TITLE 40.SOCIAL SERVICES AND ASSISTANCE

Part 20. TEXAS WORKFORCE COMMISSION

Chapter 811. CHOICES

The Texas Workforce Commission (Commission) adopts the following new sections, without changes, to Chapter 811, relating to Choices, as published in the November 24, 2006, issue of the Texas Register (31 TexReg 9576):

Subchapter C, Choices Services, §§811.29 - 811.34

The Commission adopts amendments, without changes, to the following sections of Chapter 811, relating to Choices, as published in the November 24, 2006, issue of the Texas Register (31 TexReg 9576):

Subchapter A, General Provisions, §§811.1 - 811.3

Subchapter B, Choices Services Responsibilities, §§811.11 - 811.16

Subchapter C, Choices Services, §§811.21, 811.23 - 811.26, 811.28

Subchapter D, Choices Work Activities, §§811.42 - 811.45, 811.47, 811.48, 811.50 and 811.51

Subchapter E, Support Services and Other Initiatives, §§811.65 - 811.67

The Commission adopts amendments, with changes, to the following section of Chapter 811, relating to Choices, as published in the November 24, 2006, issue of the Texas Register (31 TexReg 9576)

Subchapter C, Choices Services, §811.22 and §811.27

Subchapter D, Choices Work Activities, §§811.41, 811.46, and 811.49

Subchapter E, Support Services and Other Initiatives, §811.61 and §811.62

The Texas Workforce Commission (Commission) adopts the repeal of the following sections of Chapter 811, relating to Choices, as published in the November 24, 2006, issue of the Texas Register (31 TexReg 9576):

Subchapter C, Choices Services, §§811.29 - 811.32

Subchapter D, Choices Work Activities, §811.52

PART I. PURPOSE, BACKGROUND, AND AUTHORITY

The purpose of this amendment is to implement the regulatory requirements issued by the United States Health and Human Services Department (DHHS). The interim final regulations (interim regulations) issued by DHHS contain new provisions related to Temporary Assistance for Needy Families (TANF) work activities. In addition, technical changes are needed for clarification and consistency throughout Chapter 811.

In February 2006, the Deficit Reduction Act (DRA) of 2005 reauthorized the TANF program. In addition to providing ongoing funding for TANF, DRA also changes several provisions in law related to TANF work participation. DRA directed DHHS to issue regulations regarding:

--allowable work activities;

--verification, documentation, and internal control procedures; and

--inclusion of certain child-only cases in the calculation of work participation rates.

On June 29, 2006, DHHS issued its interim regulations ( Federal Register , Volume 71, Number 125), which provide definitions for each allowable work activity including additional provisions for supervision, verification, and documentation for each allowable work activity.

The interim regulations also introduce a new term-- work-eligible individuals --defined as parents who are included in the calculation of work participation rates. The new definition adds certain child-only cases to the calculation of federal work participation rates. Modification of current definitions and addition of new definitions to identify individuals eligible for or participating in Choices services are proposed to simplify and clarify the Choices service delivery for the Local Workforce Development Boards (Boards).

The interim regulations became effective on October 1, 2006, and Boards were informed of the major changes affecting Choices services prior to proposed amendments to Chapter 811. Boards have been advised to provide Choices services within the parameters of the interim regulations when provisions of Chapter 811 are not supported by the interim regulations. While there may be more stringent requirements under this chapter, the Commission's intent is to provide the Boards the same flexibility offered under the interim regulations.

In addition to the changes made to comply with the interim regulations and to align the rules with other current federal regulations, technical changes are made to:

--simplify and clarify rule language;

--update terminology and definitions;

--remove obsolete provisions; and

--update statutory citations.

PART II. EXPLANATION OF INDIVIDUAL PROVISIONS WITH COMMENTS AND RESPONSES

SUBCHAPTER A. GENERAL PROVISIONS

The Commission adopts amendments to Subchapter A, as follows:

§811.2. Definitions.

Section 811.2(2), the definition of "TDHS - The Texas Department of Human Services," is removed. TDHS is now part of the Texas Health and Human Services Commission (HHSC) and is defined in §811.2(8). References to TDHS are changed throughout this chapter to reflect this name change.

Section 811.2(2) replaces the term "Choices individual" with "Choices eligible" to clarify which individuals are eligible to receive Choices services.

New §811.2(3) adds a definition for Choices participant. Section 811.2(3)(A) defines an "exempt Choices participant" as an adult or teen head of household who is not required under Texas Human Resources Code, Chapter 31 and HHSC rules (1 TAC, Chapter 372, Texas Works) to participate in Choices services, but may volunteer to participate. Section 811.2(3)(B) defines a "mandatory Choices participant" as an adult or teen head of household, including extended TANF recipients, conditional applicants, and sanctioned families, as defined in this section, who are required under HHSC rules to participate in Choices services. The intent of consolidating these definitions is to simplify language throughout the rules and to distinguish between those individuals who are eligible for Choices services--i.e., Choices eligibles--and those individuals who are participating in Choices services--i.e., Choices participants.

New §811.2(5) clarifies the definition of Earned Income Deduction (EID). Individuals who are working and receiving TANF cash assistance can receive the EID regardless of how many hours they work or how much they earn. Current language in Chapter 811 does not differentiate between individuals who receive the EID and are working fewer than 30 hours per week and individuals who are employed 30 hours per week or more. Specific exclusions or responsibilities listed throughout Chapter 811 for "EID individuals" are applicable only to those individuals coded by HHSC as working 30 hours per week, earning at least $700 per month, and receiving EID.

Section 811.2(6), the definition of mandatory individual, is removed. Section 811.2(3), the definition of Choices participant, includes mandatory individuals.

