BILL ANALYSIS

C.S.H.B. 2127

By: Howard

Pensions

Committee Report (Substituted)

BACKGROUND AND PURPOSE

Current law allows for adjunct faculty members at Texas' public institutions of higher education to participate in the group benefits program administered under the Texas Employees Group Benefits Act, but interested parties assert that their participation in the program is severely limited by stringent eligibility guidelines and that the current eligibility criteria excludes most adjunct librarians.  C.S.H.B. 2127 seeks to allow more adjunct faculty members, including adjunct librarians, to participate in a state group benefits program by amending these eligibility guidelines.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

C.S.H.B. 2127 amends the Insurance Code to reduce from each of the preceding three academic years to the preceding academic year the length of time an adjunct faculty member at a public institution of higher education is required to have been employed as a faculty member by the same institution and to have taught at least one course in the regular fall and spring semester at that institution as a condition of eligibility to participate in the group benefits program administered under the Texas Employees Group Benefits Act. The bill makes an adjunct faculty member at a public institution of higher education who is a professional librarian eligible to participate in the group benefits program as an employee if the faculty member receives compensation for services rendered to a public institution of higher education as an adjunct faculty member.

C.S.H.B. 2127 requires the Employees Retirement System of Texas board of trustees to include coverage under the bill's provisions in an insurance policy or contract or evidence of coverage delivered, issued for delivery, or renewed on or after January 1, 2014. The bill authorizes the board of trustees to include that coverage in an insurance policy or contract or an evidence of coverage delivered, issued for delivery, or renewed before that date if the board of trustees determines that the coverage may reasonably be included.

EFFECTIVE DATE

September 1, 2013.

COMPARISON OF ORIGINAL AND SUBSTITUTE

While C.S.H.B. 2127 may differ from the original in minor or nonsubstantive ways, the following comparison is organized and highlighted in a manner that indicates the substantial differences between the introduced and committee substitute versions of the bill.

INTRODUCED	HOUSE COMMITTEE SUBSTITUTE
SECTION 1.  Section 1551.1021, Insurance Code, is amended by amending Subsection (a) and adding Subsection (a-1) to read as follows: (a)  An adjunct faculty member at a public institution of higher education is eligible to participate in the group benefits program as an employee if the faculty member: (1)  receives compensation for services rendered to a public institution of higher education as an adjunct faculty member; and (2)  [has been employed as a faculty member by the same public institution of higher education and has taught at least one course in each regular fall and spring semester at the public institution of higher education in each of the preceding three academic years; and [(3)]  is under contract or is scheduled to teach at least nine [12] semester credit hours in the academic year of coverage or, if the person is also employed by the public institution of higher education to perform nonteaching duties, is under contract or is scheduled to teach at least six semester credit hours in the academic year of coverage and has been approved by the public institution of higher education to participate in the group benefits program. (a-1)  Notwithstanding Subsection (a)(2), an adjunct faculty member at a public institution of higher education who is a professional librarian is eligible to participate in the group benefits program as an employee if the faculty member receives compensation for services rendered to a public institution of higher education as an adjunct faculty member.	SECTION 1.  Section 1551.1021, Insurance Code, is amended by amending Subsection (a) and adding Subsection (a-1) to read as follows: (a)  An adjunct faculty member at a public institution of higher education is eligible to participate in the group benefits program as an employee if the faculty member: (1)  receives compensation for services rendered to a public institution of higher education as an adjunct faculty member; (2)  was [has been] employed as a faculty member by the same public institution of higher education and [has] taught at least one course in the [each] regular fall and spring semester at the public institution of higher education in [each of] the preceding [three] academic year [years]; and (3)  is under contract or is scheduled to teach at least 12 semester credit hours in the academic year of coverage or, if the person is also employed by the public institution of higher education to perform nonteaching duties, is under contract or is scheduled to teach at least six semester credit hours in the academic year of coverage and has been approved by the public institution of higher education to participate in the group benefits program. (a-1)  Notwithstanding Subsection (a)(3), an adjunct faculty member at a public institution of higher education who is a professional librarian is eligible to participate in the group benefits program as an employee if the faculty member receives compensation for services rendered to a public institution of higher education as an adjunct faculty member.
SECTION 2.  The board of trustees of the Employees Retirement System of Texas shall include coverage under Section 1551.1021, Insurance Code, as amended by this Act, in an insurance policy or contract or evidence of coverage delivered, issued for delivery, or renewed on or after January 1, 2014.  The board of trustees may include coverage under Section 1551.1021, Insurance Code, as amended by this Act, in an insurance policy or contract or an evidence of coverage delivered, issued for delivery, or renewed before January 1, 2014, if the board of trustees determines that the coverage may reasonably be included.	SECTION 2. Same as introduced version.
SECTION 3.  This Act takes effect September 1, 2013.	SECTION 3. Same as introduced version.