85R4609 KKR-D     By: Lucio III H.B. No. 2732       A BILL TO BE ENTITLED   AN ACT   relating to competitive and integrated employment of persons with   disabilities.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subchapter B, Chapter 62, Labor Code, is amended   by adding Section 62.058 to read as follows:          Sec. 62.058.  SUBMINIMUM WAGE SETTINGS; STATE FUNDING.   Beginning September 1, 2024, state funds may not be used for   services provided by, or to purchase goods from, an entity that   employs individuals with disabilities in subminimum wage settings,   including a community rehabilitation program, sheltered workshop,   or work activity center.          SECTION 2.  Subchapter B, Chapter 352, Labor Code, is   amended by adding Sections 352.060 and 352.061 to read as follows:          Sec. 352.060.  PLAN FOR REDUCTION OF FUNDING FOR CERTAIN   ENTITIES PROVIDING EMPLOYMENT AT SUBMINIMUM WAGES. (a) In this   section "community rehabilitation program," "individual with a   disability," "sheltered workshop," and "subminimum wage setting"   have the meanings assigned by Section 352.151.          (b)  Not later than September 1, 2020, the commission:                (1)  in consultation with the Health and Human Services   Commission, the Texas Education Agency, the comptroller, the   advisory committee established under Section 122.0057, Human   Resources Code, the Rehabilitation Council of Texas, and other   relevant state agencies and statewide organizations, shall adopt a   plan to phase out the use of state funds for services provided by,   and goods purchased from, an entity that employs individuals with   disabilities in subminimum wage settings, including a community   rehabilitation program, sheltered workshop, or work activity   center; and                (2)  shall submit the plan to the governor, lieutenant   governor, speaker of the house of representatives, and chairs of   the legislative committees with appropriate jurisdiction.          (c)  The plan adopted under this section must identify:                (1)  benchmarks and desired outcomes for each year of   the phaseout period;                (2)  the resources necessary to ensure that individuals   with disabilities:                      (A)  receive support according to the needs and   preferences of the individuals; and                      (B)  are employed in integrated settings,   regardless of the nature or severity of the individuals'   disabilities;                (3)  all federal and state funds, including funds   available under Medicaid, that may be used to assist individuals   with disabilities in obtaining competitive, integrated employment;   and                (4)  a system for tracking the employment outcomes of   individuals with disabilities, including tracking the:                      (A)  wages received by the individuals;                      (B)  unemployment rates of the individuals; and                      (C)  number of individuals moved from subminimum   wage settings to:                            (i)  competitive, integrated employment;   and                            (ii)  nonpaying activities.          (d)  Not later than September 1 of each year, the commission   shall submit to the governor, lieutenant governor, speaker of the   house of representatives, and chairs of the legislative committees   with appropriate jurisdiction a report on the development of the   plan required under this section. The report must include:                (1)  a description of the benchmarks and desired   outcomes identified in Subsection (c)(1) and the status of   achieving the benchmarks and outcomes; and                (2)  recommendations for funding and resources   necessary to implement the plan.          (e)  This section expires September 1, 2024.          Sec. 352.061.  WAGE STUDY. (a) In this section "individual   with a disability" has the meaning assigned by Section 352.151.          (b)  The commission, in consultation with relevant state   agencies, advisory committees, and organizations, shall conduct a   study concerning individuals with disabilities in this state who   are employed at or above minimum wage but below the federal   prevailing wage for employees who do not have a disability. The   study must address:                (1)  the number and demographics of individuals with   disabilities who earn at least minimum wage but less than the   federal prevailing wage for employees who do not have a disability;                (2)  to what extent the individuals with disabilities   are employed in integrated settings, as defined by 34 C.F.R.   Section 361.5;                (3)  the type of employment of individuals with   disabilities, including whether the individuals are employed under   federal AbilityOne contracts;                (4)  whether any changes in federal law or policy   regarding the payment of lower wages to individuals with   disabilities occur or are likely to occur after September 1, 2017,   and if so a description of those laws or policies; and                (5)  whether opportunities exist for individuals with   disabilities to obtain employment at similar rates of pay in   competitive work settings.          (c)  Not later than September 1, 2018, the commission shall   submit to the governor, lieutenant governor, speaker of the house   of representatives, and chairs of the legislative committees with   appropriate jurisdiction a report on the findings of the study   conducted under this section. The report must include   recommendations for increasing the employment of individuals with   disabilities in integrated work settings at competitive wages.          (d)  This section expires September 1, 2019.          SECTION 3.  Chapter 352, Labor Code, is amended by adding   Subchapter D to read as follows:   SUBCHAPTER D. COMPETITIVE WAGES AND INTEGRATED WORK SETTINGS FOR   INDIVIDUALS WITH DISABILITIES          Sec. 352.151.  DEFINITIONS. In this subchapter:                (1)  "Community rehabilitation program" has the   meaning assigned by Section 122.002, Human Resources Code.                (2)  "Individual with a disability" means any   individual who has a physical or mental impairment that constitutes   a substantial impediment to employment, or to achieving maximum   personal independence, but that is of a nature that rehabilitation   services may be expected to enable the individual to engage in a   gainful occupation or enable the individual to achieve a greater   level of self-care and independent living.                (3)  "Sheltered workshop" means an organization   described by Section 62.161.                (4)  "Subminimum wage setting" means an employment   environment in which persons with disabilities are segregated and   receive wages that are less than the federal minimum wage.          Sec. 352.152.  INDIVIDUAL PLAN FOR COMPETITIVE AND   INTEGRATED EMPLOYMENT. (a) The commission shall develop   processes for:                (1)  identifying all clients who are individuals with   disabilities and are employed in subminimum wage settings by an   entity that employs individuals with disabilities in subminimum   wage settings, including a community rehabilitation program,   sheltered workshop, or work activity center; and                (2)  creating an individual plan for competitive and   integrated employment for each client described by Subdivision (1)   that addresses moving the client into employment in an integrated   work setting at a competitive wage.          (b)  A counselor of a client identified by the commission as   an individual with a disability who is employed in a subminimum wage   setting as described by Subsection (a)(1) shall prepare for the   individual an individual plan for competitive and integrated   employment in the format prescribed by the commission.          (c)  An individual plan for competitive and integrated   employment must:                (1)  include a recommendation on the type of integrated   work environment that is most appropriate to meet the client's   needs based on the client's strengths, resources, priorities,   concerns, capabilities, interests, and informed choices;                (2)  identify the services, supports, and   accommodations necessary for the client's employment in the most   appropriate integrated work environment;                (3)  identify the barriers preventing the client from   receiving the necessary services, supports, and accommodations,   including:                      (A)  access to funding or necessary resources and   services;                      (B)  access to medical or behavioral support;                      (C)  decision-making by the individual or the   individual's representative, as appropriate; and                      (D)  family members' concerns about or opposition   to the client's employment in an integrated work environment;                (4)  include a plan for monitoring progress in   resolving the barriers identified in Subdivision (3); and                (5)  for a client employed in a subminimum wage   setting:                      (A)  establish a goal for the client to achieve a   specific employment outcome with the employer;                      (B)  include a description of the actions,   accommodations, and supports needed to achieve the client's goal;                      (C)  identify barriers to the client obtaining   competitive and integrated employment with the employer;                      (D)  establish a plan for monitoring the progress   toward achieving the client's goal; and                      (E)  establish goals and activities for the client   on days that work is not available or the client chooses not to   work.          (d)  A counselor shall involve the client, the client's   representative, if applicable, and the client's employer in   preparing and revising the individual plan. The counselor must use   appropriate communications devices and techniques to facilitate   the client's involvement in preparing and revising the individual   plan.          (e)  Annually or at the request of a client, the client's   counselor shall meet with the client to discuss the progress of the   client's goals under the individual plan and reevaluate the most   appropriate integrated work environment for the individual in   accordance with the Americans with Disabilities Act of 1990 (42   U.S.C. Section 12101 et seq.). The counselor shall document the   discussions held and recommendations made during the meeting.          Sec. 352.1521.  OUTCOMES OF INDIVIDUAL PLANS FOR COMPETITIVE   AND INTEGRATED EMPLOYMENT. (a) Not later than September 1 of each   year, the commission shall submit to the governor, lieutenant   governor, speaker of the house of representatives, and chairs of   the legislative committees with appropriate jurisdiction a report   summarizing by region and statewide the progress of commission   clients with individual plans for competitive and integrated   employment under Section 352.152, including de-identified   information about the:                (1)  wages received by the individuals;                (2)  unemployment rates of the individuals; and                (3)  number of individuals moved from subminimum wage   settings to:                      (A)  competitive, integrated employment; and                      (B)  nonpaying activities.          (b)  This section expires September 1, 2024.          Sec. 352.153.  REQUIRED NOTICE TO CLIENT. (a) A client's   counselor shall provide notice to the client that the client has the   right to:                (1)  choose the type of employment and employer the   client prefers; and                (2)  decide when to work.          (b)  At the time an individual with a disability begins   employment in a subminimum wage setting, the individual's employer   shall provide information about all opportunities to obtain   competitive, integrated employment with the employer.          SECTION 4.  Not later than March 1, 2018, the Texas Workforce   Commission shall adopt rules necessary to implement Subchapter D,   Chapter 352, Labor Code, as added by this Act.          SECTION 5.  If before implementing any provision of this Act   a state agency determines that a waiver or authorization from a   federal agency is necessary for implementation of that provision,   the agency affected by the provision shall request the waiver or   authorization and may delay implementing that provision until the   waiver or authorization is granted.          SECTION 6.  This Act takes effect September 1, 2017.