New §811.2(6) clarifies that the 60-month time limit for TANF cash assistance is federally imposed.

Section 811.2(10) removes references to exempt and mandatory recipients from the definition of "recipient." These references are now found in §811.2(3)(A) and §811.2(3)(B), relating to the definition of a Choices participant. The definition of recipient retains the prior references to an extended TANF recipient or former recipient formerly set forth in §811.2(8)(B) and §811.2(8)(C), which now are separate definitions set forth in §811.2(6) and §811.2(7).

Certain paragraphs in §811.2 have been renumbered to accommodate additions or deletions.

§811.3. Choices Services Strategy.

Section 811.3(c)(2)(D)(i) clarifies that Choices eligibles authorized to receive post-employment services include mandatory Choices participants coded by HHSC as working at least 30 hours per week, earning at least $700 per month, and receiving the EID.

Section 811.3(c)(7)(B) adds the term "federal" to clarify that the 60-month TANF time limit for TANF cash assistance is federally imposed.

SUBCHAPTER B. CHOICES SERVICES RESPONSIBILITIES

The Commission adopts amendments to Subchapter B, as follows:

§811.11. Board Responsibilities.

Section 811.11(a)(2) specifies that applicants and conditional applicants have 10 days from the date of their eligibility interview to attend a Workforce Orientation for Applicants (WOA).

Section 811.11(a)(3)(A) specifies that applicants and conditional applicants are informed of employment services available while attending a WOA.

Section 811.11(c) replaces the term "recipient status" with the term "a Choices participant's eligibility" for better clarification.

Section 811.11(f) clarifies that Choices eligibles authorized to receive post-employment services include mandatory Choices participants coded by HHSC as working at least 30 hours per week, earning at least $700 per month, and receiving the EID.

Section 811.11(g) adds the phrase "unless otherwise specified in this chapter," to specify that additional criteria for monitoring and tracking work requirements may be specified throughout the chapter.

Section 811.11(i) adds verification of participation hours in Choices as necessary data to be entered into The Workforce Information System of Texas (TWIST).

§811.13. Responsibilities of Choices Participants.

Section 811.13(b)(3) clarifies that Choices participants must report "actual" hours of participation as defined in §811.34. In addition, the term "component activities" is replaced with "Choices work activities" to provide consistent terminology throughout the chapter.

Section 811.13(c) and §811.13(d) replace the term "employment planning appointments" with the term "employment planning sessions" to provide consistent terminology throughout the chapter.

Section 811.13(e) states that mandatory Choices participants must be coded by HHSC as working at least 30 hours per week, earning at least $700 per month, and receiving the EID as related to their responsibility of reporting hours and receiving post-employment services.

§811.14. Noncooperation.

Section 811.14(a)(3) is reorganized as §811.14(b) to specify that for Choices participants who have not cooperated with work requirements and do not have good cause, a Board must ensure that a penalty is requested for mandatory Choices participants or a Board must terminate Choices services, including support services, for exempt Choices participants.

Section 811.14(d) clarifies that attempts to determine good cause for sanctioned families and conditional applicants must be made upon discovery of noncooperation during their demonstrated cooperation period.

Certain subsections in §811.14 have been renumbered to accommodate additions or deletions.

§811.15. Demonstrated Cooperation.

Section 811.15(a) replaces "one month" with "four consecutive weeks," relating to conditional applicants, to provide consistent terminology throughout the chapter.

§811.16. Good Cause for Choices Participants.

Section 811.16(b)(5) replaces the term "Responsibility Agreement" with "family employment plan" to provide consistent terminology throughout the chapter.

Section 811.16(c)(2) adds a new good cause reason for Choices participants who participate only to the extent determined able as supported by medical documentation but less than the required hours specified in this chapter.

Section 811.16(c)(4) replaces the term "household member" with the term "family member." The paragraph also specifies that a disabled family member does not attend school full time and Boards must ensure the need for care is supported by medical documentation.

Section 811.16(c)(5) adds a new good cause reason for those Choices participants who are caring for a disabled family member who attends school full time. The paragraph also stipulates that Boards must ensure the need for care is supported by medical documentation. Two separate good cause reasons are necessary to determine which Choices participants may be excluded from the calculation of federal work participation rates. Only those participants caring for a disabled family member who does not attend school full-time are disregarded in the calculation of federal work participation rates.

Section 811.16(c)(7)(B) - (C) remove the term "formal" to align the description of child care providers with the definition set forth in Chapter 809 of this title.

Section 811.16(c)(7)(D) replaces the term "formal or informal" with "appropriate" to align the good cause description with federal law.

Section 811.16(e)(4) is added to clarify that good cause and short-term excused absences are different types of determinations and must be established separately.

Certain paragraphs in §811.16 have been renumbered to accommodate additions or deletions.

SUBCHAPTER C. CHOICES SERVICES

The Commission adopts amendments to Subchapter C, as follows:

§811.21. General Provisions.

Sections 811.21(b)(1) - (3) are removed and relocated in new §811.29(a)(1) - (3) in order to list all provisions required by the Fair Labor Standards Act (FLSA) in one section.

§811.22. Assessment.

Section 811.22(b)(5) removes the phrase "or the need for parenting skills training" because HHSC requires Choices eligibles to attend a parenting skills class as part of their eligibility for TANF cash assistance.

Section 811.22(e)(1)(B) specifies that mandatory Choices participants must be coded by HHSC as employed to be excluded from the literacy assessment. Additionally, the requirement to provide literacy information to HHSC is removed because it is contained in §811.22(e)(2).

