HBA-NLM S.B. 174 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 174
By: Ratliff
Appropriations
4/14/1999
Engrossed



BACKGROUND AND PURPOSE 

Currently, under the Texas Constitution, no bill may contain more than one
subject.  The one exception to this rule is the General Appropriations Act,
which must contain more than one subject because it aggregates all the
subjects on which the state spends money, with the limitation that the Act
must be strictly limited to the subjects and accounts of money.  S.B. 174
codifies certain state employment matters currently prescribed by the
General Appropriations Act as general law to ensure their constitutional
validity. As proposed, this bill codifies certain state employment matters
currently prescribed by the General Appropriations Act. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to the comptroller of public accounts in
SECTION 10 (Sections 659.004, and 659.006, Government Code)  and in SECTION
12 (Section 659.019, Government Code) of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 651, Government Code, by adding Section 651.005,
as follows: 

Sec. 651.005.  REDUCTIONS IN FORCE.  Authorizes a state governmental entity
undergoing a reorganization mandated by statute to institute a reduction in
force as a direct result of the reorganization, notwithstanding a rule,
personnel handbook, or policy of the entity to the contrary. 

SECTION 2.  Amends Subchapter B, Chapter 654, Government Code, by adding
Section 654.0125, as follows: 

Sec. 654.0125.  EXEMPTION OF POSITIONS BY GOVERNOR.  (a)  Prohibits
appropriated money from being used to pay the salary of a person in a
position exempted from the position classification plan by the governor
under Section 654.012(8)(A) (Exceptions From Position Classification Plan)
unless the position is a bona fide new position established to accomplish
duties related to programs or functions that were not anticipated, and for
that reason not funded, under the General Appropriations Act. 

(b)  Prohibits a new position from being created under Section
654.012(8)(A) for the sole purpose of adjusting the salary of an existing
position. 

(c)  Specifies that the governor's exemption of a position from the
position classification plan under Section 654.012(8)(A) must contain a
certification that the exemption is for a bona fide new position.
Prohibits the Comptroller of Public Accounts (comptroller) from paying
compensation for the position until formal notification of the action of
the governor to exempt the position is filed with the classification
officer and the Legislative Budget Board. 

(d)  Authorizes a position exempted by the governor under Section
654.012(8)(A) in the first year of a state fiscal biennium to continue into
the second year.  Authorizes the salary rate established for the position
to be adjusted for the second year of the biennium in the  manner provided. 

SECTION 3.  Amends Section 654.014, Government Code, to authorize each
state agency or other state entity subject to this chapter to determine, at
the time an individual is initially employed by the entity in a classified
position, the individual's salary rate within the applicable salary group
for the individual's classified position. 

SECTION 4.  Amends Subchapter B, Chapter 654, Government Code, by adding
Sections 654.0155 and 654.0156, as follows: 

Sec. 654.0155.  PERIODIC REVIEW OF POSITIONS.  Requires each employing
state entity subject to this chapter to review individual job assignments
within the entity by the beginning of each state fiscal year, and
authorizes each entity to  perform a monthly review of job assignments, to
ensure that each position is properly classified.  Requires the entity to
report to the classification officer the results of the reviews and the
method used to comply with this section. Requires a classification
compliance audit to determine proper classification to be undertaken, if
the classification officer determines the method used is inadequate. 

Sec. 654.0156.  RECLASSIFICATION.   Authorizes an employing state entity
subject to this chapter to reclassify a position to another title in the
position classification plan in response to a classification review, or  as
a result of a program reorganization by the administrative head of the
employing state entity. Sets forth the purpose of a reclassification and
provides that a reclassification takes effect at the beginning of a
calendar month. 

SECTION 5.  Amends Subchapter B, Chapter 656, Government Code, by adding
Section 656.026, as follows: 

Sec. 656.026.  JOB NOTICE POSTING WAIVER. Provides that a state agency is
not required to comply with the requirements of this subchapter or
Subchapter A when transferring or reassigning an employee as part of a
legislatively-mandated reorganization or merger. 

SECTION 6.  Amends Subsection (a), Section 658.005, Government Code, to
require the offices of a state agency to remain open during the noon hour
each working day with at least one person on duty to accept calls, receive
visitors, or transact business. 

SECTION 7.  Amends Sections 658.001 and 658.006, Government Code, as
follows: 

Sec. 658.001.  DEFINITIONS.  Redefines "state agency" in this chapter to
include an institution of higher education. 
  
Sec. 658.006.  New title:  STAGGERED WORKING HOURS.  Authorizes normal
working hours for employees of a state agency to be staggered for traffic
regulation or public safety. Deletes "capital area in Austin" from title.
Makes nonsubstantive changes. 

SECTION 8.  Amends Chapter 658,  Government Code, by adding Sections
658.008, 658.009, and 658.010, as follows: 

Sec. 658.008.  MEMBERS OF NATIONAL GUARD OR RESERVE. Requires each state
agency, to facilitate participation in military duties by state employees,
to adjust the work schedule of any employee who is a member of the Texas
National Guard or the United States Armed Forces Reserve so that two of the
employee's days off work each month coincide with two days of military duty
to be performed by the employee . 

Sec. 658.009.  PART-TIME EMPLOYMENT.  Authorizes a state agency to fill a
regular full-time position with one or more part-time employees without
regard to whether the position is subject to or exempt from the state's
position classification plan, and subject to Section 659.019 (Part-time and
Hourly Employment). 
 
Sec. 658.010.  PLACE WHERE WORK PERFORMED.  (a) Requires an employee of a
state agency to, during normal office hours, conduct agency business only
at the employee's regular or assigned temporary place of employment unless
the employee is traveling, or  received prior written authorization from
the administrative head of the employing state agency to perform work
elsewhere.  

(b)Prohibits the employee's personal residence from being considered the
employee's regular or assigned temporary place of employment without prior
written authorization from the administrative head of the employing state
agency. 

