By: Carona  S.B. No. 473
         (In the Senate - Filed February 11, 2013; February 13, 2013,
  read first time and referred to Committee on Business and Commerce;
  February 27, 2013, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 8, Nays 0;
  February 27, 2013, sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 473 By:  Carona
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the regulation of temporary common worker employers;
  providing a criminal penalty; authorizing fees.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle C, Title 7, Local Government Code, is
  amended by adding Chapter 247 to read as follows:
  CHAPTER 247. MUNICIPAL AND COUNTY AUTHORITY TO REGULATE TEMPORARY
  COMMON WORKER EMPLOYERS
         Sec. 247.001.  DEFINITIONS. In this chapter:
               (1)  "Common worker" means an individual who performs
  labor involving physical tasks that do not require:
                     (A)  a particular skill;
                     (B)  training in a particular occupation, craft,
  or trade; or
                     (C)  practical knowledge of the principles or
  processes of an art, science, craft, or trade.
               (2)  "Labor hall" means a central location maintained
  by a license holder where common workers assemble and are
  dispatched to work for a user of common workers.
               (3)  "Temporary common worker employer" means a person
  who provides common workers to a user of common workers and operates
  a labor hall. The term:
                     (A)  includes a temporary common worker agent or
  temporary common worker agency; and
                     (B)  does not include:
                           (i)  a temporary skilled labor agency;
                           (ii)  a staff leasing services company;
                           (iii)  an employment counselor;
                           (iv)  a talent agency;
                           (v)  a labor union hiring hall;
                           (vi)  a labor bureau or employment office
  operated by a person for the sole purpose of employing an individual
  for the person's own use; or
                           (vii)  an employment service or labor
  training program provided by a governmental entity.
               (4)  "User of common workers" means a person who uses
  the services of a common worker provided by a temporary common
  worker employer.
         Sec. 247.002.  AUTHORITY TO REGULATE. (a)  A municipality
  by ordinance or a county by order may:
               (1)  require that a temporary common worker employer
  obtain a license issued by the municipality or county on a periodic
  basis in order to operate as a temporary common worker employer in
  the municipality or county; and
               (2)  collect a fee for the issuance of a temporary
  common worker employer license.
         (b)  An ordinance adopted by a municipality under this
  chapter applies only inside the municipality's corporate limits.
         (c)  An order adopted by a county applies only to the parts of
  the county outside the corporate limits of a municipality.
         Sec. 247.003.  REGULATION REQUIREMENTS. The regulations
  adopted by a municipality or county under this chapter must:
               (1)  provide that the municipality or county will issue
  a temporary common worker employer license to a person who:
                     (A)  meets the application requirements
  established by the municipality or county; and
                     (B)  pays the application and registration fees
  set by the municipality or county;
               (2)  provide that a license issued under this chapter
  is not assignable or transferable;
               (3)  require each license holder to maintain and make
  available to a representative of the municipality or county records
  that show for each common worker provided by the license holder to a
  user of common workers:
                     (A)  the name and address of the worker;
                     (B)  the hours worked by the worker;
                     (C)  the places at which the work was performed by
  the worker;
                     (D)  the wages paid to the worker; and
                     (E)  any deductions made from the wages paid to a
  worker;
               (4)  require each license holder to maintain the
  records described by Subdivision (3) at least until the second
  anniversary of the date on which the worker was last employed by the
  license holder;
               (5)  provide that information received by the
  municipality or county under Subdivision (3):
                     (A)  is privileged and confidential and is for the
  exclusive use of the municipality or county; and
                     (B)  may not be disclosed to any other person
  except on the entry of a court order requiring disclosure or on the
  written consent of a person under investigation who is the subject
  of the records;
               (6)  require each license holder to post for inspection
  in a location that is in open view to the public on the licensed
  premises:
                     (A)  the license for a place of business at which
  the license holder operates as a temporary common worker employer;
  and
                     (B)  a notice of any charge permitted under this
  chapter that the license holder may assess against a common worker
  for equipment, tools, transportation, or other work-related
  services;
               (7)  require each license holder that operates a labor
  hall as part of a licensed premises to provide adequate facilities
  for a worker waiting for a job assignment that include:
                     (A)  restroom facilities for both men and women;
                     (B)  drinking water;
                     (C)  sufficient seating; and
                     (D)  access to vending refreshments and food; and
               (8)  prohibit each license holder from:
                     (A)  charging a common worker for:
                           (i)  safety equipment, clothing, or
  accessories required by the nature of the work, either by law,
  custom, or the requirements of the user of common workers;
                           (ii)  uniforms, special clothing, or other
  items required as a condition of employment by the user of common
  workers;
                           (iii)  the cashing of a check or voucher; or
                           (iv)  the receipt by the worker of earned
  wages; or
                     (B)  deducting or withholding any amount from the
  earned wages of a common worker except:
                           (i)  a deduction required by federal or
  state law; or
                           (ii)  a reimbursement for a cash advance
  made to the worker during the same pay period.
         Sec. 247.004.  LICENSE HOLDER AS EMPLOYER. (a)  Each
  license holder under this chapter is the employer of the common
  workers provided by that license holder.
         (b)  A license holder under this chapter may hire, reassign,
  control, direct, and discharge the employees of the license holder.
         Sec. 247.005.  INJUNCTION; CRIMINAL PENALTY.  (a)  A
  municipality or county may bring an action in a district court for
  an injunction to prohibit the violation of a regulation adopted
  under this chapter.
         (b)  A person commits an offense if the person violates a
  municipal or county regulation adopted under this chapter. An
  offense under this subsection is a Class C misdemeanor.
         SECTION 2.  Chapter 92, Labor Code, is repealed.
         SECTION 3.  (a) An administrative proceeding pending under
  Chapter 51, Occupations Code, or Chapter 92, Labor Code, on the
  effective date of this Act related to a violation of Chapter 92,
  Labor Code, as that chapter existed immediately before the
  effective date of this Act, is dismissed.
         (b)  An administrative penalty assessed by the Texas
  Commission of Licensing and Regulation or the executive director of
  the Texas Department of Licensing and Regulation related to a
  violation of Chapter 92, Labor Code, as that chapter existed
  immediately before the effective date of this Act, may be collected
  as provided by Chapter 51, Occupations Code.
         (c)  The changes in law made by this Act do not affect the
  pending prosecution of an offense under Chapter 92, Labor Code, as
  that chapter existed immediately before the effective date of this
  Act. An offense committed before the effective date of this Act is
  governed by the law in effect on the date the offense was committed,
  and the former law is continued in effect for that purpose. For
  purposes of this subsection, an offense was committed before the
  effective date of this Act if any element of the offense was
  committed before that date.
         (d)  The Texas Department of Licensing and Regulation shall
  return to a person who holds a valid license under Chapter 92, Labor
  Code, as that chapter existed immediately before the effective date
  of this Act, a prorated portion of the fee paid to the department
  for the issuance or renewal of the license.
         SECTION 4.  This Act takes effect September 1, 2013.
 
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