or renew a contract with a private entity for the  | 
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performance of personnel, employment, or other human resources  | 
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functions for the commission or a health and human services agency,  | 
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as defined by Section 531.001, Government Code. | 
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       SECTION 7.  A reference in law to the executive commissioner  | 
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of the Health and Human Services Commission or to the commission  | 
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with respect to a power, duty, function, or program related to  | 
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personnel, recruiting, hiring, or other human resources functions  | 
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related to a health and human services agency, as defined by Section  | 
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531.001, Government Code, means the agency to which the reference  | 
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is related or the chief executive officer of that agency, as  | 
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applicable. | 
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       SECTION 8.  On the effective date of this Act: | 
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             (1)  all powers, duties, functions, programs, and  | 
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activities related to personnel, recruiting, hiring, or other human  | 
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resources functions at a health and human services agency, as  | 
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defined by Section 531.001, Government Code, transfer from the  | 
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Health and Human Services Commission to that agency; | 
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             (2)  all property and records in the custody of the  | 
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commission that relate to a transferred power, duty, function,  | 
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program, or activity and all funds appropriated by the legislature  | 
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for the power, duty, function, program, or activity, are  | 
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transferred to that health and human services agency;  and | 
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             (3)  a rule or form adopted by the executive  | 
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commissioner of the Health and Human Services Commission that  | 
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relates to the transferred power, duty, function, program, or  | 
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activity is a rule or form applicable to that agency and remains in  | 
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effect until modified by the executive commissioner as provided by  | 
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Section 531.0055(f-1), Government Code, as added by this Act. | 
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       SECTION 9.  This Act takes effect September 1, 2009. |