BILL ANALYSIS

 

 

S.B. 1940

By: Huffman

Pensions

Committee Report (Unamended)

 

 

 

BACKGROUND AND PURPOSE

 

Interested parties assert that that some health benefit plans under the Texas Public School Retired Employees Group Benefits Act and the Texas School Employees Uniform Group Health Coverage Act are projected to face a funding shortage. These parties assert that without changes, the sustainability of those programs is at risk. S.B. 1940, in an effort to ensure the best care for Texas teachers, seeks to investigate all available options in delivering the best possible solutions for this issue.

 

CRIMINAL JUSTICE IMPACT

 

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

 

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

 

S.B. 1940 creates a joint interim committee to study and review the health benefit plans, including TRS-Care and TRS-ActiveCare, operated under the Texas Public School Retired Employees Group Benefits Act and the Texas School Employees Uniform Group Health Coverage Act and to propose reforms to address certain issues described by the bill. The bill requires the joint interim committee, in conducting the study, to examine and assess the financial soundness of the plans, the cost and affordability of plan coverage to persons eligible for coverage under the plans, and the sufficiency of access to physicians and health care providers under the plans.

 

S.B. 1940 sets out the composition of the six-member committee, with appointments to be made by the lieutenant governor and speaker of the house of representatives, requires the lieutenant governor and speaker to each designate a co-chair from among the committee members, and requires the committee to convene at the joint call of the co-chairs. The bill grants the committee all other powers and duties provided to a special or select committee by the rules of the senate and house of representatives, by the Legislative Reorganization Act of 1961, and by policies of the senate and house committees on administration.

 

S.B. 1940 requires the joint interim committee, not later than January 15, 2017, to report the committee's findings and recommendations to the lieutenant governor, the speaker of the house of representatives, and the governor. The bill requires the committee to include in its recommendations specific statutory and regulatory changes that appear necessary from the results of the committee's study. The bill requires the lieutenant governor and speaker, not later than the 60th day after the bill's effective date, to appoint the members of the committee. The bill's provisions expire and the joint interim committee is abolished on January 20, 2017.

 

EFFECTIVE DATE

 

Upon passage, or, if the Act does not receive the necessary vote, the Act takes effect September 1, 2015.