HBA-NLM H.B. 1705 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 1705 By: McCall Corrections 3/2/1999 Introduced BACKGROUND AND PURPOSE The scope of Texas' criminal justice system is vast: 431,000 Texans are serving sentences on community supervision, 143,000 offenders are incarcerated by the state in 107 prisons and state jails, and 80,000 former inmates are supervised on parole. Managing this system is the Texas Department of Criminal Justice (TDCJ), the state's largest agency, with an annual budget of more than $2 billion and some 39,000 employees. While the state formerly had separate agencies that operated each part of this system, in 1989, the Legislature consolidated all state criminal justice functions into TDCJ. The department runs this system by funding and overseeing local community supervision and corrections departments; building and operating prisons, state jails, substance abuse centers, and other facilities; and directly supervising offenders released on parole and mandatory supervision. TDCJ is subject to the Sunset Act and will be abolished on September 1, 1999, unless continued in existence by the legislature. As a result of its review of TDCJ, the Sunset Advisory Commission recommended the continuation of TDCJ and several statutory modifications that are contained in this legislation. H.B. 1705 continues TDCJ for a 12-year period and makes statutory modifications recommended by the Sunset Advisory Commission. This bill allows the reorganization of divisions within the department; redirects the parole process to produce more consistent and cohesive parole policies; and revises funding sources for community supervision and corrections departments to balance programming flexibility with performance accountability. This bill also expands the capacity of the Private Sector Prison Industries Oversight Authority to oversee the Texas Correctional Industries program; improves the placement of inmates in prison work programs to reduce recidivism; and requires probationers in substance abuse residential aftercare programs to pay fees. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS ARTICLE 1 SECTION 1.01. Amends Section 492.003, Government Code, as follows: Sec. 492.003. ELIGIBILITY FOR MEMBERSHIP; REMOVAL. Defines "texas trade association" for the purposes of this section. Updates standard Sunset language prohibiting conflicts of interest by the Texas Board of Criminal Justice (board) members and Texas Department of Criminal Justice (department) employees by applying it to exempt employees instead of employees identified in the old position classification salary schedule and clarifying trade associations as operating in Texas. Updates standard Sunset language requiring board appointments to be made without bias by changing "handicap" to "disability." Updates standard Sunset language specifying the grounds for removing board members to clarify when they meet the qualifications to take office, and specifies procedures for notification of the board's presiding officer, the governor, and the attorney general if knowledge that a potential ground for removal exists. Deletes existing language regarding eligibility criteria for board members. Redesignates existing Subsections (d)-(g) to Subsections (e)-(h). Makes nonsubstantive changes. SECTION 1.02. Amends Chapter 492, Government Code, by adding Section 492.0031, as follows: Sec. 492.0031. TRAINING PROGRAM FOR MEMBERS. Requires the members of the board to complete training before assuming their duties. Provides that the training program must provide the person with information regarding the creation of the department and the board, programs operated by the department, and the role and functions of the department, and other statutory requirements and procedures. Provides that a person appointed to the board is entitled to reimbursement for travel expenses incurred in attending the training program. SECTION 1.03. Amends Section 492.004, Government Code, as follows: Sec. 492.004. NOTICE OF QUALIFICATIONS, RESPONSIBILITIES. Updates standard Sunset language by requiring the executive director, instead of the board, to inform employees and board members of the qualifications for office or employment and each person's responsibilities under the law. Deletes existing text. SECTION 1.04. Amends Section 492.006, Government Code, as follows: Sec. 492.006. BOARD MEETINGS. Requires the board to provide the opportunity for the Board of Pardons and Paroles presiding officer or designee to present information relating to the parole system to the board. Deletes existing language regarding the requirement that the chairman of the board provide notice of and facilitate attendance at meetings. SECTION 1.05. Amends Section 492.012, Government Code, as follows: Sec. 492.012. SUNSET PROVISION. Establishes that the board and the