§811.23. Family Employment Plan.

Section 811.23(d)(3)(C) is modified to include substance abuse and mental health treatment as types of referrals for support services, as provided in the interim regulations.

Section 811.23(d)(4) is modified to state that individuals coded by HHSC as working at least 30 hours per week, earning at least $700 per month, and receiving the EID are not required to sign the family employment plan.

Section 811.23(e), which instructs Boards to enroll mandatory individuals in specific job readiness activities, is removed. The job readiness activities referenced in this subsection are no longer allowable work activities as defined in the interim regulations.

Certain subsections in §811.23 have been relettered to accommodate additions or deletions.

§811.24. Family Work Requirement Form for Two-Parent Families.

Section 811.24(2)(B) is modified to clarify that mandatory Choices participants must be coded by HHSC as employed 30 hours per week, earning at least $700 per month, and receiving the EID to be excluded from signing the Family Work Requirement.

§811.25. TANF Core and TANF Non-Core Activities.

Sections 811.25(a)(1)(A) - (H) are reordered to mirror the order of the activities in the interim regulations.

Section 811.25(a)(2)(C) is removed because parenting skills training is not an allowable federal work activity as specified in the interim regulations.

Section 811.25(d)(1) - (2), the work participation exceptions for two-parent families, are removed because these exclusions are not allowable in the calculation of federal work participation rates. Two-parent families receiving Commission-funded child care must participate in Choices activities an average of fifty-five hours per week regardless of good cause status.

§811.26. Special Provisions Regarding Community Service.

Section 811.26(a)(2) is removed and relocated in §811.29(b) in order to list all provisions required by FLSA in one section.

Certain subsections in §811.26 have been relettered to accommodate additions or deletions.

§811.27. Special Provisions Regarding Job Search and Job Readiness.

Section 811.27(b) removes the reference to job readiness activities in §811.41(d)(3)(A)(D) relating to activities associated with the health, safety, and welfare of families because these activities are no longer allowable under the interim regulations.

Section 811.27(d), which requires Boards to ensure Choices participants are continuously enrolled in specific job readiness activities listed in §811.41(d)(3), is removed. These job readiness activities related to the health, safety, and welfare of families are no longer allowable under the interim regulations.

Certain subsections in §811.27 have been relettered to accommodate additions or deletions.

§811.29. Special Provisions Regarding the Fair Labor Standards Act.

New §811.29(a) is added in order to list all provisions required by FLSA in one section. These provisions are relocated, with minor modifications, from removed §811.21(b)(1) - (3).

New §811.29(b) is added in order to list all provisions for FLSA-covered activities in one section. These provisions are relocated, with minor modifications, from removed §811.26(a)(2). In addition, new language is added stating that if a Choices participant's hours of community service or other unpaid work activity do not meet the core work activity requirement in §811.25(b) - (d), Boards must:

(1) enroll the Choices participant in additional core activities; or

(2) deem the remaining core hours as having met the core work activity requirement.

The Commission adds new §811.29(b)(2) to give Boards the option to deem core participation hours for Choices participants who cannot participate for their full core work activity hours in FLSA-covered activities. For example, a two-parent family with one child receives a maximum TANF benefit of $250 per month and a maximum Food Stamp benefit of $399 per month. The total TANF and Food Stamp benefits divided by the minimum wage allows the family to participate only 29 hours per week in FLSA-covered activities.

Two-parent families have a 30-hour per week core activity requirement if they do not receive subsidized child care; the requirement increases to 50 hours per week if they do receive subsidized child care. Under the current calculation of Choices participation, the two-parent family, if not receiving subsidized child care, must participate in an additional hour of core activities and five hours of non-core work activities to be counted as meeting the work participation requirement. If the two-parent family receives subsidized child care, the family must participate an additional 21 hours in core activities and five hours in non-core activities to be counted as meeting the work participation requirement.

Under the new deeming option, this two-parent family will count as meeting its core work participation requirement-with or without receiving subsidized child care--by participating the maximum of 29 hours allowed by FLSA requirements and participating 5 hours in non-core activities.

The deeming provision is allowed by the interim regulations as long as a state operates a mini-Simplified Food Stamp Program (mini-SFSP). Under the mini-SFSP, states must notify the Food and Nutrition Service (FNS) only of their intent to combine Food Stamp and TANF benefits when calculating participation hours for FLSA-covered activities. In previous guidance issued by the U.S. Department of Labor, states were given the option of combining Food Stamp and TANF benefits in the calculation of FLSA-covered work activities. Because this option always has been available in the Choices rules, the Commission submitted a letter to FNS requesting recognition as a state that operates a mini-SFSP in order to employ the deeming provision. FNS recently approved the Commission's request.

§811.30. Special Provisions for Teen Heads of Household.

New §811.30 sets out the provisions, with minor modifications, previously located in repealed §811.29.

§811.31. Special Provisions for Choices Participants in Single-Parent Families with Children under Age Six

New §811.31 sets out the provisions, with minor modifications, previously located in repealed §811.30.

§811.32. Special Provisions Regarding Exempt Choices Participants and Choices Participants with Reduced Work Requirements

New §811.32(a) and §811.32(b)(1) set out the provisions, with minor modifications, previously located in repealed §811.31(a) and §811.31(b).

New §811.32(b)(2) provides that Boards should not request a penalty for Choices participants with disabilities who participate to the extent determined able, as supported by medical documentation, but less than the required hours specified in the chapter.

New §811.32(b)(3) provides that Boards should not request a penalty for Choices participants caring for a disabled family member, as supported by medical documentation when the Choices participant participates to the extent able but less than the required hours specified in the chapter.