SECTION 9.  Amends Section 659.002, Government Code, by adding Subsection
(d),  to require the state to withhold money from salaries and wages paid
to state officers and employees in accordance with applicable federal law,
including federal law relating to withholding for purposes of the federal
income tax.  Requires the state to make any required employer contributions
in accordance with applicable federal law.  Requires the comptroller to
make payments in accordance with this subsection. 

SECTION 10.  Amends Subchapter A, Chapter 659, Government Code, by adding
Sections 659.004, 659.005, and 659.006, as follows: 

Sec. 659.004.  PAYROLL AND PERSONNEL REPORTING.  (a) Defines "state agency"
for the purposes of this section. 

(b) Requires the comptroller, in consultation with the state auditor, to
adopt rules that prescribe uniform procedures for payroll and personnel
reporting for all state agencies and that are designed to: 

_facilitate the auditing of payrolls;
_facilitate a classification compliance audit under Chapter 654 (Position
Classification); 
_assure conformity with this chapter and the General Appropriations Act; and
_provide the legislative audit committee with current information on
employment and wage rate practices in state government. 

Sec. 659.005.  WITNESS FEES; JURY SERVICE. Prohibits a deduction from being
made from the salary or wages of a state employee because the employee is
called for jury service, including a deduction for any fee or compensation
the employee receives for the jury service.  Prohibits a state officer or
employee who appears as a witness in an official capacity in a judicial
proceeding or legislative hearing from accepting or receiving a witness fee
for the appearance. Provides that certain state officers or employees are
entitled to receive any customary witness fees for the appearance.
Authorizes certain state officers or employees to accept compensation for
the appearance only if the persons are not also compensated by the state
for the person's time in making the appearance and to accept reimbursement
for travel expenses only if the expenses are not reimbursed by the state.
Specifies that for purposes of this subsection, paid leave is not
considered time compensated by the state. Authorizes a state  officer or
employee to receive reimbursement for travel and a per diem or
reimbursement for expenses connected to an appearance in an official
capacity as a witness in a judicial proceeding or legislative hearing only
from the state or the judicial body, but not from both the state and the
judicial body. 

Sec. 659.006.  ADJUSTMENT FOR INACCURATE PAYMENT.  Requires the
comptroller, by rule, to prescribe procedures for state agencies to follow
in making adjustments to payrolls for the pay period immediately following
the period in which an inaccurate payment or deduction is made or in which
other error occurs. 

SECTION 11.  Amends the heading to Subchapter B, Chapter 659, Government
Code, as follows: 

SUBCHAPTER B.  New title:  SALARY AMOUNTS; OVERTIME AND
 COMPENSATORY TIME

SECTION 12.  Amends Subchapter B, Chapter 659, Government Code, by adding
Sections 659.015 through 659.021, as follows: 

Sec. 659.015.  OVERTIME COMPENSATION FOR EMPLOYEES SUBJECT TO FAIR LABOR
STANDARDS ACT.  (a)  Applies this section only to certain state employees
who are not legislative employees.  

(b)  Entitles the employee  to compensation for overtime as provided by
federal law and this section.  Provides that to the extent that this
section and federal law prescribe a different rule for the same
circumstance, federal law controls without regard to whether this section
or federal law prescribes a stricter rule. 

(c) Entitles an employee who is required to work more than 40 hours in a
workweek to compensation for the overtime hours in the manner provided. 
  
(d)  Specifies that holidays or other paid leave taken during a workweek
are not counted as hours worked in computing the number of overtime hours
under Subsection (c) or (e). 

(e)  Prohibits an employee from accumulating  more than 240 hours of
overtime credit that may be taken as compensatory leave under Subsection
(c), except as otherwise provided by this subsection.  Provides that an
employee must be paid at the rate prescribed by Subsection (c) for the
number of overtime hours the employee works that cause the employee to
exceed the amount of overtime credit the employee may accumulate.  Defines
"overtime credit" for the purposes of this subsection.  

(f)   Entitles  the employee to compensatory time off at the rate of one
hour off for each of the excess hours when an employee does not work more
than 40 hours in a workweek but the number of hours worked plus the number
of hours of holiday or other paid leave taken during the workweek exceeds
40 hours.  Entitles the employee to compensatory time off at the rate of
one hour off for each of the remaining hours in excess of 40, when an
employee does work 40 or more hours in a workweek and in addition takes
holiday or other paid leave during the workweek, and the total number of
hours worked still exceeds 40 after subtracting the hours compensable under
Subsections (c)-(e).  Prohibits the employee from accruing compensatory
time for the week under this section when an employee does not work more
than 40 hours in a workweek and the number of hours worked plus the number
of hours of holiday or other paid leave taken during the week does not
exceed 40 hours. 

(g)  Provides that compensatory time off to which an employee is entitled
under Subsection (f) must be taken during the 12-month period following the
end of the workweek in which the compensatory time was accrued or it
lapses. Prohibits an employee from being paid for that compensatory time.
Authorizes certain employees to be paid at the employee's regular rate of
pay for that compensatory time if the employer determines that taking the
compensatory time off would disrupt normal teaching, research, or other
critical functions. 

(h) Provides that hospital, fire protection, and law enforcement personnel,
including security personnel in correctional institutions, are governed by
the federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et
seq.) provisions applicable to those employees, including the exceptions to
the standard overtime computation for a workweek. 

Sec. 659.016.  OVERTIME COMPENSATION FOR EMPLOYEES NOT SUBJECT TO FAIR
LABOR STANDARDS ACT; REDUCTIONS IN PAY.  (a)  Applies this section only to
a state employee who is not subject to the overtime provisions of the
federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 (Short
Title) et seq.) and who is not a legislative employee. 
 
(b)   Authorizes the employee to be allowed to accrue compensatory time for
the number of hours that exceeds 40 hours, when the sum of hours worked
plus holiday or other paid leave taken by an employee during a workweek
exceeds 40 hours, and not otherwise. 

(c) Authorizes an employee who is exempt as an executive, professional, or
administrative employee under 29 U.S.C. Section 213(a)(1) (Exemptions) to
be allowed compensatory time off during the 12-month period following the
end of the workweek in which the time that exceeds 40 hours under
Subsection (b) was accrued, at a rate not to exceed one hour of
compensatory time off for each hour of time that exceeds 40 hours under
Subsection (b) accrued. 

