1-1           By:  Ellis, et al.                               S.B. No. 211

 1-2           (In the Senate - Filed January 15, 1997; January 16, 1997,

 1-3     read first time and referred to Committee on Finance;

 1-4     February 12, 1997, reported adversely, with favorable Committee

 1-5     Substitute by the following vote:  Yeas 13, Nays 0;

 1-6     February 12, 1997, sent to printer.)

 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 211                    By:  Lucio

 1-8                            A BILL TO BE ENTITLED

 1-9                                   AN ACT

1-10     relating to the establishment and operation of the Texas child care

1-11     fund.

1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-13           SECTION 1.  Subtitle B, Title 4, Labor Code, is amended by

1-14     adding Chapter 308 to read as follows:

1-15                     CHAPTER 308.  TEXAS CHILD CARE FUND

1-16           Sec. 308.001.  DEFINITION.  In this chapter, "fund" means the

1-17     Texas child care fund.

1-18           Sec. 308.002.  TEXAS CHILD CARE FUND.  (a)  The Texas child

1-19     care fund is an account in the general revenue fund consisting of

1-20     state appropriations and money donated to the state by local

1-21     governments, businesses, nonprofit organizations, or other persons

1-22     for child care services.

1-23           (b)  Money in the fund shall be used to provide child care

1-24     services in a manner that maximizes the state's entitlement to

1-25     receive federal matching money.

1-26           Sec. 308.003.  ADMINISTRATION AND PROMOTION OF FUND.

1-27     (a)  The commission, with assistance from the advisory board

1-28     appointed under Section 308.004, shall:

1-29                 (1)  administer the fund;

1-30                 (2)  solicit donations to the fund from all appropriate

1-31     sources, including local governments, businesses, and nonprofit

1-32     organizations;

1-33                 (3)  distribute money in the fund to provide child care

1-34     services; and

1-35                 (4)  aggressively promote public awareness of the fund

1-36     and the need for donations to provide adequate child care services

1-37     in this state.

1-38           (b)  To encourage local child care planning and local

1-39     participation in meeting matching requirements for state

1-40     entitlement to federal child care funding, the commission shall use

1-41     donated purchase agreements when appropriate.

1-42           (c)  The commission shall ensure that a local government that

1-43     donates money to the fund receives child care services in the

1-44     geographical area served by the local government of a value at

1-45     least equal to the amount of money donated by the local government.

1-46           (d)  The commission may adopt rules necessary for the

1-47     administration and promotion of the fund.

1-48           Sec. 308.004.  ADVISORY BOARD.  (a)  The commission shall

1-49     appoint a permanent advisory board to assist and monitor the

1-50     commission in administering and promoting the fund.  The advisory

1-51     board shall include:

1-52                 (1)  representatives from:

1-53                       (A)  the commission;

1-54                       (B)  the office of the comptroller;

1-55                       (C)  the Texas Department of Human Services;

1-56                       (D)  the Department of Protective and Regulatory

1-57     Services;

1-58                       (E)  businesses and business organizations; and

1-59                       (F)  nonprofit organizations; and

1-60                 (2)  at least one consumer of child care services.

1-61           (b)  The advisory board shall periodically evaluate the

1-62     operation of the fund and make recommendations to the commission on

1-63     the administration and promotion of the fund.

1-64           (c)  A member of the advisory board serves at the will of the

 2-1     commission.

 2-2           (d)  The advisory board is subject to Article 6252-33,

 2-3     Revised Statutes, other than Section 8 of that article.

 2-4           SECTION 2.  Subchapter D, Chapter 301, Labor Code, is amended

 2-5     by adding Section 301.067 to read as follows:

 2-6           Sec. 301.067.  CHILD CARE MARKET SURVEY; COMPENSATION RATE.

 2-7     (a)  The commission shall ensure that a biennial survey is

 2-8     conducted to determine the local market rates of child care

 2-9     services provided throughout the state.

2-10           (b)  Unless prohibited by federal law or regulations, a

2-11     provider of child care services that is reimbursed under a program

2-12     administered by the commission shall be reimbursed at a rate that

2-13     is the lesser of the provider's published rate to the general

2-14     public or the 75th percentile of the local market rate in the

2-15     provider's geographic area.

2-16           SECTION 3.  Subsection (b), Section 301.067, Labor Code, as

2-17     added by this Act, does not apply to child care services provided

2-18     under a contract entered into by a child care provider before the

2-19     effective date of this Act.

2-20           SECTION 4.  The Texas Workforce Commission shall appoint the

2-21     advisory board required by Section 308.004, Labor Code, as added by

2-22     this Act, not later than October 1, 1997.

2-23           SECTION 5.  The importance of this legislation and the

2-24     crowded condition of the calendars in both houses create an

2-25     emergency and an imperative public necessity that the

2-26     constitutional rule requiring bills to be read on three several

2-27     days in each house be suspended, and this rule is hereby suspended,

2-28     and that this Act take effect and be in force from and after its

2-29     passage, and it is so enacted.

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