§811.33. Other Special Provisions.

New §811.33 sets out the provisions, without modifications, previously located in repealed §811.32(b) - (c). The provisions previously located in repealed §811.32(a), regarding counting participation hours for mandatory participants with disabilities or mandatory participants caring for a disabled family member, are no longer included in this chapter because this method of calculating work participation hours is not consistent with the federal calculation of work participation hours. Section 811.16 and new §811.32 provide good cause provisions and penalty exceptions for Choices participants with reduced work requirements.

§811.34. Participation Provisions.

New §811.34 is added to provide guidance on counting actual participation hours for all work activities, along with the exceptions to this provision, as required by the interim regulations.

New §811.34(1) provides that Boards may count holidays or other paid leave as actual participation hours for paid work activities.

New §811.34(2) provides that Boards may count short-term excused absences as actual participation hours for unpaid work activities.

New §811.34(2)(A) states that the short-term excused absence must be because of a holiday, or total a maximum of 10 additional days within a 12-month period and not exceed two excused absences per month.

New §811.34(2)(B) provides that the Choices participant must have been scheduled to participate in an unpaid work activity during the time period in which the holiday or excused absence falls. In addition, Boards must ensure credited participation hours do not exceed the number of hours the Choices participant was scheduled to participate.

New §811.34(3) states that Boards may project participation hours in paid work activities based on an average of four weeks of current, documented actual hours.

New §811.34(3)(A) provides that a Board may project participation hours in self-employment for up to six months using an average of three months of current, documented actual hours.

New §811.34(3)(B) states that a Board may not count more hours toward the work participation rate for self-employed Choices participants than the number derived by dividing the Choices participant's net self-employment income (gross self-employment wages minus business expenses) by the federal minimum wage.

SUBCHAPTER D. CHOICES WORK ACTIVITIES

The Commission adopts amendments to Subchapter D, as follows:

§811.41. Job Search and Job Readiness Assistance.

Section 811.41(b)(1)(C) replaces the term "client-directed" with the term "customer-directed"; replaces the word "significant" with the word "direct"; and removes the requirement for customers to engage in activities addressing the health, safety, and welfare of their families. These changes are made to align with the definition of allowable job readiness activities provided in the interim regulations.

Proposed §811.41(b)(1)(C)(i) - (ii) have been removed based on guidance received from the Administration for Children and Families (ACF). The two sections informed Boards about how to verify and count participation hours in customer-directed job search. The sections stated that daily contact with Choices participants must be maintained to document the contact, verify participation, and discuss the progress of the participant's job search, and also allowed each job contact made by the Choices participant while participating in customer-directed job search to count as two hours of participation. The hours of participation increased if it was documented and verified that the job contact took more than two hours because of travel time or other reasonable explanations.

ACF has clarified that daily supervision for job search and job readiness activities does not necessarily mean daily contact. In addition, ACF's guidance clarified that Boards must ensure that only actual time spent in any Choices activity will be counted as participation. Boards must not assign a standard set of hours to job search activities, such as two hours for each job contact. The Commission recommends that Boards modify their job search logs to specify time spent for each job search contact or activity.

Comment: One commenter stated daily contact and 100% verification of participation in customer-directed job search was excessive as required by §811.41(b)(1)(C)(i). The commenter stated that case managers would be focusing on documenting daily contact and verifying participation rather than on helping participants find employment. The commenter suggested using a job search log to list daily contacts and having weekly appointments between the case manager and Choices participant.

Response: The Commission appreciates the suggestions. Based on guidance from ACF, the Commission has removed §811.41(b)(1)(C)(i). ACF clarified that daily supervision for job search and job readiness activities does not necessarily mean daily contact. However, Boards must ensure case managers are accessible daily for Choices participants to report their job search progress and receive any additional guidance during their job search. Furthermore, Boards are allowed to perform a random sampling of the job search log to validate contacts made during customer-directed job search. The use of job search logs without any validation is considered self-attestation, which is no longer acceptable. The Commission also encourages Boards to use other methods such as tracking contacts in WorkInTexas.com, e-mail confirmations, or other online job banks to verify job search participation.

Section 811.41(b)(4) is added to require daily supervision of job search and job readiness activities, as required by the interim regulations. As previously stated, Boards are not required to ensure that case managers have daily contact with each Choices participant enrolled in job search. However, Boards must ensure that case managers are accessible daily to allow Choices participants to report their job search progress or seek additional guidance.

Section 811.41(b)(5) is added to require daily documentation in TWIST of job search and job readiness activities. This section requires Boards to document daily participation hours, as opposed to weekly hours, in TWIST. For example, documentation for participation in job search may reflect eight hours for Monday, eight hours for Wednesday, and eight hours for Friday, instead of 24 hours of job search for the entire week. This requirement does not apply to the frequency of data entry. Boards retain the flexibility to determine how often data entry occurs, as long as it is within the parameters set forth in §811.21. Automation changes in TWIST will be made to accommodate this new requirement.

Section 811.41(b)(6) is added to include the allowance for counting substance abuse treatment, mental health treatment, or rehabilitation activities as allowable job readiness activities as provided by the interim regulations.

Section 811.41(c) is modified to define job search activities as acts of seeking and obtaining employment, as specified in the interim regulations.

Sections 811.41(c)(1), 811.41(c)(3), 811.41(c)(6), and 811.41(c)(7), specifying certain types of job search activities, are deleted. These activities do not meet the new definition of job search but do meet the new definition of job readiness. Therefore, these activities are moved to §811.41(d).

Section 811.41(c)(5), "applying or interviewing for job vacancies," and §811.41(c)(6), "making contacts with potential employers," are added as allowable activities related to job search, as provided in the interim regulations.