(d)  Entitles certain exempt employees to receive full salary for any week
in which the employee performs work without regard to the number of days
and hours worked, in accordance to the specified provisions described in
this subsection.  Specifies that this is also subject to the general rule
that an employee need not be paid for any workweek in which the employee
performs no work. 

(e)  Authorizes a deduction to be made from the salary of certain exempt
employees,  if: 

(1)  the employee is not at work for a full day or longer for personal
reasons other than sickness, accident, jury duty, attendance as a witness
at a judicial proceeding, or temporary military leave; 

(2)  the employee is not at work for a full day or longer because of
sickness or disability, including sickness or disability covered by
workers' compensation benefits, and the employee's paid sick leave or
workers' compensation benefits have been exhausted; 

(3)  the deduction is a penalty imposed for a violation of a significant
safety rule relating to prevention of serious danger in the workplace to
other persons, including other employees; or 

(4)  in accordance with the special provisions applicable to executive,
professional, or administrative employees of public agencies set forth in
29 C.F.R. Section 541.5d, the employee is not at work for less than one day
for personal reasons or because of illness or injury and accrued leave is
not used by the employee due to specified conditions. 

(f)  Provides that, in accordance with 29 C.F.R. Section 541.5d, a
deduction from the pay of an executive, professional, or administrative
employee because of an absence from work caused by a furlough related to
the budget does not affect the employee's status as an employee paid on a
salary basis, except for any workweek in which the furlough occurs and for
which the employee's pay is accordingly reduced. 

(g)   Entitle the employee to reimbursement of the amount that should not
have been deducted if a deduction is made from an employee's salary in
violation of United States Department of Labor regulations. 

(h)  Authorizes an employee who is not subject to certain provisions of
the federal Fair Labor Standards Act of 1938, because the employee is a
staff member, appointee, or immediate adviser of an elected officeholder to
be allowed compensatory time off under the terms and conditions determined
by the officeholder. 

(i)  Prohibits an employee covered by this section from being paid for any
unused compensatory time. 

Sec. 659.017.  OVERTIME COMPENSATION FOR LEGISLATIVE EMPLOYEES. Provides
that overtime pay and compensatory time off for employees of the
legislative branch, including employees of the lieutenant governor, are
determined  for employees of the  house of representatives or the senate,
by the presiding officer of the appropriate house of the legislature;  for
employees of an elected officeholder, by the employing officeholder; and
for employees of a legislative agency, by the administrative head of the
agency, consistent with the requirements of the federal Fair Labor
Standards Act of 1938 (29 U.S.C. Section 201 et seq.). 

Sec. 659.018.  COMPENSATORY TIME:  PLACE WHERE WORK PERFORMED. Prohibits an
employee of a state agency as defined by Section 658.001(Definitions) from,
for hours worked during any calendar week, accumulating  compensatory time
off under Section 659.015(f) or 659.016 to the extent that the hours are
attributable to work performed at a location other than the employee's
regular or temporarily assigned place of employment, except under
circumstances specified in the General Appropriations Act.  Prohibits the
employee's personal residence from being considered the employee's regular
or temporarily assigned place of employment for purposes of this section
without prior written authorization from the administrative head of the
employing state agency. 

Sec. 659.019.  PART-TIME AND HOURLY EMPLOYMENT.  Provides that in computing
the salary of a part-time or hourly employee, the rate of pay must be
proportional to the rate authorized by the General Appropriations Act for
full-time employment in the same classified position, or if the position is
not under the state's position classification plan, for full-time
employment in the applicable exempt position.  Subjects a  part-time
employee to Subchapter K and to the leave without pay provisions of Section
659.085. Authorizes the comptroller to adopt rules to determine the hourly
rate of an employee paid on an hourly basis. 

Sec. 659.020.  SALARY SUPPLEMENTATION.  Prohibits  certain state employees
from receiving a salary supplement from any source unless a specific grant
of authority to do so is provided by the General Appropriations Act or
other law. 

Sec. 659.021.  ADMINISTRATIVE HEAD OF AGENCY.  Prohibits the administrative
head of a state agency as defined by Section 658.001 whose salary as
administrative head is established by the General Appropriations Act from
receiving a salary higher than that established salary, even if the
administrative head performs duties assigned to a position title classified
in the state's position classification plan that is assigned to a salary
group that would pay a higher salary, unless the General Appropriations Act
specifically provides that a higher salary may be received. 

SECTION 13.  Amends Section 659.081, Government Code, to include an
exception to monthly payment of salaries provided by the General
Appropriations Act.  

SECTION 14.  Amends Section 659.082, Government Code, to provide that an
employee is entitled to be paid employment compensation twice a month if
the employee's position is classified below salary group 12 under a
classification salary schedule in the General Appropriations Act in which
salary groups are divided into steps.  

SECTION 15.  Amends Subchapter F, Chapter 659, Government Code, by adding
Section 659.085, as follows: 

Sec. 659.085. DETERMINING AMOUNT OF MONTHLY OR HOURLY PAY; PROPORTIONATE
REQUIREMENT FOR PART-TIME PAY.  Sets forth the computation for the amount
of monthly salary for certain annual employees.  Sets forth the computation
for purposes of partial payment or other applicable situations, and
provides that this subsection applies only to full-time employees described
by this section and to part-time salaried employees.  Provides that when an
employee is on leave without pay, compensation for the pay period will be
reduced by an amount computed by multiplying the employee's equivalent
hourly rate of pay times the number of hours the employee was on leave
without pay. Authorizes an agency that may contract with its employees for
employment for less than a 12-month period to make equal monthly salary
payments under the contract during the contract period or during the fiscal
year. 
 
SECTION 16.  Amends Chapter 659, Government Code, by adding Subchapter K,
as follows: 

SUBCHAPTER K.  PROMOTIONS, RECLASSIFICATIONS, AND OTHER
ADJUSTMENTS TO SALARY

Sec. 659.251.  APPLICABILITY.  Provides that this subchapter applies only
to a state employee employed in the executive or judicial branch of state
government. Provides the policies for promotions, demotions, and other
adjustments to salary for employees of the legislative branch, including
employees of the lieutenant governor, are determined by the appropriate
officials. 

