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A BILL TO BE ENTITLED
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AN ACT
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relating to requiring contractors in certain state construction |
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contracts to provide health benefits to employees. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter F, Chapter 2166, Government Code, is |
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amended by adding Section 2166.2527 to read as follows: |
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Sec. 2166.2527. HEALTH BENEFITS COVERAGE REQUIRED FOR LARGE |
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CONTRACTS. (a) In this section: |
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(1) "Covered employee" means an employee of the |
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contractor or a subcontractor, including a contract laborer, who: |
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(A) is 18 years of age or older; |
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(B) works at least 30 hours per week; and |
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(C) works any amount of time on the project that |
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is the subject of a major construction contract. |
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(2) "Major construction contract" means a |
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construction contract with a value of $1 million or more. |
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(b) A contractor who enters into a major construction |
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contract with the commission must: |
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(1) provide health benefits coverage that is at least |
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equivalent to basic coverage provided under the state employees |
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group benefits program provided under Chapter 1551, Insurance Code, |
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to each covered employee; or |
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(2) contribute to the health opportunity pool under |
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Subchapter N, Chapter 531, $1.00 for every hour worked by a covered |
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employee on the project that is the subject of the major |
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construction contract. |
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(c) If a contractor provides health benefits coverage under |
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Subsection (b)(1), the contractor must pay not less than $150 per |
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month for the health insurance premiums for each covered employee |
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and the employee's contribution for the cost of the health benefits |
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coverage may not exceed 50 percent of the cost of the premiums. |
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(d) A subcontractor of the contractor under a major |
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construction contract must comply with the requirements of |
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Subsection (b). |
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(e) The commission may perform monthly audits of a |
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contractor to ensure compliance with the requirements of this |
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section. |
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(f) A major construction contract must include terms that |
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allow the commission to terminate the contract if the contractor, |
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or a subcontractor of the contractor, at any time during the life of |
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the contract fails to comply with the requirements of this section. |
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SECTION 2. Section 2166.2527, Government Code, as added by |
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this Act, applies only to a building construction contract for |
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which the solicitation of bids or proposals, request for proposals, |
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or similar required notification as to the project is published on |
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or after September 1, 2009. A building construction contract for |
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which the solicitation of bids or proposals, request for proposals, |
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or similar required notification as to the project is published |
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before September 1, 2009, is governed by the law in effect at the |
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time the solicitation, request, or notification is published, and |
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that law is continued in effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2009. |