department are abolished September 1, 2011, rather than September 1, 1999. SECTION 1.06. Amends Section 492.013, Government Code, as follows: Sec. 492.013. GENERAL POWERS AND DUTIES OF BOARD. Requires the board to clearly separate its policymaking responsibilities from the management responsibilities of the executive director and staff of the department. Deletes references to outdated standards of conduct. Redesignates existing Subsection (g) to Subsection (f). SECTION 1.07. Amends Chapter 492, Government Code, by adding Section 492.0131, as follows: Sec. 492.0131. PAROLE RULES, POLICIES, PROCEDURES. Requires the board and the Board of Pardons and Paroles Policy Board to jointly review rules, polices, and procedures. Requires the two boards to identify areas of inconsistency and amend rules or change policies and procedures as necessary for consistent operation of the parole process. SECTION 1.08. Amends Chapter 493, Government Code, by adding Section 493.0021, as follows: Sec. 493.0021. ORGANIZATIONAL FLEXIBILITY. Allows the executive director, with board approval, to create and assign powers and duties to new divisions, to eliminate divisions and assign duties and powers to other divisions, and to reorganize divisions and the distribution of powers and duties for proper administration of the department. Requires the executive director to request and consider comments from the judiciary advisory council on the impact or organizational changes that would affect community corrections. SECTION 1.09. Amends Section 493.007, Government Code, as follows: Sec. 493.007. PERSONNEL. Updates standard Sunset language on Equal Employment Opportunity analysis to clarify the content and reporting requirements of these analyses. Deletes a provision requiring the division director to hire division employees. Redesignates existing Subsections (c)-(e) to Subsections (b)-(d). Makes conforming and nonsubstantive changes. SECTION 1.10. Amends Section 493.016, Government Code, as follows: Sec. 493.016. INFORMATION OF PUBLIC INTEREST; COMPLAINTS. Updates standard Sunset language requiring the department to maintain information on written complaints filed with the department by specifying the type of information to include in files and requiring the department to notify the parties regarding the department's policies and procedures for complaint investigation. Makes nonsubstantive changes. SECTION 1.11. Amends Section 497.001(b)(2), Government Code, to provide that "articles and products" includes services provided through the use of work program participant labor, rather than inmate labor. SECTION 1.12. Amends Section 497.001(b), Government Code, by adding Subdivision (3), to define "work program participant." SECTION 1.13. Amends Section 497.002(a), Government Code, to simplify the goals of the office of Texas Correctional Industries (TCI) for reducing recidivism by providing participants with marketable job skills and reducing costs by providing products and articles to the department and selling products and articles for profit to the public, state agencies, and political subdivisions. SECTION 1.14. Amends Section 497.003 (c), Government Code, to make a conforming change. SECTION 1.15. Amends Section 497.004, Government Code, as follows: Sec. 497.004. New title: LABOR, PAY. Requires the department to consider a participants' classification and work availability when assigning job training positions, and to give priority to participants closest to release from imprisonment or release. Deletes existing language regarding the requirement for the department to use inmate labor. Makes conforming and nonsubstantive changes. SECTION 1.16. Amends Section 497.005, Government Code, as follows: Sec. 497.005. New title: INDUSTRIAL RECEIPTS. Authorizes the TCI (office) to use money appropriated from the sale of articles and products by the office. Deletes existing text regarding an industrial revolving account. SECTION 1.17. Amends Section 497.006, Government Code, to make conforming and nonsubstantive changes. SECTION 1.18. Amends Section 497.007, Government Code, to make conforming and nonsubstantive changes. SECTION 1.19. Amends Section 497.009, Government Code, to make conforming and nonsubstantive changes. SECTION 1.20. Amends Section 497.025(a), Government Code, to require the department and the General Services Commission (commission) to enter into an agreement to expedite the process by which agencies are required to requisition purchases of articles or products through the commission. SECTION 1.21. Amends Section 497.058(a), Government Code, to make conforming and nonsubstantive changes. SECTION 1.22. Amends Section 497.0581, Government Code, as follows: Sec. 497.0581. New title: EMPLOYEE CONTRIBUTIONS. Makes conforming changes. SECTION 1.23. Amends Section 497.060, Government Code, to make