Sec. 659.252.  DEFINITION.  Defines "state agency" for the purposes of this
subchapter. 

Sec. 659.253.  TRANSFER WITHIN AGENCY FROM EXEMPT TO CLASSIFIED POSITION.
Provides that a state employee who moves within a state agency from a
position exempt from the state's position classification plan to a
classified position will receive an annual salary in the proper salary
group not to exceed certain established rates. 
  
Sec. 659.254.  CLASSIFIED POSITION REALLOCATED OR RECLASSIFIED TO DIFFERENT
SALARY GROUP.  (a) Applies this section only to positions classified under
the state's position classification plan.  

(b) Defines "higher salary group" and  "lower salary group."
 
(c) Provides that certain employees will be paid at the minimum salary rate
in the higher salary group or at the salary rate the employee would have
received without the reallocation or reclassification, whichever rate is
higher.  Includes an exception, to maintain desirable salary relationships
among employees in the affected positions, the salary may be adjusted in
the manner described by this section, and the employee may not advance to a
step number in the new salary group higher than the step number rate held
before the reallocation or reclassification, if the employee's salary group
is divided into steps by the General Appropriations Act. 

(d)  Provides that certain employees will be paid at the salary rate that
the employee would have received had the position not been reallocated or
reclassified, not to exceed the maximum rate of the lower salary group. 

Sec. 659.255.  MERIT RAISES.  (a) Applies this section only to positions
classified under the state's position classification plan. 

(b)  Authorizes a state agency administrator to award a merit salary
increase to an employee whose job performance and productivity is
consistently above that normally expected or required. 

(c)  Provides that if the employee's salary group is divided into steps, a
merit increase involves an increase in the employee's salary to a higher
step rate in the same salary group.  Provides that if the employee's salary
group is not divided into steps by the General Appropriations Act, a merit
increase involves an increase in an employee's salary to a higher rate
within the range of the same salary group. 

(d)  Authorizes an employee to be awarded a merit salary increase subject
to certain conditions. 

(e)  Requires the comptroller to prescribe accounting and reporting
procedures as necessary to ensure that information reflecting each state
agency's use of merit salary increases is available. 

(f)  Provides that a state agency that awards merit salary increases should
apply merit  salary increases throughout the range of classified salary
groups used by the agency. 

Sec. 659.256.  PROMOTIONS.  (a)  Provides that this section only to
positions classified under the state's position classification plan. 

(b)  Specifies that a promotion is an employee's change in duty assignment
within a state agency from one classified position to another classified
position that is in a salary group with a higher minimum salary rate,
requires higher qualifications, such as greater skill or longer experience,
and involves a higher level of responsibility. 

(c)  Sets forth the salary rate for the promoted employee. Authorizes the
state agency administrator to set the employee's annual rate at a higher
rate not to exceed the maximum rate of the new salary group. 

Sec. 659.257.  DEMOTIONS. Applies this section only to positions classified
under the state's position classification plan.  Specifies that a demotion
is an employee's change in duty assignment within a state agency from one
classified position to another classified position that is in a salary
group with a lower minimum salary rate.  Sets forth the salary rate for a
demoted employee. Provides that a state agency is not required to reduce
the employee's salary if: 

_the employee accepts a position in another classification in a salary
group with a lower minimum salary rate in lieu of a layoff under a
reduction in force; or 

_the employee applied for and is selected for another position in a
classification in a salary group with a lower minimum salary rate. 

Sec. 659.258.  SALARY REDUCTION FOR DISCIPLINARY REASONS.   Applies this
section only to positions classified under the state's position
classification plan. Authorizes the administrative head of a state agency
to reduce an employee's salary for disciplinary reasons, if warranted by
the employee's performance, to a rate in the employee's designated salary
group not lower than the minimum rate.  Authorizes the agency to, as the
employee's performance improves, restore the employee's pay to any rate
that does not exceed the employee's prior salary rate without accounting
for the restoration as a merit salary increase. 

Sec. 659.259.  SALARY LIMITED TO MAXIMUM GROUP RATE.  Provides that this
section applies only to positions classified under the state's position
classification plan.  Prohibits a salary adjustment authorized by this
subchapter from resulting in an employee's receiving an annual salary that
exceeds the maximum rate of the salary group to which the employee's
position is allocated. 

Sec. 659.260.  TEMPORARY ASSIGNMENT.  Provides that this section applies
only to an employee whose permanent position is classified under the
state's position classification plan. Authorizes an employee to  be
temporarily assigned to other duties for a period not to exceed six months,
and to receive during the period of reassignment the appropriate rate of
pay for the temporary position if the temporary position is classified in a
salary group with a higher minimum salary rate, to facilitate a state
agency's work during an emergency or other special circumstance. Prohibits
an employee from being assigned temporary duties under this section for
more than six months during a twelve-month period.  Authorizes an employee
temporarily designated to act as the administrative head of a state agency
to continue to receive a salary for a classified position in an amount not
to exceed the amount established by the General Appropriations Act for the
administrative head of the agency. Prohibits the state agency from awarding
a merit salary increase to the employee, promoting or demoting the
employee, or reducing the employee's salary, while the  employee is
temporarily assigned under this section. 

Sec. 659.261.  SALARY CAP.  (a)  Prohibits the maximum amount a state
agency spends for merit salary increases in and promotions to classified
positions during a fiscal year from exceeding,  without the written
approval of the budget division of the governor's office and  the
Legislative Budget Board, the amount computed by multiplying the total
amount spent by the agency in the preceding fiscal year for classified
salaries times the percentage set by the General Appropriations Act for
purposes of this computation. 

(b)  Requires the maximum amount that to be spent for merit salary
increases in and promotions to classified positions to be computed
separately for each year of the state fiscal biennium. Provides that merit
salary increases and promotions awarded in the first fiscal year of a
biennium do not count against the maximum amount that may be spent for
those increases in the second fiscal year of that biennium. 

