89R3440 JBD-F     By: Vasut H.B. No. 1659       A BILL TO BE ENTITLED   AN ACT   relating to the payment of employment compensation to state   employees.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 659.081, Government Code, is amended to   read as follows:          Sec. 659.081.  STATE OFFICERS: PAYMENT ONCE A MONTH. Except   as provided by [this subchapter or] the General Appropriations Act,   annual salaries for state officers [and employees] shall be paid   once a month.          SECTION 2.  Section 659.082, Government Code, is amended to   read as follows:          Sec. 659.082.  STATE EMPLOYEES: PAYMENT TWICE A MONTH.   Except as provided by the General Appropriations Act, annual   salaries for state employees shall [(a) An employee is entitled to]   be paid [employment compensation] twice a month [if:                [(1) the employee is employed by:                      [(A) the Texas Department of Mental Health and   Mental Retardation;                      [(B) the Texas Department of Transportation;                      [(C) the Texas Department of Human Services;                      [(D) the Texas Workforce Commission;                      [(E) the Department of Public Safety; or                      [(F) any other state agency designated by the   comptroller;                [(2) the employee holds a classified position under the   state's position classification plan;                [(3) the employee's position is classified below salary   group A12 under classification salary Schedule A in the General   Appropriations Act;                [(4) the employing state agency satisfies the   comptroller's requirements relating to the payment of compensation   twice a month; and                [(5) at least 30 percent of the eligible employees of   the agency choose to be paid twice a month].          [(b)  Employees of an institution of higher education as   defined by Section 61.003, Education Code, may be paid twice a month   at the election of the employing institution of higher education.]          SECTION 3.  Sections 659.083(a) and (b), Government Code,   are amended to read as follows:          (a)  The [Except as provided by Subsection (b), the]   comptroller may not pay the salary of a state officer [or employee]   before the first working day of the month following the payroll   period.          (b)  The comptroller may not pay the salary of a state   employee before [shall pay an employee who is paid twice a month   under Section 659.082 on]:                (1)  the first working day of the month following the   payroll period that covers the last half of the preceding month; and                (2)  the 15th day of the month or the first working day   after the 15th for the payroll period that covers the first half of   the month.          SECTION 4.  Section 659.084, Government Code, is amended to   read as follows:          Sec. 659.084.  ELECTRONIC FUNDS TRANSFER.  Salaries for   state officers and employees [paid once a month] shall be paid   through electronic funds transfer under Section 403.016 unless paid   on warrant as permitted under that section.          SECTION 5.  Section 659.085(d), Government Code, is amended   to read as follows:          (d)  An agency that may contract with its employees for   employment for less than a 12-month period may make equal [monthly]   salary payments under the contract during the contract period or   during the fiscal year in accordance with the General   Appropriations Act and equitable rules adopted by the comptroller,   provided that the salary payments are made twice a month to the   employees.          SECTION 6.  Section 825.405(c), Government Code, is amended   to read as follows:          (c)  Monthly, employers shall:                (1)  report to the retirement system in a form   prescribed by the system a certification of the total amount of   salary paid above the statutory minimum salary and the total amount   of employer contributions due under this section for the [payroll]   period covered by the report; and                (2)  retain information, as determined by the   retirement system, sufficient to allow administration of this   section, including information for each employee showing the   applicable minimum salary as well as aggregate annual compensation.          SECTION 7.  Section 825.407(c), Government Code, is amended   to read as follows:          (c)  The designated disbursing officer of each general   academic teaching institution and the designated disbursing   officer of each medical and dental unit shall:                (1)  submit to the retirement system, at a time and in   the manner prescribed by the retirement system, a monthly report   containing a certification of the total amount of salary paid from   noneducational and general funds and the total amount of employer   contributions due under this section for the [payroll] period   covered by the report; and                (2)  maintain and retain the following information:                      (A)  the name of each member employed by the   institution or unit who, for the [most recent payroll] period   covered by the report, was paid wholly or partly from   noneducational and general funds;                      (B)  the amount of the employee's salary for the   [most recent payroll] period covered by the report that was paid   from noneducational and general funds; and                      (C)  any other information the retirement system   determines is necessary to administer this section.          SECTION 8.  Section 825.4071(c), Government Code, is amended   to read as follows:          (c)  The designated disbursing officer of each public junior   college and each public junior college district shall:                (1)  submit to the retirement system, at a time and in   the manner prescribed by the retirement system, a monthly report   containing a certification that includes:                      (A)  the total amount of compensation paid;                      (B)  the total amount of employer contributions   due under this section for the [payroll] period covered by the   report; and                      (C)  any other information the retirement system   determines is necessary to administer this section; and                (2)  maintain and retain the following information:                      (A)  the name of each member employed by the   public junior college or public junior college district;                      (B)  the amount of the member's salary for the   [most recent payroll] period covered by the report;                      (C)  whether the member is a qualifying employee   under Section 825.404(a-1)(1); and                      (D)  any other information the retirement system   determines is necessary to administer this section.          SECTION 9.  A state agency may adopt rules to implement this   Act.          SECTION 10.  The changes in law made by this Act apply only   to the payment of compensation to a state employee for services   provided by the employee on or after September 1, 2025. The payment   of compensation to a state employee for services provided by the   employee before September 1, 2025, is governed by the law in effect   on the date the employee provided the services, and the former law   is continued in effect for that purpose.          SECTION 11.  This Act takes effect September 1, 2025.