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A BILL TO BE ENTITLED
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AN ACT
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relating to the administration of the Texas certified self-insurer |
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guaranty trust fund. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 407.126(a) and (b), Labor Code, are |
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amended to read as follows: |
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(a) Each member of the association shall be assessed an |
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annual [a] fee, based on total amount of income benefits payments |
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made in this state for the preceding reported calendar year, to |
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maintain [create, over a period of 10 years beginning January 1,
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1993,] a Texas certified self-insurer guaranty trust fund of at |
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least $2 [$1] million for the emergency payment of the compensation |
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liabilities of an impaired employer. The fund may not exceed three |
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percent of the combined value of the security deposits of all |
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certified self-insurers [$2 million]. |
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(b) The board of directors shall submit to the commissioner |
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for approval a recommended balance of the trust fund. On approval |
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by the commissioner of the recommended balance, the board of |
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directors shall adopt a year-by-year schedule of assessments to |
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meet the [10-year] funding goal of the [trust] fund. |
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SECTION 2. This Act takes effect September 1, 2017. |