(c)  Provides that money spent to pay a salary increase for an employee who
is promoted to a classified position title counts against the limitation
prescribed by this section only if, as a result of the promotion, the
number of agency employees in that position title exceeds the maximum
number of agency employees who have been in that position title at any time
during the preceding six-month period. 

(d)  Provides that a request to exceed the limitation prescribed by this
section must be submitted by the governing body of the agency, or by the
head of the agency if the agency is not governed by a multimember governing
body, and must include certain information. 

(e)  Requires the comptroller to prescribe accounting and reporting
procedures necessary to ensure that the amount spent for merit salary
increases and promotions does not exceed the limitations established by
this section. 

SECTION 17. Amends Section 661.033(c), Government Code, to prohibit payment
under this section (Payment for Vacation and Sick Leave) from being for
more than one-half of the state employee's accumulated sick leave or 336
hours of sick leave, whichever is less. 

SECTION 18.  Amends Section 661.062, Government Code, by amending
Subsections (a) and (b) and adding Subsection (f), as follows: 

(a)  Entitles a state employee who, at any time during the employee's
lifetime, has accrued six months of continuous state employment and who
resigns, is dismissed, or otherwise separates from state employment is
entitled to be paid for the accrued balance of the employee's vacation time
as of the date of separation, if the individual is not reemployed by the
state in a position under which the employee accrues vacation leave during
the 30-day period immediately following the date of separation from state
employment. Makes nonsubstantive changes. 

(b)  Provides that a separation from state employment includes a separation
in which the employee leaves one state agency to begin working for another
state agency, if one or more workdays occur between the two employments and
the individual is not reemployed by the state in a position under which the
employee accrues vacation leave during the 30-day period immediately
following the date of separation from state employment. 

(f)  Provides that payment for accrued vacation leave for employees of the
legislative branch, including employees of the lieutenant governor, is
determined  for employees of either house of the legislature, a member of
the legislature, or the lieutenant governor, by the presiding officer of
the appropriate house of the legislature; and  for employees of a
legislative agency, by the administrative head of the agency. 
 
SECTION 19.  Amends Chapter 661, Government Code, by amending Subchapter F
and adding Subchapters G and Z, as follows: 

SUBCHAPTER F.  New title: GENERAL PROVISIONS FOR VACATION  LEAVE 
FOR STATE EMPLOYEES

Sec. 661.151.   New title: STATE AUDITOR INTERPRETATION.  Requires the
state auditor to provide a uniform interpretation of this subchapter and
Subchapters G and Z.  Requires the state auditor to report to the governor
and the legislature any state agency or institution of higher education
that practices exceptions to those laws. 

Sec. 661.152.  ENTITLEMENT TO ANNUAL VACATION LEAVE.  (a) Entitles a state
employee to a vacation in each fiscal year without a deduction in salary,
except for:  

(1) certain state employees of an institution of higher education as
defined by Section 61.003, Education Code; 

(2)   a state employee who is a faculty member employed for a period of
fewer than 12 months by an institution of higher education as defined by
Section 61.003, Education Code; or 

(3)   a state employee who is an instructional employee employed for a
period of fewer than 12 months by the Texas School for the Blind and
Visually Impaired or the Texas School for the Deaf. 

(b)  Provides that the amount of vacation accrues and may be taken in
accordance with this subchapter. 

(c)  Establishes that a part-time employee accrues vacation leave on a
proportionate basis. Provides that the maximum amount of vacation leave a
part-time employee may carry forward from one fiscal year to the next is
also on a proportionate basis. 

(d)  Provides that an employee accrues vacation leave and may carry
vacation leave forward from one fiscal year to the next in accordance with
the schedule set forth in this subsection. 

(e)  Provides that an employee accrues vacation leave at the applicable
rate beginning on the first day of state employment and ending on the last
day of state employment. Provides that an employee accrues and is entitled
to be credited for one month's vacation leave for each month of employment
with the state beginning on the first day of employment with the state and
on the first calendar day of each succeeding month of state employment.
Provides that an employee who is employed by the state during any part of a
calendar month accrues vacation leave entitlement for the entire calendar
month. 

(f)  Prohibits an employee from taking vacation leave until the employee
has six months of continuous employment with the state, although the
employee accrues vacation leave during that period. 

(g)  Provides that if an employee's state employment anniversary date
occurs on the first calendar day of a month, the employee begins to accrue
vacation leave at a higher rate in accordance with Subsection (d) on the
first calendar day of the appropriate month, otherwise, the employee begins
to accrue vacation leave at the higher rate on the first calendar day of
the month following the anniversary date.  Provides that an employee who
begins working on the first workday of a month in a position that accrues
vacation leave is considered to have begun working on the first calendar
day of the month for purposes of this subsection. 

(h) Entitles an employee to carry forward from one fiscal year to the next
the net balance of unused accumulated vacation leave that does not exceed
the maximum number of hours allowed under Subsection (d).  Requires all
hours of unused accumulated vacation leave that may not be carried forward
at the end of a fiscal year under this subsection and Subsection (d) to be
credited to the employee's sick leave balance on the first day of the next
fiscal year. 

(i)  In computing the amount of vacation leave taken, time during which an
employee is excused from work because of a holiday is not charged against
the employee's vacation leave. 
 
(j)  Prohibits an employee who is on paid leave on the first workday of a
month from taking vacation leave accrued for that month until the employee
has returned to duty. 

(k)  Entitles certain individual who are reemployed  by any state agency to
reinstatement of the unused balance of the employee's previously accrued
vacation leave. 

Sec. 661.153.  TRANSFER OF VACATION LEAVE BALANCE.  Entitles a state
employee who transfers directly from one state agency to another to credit
by the agency to which the employee transfers for the unused balance of the
employee's accumulated vacation leave, if the employee's employment with
the state is uninterrupted and if the employee is not paid for the leave
under Section 661.062. 