conforming changes. SECTION 1.24. Amends Section 497.061, Government Code, to make conforming changes. SECTION 1.25. Amends Section 497.062, Government Code, as follows: Sec. 497.062. New title: LIMITATION ON NUMBER OF EMPLOYEES. Makes conforming changes. SECTION 1.26. Amends Section 497.094 (a), Government Code, to require the department to create or formalize on-the-job training programs for each job performed by an inmate, defendant, or releasee in a department facility. Requires the department to keep records on offender job training and provide a copy of these records to offenders upon release. SECTION 1.27. Amends Section 497.095, Government Code, to require the department to keep work records for each participant in a work program in a department facility. Expands the information in these records to include performance evaluations, and requires the department to provide a copy of this work record to offenders upon release. Makes conforming and nonsubstantive changes. SECTION 1.28. Amends Subchapter E, Chapter 497, Government Code, by adding Section 497.099, as follows: Sec. 497.099. PARTICIPATION IN WORK PROGRAM REQUIRED. Requires the department to require all capable offenders in a department facility to work in an agricultural, industrial, or other work program. Clarifies work requirements for all capable offenders in a department facility. SECTION 1.29. Amends Section 509.011, Government Code, by adding Subsections (g) and (h), to allow the department to reduce formula funding for Community Supervision and Corrections Departments (CSCDs) that have more than two months' basic supervision operating costs in reserves. Allows the department to adopt policies and standards permitting CSCDs to exceed the two month cap. Allows the department to distribute unallocated funds to CSCDs for community supervision and corrections purposes. Allows CSCDs to return unexpended funds to the department, and allows the department to redistribute those funds to CSCDs for community supervision and corrections purposes. SECTION 1.30. Amends Section 2251.001 (8), Government Code, to define the term "vendor" to include TCI. SECTION 1.31. Amends Section 8(a), Article 42.09, Code of Criminal Procedure, to specify that CSCDs must send presentence or postsentence investigation reports to the department only if one is prepared. Makes nonsubstantive changes. SECTION 1.32. Amends Section 9(k), Article 42.12, Code of Criminal Procedure, to authorize, rather than require, a postsentence investigation report to be prepared when not otherwise required by law. SECTION 1.33. Amends Section 14, Article 42.12, Code of Criminal Procedure, as amended by Chapter 321, Acts of the 74th Legislature, Regular Session, 1995, by amending Subsection (c) and by adding Subsection (e), to require defendants on community supervision to pay a fee for residential aftercare, require judges to consider a defendant's fines, fees, and other obligations when setting the fee, limit the fee to no greater than 25 percent of the defendant's gross income, and requires that the defendant be both employed and a participant in residential aftercare while paying the fee. SECTION 1.34. Amends Section 171.651 (2), Tax Code, to define "work program participant" as defined by Section 497.001 (b), Government Code, and to delete the existing definition for "inmate." SECTION 1.35. Amends Section 171.653, Tax Code, as follows: Sec. 171.653. New title: CREDIT FOR WAGES PAID TO WORK PROGRAM PARTICIPANT. Makes conforming changes. SECTION 1.36. Amends Section 171.654, Tax Code, as follows: Sec. 171.654. New title: CREDIT FOR WAGES PAID TO EMPLOYEE WHO WAS WORK PROGRAM PARTICIPANT. Makes conforming changes. SECTION 1.37. Amends Subchapter L, Chapter 171, Tax Code, as follows: New title: SUBCHAPTER L. TAX CREDIT FOR WAGES PAID TO TEXAS DEPARTMENT OF CRIMINAL JUSTICE WORK PROGRAM PARTICIPANTS OR FORMER PARTICIPANTS SECTION 1.38. Repealer: Section 497.090 (Work Required), Government Code. Section 497.090 requires the department to require each inmate to work, to the extent that the inmate is physically capable of working. ARTICLE 2 SECTION 2.01. Amends Section 497.052, Government Code, by adding Subsections (c) and (d), to prohibit a person from being a public member of the Private Sector Prison Industries Oversight Authority (authority) if the person or the person's spouse is regulated by the authority, conducts business with the authority, or otherwise has financial ties to the authority or the regulated industry. Requires appointments to the authority be made without regard to race, color, disability, sex, religion, age, or national origin. SECTION 2.02. Amends Subchapter C, Chapter 497, Government Code, by adding Sections 497.0521-497.0527, as follows: Sec. 497.0521. CONFLICTS OF INTEREST. Prohibits authority members or their spouse and exempt employees