Sections 811.41(d)(3) - (9) are added to specify other options for job readiness activities such as substance abuse treatment, rehabilitation activities, and job search activities that meet the new definition of job readiness, as defined in the interim regulations.

Sections 811.41(d)(3)(A) - (D), specifying activities essential to the health, safety, and welfare of families as a job readiness activity, are removed. The interim regulations specifically prohibit these types of activities to be counted under any work category.

Certain paragraphs in §811.41 have been renumbered to accommodate additions or deletions.

§811.43. Subsidized Employment.

Section 811.43(d) is added to provide that subsidized placements must prepare customers for unsubsidized employment, as required by the interim regulations.

Section 811.43(e) is added to provide that subsidized placements must be made with employers that expect to offer unsubsidized employment to Choices participants after the placement has ended.

§811.44. On-the-Job Training.

Section 811.44(d) is added to require Boards to ensure that Choices participants enrolled in on-the-job training are supervised daily, as required by the interim regulations.

Section 811.44(e) is added to require Boards to ensure on-the-job training is documented in TWIST at least every two weeks.

§811.45. Work Experience.

Section 811.45(b) removes the requirement that work experience positions are offered only in the private for-profit sector. The interim regulations do not place this restriction on work experience and this change aligns the work experience definition in this chapter with the definition of work experience in the interim regulations.

Section 811.45(d)(3) specifies that supervision for work experience activities must be on a daily basis, as required by the interim regulations.

Section 811.45(f) is added to require that documentation for work experience activities be entered into TWIST as least every two weeks.

§811.46. Community Service.

Section 811.46(b) is modified to require that Boards must not allow Choices participants to arrange their own community service placements because the placements must meet more stringent criteria, as required by the interim regulations, to be counted as participation. Additionally, the subsection incorporates the definition of community service programs to align with the definition in the interim regulations. Community service programs are defined in the interim regulations as structured, supervised programs that provide a direct benefit to the community and improve the employability of the Choices participant.

Section 811.46(d) is added to specify examples of allowable placement sites for community service activities.

Section 811.46(e) is added to list examples of allowable fields for community service activities, as provided in the interim regulations.

Section 811.46(f) is added to require that Choices participants in community service programs must be supervised on a daily basis, as required by the interim regulations.

Section 811.46(g) is added to require that community service activities must be documented in TWIST at least every two weeks.

§811.47. Child Care Services to Choices Participants in Community Service.

Section 811.47(b) removes the reference that states providing child care is a core activity. This statement is duplicative because it is found in §811.47(a).

Section 811.47(b)(3), which gives Boards the flexibility to set local policies for determining participation hours in child care activities, is removed. The interim regulations emphasize the need for consistency in the calculation of participation hours. Therefore, the Commission has provided additional guidance in §811.47(f) on calculating participation hours for this activity.

Section 811.47(c) is added to require that placement in a child care activity must aid the Choices participant in becoming self-sufficient.

Section 811.47(d) is added to require that Choices participants who provide child care services are supervised on a daily basis, as required by the interim regulations.

Section 811.47(e) is added to require that child care services provided by Choices participants are documented at least every two weeks.

Section 811.47(f) is added to require that Boards must count only actual hours of participation in child care activities as allowable work participation hours.

§811.48. Vocational Educational Training.

Section 811.48(b) removes the statement that services provided by the Texas Rehabilitation Commission (now the Department of Assistive and Rehabilitative Services (DARS)) may be counted as vocational education training. The interim regulations provide a more narrow definition of vocational education and what types of institutions may provide the training. Services provided by DARS are no longer allowable as vocational educational training under this definition. However, if DARS contracts out vocational educational training to an education or training organization, Boards have the flexibility to determine whether that activity meets the allowable definition for vocational educational training. In addition, other activities offered through DARS may meet the new definitions of the other allowable Choices activities. Boards are encouraged to coordinate with DARS to provide services for Choices participants with disabilities within the parameters of this chapter.

Sections 811.48(c)(1), 811.48(c)(2), and 811.48(c)(7) are added to incorporate the interim regulation's definition of vocational educational training. These sections specify that vocational educational training is directly related to a specific occupation, trade, or vocation and list the types of organizations that may provide vocational educational training.

Section 811.48(c)(3) clarifies that vocational educational training must relate to current or emerging occupations, as provided in the interim regulations.

Section 811.48(d), which relates to counting study or homework hours for vocational educational training, is modified to align with the interim regulations. The interim regulations allow only supervised study or homework hours to count as participation. The Commission removes the five hour per week limit on study or homework time. If study or homework time must be supervised, a limit on countable participation hours is not necessary because hours can be verified.

Section 811.48(d)(3) is modified to state that study or homework time must be directly monitored, supervised, and documented.

Section 811.48(d)(4) is removed because the requirement that a Choices participant is making good progress is no longer limited only to counting study or homework time. Under the interim regulations, a Choices participant's "good or satisfactory" progress must be verified in order to count as participation.

Section 811.48(e) is added to require that Boards must verify a Choices participant's good or satisfactory progress in vocational educational training, as determined by the educational institution.

Section 811.48(f) is added to require that Choices participants enrolled in vocational educational training are supervised on a daily basis, as required by the interim regulations.

Section 811.48(g) is added to require that vocational educational training is documented in TWIST at least every two weeks.

Certain paragraphs in §811.48 have been renumbered to accommodate additions or deletions.

§811.49. Job Skills Training.

Section 811.49(e)(1) removes Adult Basic Education (ABE) as job skills training. The interim regulations state that this type of activity is considered an educational service for Choices participants who have not completed secondary school or received a General Educational Development credential. This reclassification of ABE is reflected in §811.50(b)(2).