Sec. 661.154.  VACATION LEAVE FOR LEGISLATIVE EMPLOYEES.  Specifies that
vacation leave for employees of the legislative branch, including employees
of the lieutenant governor, is determined for employees of either house of
the legislature, a member of the legislature, or the lieutenant governor,
by the presiding officer of the appropriate house of the legislature; and
for employees of a legislative agency, by the administrative head of the
agency. 

SUBCHAPTER G.  GENERAL PROVISIONS FOR SICK LEAVE FOR 
STATE EMPLOYEES

Sec. 661.201.  APPLICABILITY.  Specifies that sick leave for employees of
the legislative branch, including employees of the lieutenant governor, is
determined  for employees of either house of the legislature, a member of
the legislature, or the lieutenant governor, by the presiding officer of
the appropriate house of the legislature; and for employees of a
legislative agency, by the administrative head of the agency.  Provides
that an employee of an institution of higher education is eligible to
accrue or take paid sick leave under this subchapter only if the employee
is employed to work at least 20 hours per week for a period of at least
four and one-half months; and is not employed in a position for which the
employee is required to be a student as a condition of the employment. 

Sec. 661.202. ENTITLEMENT TO SICK LEAVE; GENERAL PROVISIONS AND PROCEDURES.
(a) Entitles a state employee to sick leave without a deduction in salary
in accordance with this subchapter. 

(b) Provides that an employee accrues sick leave beginning on the first day
of state employment and ending on the last day of state employment.
Entitles an employee to be credited for one month's accrual of sick leave
at the rate specified by Subsection (c) for each month of employment with
the state beginning on the first day of employment with the state and on
the first calendar day of each succeeding month of state employment. 

(c)  Provides that sick leave entitlement for a full-time employee accrues
at the rate of eight hours for each month of state employment.  Provides
that a part-time employee accrues sick leave on a proportionate basis.
Provides that an employee who is employed by the state during any part of a
calendar month accrues sick leave entitlement for the entire calendar
month.  Establishes that sick leave accumulates with the unused amount of
sick leave carried forward each month. 

(d)  Authorizes sick leave with pay to be taken when sickness, injury, or
pregnancy and confinement prevent the employee's performance of duty or
when the employee is needed to care for and assist a member of the
employee's immediate family who is sick. Specifies certain persons who are
considered to be members of the employee's immediate family for purposes of
taking regular sick leave with pay.   
  
(e)  Provides that an employee's use of sick leave to care for and assist
members of the employee's family who are not described by Subsection (d) is
strictly limited to the time necessary to provide care and assistance to a
spouse, adult child, or parent of the  employee who needs the care and
assistance as a direct result of a documented medical condition. 

(f)  Requires an employee who must be absent from duty because of sickness,
injury, or pregnancy and confinement to notify the employee's supervisor or
have the supervisor notified of that fact at the earliest practicable time. 

(g)  Requires an employee absent due to sickness, injury, or pregnancy and
confinement, to be eligible to take accumulated sick leave without a
deduction in salary during a continuous period of more than three working
days, to send to the administrative head of the employing agency a doctor's
certificate showing the cause or nature of the condition or another written
statement of the facts concerning the condition that is acceptable to the
administrative head.  Authorizes the administrative head of an agency to
require a doctor's certificate or other written statement of the facts for
sick leave without a deduction in salary taken during a continuous period
of three or fewer working days. 

(h)  Requires the employee, on returning to duty after taking sick leave,
to complete the prescribed application for sick leave and send the
application without delay in the manner prescribed by the agency to the
appropriate authority for approving the application. 

(i)  Authorizes the administrative head of an agency that is in compliance
with Subsection (j) to authorize an exception to the amount of sick leave
an employee may take after a review of the individual's particular
circumstances.  Requires a statement of all authorized exceptions and the
reasons for the exceptions to be attached to the state agency's duplicate
payroll voucher for the payroll period affected by the authorized
exceptions. 

(j)  Requires a state agency to file a written statement with the state
auditor covering the policies and procedures for an extension of leave
under Subsection (i) and to make the statement available to all agency
employees. 

Sec. 661.203.  FACULTY AT INSTITUTIONS OF HIGHER EDUCATION.  Provides that
certain faculty  members must submit prescribed leave forms for all sick
leave the faculty member takes if the absence occurs during the normal
workday for regular employees, even if no classes are missed. 

Sec. 661.204.  TRANSFER OF SICK LEAVE BALANCE.  Entitles a state employee
who transfers directly from one state agency to another to credit by the
agency to which the employee transfers for the unused balance of the
employee's accumulated sick leave, if the employee's employment with the
state is uninterrupted. 

Sec. 661.205.  RESTORATION OF SICK LEAVE ON REEMPLOYMENT IN CERTAIN
CIRCUMSTANCES. (a) Entitles an employee who separates from employment with
the state under a formal reduction in force to have the employee's sick
leave balance restored if the employee is reemployed by the state within 12
months after the end of the month in which the employee separates from
state employment.   

(b) Entitles an employee who separates from employment with the state for a
reason other than that described by Subsection (a) to have the employee's
sick leave balance restored if: 

_the employee is reemployed by the same state agency or institution of
higher education within 12 months after the end of the month in which the
employee separates from state employment, but only if there has been a
break in employment with the state of at least 30 calendar days; or 

_the employee is reemployed by a different state agency or institution of
higher education within 12 months after the end of the month in which the
employee separates from state employment. 

 Sec. 661.206.   New title: PARENT-TEACHER CONFERENCE:  USE OF SICK LEAVE.  
SUBCHAPTER Z.  MISCELLANEOUS LEAVE PROVISIONS FOR 
STATE EMPLOYEES

Sec. 661.901.  APPLICABILITY.  (a)  Applies this subchapter only to a state
employee employed in the executive or judicial branch of state government. 

(b)  Provides that the leave policies for employees of the legislative
branch, including employees of the lieutenant governor, are determined for
employees of either house of the legislature, a member of the legislature,
or the lieutenant governor, by the presiding officer of the appropriate
house of the legislature; and  for employees of a legislative agency, by
the administrative head of the agency. 