or their spouses from being an officer or employee of a related Texas trade association. Defines Texas "trade association." Prohibits registered lobbyist from serving as a member of the authority or from being employed as the authority's general counsel. Sec. 497.0522. REMOVAL PROVISIONS. Specifies the grounds for removing an authority member and requires notification of the authority's presiding officer, the governor and the attorney general if knowledge that a potential ground for removal exists. Affirms that an action of the authority is valid even if it is taken when a ground for removal exists for one of the members. Sec. 497.0523. INFORMATION: REQUIREMENTS FOR OFFICE OR EMPLOYMENT. Requires the executive director or a designee to inform authority members and employees of the qualifications of office or employment and each person's responsibilities under the law. Sec. 497.0524. TRAINING PROGRAM. Requires the members of the authority to complete training, as described by this section, before assuming their duties. Sec. 497.0525. POLICYMAKING AND MANAGEMENT RESPONSIBILITIES. Requires the authority to clearly separate its policymaking responsibilities from the management responsibilities of the executive director and staff of the authority. Deletes outdated standards of conduct. Sec. 497.0526. PUBLIC ACCESS. Requires the authority to give the public reasonable opportunity to appear before it regarding issues under the jurisdiction of the authority. Sec. 497.0527. COMPLAINTS. Requires the authority to maintain information on written complaints filed with the authority. Requires the authority to notify the parties regarding the authority's policies and procedures for complaint investigation. Requires the authority to notify the parties regarding the status of the complaint quarterly until disposition. ARTICLE 3 SECTION 3.01. Amends Section 614.002, Health and Safety Code, as follows: (c) Prohibits a person from being a public member if the person or the person's spouse is regulated by the Texas Council on Offenders with Mental Impairments (council), conducts business with the council, or otherwise has financial ties to the council or the regulated industry. (d) Prohibits registered lobbyist from serving as a member of the council or from being employed as the council's general counsel. (e) Redesignated from existing Subsection (c). (f) Redesignated from existing Subsection (d). Requires appointments to the council be made without regard to race, color, disability, sex, religion, age, or national origin. (g) Specifies the grounds for removing a council member. (h) Establishes that an action of the council is valid even if it is taken when a ground for removal exists for one of the members. (i) Requires notification of the council's presiding officer, the governor, and the attorney general if knowledge that a potential ground for removal exists. SECTION 3.02. Amends Chapter 614, Health and Safety Code, by adding Sections 614.003 and 614.0031, as follows: Sec. 614.003. INFORMATION: REQUIREMENTS FOR OFFICE OR EMPLOYMENT. Requires the executive director or a designee to inform council members and employees of the qualifications of office or employment and each person's responsibilities under the law. Sec. 614.0031. TRAINING PROGRAM. Requires the members of the council to complete the training, as described by this section, before assuming their duties. SECTION 3.03. Amends Section 614.005 (a), Health and Safety Code, to require the governor to designate the presiding officer of the council. Deletes existing language regarding the requirement for the council to elect a presiding officer at the first meeting of each calendar year. SECTION 3.04. Amends Section 614.007, Health and Safety Code, to require the council to clearly separate its policymaking responsibilities from the management responsibilities of the staff of the council. SECTION 3.05. Amends Chapter 614, Health and Safety Code, by adding Sections 614.010, 614.0101, and 614.0102, as follows: Sec. 614.010. PERSONNEL. Requires the executive director or designee to develop an equal employment opportunity policy that is annually updated, reviewed by the state Commission on Human Rights, and filed with the governor's office. Sec. 614.0101. PUBLIC ACCESS. Requires the council to give the public reasonable opportunity to appear before it regarding issues under the jurisdiction of the council. Sec. 614.0102. COMPLAINTS. Requires the council to maintain information on written complaints filed with the council. Requires the council to notify the parties regarding the council's policies and procedures for complaint investigation. Requires the council to notify the parties regarding the status of the complaint quarterly until disposition. ARTICLE 4 SECTION 4.01. Effective date: September 1, 1999. SECTION 4.02. Emergency clause.