Section 811.49(e)(1) also is modified to broaden the specific references to "English as a Second Language (ESL)" as "language instruction" and "Workforce Adult Literacy services" as "literacy instruction." These changes are made to align with terminology contained in the interim regulations. However, ESL and Workforce Adult Literacy services are included under the meaning of the broader terms.

Section 811.49(f), relating to counting study or homework hours for job skills training, is modified by removing the five hour per week limit on study or homework time. The interim regulations allow only supervised study or homework hours to count as participation. If study or homework time must be supervised, a limit on countable participation hours is not necessary because hours can be verified.

Section 811.49(f)(3) is modified to clarify that study or homework time must be directly monitored, supervised, and documented.

Section 811.49(f)(4) is removed because the requirement that a Choices participant is making good progress is no longer limited only to counting study or homework time. Under the interim regulations, a Choices participant's "good or satisfactory" progress must be verified in order to count as participation.

Section 811.49(g) is added to require that Boards must verify a Choices participant's good or satisfactory progress in job skills training.

Section 811.49(h) is added to require that Choices participants enrolled in job skills training are supervised on a daily basis, as required by the interim regulations.

Section 811.49(i) is added to require that job skills training is documented in TWIST at least every two weeks.

Certain paragraphs in §811.49 have been renumbered to accommodate additions or deletions.

§811.50. Educational Services for Choices Participants Who Have Not Completed Secondary School or Received a General Educational Development Credential.

Section 811.50(b)(1) clarifies that Choices participants age twenty and older are to be enrolled in educational services only if it is required for the job position.

Section 811.50(b)(2) is modified to add ABE and ESL instruction as allowable educational services. The interim regulations reclassified ABE from job skills training to an allowable educational service.

Section 811.50(b)(2) also is modified to broaden the specific references to "English as a Second Language (ESL)" as "language instruction" and "Workforce Adult Literacy services" as "literacy instruction." These changes are made to align with terminology contained in the interim regulations. However, ESL and Workforce Adult Literacy services are included under the meaning of these broader terms.

Section 811.50(c) is added to clarify that educational services must provide skills and knowledge directly related to specific occupations or work settings.

Section 811.50(d), which relates to counting study or homework hours for educational services, is modified by removing the five hour per week limit on study or homework time. The interim regulations only allow supervised study or homework hours to count as participation. If study or homework time must be supervised, a limit on countable participation hours is not necessary because hours can be verified.

Section 811.50(d)(3) clarifies that study or homework time must be directly monitored, supervised, and documented.

Section 811.50(e)(4) is removed because the requirement that a Choices participant is making good progress is no longer limited only to counting study or homework time. Under the interim regulations, a Choices participant's "good or satisfactory" progress must be verified in order to count as participation.

Section 811.50(e) is added to require that Boards must verify a Choices participant's good or satisfactory progress in educational services, as determined by the educational institution.

Section 811.50(f) is added to require that Choices participants enrolled in educational services be supervised on a daily basis, as required by the interim regulations.

Section 811.50(g) is added to require that educational services are documented in TWIST at least every two weeks.

Certain subsections in §811.50 have been relettered to accommodate additions or deletions.

§811.51. Post-Employment Services.

Section 811.51(a) clarifies who is eligible for post-employment services and adds conditional applicants to the list of individuals who are offered post-employment services. It is the Commission's intent to help employed Choices eligibles to retain employment and achieve self-sufficiency.

Section 811.51(e)(2) replaces the reference to "one month of demonstrated cooperation" with the more general term, "demonstrated cooperation period," because sanctioned families and conditional applicants have different time frames in which to demonstrate cooperation.

§811.52. Parenting Skills Training.

Section 811.52, which lists parenting skills training as a Choices work activity, is repealed. The interim regulations define work activities as those activities that are work or direct preparation for work. While parenting skills training is important for Choices participants, it is not an allowable work activity defined in the interim regulations. Recipients are required to attend parenting skills training as part of their eligibility for TANF cash assistance. Frequently, HHSC has agreements with the local Women, Infants and Children offices or other community organizations to provide parenting skills training.

SUBCHAPTER E. SUPPORT SERVICES AND OTHER INITIATIVES

The Commission adopts amendments to Subchapter E, as follows:

§811.61. Support Services.

Section 811.61(d)(2) replaces the reference to "one month of demonstrated cooperation" with the more general term, "demonstrated cooperation period," because sanctioned families and conditional applicants have different time frames in which to demonstrate cooperation. Additionally, references to Chapter 809 of this title, related to Child Care Services, have been updated to reflect new citations.

§811.62. Child Care for Choices Eligibles.

Section 811.62 is updated to reflect new citations in Chapter 809 of this title, related to Child Care Services.

COMMENTS WERE RECEIVED FROM:

Gulf Coast Workforce Development Board

The Agency hereby certifies that the adoption has been reviewed by legal counsel and found to be within the Agency's legal authority to adopt.

Subchapter A. GENERAL PROVISIONS

40 TAC §§811.1 - 811.3

The rules are adopted under Texas Labor Code §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted rules affect Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 6, 2007.

TRD-200700338

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829


Subchapter B. CHOICES SERVICES RESPONSIBILITIES

40 TAC §§811.11 - 811.16

The rules are adopted under Texas Labor Code §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted rules affect Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 6, 2007.

TRD-200700339

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829


Subchapter C. CHOICES SERVICES

40 TAC §§811.21 - 811.34

The rules are adopted under Texas Labor Code §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted rules affect Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

§811.22.Assessment.