(c)  Provides that an employee of an institution of higher education is
eligible to accrue or take paid leave under this subchapter only if the
employee is employed to work at least 20 hours per week for a period of at
least four and one-half months; and is not employed in a position for which
the employee is required to be a student as a condition of the employment. 

Sec. 661.902.  EMERGENCY LEAVE.  (a)  Entitles a state employee to
emergency leave without a deduction in salary because of a death in the
employee's family.  Provides that for the purposes of this subsection, the
death of the employee's spouse or of a parent, brother, sister,
grandparent, grandchild, or child of the employee or of the employee's
spouse is considered to be a death in the employee's family.  

(b) Authorizes the administrative head of an agency to determine that a
reason other than that described by this section is sufficient for granting
emergency leave and requires the administrative head of an agency to grant
an emergency leave to an employee who the administrative head determines
has shown good cause for taking emergency leave. 

Sec. 661.903.  NATIONAL GUARD EMERGENCY.  Entitles a state employee who is
called to active duty as a member of the Texas National Guard by the
governor because of an emergency to a leave of absence without a deduction
in salary in accordance with Section 431.0825. 

Sec. 661.904.  MILITARY LEAVE DURING NATIONAL EMERGENCY.   Entitles an
employee called to active duty during a national emergency to serve in a
reserve component of the armed forces of the United States to an unpaid
leave of absence.  Provides that the employee continues to accrue state
service credit for purposes of longevity pay while on military duty
described by Subsection (a)  but does not accrue vacation or sick leave
during that time. Specifies the employee retains any accrued vacation or
sick leave and is entitled to be credited with those balances on return to
state employment from military duty. 

Sec. 661.905.  VOLUNTEER FIREFIGHTERS.  Entitles a state employee who is a
volunteer firefighter to a leave of absence without a deduction in salary
to attend fire service training conducted by a state agency or institution
of higher education.  Prohibits leave without a deduction in salary under
this subsection from exceeding  five working days in a fiscal year.
Authorizes a state agency or institution of higher education to grant leave
without a deduction in salary to a volunteer firefighter for the purpose of
allowing the firefighter to respond to emergency fire situations if the
agency or institution has an established policy for granting that leave. 

Sec. 661.906.  FOSTER PARENTS.  Entitles a state employee who is a foster
parent to a child under the conservatorship of the Department of Protective
and Regulatory Services (DPRS) to a leave of absence without a deduction in
salary for the purpose of attending meetings held by the DPRS regarding the
child under the foster care of the employee; or an admission, review, and
dismissal meeting held by a school district regarding the child under the
foster care of the employee. 
 
Sec. 661.907.  RED CROSS DISASTER SERVICE VOLUNTEER. Authorizes a state
employee who is a certified disaster service volunteer of the American Red
Cross or who is in training to become such a volunteer to be granted leave
not to exceed 10 days each fiscal year to participate in specialized
disaster relief services for the American Red Cross without a deduction in
salary or loss of vacation time, sick leave, earned overtime credit, or
state compensatory time under certain conditions. Prohibits the number of
certified disaster service volunteers who are eligible for leave under this
section from exceeding 350 state employees at any one time during a fiscal
year.  Requires the division of emergency management in the governor's
office to coordinate the establishment and maintenance of the list of
eligible employees. Requires the American Red Cross to prepare a report for
the Legislative Budget Board stating the reasons for the request, not later
than the 60th day after the date the American Red Cross makes a request
under Subsection (a)(1). 

Sec. 661.908.  LEAVE RECORDS; TIME AND ATTENDANCE RECORDS. Requires the
administrative head or governing body of each state agency to require
certain information for each employee.   

Sec. 661.909.  LEAVE WITHOUT PAY; LEAVE OF ABSENCE.  (a) Authorizes a state
agency or institution of higher education to grant employees leave without
pay, including a leave of absence without pay, in accordance with this
section. 

(b)  Prohibits the duration of the leave from exceeding 12 months.

(c)   Provides that all accumulated paid leave entitlements must be used
before going on leave without pay status, except for disciplinary
suspensions, active military duty, and leave covered by workers'
compensation benefits.  Provides that sick leave must first be used only if
the employee is taking leave for a reason for which the employee is
eligible to take sick leave under Subchapter G. 

(d)   Provides that approval of the leave constitutes a guarantee of
reemployment at the conclusion of the specified leave period, subject to
fiscal constraints. 

(e)  Authorizes the administrative head of a state agency or institution of
higher education to grant exceptions to the limitations of this section if
the employee is taking the leave for certain reasons.  

(f)   Provides that a full calendar month during which an employee is on
leave without pay is not counted in computing  total state service for
purposes related to longevity pay or to the rate of accrual of vacation
leave, or continuous state service for purposes related to merit salary
provisions or vacation leave, except for an employee who returns to state
employment from military leave without pay under Section 661.904,. 

(g)  Provides that an employee does not accrue vacation or sick leave for a
full calendar month during which the employee is on leave without pay. 

(h)  Provides that a full or partial calendar month during which an
employee is on leave without pay does not constitute a break in continuity
of employment. 

Sec. 661.910.  ASSISTANCE DOG TRAINING FOR EMPLOYEES WITH A DISABILITY.
Entitles certain disabled state employees to a leave of absence without a
deduction in salary for the purpose of attending a training program to
acquaint the employee with an assistance dog to be used by the employee.
Prohibits the leave of absence provided by this section from exceeding 10
working days in a fiscal year. 

Sec. 661.911.  ADMINISTRATIVE LEAVE WITH PAY.   Authorizes the
administrative head of an agency to grant administrative leave without a
deduction in salary to an employee as a reward for outstanding performance
as documented by employee performance appraisals, in addition to employee
leave authorized elsewhere in this chapter.  Prohibits the  total amount of
administrative leave an employee may be granted under this section from
exceeding 32 hours during a fiscal year. 

