HBA-DMD, RAR H.B. 503 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 503
By: Tillery
Human Services
2/16/1999
Introduced



BACKGROUND AND PURPOSE 

Under current state law, a family on welfare loses all of its cash benefits
if an adult member of the family obtains a minimum wage job working 20
hours per week.  H.B. 503 requires the Department of Human Services to
adopt rules allowing for up to 90 percent of a recipient's income to be
disregarded for six months for purposes of eligibility for welfare
benefits. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the Texas Department of Human Services
in SECTION 1 (Section 31.0038, Human Resources Code) of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Subchapter A, Chapter 31, Human Resources Code, by
adding Section 31.0038, as follows: 

Sec. 31.0038.  EARNED INCOME DISREGARDS FOR EMPLOYMENT.  (a)  Prohibits the
Texas Department of Human Services (department) from considering a
significant portion of any earned income received during the first six
months of employment of an adult recipient of financial assistance who
becomes employed while receiving assistance,  for purposes of determining
the amount of financial assistance for the support of dependent children or
whether the family meets the household income resource requirements for
financial assistance. 

(b)  Requires the department, in adopting rules under this section, to
prescribe up to 90 percent of a recipient's income as the portion that the
department may not consider; to ensure that this section applies only to
recipients who earn income below the maximum gross income limit set by the
department under Section 31.003, Human Resources Code (Amount of Financial
Assistance); and to consider in determining the amount of income to be
disregarded under Subsection (a) the total amount the department estimates
to be available to provide financial assistance to eligible recipients. 

SECTION 2.  Authorizes the department to delay the implementation of any
provision of this Act that require a waiver or other authorization from a
federal agency and requires the department to request such waiver or
authorization. 

SECTION 3.  Makes application of this Act prospective, regardless of the
date on which eligibility for the financial assistance was determined. 

SECTION 4.  Effective date: September 1, 1999.

SECTION 5.  Emergency clause.