(a) A Board shall ensure that initial and ongoing assessments are performed to determine the employability and retention needs, including wage advancement and career development needs, of Choices participants as follows:

(1) An assessment is required for Choices participants who are:

(A) at least age 18; or

(B) heads of household, as determined by HHSC, who are not yet age 18, have not completed secondary school or received a GED credential, and are not attending secondary school.

(2) An assessment shall be provided to applicants who choose to participate in Choices services.

(3) Ongoing assessments shall be provided to former recipients who choose to participate in Choices services.

(b) Assessments shall include evaluations of strengths and potential barriers to obtaining and retaining employment, such as:

(1) skills and abilities, employment, and educational history in relation to employers' workforce needs in the local labor market;

(2) pre- and post-employment skills development needs to determine the necessity for job-specific training;

(3) unmet housing needs and whether those needs are a barrier to full participation in the workforce and progression to self-sufficiency;

(4) support services needs; and

(5) individual and family circumstances that may affect participation, including the existence of family violence, substance abuse, mental health, or disability-related issues, as one of the factors considered in evaluating employability.

(c) A Board shall ensure that the assessment identifies Choices eligibles with higher than average barriers to employment, as defined by the Board.

(d) A Board shall ensure that if the skills assessment indicates that a Choices participant requires job-specific training for placement in a job paying wages that equal or exceed the Board's identified self-sufficiency wage, the Board shall, to the extent funds are available and to the extent allowed under this chapter, place the Choices participant in vocational educational training activities or job skills training activities that are designed to improve employment and wage outcomes and job retention; and

(e) For mandatory Choices participants who are at least age 18, or who are heads of household but are not yet age 18 and have not completed secondary school or received a GED credential and are not attending secondary school:

(1) The assessments shall also include evaluations of the mandatory Choices participants':

(A) vocational and educational skills, experience, and needs; and

(B) literacy level by using a statewide standard literacy assessment instrument unless the Choices participants are mandatory Choices participants coded by HHSC as working at least 30 hours per week, earning at least $700 per month, and receiving the EID.

(2) A Board shall ensure that the grade-level results or other literacy information are provided to HHSC for use in determining the appropriateness of the initial state time-limit designation for TANF cash assistance as described in the Texas Human Resources Code §31.0065, relating to state time-limited benefits.

(f) Assessment Outcome. Assessments shall result in the development of a family employment plan, as described in §811.23.

§811.27.Special Provisions Regarding Job Search and Job Readiness.

(a) Choices participants in unsubsidized employment as defined in §811.42, who lose that employment, may participate in job search activities as defined in §811.41(c) and job readiness activities as defined in §811.41(d) unless they have reached the six-week limit per federal fiscal year.

(b) Job search and job readiness activities as defined in §811.41 are limited as follows:

(1) Choices participants may not be enrolled for more than four weeks of consecutive activity;

(2) Choices participants may not be enrolled for more than six weeks of total activity in a federal fiscal year;

(3) in order for Choices participants to qualify for their remaining two weeks of job search and job readiness, they must first comply with §811.26(a), which requires that Choices participants be engaged in an employment activity or in community service; and

(c) only once per federal fiscal year may a partial week count as a full week of participation, per Choices participant.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 6, 2007.

TRD-200700340

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829


40 TAC §§811.29 - 811.32

The repeals are adopted under Texas Labor Code §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted repeals affect Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 6, 2007.

TRD-200700342

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829


Subchapter D. CHOICES WORK ACTIVITIES

40 TAC §§811.41 - 811.51

The rules are adopted under Texas Labor Code §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted rules affect Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

§811.41.Job Search and Job Readiness Assistance.

(a) Job search and job readiness are core activities as defined in §811.25(a)(1).

(b) A Board shall ensure that job search and job readiness activities:

(1) incorporate the following:

(A) individual and group activities;

(B) staff-assisted services in which Texas Workforce Center staff provide direction and guidance to Choices participants, including appropriate referrals based on their skills and abilities to pre-scheduled job interviews; and preparatory activities that are essential to obtaining and retaining employment; and

(C) customer-directed activities that do not require direct staff involvement, and include activities in which Choices participants independently identify employment opportunities based upon their employment strengths, and perform preparatory activities that are essential to obtaining and retaining employment.

(2) are limited to activities necessary for Choices participants to secure immediate employment.

(3) provide individual assistance or coordinated, planned, and supervised activities that prepare Choices participants for seeking employment.

(4) are supervised daily.

(5) are documented daily in TWIST.

(6) are allowable treatment or therapy activities that include substance abuse treatment, mental health treatment, or rehabilitation activities determined to be necessary to assist Choices participants with seeking, obtaining, or retaining employment. Boards shall ensure treatment and therapy activities are certified by a qualified medical or mental health professional.

(c) Job search activities are defined as acts of seeking and obtaining employment, including:

(1) job referrals;

(2) information on available jobs;

(3) occupational exploration, including information on local emerging and demand occupations;

(4) job fairs;

(5) applying or interviewing for job vacancies; and

(6) making contacts with potential employers.

(d) Job readiness activities are designed to assist Choices participants with addressing issues that will aid them in seeking, obtaining, and retaining employment, including:

(1) life skills;

(2) guidance and motivation for development of positive work behaviors necessary for the labor market;

(3) job skills assessment;

(4) substance abuse treatment;

(5) mental health treatment;

(6) rehabilitation activities;

(7) job counseling;

(8) interviewing skills and practice interviews; and

(9) assistance with applications and resumes.

(e) Job search and job readiness activities are time-limited as defined in §811.27.

§811.46.Community Service.