Sec. 661.912.  FAMILY AND MEDICAL LEAVE ACT.  Entitles certain state
employees, to the extent required by federal law, to leave under the
federal Family and Medical Leave Act of 1993 (29 U.S.C. Section 2601 et
seq.).   Provides that the employee must first use all available and
applicable paid vacation and sick leave while taking leave under this
section, except that an employee who is receiving temporary disability
benefits or workers' compensation benefits is not required to first use
applicable paid vacation or sick leave while receiving those benefits. 

Sec. 661.913.  PARENTAL LEAVE FOR CERTAIN EMPLOYEES.  Provides that certain
state employees are eligible to take a parental leave of absence not to
exceed 12 weeks in accordance with this section. Provides that the employee
must first use all available and applicable paid vacation and sick leave
while taking the leave, and the remainder of the leave is unpaid. Specifies
that the leave authorized by this section is limited to, and begins on the
date of, the birth of a natural child of the employee or the adoption by or
foster care placement with the employee of a child younger than three years
of age. 

Sec. 661.914.  VOTING BY STATE EMPLOYEES.  Requires a state agency to allow
each agency employee sufficient time off, without a deduction in salary or
accrued leave, to vote in each national, state, or local election. 

SECTION 20.  Amends Subsection (b), Section 662.003, Government Code, to
delete, from the list of state holidays, every day on which an election is
held throughout the state.  Redesignates Subdivisions (8)-(9) as (7)-(8). 
 
SECTION 21.  Amends Subsection (a), Section 662.004, Government Code, to
require an institution of higher education as defined by Section 61.003,
Education Code, as well as a state agency to have enough employees on duty
during a state holiday to conduct the public business of the agency or
institution. 

SECTION 22. Amends Section 662.007, Government Code, by adding Subsection
(c), as follows: 
 
(c)  Authorizes an institution of higher education as defined by Section
61.003, Education Code, to allow an employee who is required to work on a
national or state holiday that does not fall on a Saturday or Sunday to
take compensatory time off in accordance with this section or to instead
pay the employee at the employee's regular rate of pay for that time if the
institution determines that allowing compensatory time off would disrupt
normal teaching, research, or other critical functions. 

SECTION 23.  Amends Subchapter A, Chapter 662, Government Code, by adding
Section 662.0072, as follows: 

Sec. 662.0072.  TRANSFERRING EMPLOYEE:  PAYMENT FOR HOLIDAY. Provides that,
if a state or national holiday that does not fall on a Saturday or Sunday
occurs between the dates that a state employee transfers from one state
agency to another without a break in service, the agency to which the
employee transfers is responsible for paying the employee for the holiday. 

SECTION 24.  Amends Section 662.011, Government Code, by amending
Subsection (a) and adding Subsection (c), as follows: 

(a)  Subjects the provision of this subsection, relating to holiday
schedule for institutions of higher education, to any applicable limitation
on the observance of holidays prescribed by the General Appropriations Act. 

(c)  Provides that an employee of the institution is eligible to take paid
holiday leave only if the employee is scheduled to work at least 20 hours
per week for a period of at least four and one-half months, and is not
employed in a position for which the employee is required to be  a student
as a condition of the employment. 

SECTION 25.  Amends Subtitle B, Title 6, Government Code, by adding Chapter
666, as follows: 

CHAPTER 666.  MULTIPLE EMPLOYMENTS WITH STATE

Sec. 666.001.  GENERAL PROVISIONS.  Applies this chapter to a person who is
or may become employed by more than one state agency or institution of
higher education. Prohibits a person who is employed by more than one state
agency or institution of higher education from receiving benefits from the
state that exceed the benefits provided for one full-time employee.
Provides that the person must be informed of the requirements of this
chapter before the person is employed by more than one agency or
institution. 

Sec. 666.002.  SEPARATE RECORDS REQUIRED. Provides that separate vacation
and sick leave records must be maintained for each employment. 

Sec. 666.003.  TRANSFER OF LEAVE BALANCES PROHIBITED.  Prohibits the
person's leave balances that were accrued under that employment from
transferring to the remaining employments, if the person separates from one
employment. 

Sec. 666.004.  ACCRUAL OF STATE SERVICE CREDIT.  Provides that the person
accrues state service credit for all purposes as if the person had only one
employment. 

Sec. 666.005.  GROUP INSURANCE CONTRIBUTION.  Provides that the total state
contribution toward the person's group insurance is limited to the amount
specified in the General Appropriations Act for a full-time active
employee. 

Sec. 666.006.  OVERTIME COMPENSATION.  Provides that overtime compensation
accrues for each employment independently of every other employment, except
as otherwise provided by this section.    Requires the employing agencies
and institutions of higher education to ensure that the person is
compensated for all combined time actually worked that exceeds 40 hours per
week in accordance with the overtime provisions of the federal law,  if the
person is subject to the overtime provisions of the federal Fair Labor
Standards Act of 1938 (29 U.S.C. Section 201 et seq.) in an employment.
Requires the agencies and institutions to cooperate to determine which
agency or institution is responsible for ensuring that the employee is
properly compensated according to those provisions. 

Sec. 666.007.  INFORMING EMPLOYER ABOUT MULTIPLE EMPLOYMENT. Provides that
the person must inform the person's employing state agencies or
institutions of higher education before accepting an additional employment
with another agency or institution. 

Sec. 666.008.  SPECIAL PROVISIONS FOR LEGISLATIVE AGENCIES.  Authorizes
the person to use paid leave from leave balances in all employments, and on
separating from one employment, leave balances accrued under that
employment will be transferred to the remaining employments, if a person's
multiple employment involves only legislative agencies and all employments
are less than full-time. 

Sec. 666.009.  SPECIAL PROVISIONS FOR UNIVERSITY SYSTEMS.  Authorizes
certain university systems to establish a policy that defines a person's
employment as the total hours the person is assigned to one component of
the system, or to all components of the system. Authorizes the policy to
apply to a person only if the person is employed by more than one
institution of higher education and all the employing institutions are
within the same university system. 

SECTION 26.  Sets forth a derivation table for provisions of the General
Appropriations Act that are codified in general law by other sections of
this Act, for information purposes only.  

SECTION 27.  Effective date: September 1, 1999.

 SECTION 28.  Emergency clause.