(a) Community service is a core activity as defined in §811.25(a)(1).

(b) A Board shall ensure that a determination is made, on a case-by-case basis, whether to authorize, arrange, or refer Choices participants to a community service program that provides employment or training activities to Choices participants through unsalaried, work-based positions in the public or private nonprofit sectors. A Board shall not allow Choices participants to arrange their own community service placements. A Board shall ensure community service programs contain structured, supervised activities that are a direct benefit to the community and are designed to improve the employability of Choices participants who have been unable to find employment.

(c) A Board shall ensure that all mandatory Choices participants subject to §811.26(a) are referred to a community service program.

(d) Community service positions may include, but are not limited to, work performed in:

(1) a school or Head Start program;

(2) a church;

(3) a government or nonprofit agency; or

(4) Americorps, VISTA, or other volunteer organizations.

(e) A Board shall ensure community service placements are limited to positions that serve a useful community purpose in fields such as health, social service, environmental protection, education, urban and rural redevelopment, welfare, recreation, public facilities, public safety, and child care.

(f) A Board shall ensure Choices participants in community service programs are supervised daily.

(g) A Board shall ensure community service activities are documented in TWIST at least every two weeks.

§811.49.Job Skills Training.

(a) Job skills training is a non-core activity as defined in §811.25(a)(2).

(b) Job skills training services are designed to increase a Choices participant's employability. Job skills training may also include activities ensuring that Choices participants become familiar with workplace expectations and exhibit work behavior and attitudes necessary to compete successfully in the labor market. Various types of activities, which are directly related to employment, may qualify, such as personal development and preemployment classes.

(c) A Board shall ensure that a determination is made on a case-by-case basis whether to authorize, arrange, or refer Choices participants for job skills training as set forth in the family employment plan.

(d) Job skills training shall be:

(1) directly related to employment; and

(2) consistent with employment goals identified in the family employment plan, when possible.

(e) Job skills training includes:

(1) language instruction or literacy instruction;

(2) entrepreneurial training provided prior to business start up; and

(3) self-employment assistance:

(A) for Choices participants currently engaged in operating a small business;

(B) for Choices participants based upon an objective assessment process that identifies Choices participants who are likely to succeed; and

(C) that may include microenterprise services such as:

(i) business counseling;

(ii) financial assistance; and

(iii) technical assistance.

(f) Boards may count supervised study or homework time toward a Choices participant's family participation requirement if:

(1) study or homework time is directly correlated to the demands of the course work for out-of-class preparation as described by the educational institution;

(2) the educational institution's policy requires a certain number of out-of-class preparation hours; and

(3) study or homework time is directly monitored, supervised, and documented.

(g) A Board shall verify whether the Choices participant is making good or satisfactory progress as determined by the job skills training provider.

(h) A Board shall ensure Choices participants enrolled in job skills training are supervised daily.

(i) A Board shall ensure job skills training is documented in TWIST at least every two weeks.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 6, 2007.

TRD-200700344

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829


40 TAC §811.52

The repeal is adopted under Texas Labor Code §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted repeal affects Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 6, 2007.

TRD-200700343

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829


Subchapter E. SUPPORT SERVICES AND OTHER INITIATIVES

40 TAC §§811.61, 811.62, 811.65 - 811.67

The rules are adopted under Texas Labor Code, §301.0015 and §302.002(d), which provide the Texas Workforce Commission with the authority to adopt, amend, or repeal such rules as it deems necessary for the effective administration of Agency services and activities; and Texas Human Resources Code, Chapters 31 and 34.

The adopted rules affect Texas Labor Code, Title 4 and Texas Human Resources Code, Chapters 31 and 34.

§811.61.Support Services.

(a) A Board shall ensure that support services as specified in this subchapter are provided, if needed, to Choices participants to address barriers to employment or participation in Choices services, subject to availability of resources and funding. A Board shall ensure that support services provided to Choices participants are coordinated with the employer, when appropriate.

(b) A Board shall ensure that support services, including Commission-funded child care, are provided only to Choices participants who are meeting work requirements set forth in §§811.16, 811.23, and 811.25 - 811.34, and as set forth in §809.45 of this title. In applying this provision, a Board shall ensure support services are provided to Choices participants if it is determined support services are needed to comply with work requirements set forth in §§811.16, 811.23, and 811.25 - 811.34, and as set forth in §809.45 of this title.

(c) A Board shall ensure that:

(1) support services are terminated immediately upon a determination of failure to meet work requirements by Choices participants unless otherwise determined by the Board's service provider as referenced in subsection (b) of this section;

(2) the Board's child care contractor is notified immediately of the failure to meet work requirements; and

(3) upon notification, the Board's child care contractor immediately notifies the child care provider that services are terminating due to failure to meet work requirements.

(d) A Board shall ensure that support services, classified as cash assistance, for:

(1) applicants and former recipients do not extend beyond four months for those who are unemployed and not receiving TANF cash assistance; and

(2) unemployed conditional applicants and sanctioned families do not extend beyond their demonstrated cooperation period.

§811.62.Child Care for Choices Eligibles.

(a) A Board shall ensure that child care is provided if needed, as specified in Chapter 809 of this title.

(b) Transitional child care is provided as needed, as specified in §809.48 of this title.

(c) Choices child care is provided as needed, as specified in §809.45 of this title.

(d) TANF Applicant child care is provided as needed, as specified in §809.46 of this title.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on February 26, 2007.

TRD-200700345

Reagan Miller

Deputy Director for Workforce and UI Policy

Texas Workforce Commission

Effective date: February 26, 2007

Proposal publication date: November 24, 2006

For further information, please call: (512) 475-0829